Agenda item

The Chairman introduced the report which sets out the Medium Term Financial Strategy (MTFS), savings and income generation plans and the Capital Programme and forms a key part of the budget setting process for 2020/21 onwards. It also provides the key budget headlines on both a local and national level and seeks to provide an update on the council’s underlying financial strategy.

Upon being put to the vote the recommendations as set out in the report were declared carried. The vote was recorded as follows;

RESOLVED – That the Committee;

1.     Approve the Policy and Resources Committee Delivery Plan for 2020/21 attached at Appendix O;

2.     Consider the issues that have emerged from the consultation when making their decisions. The Committee make the decisions below also being mindful of the equalities impact assessments including the cumulative equalities impact assessments;

3.     Recommend to Council for approval, the MTFS attached as Appendix A and the detailed revenue budgets in Appendices C1 and C2. The MTFS sets out all the budget changes over the period 2020-25, including assumptions around inflation, changes to levies, pressures, savings and income generation proposals and grant funding. It is the model around which the council’s financial strategy is based;

4.     Recommend to Council that the budget for 2020/21 is prepared on the basis of an increase of 1.99% general Council Tax in 2020/21;

5.     Recommend to Council that the budget for 2020/21 is prepared on the basis of an increase of 2.00% Social Care Precept, to help fund care for the elderly;

6.     Recommend to Council the resolutions relating to Council Tax contained within Appendix B – Council Tax Resolutions;

7.     Recommend to Council, on the advice of the Chief Finance Officer, that it determines that the council’s basic amount of Council Tax for 2020/21 as set out in Council Tax Resolution (Appendix B) 2(iv) is not excessive in accordance with the principles approved under section 52ZB and 52ZC of the Local Government Finance Act 1992, set out in the Referendums relating to Council Tax increases (Principles)(England) Report 2020/21.

8.     Recommend to Council that in accordance with Section 38(2) of the Local Government Finance Act 1992 the Chief Executive be instructed to place a notice in the local press of the amounts set under recommendation 6 above within a period of 21 days following the Council’s decision;

9.     Recommend to Council for approval the Capital Programme as set out in Appendix D, and that the Chief Officers be authorised to take all necessary actions for implementation;

10.Approves the changes to the existing Capital Programme in relation to additions as set out in paragraphs 1.6.2 to 1.6.13;

11.Recommend to Council that the Chief Finance Officer be authorised to adjust capital project budgets and financing in 2020/21 and throughout the Capital Programme after the 2019/20 accounts are closed and the amount of slippage and budget carry forward required are known;

12.Recommend to Council the adoption of Flexible Use of Capital Receipts provisions as set out in paragraphs 1.6.23 to 1.6.26;

13.Recommend to Council the approval of the Capital Strategy as set out in Appendix J;

14.Recommend to Council the approval of the Treasury Management Strategy for 2020/21 as set out in Appendix K1

15.Notes the Treasury Management Performance reports set out in Appendices K2 and K3;

16.Recommend to Council the approval of the following in relation to the Housing Revenue Account:

a)    The proposed rent be increased by CPI+1% for council dwellings as set out in paragraph 1.8.8 to take effect from 1 April 2020;

b)    The proposed temporary accommodation rents are increased by in line with the LHA rate as in para 1.8.9 to take effect from 1 April 2020;

c)    The proposed increases to service charges for council dwellings as set out in paragraph 1.8.13 to take effect from 1 April 2020; and

d)    The proposed rent increase of 3% for council garages as set out in paragraph 1.8.13 to take effect from 1 April 2020.

17.Recommend to Council the approval of the Schools Budget of £351.626m for 2020-21 as per paragraph 1.5.46 to 1.5.55;

18.Approve Post 16 Funding of £5.209m as per para 1.5.45;

19.Recommend to Council that any changes to the Schools Budget reasonably required as a result of the final 2020/21 DSG and Post-16 settlement are delegated for decisions to the Strategic Director – Children & Young People in consultation with the Director of Finance;

20.Note the fees and charges as detailed in Appendix G;

21.Note the summary equality impact assessment (EIA) and cumulative assessment set out in section 9.  Appendix I provides the cumulative impact and individual Departmental assessments;

22.Recommend to Council approval of the reserves and balances policy as set out in Appendix L and indicative amounts as set out in paragraph 1.5.64 and the Director of Finance’s assessment of adequacy of General Fund Balances in section 1.5.70. The Committee recommend to Council that the Director of Finance is authorised to adjust balances in 2020/21 after 2019/20 accounts are closed and the amount of balances carry forward required are known;

23.Approve the underlying Financial strategy of the council as set out in paragraph 1.5.1 for referral to Council; and

24.Notes the Corporate Risk Register and recommend it to Council as set out in Appendix N