'Vulnerable and unsustainable' finances are behind a council's proposals for a maximum Council Tax increase.

On Friday next week, members of Babergh's cabinet are due to meet to discuss proposals for next year's budget.

The council report highlights a tough financial position, described as 'vulnerable and unsustainable', with a predicted budget gap for the next six years valued at £10.86 million.

It states: "The range of the council's services, size, and complexity coupled with a very challenging resources envelope has meant that the budget-setting process has once again proved incredibly difficult.

"Significant savings and/or increases in income will need to be identified in the years to come in order to balance the budget as there are insufficient uncommitted reserves to fund the forecast deficits."

Among the proposals is an increase in Council Tax by the maximum allowed, at 2.99 per cent — equivalent to increasing a Band D property's tax bill from £188.10 to £193.73, or 11p a week.

Alongside this, the council will aim to deliver £2.55 million in savings over the next financial year.

Cllr John Ward, the authority's lead for finance, said: "Babergh continues to deliver excellent value for money, providing vital services that people rely on.

"However, like many councils, the severity of our financial position cannot be underestimated. We are a well-run organisation, have already made savings and efficiencies, and have identified even more in this budget."

Some of these include £403,000 in unfilled vacancies and other staff savings amounting to £313,000 as well as cost efficiencies amounting to around £277,000.

The council will also be carrying out the increases in fees and charges agreed to last month by cabinet members.

The biggest of these fee increases was in car parking, with a £953,000 expected income increase.

Council papers state the authority considered a range of measures to address its financial position, including dissolving the council altogether and replacing it with a single district council covering Babergh and Mid Suffolk, although this was later abandoned.

A recent report from the Local Government Association warned one in four English councils were likely for emergency Government bailouts to stave off bankruptcy over the next two financial years — Babergh expects to run out of uncommitted reserves if used at their current rate by the 2028/29 financial year.

Cllr Ward added: "Even with our proportionate, balanced approach to protect our services, incredibly difficult decisions will have to be made unless the Government fixes the funding system for local authorities."

Even if approved on Friday, proposals could still change ahead of the full council decision in February depending on the Government's financial settlement for the next financial year, usually announced around Christmas time.