Agenda, decisions and minutes

Apologies for absence were received on behalf of Charisse Monero, Executive Director of Children’s Services.

RESOLVED that the minutes of the meeting held on 19^th December 2024 are a true and accurate record of the meeting.

No declarations were received.

The Chair, Councillor Jason Smithers reported that there were requests to address the meeting as set out below:

RESOLVED

That the Executive:

a)      received the Annual Budget Scrutiny Report for 2025/26 from the Corporate Scrutiny Committee at Appendix A.

b)      endorsed the enhanced budget scrutiny process undertaken to scrutinise the draft budget for 2025/26.

c)       delegated authority to Executive Directors, in consultation with the Executive Portfolio Holders and the Chair of the Corporate Scrutiny Committee, to agree an action plan with a detailed timetable to formally respond to the recommendations in the report.

Reason for Recommendations:  To ensure that the Council complies with its Constitution, legislative requirements and best practice in setting the 2025-26 budget for North Northamptonshire Council. The recommendations aim to strengthen the alignment between the budget, the Council’s strategic priorities, statutory obligations; robust financial governance and scrutiny.

Alternative Options Considered:  None. The Corporate Scrutiny Committee is a statutory consultee in the budget-setting process and plays a key role in ensuring transparency and accountability in compliance with its statutory responsibilities.

The Chair, Councillor Jason Smithers invited Councillor Jim Hakewill to address the Executive.  Councillor Hakewill stated that no public had been invited to attend the budget scrutiny sessions and not all of the Budget Scrutiny Panel had attended all meetings.  The Centre for Governance and Scrutiny needed to come into the Council and undertake a root and branch review of scrutiny.  Resources for the EAPs should be put towards scrutiny.

The Chair thanked Councillor Hakewill for his contribution before inviting Councillor Lyn Buckingham, Chair of the Corporate Scrutiny Committee to introduce the report which provided formal feedback from the Budget Scrutiny Panel on the Executive’s budget proposals for 2025/26.  Councillor Buckingham stated that it was a pleasure to bring forward the report.  She thanked all Executive Members for engaging with the budget scrutiny process and also thanked officers, particularly the Finance Team, for also engaging with the process and providing information.  This was the start of a process that would go on throughout the year.  The Budget Scrutiny Panel had held 11 sessions over the two phases and she felt that the Panel had done a good job in giving assurances on the draft budget but people needed to understand that it was a delicate budget.

The Chair expressed his sincere gratitude for the work of the Panel.  He acknowledged the recommendations and their impact, and a formal response would be provided after the meeting.  The recommendations around financial reporting were supported and the  Budget Board was already providing oversight.  It was acknowledged that there needed to be better public engagement in the process, and we can always do better.  He shared scrutiny’s ambitions about children’s services and a dedicated children’s scrutiny committee would be considered by Full Council in March.  He thanked Councillor Buckingham for all her work in this process.

Councillors Mark Rowley, Scott Edwards, David Brackenbury, Lloyd Bunday, Helen Howell and Gill Mercer all spoke in support of the budget scrutiny process and the positive way in which they had been scrutinised.  They particularly thanked Councillor Buckingham for her leadership during the process.

RESOLVED

That the Executive:

a)      received the Annual Budget Scrutiny Report for 2025/26 from the Corporate Scrutiny Committee at Appendix A.

b)      endorsed the enhanced budget scrutiny process undertaken to scrutinise the draft budget for 2025/26.

c)      delegated authority to Executive Directors, in consultation with the Executive Portfolio Holders and the Chair of the Corporate Scrutiny Committee, to agree an action plan with a detailed timetable to formally respond to the recommendations in the report.

Reason for Recommendations:  To ensure that the Council complies with its Constitution, legislative requirements and best practice in setting the 2025-26 budget for North Northamptonshire Council. The recommendations aim to strengthen the alignment between the budget, the Council’s strategic priorities, statutory obligations; robust financial governance and scrutiny.

