Agenda item

Revenue and Capital Budget Plan 2022/23 – 2024/25 and Council Tax 2022/23

Report of the Executive Director of Corporate Resources and Customer Services

Minutes:

Further to Minute No. 109 of the meeting of the Cabinet held on 10 February 2022 the Council considered the report of the Chief Executive and Executive Director of Corporate Resources and Customer Services that provided:

 

  • An assessment of the Council’s current financial position and approach to the 2022/23 Budget Plan and preparation for the additional two-year budget period 2023/24 to 2024/25.
  • An update on the Government’s announcement of resources that are available to the Council for 2022/23.
  • The Council’s current financial position and the assumptions built into the Medium-Term Financial Plan.
  • The proposed Budget for 2022/23; and
  • The proposed Capital Programme for 2022/23.

 

The report set out the financial strategy of the Council and the national and local financial context within which it is operating; indicated that the Council had a statutory requirement to remain financially sustainable and to balance its budget every year; and that the Council’s Framework for Change Programme was a comprehensive and ambitious programme that sought to support the delivery of the Council’s core purpose.  As would be expected with a programme of this size and complexity that spanned a number of financial years, the detailed proposals had been and would continue to be the subject of change as they were developed and ultimately implemented. 

 

The following appendices were attached to the report:

 

Appendix A

Individual School Budgets 2022/23

Appendix B

Draft Council Budget Summary 2022/23

Appendix C

Capital Programme 2022/23 – 2024/25

 

It was moved by Councillor Ian Maher, seconded by Councillor Fairclough

 

That in respect of:

 

(A)

the Budget 2022/23 and Medium-Term Financial Plan from 2023/24 to 2024/25:

 

(1)

the update of the Medium-Term Financial Plan for the period 2022/23 to 2024/25 be noted;

 

(2)

the Revenue Budget for 2022/23 be approved and officers be authorised to undertake all of the necessary actions to implement the budget changes and proposals as detailed within the report;

 

(3)

the continuation of the Framework for Change 2020 Programme (as described in Section 3 of the report) and the agreement to the commencement of all appropriate activity as detailed, including for example, consultation with employees and engagement with partners and contractual changes as the programme develops be approved;

 

(4)

it be noted that officers will comply with agreed HR policies and procedures including relevant consultation with Trade Unions and that reports will be submitted to the Cabinet Member - (Regulatory, Compliance and Corporate Services) as required;

 

(5)

the Schools’ Forum decisions on the Dedicated Schools Grant and Individual School Budgets, as detailed in Section 11 of the report be noted;

 

(6)

the allocation of specific grants as detailed in the report, including a fully funded supplementary revenue estimate of up to £3.030m for the Leeds Family Valued Programme across 2021/22 to 2023/24 (Section 12 of the report) be approved; and

 

(7)

subject to the recommendations above the overall Council Tax resolution for 2022/23 including Police, Fire, Mayoral and Parish Precepts be approved; 

 

(B)

the Capital Programme 2022/23 to 2024/25:

 

(1)

the full list of projects in Appendix C of the report be approved for inclusion within the Capital Programme; and

 

(2)

a supplementary capital estimate of £29,378 for 2021/22, funded from earmarked reserves (Paragraph 16.2 of the report) be approved; and

 

(C)

the Procurement of External Audit Services approval be granted for the Council to procure external audit services through the Public Sector Audit Appointments body for the period 2023/24 to 2027/28 (Section 17 of the report).

 

Councillors Pugh, Brough, Irving and Ian Maher each gave a statement expressing the views of their political groups on the content of the report and the budget proposals.

 

Following debate on the report, an amendment was moved by Councillor

Brough, seconded by Councillor Prendergast:

 

That the budget proposals set out in the report be amended by the addition of the following words:

 

PARKS, OPEN SPACES AND RECREATIONAL FACILITIES

Recognising that as the pandemic comes to an end there will be an increased importance and demand for Council owned parks, open spaces and recreational facilities. 

