The Portfolio Holder for Finance and Value for Money introduced a report setting out the proposed budget and required level of Council Tax for 2013/14.  The report detailed changes to the draft budget since the previous Cabinet meeting on 10^th January 2013. 

The Council had continued with the 10-year budget strategy that had been used over the previous two years.  This included a four year savings plan which had resulted in very few new changes being made in this budget cycle.  The proposed net expenditure for 2013/14 was £13.8m with the District’s Council Tax increasing by 1.98% to £185.49 for a Band D property.

The Group Manager – Financial Services reported that since the budget process had started in September, Cabinet and other Committees had received various reports resulting in the budget proposed in this report.  Cabinet’s recommendations would go on to Full Council on 19 February 2013.

The final settlement figures had been received from Government, and were the same as those included in the budget.  The Council had also been informed of some new one-off grant funding, however one of these funding streams had since been removed so Officers did not yet have complete assurance as to any additional amounts that the Council was likely to receive.

The Group Manager – Financial Services also highlighted that following a Member suggestion, Cabinet may wish to amend the first part of recommendation (b) to: “The 10-year budget 2012/13 to 2022/23 which is the guiding framework for the detailed approval of future years’ budgets set out in Appendix A...”  This amendment was agreed.

The Chairman highlighted that raising the tax levied on residents, especially in the current financial climate was never easy, however the rises had to be balanced against the savings that were being made across all services.  The Chairman also highlighted the reduction in the central government funding received by the Council.  Local Authorities were facing a fundamental shift in the way that they were financed and needed to adapt to the changes that were taking place.

Resolved: That Council be recommended to:

(a)   Approve the summary of Council Expenditure and Council Tax set out in appendix C of the report;

(b)   Approve The 10-year budget 2012/13 to 2022/23 which is the guiding framework for the detailed approval of future years’ budgets set out in Appendix A to the report, including the growth and savings proposals set out in Appendix B to the report, and where possible any variations during and between years be met from the Budget Stabilisation Reserve; and

(c)    Approve the changes to reserves set out in Appendix F of the report.