Agenda item

Division/Wards Affected:  All

Purpose:  To update Cabinet with the consultation responses to the draft budget proposals issued by them on the 19^th January in respect of the Capital and Revenue budgets for 2022/23.

To update members with implications arising from the Provisional Local Government Settlement announcement of the Welsh Government as well as providing update with regards to the awaited Final Settlement announcement.

To make recommendations to Council on the Capital and Revenue budgets and level of Council Tax for 2022/23.

To receive the Responsible Financial Officer’s Prudential Indicator calculations for capital financing.

To receive the statutory report of the Responsible Financial Officer on the budget process and the adequacy of reserves.

Authors:

Peter Davies – Deputy Chief Executive, Chief Officer for Resources (S151 officer)

Jonathan Davies – (Acting) Assistant Head of Finance (Deputy S151 officer)

Contact Details:

Email:  peterdavies@monmouthshire.gov.uk

Email:  jonathandavies2@monmouthshire.gov.uk

That Cabinet considers the responses to consultation and recommends to Council:

a) The 2022/23 revenue budget as attached in Appendix H2.

b) The 2022/23 to 2025/26 capital programme as attached in Appendix I1.

That Cabinet acknowledges that the final budget proposals proposed look to support the priorities of the council and specifically seek to recognise:

a) All pay and pension related spending pressures in our schooling system, up to a threshold of a 3% pay award.

b) The increasing demand on schools and the Local Education Authority of pupils with additional learning needs.

c) The increasing complexity of cases being placed on our children’s social services in respect of looked after children and for whom the Council acts as corporate parent.

d) The growing impact of an ageing population on adult social services and the challenges that result from a fragile and unsustainable social care market in Wales.

e) Significant service pressures within the passenger transport unit and within recycling and waste and that look to ensure that the Council supports and sustains key service delivery.

f) Responding to the needs of homelessness with housing related support.

g) Further investment in our Highways and transport infrastructure alongside our IT and network estate.

That a 2.95% increase in the Band “D” equivalent Council Tax is used as the planning assumption in the budget model and to apply for County purposes in 2022/23, reduced from the previous proposed increase of 3.95% and as a result of public consultation.

That Cabinet approves the revised saving and pressure proposals, updated following public consultation, scrutiny and more up to date information being made available since the draft proposals were released on consultation on 19th January 2022.

That Cabinet recommends the additional capital investment of £4.84m for 2022/23 and a further £4.38m over indicative capital budgets from 2023/24 to 2025/26 and as identified in Appendix I2.

That Cabinet recommends Council to dispose of assets identified in the exempt background paper at best value.

That Cabinet considers the Responsible Financial Officer’s report on the robustness of the budget process and the adequacy of reserves issued under the provisions of the Local Government Act, 2003, together with an assessment of the current and future financial risks facing the Council.

That Cabinet adopts the Responsible Financial Officer’s report on Prudential Indicators.

That Cabinet approves that:

a) Further work is undertaken to develop a balanced Medium Term Financial Plan.

b) Regular review is undertaken of the MTFP to ensure it remains up to date, and that it includes an assessment of evidence based pressures and risks, underlying modelling assumptions and the ongoing affordability implications of the Corporate Plan.