Decision Maker: Cabinet
Decision status: For Determination
Is Key decision?: Yes
Is subject to call in?: No
To consider, and if agreed, to recommend to Council the Revenue Budget 2021/22 and the Medium Term Financial Strategy 2021-2025.
1. The Cabinet agreed to note and take into account the statutory S25 report of the S151 officer at Appendix M to the report in determining:
(a) The proposed budget for 2021/22;
(b) The medium term financial plans for 2021/22 – 2023/24;
(c) The level of reserves.
2. The Cabinet noted:
(a) The use of £5.106m of Capital Receipts to fund the Minimum Revenue Provision (MRP) in 2021/22 and £3.144m in 2022/23;
(b) In 2021/22, £12.200m of revenue spend would be capitalised in accordance with the Capitalisation Directive from MHCLG (see section 14 of the report);
(c) The Dedicated Schools Grant [DSG] settlement for 2021/22 (see Section 13 of the report) and the allocation of £193.905m as set out in Appendix L;
3. The Cabinet agreed to recommend to Council to approve:
(a) The Council Tax Support Scheme (CTSS) was not to be to varied or revised for 2021/22;
(b) With regard to the 2021/22 General Fund and Housing Revenue Account budgets, and the Medium Term Financial Strategy:
I. The General Fund Budget Requirement of £133.574m for 2021/22;
II. Proposed savings of £15.576m for 2021/22 and overall savings of £23.573m for the three years to 2023/24;
III. Growth and pressures of £12.593m for 2021/22 and overall pressures of £19.178m to 2023/24;
IV. The Housing Revenue Account budget for 2021/22 of £36.790m as set out in Appendix F;
V. The forecast reserves of £14.458m at the end of 2021/22 as set out in Appendix G;
(c) The strategy for the use of flexible capital receipts to deliver transformation and ongoing savings as set out in Appendix H to the report;
(d) The calculations for determining the Council tax requirement for the year 2021/22 in accordance with the Local Government Finance Act 1992 as set out in Appendix J to the report;
(e) The Council increase the Council tax for a band D property by £70.83 for 2021/22, giving a band D Council Tax of £1,490.30 per year, excluding the precepts from Police, Fire and parishes as set out below:
i. Its general band D Council Tax by 1.99%, the maximum permitted without a referendum as previously planned; and
ii. Its Adult Social Care Precept by 3.00% as confirmed by Government in the Final Local Government Settlement.
4. Noted the following Council tax increases and precepts as detailed in Appendix J to the report:
(a) Parish Precepts of £185,244;
(b) The Police and Crime Commissioner for Thames Valley has increased Council tax for a band D property to £231.28 per annum, a 6.9% increase on 2020/21, resulting in a precept of £9,442,862;
(c) The Royal Berkshire Fire Authority is expected to agree an increase of £1.35 for a band D property to £68.95 per annum, a 1.99% increase on 2020/21, resulting in a precept of £2,815,139;
(d) This gave a total Band D Council Tax of £1,790.53 plus any Parish precept where applicable set out in Appendix J to the report.
5. The Fees and Charges for 2021/22 as set out in Appendix K to the report.
6. That in the event of Capitalisation Directive not receiving Ministerial approval, the Cabinet would work to prepare an alternative proposal to present a balanced budget to Council, including the use of reserves and other means.
Report author: Jo Knight
Publication date: 12/02/2021
Date of decision: 22/02/2021
Decided at meeting: 22/02/2021 - Cabinet