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Hampshire County Council faces a £136M shortfall, must choose between a 14.99% tax hike or risking bankruptcy with a smaller increase.
Hampshire County Council faces a £136 million deficit and must choose between a 14.99% tax rise—requiring a May 7 referendum—or a 4.99% increase that would drain reserves and risk a Section 114 notice, a formal bankruptcy declaration.
The council was denied government approval to raise taxes above the referendum threshold.
Leaders say a tax hike is unavoidable despite cost-of-living pressures, criticizing the rejection of a phased approach.
A decision is expected by February 26.
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El consejo del condado de Hampshire se enfrenta a un déficit de 136 millones de libras, debe elegir entre un aumento de impuestos del 14,99% o arriesgarse a la bancarrota con un aumento menor.