The creation of a new public square at Stenson House on London Road in Coalville - following the demolition of the former council office building - is part of a proposed £2million spend on regeneration framework projects in the town.

It would form part of the North West Leicestershire District Council's budget, which is set to see the first council tax increase - 2.75 per cent - in 15 years.

But local residents have been assured that the council "is not about to go bankrupt anytime soon" and is a "world away" from that.

Members of the public are being asked for their views on the council's draft budget proposals following Tuesday night's Cabinet meeting.

It includes investment in buildings and infrastructure across the district using one-off reserves and government grants totalling more than £4 million.

A council tax rise of 2.75 per cent has been proposed. Photo: Dreamstime.com

As part of this, there is over £2 million for Coalville projects, including work already underway at the Marlborough Centre on Belvoir Road, as well as the Stenson House development.

The council says that fees the authority charges for some of its services are proposed to increase, and it is proposed that the former Council Offices building will be demolished to free the land up, giving the council an income from its sale.

Members of the public can give their feedback until Tuesday, January 23, HERE.

Hard copies of the consultation are available on request.

The council says that, from its total £18.4 million budget - not including housing, which is funded through rental income - the council is predicting annual shortfalls in its budget rising to £2 million in 2028/29.

The report to Cabinet details the financial pressures being felt by the council and local authorities across the country, brought about largely by inflation and the increasing cost of providing services at a time when demand is particularly high.

In addition, the council adds that uncertainty around funding for its services comes from an impending Government decision on business rates.

The council says it currently receives the highest income through business rates of any district authority country-wide.

But it claims a redistribution of this funding by the Government in future years could see a cut to this key income, putting additional pressure on its services.

It means the council is predicting a gap in its budget in future years.

The proposed council tax increase is predicted to see most households in North West Leicestershire paying an extra £4.36 a year or less for district council services, including waste collection, street cleaning, parks and leisure.

This change in approach would allow increased income from council tax year on year, which would support efforts to close the funding gap, the council says.

The budget proposals include an increase in fees and charges of seven per cent for most areas, including:

• Trade refuse collections would go up by between 65p and £1.40 per collection, depending on the size of bin
• 3G pitch hire would go up by between 60p and £2.25, depending on the type of group booking the facility

The include over £4 million in reserves or grant funding allocated to fund a list of one-off investment in projects across the district, including:

• Over £2 million for regeneration framework projects in Coalville, including work already underway at the Marlborough Centre on Belvoir Road and the creation of a new public square at Stenson House on London Road
• £230,000 for phase 1 improvement work at Moira Furnace
• £200,000 to refurbish the roof at The Courtyard business unit in Coalville to extend the life of the building
• £150,000 to demolish the former Council Offices building, freeing up the land for sale
• £1.2 million in UK Shared Prosperity Fund government grant money invested across the district:
• - Moira Furnace – £300,000 (phase 2 improvement work)
• - Memorial Workspace, Coalville - £350,000 (creating a business workspace in an existing historic building)
• - National Forest - £171,000 (to support Heart of the National Forest initiatives)
• - Kegworth - £150,000 (creation of a 'quiet-way' – a lane specifically designed to encourage safe cycling and walking)

Most of these proposals will be subject to the development of full business cases, which will be presented to Cabinet or Council.

Budget options were seen formally by councillors at the Corporate Scrutiny Committee meeting last week, before Cabinet considered the draft budget on Tuesday, ahead of the public consultation.

Cabinet will consider the consultation responses on Tuesday, January 30, before a final decision on the budget is made by Council on February 22.

Cllr Nick Rushton says the budget has been balanced and council will not be going bankrupt 'anytime soon'

Councillor Nick Rushton, Corporate Portfolio Holder for North West Leicestershire District Council, said: "After years of good and sound financial management, we're pleased that we're able to balance the budget this year. 

"We will not be going bankrupt any time soon, I would like to reassure the public and staff that we are a world away from that point, despite significant pressures that are out of our control, from inflation, the cost of providing services and unknown changes to our income in the future. 

"The main money-saving changes we're proposing – namely an increase in our portion of the council tax bill and an increase in what we charge for some services – will go some way to closing the gap in our budget that we're predicting from next year. 

"At the same time, we're suggesting that one-off money we do have – from reserves and grant funding – is used to invest in our communities and services for future years.

"It's important that local people have their say on these proposals as how we spend our money affects people living and working in our district. I would encourage people to have a look at the paperwork detailing our proposals and take the time to give us feedback."