Dudley Council told to consider council tax rise
Dudley Council could have to raise council tax more than planned in order to improve its financial position.
Bosses have been told they should consider increasing rates to bring more money into the authority amid concerns over its accounts.
Dudley has had one of the lowest council tax rates in the West Midlands in recent years but auditors say it may be time for a change in policy following a review of the books.
Leaders in Dudley have been keen to strike the balance between keeping council tax as low as possible and ensuring enough money is coming in to protect frontline services. They reluctantly put rates up by 4.5 per cent in April but the figure remained lower than many neighbouring authorities.
The uncertain position about the future leadership of the authority could also be another factor. Labour are poised to snatch control of the council in the autumn after the defection of Tory councillor... Labour group leader Pete Lowe has previously said increasing council tax could be necessary to bring more money in.
Auditors Grant Thornton said the council had taken action to improve its financial position but there were still areas of concern.
A report on its findings said: "The better than expected 2017/18 outturn position has improved the financial reslience of the council. There are however continuing risks that threaten the council's financial position.
"In our view it is now an appropriate time to give attention to ways that it can grow its income base, both through careful consideration of the level of council tax increases and income generation opportunities."