Agenda item

Budget and Business Planning 2025/26 - 2027/28

Meeting of County Council, Tuesday, 11 February 2025 10.30 am (Item 10/25)

Report by the Executive Director of Resources and Section 151 Officer

This report is the culmination of the Budget and Business Planning process for 2025/26 to 2027/28. It sets out the Cabinet’s proposed budget for 2025/26, medium term financial plan to 2027/28 and capital programme to 2034/35, together with a number of strategies and policies that the Council is required to approve for the 2025/26 financial year.

The Council is RECOMMENDED to:

a. have regard to the statutory report of the Executive Director of Resources and Section 151 Officer (at Section 3) in approving recommendations b to d below;

b. (in respect of the budget and medium term financial strategy – at Section 4) approve:

(1) the council tax and precept calculations for 2025/26 set out in Section 4.3 and in particular:

(i) a precept of £533,328,633;

(ii) a council tax for band D equivalent properties of £1,911.40;

(2) a budget for 2025/26 as set out in Section 4.4;

(3) a medium term financial strategy for 2025/26 to 2027/28 as set out in Section 4.1 (which incorporates changes to the existing medium term financial strategy as set out in Section 4.2);

(4) the Financial Strategy for 2025/26 at Section 4.5;

(5) the Earmarked Reserves and General Balances Policy Statement 2025/26 at Section 4.6 including

(i) the Executive Director of Resources and Section 151 Officer’s recommended level of General Balances for 2025/26 (Section 4.6), and

(ii) the planned level of Earmarked Reserves for 2025/26 to 2027/28 (Section 4.6.1)

c. (in respect of capital – at Section 5) approve:

(1) the Capital & Investment Strategy for 2024/25 to 2034/35 including the Prudential Indicators and Minimum Revenue Provision Methodology Statement as set out in Section 5.1;

(2) a Capital Programme for 2024/25 to 2034/35 as set out in Section 5.4 which includes new capital proposals set out in Section 5.3.

d. (in respect of treasury management – at Section 5) approve:

(1) the Treasury Management Strategy Statement and Annual Investment Strategy for 2025/26 at Section 5.2 including the Treasury Management Prudential Indicators and the Specified Investment and Non-Specified Investment Instruments.

(2) that any further changes required to the 2025/26 strategy be delegated to the Executive Director of Resources and Section 151 Officer in consultation with the Leader of the Council and the Cabinet Member for Finance;

Minutes:

Council had before it the Cabinet’s proposed budget for 2025/26, medium term financial plan to 2027/28 and capital programme to 2034/35, together with a number of strategies and policies that the Council was required to approve for the 2025/26 financial year.

Amendments had been submitted by the Conservative Independent Alliance and by the Labour & Cooperative Group. The Chair decided to hear the debate on the Cabinet proposals first, followed by the debate on the amendments from the Conservative Independent Alliance and finally the debate on the amendments from the Labour & Cooperative Group. The Chair proposed that the meeting then be adjourned for discussions between the groups to formulate proposals that would achieve majority support.

The Cabinet recommendations were proposed by Councillor Liz Leffman, Leader of the Council, and seconded by Councillor Dan Levy, Cabinet Member for Finance. The recommendations were debated.

The amendments in Addenda 1 were proposed by Councillor Eddie Reeves, Leader of the Opposition, and seconded by Councillor David Bartholomew, Shadow Cabinet Member for Finance. The amendments in Addenda 1 were debated.

The amendments in Addenda 2 were proposed by Councillor Liz Brighouse, Leader of the Labour & Cooperative Group, and seconded by Councillor Brad Baines, the group’s spokesperson on Finance. The amendments in Addenda 2 were debated.

The Chair proposed an adjournment at 4.50pm and this was agreed.

The meeting resumed at 6.10pm.

A new proposal, with amendments published in a Supplementary Report, was proposed by Councillor Liz Leffman and seconded by Councillor Dan Levy. The new proposal was debated and put to a vote.

Councillors voting for the proposal (40):

Baines, Bearder, Bennett, Brighouse, Cherry, Coles, Edosomwan, Elphinstone, Enright, Fadlalla, Fawcett, Gant, Gawrysiak, Graham, Gregory, Hanna, Hannaby, Haywood, Hicks, Howson, Johnston, Leffman, Levy, Ley, Lygo, Middleton, van Mierlo, Miller, O’Connor, Phillips, Povolotsky, Pressel, Roberts, Rooke, Rouane, Saul, Smith, Stevens, Sudbury, Thomas.

Councillors voting against the proposal (0)

Councillors abstaining (13):

Ash, Bartholomew, Corkin, Fatemian, Fenton, Ford, Mallon, Reeves, Sibley, Simpson, Snowdon, Waine, Walker.

The proposal as amended was moved by Councillor Leffman, seconded by Councillor Levy and put to a vote.

Councillors voting for the proposal (40):

Councillors voting against the proposal (0)

Councillors abstaining (13):

Ash, Bartholomew, Corkin, Fatemian, Fenton, Ford, Mallon, Reeves, Sibley, Simpson, Snowdon, Waine, Walker.

The Council is RECOMMENDED to:

a. have regard to the statutory report of the Executive Director of Resources and Section 151 Officer set out in Section 3.1 alongside Labour & Co-operative Group Section 3.1 in approving recommendations b to d below;

b. (in respect of the budget and medium term financial strategy – at Section 4) approve the following:

(1) the council tax and precept calculations for 2025/26 [at Section 4.3] and in particular:

(i) a precept of £533,328,633;

(ii) a council tax for band D equivalent properties of £1,911.40;

(2) a budget for 2025/26 [at Supplementary Section 4.4 which incorporates the changes set out in Section 4.2 amended by Labour & Co-operative Group Section 4.2 and further amendments in Supplementary Section 4.2.1];

(3) a medium term financial strategy for 2025/26 to 2027/28 [at Supplementary Section 4.1 [which incorporates changes to the existing medium term financial strategy as set out in Section 4.2 amended by Labour & Co-operative Group Section 4.2 and further amendments in Supplementary Section 4.2.1];

(4) the Financial Strategy for 2025/26 [at Section 4.5];

(5) the Earmarked Reserves and General Balances Policy Statement 2025/26 [at Section 4.6 amended by Labour & Co-operative Group Section 4.6]. This includes:

(i) the Executive Director of Resources and Section 151 Officer’s recommended level of General Balances for 2025/26 [at Section 4.6], and

(ii) the planned level of Earmarked Reserves for 2025/26 to 2027/28 [at Section 4.6.1 amended by Supplementary Section 4.2.1 (see paragraph 6 below)].

c. (in respect of capital – at Section 5) approve:

(1) the Capital & Investment Strategy for 2024/25 to 2034/35 including the Prudential Indicators and Minimum Revenue Provision Methodology Statement [at Supplementary Section 5.1 which incorporates Section 5.3 amended by Labour & Co-operative Group Section 5.3];

(2) a Capital Programme for 2024/25 to 2034/35 [at Supplementary Section 5.4 which includes new capital proposals set out in Section 5.3 and amended by Labour & Co-operative Group Section 5.3].

d. (in respect of treasury management – at Section 5) approve:

(1) the Treasury Management Strategy Statement and Annual Investment Strategy for 2025/26 [at Section 5.2] including the Treasury Management Prudential Indicators and the Specified Investment and Non-Specified Investment Instruments.

(2) that any further changes required to the 2025/26 Treasury Management Strategy be delegated to the Executive Director of Resources and Section 151 Officer in consultation with the Leader of the Council and the Cabinet Member for Finance.

Supporting documents: