Agenda item
Report of the Cabinet Meeting of 8th February 2012
To consider the proposals of the Mayor and Executive in relation to the Council’s Budget and Council Tax 2012/13.
The Budget 2012/13 Document Pack was circulated to all Councillors prior to the Cabinet Meeting on 8th February 2012. The pack includes:-
- The report of the Corporate Director, Resources: “General Fund Capital and Revenue Budget and Medium Term Financial Plan 2012-2015” (CAB 071/112);
- Appendices relating to the Medium Term Financial Plan; projected budget growth resulting from increased service demand and higher unit costs; approved savings and new savings options; reserves and balances; the Schools Budget; Housing Revenue Account; and the capital programme; and
- The report of the Corporate Director, Resources: “Treasury Management Strategy Statement, Minimum Revenue Provision Policy Statement and Annual Investment Strategy 2012-13” (CAB 072/112).
Members are asked to bring their copy of the Document Pack with them to the Council Meeting. The pack is also available on the Council’s Website at http://moderngov.towerhamlets.gov.uk/mgConvert2Pdf.aspx?ID=6615&T=9
The above documents were considered at the Cabinet meeting on 8th February 2012. At that meeting, the Mayor agreed a number of amendments to his draft budget proposals. In accordance with the Budget and Policy Framework Procedure Rules, the amended proposals were subsequently considered by the Overview and Scrutiny Committee on 13th February.
The comments of the Overview and Scrutiny Committee have been submitted to the Mayor for his consideration. A supplementary agenda pack will therefore follow, to include the report of the Cabinet Meeting of 8th February 2012 setting out the Mayor’s revised budget proposals; the comments of the Overview and Scrutiny Committee (13th February); the Budget Motion from the Cabinet Member for Resources; and updated appendices setting out details of the Medium Term Financial Plan 2012/15.
Decision:
Mayor Lutfur Rahman introduced, and Councillor Alibor Choudhury moved, the revised budget proposals of the Mayor and Executive. Councillor Ohid Ahmed seconded the proposals.
Three amendments were tabled and moved as follows:
(i) Amendment proposed by Councillor Anwar Khan and seconded by Councillor Carlo Gibbs;
(ii) Amendment proposed by Councillor David Snowdon and seconded by Councillor Zara Davis;
(iii) Amendment proposed by Councillor Kabir Ahmed and seconded by Councillor Maium Miah.
Following debate Councillor Alibor Choudhury moved, and Councillor Ohid seconded, a further amendment without notice on the subject of (i) Special Responsibility Allowances; and (ii) Events in Parks.
The Speaker adjourned the meeting at 9.10 p.m. so that officers’ advice could be sought. The meeting reconvened at 9.30 p.m.
Following the adjournment, the Monitoring Officer advised the Council that the part of the proposed amendment that related to Events in Parks was an executive matter and therefore out of scope for the Council meeting. The proposal in relation to Special Responsibility Allowances was in order but represented a new amendment which could only be accepted for debate by a majority vote of the Council. The Speaker then put to the vote the proposal that section (i) of Councillor Choudhury’s amendment be accepted for debate and this was defeated.
Following further debate, the Speaker adjourned the meeting at 9.35 p.m. at the request of the Mayor, to enable consideration of the tabled amendments. The meeting reconvened at 9.50 p.m.
Following the adjournment the Mayor amended his budget proposals (i) by accepting in full the amendment proposed by Councillors Kabir Ahmed and Maium Miah; and (ii) by accepting some elements of the amendment proposed by Councillors Anwar Khan and Carlo Gibbs. The full list of changes accepted by the Mayor is attached at Appendix 1 to this Decision Sheet.
In relation to the some other elements of the amendment proposed by Councillors Anwar Khan and Carlo Gibbs, which the Mayor was not able to include in his revised budget proposal, he nevertheless indicated further that he intended to:-
- Request the Interim Corporate Director, Children, Schools and Families and the Corporate Director, Communities, Localities and Culture, to deliver the feasibility study for afterschool patrols within existing resources.
- Undertake a review of insulation and fuel poverty issues in partnership with Labour Councillors.
- Give further consideration to the proposals in relation to the Register of Landlords, and the use of the New Homes Bonus for Decent Homes works, and ask officers to bring a paper on these matters to the next Cabinet meeting.
- Investigate further the proposal regarding internships for local residents and how this might be delivered through the PCOP process.
- Ask officers to look further into the concerns raised by the Labour Group around parking permits and the CLC budget for bulk waste collection, rat control and charges to business for external furniture and signage, and bring a report to the next Cabinet meeting on these matters.
- Ask officers also to submit a report to the next Cabinet meeting to clarify matters on Domiciliary Care Services, about which the Mayor believed there was a misunderstanding.
Finally, the Mayor stated that he did not accept any elements of the amendment proposed by Councillors David Snowdon and Zara Davis.
The Speaker adjourned the meeting at 10.02 p.m. at the request of the Group Leaders to enable consideration of the Mayor’s statement. The meeting reconvened at 10.20 p.m.
Following the adjournment, Councillor Joshua Peck indicated that in the light of the changes made by the Mayor to his budget proposals, the amendment proposed by Councillors Anwar Khan and Carlo Gibbs was withdrawn and replaced by a new amendment, moved by Councillor Peck and seconded by Councillor Carlo Gibbs, as follows:
“This Council Notes:
The Mayor has accepted the vast majority of Labour amendments to protect the vulnerable and welcomes these changes.
This Council Further Notes:
That residents are often forced to refuse much needed new homes in Car Free developments because they need a car.
This Council Resolves:
To call on the Mayor to implement extended car free developments to one and two bedroom properties.”
At this point, Councillor Alibor Choudhury moved and Councillor Ohid Ahmed seconded, a procedural motion – “That under Procedural Rule 14.1.10 the question be now put.” The procedural motion was put to the vote and was agreed.
Following the Mayor’s right of reply, the tabled amendment proposed by Councillors David Snowdon and Zara Davis was put to the vote and was defeated.
The further amendment proposed by Councillors Joshua Peck and Carlo Gibbs as set out above was then put to the vote and was agreed.
Finally, the Mayor’s budget proposals as amended were put to the vote and were agreed.
The Monitoring Officer informed the Council of advice from the Section 151 Officer that the decisions taken by the Council would have the effect of reducing the General Reserves by £762,000.
DECISION
A. General Fund Revenue Budget and Council Tax Requirement 2012/13
1. That the revised budget proposals of the Mayor and Executive, included in the Budget 2012/13 Document Pack, amended as set out in the report of the Mayor in Cabinet of 8th February and further amended as at Appendix 1 to this Decision Sheet, be agreed.
