A Walsall councillor has issued a stark warning to residents to prepare for significant service cuts and further council tax increases in the coming years. Councillor Pete Smith, representing Blakenall ward, highlighted a troubling disparity: a single occupant in a £2.5 million London home may end up paying less council tax than a family of three living in a modest one-bedroom flat in Walsall.
This revelation surfaced as councillors voted to approve a 4.99% council tax increase for the 2026/27 financial year during a session on February 26. The budget, crafted by the ruling Conservative group, was presented to the full council for approval. Notably, nearly a quarter of councillors were absent during the vote.
During the meeting, six amendments addressing housing, fly-tipping vehicle usage, and bereavement service changes were debated. However, in an unprecedented decision, the council did not allow a full debate on the overall budget before the final vote. Councillor Smith was the sole member to oppose the budget, condemning the lack of comprehensive discussion as a “disgrace.”
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Smith expressed frustration over procedural decisions, stating: “For the first time in my memory, members were denied the opportunity to debate the budget proposals. Minor amendments were voted on, and then the budget was passed without proper scrutiny—a disgrace. This has not happened since at least 1983.”
He also hinted that some issues avoided during the session could have been politically embarrassing. Smith intended to raise concerns about council tax arrears, recently revealed to amount to nearly £30 million accumulated since March 2020. The highest arrears were concentrated in the borough’s most socioeconomically deprived wards: St Matthew’s, Birchills-Leamore, Blakenall, Willenhall South, and Pleck. Conversely, more affluent wards like Streetly, Pheasey Park Farm, and Aldridge exhibited much lower arrears.
Smith criticized the plan for a tax increase double the current inflation rate, arguing it would neither recover existing arrears nor ease the burden on families already struggling. “This situation raises fairness issues for residents who have consistently paid their council tax on time,” Smith commented. He further condemned the disconnect between rising taxes and declining service quality, referencing litter-filled streets and reliance on volunteer cleanup efforts.
“This broken link between taxation and public services is fueling resident dissatisfaction and undermining local democracy,” Smith added. “If I had supported this tax hike, my constituents would never forgive me. I urge people to prepare for another £50 million in cuts and further council tax hikes.”
Meanwhile, council leader Councillor Mike Bird pointed to a flawed national funding system that disadvantages poorer areas. “Councils in less affluent regions are forced to levy higher council taxes for fewer resources—not due to local failure, but because of an unfair settlement and tax system,” Bird explained. He emphasized the council’s efforts to maintain services despite these challenges.
Bird also highlighted outdated public health funding formulas that exacerbate Walsall’s financial difficulties. “Our local analysis shows Walsall receives the lowest per capita allocation in the Black Country and among councils with similar deprivation levels nationwide, forcing us to rely increasingly on council tax increases to balance the budget,” he said.