Agenda item

Cabinet agreed to recommend the following to Full Council for approval:

a)  Note the s.25 Statement from the Council’s s.151 officer at Appendix 1.

b)  Approve the 2025/26 revenue budget on the basis of an increase in the general element of the council tax of 2.99% and an increase in the Adult Social Care Precept element of 2% as set out in Appendix 2;

c)  Approve the council tax resolution for 2025/26 as set out in Appendix 2 on the basis that it is not excessive in accordance with the principles approved under s.52ZB and 52ZC of the Local Government Finance Act 1992 and as permitted by the proposed ‘The Referendums Relating to Council Tax Increases (Principles) (England) Report 2025/26’;

d)  Approve the Medium-Term Financial Strategy (MTFS) as set out in Section 3.20 and Appendix 3  of this report;

e)  Delegate authority to the Executive Director, Corporate Services (S151 officer) to place a notice in the local press of the amounts set under recommendation 3 within a period of 21 days following the Council’s decision;

f)  Approve the General Fund capital programme as set out in Section 12and ; and

g)  Approve the Flexible Use of Capital Receipts Strategy as set out in Section  - 17.5 and Appendix  to this report.

Cabinet agreed to note:

h)  The Section 25 statement from the Council’s Section 151 officer on the robustness of estimates and reserves;

i)  That the proposed budget assumes that a capitalisation direction of £15.709m is approved by government late February 2025;

j)  the Executive Director, Corporate Resources (S151 officer) will undertake technical virements to the budget to realign and update profiles prior to the P2 forecast for 2025/26.  A high level overview will be reported in the first report of 2025/26.

k)  The Treasury Management Strategy Statement was reviewed by Audit and Corporate Governance Committee and recommended to Full Council for approval;

l)  The budget risks and mitigations included in section 16 and appendix 9 within this report; and

m)  The cessation of the Expenditure Control Process and the move to improved financial control processes within a broader financial management framework aligned to performance.

Cabinet approved:

n)  the budget proposals for the Dedicated Schools Grant for 2025/26, included in section 15, paragraph 15.14, namely;

i.  The local formulae for schools and early years;

ii.  To support the decisions of Schools Forum on the aspects of the Schools, Central Services and Early Years Blocks that are theirs to decide; and

iii.  to agree the budget for the High Needs Block.

o)  The contract sum for Slough Children First for 2025/26 as £38.353m; and

p)  Delegate to the Executive Director, Corporate Resources (S151 officer) any decision resulting from the review of corporate support services between Slough Children First and the Council.

The Lead Member for Finance, Council Assets and Transformation introduced a report on the proposed Revenue Budget for 2025/26, General Fund Capital Programme 2025/26 to 2029/30 and the Medium Term Financial Strategy (MTFS) 2025/26 to 2028/29.  The Cabinet was asked to recommend approval to full Council on 6^th March 2025.

The Council’s financial position continued to be challenging and work was progressing on improving financial sustainability and providing a balanced MTFS over the medium term.  The Council was in receipt of Exceptional Financial Support through a Capitalisation Direction of up to £348m in total which needed to be repaid.  Continued delivery of the asset disposal programme was therefore a priority. The proposed balanced revenue budget for 2025/26 was based upon a 4.99% increase in Council Tax, including the 2% Adult Social Care Precept, and was subject to the Exceptional Financial Support for 2025/26 of £15.709m.  The Council also faced many of the significant financial pressures facing many local authorities particularly the rise in demand and cost for services such as temporary accommodation, special educational needs and disabilities and adult social care.

The Lead Member summarised the key aspects of the budget and highlighted the work of the Project Rooms that helped to close the budget gap and identified £13m worth of efficiencies.  The budget was an important milestone in the Council’s financial recovery and was a further sign of progress as the Council sought to move towards financial sustainability and live within its means.  The capital programme was significant and demonstrated the Council continued to invest in key projects and the growth of the town.  The Executive Director, Corporate Resources highlighted a number of the key risks the budget and drew Members attention to the Section 25 report at Appendix 1.

The Cabinet thanked the finance team and officers across the Council for producing a balanced revenue budget in very challenging circumstances.  Lead Members commented on the importance of sustaining the pace of the Council’s financial recovery as part of the ambition to become a Best Value Council by November 2026.  After due consideration, it was agreed to recommend the budget to full Council on 6^th March 2025.

Recommended to full Council –

(a)  Note the s.25 Statement from the Council’s s.151 officer at Appendix 1.

(b)  Approve the 2025/26 revenue budget on the basis of an increase in the general element of the council tax of 2.99% and an increase in the Adult Social Care Precept element of 2% as set out in Appendix 2;

(c)  Approve the council tax resolution for 2025/26 as set out in Appendix 2 on the basis that it is not excessive in accordance with the principles approved under s.52ZB and 52ZC of the Local Government Finance Act 1992 and as permitted by the proposed ‘The Referendums Relating to Council Tax Increases (Principles) (England) Report 2025/26’;

(d)  Approve the Medium-Term Financial Strategy (MTFS) as set out in Section 3.20 and Appendix 3  of this report;

(e)  Delegate authority to the Executive Director, Corporate Services (S151 officer) to place a notice in the local press of the amounts set under recommendation 3 within a period of 21 days following the Council’s decision;

(f)  Approve the General Fund capital programme as set out in Section 12and ; and

(g)  Approve the Flexible Use of Capital Receipts Strategy as set out in Section  - 17.5 and Appendix  to this report.

Resolved –

That it be noted that:

(h)  The Section 25 statement from the Council’s Section 151 officer on the robustness of estimates and reserves;

(i)  That the proposed budget assumes that a capitalisation direction of £15.709m is approved by government late February 2025;

(j)  the Executive Director, Corporate Resources (S151 officer) will undertake technical virements to the budget to realign and update profiles prior to the P2 forecast for 2025/26.  A high level overview will be reported in the first report of 2025/26.

(k)  The Treasury Management Strategy Statement was reviewed by Audit and Corporate Governance Committee and recommended to Full Council for approval;

(l)  The budget risks and mitigations included in section 16 and appendix 9 within this report; and

(m)  The cessation of the Expenditure Control Process and the move to improved financial control processes within a broader financial management framework aligned to performance.

Approved:

n)  the budget proposals for the Dedicated Schools Grant for 2025/26, included in section 15, paragraph 15.14, namely;

i.  The local formulae for schools and early years;

ii.  To support the decisions of Schools Forum on the aspects of the Schools, Central Services and Early Years Blocks that are theirs to decide; and

iii.  to agree the budget for the High Needs Block.

o)  The contract sum for Slough Children First for 2025/26 as £38.353m; and

p)  Delegated to the Executive Director, Corporate Resources (S151 officer) any decision resulting from the review of corporate support services between Slough Children First and the Council.