2. That a General Fund revenue budget of £292.265m and a total Council Tax Requirement for Tower Hamlets in 2012/13 of £80.43m be agreed as set out in the table below:-
|
|
Revised |
Savings |
Growth |
Earmarked |
Total |
|
|
|
Base |
Approved |
New |
|
Reserves |
Budget |
Service |
2011-12 |
|
|
|
|
2012-13 |
|
|
|
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
Adults Health & Wellbeing |
99,463 |
(3,329) |
(801) |
1,213 |
(1,100) |
95,446 |
|
|
|
|
|
|
|
|
|
Children, Schools and Families |
60,812 |
(2,627) |
(150) |
285 |
(618) |
57,702 |
|
|
|
|
|
|
|
|
|
Communities, Localities and Culture |
61,437 |
(4,355) |
(1,075) |
2,358 |
(1,017) |
57,348 |
|
|
|
|
|
|
|
|
|
Development & Renewal |
31,359 |
(1,228) |
(165) |
74 |
(30) |
30,010 |
|
|
|
|
|
|
|
|
|
Resources |
21,948 |
(858) |
(2,630) |
10 |
(10) |
18,460 |
|
|
|
|
|
|
|
|
|
Chief Executives |
8,535 |
(348) |
(303) |
55 |
(464) |
7,475 |
|
|
|
|
|
|
|
|
|
Net Service Costs |
283,554 |
(12,745) |
(5,124) |
3,995 |
(3,239) |
266,441 |
|
|
|
|
|
|
|
|
|
Other Net Costs |
|
|
|
|
|
|
|
Capital Charges |
11,055 |
|
(1,445) |
400 |
|
10,010 |
|
Levies |
2,415 |
|
|
|
|
2,415 |
|
Pensions |
12,151 |
|
|
1,250 |
|
13,401 |
|
Other Corporate Costs |
8,269 |
(1,125) |
(217) |
360 |
2,154 |
9,441 |
|
|
|
|
|
|
|
|
|
Total Other Net costs |
33,890 |
(1,125) |
(1,662) |
2,010 |
2,154 |
35,267 |
|
|
|
|
|
|
|
|
|
Core Grants |
(10,391) |
|
(3,647) |
|
|
(14,038) |
|
Reserves |
|
|
|
|
|
|
|
|
General Fund |
3,000 |
|
(3,000) |
|
|
- |
|
Earmarked |
907 |
|
|
|
1,188 |
2,095 |
|
General Fund (Smoothing) |
- |
|
|
|
(1,600) |
(1,600) |
Inflation |
- |
|
|
4,100 |
|
4,100 |
|
|
|
|
|
|
|
|
|
Total Financing Requirement |
310,960 |
(13,870) |
(13,433) |
10,105 |
(1,497) |
292,265 |
|
|
|
|
|
|
|
|
|
Formula Grant |
(229,673) |
|
|
17,838 |
|
(211,835) |
|
Council Tax |
(81,287) |
(725) |
|
1,582 |
|
(80,430) |
|
|
|
|
|
|
|
|
|
Total Financing |
(310,960) |
(725) |
- |
19,420 |
- |
(292,265) |
3. That a Council Tax be agreed for Tower Hamlets in 2012/13 of £885.52 at Band D resulting in a Council Tax for all other band taxpayers, before any discounts, and excluding the GLA precept, as set out in the table below:-
BAND |
PROPERTY VALUE |
RATIO TO BAND D |
LBTH COUNCIL TAX FOR EACH BAND |
|
|
FROM £ |
TO £ |
|
|
A |
0 |
40,000 |
6/9 |
£590.35 |
B |
40,001 |
52,000 |
7/9 |
£688.74 |
C |
52,001 |
68,000 |
8/9 |
£787.13 |
D |
68,001 |
88,000 |
9/9 |
£885.52 |
E |
88,001 |
120,000 |
11/9 |
£1,082.30 |
F |
120,001 |
160,000 |
13/9 |
£1,279.08 |
G |
160,001 |
320,000 |
15/9 |
£1,475.87 |
H |
320,001 |
and over |
18/9 |
£1,771.04 |
4. That for the London Borough of Tower Hamlets in 2012/13:-
(a) The Council Tax for Band D taxpayers, before any discounts, and including the GLA precept, shall be £1,192.24 as shown below:-
|
£ (Band D, No Discounts) |
LBTH |
885.52 |
GLA |
306.72 |
Total |
1,192.24 |
(b) The Council Tax for taxpayers in all other bands, before any discounts, and including the GLA precept, shall be as detailed in the table below:-
BAND |
PROPERTY VALUE |
RATIO TO BAND D |
LBTH |
GLA |
TOTAL |
||
FROM £ |
TO £ |
£ |
£ |
£ |
|||
A |
0 |
40,000 |
6/9 |
590.35 |
204.48 |
794.83 |
|
B |
40,001 |
52,000 |
7/9 |
688.74 |
238.56 |
927.30 |
|
C |
52,001 |
68,000 |
8/9 |
787.13 |
272.64 |
1,059.77 |
|
D |
68,001 |
88,000 |
9/9 |
885.52 |
306.72 |
1,192.24 |
|
E |
88,001 |
120,000 |
11/9 |
1,082.30 |
374.88 |
1,457.18 |
|
F |
120,001 |
160,000 |
13/9 |
1,279.08 |
443.04 |
1,722.12 |
|
G |
160,001 |
320,000 |
15/9 |
1,475.87 |
511.20 |
1,987.07 |
|
H |
320,001 |
and over |
18/9 |
1,771.04 |
613.44 |
2,384.48 |
5. That the statutory calculations of this Authority’s Council Tax Requirement in 2012/13, as undertaken by the Chief Financial Officer in accordance with the requirements of Sections 31 to 36 of the Local Government Finance Act 1992, be agreed as attached at Appendix 2 to this Decision Sheet.
6. That the Treasury Management Strategy Statement, the Annual Investment Strategy and the Minimum Revenue Provision Policy Statement be approved as presented to Cabinet on 8th February 2012 and contained in the supplementary agenda pack for the Budget Council meeting on 22nd February 2012.
