Issue - meetings

45.1.               Budget Proposals and Medium-Term Financial Forecasts 2023/24 (Forward Plan Reference FP1143)

Following the consideration of the 2023/24 budget proposals at Cabinet on the 10 and 24 January 2023, the purpose of this report is to present to Council the budget proposals for approval.

The budget was considered by Overview and Scrutiny Committee (OSC) on 17 January 2023 following the review by a Task and Finish Panel. No recommendations for amendments were given by OSC, which was presented to Special Cabinet on 24 January 2023.

This year has been an extremely challenging year, with the impact of inflation on contracts, supplies and utilities, along with the ongoing impact of the pandemic on some of the council’s income streams. The MTFS position was updated in September 2022, which showed an increased budget gap for 2023/24 of just under £4.5m.

The report sets out the budget proposals for 2022/23 and covers the General Fund and Housing Revenue budgets; The Capital Programme and Financing Strategy; Fees and Charges; The Medium-Term Financial Strategy; and Special Expense Details.

It was moved and seconded by Councillors S. Boulton and T. Kingsbury and

RESOLVED:

(23 voting FOR and 20 AGAINST)

Voting FOR: J. Bond, J. Boulton, S. Boulton, J. Cragg, B. Fitzsimon,

G. Ganney, A. Hellyer, C. Juggins, S. Kasumu, T. Kingsbury, J. Lake,

G. Michaelides, T. Mitchinson, N. Pace, D. Richardson, B. Sarson,

P. Smith, C. Stanbury, F. Thomson, T. Travell, R. Trigg, S. Tunstall, and

F. Wachuku

Voting AGAINST: M. Birleson, S. Bonfante, L. Brandon, J. Broach,

L. Chesterman, L. Crofton, M. Holloway, D. Jones, F. Marsh, G. Moore,

L. Musk, D. Panter, J. Quinton, J. Ranshaw, T. Rowse, J.P. Skoczylas,

P. Shah, M. Siewniak, K. Thorpe, and P. Zukowskyj

(1)        Council noted the recommendations from Cabinet, and the Statement of the Chief Financial Officer on the robustness of budgets and adequacy of reserves (Appendix N of the report).

(2)        Council noted the taxbase amounts for the year 2023/24 have been set in accordance with regulations made under Sections 31A and 31B of the Local Government Finance Act 1992 and are detailed in the report.

(3)        Council approved the budget proposals as presented at Special Cabinet on 24 January 2023 and detailed in the report.

To consider the comments of the Overview and Scrutiny Committee from its meeting on 17 January 2023 on the budget proposals for 2023/24.

The Extracted Minutes from the Overview and Scrutiny Committee have been included.

Please see link below for the Budget papers submitted to Cabinet on 10 January 2023:

https://democracy.welhat.gov.uk/ieListDocuments.aspx?CId=151&MId=1443&Ver=4  

(1)   That delegated authority be given to the Executive Director (Finance and Transformation) in consultation with the Executive Member for Resources and Planning and the Executive Member for Leisure and Community, and that the delegation be built into the Council report to enable responsive changes to be made to the fees and charges as required during the year.

(2)   Cabinet recommended the budget proposals 2023/24 to Full Council.

Cabinet considered the comments of the Overview and Scrutiny Committee from its meeting on 17 January 2023 on the budget proposals for 2023/24.

The draft budget was previously considered at Cabinet on 10 January 2023, following its review through the Overview and Scrutiny Committee and the Budget Task and Finish Panel.

The budget was fully scrutinised by the Task and Finish panel who received an overview of the savings proposals, the growth proposals, and the fees and charges.

The panel acknowledged the challenges faced by the council in relation to the cost of living crisis, the limits on council tax and the medium term uncertainties around government funding. No changes were proposed by the panel, which was supported by the Overview and Scrutiny Committee.

In relation to the crematorium, this is a new service and a review fees and charges may be required during the year, particularly for those items which are resale items the council source from external providers.

Additionally, the parish precepts item will also be updated based upon the parish precept demands the council have received, although this will not change the net position for the council.

It was noted there was an error in the Overview and Scrutiny Committee minutes in relation to the vote on the budget item as there was 11 For and 1 Abstention and not 1 Against.

RESOLVED:

(unanimous)

(1)   That delegated authority be given to the Executive Director (Finance and Transformation) in consultation with the Executive Member for Resources and Planning and the Executive Member for Leisure and Community, and that the delegation be built into the Council report to enable responsive changes to be made to the fees and charges as required during the year.

(2)   Cabinet recommended the budget proposals 2023/24 to Full Council.

Report of the Executive Director (Finance and Transformation) on the Budget Proposals and Medium Term Financial Forecasts 2023/4.

