NORTH Ayrshire council tax payers are set to see their bills rise by three per cent from April as the local authority seeks to bridge a near-£5 million funding gap.

Councillors will meet next week to set the 2022/23 budget and although the new council tax rate is still to be agreed by elected members, it is currently recommended that it should increase by three per cent from April 1.

That will be equivalent to around £40 extra over the course of the next year for those in the lowest tax bands.

Council tax rates were frozen last year and North Ayrshire Council (NAC) said the proposed rise is "well below the current rate of inflation".

A NAC statement added: "Significant efforts have been made to keep any increase as low as possible but the money raised from council tax will be crucial in helping to bridge the funding gap of £4.5million for this year alone.

"Any increase lower than three per cent will also have a significant knock-on effect for services in the years to come.

"For example, no increase in 2022/23 would require a 6.75 per cent increase in 2023/24 to recover the lost income from 2022/23 and would still leave a funding gap of £10.729m.

"Over the past 12 years, North Ayrshire Council has had to cut more than £118m from its budget and the money raised from council tax is key to the council delivering a balanced budget and maintaining frontline services."

The council said it has "not been immune" to the financial fallout from the Covid pandemic and it has proposed the setting up of a community-based energy support scheme to help those faced by the current cost-of-living crisis. More than £1.7 million will be provided through grants and advice to residents.

Council fees and charges are also proposed to be frozen at the 2021/22 rate for the second year in a row, while a further £1 million will be invested into improving roads in the region over the next 12 months.

The council said the upcoming budget - worth approximately £381 million - will also reinforce its "commitment to net-zero carbon emissions".

Additional resources will also go towards projects such as:

  • An i3 solar and wind technology business case development to maximise the renewable energy potential at the Irvine site
  • Expansion of EV charging infrastructure across new locations
  • Delivery of a battery storage pilot to test current available technology and to learn key lessons to benefit future renewable developments
  • Progression of a range of energy efficiency improvements across the non-domestic estate including solar PV and LED lighting.

North Ayrshire Council will meet at 2pm on Wednesday, March 2, to consider the 2022/23 budget; the meeting will be available to view live online at north-ayrshire.public-i.tv/.