To approve the 2024/25 draft budget for consultation.  This report provides an estimated funding position, based on information known to date, and sets out the key pressures and the savings proposals for each Directorate.

The Cabinet member for finance and corporate services introduced the report and highlighted that Cabinet inherited a funding gap between estimated income and planned expenditure of £28.8m which has been reduced to zero and a balanced budget has been achieved.   

The revenue budget is a draft and will be subject to consultation with council members, council’s scrutiny committees, businesses and the public.

This draft revenue budget totals £205.2m for 2024/25 which includes a 4.99% increase in Council Tax and the current estimate of central funding, due to be announced in December 2023.

The base budget for 2024/25 is proposed to fund identified budget pressures of £43.3m which have been offset through savings and efficiencies of £19.5m together with mitigations of £7.9m to enable us to deliver a balanced budget of £205.2m. 

The forecasts for inflation and Consumer Price Index were noted. 

The increase in the national living wage for individuals over 21 from 1 Apr 2024 has been considered as part of this draft budget.

It is the council’s plan to implement the maximum 4.99% increase in council tax for 2024. If additional funding is identified in the provisional settlement then cabinet will review what to do with the surplus.

The draft revenue budget is proposed for each directorate at paragraph 16.  The breakdown is detailed at Appendix B with a total budget of £205.170m with details of how it is funded. 

Paragraph 17 shows a summary of the unfunded pressures of £43.3m by directorate. It is proposed that the £4m all ages social care budget approved in the 2023/24 budget is applied to the Community wellbeing directorate in 2024/25 to fund demand and cost pressure in adult social care.

Noted that each Directorate has key budget pressure and highlighted pressures within the Community Wellbeing directorate and Children’s and Young People.   Paragraph 21 outlines how the savings are planned over the three years period and will enable a reduction of the base budget by 31 March 2027.

Highlighted there will be a small increase in parking charges in the Economy and Environment directorate (following the deferred savings targets).  

Noted that Corporate Services will deliver their savings through a review of services, business support functions across the council and a review of the management structure.

Totals savings of £19.5m are proposed comprising of £11.6m of directorate savings and a further £7.9m of council wide savings, details are within Appendix A.

Noted that outstanding information expected to have an impact on the proposed budget for 2024/25 and the Medium Term Financial Strategy will include, the provisional and final local government finance settlement for 2024/25, the outcome of the public consultation and recommendations from the scrutiny management board. 

Confirmed that cabinet will propose the 2024/25 revenue budget for recommendation to council at its meeting on 25 January 2024.  Council will meet to approve the 2024/25 revenue budget and supporting appendices at its meeting on 9 February 2024.

No points were raised by cabinet members. 

Group leaders gave the views of their groups.  Queries  ...  view the full minutes text for item 64