South Holland District Council receives £335k from Government to go towards the costs of Internal Drainage Boards as Lincolnshire authorities get share of cash pot

Finance chiefs say a new government grant will offer welcome relief — but warned it will only go part way towards the annual £3.5 million internal drainage boards bill.

South Holland District Council (SHDC) leaders are pleased that the Government has finally coughed up a grant of £335,000 to go towards the rising costs of ensuring that this area remains flood free to produce much of the nation’s food - almost nine months after it was promised by the previous Conservative administration.

The council’s deputy leader, Coun Paul Redgate, has been heading a special interest group of affected authorities which has called on the Government to find a fairer funding solution for internal drainage boards (IDB) for some time - and has previously warned that ‘tough decisions’ were ahead on services if no change is made.

IDBs carry out vital work in reducing flood risk and maintaining water levels, but their levies have reached unprecedented levels — and these are paid for by affected local authorities, meaning the burden falls on ratepayers in areas such as south Lincolnshire, despite the benefit being felt much further afield.

While the latest grant is welcome, the SHDC’s budgets remain under pressure — and leaders are now developing a plan to find £441,000 worth of savings and efficiencies. It also forecast a £67,000 deficit for the current financial year.

A council spokesman said: “The council has actively lobbied as part of a Local Government Association Special Interest Group to secure funding from the government to support what is a £646,000 pressure from recent significant IDB levy increases.

“Whilst the £335,000 contribution from Government is very welcome this only goes some of the way towards this pressure and has left the council with no choice but to identify a savings and efficiency programme to balance its budget to fund the remainder of this pressure for which it has no funding.

“To set this in context the council currently provides almost £3.5million of funding to Internal Drainage Boards each year through a special levy which the council cannot control. When this bill is increased the council has no choice but to fund it.

“This grant (now in its second year) was provided by government to help alleviate that pressure in-year following significant recent levy rises.

“We fully support the important work of the drainage boards and along with 32 other councils we continue to lobby Government for a long term funding solution that removes the cost of drainage boards from the council’s budget.”

The Government announced earlier this month that it would be distributing almost £3 million of ‘additional and exceptional funding’ between 15 authorities which have been most affected by the rise in IDB levies.

South Holland was one of the highest amounts distributed behind East Lindsey (£834,000) and Boston (£431,000).

Other Lincolnshire councils received a total of £401,000: Lincoln, £173,000; North Kesteven, £146,000; South Kesteven, £50,000; and West Lindsey, £32,000.

Nearby Fenland was allocated £213,000 with King’s Lynn and West Norfolk got £254,000 and Newark and Sherwood received £119,000.

MP for South Holland and the Deepings Sir John Hayes said he was going to investigate why the money which had been promised by Michael Gove in January never appeared. Former minister Simon Hall had previously promised him that the area was getting a share.

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