Agenda item

The Portfolio Holder for Corporate Governance, Finance and Resources to submit a report on the Revenue Budget for 2023/24 including the proposed level of council tax for borough council purposes and the Medium Term Financial Strategy 2023/27.

Cabinet:

1)    NOTED the year-end forecast and financial position for the General Fund and Special Expenses for 2022/23.

2)    NOTED the proposed budget for 2023/24 and that authority be DELEGATED to the Director for Corporate Services to make any amendments necessary to the estimates prior to their submission to Council for approval.

3)    APPROVED the Special Expenses Policy attached as Appendix C.

4)    RECOMMENDED to Council, subject to any amendments made under delegation:

4.1)    The revenue budget for 2023/24 for General and Special Expenses as set out in Appendix B and summarised in section 4.5, resulting in an overall council tax increase of 2.99%, the individual council tax levels being as set out in para 4.5.5.

4.2)    That the council continued to disregard 100% of any war widows (widowers)/war disablement scheme/armed forces compensation scheme payments in any benefits assessment.

4.3)    Any underspend on general expenses at 31 March 2023 be used to increase the current level of the working balance in order to move closer to the target level of £1m and any overspend be met by reducing the budgeted transfer to the Regeneration and Innovation Reserve with any further shortfall being met from the Corporate Priorities Reserve in order to maintain the current level at £850k.

4.4)    That the General Expenses working balance be increased to the £1m level recommended by the LGA in 2023/24 by transferring £150k from the Corporate Priorities Reserve.

4.5)    Any surplus/deficit for Special Expenses, Melton Mowbray, be transferred to/from the Special Expenses Reserve thereby bringing the actual working balance back to the target.

4.6)    That the changes made to the risk categorisation of budgets as set out in para 4.8.1 and Appendix E be noted.

Director for Corporate Services introduced the report the purpose of which advised Members that the 2023/24 draft budget had been prepared based on the Council’s approved Corporate Strategy 2020-24 showing the overall position on General Expenses and Special Expenses Melton Mowbray and the risks and assumptions associated with the budget estimates.

The Portfolio Holder for Corporate Governance, Finance and Resources thanked the Director for Corporate Services and her team for the preparation of the General Fund Revenue Budget and the Medium Term Financial Strategy and outlined the recommendations.

Cabinet:

1)    NOTED the year-end forecast and financial position for the General Fund and Special Expenses for 2022/23.

2)    NOTED that authority for the proposed budget for 2023/24 is delegated to the Director for Corporate Services to make any amendments necessary to the estimates prior to their submission to Council for approval.

3)    APPROVED the Special Expenses Policy attached as Appendix C.

4)    RECOMMENDED to Council, subject to any amendment arising made under delegation:

4.1)  That the revenue budget for 2023/24 for General and Special Expenses as set out in Appendix B and summarised in section 4.5, resulting in an overall council tax increase of 2.99%, the individual council tax levels being as set out in para 4.5.5 be approved.

4.2)  That the council continued to disregard 100% of any war widows (widowers)/war disablement scheme/armed forces compensation scheme payments in any benefits assessment.

4.3)  Any underspend on general expenses at 31 March 2023 be used to increase the current level of the working balance in order to move closer to the target level of £1m and any overspend be met by reducing the budgeted transfer to the Regeneration and Innovation Reserve with any further shortfall being met from the Corporate Priorities Reserve in order to maintain the current level at £850k be approved.

4.4)  That the General Expenses working balance be increased to the £1m level recommended by the LGA in 2023/24 by transferring £150k form the Corporate Priorities Reserve.

4.5)  Any surplus/deficit for Special Expenses, Melton Mowbray, be transferred to/from the Special Expenses Reserve thereby brining the actual working balance back to the target.

4.6)  The changes made to the risk categorisation of budgets as set out in paragraph 4.8.1 and Appendix E be noted.

Reasons for Recommendations:

The Council, having set a Budget at the start of the financial year, needs to ensure the delivery of this Budget is achieved. Consequently, there is a requirement to regularly monitor progress so corrective action can be taken when required, which is enhanced with the regular reporting of the financial position.

To propose to Council a General Fund budget and level of council tax for the 2023/24 financial year which takes into account the proposals set out in the approved Corporate Strategy. The proposals take into account the net expenditure that the Council expects to spend in the next financial year to deliver services to our customers. The report also includes details of the funding and income received to support these services to ensure a balanced budget is proposed.

The Council also holds a number of reserves which can be drawn upon to fund future expenses. The level of reserves is considered within this report, as is the future outlook for spending in the years ahead in order for the Council’s future financial resilience to be considered as part of the proposals.

Cabinet and Council are required to consider and approve the General Fund Revenue Account budget proposals in order to set the budget and council tax for the forthcoming financial year.