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Islington Tribune - by ROISIN GADELRAB
Published: 27 February 2009
 
ELDERLY GET A TAX REBATE, AS KIDS EAT FREE

MIDNIGHT SPECIAL: Shock power shift as Labour hijack budget

THERE were tears and angry scenes at the town hall last night (Thursday) as Labour wrested control of the budget from the ruling Lib Dems.
In an unprecedented night of drama, Labour forced through their motion for free school meals for primary school children and a £100 rebate for pensioners – as well as a 2.5 per cent rise in council tax.
The Lib Dems had hoped to join forces in an 11th-hour deal with lone Green councillor Katie Dawson, which would have involved abandoning their promised council tax freeze.
But due to the sudden illness of Lib Dem councillor Donna Boffa, who was rushed to hospital early yesterday morning and kept in, the Lib Dem and Green “coalition” could not go ahead.
Lib Dem leader Cllr James Kempton vowed to “call in” the budget, but was forced to concede defeat after a three-hour debate, allowing Labour’s budget to stand.
Labour’s budget calls for a 2.5 per cent tax increase, which will help fund a £3million scheme for free school meals for all primary school children and the £100 elderly person’s tax rebate.
Cllr Kempton said: “This is not the best outcome for Islington. Labour have taken advantage of an emergency hospitalisation to win a vote that they weren’t expecting to win. It’s my intention to do all I can to reconvene the council when every elected councillor is present.”
The Lib Dem majority planned to defer the decision for discussion by the ruling executive committee.
They hoped their original motion linked to the deal with Cllr Dawson would then go before a further council meeting for approval.
But after a heated debate, Labour won their budget motion by two votes – 24 for Labour, 22 for the Lib Dems, and Cllr Dawson abstained.
As a result of Labour’s victory it was also agreed that annual allowances for senior councillors would be reduced by £127,000.
After Cllr Kempton announced his intention to “call in” Labour’s motion, an angry Labour group moved a motion of no confidence in his leadership or in finance chief John Gilbert. It was dismissed after falling two short of the 25 votes necessary to carry it through.
At this stage, the marathon meeting broke up as Labour consulted lawyers and the Lib Dems retreated to their offices and refused to return to the chamber.
Labour were insistent that if necessary they would, as a majority, change the constitution to allow the budget motion to stand. But the Lib Dems stayed away thus making the meeting inquorate and blocking any moves to change the constitution.
After 45 minutes a defeated Cllr Kempton returned to the meeting and announced he would not allow the executive to “call in” the budget.
During the exchanges, Labour leader Cllr Catherine West said: “The Lib Dem budget would have held on to record salaries, wasteful spending and glossy PR. The Lib Dems are a failing administration. Their budget is more about saving their jobs rather than helping residents in tough times.”
Labour’s top guns also turned up to offer support. Both MPs Jeremy Corbyn and Emily Thornberry attended as did London Assembly member Jeanette Arnold.
Lib Dems’ John Gilbert said: “If Labour get their way we will suffer a 2.5 per cent rise in council tax. There will be free school meals for the children of London Mayor Boris Johnson. This shows Labour’s true colours.”
Lib Dem Greg Foxsmith accused Labour of turning the clock back to the days of high tax and no substance
He said: “This shadow administration couldn’t run a tap-room, let alone a council.”
Labour councillor Richard Watts said: “We want free school diners for our children, not a dog’s dinner from this administration.”
Cllr Andrew Cornwall said he supported the Labour budget because of its “sustainable and environmental policies” and the £100 tax rebate.
Green councillor Katie Dawson added: “I’ve become increasingly nervous about how the free school meals will be funded.
“I’ve agonised over this and taken professional advice and remain unconvinced that going into a recession it is wise to empty all the coffers of the council.”

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