To set the council tax and precepts for 2021/22.

Council considered a report by the Leader of the Council to set the Council tax and precepts for 2020/21.

The Chairman referred the meeting to the correction supplement published on the 4 March containing a corrected version of the 2021/22 council tax setting report. The Chairman outlined two corrections to the detail contained in the correction supplement: the cover to the correction supplement should state that the title of column 6 of appendix 1 was % change from 2020/21 to 2021/22; and the pound sign in advance of the net tax base of band D equivalent properties in recommendation (b) should be discounted.

The cabinet member finance and corporate services introduced the report and proposed the recommendations. In introducing the report she explained that the council was the billing authority and collected council tax. The report sought approval to set the precepts for each category of dwelling taking account of the council’s precept, parish council’s precepts, the police and crime commissioner’s precept and the Hereford and Worcester Fire Authority precept. The support provided by parish councils in the provision of services was highlighted and it was noted that the tax base had reduced from the 2020/21 year which affected the percentage change of parish council precepts.     

The Leader seconded the recommendations in the report and explained the variable precepts across parish councils. The decision before Council was a formal process to agree the council tax liability for households in the county.

The monitoring officer clarified that a liability on the part of members to pay council tax did not create a disclosable pecuniary interest. As council tax payers there was no need for a dispensation for members to participate in council tax setting.

The following principal points were raised during the debate:

·         Equivalent rural sparsity arrangements for the police and crime commissioner and the fire authority. The provision of a £100k rural grant to the fire and rescue service but no equivalent arrangement for the police force.

·         Initiatives to build stronger relationships with parish councils to help the sharing of best practice in areas such as drainage and flooding response.

·         Tribute was paid to the work of parish councils and the increasing role they played locally.

·         The value for money assessment of parish councils and the criteria for audits of parish councils applied by the external auditor.

·         The need for a correction to the police and crime commissioner’s precept contained in appendix 4.

The report and recommendations in the correction supplement were put to the recorded vote and were carried by a simple majority of the Council.

For (37): Councillors Paul Andrews, Bartlett, Bolderson, Boulter, Bowen, Bowes, Chowns, Crockett, Davies, Fagan, Foxton, Gandy, Guthrie, Hardwick, Harrington, Harvey, Hewitt, Hey, Hitchiner, I’Anson, Jinman, Graham Jones, Lester, Marsh, Milln, Norman, Phillips, Rone, Seldon, Shaw, Stone, Summers, Swinglehurst, Toynbee, Tyler, Watson and Wilding.

Against (14): Councillors Polly Andrews, Bartrum, Durkin, Howells, James, Johnson, Mike Jones, Kenyon, Matthews, Millmore, Price, Stark, Symonds and Tillett.

Abstain (0)

RESOLVED – That:

a)    The precepting authority details incorporated in appendices 1 to 5, relating to town and parishes, West Mercia Police and Hereford and Worcester Fire Authority be approved in accordance with sections 30(2), 34(3), 36(1) and section 40 of the Local Government Finance Act 1992 (as amended) and that the following amounts be approved for the year 2021/22 in accordance with sections 31 to 36 of the Local Government Finance Act 1992, regulation 6 (as amended by the Localism Act 2011):

a.    £386,183,501 being the estimated aggregate expenditure of the                               council in accordance with section 31A (2) of the act, including all precepts issued to it by parish councils;

b.    £268,356,670 being the estimated aggregate income of the council for the items set out in section 31A (3) of the act (including revenue support grant);

c.    £117,826,831 being the amount by which the aggregate at (a) above exceeds the aggregate at (b) calculated by the council in accordance with section 31A(4) of the act, as its council tax requirement for the year (including parish precepts); [Item R in the formula in Section 31B of the Act]

d.    £1,723.74 being the amount at (c) above divided by the amount of the council tax base 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.    £4,883,501 being the aggregate amount of all special items (parish precepts) referred to in section 34(1) of the act;

f.     £1,652.30 being the amount at (d) above less the result given by dividing the amount at (e) above by the amount of the council tax base 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 parish precept relates (Herefordshire Council band D council tax, excluding parishes)

b)    it is agreed that the net tax base of 68,355.22 band D equivalent properties (being the gross tax base adjusted for an assumed collection rate) used for setting the budget requirement for 2021/22;

a.    is allocated to band D equivalent dwellings per precept area as shown in appendix 1; and

b.    the individual council tax allocations per valuation band of dwelling by parish (including fire and police precepts) as set out in appendix 5.