2025/26 Town Council Budget Setting Consultation
The Town Council is in the process of developing its Revenue and Capital Budget for the 2025/26 financial year.
Clearly the budget that we set is important to our local community, both in terms of how our spending plans may impact on the provision of services, events, and investment in assets for the benefit of the town, and in terms of the level of Council Tax that we need to raise from local taxpayers in order to fund these plans.
Despite inflation having come down from the highs seen two years ago, we are all continuing to see price rises and pressures on our daily budgets – gas, electricity, food, insurance and general goods and services – everywhere we are seeing what seems like constant increases in prices.
These increases continue to affect all of us – individuals, families, community groups, businesses, and public sector bodies are all feeling the pinch and trying to make savings wherever possible.
The Town Council is no different and continues to face financial challenges of its own in order to balance the books both in the current financial year and looking ahead to next year.
The Town Council continues to review the impact of the ongoing challenging economic difficulties on our finances ahead of the setting of the 2025/26 Budget in January.
There continues to be inflationary increases in running costs, staff pay increases, the significant impact of the recent national insurance changes following the Government Budget, substantial capital investment commitments, as well as a projected fall in Council balances and reserves.
Compounding all of this, the Council is facing the second-year reduction in the Local Council Tax Reduction Scheme Grant by Durham County Council in 2025/26.
Without this cut in funding the proposed core Town Council Tax increase for 2025/26 would have been 2.13%, which slightly below the current rate of inflation. The Council has been able to keep the increase below inflation as a result of ongoing efforts to cut costs, increase income and deliver value for money.
However as a direct result of the Durham County Council cut in the Local Council Tax Reduction Scheme Grant, the required Town Council tax increase, set out in the draft Revenue Budget reported to the Council in October was 3.75%.
The recently announced increase in National Insurance costs by the Government has created further pressure on the Council’s Revenue Budget and the Council is currently looking at various options to offset this increase, which unfortunately may include a further increase in the Town Council Tax.
The Council continues to strive to identify and deliver efficiency savings and generate new income whilst at the same time protecting and maintaining all of the facilities, services, and events the residents of Great Aycliffe value so much and trying to keep any required increase in the Town Council element of the Council Tax bill as low as possible.
Did You Know?
Nearly 8 out of 10 residents in Great Aycliffe live in properties rated in Council Tax Valuation Bands A to C.
If you live in a Band A to C property, your current annual Council Tax bill will be between £1,737.83 and £2,320.54 per year, and of this the Town Council receive £190.80 in relation to a Band A property and £283.21 for a Band C property.
Effectively, 11p in every £1 of your Council Tax comes to the Town Council to pay for the many valued services we provide.
The remaining 89p goes to Durham County Council, and the Police and Fire Authorities. This is shown in the graph below:
The Town Council Tax bill is currently £190.80 per year or £15.90 per month at Council Band A with nearly 60% of Great Aycliffe residents paying their Council Tax at this rate.
Many residents also receive Council Tax Support from Durham County Council and therefore pay less than this.
The table on the following page shows how the Council spends your Council Tax on the various services we provide to the community of Great Aycliffe.
2024/25 Running Costs, Income and Cost to Taxpayer of Town Council Services
| Service Budget | Gross Cost £ | Income £ | Net Cost £ | Cost to Tax Payer £ |
| Sports Complex | 928,050 | 554,400 | 373,650 | 36.10 |
| Works and Depot | 287,600 | 2,400 | 285,200 | 27.56 |
| Corporate Management | 282,100 | 2,050 | 280,050 | 27.06 |
| Parks and Play Areas | 230,200 | – | 230,200 | 22.24 |
| Large Community Events | 129,750 | 750 | 129,000 | 12.46 |
| Environment | 123,800 | 2,050 | 121,750 | 11.77 |
| Golf Course | 250,750 | 140,700 | 110,050 | 10.63 |
| Finance Section | 99,850 | – | 99,850 | 9.65 |
| Administration and Council Offices | 98,900 | 12,400 | 86,500 | 8.36 |
| Members and Civic | 76,250 | – | 76,250 | 7.37 |
| Contribution to Capital Reserves | 75,000 | – | 75,000 | 7.25 |
| Pre Schools | 330,550 | 267,300 | 63,250 | 6.11 |
| Cemeteries | 126,400 | 66,500 | 59,900 | 5.79 |
| Senior Citizens’ Trips | 37,500 | – | 37,500 | 3.62 |
| Fun in the Parks | 27,850 | 300 | 27,550 | 2.66 |
| Allotments | 34,850 | 9,150 | 25,700 | 2.48 |
| Football Pitches | 26,500 | 8,550 | 17,950 | 1.73 |
| Fireworks Display | 16,850 | 1,750 | 15,100 | 1.46 |
| Contingency Sum | 13,500 | – | 13,500 | 1.30 |
| Street Equipment | 8,900 | – | 8,900 | 0.86 |
| Church Works | 9,200 | 2,050 | 7,150 | 0.69 |
| CCTV Cameras | 6,100 | – | 6,100 | 0.59 |
| Donations | 5,000 | – | 5,000 | 0.48 |
| Christmas Lights | 4,000 | – | 4,000 | 0.39 |
| External Audit Fees | 3,050 | – | 3,050 | 0.29 |
| Newsletter | 2,750 | – | 2,750 | 0.27 |
| Santa Tours | 3,300 | 1,350 | 1,950 | 0.19 |
| Driving Range | 171,500 | 176,850 | (5,350) | -0.52 |
| Capital Financing Charges | 30,450 | 45,000 | (14,550) | -1.41 |
| Less Council Tax Support Grant | – | 172,177 | (172,177) | -16.63 |
| Total | 3,440,500 | 1,465,727 | 1,974,773 | 190.80 |
2025/26 Revenue Budget and Council Tax Proposals
In overall terms, the Council is proposing a 2025/26 Revenue Budget that protects and maintains all of our current services, facilities, and events next year.
The Council is also aiming to maintain some surplus resources in the budget which will allow it to replenish its balances and reserves. This will help ensure that we can continue to make capital investment in valued community assets such as cemeteries, allotments, parks and play areas, for the benefit of the community, in the coming years.
In order to do so, the Council is proposing that it raises the core Town Council proportion of the Council Tax bill by around £4.06 (2.13%) next year for the vast majority of local taxpayers i.e. those living in Band A properties.
This is slightly below the current rate of inflation and has been achievable as a result of ongoing efforts to cut costs, increase income and deliver value for money.
However, as a direct consequence of the cut in Local Council Tax Reduction Scheme Grant funding cut being imposed by Durham County Council, the proposed increase will regrettably need to rise to around £7.15 (3.75%).
We hope you will agree that a monthly increase of £0.34 in the core Town Council element of the Council Tax bill, increasing to £0.60 as a result in Durham County Council grant cut, is a small price to pay to ensure that all the existing services provided by the Town Council can be protected for another year.
There is more information on the Council’s draft 2025/26 budget proposals, should you wish to read this, on the meetings section of the Council’s website.
Please note that the recently announced increase in National Insurance Costs by the Government has created further pressure on the Council’s Revenue Budget and the Council is currently looking at various options to offset this increase, including reducing the contingency budget, increasing fees and charges for services and implementing a maximum 5% increase in the Town Council Tax.
Have Your Say
The Town Council understands the financial problems and worries residents are continuing to face at this time and has worked hard to restrict the required increase to the Town Council Tax next year, balanced against the need to protect the future financial viability of the Council and continuing to provide all of the services, facilities and events valued by the community.
In light of the continuing difficult times it is important that the Town Council hears your thoughts and feelings on the priorities we need to focus on in the Town Council budget for 2025/26.
Our annual Budget Survey is your opportunity to tell us what you think.
You can access the survey via this link: Great Aycliffe Town Council Budget Survey 2025-26
The survey is also available in paper form at various community facilities around the town including the Oak Leaf Sports and Golf Complexes, the Town Council Offices and on our social media pages.
The survey will close at 12 noon on Tuesday 31st December 2024.
