Council tax is likely to be hiked by about three per cent for Elmbridge residents after the share that Surrey County Council, Elmbridge Council and Surrey Police receive from rates was increased this week.

But the share Surrey County Council will take from the area’s council tax pot will be increased by nearly four per cent, despite a new £24m transitional relief fund being given to the county over the next two years.

The transitional funds given to Surrey were the highest in the country. The majority of a £300m relief fund went to Conservative councils around the country, according to a Labour analysis.

The news was announced by Surrey leader David Hodge during a full council meeting on Tuesday, where he said the authority would receive a transitional grant of £11.9m this year and £12.2m for 2017-18 after a “turbulent few months for local government”.

He said: “The good news is that the offer to local government as a whole and Surrey specifically has improved.

“While the transition grant for Surrey is welcome it is not as much as we had hoped for and will still place a strain on services.

“The budget we are proposing includes a recommendation that council tax be increased by 3.99 per cent.”

The news also comes as revenue support grants that councils rely on to pay for services were finalised on Tuesday, with Surrey set to suffer a drop in government funding of some £49m.

An additional two per cent social care precept within council tax has been added without the need for a referendum.

Chancellor George Osbourne announced the precept in his autumn statement after councils lobbied for more funding for their rising elderly populations.

The measure will now mean an extra £12m can be raised to support adult social care services in the county.

However, Cllr Hodge added that the precept “would only help reduce the gap. It would not close it.”

In comparison, Elmbridge Council has managed to scrape back £256,000 more than its original, provisional settlement, which would have left it with just £670,000, compared with the £1.77m it received last year.

Although the borough will receive more funds from the government, Elmbridge will also break its council tax freeze which has been in place for the last seven out of nine years, by implementing a 1.95 per cent increase in how much it will receive from council tax income.

Cllr Tim Oliver, the anointed successor to John O’Reilly as leader of the council, said: “We’re probably going to be the lowest increase across Surrey, and our lobbying of the Secretary of State has paid off.”

Elmbridge rate-payers will see an estimated extra £3.80 tacked onto their bills to meet the rise.

Kevin Hurley, the police and crime commissioner for Surrey, also announced that Surrey Police would increase its share of council tax income, which is expected to haul in £3.3m.

Mr Hurley said: “This extra money, costing just £4.30 more per year for a Band D household, will ensure that Surrey Police have the tools they need.

“This enables us to continue improvements in the rapidly rising crime areas of domestic abuse, rape, child sexual exploitation and cybercrime.”

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