Agenda item - BALANCING THE BUDGET OPTIONS 2024/25

To consider a proposed range of General Fund and Housing Revenue Account budget options to be incorporated into the 2024/25 Revenue Budget process.

The Executive considered a report in respect of a proposed range of General Fund and Housing Revenue Account (HRA) budget options to be incorporated into the 2024/25 Revenue Budget process.

The Portfolio Holder for Environment and Performance was pleased to note that the growth proposals for 2024/25 included the creation of a new Graduate/Trainee Planner post and the establishment of a post dedicated to woodland and new tree management.

The Strategic Director (CF) commented that balancing the budget continued to be challenging, with a savings target of £1Million per year for the foreseeable future. The Council would proceed with its Transformation Programme in order to assist in identifying and realising future savings opportunities. She confirmed that the budget included the impact of the recently approved NJC Pay Award for staff.

It was RESOLVED:

1. That the Balancing the Budget options, as set out in the report, totalling £1,223,851 (saving) for the General Fund and £77,134 Housing Revenue Account (HRA) respectively for 2024/25, be approved and incorporated into the Council’s budget setting processes.

2. That the Growth options included in Section 4.6.2 of the report be approved for inclusion (subject to the savings shortfall being identified) in the 2024/25 - General Fund (£131,710) and HRA (£46,960) budgets.

3. That £40,000 be approved for the costs associated with implementation of the Balancing the Budget options within the 2023/24 budgets, as set out in Paragraph 4.9.4 of the report, with the General Fund and HRA sharing the costs 50:50.

4. That the revised General Fund Medium Term Financial Strategy financial summary, as shown in Section 4.11 of the report, be noted.

5. That the completion of the Business Rates for 2024/25 (NDR 1) be delegated to the Strategic Director (Section 151 Officer), after consultation with the Portfolio Holder for Resources and Transformation, as set out in Paragraph 4.3.4 of the report.

6. That the increase in the two Planning fees, as detailed in Paragraph 4.9.3 of the report, and amounting to an additional £1,500 income, be agreed.

7. That the Council’s recognised trade unions be consulted regarding the proposed budget package.

8. That key partners and other stakeholders be consulted and their views considered as part of the 2024/25 budget setting process.

Reason for Decision: As contained in report.

Other Options considered: As contained in report.

The Executive considered a report in respect of a proposed range of General Fund and Housing Revenue Account (HRA) budget options to be incorporated into the 2024/25 Revenue Budget process.

In the absence of the Portfolio Holder for Resources and Transformation, the Leader of the Council advised that the report outlined the Council’s financial position and identified a funding gap for 2024/25 of £1.54Million, with a requirement to identify options totalling £1.23Million in order to balance the Council’s budget for next year.

The Leader of the Council explained that the 2024/25 Balancing the Budget target had again been exacerbated by higher inflationary pressures and the persisting reduction in car parking income since COVID (with a £300,000 loss assumed in 2024/25), along with on-going pressures for issues such as the ICT review and licences, as set out in Section 4.5 of the report. This, after years of funding reduction, presented another difficult challenge noting that SBC had made savings of £12M since 2010. It was noted that despite the identification of options which would generate £1.2Million towards next year’s budget target, a gap of £56,000 remained to be found. The options to achieve this further saving would be presented to Members for consideration at the January 2024 Executive Meeting.

The Leader of the Council stated that the options before Members could be summarised as:

· Efficiency (contract renewals) - £273,150

· Commercial (including fees and charges) - £613,606

· Transformation - £331,482

· Reductions - £5,614

The Portfolio Holder for Environment and Performance was pleased to note that the growth proposals for 2024/25 included the creation of a new Graduate/Trainee Planner post and the establishment of a post dedicated to woodland and new tree management.

The Strategic Director (CF) commented that balancing the budget continued to be challenging, with circa £1Million to be found per year for the foreseeable future. The Council would proceed with its Transformation Programme in order to assist in identifying and realising future opportunities. She confirmed that the budget included the impact of the recently approved NJC Pay Award for staff.