- International recession - Will hit everyone. But most of the funding for this Council comes from Government grant and the very stable Council Tax.
- Technical issues of tapering in central Government funding that penalise councils such as HDC - True and the action that was taken was to just fund this shortfall from reserves. This did not address the problem of less funding.
- The decision to use interest on the proceeds of the sale of council houses to subsidise Council Tax in the past - The problem was as the interest declined services should have been cut. Instead finite reserves we raided to prop up the deficit budget.
- Capping that meant the council could not implement a cross-party agreement on the level of Council Tax increases - The Conservatives boasted and celebrated the low Council Tax rates in Huntingdonshire. The problem was they weren't reacting to events. It was easier to add to the deficit financed by finite reserves that tackle the funding shortfall.
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What I don't understand is the Liberal Democrat position. The Conservatives got this Council into this mess and the Liberal Democrats want to help the Conservatives out. Mentioning the cross-party agreement seems to me to shift the blame from the Conservatives to the Labour Government. It is the Conservatives who are in charge of this mess. As the opposition the Liberal Democrats must point out where the Conservatives have gone wrong rather than helping them out!
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