 

The Council allocates an additional £639,000, in 2022/23 only, to fund additional investment in Council owned parks, open spaces and recreational facilities, to be funded from the Earmarked Reserve created from additional New Homes Bonus receipts in 2022/23 (as referred to in paragraph 6.13).

 

In addition, it has previously been reported that elements of the scheme to introduce cycle lanes in Southport involved the removal of pay and display bays, and there would likely be a net loss of parking income as a result of the scheme. However, quantifying this was always going to be difficult as it is likely that some users will use other pay and display bays and Council car parks. It should however be noted that the bays in question generated £137,000 in income in 2019/20.

 

It is therefore proposed that, as soon as is feasible, the Council reintroduce pay and display car parking spaces previously impacted by the introduction of cycle lanes in Southport.  Officers will analyse the net financial impact this measure would have on the Council’s overall car parking receipts in 2022/23 compared to the current budget, acknowledging the volatility that has been experienced in this budget in the last two years.  Any additional net income will also be reinvested in Council owned parks, open spaces and recreational facilities.

 

Following debate and in accordance with Rule 97 of Chapter 4 in the Constitution, the voting on the Amendment was recorded and the Members of the Council present at the time, voted as follows:

 

FOR THE AMENDMENT: Councillors Brodie - Browne, Brough, Dodd, Dutton, Evans, Lewis, Prendergast, Pugh, Riley, Sathiy, Shaw and Lynne Thompson.

 

AGAINST THE AMENDMENT: Councillors Atkinson, Bennett, Blackburne, Bradshaw, Burns, Byrom, Carlin, Carr, Cluskey, Corcoran, Cummins, Dowd, Doyle, Fairclough, Friel, Grace, Halsall, Hansen, Hardy, Howard, Irving, John Kelly, John Joseph Kelly, Sonya Kelly, Killen, Lappin, Chris Maher, Ian Maher, McKinley, Moncur, Murphy, Myers, O'Brien, Page, Robinson, Roche, Roscoe, John Sayers, Yvonne Sayers, Spencer, Thomas, Anne Thompson, Tweed, Veidman, Waterfield and the Mayor.

 

The Mayor declared that the Amendment was lost by 12 votes to 46.

 

Following the vote on the amendment, a further amendment was moved by Councillor Pugh, seconded by Councillor Shaw:

 

That the budget proposals set out in the report be amended by the addition of the following words: 

 

ROAD SAFETY MEASURES

 

Recognising

 

(1)

that there are a significant number of locations within the Borough that would benefit from new or enhanced road safety measures; and

 

(2)

that external funding for implementing road safety measures is not sufficient to cover all of these locations

 

The Council allocates an additional £200,000, in 2022/23 only, to fund additional road safety measures in locations across the Borough, to be funded from the Earmarked Reserve created from additional New Homes Bonus receipts in 2022/23 (as referred to in paragraph 6.13).

 

Following debate and in accordance with Rule 97 of Chapter 4 in the Constitution, the voting on the Further Amendment was recorded and the Members of the Council present at the time, voted as follows:

 

FOR THE FURTHER AMENDMENT: Councillors Brodie - Browne, Brough, Dodd, Dutton, Evans, Lewis, Prendergast, Pugh, Riley, Sathiy, Shaw and Lynne Thompson.

 

AGAINST THE FURTHER AMENDMENT: Councillors Atkinson, Bennett, Blackburne, Bradshaw, Burns, Byrom, Carlin, Cluskey, Corcoran, Cummins, Dowd, Doyle, Fairclough, Friel, Grace, Halsall, Hansen, Hardy, Howard, Irving, John Kelly, John Joseph Kelly, Sonya Kelly, Killen, Lappin, Chris Maher, Ian Maher, McKinley, Moncur, Murphy, Myers, O'Brien, Page, Robinson, Roche, Roscoe, John Sayers, Yvonne Sayers, Spencer, Thomas, Anne Thompson, Tweed, Veidman, Waterfield, Webster and the Mayor.

