Decision details

The report will set out future financial projections along with the policy framework for improving financial efficiency and meeting the long term investment needs of the Town, as well as proposals for the annual budget process.

RESOLVED

That Full Council be asked to:

a)         approve the process for of balancing the budget over the next 12 to 18 months, including the use of reserves to balance the budget as outlined in Section 8 of the report FIN/636.

b)         approve the minimum recommended General Fund Balance remains at £3m.

c)         approve the growth items for the General Fund as outlined in sections 6.3 of the report FIN/636.

d)         approve the  inclusion of new capital schemes in future budgets with the value of £652,000 as identified in section 9.2 of the report FIN/636..

e)         note the following highlights of the Budget Strategy:

i.        that the Budget is aligned to the Council’s Corporate Priorities.

ii.      the outline 3 year forecast as shown in table 6 paragraph 6.5 of the report FIN/636.

iii.     that the current budget deficit of £1.012m for 2024/25 (section 6.5 of the report FIN/636) is based on a Council tax increase of 2.99% which is £6.74. However, table 10 highlights that the gap could be higher when looking at sensitivity analysis.

iv.     that there are uncertainties around Government funding prior to the settlement in December and the delay in Local Government Funding reforms such as business rates retention and the future of New Homes Bonus.

Reasons for the Recommendations

1)         To agree the Council’s Budget Strategy for 2024/25 to 2026/27 including the assumptions made.

2)         To agree growth items and capital schemes outlined in the report.

3)         The 2024/25 General Fund and Housing Revenue Account Budgets and the revised capital programme will be set by the Full Council in February 2024. The Treasury Management Strategy and Capital Strategy will be considered at the same meeting.

4)         To note that until the Local Government Finance Settlement is published in December 2023 these projections are highly likely to change.