(1)       Cabinet noted the recommendations from Cabinet, and the Statement of the Chief Financial Officer on the robustness of budgets and adequacy of reserves (appendix N)

(2)       Cabinet also noted that the following amounts for the year 2023/24 have been set in accordance with regulations made under Sections 31A and 31B of the Local Government Finance Act 1992:

(3)       Cabinet approved the following budget proposals and note that any comments from Overview and Scrutiny Committee will be returned to Special Cabinet on 24 January 2023 for consideration, before final recommendations are made to Council:

(4)       General Fund

(4.1)    The proposed General Fund Budget as summarised in Appendix A, and detailed in appendix B.

(4.2)    The inclusion of the savings and growth proposals into the budget as detailed in appendices C and D.

(4.3)    The fees and charges which have been incorporated into the budget proposals, as set out in appendix E.

(4.4)    The increase in the Council’s Band D Tax of £6.66 (2.97%), taking the average Band D Tax to £230.76 for 2023/24.

(4.5)    That the Special Expenses Scheme as set out in section 3.5 continue into 2023/24, and the Special Expenses detailed in Appendix M be approved for inclusion in the Council Tax for 2023/24.

(5)       Housing Revenue Account (HRA)

(5.1)    That dwelling rents are increased by 7% in accordance with Government legislation, resulting in an average rent of £121.89 per week.

(5.2)    To continue the policy of charging formula rent when vacant properties are re-let.

(5.3)    The Housing Revenue Account budget as shown in appendix F.

(5.4)    The fees and charges which have been incorporated into the budget proposals, as set out in appendix H.

(5.5)    The Medium-Term Financial Strategy (MTFS) to maintain HRA working balances to a minimum of 5% of rental income.

(6)       Capital Programme

(6.1)    The Capital Programme for 2023/24 to 2027/28 as set out in Appendix I.

(6.2)    The Capital Financing for the Capital Programme, for 2023/24 to 2027/28 as set out in Appendix J, and note the forecast capital balances in Appendix K.

(7)       Medium Term Financial Strategy

(7.1)    The Medium-Term Financial Strategy and Financial Governance Framework, including all annexes and prudential indicators for 2023/24 – 2026/27 as set out in appendix L.

Report of the Executive Director (Finance and Transformation) on the Budget Proposals and Medium Term Financial Forecasts 2023/24.

(1)          The Decision Taken

RESOLVED:

(unanimous)

(1)       Cabinet noted the recommendations from Cabinet, and the Statement of the Chief Financial Officer on the robustness of budgets and adequacy of reserves (appendix N)

 (2)      Cabinet also noted that the following amounts for the year 2023/24 have been set in accordance with regulations made under Sections 31A and 31B of the Local Government Finance Act 1992:

(3)       Cabinet approved the following budget proposals and note that any comments from Overview and Scrutiny Committee will be returned to Special Cabinet on 24 January 2023 for consideration, before final recommendations are made to Council:

(4)       General Fund

(4.1)    The proposed General Fund Budget as summarised in Appendix A, and detailed in appendix B.

(4.2)    The inclusion of the savings and growth proposals into the budget as detailed in appendices C and D.

(4.3)    The fees and charges which have been incorporated into the budget proposals, as set out in appendix E.

(4.4)    The increase in the Council’s Band D Tax of £6.66 (2.97%), taking the average Band D Tax to £230.76 for 2023/24.

(4.5)       That the Special Expenses Scheme as set out in section 3.5 continue into 2023/24, and the Special Expenses detailed in Appendix M be approved for inclusion in the Council Tax for 2023/24.

(5)          Housing Revenue Account (HRA)

(5.1)       That dwelling rents are increased by 7% in accordance with Government legislation, resulting in an average rent of £121.89 per week.

(5.2)       To continue the policy of charging formula rent when vacant properties are re-let.

(5.3)       The Housing Revenue Account budget as shown in appendix F.

(5.4)       The fees and charges which have been incorporated into the budget proposals, as set out in appendix H.

(5.5)       The Medium-Term Financial Strategy (MTFS) to maintain HRA working balances to a minimum of 5% of rental income.

(6)          Capital Programme

(6.1)       The Capital Programme for 2023/24 to 2027/28 as set out in Appendix I.

(6.2)       The Capital Financing for the Capital Programme, for 2023/24 to 2027/28 as set out in Appendix J, and note the forecast capital balances in Appendix K.

(7)          Medium Term Financial Strategy

(7.1)       The Medium-Term Financial Strategy and Financial Governance Framework, including all annexes and prudential indicators for 2023/24 – 2026/27 as set out in appendix L.

(2)        Reasons for the Decision

The report will go on for consideration by Overview and Scrutiny Committee (OSC) on 17 January 2023.  Recommendations made by OSC and any changes will be presented to Special Cabinet on 24 January 2023, in order to recommend the budget proposals to Council at its meeting on 1 February 2023.

It was noted that this year  ...  view the full minutes text for item 72