Wiltshire councillors discuss autumn budget set out by Rachel Reeves

Conservative leader Richard Clewer claimed that it is forecast to deliver “extremely anaemic growth” but with “some positives” from “a Wiltshire perspective”.

Chancellor Rachel Reeves has announced the budget will raise taxes by £40bn and continues to blame the Conservatives for leaving a "£22bn black hole" in the public finances.

READ MORE: What does the budget mean for me?

Chancellor of the Exchequer Rachel Reeves leaves 11 Downing Street with her ministerial red box. (Image: PA) Cllr Richard Clewer said: “In broad terms there are elements here that I think are good, the extra investment in education and SEND, for example. 

“There are other areas which worry me, the fact that the OBR have stated that disposable family income will be reduced by £300 through the increase of employers National Insurance is extremely concerning. 

“My greatest disappointment is that this was supposed to be a budget for growth yet is forecast to deliver what can only be described as at best, extremely anaemic growth.”

He noted that the cancellation of the A303 Stonehenge tunnel scheme was an example of a “lack of strategic thought” resulting in “wasting a huge amount of money”.

Labour has said the budget is designed to “fix the foundations of the economy and deliver change by protecting working people, fixing the NHS and rebuilding Britain”.

The party has also explained that the cancellation of the Stonehenge tunnel was to cope with an “identified £3.5 billion of unfunded pressures related to transport in 2024-25, and over £800 million unfunded capital commitments in 2025-26”.

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The budget includes an additional £1.3 billion of new grant funding for local authority services including at least £600 million in new grant funding for social care.

Cllr Clewer added: “From a Wiltshire perspective, there are some positives, the extra funding for adult social care is welcome, it is a sector that is really struggling and needs both extra funding and more importantly reform. 

“Equally the funding for SEND is welcome but doesn’t address the fundamental issues which also need reform. 

“Countering that is the impact of increases in the minimum wage and business National Insurance rates which will increase contract inflation and council costs putting more pressure on our budget.” 

According to Labour, this was “a difficult decision” made “to repair the public finances and help raise the revenue required to increase funding for public services”.

The budget reads: “To support small businesses with these changes, the government is increasing the Employment Allowance from £5,000 to £10,500 and removing the £100,000 threshold, expanding this to all eligible employers.

“This means that 865,000 employers will pay no NICs next year.”

Cllr Clewer also raised concerns about the changes to agricultural property relief, which Labour says will make the inheritance tax system “fairer”.

Cllr Clewer concluded that his biggest concern was the proposal to “rebalance” council funding in future years. 

He argued: “The idea of ‘reform’ being imposed from Central Government which would take councils tax from Wiltshire to give to Labour strongholds is abhorrent and I will resist it at every stage.”

The leader of the Liberal Democrats on Wiltshire Council, Ian Thorn, claimed: “The budget fails to recognise the enormous challenges facing local councils like Wiltshire.

“The result will be higher council tax and increases in the cost of services in many areas.

“Extra funding for roads and potholes is welcome but won’t touch the bottom in terms of the challenge that Wiltshire faces.

“Many councils are facing never ending increases in the cost of social care and the Budget does little to help.

“All in all, one out ten from local government.”

Over in Swindon, the Labour leader of the council Jim Robbins said the budget contained “a lot of positives, both for individuals and families and local government”.

He added: “At the Local Government Association conference last week it was clear that  Angela Rayner and Jim McMahon get it.

“They want to work with councils and not punish them.”