Agenda item

Report to follow

Members welcomed the presentation of a balanced budget for 2024/25 and the setting process for setting the budget had begun in summer. Cabinet acknowledged Members and officers’ dedication and the tremendous amount of time and effort to get to the balanced budget position.  Cabinet thanked officers and Members who were involved and contributed to the budget making process.

The meeting was advised that the next stage in the process was to consult with residents on the draft budget proposals, using the annual residents survey. This would run for six weeks through November into early December.  After Having considered the survey results, Cabinet would return in the early part of 2024 with the final budget proposals to recommend to Council for approval.

Cabinet noted that despite what may seem like a lengthy and complicated process, this level of planning was of critical importance. It was how the Council could continue to deliver the services that matter to people, protect and support the most vulnerable residents. Within this draft budget, Cabinet was proposing to increase the net spending on local services by £2.2m. This was a really significant increase. 

The inflationary pressures that the district council continued to face were the same cost increases as everyone else was facing on fuel, transport and pay and this had to be funded. Inflation remained high and the current economic climate made it difficult to predict the future. The Portfolio Holder for Corporate Resources presented a number of proposals to invest in some of the council’s key services, which made a difference to the lives of local people. 

On the General Fund budget, the Portfolio Holder proposed increased spending on priorities such as investment in parks and open spaces and recruitment of more street cleansing staff. This investment had been prioritised for some of the service areas that matter the most to residents. When preparing this budget, Cabinet also made sure to propose spending money wisely and in a way that was clearly aligned with the proposed corporate priorities, as detailed in the report.

Despite the fact that inflation was running at around 6.7%, the Council was only allowed to increase Council Tax by a maximum of 3%.  The proposed 3% increase in Council Tax, at £7.64 per Band D equivalent property, represented an increase of less than 15p a week for each household. Therefore, Cabinet continued to look to optimise local income, in order to improve and provide quality services for local people. This was being done by optimising key income streams and applying inflation linked increases to charges for services which were only used by a limited proportion of residents.

The Council had a substantial capital programme to deliver over the next four years, through ongoing Levelling Up Fund projects for both Margate and Ramsgate and the Margate Town Deal. These funds provided the opportunity for significant investment in the district and the impacts on the budget were set out in the draft capital programmes for 2024-2028.

Cabinet was proposing investing in assets right across the wide range of services that were provided by Council to residents and visitors. This included the following:

• £1.5m allocated for Mill Lane Car Park refurbishment;
• Electrifying the Council’s vehicle fleet and investing in charging infrastructure and
• Putting solar panels on the Council’s leisure centres and decarbonising its property estate to meet its climate change targets.

In summary the Portfolio Holder said that Cabinet was proud to be making further investment in order to provide additional temporary accommodation to meet the needs of homeless people, with a plan to spend £8.4m over the next four years. This approach would help provide more temporary housing within the district for some of the most vulnerable residents. In the long run this would be beneficial to the Council’s finances, as it would reduce the spend on temporary housing accommodation to private companies.

The following Members spoke under Council Procedure Rule 20.1:

Councillor Rattigan;

Councillor Davis;

Councillor Rogers.

Councillor Yates proposed Councillor Albon seconded and Cabinet agreed that:

1.  The proposed budget consultation be approved for publication;

2.  The draft 2024/25 General Fund revenue budget be considered and noted; and

3.  The 2024-28 General Fund capital programme be considered and noted.