Agenda item

To consider the Council’s financial position and set the Council budget for 2024/25.

Background papers:

·         Financial Planning – Revenue Services

·         Financial Planning – Capital Strategy and the Treasury Management Policy

·         Advice of the Monitoring Officer

·         Council Tax Support Scheme 2020/25

·         Budget Procedure Rules – Rule 17

Council considered draft budgets for the 2024/24 financial year proposed by the Liberal Democrat Group and the Green Group.

The Green Group’s budget was proposed by Councillor Chris Mitchell and seconded by Councillor Narinder Sian.

The Liberal Democrat Group’s budget was proposed by Councillor Keith Martin and seconded by Councillor Stephen Giles-Medhurst.

The Local Government Finance Act 2002 placed a statutory requirement on local authorities to set a balanced budget for each new financial year.  It was acknowledged that whilst the authority was operating in a difficult economic environment in setting the budget for 2024/25 financial year it was planned that all services provided in 2023/24 would be maintained into the new financial year, something that prudent financial management over many years had made possible.

In response to concerns that increasing charges for parking and green waste collections would impact on local residents and could be considered to be a reduction in services it was reported that parking permit fees had not been increased for a number of years and had they been increased in line with inflation over this time then there would have been a much greater increase over the years.  The original ambition for garden waste collections to be cost neutral still remained however rising fuel prices and increased staffing costs meant that progress towards this aim would be slower than originally anticipated.

It was clarified that the replacement of the Aquadrome bridge was being funded through Community Infrastructure Levy funding and as such could not be considered a revenue project.

Having debated both motions the Green Group’s budget was put to the vote.  As required in legislation a recorded vote was held and the outcome was:

FOR (2): Councillors Chris Mitchell and Narinder Sian.

AGAINST (18): Councillors Matthew Bedford, Ruth Clark, Harry Davies, Steve Drury, Stephen Giles-Medhurst, Tony Humphreys, Raj Khiroya, Chris Lloyd, David Major, Keith Martin, Sarah Nelmes, Kevin Raeburn, Paul Rainbow, Andrew Scarth, Roger Seabourne, Jonathon Solomons, Jon Tankard and Anne Winter.

ABSTAINING (10): Councillors Oliver Cooper, Stephen Cox, Andrea Fraser, Philip Hearn, Lisa Hudson, Joan King, Stephen King, Debbie Morris, David Raw and Ciaran Reed

Consequently the Green Group’s budget proposal fell.

The Liberal Democrat Group’s proposed budget was then put to the vote.  In accordance with legislation a recorded vote was held and the outcome was:

FOR (20): Councillors Matthew Bedford, Ruth Clark, Harry Davies, Steve Drury, Stephen Giles-Medhurst, Tony Humphreys, Raj Khiroya, Chris Lloyd, David Major, Keith Martin, Chris Mitchell, Sarah Nelmes, Kevin Raeburn, Paul Rainbow, Andrew Scarth, Roger Seabourne, Narinder Sian, Jonothon Solomons, Jon Tankard and Anne Winter.

AGAINST (0): None

ABSTAINING (10): Councillors Oliver Cooper, Stephen Cox, Andrea Fraser, Philip Hearn, Lisa Hudson, Joan King, Stephen King, Debbie Morris, David Raw and Ciaran Reed

Consequently, the Liberal Democrat budget proposal was carried.

RESOLVED that Council agrees the following actions:

a)            That the Medium Term Financial Strategy and Capital Programme, as presented to Policy and Resources on 29 January 2024, be approved subject to the following changes, note these are all reflected in Appendix 1 of the report

(i)            That MTFP figures be updated for the final settlement.

(ii)           That the final parish precept figures are reflected.

(iii)          That the charge for Green Bins be increased by £5 per year The following annual charges for the collection of garden waste will apply for the year commencing 1st April 2024 to 31st March 2025:

·         For a single brown bin: £65 (A concessionary rate of £55 will apply for those on income-based Council-administered benefits).

·         For each additional brown bin: £110 per bin (a maximum of 3 brown bins applies).

This will result in additional income of £120,000.

(iv)          That the vacant Assistant Director Economy, Infrastructure and Planning post be removed, saving £107,769

(v)           That £75,000 be allocated for project funding for Green and Bio?diversity projects towards Net Zero with £100,000 pa in 2025/26 and £125,000 in future years.

(vi)          That £40,000 be allocated for the next two years for project funding for parking schemes, including regulation and controls.

(vii)        That £5,000 pa be allocated to allow the scheme for free swimming aimed at children on free school meals to continue.

(viii)       That £100,000 be transferred from general fund reserves to a specific Planning Reserve to allow for conservation are appraisals, the local plan timetable to be accelerated and other planning advice.

b)            That the revenue budget for 2024/25 totalling net expenditure of £14,159,332 and the draft revenue estimates for the period 1 April 2024 to 31 March 2027 giving a balance on the general fund at 31 March 2027 of £3,740,533 be approved. (Appendix 1)

c)            That £2.0m be considered as a prudent minimum balance for the general fund.

d)            That the capital strategy, including the Minimum Revenue Provision strategy and the Treasury Management Policy, as presented to Policy and Resources Committee on 29 January 2024 be agreed and the total investment programme for 2024/25 be agreed at £4,371,882.

e)            That the arrangements for funding the 2024/27 capital strategy and investment programme resulting in an estimated balance of capital resources at 31 March 2027 of £2,719,289 be agreed.

f)             That the financial and budgetary risks presented to The Policy and Resources Committee on 29 January 2024 be approved and their management monitored by the Audit Committee.

g)            That the revised Council Tax Reduction Scheme, as presented to Policy and Resources Committee on 29 January 2024, is approved for 2024/25.

h)            That the position on the financial reserves as presented to the Policy and Resources Committee on 29 January 2024, as amended by paragraph above, is noted.

i)              The Director of Finance’s advice on the robustness of the estimates and the adequacy of the financial reserves is noted.

j)              The Director of Finance be authorised to amend individual budget lines to implement the budget as set out above.

k)            Notes the advice of the monitoring officer appended to the report.

NOTE

Councillor Rue Grewal left the meeting at 8:18pm and did not participate in the vote.