Alternative Options Considered:  None. The Corporate Scrutiny Committee is a statutory consultee in the budget-setting process and plays a key role in ensuring transparency and accountability in compliance with its statutory responsibilities.  ...  view the full minutes text for item 763.

RESOLVED

KEY DECISION

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

a)      the 2025-26 Revenue Budget for approval and adoption as set out in the report, which sets:

i.        a budget requirement of £827.905m including the Dedicated Schools Grant of £427.219m resulting in a net revenue budget requirement for the General Fund of £400.686m as set out in Appendix A.

ii.       a total Council Tax requirement for the Council’s own purposes of £214.835m as contained in paragraph 5.26.

iii.      an average Band D Council Tax of £1,827.06 for North Northamptonshire Council, representing an increase of 2.99% 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 Council

iv.      pressures of £51.6m, including adjustments for the reversal of one-off funding in 2024-25, and savings, efficiencies and income proposals of £26.3m as detailed in Appendix B.

v.       the provisional Dedicated Schools Grant budget of £427.2m for 2025-26, as detailed in Appendix C, and summarised in paragraphs 5.48 to 5.86.

vi.      the draft planned use of, contribution to, and movement in, reserves as identified in paragraph 5.40, section 9 and Appendix D of the report, subject to the final call on reserves as a result of the Final Financial Settlement or other changes.

vii.     corporate budget requirements as set out in paragraph 8.1, including a contingency sum of £2.6m as set out in paragraph 8.2.

viii.    the Treasury Management Strategy for 2025-26 as set out in Appendix H.

ix.      the recommended Flexible Use of Capital Receipts Strategy as set out in Section 10 and Appendix J.

x.       that Council delegate authority to the Executive Director of Finance and Performance (Section 151 Officer) in consultation with the Executive Member for Finance and Transformation to agree any necessary variations to the budget prior to 1st April 2025.

xi.      that Council delegate authority to the Executive Director of Finance and Performance (Section 151 Officer) in consultation with the Executive Member for Finance and Transformation to agree the use of the following reserves which will provide the flexibility to manage the overall budget during 2025-26.

•    Transformation Reserve

•    Public Health Reserve

•    Waste Management Reserve

•    Adult Social Care Reserve

•    Smoothing Reserve

•    Business Rates Retention Reserve

b)      the forecast financial position for 2026-27 to 2028-29, noting that this will be reviewed as further information becomes available and updated as part of the budget process for 2026-27 onwards.

That the Executive:

a)      noted that the financial position has been based on the Provisional Local Government Finance Settlement announced on 18th December 2024 together with any further announcements and updates to the forecast budget position as at the date of the publication of this report;

b)      noted that, at the time of writing, the Final Local Government Finance Settlement is yet to be published and, therefore, some figures may be subject  ...  view the full decision text for item 764.

The Chair, Councillor Jason Smithers invited Mr Chris Stanbra to address the Executive.  Mr Stanbra stated that within Revenues and Benefits there was a pressure arising from an increase in postage costs of £100k.  That was for one section only and how could that increase be justified, were there no other methods of sending out mail available?  An increase in bank charges was also showing as a pressure of £500k but there was no detail in the papers.  Moving to a different method for Minimum Revenue Provision, following the disaggregation process with West Northamptonshire has meant that council tax payers had paid over £20m extra that they need not of paid and this money could have been put to better use.

The Chair thanked Mr Stanbra for his contribution and invited Councillor Hakewill to address the Executive.  Councillor Hakewill stated that this was another budget of more Council Tax for less services.  He asked what would change in these proposals as a result of the scrutiny process.  The budget was a risk for everyone but decisions were made by a small group.  The report stated that the council tax increase for a Band D property was £86 for the year but this did not take into account the requirements of other authorities.  There was a blackhole in future finances.  The Reserves Strategy stated that there should be a minimum of 5% on general fund reserves but only 6% was being set aside.

The Chair thanked Councillor Hakewill for his contribution and invited Councillor Dorothy Maxwell to address the Executive.  Councillor Maxwell stated that within the report it stated that if the S151 Officer was considering the issuing of a S114 notice there was no requirement to notify councillors but this was concerning for transparency.  It was welcome that Free School Meal vouchers would continue for the coming year but had the Council looked at the implications if the grant was not to continue beyond next year.

The Chair thanked Councillor Maxwell for her contribution and gave assurances  that if the Council was ever in a position to consider issuing a S114 notice, all councillors would be informed.  The Chair then invited Councillor Lloyd Bunday, Executive Member for Finance and Transformation to introduce the report which set out the final General Fund Budget for 2025-26 and the Medium-Term Financial Plan.

In response to the comments made by the speakers, Councillor Bunday clarified that sending out council tax demands did cost a lot of money to ensure that the Council notified everyone who was required to pay.  The Minimum Revenue Provision was a reserve to pay down a loan when it matured and money had not been lost.  The demand led services were increasing and that would always be a risk on the budget.

Councillor Bunday stated that he was pleased to present the revenue budget and Medium-Term Financial Plan.  North Northamptonshire Council had bold aspirations and the budget played an  ...  view the full minutes text for item 764.

RESOLVED

KEY DECISION

That the Executive recommended to Full Council the following-

a.       The 2025/26 Housing Revenue Account Budget as set out in Appendix A.

b.       An increase in dwelling rents for 2025/26 of 2.7% which adheres to the Ministry of Housing, Communities and Local Government (MHCLG) rent setting formula.

c.       The Housing Revenue Account Medium Term Financial Plan for 2026/27 to 2029/30 as set out in Appendix B.

That the Executive

d.       Noted the forecast reserves for the Housing Revenue Account up to 2029/30 as set out in Appendix C.

e.       Noted the comments from the Corporate Scrutiny Committee as set out in Appendix D.

Reason for Recommendations:  To ensure that the Council complies with its Constitution in setting the budget for North Northamptonshire.

Alternative Options Considered:  This HRA budget has been the subject to a formal budget consultation and comments from the consultation have been considered as part of this process.

The Chair, Councillor Jason Smithers invited Councillor Jim Hakewill to address the Executive.  Councillor Hakewill stated that within the decent homes works for heating upgrades, we would be spending less each year as the budget would not be receiving an inflationary increase.  The Council was investing less on tenants homes year by year.  Some properties still had old irreparable oil fired boilers, leading to no heat or hot water.  When would the Council spend on greener alternatives?

The Chair thanked Councillor Hakewill for his contribution and then invited Councillor Lloyd Bunday, Executive Member for Finance and Transformation to introduce the report which set out the proposed budget for the HRA for 2025/26 and the key principles on which it was based together with the Medium-Term Financial Plan that covered the following four years to 2029/30.

Councillor Bunday explained that the HRA was a separate ring-fenced account which was based on the value of the housing stock.  There was a balanced position for the HRA and it supported the development of a 30-year business plan.  The proposed rent increase of 2.7% had been consulted on with the Tenant Advisor Panel who had been supportive.

Councillor Mark Rowley, Executive Member for Housing and Communities welcomed the proposals.  He was happy that the Tenant Advisor Panel had approved the proposed rent increase and that they had understood why it was needed. He confirmed that the stock was not decaying and the Council was working to replace oil based heating with more efficient systems.

RESOLVED

KEY DECISION

That the Executive recommended to Full Council the following-

a.      The 2025/26 Housing Revenue Account Budget as set out in Appendix A.

b.      An increase in dwelling rents for 2025/26 of 2.7% which adheres to the Ministry of Housing, Communities and Local Government (MHCLG) rent setting formula.

c.       The Housing Revenue Account Medium Term Financial Plan for 2026/27 to 2029/30 as set out in Appendix B.

