Purpose

To recommend to Council the annual
budget.

Decision

RECOMMENDED to Council that
 

1     
The Cabinet notes the statement by the Executive
Director: Resources on the robustness of the budget proposals and
adequacy of reserves in section 11 of this report, as required by
section 25 of the Local Government Act 2003.
 

2     
That the Cabinet recommends to the Council a Net
Revenue Budget of £131.618m and Council Tax level for 2026/27
as set out in Annexe G, to include the proposals detailed in the
following recommendations 3.2.1 to 3.2.7;
 

i.      
The draft budget proposals as set out in the report
presented to the Cabinet’s meeting in December 2025, subject
to the revisions in section 9.3.1b) to 9.3.1m) and those decisions
to be taken elsewhere on this agenda on the capital
programme;
 

ii.    
The additional budget proposals as set out in Annexe
A and Annexe D and in sections 7.2 (Revenue Support Grant), 7.3
(specific grants), 7.4 (business rates), 8.3 (Council Tax and
collection fund) ,9.3 (updated commitments, pressures &
savings) and 10.1 (Schools Budget) of this
report;
 

iii.   
A provision for inflation of £5.091m (section
9.2);
 

iv.   
A general contingency totalling £2.500m
(section 11.20) use of which is to be authorised by the Chief
Executive in consultation with the Executive Director: Resources in
accordance with the delegations included in the Council’s
constitution;
 

v.    
A council tax discount of £50 for working age
and pensioner households receiving council tax support
(£0.156m), funded using the Financial Hardship Reserve, as
set out in paragraph 9.3.1a);
 

vi.   
A 4.99% increase in the Council Tax for the
Council’s services with the Council Tax requirement,
excluding Parish and Town Council precepts, of
£91.458m;
 

vii.  
A Council Tax for the Council’s services for
each Valuation Band as follows:
 
 

Band

Tax Level Relative to Band
D

£

A

6/9

1,187.64

B

7/9

1,385.58

C

8/9

1,583.52

D

9/9

1,781.46

E

11/9

2,177.34

F

13/9

2,573.22

G

15/9

2,969.10

H

18/9

3,562.92

 

3     
That the Cabinet recommends that the Council
approves the following indicators, limits, strategies and policies
included in Annexe E, following their review by the Governance and
Audit Committee at its meeting on 21 January 2026:

i.      
The Prudential Indicators and Limits for 2026/27 to
2028/29 contained within Annexe E(i);
 

ii.    
The Minimum Revenue Provision (MRP) Policy contained
within Annexe E(ii);
 

iii.   
The Treasury Management Strategy Statement, and the
Treasury Prudential Indicators contained in Annexe
E(iii);
 

iv.   
The Authorised Limit Prudential Indicator in Annexe
E(iii);
 

v.    
The Investment Strategy 2026/27 to 2028/29 and
Treasury Management Limits on Activity contained in Annexe
E(iv).
 

vi.   
That the Cabinet recommends that the Council
approves the reserves and balances policy (Annexe F);
 

vii.  
That the Cabinet delegates authority to the Cabinet
Member for Children and Young People to approve the detailed budget
allocations for High Needs pupils and Early Years providers
(section 10.1).
 

viii.Approves the virements relating to the 2025/26 budget as set out
in Annexe H and recommends those that are over £0.100m for
approval by Council.

 
 

Reasons for the decision

The recommendations are designed to enable the
Cabinet to propose a revenue budget and Council Tax level for
approval by Council on 25 February 2026.

Alternative options considered

Background information relating to the options
considered is included in the report.