Issue - meetings

Consideration was given to report of the Chief Officer Resources.

The Chief Officer Resources presented the report which provided Members with an update on the positive provisional Local Government Settlement for 2021/22, and its impact upon the Council’s budget.  The report also proposed the detailed revenue budget for 2021/22; and proposed the level of Council Tax increase for the 2021/2022 financial year in line with the Medium Term Financial Strategy assumptions.

The Provisional Settlement contained details of the revenue funding that Welsh Authorities could expect to receive in 2021/22 in order to allow them to set their budgets and determine levels of Council Tax for that year. It also provided details of the Capital funding that Authorities could expect to receive to fund their Capital Programmes. Indicative figures for the 2022/23 financial year and beyond have not been provided at this stage. The written statement from the Minister for Housing and Local Government is attached as Appendix 1.

The Chief Officer Resources said the positive Provisional Settlement, combined with the opportunities identified in the Bridging the Gap programme meant the Council was able to invest in key priorities, avoid cuts to services and enhance its financial resilience.

The Officer pointed out that with the exception of the NHS and for those on the lowest pay, the UK Government’s decision to pause public sector pay increases meant that Welsh Government did not receive additional funding to provide for the wider public sector pay awards. As a consequence, any financial impact arising from pay increases would therefore need to be accommodated within the overall funding settlement.

The Chief Officer then went through the report and highlighted points contained therein.  The headline increase for BGCBC after allowing for transfers was 3.6% (£4.2m), compared to the all Wales increase of 3.8%. The positive settlement combined with the opportunities identified in the Bridging the Gap programme meant that, subject to the recommendations in the report being agreed, the Council was able to agree a budget for 2021/2022.

A Member said he could not support the proposed 4% Council Tax increase, and pointed out that during the period of austerity when the Council was facing £12m cuts and £32m cost pressures, the previous administration managed a 2.6%, 3.6% and 3.4% Council Tax increase.  He said the covid pandemic had had a devastating impact on the community with many residents furloughed, job losses, and the fact that many businesses would never be able to recover.  He said on the basis of such a positive settlement he could not support a 4% increase in Council Tax.

Another Member agreed that a 4% Council Tax increase was unacceptable.  She also stated that during the covid pandemic there had been a significant increase in the demand for animal welfare services, and asked how much it would cost the Council to bring the service back in-house, as the current arrangement was insufficient.

A brief discussion ensued when a Member said this was the only opportunity Members had had  ...  view the full minutes text for item 6