Agenda item

Councillor Roger Ramsey, Cabinet Member for Value, introduced the report

Cabinet was reminded that it had received reports in August and September which had set out an update on national developments and information on the financial position within Havering.

The report before Cabinet updated Members on the progress of the corporate budget and the proposed financial strategy for the coming financial year.  It showed how the Council was responding to the financial position facing it and recognised the need to develop a new, long term strategy for approval by the Administration after the local elections in May.

The report set out the additional proposals identified for consideration by all the relevant Committees and for consultation with stakeholders.

The provisional Local Government Financial Settlement had now been announced, and relevant details were included in the report, together with a summary of the key elements of the Autumn Budget Statement.

Reasons for the decision:

This enables the Council to develop its budget as set out in the constitution.

Other options considered:

None.  The Constitution requires this as a step towards setting its budget.

Cabinet:

1.            Noted the progress made to date with the development of the Council’s budget for 2014/15 and the Council’s intention to freeze council tax for a further year which would make use of the Government’s Council Tax Freeze Grant.

2.            Noted the outcome of the Autumn Budget Statement and the likely impact on local authorities.

3.            Noted the outcome of the provisional local government financial settlement announcement, and that arising from the settlement, there were reductions in mainstream Government funding for 2014/15 and 2015/16 of around £7m and £9m respectively.

4.            Noted that a response to the consultation process had been submitted by the time Cabinet met and that a meeting with the Minister had taken place.

5.            Delegated approval of the Council’s response to the consultation on the business rates appeals process to the Cabinet Member for Value.

6.            Delegated authority to the Group Director for Children, Adults and Housing to agree inflation rates with social care providers for 2014/15.

7.            Delegated authority to the Cabinet Members for Individuals and Value to approve an annual spend plan for the Public Health grant.

8.            Noted that it was proposed to undertake a one-off investment of £1m during 2014/15 as a result of surplus monies arising from the New Homes Bonus.

9.            Agreed to expand the 2013/14 capital programme by £250,000 to enable the Council to jointly acquire the freehold interest in the former Ardleigh Green Baptist Church as ‘Tenants in Common’ in conjunction with the Trustees of the Ardleigh Green Family Centre.

10.         Agreed to issue this report for consultation to Members, the unions and staff, local residents and other stakeholder groups.

11.         Agreed that a consultative presentation would be made to a joint meeting of the Overview & Scrutiny Committees.

12.         Noted the financial position of the Council in the current year.

13.         Agreed that any future underspends from the Corporate Contingency Fund, from the Transformation budget, and from any service revenue underspends, would be allocated to the Strategic Reserve.

14.         Approved the updated version of the Corporate Plan set out in Appendix F of the report.

15.         Noted the summary of the GLA’s consultation budget and the expected date for the publication of the final proposals.