Agenda item

The Executive Member for Financial Sustainability presented the proposed Budget 2022/22 and the Medium Term Financial Strategy 2022-25. He said that the plans were set around an increasing challenging background with less funding from government, limited means to increase revenue and higher costs and less income due to the pandemic. He said that the Council had carried out a comprehensive spending revenue in 2020 which brought forward a significant level of savings. The Council Transformation Programme was underway but it was a medium to long term project and results would be noticed in 2023.

Councillor Williamson said that the Executive endorsed working assumptions in September 2021 including a £5 increase on Council Tax and a review of the Fees and Charges Policy which proposed an average increase of 5% and where a discretionary service was provided, the cost would be paid in full by the service users. He said that the budget gap still needed to be filled and further savings proposals were presented at Appendix B. The Medium Term Financial Plan and the Capital Programme appendices had been updated in relation to the Hertford Theatre funding. He thanked the Audit and Governance Committee for their comments which were included at Appendix H.

Councillor Haysey said difficult decisions had to be made but believed the proposed budget was the best way forward.

Councillor Williamson proposed, and Councillor Buckmaster seconded a motion supporting the recommendations in the report. On being put to the meeting and a vote taken, the motion was declared CARRIED.

RESOLVED – (A) That the comments from Audit and Governance Committee, as shown at Appendix H be considered, and endorse the recommended actions shown;

(B)      To recommend to Council:

                        I.            that the East Herts share of the Council Tax for a Band D property in 2022/23 be set at £184.09, an increase of £5, the maximum permitted within the Council Tax Referendum principles;

                      II.            The Budget 2022/23 and the Medium Term Financial Plan 2022 – 2027 is approved;

                    III.            The savings plans summarised in Appendix B are approved for implementation and that Council require that compensating savings, delivered to the same timescales, have to be put in place and reported to the next Council meeting should the Executive decide that any savings proposals should not proceed, or are reduced by 10% or more

                   IV.            The capital programme set out in Appendix C is approved; and

                     V.            The schedule of charges for 2021/22 set out in Appendix G, with an average increase of 5%, is approved;

(C)  That the results of the consultation on how the public value services that are provided by the council be noted;

(D)  That the Equalities Impact Assessment at Appendix F be noted; and

(E)   That the savings due to be delivered from the Transforming East Herts Programme be noted that a full business case and benefits realisation plan will be presented to Executive in June 2022 be noted.