Agenda item

To consider amendments from any political group or individual Members on the initial draft of the executive proposed budget.

Any amendments that may be received will be circulated as soon as they are available.

A budget proposal was agreed by Cabinet on 31 January 2023 for discussion at Full Council on 21 February 2023. One proposed amendment to that budget was received from Councillor Ricky Rogers, and four were received from Councillors Ian Thorn and Gavin Grant. The amendments were presented as detailed in the agenda supplement. Full comments were detailed in the attached report.

Councillor Rogers introduced his budget amendment, proposing that the rent increase for Wiltshire Council owned social dwelling rents be reduced from 7% to 5%. He suggested that many people living in social housing would struggle to afford the 7% increase, noting representations he had received from tenants. He claimed that due to difficulties in employing skilled tradespeople and contractors to repair and maintain social housing, the council would be unable to spend all the additional revenue that a 7% rent increase would generate this financial year. Councillor Rogers drew attention to reserve levels at other authorities such as Southampton which were at a lower level than Wiltshire, despite a larger housing stock.

Comments from statutory officers including the Section 151 Officer and Monitoring Officer were set out in the agenda supplement.

The Committee discussed the proposed amendment. They sought detail on how the Cabinet had reached their decision to increase rent by 7% following recommendation by the Housing Board, whether housing associations had done the same, the possibility that reducing the rent increase would impede the council’s capacity to adequately maintain social dwellings and noted that residents of other housing associations would be paying for a larger increase than those under the council’s social housing under the proposal. The Committee also discussed whether those in social housing were more in need of financial support than prospective first-time buyers or those in private rented accommodation.

The Chairman thanked Councillor Rogers for his proposal before moving on to the four amendments proposed by Councillors Ian Thorn and Gavin Grant.

Councillors Thorn and Grant introduced the first of their proposed amendments, which sought to remove the income budget introduced in 2022/23 as a result of the saving included in the budget to introduce parking charges for charge Blue Badge holders, which would amount to £0.040m. The consequent £0.040m loss of funding in 2023/24 and 2024/25 would be met by reducing the £1m Wiltshire Towns Funding budget by £0.040m to allow for a budget surplus to fund this pressure. In 2025/26, it was proposed to meet this loss of funding by an increase in the assumption in growth in the council tax base from 1.2% to 1.25%, which results in an additional £0.169m of basic council tax. Councillor Grant noted that it was difficult to accurately quantify the fiscal impact of the proposal, as no data existed for how many blue badge holders currently pay for car parking, but that the estimates had been provided in discussion with officers.

Comments from statutory officers including the Section 151 Officer and Monitoring Officer were set out in the agenda supplement.

The Committee discussed the proposed amendment. This included querying how confident the council could be in relying on a 1.25% Band D council tax base increase, and what the implications would be should the base not increase to that level. The Committee discussed the effect the proposal would have on projects to support high streets, which was the purpose of the Towns funding. Some comments questioned whether the affordability of car parking was a problem for all blue badge holders, or whether the practicality of reaching and operating the car parking meters, and the updating of those machines, was of larger consequence. The Committee also enquired if the option of replacing or altering the parking meters themselves had been explored, and the costs it would carry.

The meeting was then adjourned from 12:25pm - 12:35pm.

Councillors Thorn and Grant then introduced their second proposed amendment. The proposals sought to include an additional £0.350m for discretionary Council Tax Reliefs to support households in receipt of Council Tax Relief (CTR) support where there is a balance of Council Tax to be paid to apply an additional £25 discretionary relief for 2023/24 only. They also sought to include an additional £0.300m revenue budget for funding additional Council Tax relief to support households with most pressed individuals and families hit by the cost-of-living crisis. The impact of the funding of the proposal has the effect of reducing the contribution to the Collection Fund Volatility Reserve by £0.650m in 2023/24, the balance of which will then be forecast to be £10.169m at the end of 2023/24 financial year. This reduces the reserves available to cover the General Fund risks to 134% at the end of 2023/24.

Comments from the statutory officers including the Section 151 Officer and Monitoring Officer were set out in the agenda supplement.

The Committee discussed the proposed amendment. The Committee sought details on how many households and individuals were receiving additional support, and how many had recently defaulted on their council tax payments. In response to queries, Councillor Grant confirmed that this the proposal was only for the next financial year as a recognition of current financial pressures.

Councillors Thorn and Grant then introduced their third proposed amendment. This proposal sought to remove the saving included in the 2023/24 budget to implement a rental charge to Citizens Advice Wiltshire for their space in Bourne Hill of £0.018m. The funding pressure of the proposal on the years 2024/25 and 2025/26 is costed by the 0.05% increase in the assumption in growth in the council tax base. Councillor Granted highlighted the important role the Citizens Advice Bureau (CAB) play in Wiltshire and noted the significant financial pressure the organisation is currently experiencing.

Comments from statutory officers including the Section 151 Officer and Monitoring Officer were set out in the agenda supplement.

The Committee discussed the proposed amendment. They questioned if the proposal would affect other organisations that rent spaces owned by the council, sought clarification surrounding the council’s current third-party policy on leasing property. Mr Andy Brown, Section 151 Officer, confirmed the proposed charge to the CAB was in line with a market rate as would be sought from others renting space from the council.

Councillors Thorn and Grant then introduced their final proposed amendment, which sought to remove the saving included in the 2023/24 budget to cease the grant funding for both the Lunch Clubs of £0.060m and Friendship Clubs of £0.046m and to allocate this money to Area Boards to provide the support to Lunch and Friendship clubs in their areas. This would result in a loss of funding of £0.106m in 2023/24, with the shortfall to be met using the Collection Fund Surplus, the balance of which will then be forecast to be £10.713m at the end of the 2023/24 financial year. This would reduce the reserves available to cover the General Fund risks to 135% at the end of 2023/24. For future years, the funding proposal of pressure would be covered by the increase in the assumption in growth in the council tax base from 1.2% to 1.25%.

Councillor Grant asserted that many luncheon and friendship clubs were unable to claim funding using the contracted system as most of their members did not qualify under the new criteria introduced, which was designed to address the previous unequal distribution of funding across the county.

Comments from statutory officers including the Section 151 Officer and Monitoring Officer were set out in the agenda supplement.

The Committee discussed the proposed amendment, seeking details of how Area Boards might distribute the funding were the amendment approved, particularly where no such clubs exist but a health and wellbeing need does. Queries were raised about how Area Boards allocated their funding, which was a matter which would be overseen by the relevant Cabinet Member. In response to queries, Councillor Grant stated that while luncheon and friendship clubs may be the primary beneficiary of this proposed amendment, the intention was to ensure that further resources would be made available to area boards such that the clubs and others meeting similar needs would be eligible.

At the conclusion of discussion, it was,

Resolved:

1)    To thank Councillors Rogers, Grant and Thorn for submitting their budget proposals to the Committee and to note that they have been scrutinised.

2)    To ask Full Council to take note of the comments of the Committee, which will be presented in a report.

Councillor Tony Jackson left the meeting at 12:25pm.