Agenda item

To consider the attached reports

The Chair referred to the agenda report on the initial financial plan proposals 2024/25 to 2026/27 considered by the Executive on 4 January 2024.

The Deputy Leader and Executive Member for corporate resources presented the proposals including draft revenue and capital budgets for the three years 2024/25 to 2026/27. The budget was balanced using earmarked reserves. The main issues considered were:

·      The level of council tax and the proposal to increase it by £5.70 (2.99%).

•   Reducing central funding and the need to make ongoing efficiencies using   invest to save where possible.

•   Maintaining 100% council tax support.

•   The ongoing impact of post pandemic activity and economic conditions on income streams and changing Government funding.

•   Continuing to react to the climate change emergency by maintaining ongoing budgets for a climate change officer and associated spending, temporary staffing resources in revenue and provision in the capital programme, including ongoing provisions for corporate decarbonisation schemes as per report paragraph 5.5.

•   A £2 million provision for employment sites funded by borrowing.

•   Continuing funding for a Scrutiny Officer to assist Members with the Scrutiny function and working groups and other temporary resources for facilitating the Modern 25 work.

•   Authority for Executive to exceed the approved overall revenue budget by up to £200,000 per report paragraph 4.25.

•   Introduction of a blue badge car parking permit at £215 per annum as detailed in 4.3 including the appointment of a Technical Support Officer to administer the scheme.

•   Support for housing including the Teignbridge 100 (see 5.3) whilst backing business and bringing people and organisations together for local neighbourhood planning.

•   Infrastructure delivery plan investment funded by community infrastructure levy (CIL) and external sources where available (report paragraph 5.4); continuation of grant-funded South West Regional Coastal Monitoring Programme as per report paragraph 5.6.

•   Town centre investment in infrastructure and employment as per report paragraph 5.7

•   Revenue contributions to capital being maintained at £500,000 per annum

•   Councillors community fund set at £1,000 each

•   Paying £1,000,000 off our pension deficit liability to reduce on going contributions and reduce the budget gap year on year

•   The level of reserves necessary for the council as per report paragraph 4.22 – recommended at £2.4 million.

•   Estimated revenue budget gap of £4.5 million in 2026/27 and ongoing gaps (before use of remaining earmarked reserves) and action required to address this from established working groups informing Overview & Scrutiny on work to reduce the gap (report paragraph 4.26).

In response to a question, the Chief Finance Officer advised that how much S106 funds had been received by developers and how much had been returned over the last 3 years would be fed back once confirmed. He did not have the details at the meeting.

RECOMMENDED    The Committee recommends that Council resolves to approve the council tax base of 50,939 for 2024/25 as set out in appendix 2 at agenda page 51.