Agenda item

This report presents the Financial Strategy 2017/18 to 2021/22, including detailed revenue budget proposals for 2017/18, and asks Members to recommend to Council approval of the proposals. 

Resolved:     That Executive approve:

(i)           The average rent decrease of 1.0% to be applied to all ‘social housing rents’ for 2017/18, as required by legislation. This is shown in table 13 and described in paragraph 146 of the report.

(ii)          The average rent increase of 2.0% to be applied to all rents which fall outside the definition on ‘social housing rents’ for 2017/18, as described in paragraph 148 of the report.

(iii)        That any changes resulting from the Final Local Government Finance Settlement be reflected in the Budget report to Council on 23 February 2017 with the balance of any change being reflected in a change in the Contingency Budget.

Reason:        To ensure the ongoing financial stability of the HRA and allow work on improving the quality of the council’s affordable housing to continue.

[See also Part B minutes]

Members considered a report which presented the financial strategy 2017/18 to 2021/22, including detailed revenue budget proposals for 2017/18 for Council approval.

It was noted that the financial strategy delivered a balanced budget for 2017/18 with savings proposals totalling £6.0m equivalent to 5.0% of the net budget.  The report outlined a proposed council tax increase of 0.7% in 2017/18, with an additional increase of 3% in line with the government’s social care precept, which provided support for social care.  The total council tax increase including the parish, police and fire authority precepts would be agreed at the full Council meeting on 23February 2017.

It was explained that the final local government finance settlement was not expected until 22 February 2017.  Therefore, an additional recommendation which sought Executive’s approval to incorporate any changes resulting from the Local Government Finance Settlement into the Budget report to Council on 23 February was presented.

Whilst consultation feedback was included within the report, concerns were raised as to the consultation and its timing and it was acknowledged that the process could be improved. It was confirmed that the Chief Executive would respond in writing to the speaker who had raised issues, under the earlier Public Participation item, regarding the consultation.

The Deputy Leader highlighted the scale of the challenges faced and reaffirmed the Executive’s commitment to investment in front line services.  The Leader also spoke of the pressure on council finances, particularly in the field of adult social care, but at the same time recognised that household budgets were stretched.  The budget proposed reflected a council tax level which was a comprise between those competing aims.

Resolved:     That Executive approve:

(i)           The average rent decrease of 1.0% to be applied to all ‘social housing rents’ for 2017/18, as required by legislation. This is shown in table 13 and described in paragraph 146 of the report.

(ii)          The average rent increase of 2.0% to be applied to all rents which fall outside the definition on ‘social housing rents’ for 2017/18, as described in paragraph 148 of the report.²

(iii)        That any changes resulting from the Final Local Government Finance Settlement be reflected in the Budget report to Council on 23 February 2017 with the balance of any change being reflected in a change in the Contingency Budget.

Reason:        To ensure the ongoing financial stability of the HRA and allow work on improving the quality of the council’s affordable housing to continue.