That the Executive

d.      Noted the forecast reserves for the Housing Revenue Account up to 2029/30 as set out in Appendix C.

e.      Noted the comments from the Corporate Scrutiny Committee as set out in Appendix D.

Reason for Recommendations:  To ensure that the Council complies with its Constitution in setting the budget for North Northamptonshire.

Alternative Options Considered:  This HRA budget has been the subject to a formal budget consultation and comments from the consultation have been considered as part of this process.

RESOLVED

KEY DECISION

That the Executive recommended to Full Council:

a)      the General Fund Capital Programme 2025-29 and HRA Capital Programme 2025-29 as detailed in Appendix B and C.

b)      the Capital Strategy at Appendix A, including the authorised borrowing limit of £749.1m.

c)      the amendments required to The Constitution to reflect changes in the Capital Strategy, as detailed in Appendix E.

d)      that Council delegate authority to the Executive Director of Finance and Performance (Section 151 Officer) in consultation with the Executive Member for Finance and Transformation to agree any necessary variations to the capital budget prior to 1st April 2025.

That the Executive noted:

a)      the Development Pool 2025-29 as detailed at Appendix D and that schemes within the pool will be subject to further approval prior to inclusion in the programme.

Reason for Recommendations:  To ensure that the Council complies with its Constitution and legislative requirements in setting the budget for North Northamptonshire Council for 2025-26.

Alternative Options Considered:  Any comments from the consultation have been considered as part of this process.

The Chair, Councillor Jason Smithers invited Mr Chris Stanbra to address the Executive.  Mr Stanbra stated that previous years capital programme for the HRA showed similar amounts for new build housing development as for the next year but the number of council owned properties had decreased and the Council was hardly building any new houses.  This showed a lack of ambition for those on the housing waiting list.  It appeared that the Council had no intention of building new houses and they were letting people down.

The Chair thanked Mr Stanbra for his contribution and invited Councillor Jim Hakewill to address the Executive.  Councillor Hakewill stated that the funding for the Northamptonshire Traveller Unit was increasing this year but then was a part reversal saving of £50k as there had been a reduction in the number of unauthorised encampments.  The proposed travellers temporary stopping site at Rothwell Green Space should have been debated in January but was now not on the Forward Plan at all.  Social media had been told that there was an alternative site but councillors had not and the situation was chaotic.  The Chair intervened and requested that Councillor Hakewill withdraw his comment about the situation being chaotic, which Councillor Hakewill declined to do. 

The Chair invited Councillor Dorothy Maxwell to address the Executive.  Councillor Maxwell sought clarity as to which villages would receive bus service improvements.  She also sought clarification as to whether the primary and secondary school investment would include Stanton Cross Secondary and how long it would take to plan and deliver.  Huxloe School in Irthlingborough needed replacement and would the Wollaston Multi-Use Games Area be available for the public to use.  The Chair thanked Councillor Maxwell for her contribution and then invited Councillor Lloyd Bunday, Executive Member for Finance and Transformation to introduce the report which set out the Capital Programme for 2025-26 and the indicative Medium-Term Financial Plan.

Councillor Bunday clarified that the saving for the traveller unit was down to transformation in that service.  Unauthorised encampments were being reported earlier and the unit was doing things better.  The report set out the Capital Programme for 2025-26 and £208m would be invested over the next five years, delivering the Council’s priority of a brighter, better future for residents.  There was proposed significant investment in the housing stock and improvements.  The Capital Strategy had also been reviewed as part of this process.  This was an ambitious Capital Programme.

Councillor David Howes confirmed that the traveller stopping site was still included in the programme as a site allocation was still needed but the Rothwell site would no longer be used.  The Traveller Unit was now working in a more cost effective way and services were improving for the benefit of tax payers.

Councillor Scott Edwards explained that the childcare expansion was developing a number of nurseries within schools.  There would be a programme of new expansions with existing  ...  view the full minutes text for item 766.