London City councillors approved an update to the 2020-2023 multi-year budget Tuesday night, resulting in a 3.4 per cent tax levy for 2021.
The tax levy for this year was originally slated for a 4.4 per cent increase, but because of investment deferrals due to the COVID-19 pandemic, there was a one per cent reduction.
“Although the 2021 tax levy has seen a significant reduction, it is important for Londoners to know that the biggest budget amendments influencing this reduction are one-time deferrals,” said Anna Lisa Barbon, the city’s CFO said in a statement.
“City Council and Civic Administration are committed to the previously approved investments through the multi-year budget and will see these projects move forward, barring any additional impacts from COVID-19.”
The budget impact of the pandemic will also see a reduction to the overall average tax levy for the duration of the multi-year budget, from 3.9 per cent to 3.8 per cent.
The annual average tax increase translates to about $114 a year for the average residential property with an assessed value of $241,000 in 2019. The assessed value of a residence is not the same as the real estate value.
For more information on the city’s multi-year budget, visit their website.