Merseyside Police and Crime Commissioner

The Merseyside Police and Crime Commissioner (MPCC) has a statutory duty to ensure an efficient and effective police service is delivered by the Chief Constable on behalf of the public. Similarly I have a responsibility to produce an annual budget, including setting the council tax precept requirement for the police service on Merseyside. The council tax precept requirement provides the balance of funding not covered by government grant and is raised entirely and only for the police service.

The Government have given Merseyside Police more grant funding in 2019/20, but this is only enough to cover the costs associated with an unexpected national increase in Police Officer pensions employer contributions. Unfortunately, the Government have not provided any new money to cover the day to day running costs of the police service. They have recognised the need for additional resources for policing but again made it clear that local people should be asked to contribute more through the precept. I therefore had no choice other than to ask the public to support an increase in the police precept. I am pleased that over 74% of those who responded to my budget consultation did so.

Consequently, with the help of the Chief Constable I have been able to set a balanced budget for 2019/20. In doing so I have raised the precept by the maximum allowable, resulting in an additional £9.9m of precept income. In council tax terms the new precept is £134.65 per property per year at Band A (the majority of taxpayers on Merseyside) and £201.97 at Band D, an increase of £16.00 and £24.00 respectively on the 2018/19 levels. Maximising the precept has not only helped me balance the budget, but it has also provided an opportunity for the Chief Constable to recruit an additional 40 Police Officers and provide some stability to the Force over the next couple of years.

As part of the budget I have also allowed the Chief Constable to reinvest savings from the Community First Programme approved during 2018/19 to recruit an additional 40 Police Officers and 14 Police Staff in 2019/20, as well as save 40 Police Officer posts that were due to be lost. The Chief Constable intends to reinvest in priority areas to enhance the Force’s operational capability.  

Despite balancing the budget in 2019/20 there still remains a very significant financial and policing challenge for the police service in the years ahead.  Consequently, I will continue to work closely with the Chief Constable to review activity across all areas of police business, ensuring Merseyside has the most resilient and effective force possible with the budget available to us.

Rt Hon Jane Kennedy
Police and Crime Commissioner for Merseyside

Police and Crime Commissioner Budget

2018/19    2019/20  
£m   £m  
320.544 Gross Expenditure  336.448   
       
(2.655) Income (2.600)   
(4.637) Specific Government Grants (4.153)  
       
313.252 Net Operating Expenditure 329.695   
(0.150)     Contribution to/(from) Reserves         1.660  
       
313.102 Net Budget Requirement  331.355  
       
(120.756) Less: Police General Grant  (123.383) 37.2%
(111.263) DCLG Formula Funding  (113.509) 34.3%
0.000 Pensions Grant (3.570) 1.1%
(14.103) Local Council Tax Support Grant (14.103) 4.2%
(1.538) Legacy Council Tax Freeze Grant (1.538) 0.5%
(0.479) Collection Fund Surplus (0.387) 0.1%
       
64.963 Council Tax Requirement 74.865 22.6%
       
365,022 Tax Base 370,674  
£177.97 Band D Equivalent  £201.97  
£12.00 Increase in Band D Equivalent £24.00 13.5%

Why Has the Gross Expenditure Changed?

  £m
Gross Expenditure 2018/19 320.544
Net Committed Growth/(Savings) (7.347)
Increase in Police Officer Pensions Employer Contributions 8.138
Recruitment of 40 Additional Police Officers (Precept) 1.823
Recruitment of 80 Additional Police Officers and 14 Police Staff (Reinvestment) 4.177
Removal of Previous Years One-off Commitments (1.785)
One-off Commitments for 2019/20 1.787
None Achievement of Savings in 2018/19 0.940
Allowance for Pay and Price Inflation 6.511
Net Contribution to Earmarked Reserves 1.660
Gross Expenditure 2019/20 336.448

Why has the Council Tax Requirement Changed?

  £m
Council Tax Requirement 2018/19 64.963
Increase in Tax base 1.006
Increase in Band D Equivalent 8.896
Council Tax Requirement 2019/20 74.865

Last Updated on 06 March 2019