WEST Devon Borough Council is freezing its portion of the council tax for the next financial year.

The zero % council tax increase for 2011/12 means residents in an average band D property will continue to pay £192.15 for borough council services — a weekly cost of £3.70.

Councillors have also decided not to take an increase in their allowances, saving £6,000.

The decision to freeze council tax was agreed by the council at its meeting last week.

Cllr Mrs Margaret Garton, chairman of the council's strategies and resources committee, said: 'At a time when household budgets are already squeezed, I am pleased that the council has been able to make things a little easier for residents by setting a budget that maintains our services but freezes council tax levels.

'The reduced grant allocated to us has been a challenge. However, this is a budget that is designed to help our residents and businesses during these hard times. It is a budget for stability.'

But Cllr Garton emphasised that while the borough council's portion of the council tax will be frozen for the next financial year, some residents may see their bills increase if other public sector bodies, including town and parish councils, decide to increase their share of the council tax bill.

The council has made budget savings of more than £600,000 from its current £8.6-million net budget. Over the next year, further savings are expected as more services are shared between the borough council and South Hams District Council.

The council says it has also been able to make savings through new contracts, particularly its new waste management agreement which has saved £1.7-million over the lifetime of the seven-year contract.

Despite the squeeze on finances, the council is continuing to give grants to many voluntary sector organisations. West Devon Citizens Advice Bureau will receive £31,620 to help meet the needs of local people affected by the economic downturn.

The council will also continue to support the Villages in Action initiative with an £8,250 grant. It will also maintain its grant of £8,500 to the West Devon Community and Voluntary Services and will contribute £5,000 for Domestic Violence work.

The authority will continue to support and host the Active Villages and Walk and Talk projects.

In addition, the council will spend money on a wide range of capital projects.

This includes £290,000 on grants to adapt homes to enable disabled people to live independently and £76,000 on village hall and community project grants will also be available.

The council will also have enabled 177 affordable homes this year – more than before, totalling 503 delivered over the last four years.

The authority is also continuing with its rural outreach initiative, West Devon Connect, which takes its services out into towns, villages and rural communities to ensure its residents receive assistance.

The council has a package of measures to help small firms through these uncertain times with, for example, hardship relief assistance, rural rate relief and small business rates relief.