Your Y our Council Council T Tax ax a 2016/17 2016/17 Slimmer Smarter Southwark
3
C Council ouncil t tax ax p rize dr prize draw aw All All new new and and existing existing D Direct irect Debit Debit p payers ayers re registered gistered w with ith a MySouthwark MySouthwark a account ccount llinked inked to to their their council council ttax ax a account ccount b by y3 31 1M May ay 2 2016 016 w will ill h have ave tthe he cchance hance tto o ge gett their their ccouncil ouncil ttax* ax* p paid aid ffor or a yyear. ear.
Message from Cllr Peter John, Leader of Southwark Council
Be the lucky winner and have your council tax paid for a year
Terms T e erms and conditions condition apply see www.southwark.gov.uk/counciltax www.southwark.gov.uk/counciltax
Southwark Council is delivering a fairer future for all in the borough so that our residents can share in the growth and opportunity which Southwark has to offer. We are proud to be the first borough in London to introduce free swim and gym use for all residents which is being rolled out this year; we are also building 11,000 new council homes and guaranteeing education, employment or training for every school leaver. We have already made huge progress with our £300m programme to make every council home warm, dry and safe; we are driving up school standards with 91% of our schools now good or outstanding, and we continue to make our streets safer and greener. We think it is right to be ambitious for Southwark. However, despite being home to some of the most deprived parts of the country, we have faced some of the largest reductions in government funding for local authorities. This means that in the coming year we need to be slimmer and smarter to keep delivering the services and opportunities that will make Southwark even better. We have again had to make some tough decisions because of the cuts that we face, but we have continued to listen to local residents and tried to deliver on your priorities with the resources which we have available. We have protected social care for children from any budget cuts, because of the importance we all place on protecting the most vulnerable in our borough. On that note, we have a very real need for foster carers and if you think you might be able to offer a place in your family to a Southwark child, we are offering 100% council tax relief this year for Southwark residents fostering Southwark children. For more information please visit: www.southwark.gov.uk/fostering The council can only make Southwark a success with the work, help and support of people and other organisations in the borough. I’d like to thank all of you who give your time, energy and talents to making our borough what it is. Thank you for all that you do to make Southwark the exciting and diverse borough that it is and a place that we can all be proud to call home. We look forward to working with many of you as we continue to deliver a fairer future for all.
*Up to a maximum of the Band D council tax charge
Councillor Peter John OBE Leader of Southwark Council
4
5
Southwark Council’s budget
Southwark Council’s finances
This year we have decided to freeze your council tax but have agreed to use the flexibility offered by the government to support Adult Social Care (ASC) through a precept equivalent to 2% of council tax. This will be on the basis that these additional funds will be used exclusively for ASC. Southwark has taken up the government’s offer and £1.7m has been included in the budget. The council has £271.4m to deliver services. In order to balance our budget, the council has had to make difficult decisions about spending.
Revenue support grant, retained business rates and business rates top up will fund 62% of the council’s budget this year. The remaining 38% comes from the council tax that you pay. Where do the council’s resources come from?
Government grants, 68% Southwark Council’s budget for 2016/17 represents the total estimated cost of delivering our services. The amount we can spend each year is limited by the amount of grant we receive from government and income received from other sources, such as council tax, fees and charges and any business rate growth that we can retain. Since 2010/11, like other councils, Southwark has experienced significant reductions in government funding. In 2016/17 almost £16m of government grant has been lost. Despite the challenges and reduced spending, the council remains committed to protecting services for the most vulnerable people, cutting waste and mitigating as much of the impact of cuts as possible.
11%
Where is the money being spent? 30%
Children’s services, 30% Adult social care, 34% Environment and leisure, 25% Other services, 11%
34%
68%
(including retained business rates)
About the council’s budget
25%
32%
Council tax, 32% How is Southwark’s part of the bill worked out?
To work out the tax for each band, we divide Southwark’s total council tax requirement by a number known as the council tax base. This gives us the council tax for band D, with the other bands calculated as a proportion of this. This year band D is £930.38 which is £84,879,498 divided by 91,231 (council tax base). What other services does my bill pay for?
