Agenda item

Councillor Satnam Gill, Executive Member Finance, Resources and Performance was present, and outlined the report

During consideration of the report the following main points were made –

Councillor Satnam Gill, Executive Member Finance, Performance and Resources was present, together with David Hodgkinson, Director of Corporate Resources, and outlined the report

During consideration of the report the following main points were made -

·         Welcomed the proposed Budget for 2022/23.  Despite a shortfall in government funding for COVID pandemic costs, and 10 years of reduced funding due to Government austerity measures, the committee congratulated and thanked the Executive Member Finance and Performance, all Councillors and officers for achieving a balanced budget and fair budget under difficult circumstances.

·         Noted that the COVID crisis has had a massive impact on the Council’s work and how it delivers services to residents

·         Noted that the Council has had to make new savings of £3.530m in 2022/23, in addition to those previously agreed, with local government funding failing to keep up with rising costs and demand for local services

·         In addition, COVID funding from the Government had led to a shortfall in the budget necessitating further budget reductions

·         Noted the proposed Council Tax, and social care precept increases, plus the Mayor of London’s proposed increase, and that this will result in a total increase of 4.27% for Islington Council Taxpayers, although only 1.99% of this was a rise in additional Council Tax

·         The Committee noted the increases in fees and charges, and the HRA and capital programme proposals

·         The Committee expressed concern at rising energy costs, plus high current and projected inflation rates, and that this would place financial pressures on both residents and the Council. In addition, pay increases for staff may impact on the budget, however it was felt that it in the circumstances it was a prudent budget, and contingencies and reserves were available if necessary in 2022/23, however if these pressures persisted this would impact on future budgets

·         The Committee were of the view that the Fair Funding review when published may impact Islington and other London Boroughs adversely, and that co-ordinaton should take place with other similarly affected Local Authorities to lobby the Government in this regard

·         Welcomed the extra investment in the budget and in particular –

An extra £676000 into the Council Tax support scheme

Quadrupling the size of childcare bursary scheme to £160000

Investing an extra £1m per year through Fairer Together

Investing an extra £13.3m in a host of net zero carbon projects

Committing an extra £500k for an improved youth offer

£2m programme to tackle all forms of violence and abuse against women and girls

Another 228 Council home starts by the end of the year

·         Welcomed the proposal to share community levies amongst wards

·         Noted the increase in the NLWA levy, linked to fluctuating tonnages and balances and that this was expected to ‘even out’ over a period of 2/3 years

·         Noted the COVID 19 pandemic has had a massive impact on the Council’s work and how it supports and delivers services

·         Noted the details contained in the report relating to the Council budget

·         Noted Council is having to make new savings of £3.50m in 2022/23, in addition to those previously agreed, with local government funding failing to keep up with rising demand for council services. Future waves of the pandemic and restrictions are likely to continue to have an impact on the Council’s finances

RESOLVED:

(a)  That the comments of the Committee on the draft budget proposals be forwarded to the Executive for consideration

(b)  That details be provided to Members of the Committee of the increase in use of temporary accommodation arising primarily in response to domestic violence and disrepair

The Chair thanked Councillor Gill and David Hodgkinson for attending