Submitted – A report
(previously circulated) of the Chief Officers Executive which had
been considered by Cabinet at its meeting held on 11 December 2018,
in relation to the Medium-Term Financial Plan (MTFP) 2019-20 to
2022-23 and proposing a 2019/20 to 2022/23 capital programme for
consultation.
It was reported that the delivery of the core offer which was
agreed in 2016 remained extremely challenging with some significant
pressures arising in children’s social care, however, through
innovative financial investments and increased income from economic
growth, the Council could still deliver the agreed balanced plan
and extend the MTFP. A further
£0.600 million had also been identified which could be used
to bolster the Futures Fund themes or be returned to
reserves.
It was noted that the Council had allocated £4.1 million to the futures fund in 2018/19, £2.5 million of which was allocated between the five community themes. To date £1.063 million had been committed to the futures fund themes with a balance of £1.437 million remaining.
Discussion ensued on the significant work which had been undertaken to achieve economic growth within the Borough, particularly in relation to Symmetry Park, which had been rewarded with a positive net increase in the projected National Non-Domestic Rates (NNDR) collected over the coming MTFP.
It was reported that there were no proposed reductions in service levels within the 2019/20 MTFP and there were some only minor changes to the proposed schedule of fees and charges.
Members noted the additional monies identified for winter pressures amounting to £501,000 this year and for next year to be divided between residential and domiciliary care and requested an update to this Scrutiny on the spend in due course.
RESOLVED - That this Scrutiny Committee has no comment to make on the proposed schedule of fees and charges for those services within its remit and supports Cabinet’s proposal in relation to those fees and charges and the proposed Council Tax increase of 2.99 per cent for the next financial year.
Submitted – A report (previously circulated) of the Chief Officers Executive which had been considered by Cabinet at its meeting held on 11 December 2018, in relation to the Medium-Term Financial Plan (MTFP) 2019-20 to 2022-23 and proposing a 2019/20 to 2022/23 capital programme for consultation.
The Assistant Director, Finance and Human Resources reported that the Local Government Finance Settlement (LGFS) which was due to be announced on 6 December 2018 was still awaited, however, any amendment in relation to the LGFS was not expected to be significant.
It was reported that the delivery of the core offer which was agreed in 2016 remained extremely challenging with some significant pressures arising in children’s social care, however, through innovative financial investments and increased income from economic growth, the Council could still deliver the agreed balanced plan, extend the MTFP. A further £0.600 million had also been identified which could be used to bolster the Futures Fund themes or be returned to reserves.
Discussion ensued on the
significant work which had been undertaken to achieve economic
growth within the Borough, particularly in relation to Symmetry
Park, which had been rewarded with a positive net increase in the
projected National Non-Domestic Rates (NNDR) collected over the
coming MTFP. It was reported that the
Council currently retained 49 per cent of the NNDR collected,
however, the business tax base was much more volatile than the
Council Tax base and required very close monitoring. In addition to the potential to lose income due to
business closures, the Council also carried the risk of losing
appeals by businesses against valuations.
It was reported that there were no proposed reductions in service levels within the 2019/20 MTFP and there were some only minor changes to the proposed schedule of fees and charges.
Members questioned whether the
revenue reserves should be used to reduce the proposed Council Tax
increase, however the Assistant Director Finance and Human
Resources reported that the reserves were being used to balance the
MTFP going forward and the Officers view was that the Council Tax
needed to be increased.
RESOLVED - That this Scrutiny Committee has no comment to make on the proposed schedule of fees and charges for those services within its remit and supports Cabinet’s proposal in relation to those fees and charges and the proposed Council Tax increase of 2.99 per cent for the next financial year.
Submitted – A report
(previously circulated) of the Chief Officers Executive which had
been considered by Cabinet at its meeting held on 11 December 2018,
in relation to the Medium-Term Financial Plan (MTFP) 2019-20 to
2022-23 and proposing a 2019/20 to 2022/23 capital programme for
consultation.
It was reported that the delivery of the core offer which was
agreed in 2016 remained extremely challenging with some significant
pressures arising in children’s social care, however, through
innovative financial investments and increased income from economic
growth, the Council could still deliver the agreed balanced plan,
extend the MTFP and a further £0.600 million had also been
identified which could be used to bolster the Futures Fund themes
or be returned to reserves.
Discussion ensued on the significant work which had been undertaken through the Adult Social Services transformation project to ensure people received the right level of care and were able to stay in their homes longer, which had reduced the reliance on residential care placements and subsequent savings exceed the estimated target for that area.
Reference was also made to the winter pressures funding of 0.501 million which had also been received for adults in 2018/19 and 2019/20, and it was reported that how this funding was utilised must be agreed in a plan with the NHS.
The submitted report outlined a number of risk pressures which had
been identified, however, it was not clear at this stage whether
they would definitely come to fruition and the Assistant Director
Resources reported that if they did, they would be of significant
value and, given the potential impact, it had been considered
prudent to recognise they in the budget and, following a review of
those risks, it had been recommended that a prudent level would be
to include 60 per cent of the total value of the risk contingency
line.
RESOLVED
- That this Scrutiny Committee has no comment to
make on the proposed schedule of fees and charges for those
services within its remit and supports Cabinet’s proposal in
relation to those fees and charges and the proposed Council Tax
increase of 2.99 per cent for the next financial year.