Part of your council tax meets the costs of the Greater London Authority (GLA). This is known as the GLA precept and it covers the cost of police, fire and transport for the whole of London. The Mayor of London and the London Assembly set the GLA precept and Southwark Council has no control over this contribution. This year the GLA precept has been reduced. See pages 7 to 8 for details of the GLA’s 2016/17 budget. Southwark Council’s income and expenditure
The table on page 6 explains our budget. From 2013/14 Southwark has been funded in a new way and we are now allowed to keep some of the business rates we collect. This will be added to by the government through a business rates top up and revenue support grant. Schools are funded through the dedicated schools grant. Other key information
At 31 March 2016, the council’s uncommitted reserves are estimated to be £18.2m, investments are estimated to be £200m and it's borrowing to be £469m. Southwark Council employs approximately 4,700 staff.
6
Southwark Council’s income and expenditure
2015/16 Net Budget £m
GLA Precept information
2016/17 Expenditure £m
2016/17 Income £m
2016/17 Net Budget £m
103.9
Children’s service
311.9
(214.8)
97.1
80.7
Adult social care
111.7
(36.0)
75.7
Traffic, transport and parking
23.6
(14.8)
8.8
Highways
22.8
(5.6)
17.2
Planning and economic development
19.8
(11.0)
8.8
Recreation and tourism
14.3
(2.6)
11.7
8.9 17.3 9.8 12.0 7.5
Libraries
8.1
(0.6)
7.5
4.7
Environmental health
8.3
(3.8)
4.5
55.4
(25.4)
30.0
29.7
Refuse collection and disposal
8.0
Revenue and benefits
235.5
(227.1)
8.4
6.9
Other services
162.0
(154.1)
7.9
Total spending on services
973.4
(695.8)
277.6
289.4 (6.2) 283.2 (200.3)
Contribution from / to balances and earmarked reserves Southwark's budget requirement Retained business rates, top up and revenue support grant
(6.2) 271.4 (184.1)
(2.9)
Shortfall / (surplus) from previous year
(2.4)
80.0
Southwark's council tax requirement
84.9
87,727
Divided by council tax base
91,231
912.14
Which equals Southwark’s band D council tax
930.38
25.9
GLA tax requirement
25.2
87,727
Divided by council tax base
91,231
295.00
Which equals band D council tax
276.00
1,207.14
Total band D council tax
7
1,206.38
Register online for MySouthwark at www.southwark.gov.uk/mysouthwark Simply link your Council Tax account by clicking on My Council Tax and Benefits and you can access your account at any time, receive electronic bills and apply for discounts or exemptions.
Council tax (£)
Introduction The Mayor of London is committed to achieving value for money for Londoners and supporting London’s economic growth. This guide explains how your council tax pays for Greater London Authority (GLA) services. For the fifth year running the Mayor is cutting his part of the council tax. This means that he has reduced it by ten per cent in cash terms during his second term. The current financial climate means the public sector must provide better public services with fewer resources. This year’s budget has required some tough choices to be made. Within this context it seeks to protect the key services Londoners expect from the Mayor - safer streets, investment in transport infrastructure and more affordable housing. Council tax and budget information The GLA’s share of the council tax for a typical Band D property has been reduced by £19 to £276.00. The table below shows how this is allocated. A Band D council taxpayer in the City of London, which has its own police force, will pay £73.89.
2015/16 Change 2016/17
MOPAC (Met Police)
208.87
-6.76
202.11
LFEPA (Fire Brigade)
50.85
-3.81
47.04
GLA and Olympics
33.07
-8.35
24.72
2.21
-0.08
2.13
295.00
-19.00
276.00
TfL (Transport) Total (£)
Investing in frontline services The Mayor’s budget includes large savings and efficiencies across the GLA group in 2016-17. These savings have allowed the Mayor to reduce his precept on London council taxpayers and release cash to meet his key priorities. These include: n investing in frontline policing by maintaining officer numbers at or around 32,000; n increasing the supply of affordable homes, on top of the 100,000 delivered since 2008 using new approaches like creating over 20 new Housing Zones; n ensuring the London Fire Brigade has enough resources to maintain attendance targets at incidents; n investing £200 million in bus priority schemes, £913 million in cycling and £4 billion in London’s roads alongside programmes to improve air quality and reduce carbon emissions;
8
