Issue - meetings

Draft Budget Proposals (including Money Plan and Capital Programme)

Meeting: 05/12/2018 - Cabinet (Item 63)

63 Draft Budget Proposals (including Money Plan and Capital Programme) pdf icon PDF 162 KB

To consider the report of Cabinet Member for Performance and Resources concerning the Money Plan 2019-24 & Budget Proposals 2019/20.

Additional documents:

Decision:

RESOLVED that:

 

(1)  That the assumptions contained in the Council’s draft Money Plan from 2019/20 to 2023/24 and revisions to the draft revenue budget be approved.

 

(2)  That the uncertainties regarding future incomes, as shown in this report and Appendix 1, and the need to update the Draft Money Plan when there is more certainty regarding Central Government financing, be noted.

 

Minutes:

Cabinet considered the report of the Cabinet Member for Performance and Resources that sought review of the Council’s Money Plan for recommendation to Council.

 

The Cabinet Member for Performance and Resources advised Members that the plan presented was prudent given the information available, the Local Government Finance Settlement 2019/20 not having been announced yet.  She highlighted the importance of the commitment to return the reserves to the recommended minimum level and the need to proactively explore investment opportunities.  The Cabinet Member for Regeneration and Economy noted that the savings required this year were relatively modest because the difficult decisions had been taken early although the benefits of this were already becoming apparent.  He further commented that the refurbishment of Kings Square to be delivered through the Capital Programme was an achievement to be celebrated.

 

RESOLVED that:

 

(1)  That the assumptions contained in the Council’s draft Money Plan from 2019/20 to 2023/24 and revisions to the draft revenue budget be approved.

 

(2)  That the uncertainties regarding future incomes, as shown in this report and Appendix 1, and the need to update the Draft Money Plan when there is more certainty regarding Central Government financing, be noted.

 


Meeting: 26/11/2018 - Overview and Scrutiny Committee (Item 112)

112 Money Plan 2019-24 & Budget Proposals 2019/20 pdf icon PDF 162 KB

To consider the report of the Cabinet Member for Performance and Resources which sets out the draft Money Plan for the period 2019 to 2024 and Budget Proposals for 2019 to 2020.

 

The format for the session will be as follows:

 

1.     Leader of the Council will introduce the report.

2.     The Cabinet Member for Performance and Resources will add his comments on the report.

 

Each Cabinet Member will then present their respective portfolios in the following order (as set out in Appendix 5):

 

1.     Cabinet Member for Regeneration and Economy.

2.     Cabinet Member for Performance and Resources.

3.     Cabinet Member for Culture and Leisure.

4.     Cabinet Member for Environment.

5.     Cabinet Member for Communities and Neighbourhoods.

6.     Cabinet Member for Housing and Planning Strategy.

 

During their presentations the Cabinet Members will address the following points:-

1.     Current staffing levels.

2.     Financial pressures for next year, including any potential reduction in income streams.

3.     The proposed budget savings in their area for next year and how these will impact on the services they provide.

4.     Any new income streams identified during the process.

5.     The main priorities for their portfolio and whether any have changed as a result of the Draft Money Plan

 

Additional documents:

Minutes:

112.1         The Chair invited the Leader of the Council, Councillor James, and the Cabinet Member for Performance and Resources, Councillor Hannah Norman, to address the Committee.

 

112.2         Councillor James provided an overview of the draft Money Plan and 2019/20 Budget proposal stating that the current year had been challenging and future years would continue to provide a challenge.

 

112.3         He stated that savings of over £0.2 million had been achieved in 2018/19, building on the savings of over £10 million achieved in recent years. He confirmed that the proposals were draft and would be updated when details of the local Government settlement were known in December.

 

112.4         He advised that the savings this year of £250,000 were due to having taken difficult decisions at an early stage. The savings for next year relate to a review of energy efficiency projects, a prudent phasing of the expected savings from vacating the warehouses as well as the first expected income from our Property Investment Strategy.

 

112.5         He noted that the budget included both revenue and the capital programme, in which provision had been made for the start of the delivery of Kings Square. The Kings Walk property deal has had a significant impact on long term revenue planning and we were able to introduce additional revenue savings of £0.2 million in 2019/20 in addition to those achieved last year which is the net benefit of the rental arrangements.

 

112.6         He stated that the transformation programme which was continuing required the drawing of funds from earmarked reserves during 2018/19 and the proposed plan identified the need to build up those reserves to protect the Council in the future. In particular, the plan assumed a one-off use of £1 million from the Business Rate reserve in 2020/21.

 

112.7         Councillor Hannah Norman continued to present the overview of the Money Plan and Budget stating that local government continued to face a tough financial outlook. In particular from 2020/21 onwards with the Fair Funding Review and the potential resetting of Business Rate Baselines. She noted that the money plan prudently assumed a near full reset of business rates and the expected retained Business Rates had been reduced accordingly.

 

112.8         She noted that the plan assumed the use of £1 million from business rate reserves ibn 2020/21 and to enable this the reserve must be restored to that level by the end of 2019/20.

 

112.9         She advised that no changes to the Money Plan had been required following the Chancellor’s budget on 29th October which included additional Disabled Facilities Grant funding and the Future High Streets Fund.

 

112.10      Longer term decisions on Local Government funding would be made in the Spending Review 2019 which was expected in Autumn 2019. She noted that 2019/20 would be the last year of the four year settlement for Government funding and that the plan assumed that New Homes Bonus would continue to reduce over the life of the Plan.

 

112.11      She referred to the key assumptions detailed in section 6  ...  view the full minutes text for item 112