In 2008 the Lincolnshire Police Authority experienced a funding crisis. The authority claimed that the central government grant was insufficient to provide efficient policing in Lincolnshire, due to the unfavourable working of the formula used by the government to assess police grants. The authority decided to reduce the shortfall by making a 79% increase in its precept (the portion of Council Tax payable to the Police Authority). The government then announced its intention to "cap" this demand, resulting in a net 26% increase.