Report of the Chief Officers Executive

The Chief Officers Executive submitted a report (previously circulated) to seek approval for a Medium Term Financial Plan (MTFP) for 2020/21 to 2023/24, including setting a budget and Council Tax increase for 2020/21.

The submitted report stated that the Council had faced significant challenges over the previous decade following the economic downturn and reduction in public sector spending. It was reported that the Council had been successful in responding to these challenges, however there were still financial pressures to be faced particularly in respect of a growing elderly population and pressure in the Children’s Social Care sector.

The submitted report stated that the Council had received its definitive financial settlement on 6 February 2020, with no change from the draft released in December 2019, and that the settlement was in line with the Chancellors spending review announcement with the continuation of Revenue Support Grant (RSG), New Homes Bonus (NHB), additional social care monies of £2m and the ability to raise income for Adult Social Care through the precept. It was reported that the settlement was for one year only, so assumptions as regard future years had been made.

A limited number of amendments to the draft MTFP proposed for consultation were highlighted within the submitted report, with the main changes being in relation to the increase in the National Living Wage, the impact of Quarter 3 budget management and the receipt of settlement figures.  

The submitted report outlined that the Council had undertaken a significant consultation exercise in 2016, following an in-depth and detailed review of all services, which had resulted in the agreement of a Core Offer budget and allowed for a small futures fund allocated to discretionary services. In addition, in subsequent MTFPs, Members agreed to use unallocated balances of £4.7m to invest in five areas which hold great value to the community.

The submitted report stated that the core offer remained challenging, with some significant pressures arising in children’s social care, however through innovative financial investments, economic growth successes, and a positive pension triennial review, it was anticipated that the Council could deliver the agreed balanced plan, extend the MTFP for a further year, and allocate an additional £1.8m to bolster the Futures Fund themes whilst retaining usable balances of £3.683m.

The following amendment to the Motion was moved by Councillor Harker, and seconded by Councillor Snedker:

‘To approve the MTFP conditional on:

1.    Paragraph 8 (a)(iii) being deleted from the recommendations.

2.    Cabinet investigating the costs and timescales of reintroducing Sure Start and Youth Outreach Services, together with expanding the scope of the Climate Change programme.’

In accordance with Council Procedure Rules, a request was made by five Members for a named vote on the Amendment. A named vote was taken of those Members present at the meeting and there appeared:-

For the Amendment – The Mayor; Councillors Ali, Cossins, Crumbie, Harker, Haszeldine, Heslop, Holroyd, Howarth, C. L. B. Hughes, L. Hughes, Layton, Lucas, McCollom, McEwan, Newall, M. Nicholson, Paley and Snedker (19)

Against the Amendment – Councillors Allen, Bartch, Bell, Clarke, Crudass, Mrs. Culley, Curry, Donoghue, Dulston, Durham, Johnson, B. Jones, Mrs. D. Jones, Keir, Laing, Lee, Marshall, Mills, K. Nicholson, Preston, Renton, Mrs. H. Scott, Tait, Tostevin and Wright (25)

The Amendment was Lost.

NOTE: Councillors Dr. Chou and Howell were not present at the meeting when the vote was taken.

In accordance with the requirements of the Budget and Policy Framework Rules a vote on the recommendation was taken of those Members present at the meeting and there appeared:-

For the Motion – The Mayor; Councillors Ali, Allen, Bartch, Bell, Clarke, Cossins, Crudass, Crumbie, Mrs. Culley, Curry, Donoghue, Dulston, Durham, Harker, Haszeldine, Heslop, Holroyd, Howarth, C. L. B. Hughes, L. Hughes, Johnson, B. Jones, Mrs. D. Jones, Keir, Laing, Layton, Lee, Lucas, Marshall, McCollom, McEwan, Mills, Newall, K. Nicholson, M. Nicholson, Paley, Preston, Renton, Mrs. H. Scott, Snedker, Tait, Tostevin and Wright (44)

Against the Motion – (0)

Motion Carried. 

NOTE: Councillors Dr. Chou and Howell were not present at the meeting when the vote was taken.

RESOLVED - (a) That the Revenue MTFP, as set out in Appendix 7 of the submitted report, be approved, including the following;

(i)            Council tax increase of 1.99% plus the 2% adult social care precept to fund social care for 2020/21 totalling 3.99%.

(ii)          Schedule of charges as set out in Appendix 3.

(iii)         The Futures Fund investment of £1.8m as set out in paragraph 62.

(b) That a delegation for Cabinet to vary the Revenue Budget for 2020/21 by up to £0.5m without further Council approval, be approved.

REASONS - (a) The Council must set a budget for the next financial year.

(b) To enable the Council to continue to plan services and finances over the medium term.

(c) To ensure decisions can be made in a timely manner.