Agenda item

Draft Budget 2024/25

The Council must set a balanced budget for 2024/2025. The draft revenue and capital budget proposals are summarised in this report.

Recommendation

That Cabinet recommend to Council:

i. a 2.99% increase in Hart District Council’s Band D Council Tax Charge for 2024/25,

ii. changes to fees and charges for 2024/25 in line with the principles set out in this report, with full details being reported to full Council,

iii. approval of the draft Revenue Budget for 2024/25 as summarised in paragraph 15 and Appendix 1, incorporating the baseline net service cost variations included at paragraph 17 and Appendix 1,

iv. approval of Capital Bids as detailed in Appendix 2,

v. approval of the Medium-Term Financial Strategy as set out in Appendix 3,

vi. noting the emerging pressures and risks set out in the report and the S151 Officer’s intention to undertake a mid-year review of detailed budgets

vii. approval of the continuation of the capital receipt flexibility strategy detailed in the report under the Direction issued by the Government early in 2022

viii. agreeing not to change the Council’s existing Council Tax Support Scheme other than the required statutory uprating

Minutes:

This report summarised the draft revenue and capital budget proposals, for a balanced budget for 2024/25 together with the revised medium term financial strategy for the following three years.

Members heard:

• That a reserves review had been completed during the summer 2023

• The review of the detailed budgets had been completed, and the S151 Officer gave his thanks to those involved in the exercise

• That effective monitoring was in place and quarterly reports were presented to both Overview and Scrutiny and Cabinet

• A mid year medium term strategy forecast had last been brought to Cabinet in the autumn of 2023

• There was a balanced budget for 2024/25 being presented together with a plan on how the Council was aiming to address the projected shortfall in future years

• The Government grant bundle had been increased slightly, although there was no certainty around future increases

• Variations from the current year’s budget were set out in the appendices to the report, including some growth proposals in targeted high priority areas where there was increased demand

• Capital investment across the district had also been set out in the report appendices

Members queried:

• Whether potential lower interest rates in future would have a detrimental effect on future budgets.

• The Heathlands Court project was included in the capital programme being proposed. The S151 Officer confirmed that it was not and that funding would need to be agreed for this project once the options appraisals were received and approved by Cabinet.

• Whether the suggestion of Overview and Scrutiny that additional “health checks” on the budget be undertaken had been actioned. The S151 Officer advised that this suggestion would be taken up from Q1 2024/25, and that a discussion would be held to determine how additional monitoring would be undertaken until then.

Members noted:

• That several fixed-term investments had been secured which paid a higher rate of interest that was locked in for at least 2024/25

• That a funding bid for climate change had been submitted on a matched funding basis, and a decision should be heard soon.

It was agreed to move the recommendations in one block.

Proposed by: Cllr Neighbour; Seconded by: Cllr Bailey

Members debated:

• This was an encouraging budget, particularly as several other local authorities were finding it difficult to produce a balanced budget in the current economic situation.

• The proposals for growth items in some of the high-priority areas such as housing and community safety were very much welcomed

Thanks were given to the Portfolio Holder for Finance, the S151 Officer, and the finance team for all their work on producing a balanced budget for 2024/25.

Decision

Cabinet unanimously recommended to Council: