Agenda item - General Fund Revenue and Capital Budget and Council Tax 2021/22
Agenda item
General Fund Revenue and Capital Budget and Council Tax 2021/22
- Meeting of Virtual meeting, Council, Tuesday, 23rd February 2021 6.30 pm (Item 21.C.19)
- View the background to item 21.C.19
To seek approval to recommendations from the Executive contained in the attached report of the Chief Finance Officer (Introduced by the Executive Member for Resources) and within the appendices listed below.
Minutes:
The Deputy Leader and Executive Member (Resources), Councillor Peter Wilson, presented the Executive's General Fund Revenue and Capital Budget and Council Tax 2021/22.
Councillor Wilson thanked the officers and the Labour Group for their hard work and input into the proposed budget. He thanked all the staff working for the council for their contributions in delivering services during the Covid-19 pandemic.
There continues to be uncertainty regarding the council’s funding streams with the Government announcing a one-year financial settlement for 2021/22 rather than the expected multi-year settlement. There are also anticipated changes to the Business Rate Retention system and reforms to the New Homes Bonus. Due to the this there is a proposed 1.99% increase in council tax in 2021/22.
Councillor Wilson referred to the achievements of the council in recent years, and the plans within the Corporate Strategy, which will be delivered by this proposed budget.
The council has been ambitious in its approach to meeting the budget deficit through generating efficiency savings and additional income. The council recognised that reductions in funding and ongoing expenditure budget pressures have resulted in a forecast budget gap of £0.881m in 2021/22 increasing to £4.168m in 2023/24. To bridge this budget gap the Executive Cabinet has achieved forecast cumulative budget savings and additional income of £1.228m over the medium-term.
The council has a strong track record of investing in assets that enable improvements to local infrastructure and deliver new services to residents within the borough, including
· Market Walk Shopping Centre extension
· Strawberry Fields Digital Office Park
· Primrose Gardens
· purchase of the Logistics House site
Despite the budget savings identified there remain large forecast budget deficits of £1.749m in 2022/23 and £2.794m in 2023/24. To achieve a sufficient reduction in net expenditure the council’s strategy will be:
1. To make the council more financially self-sufficient with specific emphasis on creating investment that provides benefits to residents and businesses whilst also generating income.
2. To realise savings through the procurement of its contracts including joint contractual arrangements with South Ribble Council.
3. To identify efficiencies through investment in infrastructure, ICT and through exploring alternative delivery models that will enable the council to balance the budget whilst seeking to minimise the impact on front line service users
In summary, the proposals will:
Involving residents in improving their local area and equality of access for all
· £100,000 to support future planning applications and enable us to, if needed, defend locally made decisions.
· £60,000 to continue to support vulnerable individuals through funding for the social prescribing team – as well as securing more investment from the NHS.
Clean, safe and healthy homes and communities
· £500,000 including the removal of asbestos and for the demolition of bingo hall to make way for public realm works in the town centre making the town centre an even better place to live and work.
· £100,000 per year to improve the services from Chorley Bus Station.
A strong local economy
· £400,000 to fund our large commissions which enable third sector organisations to deliver support to residents against key priorities for the next three years.
· £15,000 to provide additional new support to the Voluntary, Community and Faith Sector to provide support in the community.
An ambitious council that does more to meet the needs of residents and the local area
· £100,000 to fund crucial works to the council’s CCTV operations centre.
· £100,000 to refresh the Local Plan for the next five years.
· £120,000 to contribute to running of the Youth Zone including outreach work.
· £350,000 to deliver the Clayton-le-Woods parish building.
The council continues to invest through its capital programme to deliver on its ambitions. This will include:
· Improving local health services, including the new Whittle GP surgery.
· Improving and transforming the leisure centres to encourage our residents to be active and healthy.
· Continuing to support local service centres
· Driving economic development and delivering income generation through the Alker Lane development
· Supporting our town centre through the town centre masterplan
The Executive Leader, Councillor Alistair Bradley, thanked the staff for their work in supporting the community and businesses during the pandemic and the residents in playing their part in dealing with the challenges of the last year.
Councillor Bradley noted the future benefits of the developing shared services with South Ribble.
Before moving to the vote, the Mayor asked the Leader of the Opposition, Councillor John Walker, to present their Statement.
Supporting documents:
- Budget Report 2021/22, item 21.C.19 PDF 974 KB
- Appendix A: Formal Council Tax Resolution 2021/22, item 21.C.19 PDF 195 KB
- Appendix B: Special Expenses & Parish Precepts 2021/22, item 21.C.19 PDF 47 KB
- Appendix C: Delivering Our Priorities – Chorley Council Medium Term Financial Strategy 2021/22 To 2023/24, item 21.C.19 PDF 944 KB
- Appendix D: Cumulative Budget Deficit & Budget Strategy 2020/21 To 2021/22, item 21.C.19 PDF 129 KB
- Appendix E: Variance Analysis - Movements From 2020-21 Original Estimates, item 21.C.19 PDF 123 KB
- Appendix F: General Fund Forecast Assumptions, item 21.C.19 PDF 241 KB
- Appendix G1 Capital Programme 2020/21 To 2023/24, item 21.C.19 PDF 157 KB
- Appendix G2 Capital Financing 2020/21 To 2023/24, item 21.C.19 PDF 199 KB
- Appendix G3 Developer Contributions 2017/18 to 2022/23, item 21.C.19 PDF 144 KB
- Appendix H: Capital Strategy, item 21.C.19 PDF 675 KB
- Appendix I: Treasury Strategy 2021/22 To 2023/24 Appendix I1: Advice Of Treasury Management Consultants, item 21.C.19 PDF 651 KB
- Appendix J: Pay Policy 2021/22, item 21.C.19 PDF 576 KB
- Appendix K: Report Of The Chief Finance Officer, item 21.C.19 PDF 428 KB
- Appendix L: Budget Consultation 2021/22, item 21.C.19 PDF 511 KB
- Appendix M: Assessing The Impact Of 2021/22 Budget Proposals, item 21.C.19 PDF 381 KB
- Appendix N: Fees And Charges, item 21.C.19 PDF 161 KB