Latest figures from South Lakeland District Council show that the ‘cash-strapped’ authority has almost £7 million in unallocated reserves – equivalent to more than half its annual revenue budget.
Earlier this year, the authority blamed funding restraints for its decision to raise council tax to the maximum legal limit and claimed it would have to do the same for each of the next five years.
While sitting on reserves equivalent to more than half its total £13 million annual net revenue budget, a number of high-profile projects, awaiting council decisions, have been delayed:
- A public consultation on the future of the Lido in Grange-over-Sands ended in February 2017. Despite the length of time that has passed, the council has still to come forward with a plan for the local landmark.
- The council has also failed to come forward with firm proposals to reintroduce car parking on New Road in Kendal, which was closed at in September 2017 to widespread public outcry. The authority has spent more than £40,000 fencing-off and digging up the site but is still to decide on its future.
Councillor Ben Berry, said: “This year, South Lakeland’s Liberal Democrat District Council pleaded poverty when it put up council tax by the maximum legal limit.
“These figures show that far from being cash-strapped, the authority is sat on almost £7 million which has not been earmarked for any future projects.
“Councils should of course maintain a healthy cushion to balance the books, but the practise of stashing away more than half the council’s annual revenue budget is going too far at a time when significant projects are waiting months and months for a decision.”
In response to Freedom of Information request, South Lakeland District Council, provided the following information on allocated and earmarked reserves for 2017/18:
Overall reserves - £14,556,000
Earmarked reserved - £7,833,000
Unallocated reserves - £6,723,000