Agenda item

To resolve recommendations in respect of:

·       Capital Programme 2021/22 –2023/24

·       Revenue Budget 2021/22

·       Council Tax 2021/22

The Council considered the report by the Borough Treasurer which set out the financial plans and revenue budgets for the financial year 2021/22 and the supporting information which presented the Council’s spending plans for 2021/22 and detailed budgets for the General Fund and Capital Programme.

 

Councillor Heydon gave a comprehensive budget speech placing particular focus on the following matters:

 

·         He observed that the past 11 months had forced everyone to adapt to new ways of doing things:

o   the vast majority of staff worked effectively from home since last March, continuing to deliver services, with minimal disruption

o   working closely with voluntary sector partners the Council provided extra front-line support to some of the most vulnerable people in society

o   working with colleagues in Health the Council had commissioned block contracts with care homes to ensure that hospitals were not overwhelmed by patients

o   the Council facilitated the distribution of Government grants to businesses

·         He stated that the Council’s response to Covid closely followed Government guidance throughout whether closing services or setting up new ones when required such as local testing and vaccination programmes. This response was immediate and focussed on doing the right thing for Bracknell Forest residents and businesses without knowing the potential financial implications. These significant levels of additional costs this year would be covered through support from Government, both directly and indirectly through Health.

·         He reported that the extension to grant support to local authorities for Covid-related costs was announced after the publication of draft budget proposals for consultation.

·         He described the budget proposals for 2021/22 as “Covid-sensitive” as it was recognised that the human, economic and financial impacts of Covid would not end on 31 March 2021. 

·         He explained that external funding would be utilised for Highways schemes and school maintenance projects. Investment in a number of projects at Birch Hill, Holly Spring and the Pines would expand local provision for pupils with special educational needs. 

·         He explained that rebuilding the Council’s commercial depot was the largest project in the capital programme as it was no longer fit for purpose despite renovation work. A third of the existing site would be used for redevelopment to help cover redevelopment costs.    

·         He reassured residents that none of the £3m savings proposed to help mitigate against cost pressures would result in service reductions.

·         He explained that the additional one-off grants provided by the Government would be used to create a one-off funding package to:

o   invest in the town centre economies and protect local jobs;

o   work with voluntary and statutory partners to respond to the growing issue of mental health;

o   reduce council tax bills for lowest income households by £150; and

o   continue to fund important welfare support initiatives for families in crisis.

·         He reported that funding was being set aside to support carbon reduction initiatives.

·         He reflected that on average, Bracknell Forest schools would receive a 3.8% increase in per pupil funding and funding for the High Needs Block was set to increase by 8%. However the costs continued to increase at a much higher rate, meaning that the deficit on the High Needs Block was increasing.  This was a national problem faced by many councils.

·         He concluded that although there was the option of increasing Council Tax by 4.99% in 21/22 it was considered an appropriate balance between the short-term and longer-term considerations to propose an increase of 3.49%.  This comprised of 1.99% as a general increase and 1.5% for the social care precept, to help fund the additional social care costs incurred supporting the most vulnerable residents. This would represent an additional 91 pence per week for an average Band D property. Lower income households receiving council tax support would also see a £150 reduction in their bills.

 

Councillor Temperton, Leader of the Opposition responded to the proposed budget.

 

On the proposition of Councillor Heydon, Executive Member for Transformation and Finance, seconded by Councillor Bettison OBE the recommendation as set out in the agenda was moved.

 

As required by legislation a recorded vote was taken on the motion and the voting was as follows:

 

FOR (36):        Councillors Allen, Atkinson, Dr Barnard, Bettison OBE, Bhandari, D Birch, Mrs Birch, Brossard, Brunel-Walker, Dudley, Finch, Ms Gaw, Gbadebo, Mrs Gibson, M J Gibson, Mrs Hamilton, Harrison, Mrs Hayes MBE, Ms Hayes, Heydon, Mrs Ingham, Mrs Kennedy, Kirke, Leake, Mrs Mattick, Mrs McKenzie, Mrs McKenzie-Boyle, McLean, Ms Merry, Mossom, Porter, Skinner, Tullett, Turrell and Wade

 

ABSTAIN (3):  Brown, Neil and Temperton

 

It was therefore RESOLVED that:

 

2.1       Capital Programme 2021/22 - 2023/24

 

i)               General Fund capital funding of £12.221m for 2021/22 in respect of those schemes listed on pages 174 to 176 to be agreed;

ii)              The inclusion of £5.363 of expenditure to be externally funded (including £1.524m of S106 funding) as outlined in the summary report for Council (page 169) and included on pages 174 to 176;

iii)             That those schemes that attract external grant funding be agreed for inclusion within the 2021/22 capital programme at the level of funding received.

iv)             Capital schemes that require external funding can only proceed once the Council is certain of receiving the grant; and

v)              The inclusion of an additional budget of £1m for ‘Invest to Save’ schemes be agreed.

