Agenda and minutes

None

There were no declarations made.

[A period not exceeding 20 minutes for statements from up to 5

members of the public on matters within the Committee’s remit,

proposing action(s) which may be considered or contribute towards the future development of the Committee’s work programme.]

There were no public statements.

Prior to consideration of the item, it was moved and seconded that because there was not a formal Overview and Scrutiny Management Committee meeting prior to the 14^th February, Cabinet meeting that the Committee’s final response to the Mayor’s budget proposals be agreed by the Chair.

The Committee considered the report detailing the Mayor’s Budget Proposals 2017/18, with discussion focused on the following:

Chief Financial Officer and Assistant Director Finance

The Chief Financial Officer and Assistant Director Finance provided details of the Medium-term Financial Forecast for 2017/18 to 2020/21 and the Local Government Settlement.  He outlined that following the Settlement announcement, the Mayor was working on the final version of the budget report to be considered by Cabinet on 14^th February, which would be released prior to that date.

New Homes Bonus scheme – Members acknowledged the grant confirmed to the Council for 2016/17 which was an additional £1.57m compared to 2015/16 mainly due to housing growth and a further small reduction to empty properties.  It was noted that and evaluation of the New Homes Bonus (NHB) led by the DCLG concluded that the most negative impacts were seen in the north of England and Yorkshire and the Humber.  Details of the estimated grant figures were set out in the report. 

Members noted the Government’s consultation paper on the NHB reduced the amount of grant paid out, for example, by reducing the number of years for which the Bonus is paid from the current 6 to 4 years and introducing a national baseline for housing growth which had to be exceeded before any bonus became available. 

Council Tax Base – This had increased.

Local Council Tax Support Scheme – 100% support had been retained and it was hoped this would remain for the next few years.

Treasury Management function – additional income was expected due to lower borrowing required and reduced interest costs.

2018/19 proposals – The Committee recognised the potential to achieve additional savings if all proposals came to fruition.

Reserves – The Committee acknowledged the effectiveness of the financial strategy in building up and utilising reserves in 2017/18 to spread the burden of the more significant pressures that arise during the year.  The Committee also welcomed the recent announcement relating to the White Rose Way scheme, which reduced the risk on the reserves position.

Capital reserves – The Committee was reminded that Revenue costs could only be capitalised unique circumstances, for example, to capitalise the equal pay review.  At the moment the Council does not have any unique circumstances.

Risks – The Committee noted that key risks to the delivery of the budget continued to be identified and effectively managed to make sure they did not adversely impact on the Council’s ability to meet its savings target, in particular:-

·             Possible non-delivery or delayed delivery of key projects/savings;

·             Risks within Adult Social Care, for example, not managing demand and people leaving and not being able to recruit the right calibre of professionals;  and

·             Children’s Trust financial overspend  ...  view the full minutes text for item 56.

The Committee considered the Scrutiny Work Plan, noted the current position and work to be undertaken by the Committee and Panel’s for the remainder of the 2016/17 Civic Year.

RESOLVED:  that the report, be noted.