Agenda item

AGREED RECOMMENDATIONS

Reasons for decision – to agree draft proposals in respect

of the council’s 2022/23 budget and level of council tax and

the latest assumed medium term financial position.

Other options considered - none

Conflicts of interest / dispensations granted – none

RESOLVED:

The General Fund Budget 2022/23 and MTFS (Section 3 of the report)

1.1.       That the latest MTFS and balanced 2022/23 budget, including the underlying principles and assumptions, be agreed and recommended to Full Council. (Paragraphs 3.1-3.38, Table 1 and Appendix A of the report) 

1.2.       That the proposed 2022/23 net budgets by directorate be agreed and recommended to Full Council. (Paragraph 3.3, Table 2 and Appendix A of the report)

1.3.       It be noted that the annual budget for the London Councils Grant Committee was reported to the Voluntary and Community Sector Committee on 25 January 2022 for information. (Paragraph 3.22-3.23 of the report)

1.4.       That authority be delegated to the Corporate Director of Resources to revise external funding estimates prior to the final version of this report for Full Council on 3 March 2022, should this be necessary. (Paragraphs 3.20 and 3.25 of the report)

1.5.       That the 2022/23 savings be agreed and recommended to Full Council, and it be noted that individual savings may be subject to individual consultation before they can be implemented. (Paragraphs 3.39-3.43, Table 5, and Appendix B of the report)

1.6.       That the Dedicated Schools Grant (DSG) settlement for 2022/23 and related funding assumptions be noted. (Paragraphs 3.44-3.51 of the report)

1.7.       That the fees and charges policy and the General Fund fees and charges for 2022/23 be agreed. (Paragraphs 3.52-3.59 and Appendix C of the report)

1.8.       That the policy on General Fund contingency and reserves be agreed and recommended to Full Council, and the movements to/from earmarked reserves assumed as part of the 2022/23 revenue budget be agreed. (Paragraphs 3.60-3.69, Table 6 and Table 7 of the report)

1.9.       That the Section 151 Officer is delegated responsibility for any technical adjustments required for the 2022/23 budget (in line with the council’s Financial Regulations) be agreed and recommended to Full Council.

1.10.    That centrally held gross demographic growth be allocated to service budgets only when the need materialises and as approved by the Section 151 Officer be agreed and recommended to Full Council. (Paragraph 3.14 of the report)

The HRA Budget and MTFS (Section 4 of the report)

1.11.    That the balanced HRA 2022/23 budget be agreed and recommended to Full Council, and the latest estimates over the three-year MTFS period be noted. (Paragraphs 4.1-4.3, Table 8 and Appendix D1 of the report)

1.12.    That the HRA rents be noted, and, following minor revisions to the version agreed by the Executive on 13 January 2022, the other HRA fees and charges for 2022/23 be agreed. (Paragraphs 4.4-4.29, Tables 9-11 and Appendix D2 of the report)

1.13.    That the introduction of a points-based apportionment method from April 2022 to revise the way in which Housing Leaseholder Service Charges are calculated be agreed. (Paragraph 4.9, and Appendix D3 of the report)

1.14.       It be noted that the HRA 30-year business plan will be updated to reflect the impact of the latest rent setting proposals as well as other agreed increases in expenditure not previously anticipated. (Paragraph 4.2 of the report)

Capital Investment and Treasury and Investment Management (Section 5 of the report)

1.15.    That the proposed 2022/23 to 2024/25 capital programme be agreed and recommended to Full Council, and the indicative long-term capital programme for 2025/26 to 2031/32 be noted. (Paragraphs 5.3, Table 12 and Appendix E1 of the report)

1.16.    That the estimated funding of the 2022/23 to 2024/25 capital programme be noted, and authority be delegated to the Section 151 Officer to, where necessary, apply capital resources to fund the capital programme in the most cost-effective way for the council. (Paragraph 5.10 and Table 13 of the report)

1.17.    That the Capital Strategy, Minimum Revenue Provision (MRP) Policy Statement, Treasury Management Strategy and Investment Strategy be agreed and recommended to Full Council. (Paragraph 5.12 and Appendices E2-E5 of the report)

Council Tax and Retained Business Rates (Section 6 of the report)

1.18.    That the 2021/22 council tax and business rates forecasts and budgetary impact over the medium term be noted. (Paragraph 6.1-6.3 of the report)

1.19.       That the calculations required for the determination of the 2022/23 council tax requirement and the level of council tax as detailed in Section 6 of the report and summarised below be agreed and recommended to Full Council:  

1.      The 2022/23 council tax requirement of £105,425,628.21 (Paragraph 6.8 and Table 15 of the report)

2.       The relevant basic amount of Islington Band D council tax of £1,314.65, a 2.99% increase compared to 2021/22 (comprising 1% specifically for expenditure on adult social care and 1.99% for all expenditure), and this is not ‘excessive’. (Paragraph 6.9 and Table 16 of the report)

3.    The basic amount of Islington Band D council tax for dwellings to which no special item relates (i.e., outside of the Lloyd Square Garden Committee area) of £1,314.65. (Paragraph 6.11 and Table 17 of the report)

4.       The amount of 2021/22 council tax (excluding the GLA precept) for each valuation band over each of the council’s areas. (Paragraph 6.13 and Table 18 and Table 19 of the report)

5.       The total amount of 2021/22 council tax (including the GLA precept) for each valuation band over each of the council’s areas. (Paragraph 6.15 and Table 21 and Table 22 of the report)

1.20.       That the council’s estimated retained business rates funding in 2022/23, as per the 2022/23 NNDR1 return estimate, be noted. (Paragraph 6.17 and Table 23 of the report)

1.21.    That the council’s forecast NNDR surplus/(deficit) in 2022/23 be noted. (Paragraph 6.18 and Table 24 of the report)

1.22.       That the recommended design of the discretionary COVID-19 Additional Relief Fund scheme for 2022/23, and retrospective approval of the 2021/22 scheme, be agreed. (Appendix F of the report)

1.23.    That the adoption of the Retail Relief Scheme for 2022/23, and retrospective approval of the 2021/22 scheme, be agreed. (Appendix G of the report)

Matter to Consider in Setting the Budget (Section 7 of the report)

1.24.       To have regard to the Section 151 Officer’s report on the robustness of the estimates included in the budget and the adequacy of the proposed financial reserves when making decisions about the budget and the level of council tax, as required under Section 25(2) of the Local Government Act 2003, be agreed. (Paragraphs 7.1-7.7 of the report)

1.25.    That the initial assessment of compliance against the CIPFA Financial Management Code be noted, and it be noted that this will be re-visited at least annually as part of the budget process, with any actions or recommendations implemented on an ongoing basis. (Paragraph 7.5 and Appendix H of the report).

1.26.    That the Monitoring Officer comments be noted. (Paragraphs 7.8-7.12 of the report)

1.27.    That the Equality Impact Assessment be noted (Paragraphs 7.13-7.15 and Appendix I of the report) and to take fully account of it in approving the overall budget and related proposals.

1.28.    It be noted that the council invited business rate payers or representatives of business rate payers in Islington to comment on the draft 2022/23 budget proposals, as required under Section 65 of the Local Government Finance Act 1992, and that no responses were received. (Paragraphs 7.16-7.18 of the report)

1.29.    That the Annual Pay Policy Statement 2022/23 be agreed and recommended to Full Council. (Paragraph 7.19 and Appendix J of the report)

Reasons for decision – to agree draft proposals in respect of the council’s 2022/23 budget and level of council tax and the latest assumed medium term financial position.

Other options considered - none

Conflicts of interest / dispensations granted – none