To approve the 2025/26 revenue budget, Medium Term Financial Strategy and the Treasury Management Strategy.

Council considered a report from the Leader to set the 2025/26 budget.

The Cabinet Member Finance and Corporate Services introduced the report and moved the budget.

The Leader seconded the report and the budget.

Councillor Terry James, as Group Leader of the Liberal Democrat Group spoke on the budget.

Councillor Diana Toynbee, as Group Leader of The Green Party Group spoke on the budget.

Councillor Liz Harvey, as Group Leader of the Independents for Herefordshire Group spoke on the budget.

Councillor Clare Davies, as Group Leader of the True Independents Group spoke on the budget.

Council debated the budget recommended by the Cabinet.

The Cabinet Member Finance and Corporate Services closed the debate.

The 2025/26 budget, medium term financial strategy and treasury management strategy was put to the recorded vote and was carried by a simple majority.

FOR (48): Councillors Andrews, Baker, Bartlett, Bartrum, Biggs, Boulter Bramer, Carwardine, Cole, Cornthwaite, Clare Davies, Dave Davies, Durkin, Engel, Fagan, Foxton, Gandy, Hamblin, Harvey, Heathfield, Highfield, Hitchiner, Hurcomb, James, Kenyon, Lester, Mason, O’Driscoll, Oliver, Owens, Peberdy, Phillips, Dan Powell, Ivan Powell, Price, Proctor, Simmons, Spencer, Stark, Stoddart, Swinglehurst, Thomas, Tillett, Toynbee, Tully, Allan Williams, Robert Williams and Woodall.

Against (1): Councillor Gennard.

Abstentions (0)

RESOLVED:

That Council approves:

a)    the council tax base of £ 72,816.74 Band D equivalents in 2025/26;

b)    an increase in core council tax for 2025/26 of 2.99%;

c)    an additional precept in respect of adult social care costs of 2% applied to council tax in 2025/26 resulting in a total council tax increase of 4.99%, increasing the band D charge from £1,875.76 to £1,969.36 for Herefordshire Council in 2025/26;

d)    the balanced 2025/26 revenue budget proposal totalling £231.5 million, subject to any amendments approved at the meeting, specifically the net spending limits for each directorate as at appendix C;

e)    delegates to the section 151 officer the power to make necessary changes to the budget arising from any variations in central government funding allocations via general reserves;

f)      the Medium Term Financial Strategy (MTFS) 2025/26 to 2028/29 at appendix A;

g)    the Treasury Management Strategy at appendix D; and

h)    that any further additional funding above that assumed in this revenue budget and received in the Final Local Government Finance Settlement, is allocated:

a.     firstly to make provision to support the development of the Local Plan and;

b.    secondly, to be transferred to the Financial Resilience Reserve to mitigate the potential unfavourable outcome of the Fair Funding Review planned in 2025.