 

2.2       Revenue Budget 2021/22

 

i)      The budget proposals set out in Table 1 (page 4) of the summary report for Council, subject to the changes identified in sections 3.2 (pages 4 to 5), 3.3 (pages 5 to 7), 3.5 (page 8), 3.8 (page 9), 4.3 (pages 11 to 13), 5.3 (pages 17 to 18), 8.2 (page 20) and 8.3 (page 20) of the report, be agreed;

ii)     Fees and charges as set out in Annexe G (pages 95 to 160) be approved;

iii)    A provision for inflation of £1.200m be approved;

iv)    The commitment budget as set out in Annexe A be approved (pages 23 to 24);

v)     That the Council should make additional funding available for distribution to schools through the local funding formula at the level set out in section 4.1 (page 9) of the summary report for Council subject to any minor amendments made by the Executive Member for Children, Young People and Learning following the receipt of definitive funding allocations for Early Years and High Needs pupils;

vi)    A general contingency totalling £2.250m and a Covid-19 specific contingency of £3.417m be included, uses of which are authorised by the Chief Executive in consultation with the Director: Resources in accordance with the delegations included in the Council’s constitution;

(a)   Subject to the above, the revised draft budget proposals be agreed;

(b)   A contribution of £0.001m (after allowing for additional interest from the use of balances) be made from revenue balances to support revenue expenditure;

vii)  Total net expenditure (after use of balances) of £74.085m (page 21), be approved;

viii) The Council’s Council Tax requirement, excluding Parish Council precepts, be set at £66.826m;

ix)    The Council Tax for the Council’s services for each Valuation Band be set as follows:

 

Band	Tax Level Relative to Band D	£
A	6/9	935.46
B	7/9	1091.37
C	8/9	1247.28
D	9/9	1403.19
E	11/9	1715.01
F	13/9	2026.83
G	15/9	2338.65
H	18/9	2806.38

 

At the meeting on 09 February 2021 the Executive recommended the 2021/22 Treasury Management Strategy Statement and noted that strategy together with the Prudential Indicators and the Minimum Revenue Provision Policy Statement were matters which the Council needed to approve.

 

xii)  The Council approves the following indicators, limits, strategies and policies included in Annexe E (pages 59 to 84):

·       The Prudential Indicators and Limits for 2021/22 to 2023/24 contained within Annexe E(i);

·       The Minimum Revenue Provision (MRP) Policy contained within Annexe E(ii);

·       The Treasury Management Strategy Statement, and the Treasury Prudential Indicators contained in Annexe E(iii);

·       The Authorised Limit Prudential Indicator in Annexe E(iii);

·       The Investment Strategy 2021/22 to 2023/24 and Treasury Management Limits on Activity contained in Annexe E(iv);

 

xiii)      The formal Council Tax Resolution contained in section 3 be approved.

 

3          Council Tax Resolution

 

3.1       That the recommendations of the Executive outlined in sections 2.1 and 2.2 be agreed.

 

3.2       That it be noted that the amounts calculated for the year 2021/22 in accordance with Section 67 of the Local Government Finance Act 1992 are:

 

(a)        47,624 TAX BASE FOR THE WHOLE COUNCIL AREA

being the amount calculated by the Council, in accordance with regulation 3 of the Local Authorities (Calculation of Council Tax Base) Regulations 1992, as amended, as its council tax base for the year

 

(b)        TAX BASE FOR PART OF THE COUNCIL’S AREA

            EACH PARISH AREA

Binfield	4,393
Bracknell	20,182
Crowthorne	3,022
Sandhurst	7,992
Warfield	5,153
Winkfield	6,882

 

being the amounts calculated by the Council, in accordance with regulation 6 of the Regulations, as amended, as the amounts of its council tax base for the year for dwellings in those parts of its area to which one or more special items relate

 

3.3       That the following amounts be now calculated by the Council for the year 2021/22 in accordance with Sections 31 to 36 of the Local Government and Finance Act 1992 as amended (the Act), noting that Bracknell Town Council’s (BTC) precept is subject to confirmation by BTC on 16 February:

 

(a)

£318,988,697

TOTAL EXPENDITURE INCLUDING GENERAL FUND, PARISH PRECEPTS AND THE COUNCIL’S SHARE OF ANY DEFICIT ON THE COLLECTION FUND

 

being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2) of the Act

 

(b)

£248,441,320

TOTAL INCOME INCLUDING GOVERNMENT SUPPORT AND THE COUNCIL’S SHARE OF ANY SURPLUS ON THE COLLECTION FUND

 

being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3) of the Act

 

(c)

£70,547,377

BOROUGH AND PARISH PRECEPTS NET EXPENDITURE TO BE FINANCED FROM COUNCIL TAX

 

being the amount by which the aggregate at 3.3(a) above exceeds the aggregate at 3.3(b) above, calculated by the Council, in accordance with Section 31A(4) of the Act, as its council tax requirement for the year

 

(d)

