Issue - meetings

Cabinet, at its meeting on 31 January 2019, considered a report on the council’s revenue budget 2019/20 and capital programme to 2023/24.

Cabinet resolved to agree to maintain car park fees and charges at current levels and to agreethat the Cabinet member for finance, in conjunction with the head of finance, may make minor adjustments to the report and prudential indicators should they prove necessary prior to submission to Council. Any adjustments will be reported to Council.

Appendix E Prudential Indicators is attached.

The report of the head of finance, which Cabinet considered on 31 January 2019, is attached.

The Scrutiny Committee considered the report at its meeting on 5 February 2019 and made no recommendations to Council.

The report of the chief financial officer on the robustness of the budget estimates and adequacy of the reserves is attached.

RECOMMENDED to Council to:

1.    set the revenue budget for 2019/20 as set out in appendix A.1 to the head of finance’s report to Cabinet on 31 January 2019;

2.    approve the capital programme for 2019/20 to 2023/24 as set out in appendix D.1 to the report, together with the capital programme changes as set out in appendix D.2 of the report;

3.    set the council’s prudential limits as listed in appendix E to the Council agenda;

4.    approve the medium term financial plan to 2023/24 as set out in appendix F to the report;

5.    allocate £500,000 to fund the Communities Capital and Revenue grant scheme; and

6.    ask officers to review the Medium Term Financial Strategy following the 2019 spending review and Ministry of Housing, Communities and Local Government announcements of changes to the council’s future funding streams.   

The Chairman referred to regulations that require councils to record the names of those councillors voting in favour, against or abstaining from any vote on the budget, including amendments, and the council tax. In accordance with the regulations she would call for a named vote on each of these matters at this meeting.

The Chairman reminded councillors that they were not entitled to vote on any issue affecting the level or administration of the council tax or other decisions which might affect the making of any such calculation such as the budget, if they were over two months in arrears with their council tax payments. Where such circumstances applied, councillors were under a statutory obligation to disclose the restriction placed on them and refrain from voting at the relevant meeting. No councillor made any such declaration.

Council noted the report of the chief finance officeron the robustness of the budget estimates and the adequacy of the reserves.

Councillor Dodds, Cabinet member for finance, presented the Cabinet’s proposals for the revenue budget 2019/20 and capital programme to 2023/24. On behalf of the council he thanked officers for their part in continuing to control costs and in preparing the draft budget.  

Councillor Dodds moved and Councillor Murphy seconded a motion to approve Cabinet’s recommendations as follows: to

1.    set the revenue budget for 2019/20 as set out in appendix A.1 to the head of finance’s report to Cabinet on 31 January 2019; 

2.    approve the capital programme for 2019/20 to 2023/24 as set out in appendix D.1 to the head of finance’s report, together with the capital growth bids set out in appendix D.2 of the report; 

3.    set the council’s prudential limits as listed in appendix E to the head of finance’s report

4.    approve the medium term financial plan to 2023/24 as set out in appendix F to the head of finance’s report; 

5.    allocate £500,000 to fund the Communities Capital and Revenue Grant Scheme;

6.    ask officers to review the Medium Term Financial Strategy following the 2019 spending review and Ministry of Housing, Communities and Local Government announcements of changes to the council’s future funding streams. 

In moving the recommendation Councillor Dodds drew attention to the funding issues facing the council – rising expenditure with lower central government funding and lower investment returns. As a result only essential growth items are included in the budget and the communities capital and revenue grant scheme is reduced to £500,000. 

A number of councillors spoke against the budget proposals.  A failure to increase council tax in previous years had placed pressure on the council’s reserves to support the revenue budget and there were no plans to address the gradual decline in these reserves. Others did not support the reduction in the budget for grants which local communities rely on to fund community projects. 

However, the majority of councillors supported the budget proposals. The inclusion of funds to support the development of a more commercial approach for the council would bring in  ...  view the full minutes text for item 62

To consider the head of finance’s report. 

Cabinet considered the head of finance’s report on the revenue budget 2019/20, and the capital programme to 2023/24. 

David Turner addressed Cabinet, expressing concern at the loss of New Homes Bonus funding and hoped that solutions could be found for the future of the council. 

The Cabinet member for finance introduced the report, and thanked officers for preparing the budget.  The budget included some revenue growth proposals, set out the medium term financial plan, and proposed a council tax increase of £5 for Band D properties.  Car parking charges might be reviewed mid-year, as would the councillor grants scheme; £0.5 million had been allocated to grants for 2019/20. 

RECOMMENDED to Council to:

(a)      set the revenue budget for 2019/20 as set out in appendix A.1 to the head of finance’s report to Cabinet on 31 January 2019;

(b)      approve the capital programme for 2019/20 to 2023/24 as set out in appendix D.1 to the report, together with the capital programme changes as set out in appendix D.2 of the report;

(c)       set the council’s prudential limits as listed in appendix E to the report;

(d)      approve the medium term financial plan to 2023/24 as set out in appendix F to the report;

(e)      allocate £500,000 to fund the Communities Capital and Revenue grant scheme; and

(f)        ask officers to review the Medium Term Financial Strategy following the 2019 spending review and Ministry of Housing, Communities and Local Government announcements of changes to the council’s future funding streams. 

RESOLVED to:

(g)      agree that the cabinet member for finance, in conjunction with the head of finance, may make minor adjustments to the head of finance’s report and the prudential indicators, should they prove necessary prior to its submission to Council on 14 February 2019; and

(h)      agree to maintain car park fees and charges at current levels.