n continuing upgrades to the Underground, London Overground and Tramlink including investing £250 million to ensure that 50 per cent of Rail and Underground stations are step-free by 2018; n completing the delivery of Crossrail along with the extension of the Northern line to Battersea and Nine Elms and the London Overground to Barking Riverside; n working with London boroughs to maintain existing concessionary travel schemes. This includes free 24 hour travel for the over 60s, the disabled, armed forces personnel in uniform and eligible war veterans with discounts on travelcards available for apprentices; and n creating over 200,000 jobs through the GLA group’s work, including 20,000 part time jobs to help parents return to work plus supporting and creating apprenticeship opportunities for young Londoners. Summary of GLA budget The following tables compare the GLA group’s spending for 2016-17 with last year and set out the reasons for the changes. The reduction in gross expenditure reflects the impact of the phased ending of the contribution of London council taxpayers to fund the 2012 Games and the assumed profiling of transport investment. This is offset by an increase of nearly £50 million in
the police budget. Overall the council tax requirement has fallen mainly because of the £19 drop in the Mayor’s precept per Band D property. Find out more about our budget at: www.london.gov.uk/budget (tel: 020 7983 4000). 2015/16 Change 2016/17 How the GLA Group budget is funded (£m) Gross expenditure
11,451
30
11,481
Government grants and retained business rates
-4,226
241
-3,985
Fares, charges and other income
-6,364
-214
-6,578
-60
-84
-144
801
-27
774
Use of reserves Amount met by council taxpayers (£m)
Changes in spending (£m)
2016/17
2015-16 council tax requirement
801
Inflation
193
Efficiencies and other savings
-304
New investment to improve services
164
Other changes (for example fares revenue)
-80
2016-17 council tax requirement
774
9
London Pensions Fund Authority The London Pensions Fund Authority (LPFA) raises a levy each year to meet expenditure on premature retirement compensation and outstanding personnel matters for which LPFA is now responsible and cannot charge to the pension fund. These payments relate to former employees of the Greater London Council (GLC), the Inner London Education Authority (ILEA) and the London Residuary Body (LRB). For 2016/17, the income to be raised by levies is set out below. The Greater London levy is payable in all boroughs, the Inner London levy only in Inner London Boroughs (including the City of London). The figures show the total to be raised and, in brackets, the percentage change on the previous year. Inner London £13,065,200 (0%)
Environment Agency The Council Tax (Demand Notices) (England) Regulations 2011
The Environment Agency is a levying body for its Flood and Coastal Erosion Risk Management Functions under the Flood and Water Management Act 2010 and the Environment Agency (Levies) (England and Wales) Regulations 2011. The Environment Agency has powers in respect of flood and coastal erosion risk management for 5200 kilometres of main river and along tidal and sea defences in the area of the Thames Regional Flood and Coastal Committee. Money is spent on the construction of new flood defence schemes, the maintenance of the river system and existing flood defences together with the operation of a flood warning system and management of the risk of coastal erosion. The financial details are: Thames Regional Flood Defence and Coastal Committee
Greater London £10,317,750 (0%) Total £23,382,950 (0%)
2015/16 ‘000s
2016/17 ‘000s
Gross Expenditure
£74,750
£75,700
Levies Raised
£10,700
£10,912
4,674
4,801
Total Council Tax Base
The majority of funding for flood defence comes directly from the Department for the Environment, Food and Rural Affairs (Defra). However, under the new Partnership Funding
10
rule not all schemes will attract full central funding. To provide 'matching' funding the Agency may seek funding from County and Metropolitan Councils, Unitary Authorities and London Boroughs in the form of a Local Levy. The Local Levy is shared on the basis of Band D Equivalents between all contributing bodies within the Committee Area. Changes in the Gross Budgeted expenditure between the years both reflects the impact of the Government Spending Review and national prioritisation of projects. For 2015/16 we have included Grant Aided Expenditure on all Risk Management Authority Programs. The total Local Levy raised has increased by 1.99%. The total Local Levy raised has increased from £10,699,500 in 2015/2016 to £10,912,420 for 2016/2017.
Lee Valley Regional Park Authority Lee Valley Regional Park is a unique leisure, sports and environmental destination for all residents of London, Essex and Hertfordshire. The 26 mile long, 10,000 acre Park, much of it formerly derelict land is partly funded by a levy on the council tax. This year there has been a 2% decrease in this levy. Find out more about hundreds of great days out, world class sports venues and award winning parklands at www.leevalleypark.org.uk
Joe and Kyle just need time...
Can you give a child or young person time to thrive by fostering? Southwark has many children and young people who need foster care. We need people who can offer them a home to grow and develop, people who want to make a huge difference to a young person’s life.
