Issue - items at meetings - Capital Budget 2025/26 to 2029/30

This report sets out the capital programme for 2025/26 to 2029/30, and in particular sets out proposals to continue the Council’s approach to prioritise investment in the economy, housing, transport and to invest to save including energy efficiency.

Resolved:

i. To recommend the Council agree to the revised capital programme of £385.383m that reflects a net overall increase of £60.947m (as set out in table 2 and in Annex 1). Key elements of this include:

a. New schemes funded by prudential borrowing totalling £8.150m as set out in table 3;

b. Extension of prudential borrowing funded Rolling Programme schemes totalling £24.712m as set out in table 4;

c. Extension of externally funded Rolling Programme schemes totalling £11.935m as set out in table 5;

d. An increase in HRA funded schemes totalling £16.150m funded from a combination HRA balances/capital receipts as set out in table 6;

ii. To recommend that Council noted the total increase in Council borrowing as a result of new schemes being recommended for approval is £32.862m the details of which are considered within this report and the financial strategy report.

iii. To recommend that Council approve the full restated programme as summarised in Annex 2 totalling £385.383m covering financial years 2025/26 to 2029/30 as set out in table 10 and Annex 2.

Reason: To ensure the Council maintains the funding for the capital programme.

The Director of Finance introduced the reports on the Capital Budget 2025/26 to 2029/30 and the Capital & Investment Strategy. She confirmed that £61 million would be added to the capital budget to fund an additional year of capital investment. She also outlined that the Council has included a policy on the flexible use of capital receipts to fund transformation.

The Executive Member for Finance, Performance, Major Projects, Human Rights, Equality, and Inclusion outlined the importance of the capital budget which allowed the Council to invest in new projects and maintain the Council’s assets both historic and modern. She stated that the Executive had to review the Council’s capital projects of the previous administration to ensure projects that they use grant funding and borrowing would be deliverable.

The Executive Member for Housing, Planning, and Safer Communities spoke on the Housing Revenue Account and highlighted the additional funding for repairs which had brought down the time a Council property was a void. He noted that these improvements brought in additional funding to the Council and helped address housing needs.

The Deputy Leader and Executive Member for Economy & Culture stated that the Executive maintained the ambition for duelling the outer ring road. However, he noted that with the high cost of construction the Council’s first priority would be to deliver the connections needed for strategic development sites in the local plan while the Council would seek funding for the additional work on the outer ring road.