Issue - meetings

This report presents to Cabinet the draft Budget estimates for 2023/24, Revenue and Capital, for both the General Fund and the Housing Revenue Account and provides the details that have been included in the budget proposals.

Purpose of report

This report presented to Cabinet the draft Budget estimates for 2023/2024, Revenue and Capital, for both the General Fund and the Housing Revenue Account and provided the details that had been included in the budget proposals.

Decision

That Cabinet:

1.       Considered the budget proposals for 2023/24 in respect of:

• General Fund – Revenue and Capital

• Housing Revenue Account (HRA) – Revenue and Capital

2.       Approves a rent setting increase of 7% for 2023/24. 

3.       Approves consultation in accordance with the requirements of Section 65 of the Local Government Finance Act 1992 for the financial year 

2023/2024.

4.       Notes the removal of the Stamford Special Expense Area budgets from 1 April 2023.

5.       Considered the proposed fees and charges for 2023/24 as set out at Appendix B.

6.       Approves the following proposed movements in reserves:

• General Fund - Movement of £1.547m from the Housing   Delivery Reserve to the Local Priorities Reserve 

• General Fund - Movement from the Budget Stabilisation Reserve of £1.534m in order to achieve a balanced position for 2023/24

• Housing Revenue Account - Movement of £1.316m from the HRA Improvement and Residents Involvement Reserves to the HRA Priorities Reserve.

7.       Considered the communications budget and longer-term plans for climate change.

Alternative options considered and rejected

No other options were considered.

Reason for decisions

The Council was required to set a balanced budget each financial year.

The Deputy Leader updated Cabinet following engagement with the Joint Budget Overview and Scrutiny Committee which had discussed the draft budget proposals on 9 January 2023. That Committee had suggested an additional recommendation to Cabinet around the Council’s communications budget and longer-term plans to combat climate change. Final budgetary recommendations would be considered by Cabinet at their meeting on 7 February 2023 ahead of the Full Council meeting on 1 March 2023.

Budget proposals would be driven by the current Corporate Plan within the context of a difficult financial climate. The Deputy Leader had regularly attended and updated Finance, Economic Development and Corporate Services Overview and Scrutiny meetings throughout the previous financial year.

The Deputy Leader outlined the areas that the Draft Budget Proposals Report covered:

·       Spending overview – the Council had been notified of a provisional settlement on 19 December 2022, and it had been largely in line with previous expectations. It had contained no additional monies to aid increased energy costs to the Council. The Council would use its reserves to cover any shortfalls.

·       The General Fund Revenue account – it was anticipated that this account would see a balanced position for 2023/2024 after using reserves but there would be an unbalanced position for future years as things stood. This future position would need addressing in the next financial year to provide a sustainable outlook for the General Fund.

·       HRA outlook – there were two key elements; the rent setting proposals and building in budgets to meet ongoing housing requirements. Further investment in the HRA totalled £1.3 million and this was being met in  ...  view the full minutes text for item 72