Issue - meetings

RESOLVED:

Cabinet recommended to Council that:

i)                  the updated MTFP and financial strategy, as set out in the Cabinet report and throughout appendices 1-3, are approved;

ii)                 there is a General Fund Net Budget Requirement in 2024/25 of £24,513,250, as set out in appendices 5a - d to the Cabinet report;

iii)               the New Forest District Council Band D Council Tax for 2024/25 shall be £199.79;

iv)               the council approves the formal determination (appendix 6), as required by the Levelling up and Regeneration Act 2023, to apply Council Tax premiums to dwellings occupied periodically and long-term empty dwellings, for implementation from 1 April 2025;

v)                the General Fund Capital Programme for 2024/25 of £16.579 million, as set out in appendix 7 to the Cabinet report be approved; and

vi)               the proposed fees and charges as included at appendix 8 to the Cabinet report be approved.

KEY DECISION:

Report to Cabinet and Council

PORTFOLIO:

Finance and Corporate / All

ALTERNATIVE OPTIONS CONSIDERED/REJECTED:

As set out in report.

DECLARATIONS OF INTEREST:

None

DISCUSSION:

The Portfolio Holder for Finance and Corporate presented the report detailing the budget for 2024/25.  He highlighted that there was a General Fund net budget requirement of £24.5 million and the rise of the Council Tax Band D for 24/25 to £199.79, a rise of 2.99%.  This was the maximum allowed under the current rules but was considerably below inflation.  He was delighted to be able to present a fully balanced budget and expressed his thanks to the accounts department and all officers of the Council.

He further spoke about the better than expected return on investments and a rise in the government finance settlement since the Autumn statement which had increased by £200,000 which was positive news.

The Strategic Director Corporate Resources & Transformation reported he was pleased to be in a position to present a proposed balanced budget for 2024/25.

The 2024/25 finance settlement had been good to the Council, with the funding guarantee grant being increased by the government from 3% as it appeared in the provisional settlement before Christmas, to 4% in the final settlement, equating to £200,000.  It was disappointing that the settlement was only for 1 year, which made planning difficult for the medium term creating funding cliff edges from one year to the next.  The value of the 4% funding grant for 2024/25 was £1.2 million, yet for 2025/26 that figure could be anywhere from zero to £1.2 million.  The Council would continue to support sector lobbying on this.

The Strategic Director Corporate Resources and Transformation referred to section 10 of the report, which confirmed it was his duty as the Council’s chief finance officer to comment on the robustness of estimates and adequacy of reserves.  It was his view that the budget, as prepared was financially sound and based on a reliable evidence base.  New items and changes to budgets had been appropriately costed and accounted for.  Forecast income levels were not overinflated.  Assumptions over the medium term were also based on  ...  view the full minutes text for item 69