Agenda item

The Board considered a report of the Operational Director – Financial Services, which outlined a recommendation to Council in respect of the Budget, Capital Programme and Council Tax for 2009/10.

It was noted that, at the time of writing the report, the Cheshire Police and Fire Authorities had not set their budgets and Council Tax precepts.  However the Board were informed that the Fire Authority had now confirmed that its precept was 2.9% and it was advised that the Police Authority was to meet on 24^th February to make a decision on its precepts.

The Board was advised that the Medium Term Financial Strategy, approved on 20^th November 2008, had identified a funding gap of around £6m in each of the next three years. The Strategy had the following objectives:

·               to prioritise investments in the five priority areas;

·               to avoid excessive Council Tax rises;

·               to deliver a balanced and sustainable budget; and

·               to achieve significant cashable efficiency savings to enable this to happen.

As part of the Budget Strategy each Directorate had managed its budget to generate underspend of £500,000 each. This had generated £2m to be transferred to the Invest to Save Fund.  The Board noted that it was anticipated that balances at 31^st March 2009 would be around £6.6m broadly as planned when the budget had been set the previous year.

In order to close the £6 m funding gap a number of proposed savings had been identified.  A list of the proposed savings was outlined in Appendix C to the report. The Policy and Performance Boards had been consulted on these proposals, and comments made in relation to the following items were noted:

• relocating Murdishaw and Woodlands Play Centre Services;
• Transport Services for Children’s Services – it was noted that this saving was a reflection of the lower demand for the service;
• reorganise litter picking in Neighbourhood areas – it was reported that the current standard would be maintained by deploying staff in a more flexible way;
• revised arrangements for pest control;
• street lighting pilot – the proposal related to turning off lights on the Daresbury Expressway, A56 and Watkinson Way. However, an alternative for making equivalent savings within the Highways Department had been found from Street Lighting Efficiencies and following consideration of the feedback received this proposal was withdrawn; and
• delete attendants’ posts at Widnes Town Centre toilets – it was noted that the toilets would still be cleaned but would no longer be staffed, and the situation would be monitored.

In relation to the item headed “Cease Trade Waste” it was noted that, although the Council was to cease providing this service directly, trade waste would continue to be collected by the private sector.

In addition, the Board noted that the Area Forums had been provided with the opportunity to feed into the consultation process and a list of comments made at the recent Area Forum meetings was provided for Members’ consideration.

The Departmental analysis of the budget was shown in Appendix D to the report and the major reasons for change from the current budget were outlined for Members’ information. It was noted that, after taking account of the windfall gain arising from the commutation adjustment in 2004/05 (the last year the Council could do this), the budget requirement was £105.117m.

Further information was provided in respect of the Local Government Finance Settlement, Halton’s Council Tax, Parish Precepts, the Capital Programme, the Prudential Code and school budgets. In relation to the Council Tax, it was expected that Halton’s total Council Tax would continue to be amongst the lowest in the North West, with residents in Band D experiencing a weekly rise of 71p per week and residents in Band A, ie half the properties in the Borough, experiencing a weekly rise of 47p.

RESOLVED: That the Council be recommended to adopt the resolution set out in Appendix A of the report, which includes setting the budget at £105.467m and the Band D Council Tax for Halton (before Parish, Police and Fire Precepts) of £1,116.69.