Agenda item
Joint Report of the Leader, Cabinet Member with responsibility for Financial Services and the Corporate Lead Officer: Finance and Procurement upon the Budget 2023/24, including the Three-Year Capital Programme and Prudential Indicators and Treasury Management
Minutes:
Councillor Bryan Davies, Leader of the Council presented the
report noting that the information had been considered by the Cabinet and all
Overview and Scrutiny Committees, and that a proposal put forward by Scrutiny
not to introduce parking charges in Tregaron and
Llandysul was agreed by Cabinet and included in the report.
Councillor Bryan Davies thanked the Officers, noting that
Cabinet had set them a challenge to balance the budget without affecting jobs
or frontline services as far as possible.
He noted that inflation, cost pressures such as energy, fuel, pay awards
and increasing demands of the Social Care budget, and cost of living costs
meant a budget shortfall of £22m and that the Welsh Government Settlement
increase of 8.1% for 2023/24 meant that £12m savings would need to be made or
met from income sources. A 7.3% increase
to Council Tax was proposed by Cabinet, which includes 6% to meet the Council’s
increased cost pressures and a non-negotiable increase to the Mid and West Wales
Fire Authority levy from their 13% budget, which equates to an additional 1.3%
on the Council Tax.
Councillor Gareth Davies, Cabinet Member for Finance and
Procurement noted that they could not guarantee that there wouldn’t be any job
cuts, and that continuing uncertainty regarding pay negotiations could impact
Council reserves, and potentially exceed the amount set aside. He thanked the Overview and Scrutiny
Committees for their open and mature discussions, noting that had Members
wished to propose alternative solutions, that these would need to be presented
during Scrutiny in order that the Section 151 Officer to be able to cost the
proposals and give an assurance on the robustness of any such plans.
Eifion Evans, Chief Executive acknowledged the background
work carried out by all Officers to identify savings and ensure that jobs and
services are protected as much as possible.
He noted that it is recognised by external regulators that Ceredigion
County Council continues to deliver high quality services despite the
challenges. However it is anticipated that the budget
for the following year will be even more challenging.
The Corporate Lead Officer :Finance
& Procurement confirmed his opinion on the Budget as Section 151 officer,
which included providing an update on the WG Final Settlement and the recent
tabling of Pay Offers for general staff for 2023/24.
Councillor Gareth Lloyd, Leader of the Independent Group
noted that the Fire Authority Levy had historically been very low, and that
there is only one full-time manned Fire Station across Ceredigion and Powys.
This has had an impact on staffing, and that they are looking to attract new
people by reviewing contracts of employment, which is part of the reason for
the significant increase to the Levy. He
thanked everyone for their work, and thanked Cabinet for listening to the
recommendations by Scrutiny. In advance
of next year’s budget, he noted that the Council would need to commence work
immediately by reviewing income such as parking and rents, as well as savings
from agency staff and purchasing equipment as opposed to hiring.
Councillor Elizabeth Evans, Leader of the Liberal Democrat
Group thanked Officers for involving Group Leaders at an early stage, and for
listening to their proposals. She noted
that this was an unprecedented rise in Council Tax, however residents view
potential reduction to services with much discontent, together with concern
that yet another increase in household costs could push ever more people into
hardship. She noted that morale is also
very low amongst Members; however any reduction below
7.3% would lead to further reduction to services, and that she could not oppose
the rise when as an Opposition Group, they cannot suggest any alternatives to
alleviate the situation. As an example the difference between 6.0% and 7.3% Council Tax
levels worked at to be 37p per week for a Band D property.
Councillor Gareth Lloyd proposed that that the vote in
relation to Recommendations 1 – 5 would be a Recorded vote. This was seconded by Councillor Gareth
Davies. A vote was taken and agreed unanimously.
A
Recorded vote was taken for recommendations 1 to 5 of the report, as agreed and
in accordance with Rule 14.5 of the Council Procedure Rules contained in the
Council’s Constitution.
For: Councillors Bryan Davies, Catrin M S Davies,
Clive Davies, Euros Davies, Gareth Davies, Gethin Davies, Ifan Davies, Marc
Davies, Meirion Davies, Rhodri Davies, Amanda Edwards, Endaf Edwards, Elaine
Evans, Elizabeth Evans, Eryl Evans, Gwyn Wigley Evans, Keith Evans, Rhodri
Evans, Wyn Evans, Keith Henson, Paul Hinge, Geraint Hughes, Hugh Hughes, Chris
James, Gwyn James, Ceris Jones, Maldwyn Lewis, Gareth Lloyd, Sian Maehrlein,
Ann Bowen Morgan, Caryl Roberts, John Roberts, Mark Strong, Wyn Thomas, Matthew
Vaux, Alun Williams and Carl Worrall (37).
Against: None (0)
Abstain: None (0)
Councillor Steve Davies
did not vote.
Following a recorded vote, it was RESOLVED:
1.
To note that, in the opinion of the Corporate
Lead Officer: Finance & Procurement (Section 151 Officer):
• the 2023/24 Budget estimates
have been prepared in a robust manner, and
• the proposed level of Earmarked
Reserves and General Balances is adequate in respect of the forthcoming
financial year.
2. To
approve the Revenue Budget Requirement for 2023/24 of £180.101m, as set out in
Appendix 1.
3. To approve the detailed Updated 2022/23 Budgets and 2023/24 Budgets, as set out in Appendix 2.
4. To levy a
Band D Council Tax of £1,553.60 for 2023/24 for Ceredigion County Council
purposes, representing an increase of £105.70 or 7.3%.
5. To note
that the 7.3% Band D Council Tax increase represents an increase of 6.0% for
core Council Services and a further 1.3% in order to
fund an increase in the Mid & West Wales Fire Authority levy for 2023/24.
Following a further
vote, it was also RESOLVED:
6. To
approve the Capital Strategy, as set out in Appendix 3.
7. To
approve the Multi-year Capital Programme, as set out in Appendix 4.
8. To
approve the Prudential Indicators, as set out in the Appendix 5.
9. To delegate
authority to the CLO – Finance & Procurement to effect movement within the
total of the Authorised limit of external borrowing, and the Operational
boundary.
Supporting documents:
- 2324 Budget report to Full Council - 02032023 (E), item 5. PDF 130 KB
- Appendix 1 - Budget Requirement Summary- E, item 5. PDF 22 KB
- Appendix 2 2023-24 Bilingual Net Budget Book Pages with new reserve changes, item 5. PDF 275 KB
- Appendix 3 - Capital Strategy - E, item 5. PDF 76 KB
- Appendix 4 - Capital programme - E, item 5. PDF 92 KB
- Appendix 5 - Prudential Indicators - E, item 5. PDF 187 KB