Agenda item

Purpose: to set out the financial planning assumptions for the four years ahead over the period of the Medium Term Financial Strategy (MTFS). This includes the latest assumptions on Government funding, and reform of Local Government Finance, and implications for the savings requirement in future budgets.

The report also includes items that are to be consulted upon over the period 11 November to the 23 December 2024.

Resolved that: Executive is informed of the consultation timescales and the financial planning assumptions contained within the report.

This decision is not subject to call in as:

·      Report is to note only

therefore it will be implemented immediately.

Councillor Iain Cottingham introduced a report (Agenda Item 8), which set out the financial planning assumptions for the four years ahead over the period of the Medium Term Financial Strategy (MTFS). Councillor Cottingham noted that costs continued to exceed the rates at which the Council was able to increase its revenues and that there had been significant increase in Children’s Social Care due to the complexity of demand, and rising costs in Adult Social Care.

It was highlighted that the latest forecast projected a £2m overspend, with reserves remaining static at £4m, but that the Strategy aimed to increase resilience and build the reserves to £9m by the end of the financial year. Councillor Cottingham noted that all was being done to avoid the risk of the Council seeking  exceptional financial support from the Government.

Councillor Cottingham highlighted an error in table 6.4 on page 48 of the Agenda Pack, noting that ‘Proposals delivered through efficiency, transformation and income that did not require consultation’ should have been recorded as £3.7m, and ‘Proposals that require consultation with service users and the public’ £1.2m. 

Councillor Jeff Brooks commented that page 49 of the Agenda Pack detailed the savings measures for which the Executive proposed to consult residents. It was noted that the consultation was a necessary annual process which the Executive took seriously. Councillor Brooks explained that Executive was concerned to avoid Government support as this would lead to Government interference in the decision-making processes of the Council.

In response to a query from Councillor Carolyne Culver, Councillor Brooks confirmed that any extra financial support would need to be repaid, in addition to the wages of the external staff that would be appointed to help manage the finances.

Councillor Culver referred to the proposal to remove Downland Sports Centre from the leisure contract and noted that The Downs School had been contacted only three weeks prior to inform them of the general consultation process. Councillor Culver noted that there were plans to build an additional 200 houses in the area which would potentially lead to an increased demand for the site. It was requested that more details relating to the outreach programme be included prior to consultation. Councillor Culver noted that the impact study had been written in March 2023, yet discussions between the Council and school discussing the refurbishment of the facility had continued after that date, which had confused the school. Councillor Cottingham explained that the date on the template was misleading, and reflected the date that the template had been created rather than completed.

Councillor Brooks commented that it had been the intention of the Executive to discuss the proposal with the school prior to the meeting and that he would investigate why that had not occurred. It was clarified that the sports hall would remain for the school to make use of, and that the decision related to its continued use as a Council Sports Centre. Councillor Culver acknowledged that whilst the building would remain, substantial capital involvement would not progress which the school had intended to use as part of the plans for the site.

Councillor Dominic Boeck supported the Executive’s approach to make savings rather than seek Government support.

Referring to Downland Sports Centre, Councillor Boeck reiterated concerns that communities outside Newbury and Thatcham appeared to have been forgotten. Councillor Brooks responded that the Sports Centre was currently only used by two members of the community. Councillor Boeck expressed his concern for the rural communities in West Berkshire suggesting that they were poorly served. Councillor Culver noted that she had received statistics for 2022/23 which recorded 9,093 visits to the facility, which indicated more than two members.

Councillor Boeck sought clarification on the proposal to invite band G and H properties to donate to a Council led charity. Councillor Cottingham advised that the proposal was to invite people in these bands to donate money to a council led charity, which was based on a similar scheme which generated between three and four hundred thousand pounds for Westminster Council.

Councillor Boeck suggested that Westminster and West Berkshire were very different financially and sought clarification as to whether the scheme would supplement the Council’s budget. Councillor Cottingham advised that it would become a source of revenue if taken up. Councillor Boeck queried why the scheme was restricted to band G and H properties. Councillor Cottingham clarified that it was an initial trial to understand resident appetite.

In response to a query from Councillor Richard Somner it was clarified that blue light services were a statutory consultee on matters such as street lighting.

Councillor Richard Somner queried whether road gritting had been explored as an area of devolution, to allow parishes to contribute toward the gritting of specific roads. Councillor Brooks agreed to review the suggestion. Councillor Stuart Gourley clarified that the proposal to reduce winter gritting was based on the Council’s investment in temperature sensors which used artificial intelligence to measure the temperature of the roads and would provide a benchmark in the future for more tactical gritting.

Councillor Howard Woollaston noted the proposal to discontinue the mobile library and sought assurance that there was a volunteer system working to service those residents that were housebound. Councillor Cottingham confirmed that improving and enhancing the voluntary service was a significant priority for the administration.

RESOLVED that: Executive is informed of the consultation timescales and the financial planning assumptions contained within the report.