Agenda item

Report of the Head of Finance

Councillor N Rushton presented the report to members. He thanked the Finance Team for all the work

 

Councillor N Rushton moved the recommendations as set out in the report. The motion was seconded by Councillor R Blunt.

 

The Chairman referred to the amendments to the motion, which had been circulated in the additional papers. He invited Councillor S Sheahan to put forward his amendment.

 

Councillor S Sheahan outlined the amended budget as detailed in the additional papers and echoed Councillor N Rushton’s thanks to the Finance Team in assisting with the amended budget. The motion was seconded by Councillor J Legrys.

 

A full and lengthy debate was held which received some support but reservations were expressed over the use of the surplus budget, when there was an unknown financial future due to the pandemic, unsupported borrowing and lack for money towards the climate change emergency.

 

The Chairman then put the motion to the vote. A recorded vote being required, the voting was as detailed below:

 

The motion was declared LOST.

 

The Chairman referred members to the substantive motion as set out in the agenda.

 

A further debate was held which received support for the budget and acknowledged the amendment that was circulated which would not see any increase to the precept for the Coalville Special Expense area,.

 

The Chairman then put the substantive motion to the vote. A recorded vote being required, the voting was as detailed below:

 

The motion was declared CARRIED.

 

It was therefore

 

RESOLVED THAT:

 

1.         The S151 Officer’s comments on the robustness of the estimates and adequacy of reserves, as required by Section 25 of the Local Government Act 2003 be noted.

 

2.         The Medium Term Financial Plan approved by Cabinet on 2 February 2021 as detailed in appendix 2 be noted.

 

3.         The General Fund Revenue Budget for 2021/22 as summarised in appendix 3a be approved.

 

4.         The ground rent increase at Appleby Magna Caravan Site of 0.5% on the anniversary of each individual rent agreement from 1 April 2021 be approved.

 

5.         The amendments to the General Fund Fees and Charges as detailed in appendix 3c effective from 1 April 2021 be approved.

 

6.         The District Council Tax in 2021/22 be frozen.

 

7.         The transfer of any general fund surplus income over expenditure in 2021/22 to the Self Sufficiency reserve (currently budgeted at £1,102,407) be approved.

 

8.         The Special Expenses Revenue Budget for 2021/22 as summarised in appendix 3d be approved.

 

9.         The Special Expenses Band D Council Tax as appendix 6 table b for 2021/22 be set.

 

10.      The Housing Revenue Account Budget for 2021/22 as summarised in appendix 4a be approved.

 

11.      The increase in Council Rents for 2021/22 by up to 1.5% be approved.

 

12.      The increase in garage rents for 2021/22 by 0.5% be approved.

 

13.      The decrease in central heating charges for 2021/22 by 5% be approved.

 

14.      The average decrease of 3.54% in service charge for 2021/22, as set in appendix 4d be approved.

 

15.      The increasing of the lifeline charges for East Midlands Housing and private customers by 0.5% be approved.

 

16.      The surplus Housing Revenue Account income is transferred to the Loan Redemption Reserve, but that Cabinet maintains the ability to use the surpluses more flexibly now the reserve has sufficient money to repay the loans due in 2022 be approved.  This approach was approved by Council in 2019/20.

 

17.      The 2021/22 Capital Strategy included in appendix 5a (in line with the Prudential Code) be approved.

 

18.      The proposed General Fund (appendix 5b) and Housing Revenue Account (appendix 5c) Capital Programmes for 2021/22 and planned financing be approved.

 

19.      The General Fund and HRA Capital Programmes 2022/23 – 2025/26 for indicative purposes only be approved.

 

20.      The following amounts for the year 2021/22 in accordance with Regulation 31b of the Local Government Finance Act 1992 as amended be approved:

 

(1)  34,841 being the amount calculated by the Council, in accordance with Regulation 3 of the Local Authorities (Calculation of Council Tax Base (England) Regulations 2012, as its Council Tax Base for the year.

 

(2)  The amounts specified in appendix 6 table a of this report being the amounts calculated by the Council, in accordance with Section 34 of the Local Government Finance Act 1992, as the amount of its Council Tax Base for the year for dwellings in those parts of its area to which one or more special items relate.

 

21.       The following amounts be now calculated by the Council for the year 2021/22 in accordance with Sections 31a and 31b of the Local Government Finance Act 1992 as amended be approved:

 

(1)    District/Parish gross expenditure

£59,594,749 being the aggregate of the amounts which the Council estimates for the item set out in Section 31a (2) of the Act.

 

(2)  Income

£51,142,626 being the amount by aggregate of the amounts which the Council estimates for the items set out in Section 31a (3) of the Act.

 

(3)  District/Parish gross expenditure

£8,452,123 being the amount by which the aggregate at 21(1) above exceeds the aggregate at 21(2) above, calculated by the Council in accordance with Section 31a(4) of the Act as its Council Tax requirement for the year.

 

(4)  Basic amount of tax (including average Parish precepts)

£242.59 being the amount of 21(2) above, divided by the amount stated as the Council Tax Base in parts of the Council’s area, calculated by the Council in accordance with Section 31b of the Act as the basic amount of its Council Tax for the year.

 

(5)  Parish precepts/special expenses

£2,927,037 being the aggregate amount of all special items referred to in Section 35(1) of the Act.

 

(6)  Basic amount of tax (basic council tax – District)

£158.58 being the amount at 21(4) above less the result given by dividing the amount at 21(5) above by the amount as stated as the Council Tax Base for the whole of the Council area, calculated by the Council in accordance with Section 34(2) of the Act, as the basic amount of its Council Tax for dwellings in those parts of its area to which no special items relates.

 

(7)  Basic amount of tax (Parished areas)

The amounts listed in column 5 of table b appendix 6 to this report, being the amounts given by adding to the amount at 21(6) above, the amounts of the special item or items relating to dwellings in those parts of the Council’s area mentioned, divided in each case by the amount stated as the Council Tax Base in parts of the Council area, calculated by the Council in accordance with Section 34(3) of the Act as the basic amounts of its Council Tax for the year for dwellings in those parts of its areas to which one or more special items relate.

 

(8)  District/Parish council tax rates

The amounts set out in table c appendix 6 to this report being the amounts given by multiplying the amounts at 21(6) and 21(7) above by the number which, the proportion set out in Section 5(1) of the Act, is applicable to dwellings listed in a particular valuation band D, calculated by the Council in accordance with Section 36(1) of the Act as the amounts to be taken into account for the year in respect of categories of dwelling listed in different valuation bands.

 

22.       Major precepting authorities

The amounts set out in table d appendix 6 to the report are the amounts notified by Leicestershire County Council, Leicestershire Police and Crime Commissioner and the Combined Fire Authority in accordance with Section 40 of the Local Government Finance Act 1992 hereby sets the amounts of Council Tax for the Council’s area for the year 2021/22 for each of the categories of dwellings as shown in table e appendix 6 be noted.

 

23.       Council tax base – all bands

Having calculated the aggregate in each case of the amounts at 21(8) (table c appendix 6) and 22 (table d appendix 6) above, the Council in accordance with Section 30(2) of the Local Government Finance Act 1992 hereby sets the amount of Council Tax for the Council’s area for the year 2021/22 for each of the categories of dwellings as shown in table e appendix 6.

 

24.      Referendums relating to council tax increases

The relevant basic amount of Council Tax for 2021/22 is not excessive be noted.