To set out the issues bearing on financial planning for the authority over the next three years and to agree an approach to delivering a medium term sustainable financial position over that period, bearing in mind the risks and unknowns.

And to agree a draft budget for 2016/17 to be put forward for Full Council Consideration.

An amended Appendix 9 to the report was tabled. A number of amendments to the budget proposals were agreed (set out below) but these did not alter the text of the decisions at this stage.

•              The proposal to save £93k by Reducing or Stopping Sunday Idea Store opening will not be progressed.

•              The proposal to reduce the corporate match funding budget by £246k will also not be progressed.

•              And the saving of £241k from the Review Day Services for Older People will only be progressed once suitable alternative to current provision has been found for any service users affected.

DECISION

1.    To agree a General Fund Revenue Budget of £358.774m for 2016-17.

2.    To accept the proposed increase to Council tax (Band D) of 3.99% in 2016-17 and thereby agree Council Tax (Band D) at £920.85 for the new financial year.

3.    To agree to propose the items listed below for public consultation and consideration by the Overview and Scrutiny Committee in accordance with the Budget and Policy Framework. A further report will then be submitted to the next Cabinet meeting in February detailing the results of consultations and feedback from Overview and Scrutiny committee; inviting Cabinet to recommend a Budget Requirement and Council Tax for 2016-17 to Full Council.

4.    To note the following matters:

Budget Consultation

The outcome of consultation with residents and Overview and Scrutiny Committee on savings proposals as detailed in section 3.12 and Appendix 9.

Funding

The funding available for 2016-17 and the indications and forecasts for future years set out in Section 3.4.

Base Budget 2016-17

The Base Budget for 2016-17 as £350.346mas detailed in Appendix 1.

Growth and Inflation

The risks identified from potential growth and inflation commitments arising in 2016-17 and future years and as set out in Section 3.5 and in Appendix 3.

General Fund Revenue Budget for 2016-17 and Medium Term Financial Plan 2016-17to 2019-20

The initial budget proposal and Council Tax for 2016-17 together with the Medium Term Financial Plan set out in Appendix 1.

Savings

New savings items to be included in the budget for 2016-17 and the strategic approach for future savings to be delivered are set out in Section 3.6, Appendix 4.1 and 4.2 of the report.

Capital Programme

The capital programme to 2018-19; including the proposed revisions to the current programme as set out in section 3.10 and detailed in Appendices 8.1, 8.2 & 8.3, and the proposed refresh of the council’s capital strategy during 2016-17.

To adopt a capital estimate for Communities, Localities & Culture TFL LIP schemes (2016-17) totalling £2.487m & S106 schemes totalling £0.276m as detailed in Appendices 8.1 & 8.2.

Dedicated Schools Grant

The position with regards to the Dedicated Schools Grant as set out in Section 3.8 and Appendices 6.1 & 6.2.

Housing Revenue Account

The position with regards to the Housing Revenue Account as set out in Section 3.9 and Appendix 7.

Financial Risks: Reserves and Contingencies

The strategic budget risks and opportunities as set out in Section 3.7 and Appendix 5.2.

Reserves and Balances

New schemes being funded from general fund reserves in 2016-17.

The position in relation to reserves as set out in the report and further detailed in Appendices 5.1 & 5.3.

Action by:

CORPORATE DIRECTOR, RESOURCES (Z. COOKE)

(Interim Service Head, Finance and Procurement (B. Scarr)