BARROW Council has agreed its budget for the coming financial year – including a council tax increase on its share of 2.08 per cent.

Both the budget and the council tax rise were passed by the full council on Thursday.

Council leader Ann Thomson said: “The amount of central funding we receive from the Government has been declining year after year, even though we know there is a greater demand for services and residents need our support more than ever.”

The council retains 12p in every pound of council tax paid to fund services.

With 59 per cent of properties across the borough in Band A, this amounts to a weekly increase of 6p per week per household – or £3.34 for the year.

The debate over the budget led to councillor Bill McEwan defending the increase and blaming the need for it on the Government.

He said: “Of course we don’t want to increase taxes. Why do we have to? Because years of Tory government rule has left us no choice.

“Tory ministers failed to fund cash-strapped councils, not helping their financial black holes year after year.”

Conservative Group leader Hazel Edwards abstained from the vote but said the group would have ‘very different’ expenditure priorities.

She said: “The Conservative government has poured many millions of grants into Barrow and the county. This has resulted in a countrywide debt because of Covid... but would the Labour councillors seriously prefer people to struggle?

“Most areas of the community have been greatly supported.

“In supporting businesses locally, this is not purely financial, but also physical... trying to show nationally what an attractive area this is to build a business, actively going out to interest business.

“We, as a council, need to be actively involved in order to regenerate our town.”

The remainder of the year’s council tax is passed on to other authorities including Cumbria County Council and Cumbria Fire and Rescue Service, the county's Police and Crime Commissioner and to town and parish councils.

Those not in receipt of full council tax support who have suffered significant financial hardship as a result of the pandemic can complete a Covid-19 council tax hardship application and return it to counciltax@barrowbc.gov.uk