7. That the General Fund Capital and Revenue Budgets and Medium Term Financial Plan 2012-2015 as amended by the alternative options agreed by the Mayor in Cabinet on 8th February and as further amended at Appendix 1 to this Decision Sheet, be approved as summarized in the tables below:-
Summary Draft Medium Term Financial Plan 2012-15 |
||||||||
|
|
|
|
|
|
|
|
|
|
|
2011-12 |
|
2012-13 |
|
2013-14 |
|
2014-15 |
|
|
£'000 |
|
£'000 |
|
£'000 |
|
£'000 |
|
|
|
|
|
|
|
|
|
Net Service Costs |
335,048 |
|
320,444 |
|
309,426 |
|
294,462 |
|
|
|
|
|
|
|
|
|
|
Growth |
9,787 |
|
5,645 |
|
4,734 |
|
3,745 |
|
Savings |
|
|
|
|
|
|
|
|
|
Approved |
(28,870) |
|
(14,595) |
|
(12,102) |
|
0 |
|
New |
0 |
|
(9,786 |
|
(13,681) |
|
(6,427) |
Inflation |
4,479 |
|
4,100 |
|
7,100 |
|
6,400 |
|
|
|
|
|
|
|
|
|
|
Core Grants |
(10,391) |
|
(14,038) |
|
(14,070) |
|
(16,070) |
|
|
|
|
|
|
|
|
|
|
Earmarked Reserves |
907 |
|
2,095 |
|
(300) |
|
0 |
|
General Fund Reserves |
0 |
|
(1,600) |
|
8,306 |
|
(8,963) |
|
|
|
|
|
|
|
|
|
|
Total Funding Requirement |
310,960 |
|
292,265 |
|
289,413 |
|
273,147 |
|
|
|
|
|
|
|
|
|
|
Formula Grant |
(229,673) |
|
(211,835) |
|
(209,411) |
|
(191,077) |
|
Council Tax |
(81,287) |
|
(80,430) |
|
(80,002) |
|
(82,070) |
|
|
|
|
|
|
|
|
|
|
Total Funding |
(310,960) |
|
(292,265) |
|
(289,413) |
|
(273,147) |
Detailed analysis of the Medium Term Financial Plan by service area 2012/13 to 2014/15 |
|
|
|
|
|
|
|||||||||||
|
|
Base |
Savings |
Growth |
Earmarked |
Total |
Savings |
Growth |
Earmarked |
Total |
Savings |
Growth |
Earmarked |
Total |
|||
|
|
|
Approved |
New |
|
Reserves |
|
Approved |
New |
|
Reserves |
|
Approved |
New |
|
Reserves |
|
Service |
2011-12 |
|
|
|
|
2012-13 |
|
|
|
|
2013-14 |
|
|
|
|
2014-15 |
|
|
|
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
|
£'000 |
Adults Health & Wellbeing |
99,463 |
(3,329) |
(801) |
1,213 |
(1,100) |
95,446 |
(2,529) |
(2,205) |
1,452 |
(200) |
91,964 |
|
(900) |
1,600 |
(300) |
92,364 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Children, Schools and Families |
60,812 |
(2,627) |
(150) |
285 |
(618) |
57,702 |
(1,810) |
(5) |
(180) |
|
55,707 |
|
(960) |
(100) |
|
54,647 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Communities, Localities and Culture |
61,437 |
(4,355) |
(1,075 |
2,358 |
(1,017 |
57,348 |
(3,757) |
(1,495) |
1,232 |
(860) |
52,468 |
(150) |
(200) |
1,245 |
(565) |
52,798 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Development & Renewal |
31,359 |
(1,228) |
(165 |
74 |
(30) |
30,010 |
(2,716) |
(2,701) |
(20) |
(475) |
24,098 |
|
(1,534) |
|
|
22,564 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Resources |
21,948 |
(858) |
(2,630 |
10 |
(10) |
18,460 |
(299) |
(907) |
|
|
17,254 |
|
(230) |
|
|
17,024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Chief Executives |
8,535 |
(348) |
(303 |
55 |
(464 |
7,475 |
(187) |
(100) |
|
|
7,188 |
|
(100) |
|
|
7,088 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Service Costs |
283,554 |
(12,745) |
(5,124 |
3,995 |
(3,239 |
266,441 |
(11,298) |
(7,413) |
2,827 |
(1,535) |
248,603 |
(150) |
(3,924) |
2,745 |
(865) |
246,485 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Net Costs |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital Charges |
11,055 |
|
(1,445) |
400 |
|
10,010 |
|
|
1,000 |
|
11,010 |
|
|
1,000 |
|
12,010 |
|
Levies |
2,415 |
|
|
|
|
2,415 |
|
|
|
|
2,415 |
|
|
|
|
2,415 |
|
Pensions |
12,151 |
|
|
1,250 |
|
13,401 |
|
|
1,250 |
|
14,651 |
|
|
|
|
14,651 |
|
Other Corporate Costs |
8,269 |
(1,125) |
(217 |
360 |
2,154 |
9,441 |
(125) |
(1,434) |
(360) |
|
7,522 |
|
(2,503) |
|
|
5,019 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Other Net costs |
33,890 |
(1,125) |
(1,662) |
2,010 |
2,154 |
35,267 |
(125) |
(1,434) |
1,890 |
|
35,598 |
|
(2,503) |
1,000 |
|
34,095 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Core Grants |
(10,391) |
|
(3,647) |
|
|
(14,038) |
|
(32) |
|
|
(14,070) |
|
(2,000) |
|
|
(16,070) |
|
Reserves |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General Fund |
3,000 |
|
(3,000) |
|
|
- |
|
|
|
|
- |
|
|
|
|
- |
|
Earmarked |
907 |
|
|
|
1,188 |
2,095 |
|
(3,400) |
|
1,005 |
(300) |
|
|
|
300 |
- |
|
General Fund (Smoothing) |
- |
|
|
|
(1,600) |
(1,600) |
|
|
|
9,203 |
8,306 |
|
|
|
(17,269) |
(8,904) |
|
Inflation |
- |
|
|
4,100 |
|
4,100 |
|
|
7,100 |
|
11,200 |
|
|
6,400 |
|
17,600 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Financing Requirement |
310,960 |
(13,870) |
(13,433) |
10,105 |
(1,497) |
292,265 |
(11,423) |
(12,279) |
12,177 |
8,673 |
289,413 |
(150) |
(8,427) |
10,145 |
(17,834) |
273,147 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Formula Grant |
(229,673) |
|
|
17,838 |
|
(211,835) |
|
|
2,424 |
|
(209,411) |
|
|
18,334 |
|
(191,077) |
|
Council Tax |
(81,287) |
(725) |
|
1,582 |
|
(80,430) |
(554) |
|
982 |
|
(80,002) |
|
|
(2,068) |
|
(82,070) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Financing |
(310,960) |
(725) |
- |
19,420 |
- |
(292,265) |
(554) |
- |
3,406 |
- |
(289,413) |
- |
- |
16,266 |
- |
(273,147) |
8. That the Council notes the Mayor has accepted the vast majority of Labour amendments to protect the vulnerable and welcomes these changes.
9. That the Council further notes that residents are often forced to refuse much needed new homes in Car Free developments because they need a car.
10. That the Council resolves to call on the Mayor to implement extended car free developments to one and two bedroom properties.
APPENDIX 1
BUDGET AMENDMENTS – 2012/13 BUDGET COUNCIL MEETING
Proposals accepted by the Mayor from tabled amendment (i)
Savings |
Saving in 2012/13 |
Reduce refreshments at meetings |
£2,400 |
Delete Olympics Ambassador SRA after Olympics |
£3,880 |
Delete funding (earmarked reserves) for feasibility study for afterschool patrols and complete study using existing officer time |
£10,000 |
Reduce discretionary spend on taxis for officers |
£15,000 |
Reduce all spend on taxis for members (leaving £6,000 to fund a leasecar for use of the Speaker and Deputy Speaker on official visits) |
£9,000 |
Reduce communications spend by D&R and CLC |
£30,000 |
Reduce funding on award ceremonies and staff conferences by holding them at council facilities |
£30,000 |
Spend |
Costs 2012/13 |
Commission debt support and advice for 150 cases (NB: provider to be sourced through normal procurement process) |
(£24,000) |
Restore funding to Greenwich & Docklands festival |
(£25,000) |
Fund a 0.5 FTE Mental health worker for care leavers |
(£25,000) |
Live streaming of council meetings |
(£25,000) |
Fund a “Violence Against Women and Girls” worker |
(£50,000) |
Give a one off staff award of £250 for low paid council staff |
(£115,000) |
Give a £50 Council Tax rebate to pensioners |
(£245,000) |
Proposals accepted by the Mayor from tabled amendment (iii)
- To allocate £260,000 to support a Mayor’s Aim Higher Scheme for 1 year, with a commitment to find funds for it to be an ongoing provision.
- To allocate a one-off sum of £20,000 to support the development of a London Living Rent Accreditation scheme.
- To double the Service Level Agreements for Mudchute Farm and Tower Hamlets Cemetery Park next year, with a commitment to find funds for this to be an ongoing process. [Note: Budgetary effect in 2012/13 = £63k.]
Use of General Reserves contribution consequent on the above: £762,000 (rounded)
APPENDIX 2
LONDON BOROUGH OF TOWER HAMLETS
COUNCIL FEBRUARY 2012
BUDGET & COUNCIL TAX STATUTORY CALCULATIONS
SETTING THE AMOUNT OF COUNCIL TAX FOR THE COUNCIL'S AREA
1. That the revenue estimates for 2012/2013 be approved.
2. That it be noted that, at its meeting on 11th January 2012, Cabinet calculated 90,828 as its Council Tax base for the year 2012/2013 [Item T in the formula in Section 31B of the Local Government Finance Act 1992, as amended (the “Act”)]
3. That the following amounts be now calculated by the Council for the year 2012/13 in accordance with Section 31 to 36 of the Local Government Finance Act 1992 as amended and the Local Authorities (Alteration of Requisite Calculations) (England) Regulations 2011:
(a) |
£1,185,721,000 |
Being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2) of The Act. [Gross Expenditure] |
(b) |
£1,105,291,000 |
Being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3) of The Act. [Gross Income] |
(c) |
£80,430,000 |
Being the amount by which the aggregate at 3(a) above exceeds the aggregate at 3(b) above, calculated by the Council, in accordance with Section 31A(4) of The Act, as its council tax requirement for the year. (Item R in the formula in Section 31B of The Act). [Council Tax Requirement] |
(d) |
£885.52 |
Being the amount at 3(c) above (Item R), all divided by Item T (2 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. [Council Tax] |
(e) |
VALUATION BAND |
LBTH £ |
|
|
A |
590.35 |
|
|
B |
688.74 |
|
|
C |
787.13 |
|
|
D |
885.52 |
|
|
E |
1,082.30 |
|
|
F |
1,279.08 |
|
|
G |
1,475.87 |
|
|
H |
1,771.04 |
|
|
Being the amount given by multiplying the amount at 3(d) 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 amount to be taken into account for the year in respect of categories of dwellings listed in different valuation bands. |
4. That it be noted that for the year 2012/13 the Greater London Authority has stated the following amounts in precepts issued to the Council, in accordance with Section 40 of the Local Government Finance Act 1992, for each of the categories of the dwellings shown below:-
|
VALUATION BAND |
GLA £ |
|
A |
204.48 |
|
B |
238.56 |
|
C |
272.64 |
|
D |
306.72 |
|
E |
374.88 |
|
F |
443.04 |
|
G |
511.20 |
|
H |
613.44 |
5. That, having calculated the aggregate in each case of the amounts at 3(d) and 4 above, the Council, in accordance with Section 30(2) of the Local Government Finance Act 1992, hereby sets the following amounts as the amounts of Council Tax for the year 2012/13 for each of the categories of dwellings shown below:-
|
VALUATION BAND |
TOTAL COUNCIL TAX £ |
|
A |
794.83 |
|
B |
927.30 |
|
C |
1,059.77 |
|
D |
1,192.24 |
|
E |
1,457.18 |
|
F |
1,722.12 |
|
G |
1,987.07 |
|
H |
2,384.48 |
6. New government regulation now requires a local authority to conduct a referendum where if compared with the previous year, they set council tax increases that are “excessive”. Under current legislation and in accordance with principles approved under Section 52ZB Local Government Finance Act 1992, the Council tax set by the London Borough of Tower Hamlets for 2012/13 is not deemed to be excessive.
Minutes:
Mayor Lutfur Rahman introduced his Executive’s revised budget proposals as set out in the report of the Cabinet meeting on 8th February 2012, which was circulated to Members in the supplementary agenda. The Mayor commented that his main priority was to protect the Borough and the most vulnerable sections of the community from the Government’s cuts agenda and to give value for money. He intended to continue the provision of free home care for the elderly; maintain youth centre provision; ensure that no libraries or youth facilities were closed and protect lower-waged staff. The proposals would also protect the level of voluntary sector grants and would ensure that Council Tax would be frozen for the third year in succession.
The Mayor thanked those Members who had contributed to the development of his budget proposals and/or proposed the amendments that he had agreed to incorporate at the Cabinet meeting.
Councillor Alibor Choudhury MOVED, and Councillor Ohid Ahmed SECONDED, the budget proposals of the Mayor and Executive.
