Agenda item

Councillor Ward moved the recommendations in the report. Councillor Comer-Schwartz seconded. Councillor Russell moved the amendment. Councillor Hamdache seconded.

Councillors Hayes, McHugh, Ibrahim, Jegorovas-Armstrong and Convery contributed to the discussion.

Councillor Russell exercised her right to reply on the amendment. Councillor Ward exercised his right to reply on the budget report.

The amendment was put to the vote. Voting was recorded as follows:

For: Councillor Russell, Hamdache, Jegorovas-Armstrong

Against: Councillors Bell-Bradford, Bossman-Quarshie, Burgess, Champion, Chapman, Chowdhury, Cinko-Oner, Clarke, Comer-Schwartz, Convery, Craig, Croft, Gallagher, Gilgunn, Gill, Hayes, Heather, Hyde, Ibrahim, Jackson, Jeapes, Kay, Khurana, Klute, Mackmurdie, McHugh, Ngongo, North, O’Halloran, O’Sullivan, Ogunro, Pandor, Poyser, Shaikh, Spall, Staff, Turan, Ward, Wayne, Weekes, Williamson, Woolf, Zammit

The amendment was LOST.

The recommendations in the report were put to the vote. Voting was recorded as follows:

For: Councillors Bell-Bradford, Bossman-Quarshie, Burgess, Champion, Chapman, Chowdhury, Cinko-Oner, Clarke, Comer-Schwartz, Convery, Craig, Croft, Gallagher, Gilgunn, Gill, Hayes, Heather, Hyde, Ibrahim, Jackson, Jeapes, Kay, Khurana, Klute, Mackmurdie, McHugh, Ngongo, North, O’Halloran, O’Sullivan, Ogunro, Pandor, Poyser, Shaikh, Spall, Staff, Turan, Ward, Wayne, Weekes, Williamson, Woolf, Zammit

Against: Councillors Russell, Hamdache, Jegorovas-Armstrong

The recommendations in the report were CARRIED.

RESOLVED:

The General Fund Budget 2023/24 and MTFS (Section 3 of the report)

(i)    That the MTFS and balanced 2023/24 budget, including the underlying MTFS principles, in-year monitoring position (to date) and the  budget assumptions. (Paragraphs 3.1-3.46, Table 1, and Appendix A of the report), be agreed as recommended by the Executive.

(ii)   That the proposed 2023/24 net budgets by directorate (Paragraph 3.3, Table 2, and Appendix A of the report) be agreed as recommended by the Executive. 

(iii)That centrally held demographic growth be allocated to service budgets in-year once a more evidenced assessment is available and has been approved by the Section 151 Officer (Paragraph 3.18 of the report) be agreed as recommended by the Executive.

(iv)That the 2023/24 budget incorporates budget provision for manifesto commitments and provides additional support to residents in the current cost-of-living crisis (Paragraph 3.26-3.36 of the report) be noted.

(v)   That a one-off £1m Hardship Fund to support residents focussing on working households, with low incomes, who are facing large rent rises, for launch in advance of the 2023/24 financial year (Paragraph 3.28-3.32 of the report) be agreed as recommended by the Executive.

(vi)That the annual budget for the London Councils Grants Committee, following consideration by the London Councils Leaders’ Committee on 13 December 2022, be agreed as recommended by the Executive, and that this will be reported to the Voluntary and Community Sector (VCS) Committee on 20 March 2023 for noting (Paragraph 3.39-3.40 of the report) be noted.

(vii)                    That the 2023/24 savings be agreed as recommended by the Executive, and it be noted that individual savings may be subject to individual consultation before they can be implemented. Further, that the draft savings proposals for 2024/25 and 2025/26 (Paragraphs 3.42-3.46, Table 4, and Appendix B of the report) be noted.

(viii)                  That the funding assumptions following the announcement of the Provisional Local Government Settlement on 19 December 2022 (Paragraphs 3.47-3.74 of the report) be noted.

(ix)It be noted that the fees and charges policy and the General Fund fees and charges for 2023/24 were agreed by Executive on 24 November 2022, and the amendment to the fees and charges schedule in respect of GLL activities and memberships as agreed by Executive on 9 February 2022 (Paragraphs 3.75-3.79 of the report) be noted.

(x)   That the policy on General Fund contingency and reserves be agreed as recommended by the Executive, and the movements to/from earmarked reserves assumed as part of the 2023/24 revenue budget (Paragraphs 3.80-3.90 and Table 7 of the report) be agreed.

(xi)That the Section 151 Officer be delegated responsibility for any technical adjustments required for the 2023/24 budget (in line with the council’s financial regulations) be agreed as recommended by the Executive.

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

(xii)                    That the balanced HRA 2023/24 budget be agreed as recommended by the Executive, and the latest estimates over the 3-year MTFS period (Paragraphs 4.1-4.3, Table 8, and Appendix C1 of the report) be noted.

(xiii)                  That the 2023/24 savings be agreed as recommended by the Executive, and that individual savings may be subject to individual consultation before they can be implemented (Table 9, and Appendix C3 of the report) be noted.

(xiv)                  That the HRA rents and other HRA fees and charges for 2023/24 agreed by the Executive on 12 January 2023 (Paragraphs 4.4-4.39, Tables 10-12, and Appendix C2 of the report) be noted.

(xv)                   It be noted that the HRA 30-year business plan is currently being updated to reflect latest government policy (Paragraph 4.2 of the report).

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

(xvi)                  That the proposed 2023/24 to 2025/26 capital programme be agreed as recommended by the Executive, and the indicative capital programme for 2026/27 to 2032/33 (Paragraphs 5.3-5.6, Table 13, and Appendices D1 to D2 of the report) be noted.

(xvii)                That the estimated funding of the 2023/24 to 2025/26 capital programme be noted, and authority be delegated to the Section 151 Officer, where necessary, to apply capital resources to fund the capital programme in the most cost-effective way for the council (Paragraph 5.10 and Table 14 of the report).

(xviii)               That the estimated borrowing levels for the General Fund and HRA in relation to the 2023/24 to 2025/26 capital programme (Paragraph 5.13 and Tables 15-16 of the report) be agreed.

(xix)                  That the Capital Strategy, Investment Strategy, Minimum Revenue Provision (MRP) Policy Statement and Treasury Management Strategy (Paragraph 5.14 and Appendices E1-E4 of the report) be agreed as recommended by the Executive.

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

(xx)                   That the calculations required for the determination of the 2023/24 council tax requirement, and the level of council tax as detailed in Section 6 and summarised below, be agreed as recommended by the Executive:

1.     The 2023/24 council tax requirement of £113,039,838.03 (Paragraph 6.7 and Table 19 of the report);

2.     The relevant basic amount of Islington Band D council tax of £1,380.52, a 4.99% increase compared to 2022/23 (comprising 2% specifically for expenditure on adult social care and 2.99% for all expenditure), and that this is not ‘excessive’ in accordance with the council tax referendum principles for 2023/24 (Paragraph 6.9 and Table 20 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 £1,380.25 (Paragraph 6.11 and Table 22 of the report);

4.     The amount of 2023/24 council tax (excluding the GLA precept) for each valuation band over each of the council’s areas (Paragraph 6.11 and Table 21 and Table 22 of the report);

5.     The total amount of 2023/24 council tax (including the GLA precept) for each valuation band over each of the council’s areas (Paragraph 6.13 and Table 24 and Table 25 of the report);

(xxi)                  That the council’s estimated retained business rates funding in 2023/24, as per the 2023/24 NNDR1 return estimate (Paragraph 6.15 and Table 26 of the report) be noted.

(xxii)                That the council’s forecast NNDR surplus/(deficit) for 2022/23 (Paragraph 6.16 and Table 27 of the report) be noted.

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

(xxiii)               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 (Paragraphs 7.1-7.7 of the report).

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

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

(xxvi)              That the assessment of compliance against the CIPFA Financial Management Code, and 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 (Paragraphs 7.16-7.17 and Appendix G of the report) be noted.

(xxvii)             That the council invited business rate payers or representatives of business rate payers in Islington to comment on the 2023/24 budget proposals in this report, as required under Section 65 of the Local Government Finance Act 1992 (Paragraphs 7.18-7.20 of the report) be noted.

(xxviii)           That the Annual Pay Policy Statement 2023/24 (Paragraph 7.21 and Appendix H of the report) be agreed as recommended by the Executive.

(xxix)              That the Retail Relief Scheme for 2023/24 (Appendix I and Paragraph 7.22 of the report) be agreed as recommended by the Executive.