Decision details

RESOLVED

KEY DECISION

That the Executive endorsed the contents of the report and recommended the budget proposals on to Council for approval.  This included:

a)   the 2023-24 revenue budget for approval and adoption as set out in this report, which sets:

i.       A budget requirement of £691.458m including Dedicated Schools Grant of £354.963m resulting in a net revenue budget requirement of £336.495m as set out in Appendix A of the report.

ii.      A total Council Tax requirement for the Council’s own purposes of £189.419m as contained in paragraph 5.27.

iii.     An average Band D Council Tax of £1,657.51 for North Northamptonshire Council, representing a 2.99% increase in the ‘core’ Council Tax and a further 2% for the Adult Social Care Precept, noting that a separate Council Tax Resolution Report will be presented to Full Council.

iv.     The detailed proposals of savings, pressures and income generation for 2023-24 as set out within the report and Appendix B of the report.

v.      The provisional dedicated schools grant budget of £354.963m for 2023-24, as detailed in Appendix C of the report, and summarised in paragraphs 5.47 – 5.58.

vi.     The draft planned use of, contribution to, and movement in, reserves as identified in paragraph 5.60 and section 9 subject to the final call on reserves after any changes are required to account for final charges etc.

vii.   The corporate budget requirements as set out in paragraph 8.1, including a contingency sum of £3.651m as set out in paragraph 8.2.

viii.  The Treasury Management Strategy for 2023-24 as set out in Appendix H of the report, including the Authorised Borrowing Limit of £798m, and to note a further update to the Strategy will be provided once the disaggregation of Northamptonshire County Council’s Balance Sheet has been finalised, subject to the External Audit of the former County Council’s accounts.

ix.     That Council delegate authority to the Executive Member for Finance and Transformation in consultation with the Executive Director of Finance and Performance (Section 151 Officer) to agree any necessary variations to the budget prior to 1^st April 2023.

x.      That Council delegate authority to the Executive Member for Finance and Transformation in consultation with the Executive Director of Finance and Performance (Section 151 Officer) to agree the use of the following reserves which will provide the flexibility to manage the overall budget during 2023-24.

•        Social Care Reserve

•        Transformation Reserve

•        Public Health Reserve

•        Waste Management Reserve

•      General Risk Reserve

b)   the forecast financial position for 2024-25 and 2025-26, noting that this will be reviewed as further information becomes available and updated as part of the budget process for 2024-25 onwards.

That the Executive:

a)    Noted that the financial position has been based on the Provisional Local Government Finance Settlement announced on 19^th December 2022 together with any further announcements as at the date of the publication of this report;

b)    Noted that the Final Local Government Finance Settlement is yet to be published and, therefore, some figures may be subject to change;

c)    Considered the consultation feedback as summarised in the report and attached at Appendix E of the report;

d)    Considered the outcome from the Finance and Resources Scrutiny Committee, as detailed at Appendix G and any subsequent representations to this Committee;

e)    Noted the Equality Impact Screening Assessment as at Appendix F as having been taken into consideration;

f)     Considered the Section 25 Report of the Executive Director of Finance and Performance (Section 151 Officer) as set out in Section 15, including her review of the robustness of the estimates and the adequacy of the reserves;

g)    Delegated authority to the Executive Member for Children, Education and Skills and the Executive Member for Finance and Transformation in consultation with the Executive Director of Children’s Services and the Executive Director of Finance and Performance (Section 151 Officer) to approve North Northamptonshire’s Schools Funding Formula and to finalise the funding allocation for schools, in line with North Northamptonshire’s Schools Funding Formula and following confirmation of the funding allocation mechanism for Maintained Nurseries;  

h)    Delegated authority to the Executive Member for Finance and Transformation in consultation with the Executive Director of Finance and Performance (Section 151 Officer) to draft the recommended budget resolution for Council in accordance with the necessary legal requirements and to take into account the decisions of the Executive and any final changes and other technical adjustments that may be required;

i)     Noted that the transfer of £3.879m from reserves relates to a timing issue in respect of Business Rates Reliefs. This is a timing issue which recognises that these reliefs were awarded and accounted for in the General Fund in 2022-23 but the reduced yield in Business Rates is not reflected in the Collection Fund until 2023-24;

Reason for Recommendations:

·         To ensure that the Council complies with its Constitution and legislative requirements in setting the budget for North Northamptonshire Council from 2023-24.

Alternative Options Considered – The Budgets have been subject to a formal budget consultation and comments from the consultation have been considered as part of this process.