Three budget amendments were tabled and moved in accordance with Procedure Rule 2A.8 as follows:
(i) Amendment MOVED by Councillor Anwar Khan and SECONDED by Councillor Carlo Gibbs as set out at Annex A to these minutes;
(ii) Amendment MOVED by Councillor David Snowdon and SECONDED by Councillor Zara Davis as set out at Annex B to these minutes;
(iii) Amendment MOVED by Councillor Kabir Ahmed and SECONDED by Councillor Maium Miah as set out at Annex C to these minutes.
Following debate on the Mayor’s proposals and the above amendments, Councillor Alibor Choudhury MOVED, and Councillor Ohid Ahmed SECONDED, a further amendment without notice proposing additional savings and income opportunities as follows:-
“This Council Notes:
1. On SRAs:
a) There are currently two levels of SRA for the leaders of groups with over 6 Councillors: The leader of a group with 6 members receives £5,531 p.a., whilst the leader of a group with 7 or more councillors receives £10,174 p.a. (These arrangements do not include the leader of the majority group, who received an SRA at the same level as a Cabinet Member.).
b) Currently there is only 1 group in Council with over 6 Councillors.
c) That the leader of this group’s current SRA is £10,174 p.a. over and above the basic allowance of £10,065.
d) This is higher than the recommended level by the Independent Panel on the Remuneration of Councillors in London or £2,368 to £8,852 p.a.
e) This is far higher than in comparative boroughs Lewisham and Newham, where the SRA is £5,275 and £3,621 p.a..
2. On Events in Parks:
a) Currently all our large scale events are held in Victoria Park.
b) There are currently no events held in Millwall Park, despite it being one of the largest parks in the borough.
This Council believes:
1. On SRAs:
a) The two tiered system is unnecessary and not supported by the Independent Panel’s recommendation.
b) In a year in which we have seen falling incomes for many, elected representatives should ensure that their remuneration is reasonable, as indicated by the Independent Panel’s recommendations and comparative boroughs.
2. On Events in Parks:
a) Events in parks provide a vital source of income, both to support the maintenance of the parks and to fund community festivals and events.
b) Currently Victoria Park takes the strain of hosting these events.
c) The borough has a few other large parks capable of hosting events, which could help distribute events more evenly around the borough.
d) Millwall Park is the biggest park in the south of the borough, it is also bordered by ASDA and the DLR, reducing the number of residents directly affected by noise.
This Council resolves:
1. On SRAs:
a) To bring the SRA of the leader of any group other than the majority group in line with the recommendation of the Independent Panel and other comparative Councils.
b) That this level of SRA should be the same level as for a Committee Chair, at £5,531 p.a.. This would create a saving of £4,643.
2. On Events in Parks:
a) That the number of event days in Victoria Park be reduced by 1 and that a maximum of 4 events should be held in Millwall Park.
b) This will yield a revenue increase from events in parks of at least £30,000.
Total revenue made available to meet the budget gap: £34,643.”
Adjournment
The Speaker adjourned the meeting at 9.10 p.m. so that officers’ advice could be sought inn relation to the above proposed amendment. The meeting reconvened at 9.30 p.m.
Following the adjournment, the Monitoring Officer advised the Council that the part of the proposed amendment that related to Events in Parks was an executive matter and therefore out of scope for the Council meeting. The proposal in relation to Special Responsibility Allowances was in order but represented a new amendment which could only be accepted for debate by a majority vote of the Council. The Speaker then put to the vote the proposal that section 1. of Councillor Choudhury’s amendment be accepted for debate and this was defeated.
Adjournment
Following further debate, the Speaker adjourned the meeting at 9.35 p.m. at the request of the Mayor, to enable consideration of the tabled amendments. The meeting reconvened at 9.50 p.m.
Following the adjournment the Mayor amended his budget proposals (i) by accepting in full the amendment proposed by Councillors Kabir Ahmed and Maium Miah; and (ii) by accepting some elements of the amendment proposed by Councillors Anwar Khan and Carlo Gibbs. The full list of changes accepted by the Mayor is attached at Appendix 1 to these minutes.
In relation to some other elements of the amendment proposed by Councillors Anwar Khan and Carlo Gibbs, which the Mayor was not able to include in his revised budget proposal, he nevertheless indicated further that he intended to:-
- Request the Interim Corporate Director, Children, Schools and Families and the Corporate Director, Communities, Localities and Culture, to deliver the feasibility study for afterschool patrols within existing resources.
- Undertake a review of insulation and fuel poverty issues in partnership with Labour Councillors.
- Give further consideration to the proposals in relation to the Register of Landlords, and the use of the New Homes Bonus for Decent Homes works, and ask officers to bring a paper on these matters to the next Cabinet meeting.
- Investigate further the proposal regarding internships for local residents and how this might be delivered through the PCOP process.
- Ask officers to look further into the concerns raised by the Labour Group around parking permits and the CLC budget for bulk waste collection, rat control and charges to business for external furniture and signage, and bring a report to the next Cabinet meeting on these matters.
- Ask officers also to submit a report to the next Cabinet meeting to clarify matters on Domiciliary Care Services, about which the Mayor believed there was a misunderstanding.
Finally, the Mayor stated that he did not accept any elements of the amendment proposed by Councillors David Snowdon and Zara Davis.
Adjournment
The Speaker adjourned the meeting at 10.02 p.m. at the request of the Group Leaders to enable consideration of the Mayor’s statement. The meeting reconvened at 10.20 p.m.
Following the adjournment, Councillor Joshua Peck indicated that in the light of the changes made by the Mayor to his budget proposals, the amendment proposed by Councillors Anwar Khan and Carlo Gibbs was withdrawn and replaced by a new amendment, MOVED by Councillor Peck and SECONDED by Councillor Carlo Gibbs, as follows:
“This Council Notes:
The Mayor has accepted the vast majority of Labour amendments to protect the vulnerable and welcomes these changes.
This Council Further Notes:
That residents are often forced to refuse much needed new homes in Car Free developments because they need a car.
This Council Resolves:
To call on the Mayor to implement extended car free developments to one and two bedroom properties.”
At this point, Councillor Alibor Choudhury MOVED and Councillor Ohid Ahmed SECONDED, a procedural motion – “That under Procedure Rule 14.1.10 the question be now put.” The procedural motion was put to the vote and was agreed.
Following the Mayor’s right of reply, the tabled amendment proposed by Councillors David Snowdon and Zara Davis was put to the vote and was defeated.
The further amendment proposed by Councillors Joshua Peck and Carlo Gibbs as set out above was then put to the vote and was agreed.