£1,481.34

AVERAGE BAND "D" COUNCIL TAX FOR WHOLE BOROUGH

 

being the amount at 3.3(c) above, divided by the amount at 3.2(a) above, calculated by the Council, in accordance with Section 31B(1) of the Act, as the basic amount of its council tax for the year (including Parish precepts)

 

(e)

£3,721,856

PARISH PRECEPTS

 

being the aggregate amount of all special items referred to in Section 34(1) of the Act

 

(f)

£1,403.19

BOROUGH COUNCIL TAX FOR BAND "D" PROPERTIES

 

being the amount at 3.3(d) above less the result given by dividing the amount at 3.3(e) above by the amount at 3.2(a) above, calculated by the Council, in accordance with Section 34(2) of the Act, as the basic amount of its council tax for the year if there were an area of the Borough to which no special item relates

 

(g)	Part of the Council’s area	BOROUGH AND PARISH COUNCIL TAX FOR EACH PARISH FOR BAND “D”               £
	Binfield	1,456.52
	Bracknell	1,495.85
	Crowthorne	1,485.65
	Sandhurst	1,477.95
	Warfield	1,446.23
	Winkfield	1,482.97

 

being the amounts given by adding to the amount at 3.3(f) above the amounts of the special item or items relating to dwellings in those parts of the Council's area mentioned above divided in each case by the amount at 3.2(b) above, 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 area to which one or more special items relate

 

(h)

Part of the Council's area

BOROUGH AND PARISH COUNCIL TAX IN EACH PARISH FOR EACH VALUATION BAND

 

Parish	A	B	C	D	E	F	G	H
	£	£	£	£	£	£	£	£
Binfield	971.01	1,132.85	1,294.68	1,456.52	1,780.19	2,103.86	2,427.53	2,913.04
Bracknell	997.23	1,163.44	1,329.64	1,495.85	1,828.26	2,160.67	2,493.08	2,991.70
Crowthorne	990.43	1,155.51	1,320.58	1,485.65	1,815.79	2,145.94	2,476.08	2,971.30
Sandhurst	985.30	1,149.52	1,313.73	1,477.95	1,806.38	2,134.82	2,463.25	2,955.90
Warfield	964.15	1,124.85	1,285.54	1,446.23	1,767.61	2,089.00	2,410.38	2,892.46
Winkfield	988.65	1,153.42	1,318.20	1,482.97	1,812.52	2,142.07	2,471.62	2,965.94

 

being the amounts given by multiplying the amounts at 3.3(g) above by the number which, in the proportion set out in Section 5(1) of the Act, is applicable to dwellings listed in a particular valuation band divided by the number which in that proportion is applicable to dwellings listed in 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 dwellings listed in different valuation bands

 

3.4       That it be noted that for the year 2021/22 the Police and Crime Panel have stated the following amounts in precepts issued to the Council regarding the Police and Crime Commissioner for the Thames Valley, in accordance with Section 40 of the Act, for each of the categories of dwellings shown below:

 

	A	B	C	D	E	F	G	H
	£	£	£	£	£	£	£	£
Police and Crime Commissioner for the Thames Valley	154.19	179.88	205.58	231.28	282.68	334.07	385.47	462.56

 

3.5       That it be noted that for the year 2021/22 the Royal Berkshire Fire Authority have stated the following amounts in precepts issued to the Council, subject to confirmation by the Fire Authority on 17 February, in accordance with Section 40 of the Act, for each of the categories of dwellings shown below:

 

	A	B	C	D	E	F	G	H
	£	£	£	£	£	£	£	£
Royal Berkshire Fire Authority	45.97	53.63	61.29	68.95	84.27	99.59	114.92	137.90

 

3.6       That, having calculated the aggregate in each case of the amounts at 3.3(h), 3.4 and 3.5 above, the Council, in accordance with Section 30(2) of the Act, hereby sets the following amounts as the amounts of council tax for the year 2021/22 for each of the categories of dwellings shown below:

 

(a)

Part of the Council's area

TOTAL COUNCIL TAX FOR EACH VALUATION BAND

 

Parish	A	B		C		D		E		F		G		H
	£	£		£		£		£		£		£		£
Binfield	1,171.17	1,366.36		1,561.55		1,756.75		2,147.14		2,537.52		2,927.92		3,513.50
Bracknell	1,197.39	1,396.95		1,596.51		1,796.08		2,195.21		2,594.33		2,993.47		3,592.16
Crowthorne	1,190.59	1,389.02		1,587.45		1,785.88		2,182.74		2,579.60		2,976.47		3,571.76
Sandhurst	1,185.46	1,383.03		1,580.60		1,778.18		2,173.33		2,568.48		2,963.64		3,556.36
Warfield	1,164.31		1,358.36		1,552.41		1,746.46		2,134.56		2,522.66		2,910.77		3,492.92
Winkfield	1,188.81		1,386.93		1,585.07		1,783.20		2,179.47		2,575.73		2,972.01		3,566.40