Submitted – A report
(previously circulated) of the Chief Officers Executive which had
been considered by Cabinet at its meeting held on 11 December 2018,
in relation to the Medium-Term Financial Plan (MTFP) 2019-20 to
2022-23 and proposing a 2019/20 to 2022/23 capital programme for
consultation.
It was reported that the delivery of the core offer which was
agreed in 2016 remained extremely challenging with some significant
pressures arising in children’s social care, however, through
innovative financial investments and increased income from economic
growth, the Council could still deliver the agreed balanced plan
and extend the MTFP. A further
£0.600 million had also been identified which could be used
to bolster the Futures Fund themes or be returned to
reserves.
Particular reference was made to a number of risk pressures which had been identified, however, it was reported that it was not clear at this stage whether they would definitely come to fruition. The Assistant Director Resources advised us that, given the potential impact if they did, it had been considered prudent to recognise them in the budget and, following a review of the risks, it had been recommended that a prudent level would be to include 60 per cent of the total value in the risk contingency line.
Discussion ensued on the savings which had been achieved in Adult Social Care; the current position in relation to school transport which was currently overspending and which was subject to a review with the aim of reducing the current projected overspend; the use of reserves to balance the MTFP; and the risk contingency going forward.
RESOLVED – (a) That Members notify Officers of specific areas they would like to look at further within the MTFP and a further special meeting be arranged if necessary.
(b) That a meeting of this Scrutiny Committee be held, prior to Cabinet on 12February, 2019, to formulate a response on behalf of all Scrutiny Committees to Cabinet on its proposals in relation to the MTFP.
Submitted – A report
(previously circulated) of the Chief Officers Executive which had
been considered by Cabinet at its meeting held on 11 December 2018,
in relation to the Medium-Term Financial Plan (MTFP) 2019-20 to
2022-23 and proposing a 2019/20 to 2022/23 capital programme for
consultation.
It was reported that the delivery of the core offer which was
agreed in 2016 remained extremely challenging with some significant
pressures arising in children’s social care, however, through
innovative financial investments and increased income from economic
growth, the Council could still deliver the agreed balanced plan
and extend the MTFP. A further
£0.600 million had also been identified which could be used
to bolster the Futures Fund themes or be returned to
reserves.
It was noted that the Council had allocated £4.1 million to the futures fund in 2018/19, £2.5 million of which was allocated between the five community themes. To date £1.063 million had been committed to the futures fund themes with a balance of £1.437 million remaining.
Discussion ensued on the significant work which had been undertaken to achieve economic growth within the Borough, particularly in relation to Symmetry Park, which had been rewarded with a positive net increase in the projected National Non-Domestic Rates (NNDR) collected over the coming MTFP.
It was reported that there were no proposed reductions in service levels within the 2019/20 MTFP and that fees and charges had been reviewed and increased where appropriate.
Members noted the additional monies identified for winter pressures amounting to £501,000 this year and for next year to be divided between residential and domiciliary care and to be agreed with our NHS colleagues.
Members also noted the significant pressures arising in Children’s social care and the demand pressures on external residential placements and independent fostering placements in Children’s Services and additional one off finance to be used to offset some of the pressure on Children and Adult social care.
RESOLVED - That this Scrutiny Committee has no comment to make on the proposed schedule of fees and charges for those services within its remit and supports Cabinet’s proposal in relation to those fees and charges and the proposed Council Tax increase of 2.99 per cent for the next financial year.
The Leader introduced the report of the Chief Officers Executive (previously circulated) requesting that consideration be given to the Medium Term Financial Plan (MTFP) for 2019/20 to 2022/23, including setting a budget and council tax increase for 2019/20, and a Capital Programme for 2019/20 to 2022/23, for consultation.
The submitted report stated that between the financial years 2010/11 and 2018/19 the Council had faced unprecedented financial challenges from reductions in public sector spending, which had meant an overall real terms decrease in government funding of £47.5M, anticipated to increase to £51M by 2022/23; this had resulted in the Council agreeing reductions in planned expenditure of over £57M leading to a reduction to date of 747 in the Council’s workforce; the report had been prepared before the Local Government Finance Settlement (LGFS) which was expected to be announced on 6 December; the Council undertook a significant consultation exercise in 2016, following an in-depth and detailed review of all services which resulted in the agreement of a Core Offer budget which allowed for a small futures fund allocated to discretionary services; although the Core Offer remained challenging, the Council agreed to use unallocated balances of £4.1M to invest in five areas which held great value to the community; and that the Council’s financial position was robust with a four year balanced MTFP.
In presenting the report the Leader stated that the figure detailed in paragraph 42 of the submitted report, was £856,000 and NOT £856M; the finance settlement had been delayed; this Council had one of the lowest rates of Council Tax in the region; and confirmed that the MTFP was deliverable.
Discussion ensued on the budget; the ambitions for the town; and the funding of social care and children’s services.
RESOLVED – That the Revenue MTFP as set out in Appendix 7 of the submitted report, and the proposed Capital Programme summarised in Appendix 8 of the submitted report, be approved for consultation, including:-
(i) a Council tax increase of 2.99 per cent for 2018/19; and
(ii) the Schedule of Charges, as set out in Appendix 3 of the submitted report
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.