Finally the substantive motion, being the Mayor and Executive’s budget proposals as amended, was put to the vote and was agreed.
The Monitoring Officer informed the Council of advice from the Section 151 Officer that the decisions taken by the Council would have the effect of reducing the General Reserves by £762,000.
Accordingly, it was RESOLVED
A. General Fund Revenue Budget and Council Tax Requirement 2012/13
1. That the revised budget proposals of the Mayor and Executive, included in the Budget 2012/13 Document Pack, amended as set out in the report of the Mayor in Cabinet of 8th February and further amended as at Appendix 1 to these minutes, be agreed.
2. That a General Fund revenue budget of £292.265m and a total Council Tax Requirement for Tower Hamlets in 2012/13 of £80.43m be agreed as set out in the table below:-
|
|
Revised |
Savings |
Growth |
Earmarked |
Total |
|
|
|
Base |
Approved |
New |
|
Reserves |
Budget |
Service |
2011-12 |
|
|
|
|
2012-13 |
|
|
|
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
Adults Health & Wellbeing |
99,463 |
(3,329) |
(801) |
1,213 |
(1,100) |
95,446 |
|
|
|
|
|
|
|
|
|
Children, Schools and Families |
60,812 |
(2,627) |
(150) |
285 |
(618) |
57,702 |
|
|
|
|
|
|
|
|
|
Communities, Localities and Culture |
61,437 |
(4,355) |
(1,075) |
2,358 |
(1,017) |
57,348 |
|
|
|
|
|
|
|
|
|
Development & Renewal |
31,359 |
(1,228) |
(165) |
74 |
(30) |
30,010 |
|
|
|
|
|
|
|
|
|
Resources |
21,948 |
(858) |
(2,630) |
10 |
(10) |
18,460 |
|
|
|
|
|
|
|
|
|
Chief Executives |
8,535 |
(348) |
(303) |
55 |
(464) |
7,475 |
|
|
|
|
|
|
|
|
|
Net Service Costs |
283,554 |
(12,745) |
(5,124) |
3,995 |
(3,239) |
266,441 |
|
|
|
|
|
|
|
|
|
Other Net Costs |
|
|
|
|
|
|
|
Capital Charges |
11,055 |
|
(1,445) |
400 |
|
10,010 |
|
Levies |
2,415 |
|
|
|
|
2,415 |
|
Pensions |
12,151 |
|
|
1,250 |
|
13,401 |
|
Other Corporate Costs |
8,269 |
(1,125) |
(217) |
360 |
2,154 |
9,441 |
|
|
|
|
|
|
|
|
|
Total Other Net costs |
33,890 |
(1,125) |
(1,662) |
2,010 |
2,154 |
35,267 |
|
|
|
|
|
|
|
|
|
Core Grants |
(10,391) |
|
(3,647) |
|
|
(14,038) |
|
Reserves |
|
|
|
|
|
|
|
|
General Fund |
3,000 |
|
(3,000) |
|
|
- |
|
Earmarked |
907 |
|
|
|
1,188 |
2,095 |
|
General Fund (Smoothing) |
- |
|
|
|
(1,600) |
(1,600) |
Inflation |
- |
|
|
4,100 |
|
4,100 |
|
|
|
|
|
|
|
|
|
Total Financing Requirement |
310,960 |
(13,870) |
(13,433) |
10,105 |
(1,497) |
292,265 |
|
|
|
|
|
|
|
|
|
Formula Grant |
(229,673) |
|
|
17,838 |
|
(211,835) |
|
Council Tax |
(81,287) |
(725) |
|
1,582 |
|
(80,430) |
|
|
|
|
|
|
|
|
|
Total Financing |
(310,960) |
(725) |
- |
19,420 |
- |
(292,265) |
3. That a Council Tax be agreed for Tower Hamlets in 2012/13 of £885.52 at Band D resulting in a Council Tax for all other band taxpayers, before any discounts, and excluding the GLA precept, as set out in the table below:-
BAND |
PROPERTY VALUE |
RATIO TO BAND D |
LBTH COUNCIL TAX FOR EACH BAND |
|
|
FROM £ |
TO £ |
|
|
A |
0 |
40,000 |
6/9 |
£590.35 |
B |
40,001 |
52,000 |
7/9 |
£688.74 |
C |
52,001 |
68,000 |
8/9 |
£787.13 |
D |
68,001 |
88,000 |
9/9 |
£885.52 |
E |
88,001 |
120,000 |
11/9 |
£1,082.30 |
F |
120,001 |
160,000 |
13/9 |
£1,279.08 |
G |
160,001 |
320,000 |
15/9 |
£1,475.87 |
H |
320,001 |
and over |
18/9 |
£1,771.04 |
4. That for the London Borough of Tower Hamlets in 2012/13:-
(a) The Council Tax for Band D taxpayers, before any discounts, and including the GLA precept, shall be £1,192.24 as shown below:-
|
£ (Band D, No Discounts) |
LBTH |
885.52 |
GLA |
306.72 |
Total |
1,192.24 |
(b) The Council Tax for taxpayers in all other bands, before any discounts, and including the GLA precept, shall be as detailed in the table below:-
BAND |
PROPERTY VALUE |
RATIO TO BAND D |
LBTH |
GLA |
TOTAL |
||
FROM £ |
TO £ |
£ |
£ |
£ |
|||
A |
0 |
40,000 |
6/9 |
590.35 |
204.48 |
794.83 |
|
B |
40,001 |
52,000 |
7/9 |
688.74 |
238.56 |
927.30 |
|
C |
52,001 |
68,000 |
8/9 |
787.13 |
272.64 |
1,059.77 |
|
D |
68,001 |
88,000 |
9/9 |
885.52 |
306.72 |
1,192.24 |
|
E |
88,001 |
120,000 |
11/9 |
1,082.30 |
374.88 |
1,457.18 |
|
F |
120,001 |
160,000 |
13/9 |
1,279.08 |
443.04 |
1,722.12 |
|
G |
160,001 |
320,000 |
15/9 |
1,475.87 |
511.20 |
1,987.07 |
|
H |
320,001 |
and over |
18/9 |
1,771.04 |
613.44 |
2,384.48 |
5. That the statutory calculations of this Authority’s Council Tax Requirement in 2012/13, as undertaken by the Chief Financial Officer in accordance with the requirements of Sections 31 to 36 of the Local Government Finance Act 1992, be agreed as attached at Appendix 2 to these minutes.
6. That the Treasury Management Strategy Statement, the Annual Investment Strategy and the Minimum Revenue Provision Policy Statement be approved as presented to Cabinet on 8th February 2012 and contained in the supplementary agenda pack for the Budget Council meeting on 22nd February 2012.
