'Ridiculous': Councillor hits out at the budget for her Shropshire town authority

A Ludlow councillor has labelled the town council’s budget as “ridiculous” after questiioning why it would take money from its reserves.

Last year, the Ludlow Town Council precept (the contribution received from council tax) was increased by 9.8 per cent, which saw an annual increase of £22.75 for residents living in a band D property.

For the current year, 2025/26, the council says it has looked at ways to increase income as well as reducing expenditure.

This, it says, has resulted in increasing its annual income from interest by £25,000. Therefore, the town council will not be increasing its precept of £946,655. That is in contrast to the majority of town councils in Shropshire, with some vastly increasing their contributions.

However, while most members were happy to approve the precept – as well as the budget of £1,295,579 – Councillor Viv Parry said she was “astounded” that it would mean that the town council “would be short of £35,000.”

“Too many things are being taken out of reserves now,” she said.

“This council always looked after our reserves. Everybody knows that you’ve got money there in case something comes in unexpectedly. I honestly think it is stupid to take a lot of reserves away and not have something there to rely on.”

Directing her anger at Councillor Matthew Taylor, who is the chair of the town council’s budget task and finish group, Cllr Parry added: “I always had money in a pot that I could rely on, and you are getting rid of that. I’m sorry but I don’t want to be part of that. I really think you are just being a little bit ridiculous.

“To take money away to pay for something else – you are moving things around. I don’t care if you don’t like it, I am telling you, you are doing the wrong thing. Eventually, you will end up having to spend more money to get money, and you can’t do that. It’s not your money, it belongs to the people of this town.”

Councillor Glenn Ginger also questioned why the council couldn’t at least raise the precept by the rate of inflation, and decided to abstain when voting whether to approve it.

Cllr Taylor, however, was adament that there was no need to when you look at the budget “on a line by line basis.”

“We are more efficient in our investment policy that is generating more income, and the council has already agreed to put up market rents in the budget,” said Cllr Taylor.

“Certain costs have reduced. We are continuing to build contingencies to the tune of £200,000, which is an increase in the current financial year.

“We are still increasing reserves while meeting all out of our costs.”

Councillor Pete Addis said that it is his understanding that the money can be moved into a high interest account. He added that the council also does not know what devolution will involve yet if it takes on any services from Shropshire Council.

“You can’t plan for the unknown,” said Cllr Addis.