Budget/Levy Changes – 2015/2016 to 2016/2017
2015/16 £m
2016/17 £m
Authority Operating Expenditure
11.8
11.8
Authority Operating Income
(3.0)
(3.3)
8.8
8.5
0.6 1.8
0.5 1.8
Net Service Operating Costs Financing Costs – Debt servicing/repayments – Capital investment Total Net Expenditure Total Levy
11.2
10.8
(11.1)
(10.8)
to find the way forward together.
You will receive excellent support, training and a generous allowance for each child in your care.
Further details on how this budget is spent and the amount each council contributes can be found at www.leevalleypark.org.uk
The text on pages 7 to 10 has not been written by Southwark Council. The views in it should not be taken as representing those of the council.
For more more information freephone freephone 0800 952 0707
www.southwark.gov.uk/fostering www .southwark.gov v.uk/fostering .uk/fos .
12
How much is my bill?
13
How can I access my council tax online?
This table shows you how much council tax you will pay this year according to the value band your property falls into.
If you haven’t already, you’ll need to register for a MySouthwark account to access your council tax account online. Register or log in by visiting: www.southwark.gov.uk/mysouthwark and link your council tax account by: 1 Following the link to my council tax and benefits in the MySouthwark services section 2 Choosing the type of account you want to view (council tax)
Band Value of property on April 1 1991 Southwark element (£) GLA element (£) Overall council tax (£)
A
B
C
D
E
F
G
H
£ Under 40,000
£ 40,001 – 52,000
£ 52,001 – 68,000
£ 68,001 – 88,000
£ 88,001 – 120,000
£ 120,001 – 160,000
£ 160,001 – 320,000
£ Over 320,000
723.63
827.00
930.38
1,137.13
1,343.88
1,550.63
1,860.76
620.25
3 Providing the requested information If you have received a PIN through the post, you can use this to unlock the account. If you haven't received a PIN, follow the instructions to have one emailed to you. How can I get a copy of my bill?
184.00
214.67
245.33
276.00
337.33
398.67
460.00
552.00
804.25
938.30
1,072.33
1,206.38
1,474.46
1,742.55
2,010.63
2,412.76
How to pay your bill Council tax is normally payable in ten monthly instalments from April to January each year. We now offer the option to pay in 12 instalments from April to March each year. For more information on how to pay your council tax, please visit: www.southwark.gov.uk/paycounciltax What are the benefits to signing up to MySouthwark?
If you sign up for a MySouthwark account you’ll be able to view statements, copies of your bills, details of discounts and a list of future payments – making it much easier to manage your account. This year all new and existing Direct Debit payers registered with a MySouthwark account linked to their council tax account by 31 May 2016 will have the chance to get their council tax* paid for a year. Terms and conditions apply. For more information visit: www.southwark.gov.uk/counciltax
A copy of your bill will be available online as an e-bill when you log in to your MySouthwark account. Once you have selected your council tax account, simply click on the e-bills link under the council tax menu on the left hand side of the page and your e-bills will be listed. You’ll need a PDF reader such as Adobe Acrobat to view these. What if I’m moving home?
If you’re moving home, please contact us as soon as possible with details of the landlord or new owner. You’ll need to provide your new address details with the moving date. For more information and to notify us of any changes visit: www.southwark.gov.uk/changeincircumstance
Exemptions and discounts Empty properties
There are no exemptions or discounts available for empty properties. Where a property has remained empty for a period of two years or more, an additional 50% premium will apply so the amount payable will be 150% of the council tax charge.
14
Discounts
You can claim a 25% discount if you live alone or only with children under 18. Discounts may apply in other circumstances, for example if you live with students, school leavers or carers. For further information regarding discounts, please visit: www.southwark.gov.uk/Ctaxdiscounts Exemptions
15
Change of circumstances Keeping us up to date with any changes in your circumstances helps us to get your council tax right and avoid any problems later on. This includes: n If you’re moving home, contact us as soon as possible with details of the landlord or new owner and your new address and moving date
In certain circumstances, properties are exempt from council tax, for example where all occupiers are full time students or a property is unoccupied because the person responsible for council tax lives in a care home. For further information regarding exemptions, please visit: www.southwark.gov.uk/Ctaxexemptions
n If the property becomes unoccupied and substantially unfurnished
Can I claim disabled relief?
