Agenda item

To consider a report by the Chief Accountant (copy to follow) to provide an update of the latest budget position for 2015/2016 – 2016/17

 

The Lead Member for Finance and Assets introduced the Budget 2015/16 – 2016/17 report (previously circulated) to provide Council with an update of the latest budget position and to approve the saving proposals listed in Appendix 1 of the report.

 

The report outlined the latest budget position and presented Phase 1 of a programme of budget savings for approval in order to deliver the revenue budget for 2015/16 and to begin the process for 2016/17.

 

The majority of the council’s funding (around 78%) was from the Welsh Government, via the Revenue Support Grant and redistribution of NNDR.

 

The settlement for 2014/15 had been reduced by 4.6% from the previous year which had been the biggest reduction in the council’s history and the highest reduction in Wales.  The reduction had been above average due to adjustments arising from the results of the 2011 census.  The estimated growth in the local population had been over-estimated over a number of years.  The impact would mean that Denbighshire’s funding would be adversely affected for several years. 

 

Further cuts had been announced.  Therefore, up to and including 2016/17 £18million in savings would be required to be made.

 

A new budget process had been put in place, named Freedoms & Flexibilities, and was a significant change to the council’s approach to budget setting.  The process analysed each service down to individual budget lines to assess what functions each service performed, how much those cost and whether they were statutory or legal requirements and/or corporate priorities.

 

Budget Workshops had been arranged of which four full day workshops had taken place.  A further six workshops had been arranged.  All workshops had been well attended by members.

 

At the workshops, members were asked to consider proposals under the categories of:

 

·       Adopt

·       Develop, and

·       Defer.

 

Appendix 1 to the report highlighted the savings proposed from the first four workshops where there had been support to “adopt”.  Other proposals were to be considered at further workshops. 

 

There had been significant consultation around the budget process and it had been considered by CET, SLT, Cabinet Briefing and Council Briefing meetings.  By the end of the process there would have been at least ten budget workshops held with elected members.

 

The Corporate Governance Committee had an oversight role and had received reports to each of its meetings since April 2014.

 

In addition, consultation over individual proposals would take place with trade unions over the coming months.  As the process developed, it may be necessary to consult publically on certain proposals.

 

Councillor Joan Butterfield stated that the Labour Group would not be prepared to vote through any changes, especially those affecting staff and people in the community.  The reason for the decision had been that whilst they accepted the Budget Workshops had been transparent, there had been no final information to any of the outcomes.  Councillor Butterfield also requested sight of the Equality Impact Assessments regarding the cuts.

 

The Lead Member for Finance and Assets, Councillor Julian Thompson-Hill, responded to Councillor Butterfield confirming that all information had previously been provided.  The Equality Impact Assessments had been emailed to all members although some had been late.

 

The Leader, Councillor Hugh Evans, confirmed that at the conclusion of all the Budget Workshops, Councillor Thompson-Hill asked all present if there were any issues or problems and no-one in attendance had responded.  The details had gone through a rigorous process and discussed in detail.  Therefore, the Leader was confident the report could be put before members for approval.

 

The Chief Executive clarified that a robust assessment process had been put in place to enable members to make the decision of what required protection and what had scope for cuts.  This had been the first phase.  All information had been received by members and the Budget Workshops had enabled intense scrutiny of services and the decisions within the Budget Report papers had been agreed.

 

 

At this juncture (4.30 p.m.) it was agreed for a 5 minute adjournment of the meeting to allow the Labour Group to have a brief discussion on the way forward.

 

Meeting re-convened at 4.35 p.m.

 

 

Councillor Joan Butterfield thanked the Chair for allowing the adjournment.  The Labour Group confirmed their stance on non-agreement to the cuts without further information.  They had agreed to not support the Budget cuts.

 

Councillor Gwyneth Kensler requested to make an amendment.  Due to the fact she had not participated in the Budget Workshop which had taken place on 26 August, she requested that the rights of way saving be deferred for her to make the correct informed decision.

Councillor Arwel Roberts seconded the amendment.

A vote was taken and the proposal was lost.

 

RESOLVED  that members receive the report and approve the savings listed.