Rugby residents will see a rise in their Council Tax bills for 2025-26 - but councillors claim their 'new approach to spending' will make it worthwhile.

Rugby Borough Council is proposing to raise its portion of the council tax by 2.99 per cent, which is £6.49 per year for a Band D property. The authority will also look to make £217,000 worth of 'corporate' cuts in the council over the 2025/26 financial year.

But councillors in charge of the council said the funding will deliver 'a healthier, greener and fairer Rugby'.

They said £1.3million will be spent on initiatives for 'sustainable economic growth in the borough alongside reducing inequality'.

If approved, the budget will earmark £300,000 towards a 'community supermarket' to help with the cost of living crisis, as well as £300,000 for property flood protection grants, following increased incidents of property flooding in some vulnerable areas of the borough.

A further £250,000 will be invested into developing facilities in communities, for example improved community health and wellbeing hub at the changing rooms on GEC Recreation Ground. And £200,000 will be spent on initiatives that focus on health prevention initiatives, plus £100,000 in grants that help local communities adapt to climate change.

The council also hopes to spend £100,000 on 'enhanced customer access' at the town hall, plus £100,000 to progress a feasibility study for a new Community Centre in Coton Park.

In addition, the new annual budget includes a new Reserves Policy to ensure that much-needed regeneration of Rugby Town Centre, amongst other significant projects, can finally progress.

In June 2024, Rugby Labour formed a new administration to lead the council as part of a Confidence and Supply Agreement with the Liberal Democrat group. Central to that agreement was a joint corporate strategy and a joint budget. Recent months have seen the two groups work with senior officers and a new acting chief executive to review council operations and expenditure plans, and together they have formed the budget for 2025-26, which will be implemented if approved by the Full Council on February 13.

Cllr Michael Moran, leader of Rugby Borough Council, said: “After many years of repeating the same approach, this year we are making a clear break from the past and ensuring that the council resources its services adequately so that it can perform better and do the job its residents and businesses expect.

"Moreover, this is being done without any dramatic increase in Council Tax or external borrowing.

"This budget ensures real investment into both front line services as well as preparing a platform for delivering on plans to regenerate the town centre and other long-held projects”

Cllr Jerry Roodhouse, leader of the Liberal Democrat Group, said: “The budget this year fully supports a new way of working for residents in the borough. The drive is to ensure we deliver improved services and invest for the future.

"I along with my fellow Councillors are committed to this new progressive way of working and will also be focusing on regeneration of Rugby. The talking has to stop and we need to get on and deliver.”