To report a change in circumstances, please visit: www.southwark.gov.uk/changeincircumstance
If your home has been adapted to meet the needs of a disabled person, you may qualify for a reduction in your council tax. For further information (including all circumstances in which a discount applies) and to apply for an exemption, discount or reduction, please visit: http://www.southwark.gov.uk/Ctaxdisabledrelief
n If you are claiming an exemption (e.g. because your property is unoccupied), you must inform us when someone moves in
Failure to tell us within 21 days of any change in circumstances that could affect your liability to pay council tax or your entitlement to a reduction can lead to a minimum penalty of ÂŁ70 or a prosecution.
Southwark foster carers
Approved Southwark residents fostering Southwark children can claim 100% relief on their council tax this year. Please visit: www.southwark.gov.uk/fostering
Valuations Your council tax charge is calculated using the banding provided by the Valuation Office Agency (VOA). If you think this is incorrect and you would like further information, please contact: 03000 501 501 ctsouth@voa.gsi.gov.uk www.voa.gov.uk
Have your say on important local decisions and find out what is going on in your neighbourhood. Your community council online forum is a great way to keep up with what is happening locally. https://forums.southwark.gov.uk
Council tax reduction scheme If you are on a low income, you might be entitled to some help towards paying your council tax. You may be entitled to a council tax reduction. Reductions are based on: n Your council tax bill n Your personal circumstances and those of your partner n The income of any other adults in your household More information can be found at: www.southwark.gov.uk/benefits If you are receiving housing benefit or Universal Credit and would like to make a claim for council tax reduction, you may complete a shortened form at: www.southwark.gov.uk/CTRform If you would like to make a claim for council tax reduction, you can do so online at: www.southwark.gov.uk/Ctaxhousingbenefit
16
17
You can get further advice and information about welfare benefits from the following sources:
Paying your bill
Southwark Citizens Advice Bureau (CAB) 0344 499 4134 www.southwarkcabservice.org.uk
Your council tax pays for the services you value. From collecting your rubbish, providing care for older people and children, to libraries, parks, leisure centres and playgrounds.
Advising London 020 3752 5520 www.advising.london
The simplest and most convenient way to pay your council tax is by direct debit. For more information and to set up a direct debit, please visit: www.southwark.gov.uk/CTDDform
Drop in council tax debt advice clinic
First Tuesday of the month 5pm to 7pm at Bermondsey CAB, 8 Market Place, Southwark Park Road, London SE16 3UQ. Other useful sources of welfare benefits and money advice and information can be accessed from the following websites: www.southwarkadvice.org.uk and www.moneyadviceservice.org.uk
Extra help with benefits
The Southwark Local Support Team provides support to vulnerable residents in Southwark, including those who are experiencing severe financial hardship and have seen their benefits reduced as a result of recent welfare changes.
If you’re having trouble paying your council tax bill get in touch to find out what advice and support is available to you. The council tax team can work out a repayment plan for you and find out if you are entitled to a discount, exemption, or reduction. We can also help you with your application for the council tax reduction scheme. If you do not pay The council is responsible for ensuring it collects all council tax that is due. If you do not pay your council tax, it will impact on all residents in the borough who use valued council services. The council will take all appropriate action to recover what is due. This can ultimately lead to prosecution and committal to prison. Payment You can make a payment by visiting: www.southwark.gov.uk/payforit or call our 24 hour automated payment line on 0845 600 0611
The Southwark Local Support Team can: n Check that you are receiving all the benefits that you and your household are entitled to n Help you complete application forms for benefit n Provide emergency support to customers in an emergency, crisis or in financial hardship If you are over 60, housebound or have a vulnerable adult or child in your household and would like more information, please contact the team: 020 7525 7434 localsupport@southwark.gov.uk www.southwark.gov.uk/localsupport
Appeals If you feel that you are not liable to pay council tax, or you believe that we have made a mistake in calculating your bill, you must contact us first, so we can consider your case.
If you would like to know more about the appeals procedure, including the use of valuation tribunals, please visit: http://www.southwark.gov.uk/Ctaxappeals
BE IN CONTROL OF YOUR COUNCIL TAX
SWITCH TO DIRECT DEBIT and win ÂŁ10,000 in our prize draw
PEACE OF MIND GUARANTEED
For more information, to view the Prize Draw terms and conditions, and the Direct Debit Guarantee, look out for details in your council tax bill or visit: www.directdebit.co.uk/londoncounciltax
PARTICIPATING LONDON COUNCILS Barnet, Brent, City of Westminster, Islington, Kensington & Chelsea, Lewisham, Southwark and Tower Hamlets.