RESIDENTS in Newtown are facing an eye-watering 18.1 per-cent hike to their Council Tax precept from April.

On Monday night Newtown and Llanllwchairarn Town Council approved the budget which will see the precept rate rise from £126.68 to £149.62 a year.

But councillors said that this was to make up for years of budget freezes and to build the reserves back up, something auditors had told them to do.

For the 2018-19 budget the Newtown Council expect to receive £645,474, which is £100,000 more than the £545, 273 that they received in 2017/18.

Cllr David Selby, chairman of the resources committee, said that this was a budget of consolidation, but also time for investment in the town.

“We need to replenish the reserves which is prudent.

“We need to have £50,000 for emergencies and to build a reserve for future years, this will put us in a good position for future years,” said Cllr Selby. “Extra investment in the town is vital.” , now that the new road is newly completed we need to give people a reason to stop off here.

“This town will look after it’s own park again, £10 on the Council Tax to pay for that is an investment.

“As a politician I should be embarrassed about asking for extra money. but we are offering something back and I hope in five or 10 years time if all works well there will be major developments in the town.”

Cllr John Barker, said: “We are now catching up, due to freezes in the past, we have a budget that allows the council to provide something extra for the town.”

Newtown Mayor, Cllr Sue Newham, said: “The budget process seemed a huge task which has been dealt with very calmly and pleasantly.”