7. That the General Fund Capital and Revenue Budgets and Medium Term Financial Plan 2012-2015 as amended by the alternative options agreed by the Mayor in Cabinet on 8th February and as further amended at Appendix 1 to these minutes, be approved as summarized in the tables below:-
Summary Draft Medium Term Financial Plan 2012-15 |
||||||||
|
|
|
|
|
|
|
|
|
|
|
2011-12 |
|
2012-13 |
|
2013-14 |
|
2014-15 |
|
|
£'000 |
|
£'000 |
|
£'000 |
|
£'000 |
|
|
|
|
|
|
|
|
|
Net Service Costs |
335,048 |
|
320,444 |
|
309,426 |
|
294,462 |
|
|
|
|
|
|
|
|
|
|
Growth |
9,787 |
|
5,645 |
|
4,734 |
|
3,745 |
|
Savings |
|
|
|
|
|
|
|
|
|
Approved |
(28,870) |
|
(14,595) |
|
(12,102) |
|
0 |
|
New |
0 |
|
(9,786 |
|
(13,681) |
|
(6,427) |
Inflation |
4,479 |
|
4,100 |
|
7,100 |
|
6,400 |
|
|
|
|
|
|
|
|
|
|
Core Grants |
(10,391) |
|
(14,038) |
|
(14,070) |
|
(16,070) |
|
|
|
|
|
|
|
|
|
|
Earmarked Reserves |
907 |
|
2,095 |
|
(300) |
|
0 |
|
General Fund Reserves |
0 |
|
(1,600) |
|
8,306 |
|
(8,963) |
|
|
|
|
|
|
|
|
|
|
Total Funding Requirement |
310,960 |
|
292,265 |
|
289,413 |
|
273,147 |
|
|
|
|
|
|
|
|
|
|
Formula Grant |
(229,673) |
|
(211,835) |
|
(209,411) |
|
(191,077) |
|
Council Tax |
(81,287) |
|
(80,430) |
|
(80,002) |
|
(82,070) |
|
|
|
|
|
|
|
|
|
|
Total Funding |
(310,960) |
|
(292,265) |
|
(289,413) |
|
(273,147) |
Detailed analysis of the Medium Term Financial Plan by service area 2012/13 to 2014/15 |
|
|
|
|
|
|
|||||||||||
|
|
Base |
Savings |
Growth |
Earmarked |
Total |
Savings |
Growth |
Earmarked |
Total |
Savings |
Growth |
Earmarked |
Total |
|||
|
|
|
Approved |
New |
|
Reserves |
|
Approved |
New |
|
Reserves |
|
Approved |
New |
|
Reserves |
|
Service |
2011-12 |
|
|
|
|
2012-13 |
|
|
|
|
2013-14 |
|
|
|
|
2014-15 |
|
|
|
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
£'000 |
|
£'000 |
Adults Health & Wellbeing |
99,463 |
(3,329) |
(801) |
1,213 |
(1,100) |
95,446 |
(2,529) |
(2,205) |
1,452 |
(200) |
91,964 |
|
(900) |
1,600 |
(300) |
92,364 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Children, Schools and Families |
60,812 |
(2,627) |
(150) |
285 |
(618) |
57,702 |
(1,810) |
(5) |
(180) |
|
55,707 |
|
(960) |
(100) |
|
54,647 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Communities, Localities and Culture |
61,437 |
(4,355) |
(1,075 |
2,358 |
(1,017 |
57,348 |
(3,757) |
(1,495) |
1,232 |
(860) |
52,468 |
(150) |
(200) |
1,245 |
(565) |
52,798 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Development & Renewal |
31,359 |
(1,228) |
(165 |
74 |
(30) |
30,010 |
(2,716) |
(2,701) |
(20) |
(475) |
24,098 |
|
(1,534) |
|
|
22,564 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Resources |
21,948 |
(858) |
(2,630 |
10 |
(10) |
18,460 |
(299) |
(907) |
|
|
17,254 |
|
(230) |
|
|
17,024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Chief Executives |
8,535 |
(348) |
(303 |
55 |
(464 |
7,475 |
(187) |
(100) |
|
|
7,188 |
|
(100) |
|
|
7,088 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Service Costs |
283,554 |
(12,745) |
(5,124 |
3,995 |
(3,239 |
266,441 |
(11,298) |
(7,413) |
2,827 |
(1,535) |
248,603 |
(150) |
(3,924) |
2,745 |
(865) |
246,485 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Net Costs |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital Charges |
11,055 |
|
(1,445) |
400 |
|
10,010 |
|
|
1,000 |
|
11,010 |
|
|
1,000 |
|
12,010 |
|
Levies |
2,415 |
|
|
|
|
2,415 |
|
|
|
|
2,415 |
|
|
|
|
2,415 |
|
Pensions |
12,151 |
|
|
1,250 |
|
13,401 |
|
|
1,250 |
|
14,651 |
|
|
|
|
14,651 |
|
Other Corporate Costs |
8,269 |
(1,125) |
(217 |
360 |
2,154 |
9,441 |
(125) |
(1,434) |
(360) |
|
7,522 |
|
(2,503) |
|
|
5,019 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Other Net costs |
33,890 |
(1,125) |
(1,662) |
2,010 |
2,154 |
35,267 |
(125) |
(1,434) |
1,890 |
|
35,598 |
|
(2,503) |
1,000 |
|
34,095 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Core Grants |
(10,391) |
|
(3,647) |
|
|
(14,038) |
|
(32) |
|
|
(14,070) |
|
(2,000) |
|
|
(16,070) |
|
Reserves |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General Fund |
3,000 |
|
(3,000) |
|
|
- |
|
|
|
|
- |
|
|
|
|
- |
|
Earmarked |
907 |
|
|
|
1,188 |
2,095 |
|
(3,400) |
|
1,005 |
(300) |
|
|
|
300 |
- |
|
General Fund (Smoothing) |
- |
|
|
|
(1,600) |
(1,600) |
|
|
|
9,203 |
8,306 |
|
|
|
(17,269) |
(8,904) |
|
Inflation |
- |
|
|
4,100 |
|
4,100 |
|
|
7,100 |
|
11,200 |
|
|
6,400 |
|
17,600 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Financing Requirement |
310,960 |
(13,870) |
(13,433) |
10,105 |
(1,497) |
292,265 |
(11,423) |
(12,279) |
12,177 |
8,673 |
289,413 |
(150) |
(8,427) |
10,145 |
(17,834) |
273,147 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Formula Grant |
(229,673) |
|
|
17,838 |
|
(211,835) |
|
|
2,424 |
|
(209,411) |
|
|
18,334 |
|
(191,077) |
|
Council Tax |
(81,287) |
(725) |
|
1,582 |
|
(80,430) |
(554) |
|
982 |
|
(80,002) |
|
|
(2,068) |
|
(82,070) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Financing |
(310,960) |
(725) |
- |
19,420 |
- |
(292,265) |
(554) |
- |
3,406 |
- |
(289,413) |
- |
- |
16,266 |
- |
(273,147) |
8. That the Council notes the Mayor has accepted the vast majority of Labour amendments to protect the vulnerable and welcomes these changes.
9. That the Council further notes that residents are often forced to refuse much needed new homes in Car Free developments because they need a car.
10. That the Council resolves to call on the Mayor to implement extended car free developments to one and two bedroom properties.
APPENDIX 1
BUDGET AMENDMENTS – 2012/13 BUDGET COUNCIL MEETING
Proposals accepted by the Mayor from tabled amendment (i), moved by Councillors Anwar Khan and Carlo Gibbs:
Savings |
Saving in 2012/13 |
Reduce refreshments at meetings |
£2,400 |
Delete Olympics Ambassador SRA after Olympics |
£3,880 |
Delete funding (earmarked reserves) for feasibility study for afterschool patrols and complete study using existing officer time |
£10,000 |
Reduce discretionary spend on taxis for officers |
£15,000 |
Reduce all spend on taxis for members (leaving £6,000 to fund a leasecar for use of the Speaker and Deputy Speaker on official visits) |
£9,000 |
Reduce communications spend by D&R and CLC |
£30,000 |
Reduce funding on award ceremonies and staff conferences by holding them at council facilities |
£30,000 |
Spend |
Costs 2012/13 |
Commission debt support and advice for 150 cases (NB: provider to be sourced through normal procurement process) |
(£24,000) |
Restore funding to Greenwich & Docklands festival |
(£25,000) |
Fund a 0.5 FTE Mental health worker for care leavers |
(£25,000) |
Live streaming of council meetings |
(£25,000) |
Fund a “Violence Against Women and Girls” worker |
(£50,000) |
Give a one off staff award of £250 for low paid council staff |
(£115,000) |
Give a £50 Council Tax rebate to pensioners |
(£245,000) |
Proposals accepted by the Mayor from tabled amendment (iii), moved by Councillors Kabir Ahmed and Maium Miah:
- To allocate £260,000 to support a Mayor’s Aim Higher Scheme for 1 year, with a commitment to find funds for it to be an ongoing provision.
- To allocate a one-off sum of £20,000 to support the development of a London Living Rent Accreditation scheme.
- To double the Service Level Agreements for Mudchute Farm and Tower Hamlets Cemetery Park next year, with a commitment to find funds for this to be an ongoing process. [Note: Budgetary effect in 2012/13 = £63k.]
Use of General Reserves contribution consequent on the above: £762,000 (rounded)
APPENDIX 2
LONDON BOROUGH OF TOWER HAMLETS
COUNCIL FEBRUARY 2012
BUDGET & COUNCIL TAX STATUTORY CALCULATIONS
SETTING THE AMOUNT OF COUNCIL TAX FOR THE COUNCIL'S AREA
1. That the revenue estimates for 2012/2013 be approved.
2. That it be noted that, at its meeting on 11th January 2012, Cabinet calculated 90,828 as its Council Tax base for the year 2012/2013 [Item T in the formula in Section 31B of the Local Government Finance Act 1992, as amended (the “Act”)]
3. That the following amounts be now calculated by the Council for the year 2012/13 in accordance with Section 31 to 36 of the Local Government Finance Act 1992 as amended and the Local Authorities (Alteration of Requisite Calculations) (England) Regulations 2011:
(a) |
£1,185,721,000 |
Being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2) of The Act. [Gross Expenditure] |
(b) |
£1,105,291,000 |
Being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3) of The Act. [Gross Income] |
(c) |
£80,430,000 |
Being the amount by which the aggregate at 3(a) above exceeds the aggregate at 3(b) above, calculated by the Council, in accordance with Section 31A(4) of The Act, as its council tax requirement for the year. (Item R in the formula in Section 31B of The Act). [Council Tax Requirement] |
(d) |
£885.52 |
Being the amount at 3(c) above (Item R), all divided by Item T (2 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. [Council Tax] |
(e) |
VALUATION BAND |
LBTH £ |
|
|
A |
590.35 |
|
|
B |
688.74 |
|
|
C |
787.13 |
|
|
D |
885.52 |
|
|
E |
1,082.30 |
|
|
F |
1,279.08 |
|
|
G |
1,475.87 |
|
|
H |
1,771.04 |
|
|
Being the amount given by multiplying the amount at 3(d) 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 amount to be taken into account for the year in respect of categories of dwellings listed in different valuation bands. |
4. That it be noted that for the year 2012/13 the Greater London Authority has stated the following amounts in precepts issued to the Council, in accordance with Section 40 of the Local Government Finance Act 1992, for each of the categories of the dwellings shown below:-
|
VALUATION BAND |
GLA £ |
|
A |
204.48 |
|
B |
238.56 |
|
C |
272.64 |
|
D |
306.72 |
|
E |
374.88 |
|
F |
443.04 |
|
G |
511.20 |
|
H |
613.44 |
5. That, having calculated the aggregate in each case of the amounts at 3(d) and 4 above, the Council, in accordance with Section 30(2) of the Local Government Finance Act 1992, hereby sets the following amounts as the amounts of Council Tax for the year 2012/13 for each of the categories of dwellings shown below:-
|
VALUATION BAND |
TOTAL COUNCIL TAX £ |
|
A |
794.83 |
|
B |
927.30 |
|
C |
1,059.77 |
|
D |
1,192.24 |
|
E |
1,457.18 |
|
F |
1,722.12 |
|
G |
1,987.07 |
|
H |
2,384.48 |
6. New government regulation now requires a local authority to conduct a referendum where if compared with the previous year, they set council tax increases that are “excessive”. Under current legislation and in accordance with principles approved under Section 52ZB Local Government Finance Act 1992, the Council tax set by the London Borough of Tower Hamlets for 2012/13 is not deemed to be excessive.
Supporting documents:
-
Council Report Budget CAB 080212, item 5.1
PDF 127 KB
-
OSC 13 02 12 Budget Comments, item 5.1
PDF 68 KB
-
Budget Motion, item 5.1
PDF 109 KB