The Annual Budget meeting of the Council - the Liberal Democrat perspective

10.00.00am GMT Fri 22nd Feb 2008

The balance of numbers of the three political groups on Southampton Council is such that it needs the support of more than one Group to set the budget. The Liberal Democrats had discussions in the run-up to budget day with both the Conservatives and Labour.

The Conservatives offered few concessions, and as Liberal Democrats we felt unable to accept their Budget, which included deep and wide-ranging cuts in services which would have adversely affected the overwhelming majority of Southampton citizens. Hard hit areas included road and pavement repairs, dealing with bad behaviour in schools, play & family services, neighbourhood wardens and partnerships, bus services, housing quality, arts and heritage, and environment policy.

These cuts were being imposed so the Conservatives could campaign on the basis of a Council Tax discount for some pensioners, paid for by everyone else. In particular many of the least well off pensioners would have seen no benefit as they are already entitled to a rebate on their Council Tax from the Government. The same is true of their proposed discount for Special Constables; those living in band D homes for example could get a discount of around £1000 a year, while those too poor to pay Council Tax (not to mention many other deserving volunteers) would get nothing for the same contribution to the City. In order to pay for these discounts the Conservatives wanted to make £1.2 million of cuts to services (equal to nearly 2% on everyone's Council Tax).

Only by reaching agreement with the Labour Group, who were much more willing to compromise, could we prevent the Conservatives' programme of deep cuts. The outcome was a new budget, combining the best of our own Liberal Democrat proposals with some of those put forward by Labour, resulting in a Council Tax increase of 3.49%. This is well below the annual increase in pensions this year, and significantly lower than Labour's initial proposal.

As part of this Budget there is money to help the less well off, including pensioners, apply for all the benefits they are entitled to, reprieve for many of the drastic cuts to services the Conservatives were intending, and some new initiatives that will help all sectors of our community, including improving the quality of our neighbourhoods, tackling the effects of alcohol abuse, extending our pioneering Junior Warden scheme and tackling climate change.

In the light of the Conservatives not being able to carry their budget, and the uncertainties the City has experienced over 8 years of minority administration, Cllr Adrian Vinson proposed that members of all three parties should now work together to run the Council in the best interests of the City. This was flatly rejected by the Conservatives, but accepted by Labour.

We have therefore agreed to form a joint Administration with Labour. This will give the Council and City stability as it will have the support of the majority of councillors. This is in no way support for the Labour Government, but a local arrangement to suit our particular circumstances. Such arrangements are common in many other areas where no one party has a majority. We will keep our separate identity. Indeed we will be campaigning hard to win as many seats as possible for the Liberal Democrats in the May elections, in competition with all the other parties.

We believe that the Southampton and its residents will benefit from this new arrangement. We will do all in our power to see that they do.