Nil items

Members are reminded to consider the categories of interest in the Code of Conduct for Members to determine whether they have an interest in any agenda item and any action they should take. For further details, please see the attached note from the Monitoring Officer.

Members are reminded to declare the nature of the interest and the agenda item it relates to. Please note that ultimately it’s the Members’ responsibility to declare any interests form and to update their register of interest form as required by the Code.

If in doubt as to the nature of your interest, you are advised to seek advice prior to the meeting by contacting the Monitoring Officer or Democratic Services

The following Member for transparency declared a potential interest in relation to:

1.    Items 4.1 and 4.2 Councillor Marc Francis due to his wife Councillor Rachel Blake being the Deputy Mayor and Cabinet Member for Adults, Health and Wellbeing.

To receive any petitions (to be notified at the meeting).

Nil Items

The Committee is asked to review the Council's 2022-23 Budget Report and Medium-Term Financial Strategy 2022-25

Members are asked to refer to the report included in the Tower Hamlets Council - Agenda for Cabinet on Tuesday, 18th January, 2022, 5.30 p.m.

The Committee received and reviewed the Council's 2022-23 Budget Report and Medium-Term Financial Strategy (MTFS) 2022-25 as part of the 2022-23 budget setting process. The Committee examined the key issues and pressures facing the Council such as the growth pressures and the need for efficiencies to ensure financial sustainability going forward. The main points of the discussion may be summarised as follows:

The Committee:

v  Noted that despite the Chancellor announcing departmental spending limits for Government departments on 27^th October 2021 for three years, 2022-23 to 2024-25, the Local Government Finance Settlement (LGFS) was only announced for a single year covering 2022-23. Accordingly, the funding landscape for Local Government over the medium term remains highly uncertain.

v  Noted that Core Grants such as the Revenue Support Grant, New Homes Bonus and the Improved Better Care Fund have been rolled forward for 2022-23, with additional funding received via the Social Care Grant, with much of this expected to contribute to additional costs arising from Adult Social Care Reforms. In addition, there was also a one-year one-off Services Grant distributed to Local Authorities for 2022-23.

v  Indicated that it want to be provided with modelling on the possible impact of any changes to income in the future will have on the Council’s finances, this would need to include insight of the (i) worst-case, (ii) medium case, and (iii) best case scenarios. Thereby avoiding having poor-quality decisions that are based on poor quality information.

v  Noted that the pandemic continues to have a significant adverse effect on the Council’s cost of services and reductions in income. Whilst with the Omicron Variant, the pandemic shows no sign of abating. Current pandemic pressures are being met by one-off Covid grants. However, the ongoing scale of the impact on society, the economy and public finances resulting from Covid-19 in the medium to long term is at this point unknown.

v  Stated that the Council needs to act prudently in setting aside funding as a reserve to (i) protect the Council against drops in income, or (ii) allow it to take advantage of new opportunities.

v  Agreed that it must (i) not operate in isolation, (ii) be integrated; (iii) reflect on past projections.

v  Agreed that consideration needed to be given to those savings that have had the greatest impact on (i) access frontline services;  and (ii) vulnerable residents with particular reference to Libraries and Ideas Stores; Children with Special Education Needs and Disabilities; Drug and Alcohol Treatment Services; Day Opportunities Centre; Discretionary Housing Payment; Cost of energy; Utilities allowance (on social care charging); Contributions to food banks; Telecare services; and Support for residents to access services to help mitigate the move to digital services.

v  Agreed that the Council should restructure its budget setting process having a greater focus on delivering priorities and asking the Borough’s communities what they think about the Council’s proposed budget spending at the beginning of each municipal year.

v  Stated that it wanted to see an appraisal of modelling  ...  view the full minutes text for item 4.1

To review the proposed changes to fees and charges across the Council for the financial year 2022-23.

Members are asked to refer to the report included in the Tower Hamlets Council - Agenda for Cabinet on Tuesday, 18th January, 2022, 5.30 p.m.

The Committee considered a report that detailed the proposed changes to fees and charges across the Council for the financial year 2022-23. The main points arising from considering the Cabinets deliberations and decisions on 18^th January 2022 may be summarised as follows:

The Committee noted:

v  that the level of inflation (Consumer Price Index - CPI 3.1% & Retail Price Index RPI 4.9% in September 2021), along with rounding up of the charge to the nearest 5p, 10p or other whole number for practical purposes have been key factors in determining the recommended changes.

v  other factors such as service demand, the projected cost of providing the different services, benchmarking with other local authorities and the impact of general economic factors including Covid-19 on the Council’s residents have also been considered.

v  that fees and charges are reviewed annually as part of the Council’s budget setting process. This ensures that they are set at the appropriate level for the prevailing economic conditions and represent good practice in terms of the Council’s aim to provide value for money.

Accordingly, as a result of discussions the Overview and Scrutiny Committee agreed that:

1.    the increase to market trader fees and charges should be reviewed as this will have a significant impact on peoples livelihood and ability to stay in employment (i.e. charges impacting market traders at Watney Market, Columbia Road, Whitechapel Market, and Bethnal Green Road); and

2.    the fees and charges should be reviewed for hiring of venues such as community hubs, ideas store, Brady Centre to make them more affordable and accessible for local voluntary and community sector organisations.

To consider any other unrestricted business that the Chair considers to be urgent.

With no other business to discuss the Chair called this meeting to a close; thanked all those attending for their contributions and informed the Committee that the next meeting would be on Monday, 7^th February 2022.

As the agenda circulated contained no exempt/ confidential reports and

there was therefore no requirement to exclude the press and public to allow

for its consideration.

To consider any other exempt/ confidential business that the Chair considers to be urgent.

Nil items