Agenda item - Budget 2024-25 and Medium-Term Financial Plan

To seek Full Council approval for the revenue budget for 2024-25 and the Medium-Term Financial Plan for North Northamptonshire Council, including the proposed Council Tax level for 2024-25.

That Council:

a) approves the 2024-25 revenue budget as set out in the Budget 2024-25 and Medium-Term Financial Plan report, which includes and sets:

i. a budget requirement of £763.773m including a Dedicated Schools Grant of £388.440m and a net revenue budget requirement of £375.333m as set out in Appendix A.

ii. a total Council Tax requirement for the Council’s own purposes of £201.599m as contained in paragraph 5.25.

iii. An average Band D Council Tax of £1,740.22 for North Northamptonshire Council, representing a 2.99% increase in the ‘core’ Council Tax and a further 2% for the Adult Social Care Precept, and as set out within the separate Council Tax Resolution Report attached at Appendix K.

iv. the detailed proposals of savings, pressures and income generation for 2024-25 as set out within the report and Appendix B.

v. the Dedicated Schools Grant budget of £388.440m for 2024-25, as detailed in Appendix C, and summarised in paragraphs 5.41 – 5.55.

vi. the planned use of, contribution to, and movement in, reserves as identified in paragraph 5.56, section 9 and Appendix D of this report, subject to the final call on reserves as a result of the Final Financial Settlement or other changes.

vii. the corporate budget requirements as set out in paragraph 8.1, including a contingency sum of £4.101m as set out in paragraph 8.2.

viii. the Treasury Management Strategy for 2024-25 as set out in Appendix H, including the Authorised Borrowing Limit of £907m and to note a further update to the Strategy will be provided once the disaggregation of the former Northamptonshire County Council’s Balance Sheet has been finalised.

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

b) delegates 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 1st April 2024.

c) delegates 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 2024-25.

• Transformation Reserve

• Public Health Reserve

• Waste Management Reserve

• Adult Social Care Reserve

• Budget Delivery Reserve

• Business Rates Retention Reserve

• General Risk Reserve

d) notes the forecast financial position for 2025-26 to 2027-28, noting that this will be reviewed as further information becomes available and updated as part of the budget process for 2025-26 onwards.

e) notes that the financial position has been based on the Final Local Government Finance Settlement announced on 5th February 2024.

f) considers the consultation feedback as summarised in the report and attached at Appendix E.

g) notes the Equality Impact Screening Assessment as at Appendix F as having been taken into consideration.

h) considers the outcome from the Corporate Scrutiny Committee, as detailed at Appendix G and any separate representations to Executive.

i) considers 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.

j) delegates authority to the Executive Member for Children, Education and Skills and the Executive Member for Finance and Transformation in consultation with the Executive Director for Adults, Health Partnerships and Housing (and Children’s Services – Interim) 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.

k) delegates 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.

Council Tax Setting

l) Notes the legal background to setting the budget and Council tax as set out in Appendix I.

m) approves the Council Tax Resolution attached as Appendix K to the report which is based on the budget proposals, and which:

• Calculates the Council tax requirement in accordance with Section 31A of the Local Government Finance Act 1992 as amended by the Localism Act 2011.

• Calculates a basic amount of Council Tax and an amount of tax for each valuation band (the Council element) in accordance with Sections 31B and 36 of the Local Government Finance Act, 1992, as amended.

• Sets an amount of Council Tax for each category of dwellings in each valuation band in accordance with Section 30 of the Local Government Finance Act, 1992.

Reason for Decision:-

To ensure that the Council complies with its Constitution and legislative requirements in setting the budget for North Northamptonshire Council from 2024-25.

Alternative Options Considered:-

The budgets have been subject to a formal budget consultation and scrutiny and the feedback has been considered as part of this process.

In accordance with the Local Authorities (Standing Orders) (England) (Amendment) Regulations 2014, the names of the councillors voting for the decision, against the decision or abstaining from voting are as follows:-

For the decision:- (41)

Cllr Tim Allebone

Cllr Valerie Anslow

Cllr Paul Bell

Cllr Matt Binley

Cllr Jennie Bone

Cllr David Brackenbury

Cllr Wendy Brackenbury

Cllr Cedwien Brown

Cllr Lyn Buckingham

Cllr Lloyd Bunday

Cllr Jon-Paul Carr

Cllr Robin Carter

Cllr Scott Edwards

Cllr Jonathan Ekins

Cllr Clive Hallam

Cllr Larry Henson

Cllr Helen Howell

Cllr Ken Harrington

Cllr David Howes

Cllr Bert Jackson

Cllr Graham Lawman

Cllr Lora Lawman

Cllr Steven North

Cllr Dorothy Maxwell

Cllr Paul Marks

Cllr Andy Mercer

Cllr Gill Mercer

Cllr Macaulay Nichol

Cllr Anup Pandey

Cllr Tom Partridge-Underwood

Cllr Harriet Pentland

Cllr Eliot Prentice

Cllr Russell Roberts

Cllr Mark Rowley

Cllr Geoff Shacklock

Cllr Jason Smithers

Cllr Joseph Smyth

Cllr Sarah Tubbs

Cllr Malcolm Ward

Cllr Keli Watts

Cllr Lee Wilkes

Against the decision:- (10)

Cllr Jean Addison

Cllr Ross Armour

Cllr Leanne Buckingham

Cllr William Colquhoun

Cllr Matt Keane

Cllr Jim Hakewill

Cllr Anne Lee

Cllr John McGhee

Cllr Zoe McGhee

Cllr Mark Pengelly

Abstaining from the decision:- (2)

Cllr Dez Dell

Cllr Emily Fedorowycz