This week in Kent:

• The Scrutiny Committee was scheduled to discuss a call-in request regarding the cessation of council tax collection subsidies and incentives.
• The Planning Applications Committee meeting was cancelled.

Scrutiny Committee - Thursday 10 April 2025

The Scrutiny Committee was scheduled to meet to discuss a call-in request regarding a decision to cease council tax collection subsidies and incentives to billing authorities¹. Councillor Andy Booth, Chairman of the Scrutiny Committee, and the other committee members were to consider the reasons for the call-in, the documentation, and the response from the executive. The committee could choose to make no comments, express comments without requiring reconsideration, postpone implementation pending reconsideration, or postpone implementation pending review by the full council.

Call-in of Council Tax Collection Subsidies and Incentives Decision

The main item for discussion was a call-in of decision 25/00004 regarding Council Tax Collection Subsidies and Incentives. The call-in was requested by Councillor Rich Lehmann, Green and Independent Group Councillor, and Councillor Alister Brady from the Labour Group. The reason for the call-in was that:

The decision was not taken in accordance with the principles of decision-making set out in 8.5(d) a presumption in favour of openness.

The councillors who requested the call-in stated that during a Policy and Resources Cabinet Committee meeting, the Cabinet Member for Finance, Corporate and Traded Services had asserted that the decision had already been made by the full council and that bringing it to the committee was a formality. They also raised concerns that the committee was not given enough information regarding the potential impact of the decision, specifically the level of risk (£30m) included in budget papers.

The desired outcome of the call-in was for the Scrutiny Committee to recommend postponing the decision's implementation pending review by the full council.

The original decision, taken by Peter Oakford, Deputy Leader and Cabinet Member for Finance, Corporate and Traded Services, was to:

• Cease financial support and incentive payments to Billing Authorities for administering local Council Tax Reduction Schemes (CTRS) from 1 April 2025.
• Cease incentive payments to support the removal of discretionary empty property discounts and the charging of empty property premiums from 1 April 2025.
• Delegate authority to the Interim Corporate Director Finance to formally notify the Billing Authorities of these changes and implement the decisions.

The rationale behind the decision was to find £19.8m in savings to replace one-off solutions used to balance the 2024-25 budget, aligning with Objective 3 of Securing Kent’s Future. It was argued that these subsidies and incentives were discretionary and that ceasing them would not alter the statutory obligations of individuals to pay council tax or of Billing Authorities to collect it.

The report pack noted potential financial implications, stating that a 1% reduction in collection rates across all 12 Billing Authorities could result in a £9.5m to £9.8m reduction in the council’s share of council tax. However, it also stated that the council would manage fluctuations in collection through a smoothing reserve.

The report pack also included an Equalities Impact Assessment, which stated that no equalities implications were identified, as the decision was not believed to directly impact on individuals with protected characteristics.

Committee Membership

Councillor Rich Lehmann was scheduled to replace Jenni Hawkins on the committee.

This week, Kent County Council held seven meetings. The Planning Applications Committee met on Monday 15 July 2024, followed by the Kent Flood Risk and Water Management Committee on Tuesday 16 July 2024. Also on Tuesday 16 July, an unnamed committee met, but no meeting data is available. The Health Overview and Scrutiny Committee and the Regulation Committee Appeal Panel (Transport) met on Wednesday 17 July 2024. Finally, on Thursday 18 July 2024, the County Council and the Adult Social Care Cabinet Committee met.

We were unable to obtain transcripts for any of these meetings.

As always, we encourage our readers to engage with their local councillors and stay informed about the decisions being made that affect their communities.

Kent County Council held two meetings in the last week. The Regulation Committee Appeal Panel (Transport) met on Friday 28 June 2024 and the Pension Fund Committee met on Thursday 27 June 2024. The Kent Flood Risk and Water Management Committee meeting scheduled for Wednesday 26 June 2024 was postponed.

Regulation Committee Appeal Panel (Transport)

The Regulation Committee Appeal Panel (Transport) considered an appeal against a decision to refuse a Hackney Carriage Driver's Licence. The panel overturned the original decision and granted the licence.

Applications for Hackney Carriage Driver's Licences are made under the Local Government (Miscellaneous Provisions) Act 1976. ¹ The applicant, a Mr Singh, had his application refused due to concerns about an incident in 2016 where he was convicted of causing death by careless driving.

Whilst the Committee acknowledge that Mr Singh was convicted of causing death by careless driving in 2016, they also note that he has not had any other motoring convictions before or since this incident.

The panel heard that Mr Singh had demonstrated remorse for the incident and had completed a driver retraining course. They also considered character references provided by Mr Singh, including one from a driving instructor and one from a serving police officer.

The Committee were particularly persuaded by Mr Singh’s contrition and the clear remorse he demonstrated throughout the hearing.

The Committee also considered the character references from [REDACTED] and [REDACTED].

The panel decided to grant Mr Singh a licence.

Pension Fund Committee

The Pension Fund Committee met to discuss a range of issues relating to the Kent Pension Fund. The committee received a report on the administration of the fund, and heard an update on the work of the Pension Board. They also discussed the recruitment of new staff and the impact of the new MyPensionOnline system.

Pensions Administration

Emma Green, Senior Pensions Programme Manager, told the committee that the volume of cases being handled by the team remained high but that average performance had increased from 79% to 85%. The meeting heard that the overseas proof of life verification project had been completed. This project required the pensions team to contact around 900 members of the pension scheme who live overseas. Nick Buckland, Head of Pensions and Treasury, explained that around 60 people had not responded to the attempt to contact them, and that those people's pensions had been suspended:

So what that means is that the ones that haven't responded to us have been suspended. We have sent emails to them, we've sent letters to them and we've also put a little note on their payslip in April. The number we have suspended is around 60 and that means that they won't get their payments currently but when we do hear from them they'll get what they wrote and previous.

Pension Board Update

The committee received an update on the work of the Pension Board from Robert Thomas, Chair of the Pension Board.

Mr Thomas explained that the board had discussed a benchmarking assessment of the Fund's administration that had been carried out by CEM. CEM found that the Fund provided good value for money, but identified some areas for improvement. The Board will receive a further assessment from CEM later in the year.

Responsible Investment Update

The meeting was told that officers were working to update the Responsible Investment policy to reflect the values identified by members in a workshop held in February 2024. Those values are: climate and nature, clean energy, affordable housing and responsible consumption. Readers may recall that this workshop was discussed in a previous email.

The Responsible Investment policy has been a long-running area of interest for the Pension Fund Committee, who are ultimately responsible for ensuring that the fund's investments are made in a way that is consistent with the best interests of the scheme's members and employers.

In previous years, the committee has faced criticism from some quarters for its investments in companies that are seen as being harmful to the environment. In 2022, for example, the committee was criticised for its investments in fossil fuel companies. The committee has also been criticised for its lack of investment in renewable energy.

In recent years, the committee has taken steps to address these concerns. In 2023, the committee adopted a new responsible investment policy that commits the fund to investing in a way that is consistent with the Paris Agreement on climate change. The committee has also increased its investments in renewable energy.

The meeting heard that an unnamed investment manager had failed to report their voting decisions between August 2023 and January 2024. The manager told officers that it had been an 'operational failure' and that measures had been put in place to prevent it from happening again. This is not the first time that the committee has received a report of this nature. In 2022, the committee was told that another investment manager had failed to report their voting decisions for a period of six months. The committee will be keen to ensure that this does not happen again.

This past week, Kent Council held several meetings, with significant discussions and decisions that could impact the council's financial stability and service delivery. Here’s a detailed look at what transpired:

1. Cabinet (Thursday 20 June 2024): The Cabinet meeting was a critical session, focusing on the council's financial performance for the 2023-24 fiscal year. Here are the key takeaways:

• Revenue and Capital Budget Monitoring Report: The council reported a revenue overspend of £12.4 million, which includes roll-forward requests of £2.8 million. This overspend is after accounting for a £12 million contingency in the budget. Significant overspends were noted in adult social care (£32.6 million) and children's services (£26.6 million). The council plans to fund the overspend from the budget stabilization reserve, which will weaken financial resilience if further overspends are not mitigated.

• Capital Program: The total capital program for the year was £216.4 million, representing 52.9% of the approved budget. This resulted in a £192.7 million underspend, split into a real variance of £5.5 million and £198 million of rephrasing. The council recommended rolling forward the rephrasing into future years.

• Financial Resilience: The discussion emphasized the need to ensure financial sustainability by delivering savings programs, particularly in adult social care and children's services. The council acknowledged the pressures in these areas and the importance of breaking the growth rate to avoid further financial strain.

• Special Educational Needs (SEN): The financial position of children's services, especially in education, highlighted the importance of ongoing reforms in the SEN arena. The council is working with the Department for Education and NHS England to bring spending back into balance and target resources effectively.

• Recommendations: The Cabinet agreed to several recommendations, including rolling forward funds, drawing down from reserves, and reviewing the capital program. These decisions aim to address the financial challenges and ensure the council's long-term sustainability.

The meeting underscored the significant financial pressures facing the council and the need for strategic planning and effective management to navigate these challenges.

1. Health Overview and Scrutiny Committee (Tuesday 18 June 2024): This meeting was postponed, and no further details are available.

2. Regulation Committee Appeal Panel (Transport) (Wednesday 19 June 2024): We have not been able to find a video broadcast of this meeting, and no further details are available.

This week’s meetings have focused primarily on the council's financial performance and the challenges in managing overspends in critical service areas. The decisions made during the Cabinet meeting will have significant implications for the community, particularly in terms of financial sustainability and service delivery. As these themes continue to develop, their impact on Kent’s residents remains a critical area of focus.