Issue - meetings

Policy and resources strategy 2015/16 to 2017/18 - revenue budget

 

 

Meeting: 07/02/2017 - Cabinet (Item 13)

13 Policy and Resources Strategy: 2017-18 – 2019-20

To consider recommendations relating to the policy and resources strategy 2017-18 – 2019-20.  

Supporting documents:

Minutes:

The report had not been circulated five clear days in advance of the meeting. The chair agreed to accept the item as urgent, because cabinet was required to prepare a budget proposal for submission to council assembly. This meeting was the last cabinet meeting before council assembly on 22 February 2017, and the council is required to set a lawful budget by 11 March 2017.

 

RESOLVED:

 

1.  That the context of the budget as agreed by cabinet on 24 January 2017, where the following recommendations were agreed, be noted:

 

“That cabinet:

 

1.1.   Note that the provisional settlement was received on 15 December, and is reflected in the revised 2017-18 draft budget. 

 

1.2.   Note that the key elements for the council arising from the provisional settlement included:

 

·  Settlement Funding Assessment (SFA), updated to include the confirmed Revenue Support Grant (£57.79m) and Business Rate Baseline Funding levels (£108.21m)

·  Confirmed new homes bonus for 2017-18 of £13.053m representing an overall reduction of £2.0m on 2016-17 budgeted funding levels;

·  Powers to bring forward the timing of the adult social care precept

·  A one year only Adult Social Care grant of £1.577m for 2017-18, funded by the government through a further reduction in new homes bonus

·  Confirmed improved better care fund in 2017-18 of £1.658m m payable directly to the council and indications of increased funding in 2018-19 and 2019-20;

·  Confirmed Public Health Grant for 2017-18 of £28.194m which is a reduction of £0.69m from 2016-17.

 

1.3.   Note the risk transfer of retained business rate funding to local authorities.

 

1.4.   Note the impact on school funding grants, specifically the cessation of the Education Support Grant.

 

1.5.   Note the continued uncertainties especially regarding adult social care and children’s services cost and demand pressures for 2017-18 and beyond and also ongoing funding risks and uncertainties relating particularly to the new Adult Social Care Grant, New Homes Bonus, Public Health Grant and risks of retained Business Rates.

 

1.6.   Note the current budget deficit for 2017-18 of £1.822m, reduced from £2.6m on 13 December 2016, and £8.1m presented on 1 November 2016, after the incorporation of a number of budget proposals and updated information following the provisional settlement.

 

1.7.   Note that the general fund budget proposals for 2017-18 contained within this report include:

 

·  grant resources arising from the provisional settlement on 15 December (Appendix A)

·  Estimated resources for the Autumn Statement Grant

·  An assumed increase in Council Tax of 1.99%, below the cap of 2% laid down by the Department for Communities and Local Government (DCLG);

·  An assumed increase in the Adult Social Care (ASC) precept of 3%, in line with the maximum laid down by DCLG

·  Estimated council tax revenue of £87.5m in line with the Council Tax Base report agreed by cabinet in December

·  Estimated retained business rates growth of £8.7m

·  Planned use of balances of £3.7m, subject to reserves and balances being available

·  Planned contingency of £4m

·  Provision for contractual inflation and 1% pay award

·  Proposals for budget changes in 2017-18:

 

o  new  ...  view the full minutes text for item 13

Meeting: 25/02/2015 - Council Assembly (Item 2)

2 Policy and resources strategy 2015/16 to 2017/18 - revenue budget

Council assembly to debate the recommendations of the cabinet held on 10 February 2015 for a general fund budget for 2015/16 and a nil council tax increase for 2015/16 and vote on whether to agree them.

Supporting documents:

Minutes:

View the minutes text for item 2

Meeting: 10/02/2015 - Cabinet (Item 18)

18 Policy and Resources Strategy 2015-16 to 2017-18 - Revenue Budget

For cabinet to recommend the proposals in this report for a balanced budget based on a nil council tax increase for 2015/16 to Council Assembly on 25 February 2015.

Supporting documents:

Minutes:

This item had not been circulated five clear days in advance of the meeting. The chair agreed to accept the item as urgent as the council is committed to publishing budget proposals at the earliest opportunity to ensure that they are available to the public for comments and questions. Additionally, under the council’s constitution there is a requirement for the overview and scrutiny committee to review and challenge the budget proposal. This took place on 2 February 2015 and recommendations arising from this meeting are included in paragraphs 97 to 102 of the report.

 

RESOLVED:

 

1.  That it be noted that the government’s Autumn Statement was delivered on 3 December 2014; that the final settlement was announced on 3 February 2015, but is still subject to parliamentary approval. The motion to approve the settlement in Parliament will be on 10 February 2015.

 

2.  That the provisional settlement contained no indicative grant settlement figures for 2016/17 or beyond be noted.

 

3.  That it be noted that the final settlement included additional resources for the council of £750,000 in respect of an increased allocation to assist in dealing with pressures on local welfare and health and social care, and that this has been used to substitute the need for use of the Hardship Fund to support the Southwark Emergency Support Scheme in 2015/16.

 

4.  That it be noted that the Hardship Fund resources will be returned to ring fenced earmarked resources to be allocated by cabinet to support those most in need at some future date.

 

5.  That it be noted that representations have been made to the Minister by the leader and by the cabinet member for finance, strategy and performance with regard to the provisional settlement.

 

6.  That specific funding by government for Local Welfare Provision has been removed from the settlement be noted.

 

7.  That it be noted that cabinet have previously agreed to extend the Southwark Emergency Support Scheme until 2017/18, despite the withdrawal of this Social Welfare Provision funding and that budget provision for 2015/16 is provided in the budget proposals contained in the report.

 

8.  That on 27 January 2015 cabinet agreed to set a one year budget for 2015/16 in the context of uncertainty over funding levels for 2016/17 and beyond be noted.

 

9.  That balanced general fund budget proposals for 2015/16 contained within the report be noted, including resources available, commitments, income generation efficiencies and improved use of resources and other savings impacting on service delivery.

 

10.  That the balanced budget plans for council tax to be frozen for 2015/16 be noted.

 

11.  It be noted that these proposals for 2015/16 include the impacts of:

 

·  The provisional grant settlement

·  An increase in council tax revenue to reflect an increase in the taxbase and improved collection rates

·  An increase in retained business rates

·  Pay awards for council staff in line with national agreements

·  Contractual inflation

·  Top slicing of new homes bonus to redirect resources to the Local Enterprise Partnership (LEP)

·  Reduction in grant to  ...  view the full minutes text for item 18