Millions in Borrowing Unexplained as Executive Pay and Councillor Costs Surge at Folkestone & Hythe District Council

A quiet storm is brewing over three core issues at Folkestone & Hythe District Council: conflicting borrowing figures between the council and central government, executive pay rises of up to 71%, and a year-on-year increase in councillor allowances. Together, they paint a picture of a local authority whose internal financial narrative may not align with the one it’s telling the public—or Whitehall.

According to the Department for Levelling Up, Housing and Communities (DLUHC), the council reported £10 million in long-term borrowing and no short-term borrowing as of Q4 2024/25. But the council’s own draft 2024/25 Statement of Accounts says otherwise.

In note 27, the council lists £62.88 million in long-term borrowing, all with the Public Works Loan Board (PWLB), and no mention of any outstanding £10 million loan from other authorities—as recorded by DLUHC.

Even more puzzling is note 23, which shows that short-term borrowing totalled £45.46 million, including £38.24 million borrowed from other local authorities and £6.44 million from the PWLB. Yet in its official DLUHC returns, the council reported only £28.24 million in short-term borrowing.

This contradiction matters. DLUHC data is used by Parliament, auditors, and financial institutions to monitor the fiscal health of councils. If a council misreports—or inconsistently reports—its borrowing, someone isn’t watching the books properly.

Senior Officers See Pay Rise by up to 71% in Two Years—While Staff Get 2.5%

At the same time as borrowing figures are in dispute, the council’s executive pay has soared—far outstripping inflation, average public sector wage growth, and even the local government pay award of 2024/25 (a flat £1,290 plus 2.5% for most roles).

Here is a breakdown of 2024/25 senior officer pay:

These rises stand in stark contrast to the 2.5–4.8% increases awarded to most local government employees in 2024/25.

Councillor Allowances Also Rose—But More Modestly

Councillors also received higher pay, though through a more restrained and transparent route.

• The basic allowance rose from £5,727 in 2023/24 to £6,014.04 in 2024/25, a 5% increase, following an Independent Remuneration Panel (IRP) recommendation.

• Special Responsibility Allowances (SRAs) also rose for leadership roles.

Most members saw total annual increases between 5% and 19%, though the exact amount varied depending on portfolio and allowances.

Here are the most notable movements:

• The largest percentage increases went to:

  • Cllr Anita Jones, whose total rose by +108.9% from £6,901.70 to £14,415.22. This was because she became the Chair of the Council.

  • Cllr Adrian Lockwood, up +117%, from £6,591.66 to £14,305.63. This was because he became leader of the Labour Group after Cllr Connor McConville left and went independent.

The smallest percentage increases were:

• Cllr Tim Prater, with just +1.79%

• Cllr Jim Martin, whose total fell −28.5% from £28,103.86 to £20,103.49

Both these Cllrs used their allowances to plug financial issues elsewhere hence why Tim’s rose by under 2% and Jim’s fell.

While the overall councillor allowance budget rose by 5.6%, the comparison to senior officer pay remains striking. Councillors’ increases were externally moderated and publicly published, while the officer uplifts included pension contributions, redundancy, and discretionary increases.

A Transparency Test on Three Fronts

The council now faces a test of transparency on three critical fronts:

• its reporting of public borrowing,

• the scale and structure of executive pay given so many delayed projects, and

• the public justification for increases in councillor allowances given so many delayed projects.

In isolation, each may raise eyebrows. Together, they risk eroding public trust in the council’s stewardship of taxpayer money.

Until the council can reconcile its own accounts with government data, justify eye-watering pay rises for senior staff, and explain rising costs in political representation, a deeper question remains:

Whose priorities are being served—and at what cost to the public?

We would be interested in hearing about your experiences of Fokestone & Hythe District Council. Email: TheShepwayVoxTeam@proton.me in confidence.

The Shepway Vox Team

Journalism for the People NOT the Powerful