 

The Mayor declared that the Further Amendment was lost by 12 votes to 46.

 

Following the vote on the further amendment, a Third amendment was moved by Councillor Pugh, seconded by Councillor Shaw:

 

That the budget proposals set out in the report be amended by the addition of the following words:

 

REPLACEMENT PLAY EQUIPMENT

 

Recognising

 

(1)

the additional investment included in the draft revenue budget for 2022/23 and future years for the replacement of play equipment across the Borough (£200,000); and

 

(2)

that this may not be sufficient to replace all damaged play equipment during 2022/23

 

The Council allocates an additional £50,000, in 2022/23 only, to fund the replacement of additional play equipment to ensure as many items of damaged equipment can be replaced in the next 12 months, to be funded from the Earmarked Reserve created from additional New Homes Bonus receipts in 2022/23 (as referred to in paragraph 6.13).

 

Following debate and in accordance with Rule 97 of Chapter 4 in the Constitution, the voting on the Third Amendment was recorded and the Members of the Council present at the time, voted as follows:

 

FOR THE THIRD AMENDMENT: Councillors Brodie - Browne, Brough, Dodd, Dutton, Evans, Lewis, Prendergast, Pugh, Riley, Sathiy, Shaw and Lynne Thompson.

 

AGAINST THE THIRD AMENDMENT: Councillors Atkinson, Bennett, Blackburne, Bradshaw, Burns, Byrom, Carlin, Carr, Cluskey, Corcoran, Cummins, Dowd, Doyle, Fairclough, Friel, Grace, Halsall, Hansen, Hardy, Howard, Irving, John Kelly, John Joseph Kelly, Sonya Kelly, Killen, Lappin, Chris Maher, Ian Maher, McKinley, Moncur, Murphy, Myers, O'Brien, Page, Robinson, Roche, Roscoe, John Sayers, Yvonne Sayers, Spencer, Thomas, Anne Thompson, Tweed, Veidman, Waterfield, Webster and the Mayor

 

The Mayor declared that the Third Amendment was lost by 12 votes to 47.

 

Following the vote on the third amendment, a Fourth amendment was moved by Councillor Pugh, seconded by Councillor Lewis:

 

That the budget proposals set out in the report be amended by the addition of the following words:

 

GULLY CLEANSING

 

Recognising

 

(1)

the increasing risks of flooding caused by Climate Change; and

 

(2)

that in excess of 95% of the borough’s gullies are only cleared once a year

 

The Council allocates an additional £50,000, in 2022/23 only, to fund additional gully cleansing in areas that have proved particularly susceptible to surface flooding, to be funded from the Earmarked Reserve created from additional New Homes Bonus receipts in 2022/23 (as referred to in paragraph 6.13).

 

Following debate and in accordance with Rule 97 of Chapter 4 in the Constitution, the voting on the Fourth Amendment was recorded and the Members of the Council present at the time, voted as follows:

 

FOR THE FOURTH AMENDMENT: Councillors Brodie - Browne, Brough, Dodd, Dutton, Evans, Lewis, Prendergast, Pugh, Riley, Sathiy, Shaw and Lynne Thompson.

 

AGAINST THE FOURTH AMENDMENT: Councillors Atkinson,  Blackburne, Bradshaw, Burns, Byrom, Carlin, Carr, Cluskey, Corcoran, Cummins, Dowd, Doyle, Fairclough, Friel, Grace, Halsall, Hansen, Hardy, Howard, Irving, John Kelly, John Joseph Kelly, Sonya Kelly, Killen, Lappin, Chris Maher, Ian Maher, McKinley, Moncur, Murphy, Myers, O'Brien, Page, Robinson, Roche, Roscoe, John Sayers, Yvonne Sayers, Spencer, Thomas, Anne Thompson, Tweed, Veidman, Waterfield, Webster and the Mayor

 

The Mayor declared that the Fourth Amendment was lost by 12 votes to 46.

 

Following further debate and in accordance with Rule 97 of Chapter 4 in the Constitution, the voting on the Motion was recorded and the Members of the Council present at the time, voted as follows:

 

FOR THE MOTION Councillors Atkinson, Blackburne, Bradshaw, Burns, Byrom, Carlin, Corcoran, Cummins, Dowd, Doyle, Fairclough, Friel, Grace, Halsall, Hansen, Hardy, Howard, John Kelly, John Joseph Kelly, Sonya Kelly, Killen, Lappin, Chris Maher, Ian Maher, McKinley, Moncur, Murphy, Myers, O'Brien, Page, Robinson, Roche, Roscoe, John Sayers, Yvonne Sayers, Spencer, Thomas, Anne Thompson, Tweed, Veidman, Waterfield, Webster and the Mayor

 

AGAINST THE MOTION Councillors Bennett, Brodie - Browne, Brough, Carr, Dodd, Dutton, Evans, Irving, Lewis, Prendergast, Pugh, Riley, Sathiy, Shaw and Lynne Thompson.

 

The Mayor declared that the Motion was carried by 43 votes to 15 and it was

 

RESOLVED: That

 

(A)

In respect of the Budget 2022/23 and Medium-Term Financial Plan from 2023/24 to 2024/25:

 

(1)

the update of the Medium-Term Financial Plan for the period 2022/23 to 2024/25 be noted;

 

(2)

the Revenue Budget for 2022/23 be approved and officers be authorised to undertake all of the necessary actions to implement the budget changes and proposals as detailed within the report;

 

(3)

the continuation of the Framework for Change 2020 Programme (as described in Section 3 of the report) and the agreement to the commencement of all appropriate activity as detailed, including for example, consultation with employees and engagement with partners and contractual changes as the programme develops be approved;

 

(4)

it be noted that officers will comply with agreed HR policies and procedures including relevant consultation with Trade Unions and that reports will be submitted to the Cabinet Member - (Regulatory, Compliance and Corporate Services) as required;

 

(5)

the Schools’ Forum decisions on the Dedicated Schools Grant and Individual School Budgets, as detailed in Section 11 of the report be noted;

 

(6)

the allocation of specific grants as detailed in the report, including a fully funded supplementary revenue estimate of up to £3.030m for the Leeds Family Valued Programme across 2021/22 to 2023/24 (Section 12 of the report) be approved;

 

(7)

subject to the recommendations above the overall Council Tax resolution for 2022/23 including Police, Fire, Mayoral and Parish Precepts be approved; 

 

(8)

It be noted that at its meeting on 20th January 2022, the Council calculated the following amounts for the year 2022/2023 in accordance with the Local Authorities (Calculation of Council Tax Base) (England) Regulations 1992 (as amended):

 

(a)

84,170.40     Band D equivalent properties, for the   whole area [item T in the formula in Section 31B of the Local Government Finance Act 1992, as amended]; and

 

(b)

for dwellings in those parts of its area to which a Parish precept relates as shown in the table below:

 

Parish

Council Tax Base

 

(Band D Equivalent Properties)

Aintree Village

2,029.60

 

Formby

9,071.90

 

Hightown

859.30

 

Ince Blundell

165.90

 

Little Altcar

336.60

 

Lydiate

2,085.20

 

Maghull

6,798.90

 

Melling

1,092.00

 

Sefton

278.20

 

Thornton

777.00

 

 

         

(9)

the Council Tax requirement for the Council's own purposes for 2022/2023 (excluding Parish Precepts) is £148,626,409;

 

(10)

the following amounts be calculated by the Council for the year 2022/2023 in accordance with Sections 31 to 36 of the Local Government Finance Act 1992:

 

 

(a)

£652,948,941

Being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2) of the Act taking into account all precepts issued to it by Parish Councils.

(b)

-£502,941,005

Being the aggregate amounts which the Council estimates for the items set out in Section 31A(3) of the Act.

(c)

£150,007,936

Being the amount by which the aggregate at 3(a) above exceeds the aggregate at 3(b) above, calculated by the Council in accordance with Section 31A(4) of the Act as its Council Tax requirement for the year (item R in the formula in Section 31B of the Act).

(d)

£1,782.19

Being the amount at 3(c) above (item R), divided by the amount at 1(a) above (item T), calculated by the Council, in accordance with Section 31B of the Act, as the basic amount of its Council Tax for the year (including Parish Precepts).

(e)

£1,381,527

Being the aggregate amount of all special items (Parish Precepts) referred to in Section 34(1) of the Act.

(f)

£1,765.78

Being the amount at 3(d) above, less the amount given by dividing the amount at 3(e) above by the amount at 1(a) above (item T), calculated by the Council, in accordance with Section 34(2) of the Act, as the basic amount of its Council Tax for the year for dwellings in those parts of its area to which no special item relates.

(g)

The amounts below, being the amounts given by adding to the amount at 3(f) above the amounts of thespecial items relating to dwellings in those parts of the Council's area mentioned above divided in eachcase by the amount at 1(b) above, calculated by the Council in accordance with Section 34(3) of the Actas basic amounts of its Council Tax for the year for dwellings in those parts of its area to which specialitems relate.

 

Parish

Aintree Village

Formby

Hightown

Ince Blundell

Little Altcar

Lydiate

Maghull

Melling

Sefton

Thornton

       £

 1,844.86

 1,777.28

 1,794.87

 1,781.24

 1,777.28

 1,859.15

 1,887.99

 1,802.09

 1,808.91

 1,776.08

(h)

The amounts below being the amounts given by multiplying the amounts at 3(f) and 3(g) above by thenumber which, in the proportion set out in Section 5(1) of the Act, is applicable to dwellings listed in aparticular valuation band divided by the number which in that proportion is applicable to dwellings listedin valuation Band D, calculated by the Council, in accordance with Section 36(1) of the Act, as theamounts to be taken into account for the year in respect of categories of dwellings listed in differentvaluation bands.

 

 

Property Valuation Band

Proportion of Band D

A

6/9

B

7/9

C

8/9

D

9/9

E

11/9

F

13/9

G

15/9

H

18/9

 

£

£

£

£

£

£

£

£

Parish

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Aintree Village

1,229.91

1,434.89

1,639.88

1,844.86

2,254.83

2,664.80

3,074.77

3,689.72

 

 

 

 

 

 

 

 

 

Formby

1,184.85

1,382.33

1,579.80

1,777.28

2,172.23

2,567.18

2,962.13

3,554.56

 

 

 

 

 

 

 

 

 

Hightown

1,196.58

1,396.01

1,595.44

1,794.87

2,193.73

2,592.59

2,991.45

3,589.74

 

 

 

 

 

 

 

 

 

Ince Blundell

1,187.49

1,385.41

1,583.32

1,781.24

2,177.07

2,572.90

2,968.73

3,562.48

 

 

 

 

 

 

 

 

 

Little Altcar

1,184.85

1,382.33

1,579.80

1,777.28

2,172.23

2,567.18

2,962.13

3,554.56

 

 

 

 

 

 

 

 

 

Lydiate

1,239.43

1,446.01

1,652.58

1,859.15

2,272.29

2,685.44

3,098.58

3,718.30

 

 

 

 

 

 

 

 

 

Maghull

1,258.66

1,468.44

1,678.21

1,887.99

2,307.54

2,727.10

3,146.65

3,775.98

 

 

 

 

 

 

 

 

 

Melling

1,201.39

1,401.63

1,601.86

1,802.09

2,202.55

2,603.02

3,003.48

3,604.18

 

 

 

 

 

 

 

 

 

Sefton

1,205.94

1,406.93

1,607.92

1,808.91

2,210.89

2,612.87

3,014.85

3,617.82

 

 

 

 

 

 

 

 

 

Thornton

1,184.05

1,381.40

1,578.74

1,776.08

2,170.76

2,565.45

2,960.13

3,552.16

 

 

 

 

 

 

 

 

 

All Other Parts
of the Council's Area

1,177.19

1,373.38

1,569.58

1,765.78

2,158.18

2,550.57

2,942.97

3,531.56

 

 

(11)

 

 

Note that for the year 2022/2023 the major precepting authorities have stated the following amounts in precepts issued to the Council in accordance with Section 40 of the Local Government Finance Act 1992, for each of the categories of dwellings shown below:

 

 

 

 

Property Valuation Band

 

 

 

Proportion of

A

B

C

D

E

F

G

H

Band D

6/9

7/9

8/9

9/9

11/9

13/9

15/9

18/9

 

£

£

£

£

£

£

£

£

Precepting Authority

 

 

 

 

 

 

 

 

 

Merseyside Fire & Rescue Authority

55.74

65.03

74.32

83.61

102.19

120.77

139.35

167.22

 

 

 

 

 

 

 

 

 

Merseyside Police and Crime Commissioner

157.98

184.31

210.64

236.97

289.63

342.29

394.95

473.94

 

 

 

 

 

 

 

 

 

Liverpool City Region Combined Authority

12.67

14.78

16.89

19.00

23.22

27.44

31.67

38.00

 

 

 

 

 

 

 

 

 

 

(12)

the Council, in accordance with Sections 30 and 36 of the Local Government Finance Act 1992, hereby sets the aggregate amounts shown in the table below as the amounts of Council Tax for 2022/2023 for each part of its area and for each of the categories of dwellings:

 

 

 

 

 

Property Valuation Band

 

 

 

Proportion of

A

B

C

D

E

F

G

H

Band D

6/9

7/9

8/9

9/9

11/9

13/9

15/9

18/9

 

£

£

£

£

£

£

£

£

Parish

 

 

 

 

 

 

 

 

Aintree Village

1,456.30

1,699.01

1,941.73

2,184.44

2,669.87

3,155.30

3,640.74

4,368.88

Formby

1,411.24

1,646.45

1,881.65

2,116.86

2,587.27

3,057.68

3,528.10

4,233.72

Hightown

1,422.97

1,660.13

1,897.29

2,134.45

2,608.77

3,083.09

3,557.42

4,268.90

Ince Blundell

1,413.88

1,649.53

1,885.17

2,120.82

2,592.11

3,063.40

3,534.70

4,241.64

Little Altcar

1,411.24

1,646.45

1,881.65

2,116.86

2,587.27

3,057.68

3,528.10

4,233.72

Lydiate

1,465.82

1,710.13

1,954.43

2,198.73

2,687.33

3,175.94

3,664.55

4,397.46

Maghull

1,485.05

1,732.56

1,980.06

2,227.57

2,722.58

3,217.60

3,712.62

4,455.14

Melling

1,427.78

1,665.75

1,903.71

2,141.67

2,617.59

3,093.52

3,569.45

4,283.34

Sefton

1,432.33

1,671.05

1,909.77

2,148.49

2,625.93

3,103.37

3,580.82

4,296.98

Thornton

1,410.44

1,645.52

1,880.59

2,115.66

2,585.80

3,055.95

3,526.10

4,231.32

All Other Parts of the Council's Area

1,403.58

1,637.50

1,871.43

2,105.36

2,573.22

3,041.07

3,508.94

4,210.72

 

 

(13)

 

 

the Council's basic amount of Council Tax for 2022/2023 is not deemed to be excessive in accordance with the principles approved under Section 52ZB of the Local Government Finance Act 1992; and

 

(B)

In respect of the Capital Programme 2022/23 to 2024/25:

 

(1)

the full list of projects in Appendix C of the report be approved for inclusion within the Capital Programme; and

 

(2)

a supplementary capital estimate of £29,378 for 2021/22, funded from earmarked reserves (Paragraph 16.2 of the report) be approved; and

 

(C)

the Procurement of External Audit Services approval be granted for the Council to procure external audit services through the Public Sector Audit Appointments body for the period 2023/24 to 2027/28 (Section 17 of the report).

 

Supporting documents: