Council
Agenda Item 79
Subject:
General Fund Revenue Budget, Capital & Treasury Management
Strategy 2025-26
Date of meeting: 27 February
2025
Report
of:
Director of Governance and Law
Contact Officer:
Name: Anthony Soyinka
Email: anthony.soyinka@brighton-hove.gov.uk
Ward(s) affected: All
For general
release
1.
Action Required
of Council:
1.1
To receive the report from the
Cabinet meeting held on 13 February 2025 and the recommendations
for approval:
Recommendations:
1)
That Council approves the Administration’s
proposed General Fund revenue and capital budget and Council Tax
increase on the Brighton and Hove element of the council tax for
2025/26, comprising:
i)
A general Council Tax increase of
2.99%;
ii)
An Adult Social Care Precept increase of
2.00%;
iii)
The council’s net General Fund budget
requirement for 2025/26 of £264.819m;
iv)
The 2025/26 budget allocations to services as set
out in Appendix 1 incorporating budget savings proposals detailed
at Appendix 2,
v)
The changes to Fees & Charges set out in
Appendix 3;
vi)
The one-off resource allocations as set out in the
table at paragraph 6.5.
vii) A recommended working balance of £9.000m
(approximately 3.4% of the net budget) to be maintained or
replenished over the period of the Medium Term Financial
Strategy.
2)
That Council notes plans to address future
projected budget shortfalls set out in the 4-Year Medium Term
Financial Strategy at Appendix 4.
3)
That Council approves the Capital Strategy for
2025/26 at Appendix 5 comprising:
i)
Funding for investment in transformation and
change, supported by the flexible use of capital receipts as set
out in paragraph 10.12;
ii)
The capital resources and proposed borrowing
included at Annex A of the Capital Strategy;
iii)
The Capital Investment Programme for 2025/26 of
£246.946m included at Appendix 5 incorporating allocations to
strategic funds.
4)
That Council approves the Treasury Management
Strategy Statement as set out in Appendix 6 comprising:
i)
The Annual Investment Strategy;
ii)
The Prudential and Treasury
Indicators;
iii)
The Minimum Revenue Provision policy;
iv)
The
authorised borrowing limit for the year commencing 1 April
2025.
5)
That Council notes and considers the Equalities
Impact Assessments to cover all relevant budget proposals as set
out in Appendix 7.
6)
That Council further notes that approval of the
budget is an indicative resourcing decision to be taken in the
context of the explanation given in the Legal Implications in
Section 19.
7)
That Council notes that supplementary information
needed to set the overall council tax, including a detailed Budget
Book, will be provided for the Budget Council meeting as listed in
paragraph 12.1.
Brighton & Hove City Council
Cabinet
2.00pm 13 February
2025
Council Chamber, Hove Town Hall
MINUTES
|
Present:
Councillor Sankey (Chair) Taylor (Deputy Chair), Allen, Daniel,
Miller, Muten, Pumm, Robins, Rowkins, Williams, Alexander and
Robinson
|
PART ONE
157
<AI1>
157
General Fund Revenue
Budget, Capital & Treasury Management Strategy
2025-26
157.1
Cabinet considered a report that sought approval
to recommend the proposed General Fund Revenue and Capital Budget
2025/26 together with a Medium-Term Financial Strategy (MTFS)
covering the 4-year period 2025/26 to 2028/29 to Full Council for
approval.
157.2
Councillor Allen moved the following motion to amend the
recommendations as shown in bold italics below:
2.9
Following the announcement of the Public Health Grant on 7 February
2025 and the higher than anticipated grant announcement, Full
Council approve use of these additional resources
to:
·
Reduce the proposed
reduction of contribution to the Healthy Child programme from
£100,000 to £50,000 shown on Page 340;
·
Remove the £4,000
proposed saving on YMCA Mental Health Champions (part of proposed
savings of £44,000 on Page 340);
·
Remove the proposed saving
of £35,000 for cessation of the Audio Active CYP service
(part of proposed savings of £44,000 on Page
340);
·
Remove the proposed
£20,000 saving on Mental Health Support
Services on Page 341;
·
Remove the proposed saving
of £45,000 on the Ageing Well service delivered by Impact
initiatives on Page 342;
·
Reinstate the proposed
reduction in contribution of £18,000 to the Academic Library
Service (part of proposed savings of £73,000 on Page
342);
·
Remove the proposed
reduction of £10,000 to the TDC Act on Cancer Project
screening promotion service (part of proposed savings of
£73,000 on Page 342);
·
Remove the proposal to
reduce the contribution to Oral Health promotion by £9,000
(10%) as shown on Page 342, and;
·
Reduce the proposed staffing
saving of £565,000 by £39,000 to £526,000 as
shown on Pages 342/343.
157.3
Councillor Taylor formally seconded the
motion.
