Issue - meetings

The Portfolio Holder for Resources presented a report on the Medium-Term Financial Plan (MTFP) for 2023/24 to 2027/28.  The report had been considered by Finance and Corporate Overview Scrutiny Committee on 23^rd January 2024 and Executive on 29^th January 2024.  The report set out budgets in respect of the General Fund, details of which were attached to the report at Appendices 1 and 2, Housing Revenue Account (HRA), details of which were attached to the report at Appendices 3 and 4 and the Capital Programme, details of which was attached to the report at Appendix 5.

In particular, financial projections were provided for:

·         2023/24 Current Budget Position – this was the current year budget, revised to take account of changes during the financial year that would end on 31^st March 2024.

·         2024/25 Original Budget – this was the proposed budget for the next financial year on which the Council Tax would be based and would commence on 1^st April 2024.

·         2024/25 Original Budget, including proposed increases to rents and fees and charges for the next financial year for the Housing Revenue Account.

·         2025/26 to 2027/28 Financial Plan – in accordance with good practice the Council agreed its annual budgets within the context of a Medium-Term Financial Plan.  This included financial projections in respect of the next three financial years.

Councillor Will Fletcher asked what impact the increase to the Funding Guarantee Grant would have for the Council.  The Director of Finance and Section 151 Officer stated that for 2024/25 it would be about £87,000 and for 2025/26 it would be about £100,000.

Councillor Carol Wood made a statement that in light of the robust position of the Council’s budget, she had hoped that the Council would not have proposed the full increase to Council Tax.  If the Council had proposed a slightly reduced increase of 2.54%, that would only have reduced income by roughly £20,500, and this would have been covered by the Funding Guarantee Grant.

Councillor Clive Moesby responded that there was generally an approach to increase Council Tax by the full amount because otherwise it was lost from the base budget, and it impacted on the current year but also on future years.  He added that the Government expected Council Tax to be increased by the maximum amount and future funding was based upon that.

Councillor Steve Fritchley made a statement that the Government had reduced the Revenue Support Grant to all Local Authorities year on year. 

Tom Kirkham asked a question in respect of the spend on the new Crematorium in Shirebrook.  The Director of Finance and Section 151 Officer explained that all spend for the project had come through Council and there had been two budgets, one to look into whether the project was viable and then one for construction, but these showed as one budget in the Capital Programme.  Councillor Steve Fritchley, Leader of the Council added that there was capital spend and there was also money for the cremator.

A  ...  view the full minutes text for item 69