Issue - meetings

Item FIP 14/003 referred from Finance, Innovation and Property Advisory Board minutes of 8 January 2014

Item FIP 14/003 referred from Finance, Innovation and Property Advisory Board minutes of 8th January, 2014

The Cabinet received the recommendations of the Finance, Innovation and Property Advisory Board at its meeting of 8 January 2014 in relation to the formulation of initial draft proposals in respect of the Budget.  It was agreed that all budgetary matters would be considered in detail at the subsequent Budget meeting of the Cabinet on 13 February 2014.

RECOMMENDED:  That confirmation be given to the action taken in endorsing the following for consideration by the Overview and Scrutiny Committee

(1)  the Draft Revenue Estimates contained in the booklet be endorsed; and

(2)  within the context of the financial pressures outlined in the report, the Overview and Scrutiny Committee be requested to consider the Draft Revenue Estimates contained in the booklet and make appropriate recommendations to the Cabinet for its Budget meeting.

The report of the Director of Finance and Transformation referred to the responsibility of the Cabinet under the constitution for formulating initial proposals in respect of the budget.  Reference was made to the role of the Advisory Board in assisting the Council and Cabinet in the preparation of the budget within the context of the Medium Term Financial Strategy and the Council's priorities.  An outline was given of the process for referring the Advisory Board's recommendations to the Overview and Scrutiny Committee prior to consideration by the Cabinet on 4 February and thereafter by the Council at its Budget meeting.

The report set out the framework for considering the estimates in terms of the Medium Term Financial Strategy together with a number of service specific issues.  Attention was drawn to the alteration of the format of the Estimates Booklet to mirror the composition of the new directorates following the corporate establishment changes.

The Director of Finance and Transformation drew attention to the key messages arising from the provisional local government finance settlement including the position regarding New Homes Bonus funding.  The implications of implementing the Council Tax 'freeze' grant were discussed and concern expressed at the uncertainty in respect of the threshold set by the Secretary of State for local referenda to approve or veto council tax increases above a level which had yet to be notified.

Further to the report to the Advisory Board on 28 August 2013, Members were updated on the achievement of the first savings tranche of £1.1 million together with the issues which had a negative effect on the 'funding gap'.  It was noted that the Medium Term Financial Strategy would continue to be updated during the budget cycle as more information became available.

RECOMMENDED:  That

(1)  the draft Revenue Estimates contained in the booklet be endorsed; and

(2)  within the context of the financial pressures outlined in the report, the Overview and Scrutiny Committee be requested to consider the draft Revenue Estimates contained in the booklet and make appropriate recommendations to the Cabinet for its special meeting on 4 February 2014.