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Home Featured

Clash over ‘austerity’ as Reading Borough Council budget for 2025/26 is approved

James Aldridge, local democracy reporter by James Aldridge, local democracy reporter
Monday, March 3, 2025 7:45 am
in Featured, Politics, Reading
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Reading Borough Council

Reading Borough Council

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Councillors have clashed over ‘austerity’ and funding in a major debate over Reading Borough Council’s budget.

Each year, the budget must be set at a full council meeting ahead of the beginning of the financial year in April.

Councillors clashed over supposed ‘austerity measures’ in the first budget with funding from the Labour government.

Council tax has increased by a maximum of 4.99 per cent, with council leader Liz Terry (Labour, Coley) listing the major budget measures including more than £5 million more for both adult social care and looking after children, and £884,000 for homelessness prevention.

However, Rob White (Green, Park), the leader of the opposition, accused Labour of presiding over an austerity budget, stating that £76,000 of funding to tackle rough sleeping would be cut.

He said: “Green councillors want a fairer, greener and cleaner Reading. We need a council that will stand up for residents, and shout out about these cuts. This is a pay more, get less budget. Carbon reductions are starting to flatline.”

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Meanwhile, cllr Raj Singh (Conservative, Kentwood) highlighted that Labour will be introducing a 2.7 per cent increase in social housing rents.

He said: “Conservatives strongly oppose the proposed 4.99 per cent council tax increase for 2025/26, as well as the increase in social rent.

“This tax hike would place an unnecessary burden on the residents of Reading, especially when alternative solutions have yet to be fully explored.”

Cllr Singh then argued efficiencies are required to close a projected £15.6 million funding gap in 2027/28.

Councillors also clashed over environmental and transport policies, including £5 million for its bus service improvement plan.

John Ennis (Labour, Southcote), lead councillor for climate strategy and transport, accused cllr White of not putting in the effort to engage in discussions to improve the environment and transport, including the council’s Cycle Forum.

He replied: “I was there at the Cycle Forum, you’re talking rubbish, John!”

Meanwhile, cllr Meri O’Connell (Lib Democrats, Tilehurst) argued the council needs more funding from central government which has not materialised this year.

She said: “I’ve sat here year after year listening to Labour say that the problem was because central government under the Tories had ‘starved’ local government of funding, and we’ve agreed with you.

“But I’d honestly thought you would’ve come into government with a plan to resolve that, you’ve had 14 years in opposition to come up with a settlement plan, there’s no one else to blame now.

“Officers can’t take any more meat off the bone. The money needs to come from central government.”

Ultimately the budget including spending, council tax and the social rent increase was approved at the meeting on Tuesday, February 25.

All Labour councillors and cllr Sarah Hacker (Independent, Battle) voted for it, the Conservatives and Greens voted against and the Lib Dems abstained.

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