Agenda item

Report to follow.

The Leader of the Council, Councillor Simon Tagg introduced this report and moved the recommendations which set out the recommendations of Cabinet for Revenue and Capital Budgets for 2020/21. 

Cabinet proposed an increase in council tax for 2020/210 of £5.00 per year from the 2019/20 amount.  This represented an increase of 2.55 percent from 2019/20.  Detailed recommendations were set out in Appendix A of the report.    Appendix B set out the proposed Revenue Budget for 2020/21.  A summary of additional income, additional expenditure and loss of income and new pressures was given in the report.

In summary the Council’s updated Medium Term Financial Strategy (MTFS) indicated a forecast budget shortfall of £1.249m for 2020/21.  A summary of savings and funding strategies to bridge the £1.249m gap had been identified and agreed with managers and were given at Appendix C.

The Council’s s151 officer had carried out a review of the Council’s Balances and Reserves together with a risk assessment. Details were given in Appendices D and E.  The MTFS and budget proposals had been scrutinised by the Finance, Assets and Performance Scrutiny Committee. 

The Capital Programme for 2020/21 was given in Appendix F of the report.

The Leader advised Members that many vacant posts had been filled which eliminated the need for, often expensive interim cover.  The budget also included a further boost to the Council’s reserves.

The Interim Executive Director of Resources and Support Services, Jan Willis and her team were thanked for the work that had been put into the preparation of the Budget.  In addition the Cabinet members and members of the Finance, Assets and Performance Scrutiny Committee were thanked for their work.

Members’ attention was drawn to paragraph 4.5 of the report, the Borough Growth Fund which set out four areas that were important to the residents of the Borough.

The Portfolio Holder for Finance and Efficiency, Councillor Stephen Sweeney seconded the recommendations and thanked officers for their hard work in preparing the budget. 

Councillor Sweeney drew Members attention to paragraph 2.1 of the report regarding the £485,000 variance against the 2018/29 budget as at the end of quarter three and advised that savings had been identified from repairs and renewals, disused Council assets and digital delivery.  In addition, grants had been received.  Councillor Sweeney stated that the above grants and savings went a long way towards addressing the variance and that there was still time left to find the remainder.  Recent senior management appointments would reduce pressure on the revenue budget arising from the use of interims, saving the Council in the region of £240,000 a year.

The budget allowed for the introduction of the new recycling service, refurbishment and re-opening of Kidsgrove Sports Centre, upgraded CCTV, new parking machines and the provision of an electricity supply to market stalls to allow for evening trading.

A proposed amendment was tabled at the meeting and was shown on pages 109 – 110 of the supplementary agenda.  It was proposed by Councillor Stubbs and seconded by Councillor Jones.

Councillor Stubbs spoke on his amendment stating that the Council could work alongside other organisations to create a local economy that shared wealth and power more equally.

The Interim Head of Resources and Support Services – Jan Willis and the wider finance team were thanked for their work on the budget.  Councillor Stubbs stated that it was a balanced budget which protected the most vulnerable. 

The proposed amendment sought to look into Community Wealth Building which could redirect wealth back into the local economy.

Councillor Jones seconded the proposed amendment stating that the amendment sought to highlight the social value of the money administered by the Council.

The amendment was not accepted.

Councillor Sweeney stated that he would not be supporting the amendment having researched the Preston model referred to in the amendment.

Members debated the amendment. Councillor Hutton referred to ‘social value’ stating that the Council already did this as part of the Procurement Procedures.

Councillor Proctor asked why the Leader had not been approached at an earlier stage to discuss the issues contained within the amendment which could have been addressed.  There had also been opportunity to raise concerns at the Finance, Assets and Performance Scrutiny Committee.

Councillor Robinson stated that the proposals put forward in the amendment were reasonable and would give the Council extra protection on how money was spent.

Councillor Holland stated that the amendment did not contain anything that would enhance the work of the Council and Councillor Fear added that the amendment was trying to subvert the budget.

The Leader stated that he had listened to and agreed with all the points raised against the amendment and urged all Members to vote against it.

A vote was taken on the proposed amendment:

For: 17

Against: 21

Abstentions: 2

The amendment was defeated.

Members debated the budget as submitted.

Members welcomed the budget. Councillor Proctor was pleased that new staff members were in place.  In addition, the success of the capital receipts and the strategy to increase the Council’s reserves were also welcomed by Councillors’ Hutton and Jennifer Cooper.

Councillor Holland stated the budget consultation had brought in three times the number of responses of previous years and showed that the proposals contained within the budget were clearly in line with what residents wanted.

Councillor Shenton had concerns about the recommendations, stating that some required explanation.

In summing up, the Leader stated that the budget invested in the rejuvenation of the Market, car parking fees had been reduced after 1pm in the town centre and there would be an improved recycling service.

A named vote was then taken in respect of the proposed budget:

In Favour (Y)- 24

Against (N)- 17

Abstain – 0

Resolved:     That recommendations a to o, as set out in Appendix ‘A’ of the agenda report be approved.