Decision details

Revenue and Capital Budget 2021/23

Decision Maker: Strategy and Resources Committee

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: No

Purpose:

The Council's budget for 2021/22 and Medium Term Financial Plan for 2021/23.

Decisions:

The Chair invited Councillor Sunita Gordon, Lead Member for Resources, and Richard Simpson, Strategic Director of Resources, to present the report. Mr Simpson noted that paragraph 3.1 stated that the council was delivering low carbon heat via the Sutton Decentralised Energy Network (SDEN) as had been forecasted would be the case over the weeks the report had been written in time for the meeting of the committee. He clarified that this was now expected to be the case in the near future.

 

It was noted that, whilst the council’s reserves were within the bottom quartile of London boroughs, the levels were stable and not reducing as might be expected of a council in more significant financial difficulty.

 

The committee discussed the impact of the COVID-19 pandemic on the council’s finances and what measures the council had taken to ameliorate this. The committee also discussed strategic works at the London Cancer Hub site, the provision of COVID-19 discretionary support grants, and the medium term financial position of the council as compared to the 2020-21 financial year.

 

The committee discussed the financial support provided to the council by central government and how any shortfall would be addressed.

 

It was noted that the following councillors abstained from the vote on the recommendations:

 

·         Councillor Tom Drummond

·         Councillor Tim Foster

·         Councillor Neil Garratt

·         Councillor Catherine Gray

·         Councillor James McDermott-Hill

·         Councillor Param Nandha

 

RESOLVED:

 

To recommend the following to Full Council for consideration on 1 March 2021:

 

1.    To note the progress of Ambitious for Sutton and the priorities for 2021/22 in light of the COVID-19 pandemic, set out in section 5.

 

Revenue Budget 2021/22

 

2.    To agree the proposed General Fund Net Budget Requirement of £150.955m summarised at Appendix B.

3.    To approve the Council’s pay policy statement for 2021/22 attached at Appendix C.

4.    To agree the growth items attached at Appendix D.

5.    To agree the 2021/22 savings proposed in Appendix E.

 

Council Tax

 

6.    To agree the Sutton element of the 2021/22 Council Tax £1,492.90 for a Band D property, an increase of £21.43 (1.5%) for the general increase, and £42.85 (3.0%) for the Adult Social Care Precept.

7.    To approve the formal resolution at Appendix K, including the Council Tax Requirement of £108.109m.

8.    To note the proposed GLA precept of £363.66, increased from £332.07 in 2020/21 (an increase of 9.5% or 61p a week), due to be agreed by the London Assembly on 25 February 2021.

 

Housing Revenue Account

 

9.    To note the rent increase of CPI + 1% and agree the Housing Revenue Account (HRA) budget 2021/22 including the proposed savings (Appendices F1 - F2).

 

Other

 

10.To approve the Members’ Allowances Scheme for 2021/22 (Appendix G).

11.To approve the Fees and Charges (Appendix H).

 

Capital Programme

 

12.To approve the new Capital Strategy (Appendix I1) including the detailed Capital Programme (Appendix I2) for 2021/22 to 2024/25 with a total spend of £194.431m, including the proposed funding arrangements and policies.

13.To authorise expenditure to be incurred of £19.482m for the 2021/22 planned works to Council dwellings (Appendix I3) and £0.762m annual allocation for Expenditure on Corporate Operational Buildings (Appendix I4).

 

Reserves

 

14.To agree the policy on reserves as set out in section 22.

 

Treasury Management

 

15.To approve the Treasury Management Strategy 2021/22 including the Annual Investment Strategy, prudential indicators, Minimum Revenue Provision (MRP) policy and borrowing limits as set out in Appendix J.

 

Schools Funding

 

16.To approve the schools funding formula factors in Appendix L.

 

Report author: Miguel Fernandez

Publication date: 16/02/2021

Date of decision: 08/02/2021

Decided at meeting: 08/02/2021 - Strategy and Resources Committee

Accompanying Documents: