Issue - meetings

Budget 2021/22 - to recommend Council to approve the budget

Meeting: 10/02/2021 - Council (Item 144)

144 Revenue budget 2021/22 and capital programme to 2025/26 pdf icon PDF 203 KB

Cabinet, at its meeting on 5 February 2021, will consider a report on the draft revenue budget 2021/22, and the capital programme to 2025/26.

 

The report of the interim head of finance, which Cabinet will consider on 5 February 2021, will be circulated to all councillors.  

 

The recommendations of Cabinet will be circulated to all councillors following the Cabinet meeting.

 

The Scrutiny Committee will consider this report at its meeting on 8 February 2021. Any views will be reported to Council.

 

Additional documents:

Minutes:

The chair 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 chair 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 officer on the robustness of the budget estimates and the adequacy of the reserves.

 

Council considered Cabinet’s recommendations, made at its meeting held on 5 February 2021 on the revenue budget for 2021/22 and the capital programme to 2025/26. Scrutiny Committee had considered the report of the interim head of finance on 8 February and had made no recommendations. 

 

Councillor Crawford, Cabinet member for finance, presented Cabinet’s proposals for the revenue budget and capital programme. He moved and Councillor Emily Smith, Leader of the council, seconded a motion to approve Cabinet’s recommendations as follows:

 

1.    to set the revenue budget for 2021/22, as set out in appendix A.1 to the interim head of finance’s report to Cabinet on 5 February 2021;

2.    to approve the capital programme for 2021/22 to 2025/26 as set out in appendix D.1 to that report, together with the capital programme changes as set out in appendix D.2 to that report;

3.    to set the council’s prudential limits, as listed in appendix E to that report;

4.    to approve the medium-term financial plan to 2025/26, as set out in appendix F to that report.

 

In introducing the budget the Cabinet member highlighted that the budget would result in an increase in council tax of £5 for a Band D property for 2021/22 - the maximum increase allowed under the draft referendum rules outlined in the government’s provisional settlement. 

 

Coronavirus had played a central part in the budget and the council was likely to continue to see additional costs and income losses in the new financial year.  The figures included in the budget for these were estimates only, as no-one could predict the future course of the pandemic.   The government had provided support for some, but not all, council losses. The council was likely to achieve lower investment income for some time to come.

 

The prioritisation of staff resources had meant that, in this budget, Cabinet had not been able to bring forward additional budget proposals to support priorities in the new corporate plan.  However, officers have identified where existing budgets could fund corporate plan delivery activity.  Deliverability of those activities would be  ...  view the full minutes text for item 144


Meeting: 05/02/2021 - Cabinet (Item 83)

83 Budget 2021/22 pdf icon PDF 203 KB

Additional documents:

Minutes:

Cabinet considered the interim head of finance’s report on the budget 2021/22.  The report set out the revenue budget for 2021/22, and the capital programme to 2025/26, that Cabinet was asked to recommend to Council on 10 February to approve.  The report would be considered by the Scrutiny Committee on 8 February also. 

 

The report recommended an increase in council tax of £5 for a Band D property for 2021/22.  This was the maximum increase allowed under the draft referendum rules outlined in the government’s provisional settlement. 

 

Covid-19 had played a central part in the budget.  The council was likely to continue to see additional costs, and income losses in the new financial year.  The figures included in the budget for these were estimates only, as no-one could predict the future course of the pandemic.  The government had provided support for some, but not all, council losses.

 

The prioritisation of staff resources had meant that, in this budget, Cabinet had not been able to bring forward additional budget proposals to support our priorities in the new corporate plan.  The report had, however, identified where existing budgets could fund corporate plan delivery activity.  Deliverability of those activities would be dependent on council resources being available to progress them. 

 

The budget report also included the medium-term financial plan for the next five years.  This continued to show an increasing draw on reserves over the five year period, based on current estimates of future local government funding.  This increasing use of reserves was unsustainable and officers and Cabinet would continue to review budgets in the context of the corporate plan priorities to identify ways to improve the council’s financial position. 

 

Cabinet noted that there was a confidential appendix A.6 to the budget report, which provided background information to councillors of the breakdown of the contingency sum in the public appendix A.6.  

 

Cabinet supported the budget proposal and thanked the Cabinet member for finance and all officers involved in producing the budget.  Cabinet members were proud that they had managed to produce a budget in such difficult times without the need for budget cuts, but still allowing the council to progress its corporate plan.  The budget protected residents, retained services, supported local businesses, and supported the council’s finances. 

 

Given the uncertainty surrounding the budget, it was noted that it was possible that Cabinet might need to revisit the budget during the year, if circumstances changed. 

 

RECOMMENDED:

 

(a)      to Council on 10 February 2021 that it:

(i)        sets the revenue budget for 2021/22, as set out in appendix A.1 to the interim head of finance’s report to Cabinet on 5 February 2021;

(ii)       approves the capital programme for 2021/22 to 2025/26 as set out in appendix D.1 to that report, together with the capital programme changes as set out in appendix D.2 to that report;

(iii)      sets the council’s prudential limits, as listed in appendix E to that report;

(iv)      approves the medium-term financial plan to 2025/26, as set out in appendix F  ...  view the full minutes text for item 83


 

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