Decision details

Budget Proposals for 2020/21 and Indicative Budgets for 2021/22 and 2022/23 (Budget and Policy Framework)

Decision Maker: Cabinet

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: No

Decision:

Decision:

 

Considered the budget proposals for 2020/21 in respect of :

·         General Fund – Revenue and Capital

·         Housing Revenue Account – Revenue and Capital

Approved consultation in respect of proposed Council Tax levels for 2020/21 for the period 22 January – 14 February 2020

 

Reasons for decision:

 

1.    The report of the Cabinet Member for Finance on budget proposals for 2020/21 and indicative budgets for 2021/22 and 2022/23 giving details of the draft budget estimates for 2020/21, revenue and capital for both the General Fund and the Housing Revenue Account.

2.     The budget proposals detailed in the report were formulated by the Cabinet working closely with Members, senior officers and the Finance, Economic Development and Corporate Services Overview and Scrutiny Committee with the objective to realign resources and spending plans to ensure that the key priorities and aspirations of the Council could be delivered.

3.     Recommendations made by the Budget Overview and Scrutiny Committee at its meeting on 14 January 2020.

 

4.    General Fund – Revenue

·         The provisional Finance Settlement for 2020/21 outlined that funding would continue at 2019/20 levels for the rural services delivery grant. The Council was expected to receive £295k for 2020/2021 only

·         The anticipated changes to local government funding that could adversely affect some Councils as a result of the finance distribution, had been deferred a year thereby giving a relatively stable financial year (2020/21) before the April 2021 implementation.  This had given the Council a further year to realign its resources in the context of reduced funding 

·         Due to the change in funding arrangements, the Council was planning to be self-sustainable by 2025

 

5.    Council Tax

 

·         Indicative income from Council Tax based on proposals which would be

subject to public consultation from 22 January to 14 February: a £5 increase on a Band D property, a 3% increase on a Band D property or no increase

·         The budget proposals were compiled on the assumption that the Cabinet

would wish to recommend a £5 increase on a Band D property in 2020/21

 

6.    Fees and charges

 

·         Draft fees and charges proposals for 2020/21 as set out in Appendix E to the report.

·         The report highlighted which charges were statutory and which were discretionary

 

7.    Housing Revenue Account

 

·         Draft proposals for the Housing Revenue Account (HRA)

·         Proposals drafted in line with refreshed Housing Strategy to ensure current needs and priorities are reflected

·         The overall position as set out at Appendix A(ii) of the report of the Cabinet Member for Finance

·         The rent increase is proposed at 2.7% and garage rents are proposed to increase in line with inflation at 3%

 

8.    Capital programme (General Fund and Housing Revenue Account)

 

·         The detailed Capital Programme attached to the report at Appendix C

(General Fund) and (HRA)

·         The Council’s ambitions of growth and investment, including the provision of quality leisure services

·         The Council is committed to growing the local economy for the benefit of all residents in the district by supporting private sector activity and has various routes to do this, including Gravitas, the Council’s housing-focussed company and via direct investment

·         The Capital Strategy over the medium-term, which would focus on the delivery of the growth ambition as set out in the Corporate Strategy and to support the delivery of the enhanced leisure offer across the district

·         The Capital Programme includes investment in infrastructure that is vital to maintaining the delivery of quality services such as replacement of vehicles, maintenance of assets and ICT investment

·         Ambitions through the HRA Capital Programme to deliver a social housing building programme of £52.6m over a 3 year period, focussed on the continuation of the new build and stock acquisition programme and the objectives of the HRA Business Plan

·         The Housing Investment Programme would continue to deliver investment into the housing stock through a range of programmes including kitchen and bathroom replacement, re-roofing and external wall insulation

 

9.    Reserves and balances

 

·         Details of the reserves, used to meet known or predicted liabilities

·         The forecast balances and the proposed movements over the next three-year period shown in Appendix D to the report and the main forecast movements for 2020/21 set out within the body of the report (both General Fund and HRA)

·         Proposed movement of reserves as set out in Tables 14 (General Fund) and 15 (HRA) of the report

 

Other options considered and rejected:

 

None

Publication date: 21/01/2020

Date of decision: 21/01/2020

Decided at meeting: 21/01/2020 - Cabinet

Accompanying Documents: