Agenda item

Enclosed is the Labour Amendment 1 to Recommendation 1 2024-2025 Budget and Council Tax. Mover Councillor Jones and Seconder Councillor Nawaz.

This is an update report FIN/650 to the original 2024-2025 Budget and Council Tax report) FIN/642 and contains an amendment to Recommendation 1a following the recent announcement of additional Government funding. As such this amendment will be moved with the main report, rather than as a separate Amendment.

This amendment will be discussed under item 6 Consideration of Full Council Recommendations and Call-in Decision, as part of the discussion on Recommendation 1 2024-2025 Budget and Council Tax

The Leader of the Council presented report FIN/642of the Head of Corporate Finance, which set out details of the Budget and level of Council Tax for the year 2024/25, and report FIN/650 of the Head of Corporate Finance, which set out an update to the original report.  The update comprised an amendment to recommendation 1a, which was proposed as a result of the recent announcement of additional Government funding.

It was noted that the report detailed each of the Revenue, Capital and Housing Revenue Accounts that combine together to formulate ‘The Budget’. In proposing the level of Council Tax for the Financial Year 2024/25, each of those accounts identified had been considered. The combined proposal ensured that the Council had a balanced Budget.

The General Fund budget for 2024/25 forecast a take from balances of £1.2m. It was emphasised that the main additional pressures were an additional £1m for temporary accommodation and £630k for the Town Hall and District Heat Network. Those increases had been balanced by a favourable increase in the level of business ates. The General Fund budget assumed a Council Tax increase below the referendum level of 2.99% or £6.76, which would result in a £232.10 charge for a band D property. The budget also assumed that fees and charges were to be increased by 7% where feasible. It was noted that the report had been previously considered by the Overview and Scrutiny Commission on 29 January and the Cabinet on 31 January 2024. Councillor Jones moved the recommendations which were seconded and supported by Councillor Nawaz.

The Leader of the Opposition, Councillor Crow, presented Amendment 2 to Recommendation 1 as shown in the Supplementary Agenda (Order Paper), and in doing so confirmed that it was the intention to take two individual votes on the two recommendations within the amendment. The current financial situation was acknowledged however there were concerns regarding the temporary accommodation budget, level of fees and charges and the need to review the capital programme to identify projects that could potentially be delayed by one year in order to generate additional revenue funding of between £100,000 to £250,000, as well as enabling the deferral of any need to borrow to sustain the capital programme.  The amendment was seconded by Councillor Lanzer.

A single debate occurred on both the recommendation and the proposed amendment. Councillors Lanzer, Irvine, Belben, C Mullins, Burgess, S Mullins, Ali, Lamb, Lunnon, Nawaz and Jones (using his right to reply) all spoke during debate.

The Full Council was reminded that in accordance with the Local Authorities (Standing Orders) (England) (Amendment) Regulations 2014, all Councils at their annual budget meetings are required to adopt the practice of recorded votes - that is, recording in the minutes of the meeting how each member present voted on any decision relating to the Annual Budget and Council Tax. This applies not only to substantive budget motions to agree the Budget and setting Council Taxes, including precepts, but also on any amendments proposed.

Following the conclusion of the debate, the Mayor invited the Head of Governance, People and Performance to commence the voting process on the 2024/2025 Budget and Council Tax for both the amendments and substantive recommendations.

Amendment 2 – Proposed Recommendation H

For the recommendation: Councillors Ali, Belben, Bounds, Burgess, Burke, Crow, Hellier, Jaggard, Lanzer, McCarthy, Millar-Smith, Morris, Mwagale, Pendlington, and Piggott. (15)

Against the recommendation: Councillors Ashraf, Ayling, Charatan, Hart, Irvine, Jhans, Jones, K Khan, Y Khan, Lamb, Lunnon, C Mullins, S Mullins, Nawaz, Noyce, Pritchard, Raja, Rana, and Russell. (19)

Abstentions: None (0)

The Mayor declared that the proposed amendment had fallen with 15 votes in favour and 19 votes against with 0 abstentions.

Amendment 2 – Proposed Recommendation I

For the Recommendation: Councillors Ali, Belben, Bounds, Burgess, Burke, Crow, Hellier, Jaggard, Lanzer, McCarthy, Millar-Smith, Morris, Mwagale, Pendlington, and Piggott. (15)

Against the Recommendation: Councillors Ashraf, Ayling, Charatan, Hart, Irvine, Jhans, Jones, K Khan, Y Khan, Lamb, Lunnon, C Mullins, S Mullins, Nawaz, Noyce, Pritchard, Raja, Rana, and Russell. (19)

Abstentions: None (0)

The Mayor declared that the proposed amendment had fallen with 15 votes in favour and 19 votes against with 0 abstentions.

Substantive Recommendation

For the recommendation: Councillors Ashraf, Ayling, Charatan, Hart, Irvine, Jhans, Jones, K Khan, Y Khan, Lamb, Lunnon, C Mullins, S Mullins, Nawaz, Noyce, Pritchard, Raja, Rana, and Russell. (19)

Against the recommendation: None (0)

Abstentions: Councillors Ali, Belben, Bounds, Burgess, Burke, Crow, Hellier, Jaggard, Lanzer, McCarthy, Millar-Smith, Morris, Mwagale, Pendlington, and Piggott. (15)

The Mayor declared that the recommendation was carried with 19 votes in favour and 0 votes against with 15 abstentions.

RESOLVED

That the Full Council approves the following items regarding the 2024/25 Budget:

a)  approves the proposed 2024/25 General Fund Budget which includes using £1,065,439 of general fund reserve as set out in 4.2 of report FIN/650,

b)  approves the proposed 2024/25 Housing Revenue Account Budget as set out in Appendix 5 of report FIN/642 which includes the savings and growth items as set out in Section 9 pf report FIN/642,

c)  approves the 2024/25 and future years Capital Programme and funding as set out in Section 10 of the report FIN/642,

d)  agrees the transfers between reserves as outlined in Section 11 of report FIN/642.

e)  agrees that the Council’s share of Council Tax for 2024/25 be increased by 2.99% an increase of £6.76 from £225.34 to £232.10 for a Band D property as set out in paragraph 5.11 of report FIN/642,

f)  approves the Pay Policy Statement for 2024/2025 as outlined in paragraph 12.4 and Appendix 8 of the report FIN/642 noting that the pay award has yet to be agreed,

g)  approves the Capital Strategy as outlined in paragraph 10.1 and Appendix 9 of the report FIN/642.