Agenda item

To receive a report from the Chief Executive.

Introduction

The Chairman invited Cllr Nick Botterill, Cabinet Member for Finance, Development Management, and Strategic Planning, to present a report seeking approval for additions to the Capital Programme to deliver additional education provision, and to increase the council’s net budget to reflect additional grant funding and an increased share of retained business rates funding.

Cllr Botterill noted that due to prudent and sound financial management the council was not experiencing some of the difficulties of many other local authorities. He explained the investment of further funding for educational provision would lead to better outcomes for children but was also an example of transformational investment to save on revenue costs at a later date. He also provided details of the additional increases to the net budget.

The proposals detailed in the report were then moved, seconded by Cllr Richard Clewer.

Group Leaders and Scrutiny

Comments were then made by Group Leaders as follows:

Cllr Richard Clewer, Leader of the Council, stated that prevention and early intervention was essential in preventing problems from developing and also reduced costs significantly. He said that the council continually reviewed such investment work to ensure they delivered on that aim of prevention and early intervention, and this was reflected in other service areas as well as education.

Cllr Gordon King, Deputy Leader of the Liberal Democrat Group, welcomed and supported the report.

Cllr Ricky Rogers, Leader of the Labour Group, stated he was happy to support the report, and sought details on the additional borrowing proposed.

Cllr Pip Ridout, Chairman of the Financial Planning Task Group, highlighted the interrelation between capital borrowing and revenue, and that the proposals had been considered carefully and regarded as prudent.

Debate

During debate the proposals were supported, with requests for some additional detail on what the new allocation for education provision would be utilised for, requesting a written update from a point raised at Cabinet when the proposal was considered, and highlighting the benefits of small organisations doing early intervention work to which the funding would assist.

In response to comments made in debate Cllr Botterill provided clarity about offsetting the additional borrowing, and explained about the need to fund additional placements for children who needed some time out of mainstream education, with more detail to come as the process developed.

At the conclusion of debate, it was then,

Resolved:

To approve:?

1)    the allocation of a £4.4m budget for Education provision in the North of the County to be funded by a mix of capital receipts, earmarked reserves and £1.7m of new borrowing;?

2)    to move the £0.382m income budget associated with saving from increased retained share of funding from Business Rates for Council Assets from Assets to the Business Rates Retention Scheme in the Funding section; and?

3)    to increase the Government Grants budget in Funding to recognise the additional Market Sustainability Improvement Fund of £2.773m and increase the net budget in Adults by the same amount.

Proposals b) and c) above will increase the Council’s Net Budget to £469.029m

In accordance with the constitution there was a recorded vote. 

Votes for the motion (82) 

Votes against the motion (0) 

Votes in abstention (2) 

Details of the vote are attached as an appendix to the minutes.

A break was then taken from 12:20-13:00