A recommendation to increase Council Tax in Lancashire by 3.99% is to be put to councillors at a meeting later this month.
Members of Lancashire County Council's cabinet agreed this afternoon to make the recommendation after hearing the increase would include a 2% rise for adult social care.
The final decision will be taken at a full council meeting on February 17th.
At this afternoon's meeting, cabinet members were told that the medium term financial forecast for the county council had improved since last year, but the authority still faced a financial deficit year on year.
County Councillor Alan Vincent, deputy leader of the council, said: "Deciding on any rise in Council Tax is always a very difficult decision.
"The cabinet has carefully considered the council's on-going financial situation, taking into account that like all councils we continue to face significant pressures and need to ensure we achieve a financially sustainable position.
"At the same time our priority is to continue to provide the best services possible for the people of Lancashire, particularly our older residents.
"After discussion it was decided to recommend to full council that this year's rise should be 3.99%, which importantly includes a 2% rise for adult social care, which will help ensure services for some of our most vulnerable residents are protected.’’
Latest figures show, subject to confirmation of final funding levels, a financial deficit of £21.690m is anticipated to be met from reserves in 2022/23, rather than the anticipated £30.470m. By 2024/25 the deficit is expected to be £42.830m rather than the £50.048m previously forecast.
The council is also forecast to hold £204.450m of uncommitted transitional reserve at the end of this financial year, which includes a forecast underspend of £23.46m for 2021/22.
Members heard this would be sufficient to meet the forecast gap for all of the years covered by the Medium-Term Financial Strategy, 2022/23 to 2024/25, but there is a clear intention to identify savings during 2022/23 to reduce the funding gap in future years.
Praise for Lancaster and Morecambe youngsters who took part in 'tongue movement' project
Clinic where students offer free legal advice to reopen at Lancaster University
Lines reopen after train derailment on Scotland-London line
Police arrest two and seize illegal bike in Morecambe
ITV commissions sixth series of Morecambe crime drama The Bay
E-bike shop moves from Lancaster to new Carnforth showroom
Lancaster workshop to tackle the issue of drink and needle spiking
Morecambe raw feeds shop up for three 'Animal Star' awards
Two new festivals proposed for Morecambe entertainment venue the Platform
Second day of disruption as work continues after train derails in Cumbria
Morecambe lifeboat crew’s swift response rescues swimmer ‘being swept dangerously out to sea’
'Street Meets' announced to answer your questions amid new wheelie bin roll-out
Campaign group welcomes new "life changing" bus service to Morecambe
Lancaster prison worker jailed for drug offences
Major disruption as train derails on West Coast Main Line
Talks begin for events to mark Eric Morecambe's 100th birthday
Lancaster music venue due to shut will now stay open "well into 2026"
Halloween What's On Guide
LISTEN: Launch of new group in Morecambe to help with gambling addiction
LISTEN: New centre for people with disabilities to open in historic Lancaster location
