Decision

RECOMMENDATION TO FULL COUNCIL ON 27 FEBRUARY 2025
 
RESOLVED that Cabinet submit to
Full Council for approval the following
recommendations:-
 
2025/26 BUDGET RECOMMENDATIONS
 
1.
2025/26 Revenue Budget, Capital Programme and Council
Tax
 
a) that the report of the
Director of Finance (S151 Officer), under Section 25 of the Local
Government Act 2003 at Section 1 be noted, that the 2025/26 budget
proposals be agreed and that the Chief Executive and Senior
Management Team (SMT), in consultation with Cabinet Spokespersons,
implement plans necessary to ensure the Council’s ongoing
financial sustainability in 25/26 and beyond.
 
b) that the revised Medium Term
Financial Strategy (MTFS) and Budget Forecast for 25/26 to 27/28
contained at Section 2 (supported by the suite of background papers
in Sections 2a – 2d) be noted and that these are monitored as
part of the arrangements for the delivery of the MTFS.
 
c) that provision be made of
£34.1M to cover anticipated demographic and other cost
pressures in 25/26:

·      
Pay and Inflation (£8.7M)

·      
Children’s Social Care (Children in Care /
Practice Improvement) (£4.8M)

·      
Adult Social Care (Provider Fees / Practice
Improvement) (£10.2M).

·      
Social Care Demography (£2.7M)

·      
Home to School Transport (£0.9M)

·      
Waste & Fleet Services (£3.7M)

·      
Homelessness & Temporary Accommodation
(£0.6M)

·      
Investment in Core Services (£2.5M)
 
be approved for inclusion in
the budget as identified at Section 2
 
d) that revenue investments be
made in the Great Childhood Ambition (£1.5M) and Community
Enhancement (£1.5M) programmes on a pilot basis with a full
review of the benefits and outcomes being submitted to members in
due course.
 
e) that a contingency of
£0.5M is held for additional pressures over and above those
provided above.
 
f) that one-off reserves of
£5M be invested in a 2-year pilot child travel concessions
scheme.
 
g) that the increase in the
general social care funding (£5.4M) be used to partly offset
the pressures in Children’s and Adult Social Care.
 
h) that the new Recovery Grant
(£7.9M) be used to offset the above pressures noting that
this funding is one-year only pending wider Local Government
Finance reform.
 
i) that funding received for
Children’s Prevention (£1.7M) and Extended Producer
Responsibility (waste packaging) (£5.5M) be used in line with
relevant funding conditions.
 
j) that the proposed Phase 2
Service Review, Asset Management and other savings of £12.6M
in 25/26 highlighted in Section 2 and detailed at Section 4a
– 4e be approved for implementation, noting that Members will
receive further updates on options to deliver savings related to
Early Years Nursery and Schools Catering provision
 
k) that the one-off New Homes
Bonus received as part of the 2024 Local Government Finance
Settlement be earmarked for previously agreed capital
priorities
 
l) that the Council’s
Reserves Strategy and updated reserves position at Section 2b be
approved noting that £5M has been identified as available for
investment, whilst retaining Budget Resilience Reserve of
£18M.
 
m) that a separate £20M
Minimum Working Balance is held as a contingency for unforeseen
events.
 
n) that the proposed changes to
the 25/26 fees and charges policy and accompanying schedule of
charges set out at Section 2d be approved.
 
o) to submit to Council for
approval the cash limited budgets for each Service with overall net
expenditure for 25/26 of £281.7M (after efficiencies at
Section 4) as highlighted in Section 5a.
 
p) to consider the budgets for
all services and approve, for submission into Council, the 25/26
– 27/28 budget proposals presented at Sections 5a – 5c,
subject to Cabinet receiving detailed implementation reports where
appropriate.
 
q) to consider and approve the
changes to the schools funding formula including the transfer of
funding from the schools’ block to the high needs block and
approve the proposed 25/26 schools block budget as set out at
Section 5d.
 
r) note the indicative capital
programme for 25/26 through to 28/29 of £308M with further
detailed reports on individual schemes to be submitted where
necessary (Section 6 refers).
 
s) note that the above includes
£2M provisionally set aside for additional investment in
repairing the Borough’s highways (principal roads / side
streets) and that this will be released subject to receiving
further reports on plans for its use.
 
t) note that the above also
includes £2M provisionally set aside for investment in small
infrastructure projects within individual towns and villages across
the Borough as part of the Community Enhancement programme and that
this will be released subject to receiving a further detailed
report on plans for its use.
 
u) that the Chief Executive and
SMT, in consultation with Cabinet Spokespersons, be required to
submit reports into Cabinet, as a matter of urgency, in relation to
the detailed General Fund Revenue Budget for 25/26 on any further
action required to achieve an appropriately balanced budget in
addition to those proposals set out above.
 
v) that the Chief Executive and
SMT be responsible for managing their respective budgets including
ensuring the implementation of all approved saving
proposals.
 
w) that the Authority's SMT be
charged with ensuring that the budget remains in balance and report
regularly into Cabinet on budget / savings monitoring including any
action required.
 
x) that Cabinet and the
Director of Finance (Section 151 Officer) be authorised to make any
necessary technical adjustments to form the 25/26
budget.
 
y) that appropriate
consultation on the budget proposals takes place with the Trade
Unions and representatives of Non-Domestic Ratepayers and that the
views of consultees be considered by Cabinet and the
Council.
 
z) that the Chief Executive,
Director of Finance and SMT be tasked with undertaking a full
mid-year [2025] budget review, to reflect the outcome of the
Government Spending Review and progress with the Local Government
Funding Reforms, with a view to developing a financial plan that
permanently realigns recurrent income and expenditure over the
longer term.
 
aa) that the budget papers be
submitted for the consideration of the full Council.
 
2. Council Tax
2025/26:
 
2.1 That Cabinet note the
contents of Section 2a (25/26 Council Tax options) and
that:
 
a) the Council Tax Collection
Fund net surplus as at 31st March 2024
relating to BMBC of £1.6M be used to reduce the 25/26 Council
Tax requirement, in line with statute.
 
b) the 25/26 Band D Council Tax
increase for Barnsley MBC services be set at 4.9% (2.9% for Core
Council Services and an additional 2.0% for the Adult Social Care
precept).
 
c) the Band D Council Tax for
Barnsley MBC’s areas be determined following confirmation of
the South Yorkshire Police and South Yorkshire Fire Authority
precepts for 25/26.
 
d) the Band D Council Tax for
areas of the Borough with Parish / Town Councils be determined
following confirmation of individual parish precepts for
25/26.
 
e) that changes be made to the
local council tax support scheme as highlighted in Section 2a,
effectively reducing the maximum discount for the lowest income
households from 92.8% to 90.0% off the relevant bill, increasing
the earnings disregard amounts, reducing the capital limits,
introducing a deduction for non-dependents and introducing a new
protected band for claimants with a disability but no
earnings.
 
f) that a review of the new
scheme be undertaken with an update being provided to Members later
in 2025/26.
 
3.
Treasury Management Strategy & Policy Statement
2025/26
 
3.1 that Cabinet approve the
25/26 Treasury Management Strategy and Policy Statement (included
in the main papers at Section 2c) and specifically:
 
a) approve the 25/26 Treasury
Management Policy Statement (Section 2c Appendix A).
 
b) approve the 25/26 Minimum
Revenue Provision (MRP) Statement (Section 2c Appendix
B).
 
c) approve the 25/26 Borrowing
Strategy at Section 2c including the full suite of Prudential and
Treasury Indicators (Section 2c Appendix C).
 
d) approve the 25/26 Annual
Investment Strategy at Section 2c