Council – 24 February 2025
Liberal Democrat Alternative Budget 2025/26
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Purpose |
For Decision |
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Classification |
Public |
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Executive Summary |
The report proposes additions to the budget as currently outlined by the Administration.
The Liberal Democrat Party believe that the proposed budget additions go further to support the residents of the New Forest, and further support the delivery of agreed Corporate Plan objectives.
The proposals result in an increased general fund budget requirement at Portfolio level of £954,600 for 2025/26, £799,600 for 2026/27 and then £549,600 per annum thereafter. |
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Recommendation(s) |
1. That the Council approve the alternative budget, as laid out in the report and as summarised within appendix 1 and 2. |
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Reasons for recommendation(s) |
The Liberal Democrat party believe the Council can go further in terms of supporting the needs of the residents of the New Forest through the approval of an alternative annual budget for 2025/26. |
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Ward(s) |
All |
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Portfolio Holder(s) |
N/A |
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Strategic Director(s) |
Alan Bethune – Strategic Director Corporate Resources and Transformation (Section 151 Officer) |
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Officer Contact |
Paul Whittles Assistant Director – Finance (Deputy Section 151 Officer) 02380 285766 |
1. The Liberal Democrat Party Councillors have considered the administration’s proposed budget for 2025/26 and would like to propose several items which they believe should be included in an amended approved budget for 2025/26.
2. The Leader of the Main Opposition Group, Cllr Malcolm Wade has represented the views of the group in the preparation of the alternative budget. The Council’s section 151 officer has supported Cllr Wade in the construction of the alternative budget.
Alternative Budget Proposals at Portfolio Level
3. Community Safety & Well Being
a. Youth Hubs: +£50,000 (GF revenue)
i. Engage with Hampshire County Council (HCC) and other partners and provide additional funding for more youth and family hubs, with focus on school holidays, with meal and activity funding throughout District.
b. Reducing Child Poverty: +£500,000 over 2 years (GF revenue)
i. Working with other agencies and providing a grant contribution of £500,000 aimed at reducing child poverty in the New Forest District.
c. Councillor Grants: +£9,600 (GF revenue)
i. Whilst we welcome the proposed increase from £600 to £1,000 in the administration’s budget, we would like to see this increase further to £1,200 per councillor.
d. Arts and Creative spaces: +£50,000 (GF revenue)
i. Develop and formalise the Arts Advocate scheme working to have a minimum of one representative in each community with local arts and performance venue representation, 1 year pilot with a view to using the NFDC funding to act as match funding to enable the application of government funding.
e. Transient art and culture offer: +£25,000 (GF revenue)
i. e.g. an arts bus, which could move around the serve the whole District rather than only one community.
f. Provision of ‘Health Bus’: +£50,000 (GF revenue)
i. Working in partnership with Town and Parish Council’s to provide a “Health Bus” to Lymington/Southampton hospitals. Seed capital by NFDC, subject to being revenue funded by town and parishes thereafter.
4. Environment & Sustainability
a. Solar Canopy Feasibility study: +£25,000 (GF revenue)
i. To explore the potential to cover NFDC car parks with solar panels to generate electricity for charging electric vehicles and sell excess Power to subside car parking costs.
b. Provision of Community skips: +£250,000 (GF revenue)
i. To be introduced in our main communities for excess waste to deal with the side waste produced by the introduction of wheelie bins.
5. Finance & Corporate Services
a. Commercial Strategy Re-focus, including Business Rate Relief: +£100,000 (GF revenue)
i. NFDC to refocus its commercial strategy to promote multi-purpose units in each of our main settlements with facilities including superfast broadband. To encourage startups by providing office or space at a reasonable rent with extended Business Rate Relief to encouraging businesses to purchase and use empty shops in our communities thus supporting local employment/economy.
b. Digital Economy Strategy: +£30,000 (GF revenue)
i. Commission the production of a Digital Economy Strategy for the district so we can benefit from the business and art opportunities it would bring to our area.
6. Housing & Homelessness
a. Raise the housing acquisition budget: +£5 million (Housing Revenue Account (HRA) Capital)
i. £50.6 million over 3 years, from the administrations £45.6 million.
7. Leader
a. Citizen Assemblies: +£15,000 (GF revenue)
i. asking participants to look at 3 topics each year, all relevant to the New Forest District.
8. Planning & Economy
a. Tourist App: £nil
i. The Council’s Economic Development function to prioritise the delivery of a New Forest Tourist App. The App should be self-financing, through business sponsorship and commission on in-app sales income.
b. Business Rate Relief / incentives - +£100,000 (General Fund (GF) revenue)
i. The Council to introduce a Discretionary Business Rate Relief Scheme that seeks to encourage Green Energy Production within the New Forest.
Summary of the proposed amendments
9. The proposed amendments as outlined above would add an additional £954,600 to the Council’s General Fund Revenue budget in 2025/26 reducing to £799,600 in 2026/27 and then £549,600 per annum thereafter. The addition to the HRA capital programme over the 3 year period from 2025/26 to 2027/28 would be £5 million.
10. Funding of the General Fund additions would necessitate the removal of the majority of the General Fund contribution towards the capital programme financing. This would directly necessitate additional external borrowing to directly replace the financing. As a result, additional borrowing charges would be incurred and so would need to be brought into the General Fund budget, above the additional £954,600 outlined.
11. The addition of the £5 million to the HRA capital programme would require additional external borrowing, and so the additional interest charges would need factoring into the Housing Revenue Account budget. The 30 year business plan would also need updating to provide the appropriate assurance that the additional sum would be affordable to the HRA over the long-term.
12. It is the view of the Liberal Democrat party that the additions to the budget further supplement the achievement of the priorities as included within the Council’s adopted Corporate Plan.
Options appraisal
13. The option to replace any funded activities within the administration’s proposed budget, as opposed to add to was considered, but not seen as a viable option.
Consultation undertaken
14. None.
Financial and resource implications
15. The financial implications are laid out in the report.
16. The level of additional borrowing required to backfill the capital programme financing would not be at a level that would likely cause a significant detrimental short, medium or long term effect.
17. There would likely be additional resource implications to consider as the Council’s establishment level is designed to fulfil the priorities and service delivery according to the proposed budget, as opposed to the alternative budget.
Legal implications
18. There are none directly arising from this report.
Risk assessment
19. Whilst no formal risk assessment has been completed, senior officers believe that the provision of local community skips would risk discouraging residents to reduce their household waste output, and believe that the provision of these community skips could be seen as an alternative to the Household Waste Recycling Centres (HWRC), currently operated and funded by the County Council as the waste disposal authority.
Environmental / Climate and nature implications
20. There are proposed additions within this report that would further support the delivery of the Council’s Climate and Nature Emergency action plan.
Equalities implications
Crime and disorder implications
22. There are none.
Data protection / Information governance / ICT implications
23. There are none.
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Appendices: |
Background Papers: |
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Appendix 1 – Summary Table Appendix 2 – Alternative General Fund Summary
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MTFP and Annual Budget 2025/26 |
Appendix 1