157.4
Cabinet considered and approved
the following officer amendment as shown in bold italics
below:
2.1
That Council approves the Administration’s proposed General
Fund revenue and capital budget and Council Tax increase on the
Brighton and Hove element of the council tax for 2025/26,
comprising:
iv)
The 2025/26 budget allocations to services as set out in Appendix 1
incorporating budget savings proposals detailed at Appendix 2;
subject to the amendment
below:
|
Care
pathway for sexual dysfunction (female)
|
Proposed withdrawal of the council’s contribution to
this service.
Delivery Risk: The service is an NHS responsibility
and
will
therefore continue to be provided. The risk is low
and is
not expected to impact significantly.
Proposed withdrawal of funding for this service as
this is not a Public Health responsibility. The most
significant impact will be experienced by women who are unable to
identify or afford a paid-for therapy service.
|
157.5
Councillors Miller, Daniel,
Williams, Robins, Pumm, Muten, Rowkins, Allen and Sankey
contributed to the debate of the report.
157.6
The Chair then put the motion
to the vote that was carried.
157.7
The Chair then put the
recommendations as amended to the vote that were
approved.
157.8
Resolved to
recommend-
That Cabinet recommends to Council the
following:
i)
A general Council Tax increase of
2.99%;
ii)
An Adult Social Care Precept increase of
2.00%;
iii)
The council’s net General Fund budget
requirement for 2025/26 of £264.819m;
iv)
The 2025/26 budget allocations to services as set
out in Appendix 1 incorporating budget savings proposals detailed
at Appendix 2, subject to the amendment below:
|
Care
pathway for sexual dysfunction (female)
|
Proposed
withdrawal of funding for this service as this is not a Public
Health responsibility. The most significant impact will be
experienced by women who are unable to identify or afford a
paid-for therapy service.
|
v)
The changes to Fees & Charges set out in
Appendix 3;
vi)
The one-off resource allocations as set out in the
table at paragraph 6.5.
vii) A recommended working balance of £9.000m
(approximately 3.4% of the net budget) to be maintained or
replenished over the period of the Medium Term Financial
Strategy.
2)
That Council notes plans to address future
projected budget shortfalls set out in the 4-Year Medium Term
Financial Strategy at Appendix 4.
3)
That Council approves the Capital Strategy for
2025/26 at Appendix 5 comprising:
iv)
Funding for investment in transformation and
change, supported by the flexible use of capital receipts as set
out in paragraph 10.12;
v)
The capital resources and proposed borrowing
included at Annex A of the Capital Strategy;
vi)
The Capital Investment Programme for 2025/26 of
£246.946m included at Appendix 5 incorporating allocations to
strategic funds.
4)
That Council approves the Treasury Management
Strategy Statement as set out in Appendix 6 comprising:
v)
The Annual Investment Strategy;
vi)
The Prudential and Treasury
Indicators;
vii) The Minimum Revenue Provision policy;
viii) The authorised
borrowing limit for the year commencing 1 April 2025.
5)
That Council notes and considers the Equalities
Impact Assessments to cover all relevant budget proposals as set
out in Appendix 7.
6)
That Council further notes that approval of the
budget is an indicative resourcing decision to be taken in the
context of the explanation given in the Legal Implications in
Section 19.
7)
That Council notes that supplementary information
needed to set the overall council tax, including a detailed Budget
Book, will be provided for the Budget Council meeting as listed in
paragraph 12.1.
8)
That Cabinet agrees that the council’s S151
Chief Financial Officer be authorised to make any necessary
technical, presentational or consequential amendments to this
report before submission to Budget Council.
9)
Following the
announcement of the Public Health Grant on 7 February 2025 and the
higher than anticipated grant announcement, Full Council approve
use of these additional resources to:
·
Reduce the proposed reduction
of contribution to the Healthy Child programme from £100,000
to £50,000 shown on Page 340;
·
Remove the £4,000
proposed saving on YMCA Mental Health Champions (part of proposed
savings of £44,000 on Page 340);
·
Remove the proposed saving of
£35,000 for cessation of the Audio Active CYP service (part
of proposed savings of £44,000 on Page 340);
·
Remove the proposed
£20,000 saving on Mental Health Support
Services on Page 341;
·
Remove the proposed saving of
£45,000 on the Ageing Well service delivered by Impact
initiatives on Page 342;
·
Remove the proposed reduction
in contribution of £18,000 to the Academic Library Service
(part of proposed savings of £73,000 on Page 342);
·
Remove the proposed reduction
of £10,000 to the TDC Act on Cancer Project screening
promotion service (part of proposed savings of £73,000 on
Page 342);
·
Remove the proposal to reduce
the contribution to Oral Health promotion by £9,000 (10%) as
shown on Page 342, and;
·
Reduce the proposed staffing
saving of £565,000 by £39,000 to £526,000 as
shown on Pages 342/343.