Cabinet Member for Finance and Resources
In accordance with Council Procedure Rule 19.3, immediately after any vote is taken at a budget decision meeting of the Council, the names of Councillors who cast a vote for the decision or against the decision or who abstained from voting shall be recorded in the Minutes of that meeting.
At its meeting on 7th February 2024, Cabinet considered Paper MCa/23/42, the General Fund Budget for 2024/25 and four-year outlook. Paper MC/23/40 now includes all the relevant updated information plus the tax base, precepts and council tax band information at parish level, together with the necessary recommendations.
Minutes:
104.1 The Chair invited Councillor Eburne, Cabinet Member for Finance and Resources, to introduce the report.
104.2 Councillor Eburne introduced the report and proposed the recommendations. Councillor Mellen seconded this motion.
104.3 The Chair invited Councillor Whitehead to introduce the amendment as detailed in the tabled papers.
104.4 Councillor Whitehead proposed the budget amendments as set out in the tabled papers. Councillor Caston seconded this amendment.
104.5 Councillor Eburne rejected the amendment.
104.6 Councillor Lawrence outlined the borrowing debt currently owed by the Council and stated that he did not support the amendment due to these debts.
104.7 Councillor Hicks supported the amendment and highlighted the surplus that the Council had along with the dividend from Gateway 14 and how a rise in Council Tax could affect residents.
104.8 Councillor Mellen outlined that the administration did not approve of the amendment as whilst the Council were in a good financial position the future was uncertain. He highlighted that the raise in Council Tax was below the inflation rate and would prevent larger increases in the future.
104.9 Councillor Winch outlined the mandate the Council had for community lead projects and how collaboration between communities and the Council was necessary to undertake projects.
104.10 Councillor Linder stated that he did not support a raise in Council Tax during the Cost of Living Crisis.
104.11 Councillor Davis outlined that when there were inflation rates of 6% in 2022, and 10% in 2023 the Council did not increase Council Tax and this impacted the real value of the council tax collected, so an increase of 2% now was modest recovery. Additionally, the Council Tax increase from the Council was at a lower level than at other levels of government.
104.12 Councillor Stringer outlined that the amendment was a short-term solution and unpredictable impacts from external sources could be mitigated by the rise in Council Tax and surpluses should be used to provide value for money in Council services. He added that small increases to Council Tax gave a greater stability to the Council and would allow the Council to put residents first.
104.13 Councillor Caston outlined that the proposed working group would be open to any option and as the Council was in a good position it would be good to give back to residents.
104.14 Councillor Scarff stated that he supported small increases in Council Tax within the base budget, and he raised concern on the uncertainty of one year funding from Central Government and how this meant long-term financial security was unpredictable.
104.15 Councillor Row outlined that in the long term the increase of Council Tax would benefit residents and decrease their costs as it would increase their access to Council services.
104.16 Councillor Patchett outlined that he had been reassured by Cabinet on the Council Tax rises and that due to the current inflation rates valuations on CIFCO could be uncertain in future.
104.17 Councillor Whitehead outlined that the proposed working group would have been politically balanced giving the administration a greater voice, additionally he outlined that the Gateway 14 dividend was the difference on previous years and put the Council in a greater financial position that could give back to residents.
104.18 Councillor Eburne thanked the opposition for their amendment and highlighted that the raise in council tax was for sustainability and would inhibit future service delivery if there was not an increase. She added that the Council wanted to be open and honest about the Gateway 14 dividend despite not knowing the amount or when it would be paid. She added that collaborative cross-party working had been used in the development of long-term strategies.
In accordance with Council Procedure Rule 19.3, the vote was recorded as follows:
For |
Against |
Abstain |
James Caston |
David Bradbury |
|
Matthew Hicks |
Terence Carter |
|
Anders Linder |
Teresa Davis |
|
Tim Weller |
Rachel Eburne |
|
John Whitehead |
Lucy Elkin |
|
|
Nicholas Hardingham |
|
|
Terry Lawrence |
|
|
Colin Lay |
|
|
Sarah Mansel |
|
|
Adrienne Marriott |
|
|
John Matthissen |
|
|
Andrew Mellen |
|
|
Gilly Morgan |
|
|
Jen Overett |
|
|
James Patchett |
|
|
Janet Pearson |
|
|
David Penny |
|
|
Daniel Pratt |
|
|
Miles Row |
|
|
Keith Scarff |
|
|
Andrew Stringer |
|
|
Ollie Walters |
|
|
Rowland Warboys |
|
|
Nicky Willshere |
|
|
Richard Winch |
|
By a vote of 5 votes for, 25 against and 0 abstentions.
It was RESOLVED:-
1.1 That the amendment proposed by the Conservative Group was not accepted.
104.19 Councillor Mellen thanked Councillor Eburne and the Finance team for their work preparing the budget. He outlined the uncertainties in future funding due to factors such as the upcoming general election, the upcoming review of local government funding, and the baseline reset of business rates. Other factors such as the war in Ukraine and the effect on the global economy, the status of Freeports, and the reduction in funding of Suffolk County Council services would put greater pressure on the Council and increase the demand on Council services.
104.20 Councillor Caston referred to page 77 of the report and questioned the increase in the Capital Programme budget for Disabled Facilities Grants. Councillor Eburne responded that some funds such as discretionary housing payments did run out previously. However, in relation to the Disabled Facilities Grants greater publicity to communities was being put in place and work to increase the amount residents could apply for was ongoing and would be communicated to Councillors and Parish Councils.
104.21 Councillor Matthissen outlined that cross party working was ongoing and in future the governance structure of the Council would be reviewed to consider the committee system which would be more collaborative.
104.22 Councillor Mansel highlighted that the Council needed to be responsible with public funds and provide high quality services and the increase in Council Tax would help deliver services and achieve the priorities in the Mid Suffolk Plan.
104.23 Councillor Scarff highlighted that residents had high expectations for the Council to deliver services. He hoped the use of collaborative working would continue as it was a constructive way of working and brought forward good ideas.
104.24 Councillor Patchett stated that he was pleased that the General Fund accounts were in a good position and that praised the funds that had been released for the SHELF project and investment in Gateway 14.
104.25 Councillor Lay supported the budget and praised that the approach was not reactive and addressed the needs of residents and would make changes in the community.
104.26 Councillor Willshere outlined that whilst it was a difficult decision to raise Council Tax there were schemes in place such as discretionary housing benefit to aid those on the lowest incomes. She added that investments should be made in Mid Suffolk, especially in the communities.
104.27 Councillor Carter outlined that whilst it was a difficult decision, the raise in Council Tax would maintain Council services for residents.
104.28 Councillor Walters supported the budget and stated that he wanted to see the economic, social and environmental benefits to residents as a result.
104.29 Councillor Eburne thanked Members for their contributions to the debate and outlined that now the Council wanted to look to the future and money needed to be put into working in the communities. She highlighted that there was an ongoing review on grants to maximise the funding received by communities, and support for the most vulnerable residents in the district was being carried out.
In accordance with Council Procedure Rule 19.3, the vote was recorded as follows:
For |
Against |
Abstain |
David Bradbury |
James Caston |
|
Terence Carter |
Matthew Hicks |
|
Teresa Davis |
Anders Linder |
|
Rachel Eburne |
Gilly Morgan |
|
Lucy Elkin |
John Whitehead |
|
Nicholas Hardingham |
|
|
Terry Lawrence |
|
|
Colin Lay |
|
|
Sarah Mansel |
|
|
Adrienne Marriott |
|
|
John Matthissen |
|
|
Andrew Mellen |
|
|
Jen Overett |
|
|
James Patchett |
|
|
Janet Pearson |
|
|
David Penny |
|
|
Daniel Pratt |
|
|
Miles Row |
|
|
Keith Scarff |
|
|
Andrew Stringer |
|
|
Ollie Walters |
|
|
Rowland Warboys |
|
|
Tim Weller |
|
|
Nicky Willshere |
|
|
Richard Winch |
|
|
By a vote of 25 votes for, 5 against and 0 abstentions.
It was RESOLVED:-
1.1 The Council approves:
a) The General Fund Budget proposals comprising:
• the 2024/25 revenue budget estimates as set out in Table 1.
• The 2024/25 to 2027/28 capital programme and it’s funding as set out in Appendix A
• The movement in, and creation of, reserves as set out in Table 6.
b) A 2% increase in the Band D Council Tax for 2024/25 from £171.59 to £175.03, an increase of £3.44 for a Band D property.
c) The new income bands and contribution rates for the 2024/25 100% Local Council Tax Reduction (Working Age) Scheme as set out in Table 5.
d) The 2024/25 Council Tax resolution set out in Appendix B. 3.2.
1.2 That Council notes:
e) The Medium-Term forecast set out in Table 9.
f) The section 25 report on the robustness of estimates and adequacy of reserves in Appendix C.
104.30 A short break was taken between 7:00pm and 7:12pm.
Supporting documents: