Agenda item

(A report by Christine Marshall, Deputy Chief Executive (Corporate) & S151)

Councillor Anne Dorrian, Leader of the Council, presented the report which sought approval of the General Fund Budget for 2025/26, including the use of reserves, Medium Term Financial Strategy, Capital Programme and Strategy, Treasury management Policy/Strategy and the Annual Delivery Plan including the approval of Council Tax levels for recommendation to Full Council on 3^rd March 2025.

Councillor Dorrian apologised for the lateness of the report and requested, through the Chief Executive, that the Chief Executive of PSPSL be invited to attend the next Cabinet Briefing to discuss the matter further, including plans for future reports.

The following aspects of the report were highlighted:

·         Increase in costs including pay, contract costs and the IDB levy.

·         Reduction in support from Central Government.

·         New Council Tax Support Scheme.

·         Enhancing events in the town. Councillor Sarah Sharpe was thanked for her work on Boston Brilliance.

·         Increasing pressures from Internal Drainage Boards (IDBs).

·         Proposed Council Tax increase by 3% (equating to a £7.56 increase for a Band D property, or 15 pence per week).

·         Two efficiency targets had been included in the budget in respect of the IDBs and the need for general efficiencies of £511k.

·         New grant awarded - Extended Producer Responsibility Funding (EPR).

·         Funding Volatility Reserve (£400k support) reflecting income changes in 25/26.

·         Leader of the Council and Portfolio Holder – Finance working to make better use of technology and buying power to drive savings, efficiencies and service transformation.

Councillor Dorrian proposed an amendment to recommendation 1(a) to include the reintroduction of the Councillor Grant Scheme, with each Councillor being given £1,000 to allocate to projects within their ward, to be funded from the contingency reserve fund.

Members discussed the recommendations and commented as follows:

·         Concerns were raised regarding the efficiency targets and how they might impact services. It was important to ensure that efficiency measures did not lead to cuts in essential services. The Deputy Chief Executive (Corporate Development) & S151 explained that the focus would be on back-office efficiencies, such as shared expertise, improved procurement processes, and better use of IT systems, rather than reducing front-facing services.

·         The proposed decrease in market stall charges was supported as it would make Boston one of the most competitive markets in the county, which would hopefully attract more traders and boost footfall, ultimately benefiting the local economy. It was highlighted that a new Markets Manager had been appointed and that new initiatives were being investigated in respect of the farmers and makers markets.

·         An increase to auditors fees was noted. The Council was working to minimise any extra fees, for example with a more problematic audit. However, the statement of accounts were up to date.

·         In respect of the IDB Levy, Members noted that the Council had been actively engaging with government representatives to address the issue and to seek additional funding in order to mitigate the financial burden.

·         The importance of the Council Tax Support Scheme in helping vulnerable residents was noted, with emphasis that the scheme could make a real difference in lifting children out of poverty and improving the quality of life for many families.

·         The investigation of external funding. Members discussed the challenges of managing financial pressures and the use of reserves. It was acknowledged that whilst using reserves was not ideal, it was necessary to ensure that the Council continued to provide essential services and to support the community.

The recommendations were moved by Councillor Anne Dorrian and seconded by Councillor Dale Broughton.

RESOLVED:

1.    That the results of the Budget Consultation process (at Appendix 7) be noted; and

2.    That the following recommendations be submitted to Full Council on 3rd March 2025 for approval:

a)    That the Revenue Estimates for the General Fund and BTAC for 2025/26 (Appendices 1, 1a and 1b) be approved and that the Councillor Grant Scheme be reintroduced, with each Councillor being given £1,000 to allocate to projects within their ward, to be funded from the contingency reserve fund;

b)   That the Council Tax for a Band D property in 2025/26 be set at £223.65 (a £7.56 per annum increase on 2024/25 levels);

c)    That the Council tax for a band D property in 2025/26 for BTAC be set at £81.09 (a 72p per annum increase on 2024/25 levels);

d)   That the additions to and use of reserves (as detailed at Appendix 1) be approved;

e)    That the Medium Term Financial Strategy (at Appendix 1) be approved;

f)     That the Capital Programme and Capital Strategy (Appendices 2 and 3) be approved;

g)   That the Section 25 addendum (Appendix 1) be noted;

h)   That the Treasury Management Policy Statement and Treasury Management Strategy Statement including MRP Policy (at Appendix 4a and 4b) be approved;

i)     That the proposed Fees and Charges Schedule as set out in Appendix 5 be approved; and

j)     That the Annual Delivery Plan for 2025/26 (Appendix 6) be approved.

[The Head of Finance (Client) (PSPSL) and the Strategic Finance Manager left the meeting at 7.08pm, following consideration of the above item.]