Content

Salford City Council - Record of Decision (Cabinet)
 
I
Paul Dennett, City Mayor, in exercise of the powers contained
within the City Council Constitution do hereby confirm, that along with Cabinet, I have
considered the report relating to Capital Strategy and Programme
2025/26 to 2027/28 and now refer the report to Council on the 26th
February for approval.
I
recommend that Council:

Approves a capital programme of up to £99.818m for 2025/26
and the proposed sources of funding as set out in this report and
at appendix 1.
Notes
all capital proposals be referred to the Procurement Board for
approval as required by the constitution and new capital approval
process, supported by business case and detailed funding
arrangements, prior to final budget being allocated and contractual
commitments being made.
Notes
capital programme schemes for 2026/27 and 2027/28 have
provisionally been identified by services. However, budget
allocations to schemes will be subject to approval following full
business case submission as set out in the new capital approval
process and within affordability limits for the overall
programme.

The Reasons are:
Under
the constitution, the full Council is responsible for approving the
budget and the capital programme and this is expected to take place
on 26th February 2025. The City Mayor is responsible for proposing
a budget and capital programme to the Council.
Options considered and rejected were:
Not
applicable to this report
Assessment of Risk:
The
council’s capital programme is important in generating growth
in the city. Elements funded by unsupported borrowing have a
financial consequence on the revenue budget.
The source of funding is:
As identified in the report,
that general unsupported borrowing of £27.396m will be used
in support and the capital financing charges on that unsupported
borrowing can be met from the revenue budget. An additional
£47.550m of invest to save schemes capital financing charges
will be met from adjusting the sponsoring service revenue
budget.
Legal Advice obtained:
Catherine Parkinson – Interim City Solicitor (&
Monitoring Officer)
The
Local Government Finance Act 1992 sets out what the Council has to
base its budget calculations on and requires the Council to set a
balanced budget for the following year by 11 March. Section 25 of
the Local Government Act 2003 requires the Council to have regard
to the advice of the Chief Finance Officer (S151 officer) as to the
robustness of the estimates made for the purposes of the
calculations and the adequacy of the proposed financial
reserves.
Although the calculation of the council tax requirement and the
formulation of plans and strategies for control of the
Council’s borrowing, investments, capital expenditure and for
determining the Council’s minimum reserve position are
executive functions, the approval of such plans and strategies is a
function reserved to full Council.
The
process to be followed to set the budget is therefore that the City
Mayor and Cabinet recommend a draft budget to Council for approval.
If the majority of Council does not approve the budget it will be
referred back to the City Mayor. The City Mayor will consider the
comments of Council and then present a further draft budget to
Council, which can only be rejected by a two thirds majority of
Council.
The
financial position must be closely monitored, and members must
satisfy themselves that sufficient mechanisms are in place to
ensure the delivery of savings as well as to ensure that any new
expenditure is contained within the available resources.
In
approving the budget, members must also have regard to the Public
Sector Equality Duty in making their decision. Further information
in respect of this duty is set out earlier in this report. As
Monitoring Officer I have been consulted in the preparation of this
report and am satisfied that
Financial Advice obtained:
This
report has been prepared by the council’s finance team in
consultation with executive directors and heads of service and
contains full financial implications around the budget.
 Procurement Advice obtained:
The
procurement team will continue to work collaboratively with
stakeholders, service areas, suppliers and partner organisations to
deliver value for money, service/budget efficiencies and improved
outcomes, ensuring that procurement activity relating to capital
expenditure, delivers both technical requirements and aligns to the
capital programme
HR Advice obtained:
There
are no workforce implications immediately arising from this
report.
Climate Change Advice obtained:
The
Revenue Budget and Capital programme are key to developing
infrastructure that can be an engine for economic growth whilst
helping the city achieve carbon reduction targets and helping the
city adapt to the challenges of climate change. Investment
continues in developing a pipeline of proposals to bring forward a
reduction in the city’s carbon emissions. A key project for
the coming year will be the installation of roof mounted solar
panels as part of the Go Neutral Programme and the exploration of a
pipeline of solar car port projects. The Zero-carbon
pre-implementation budget will help in the development of future
projects ranging from developing fleet infrastructure to further
developing the pipeline for renewable energy generation projects.
In addition, funding mechanisms for future retrofit of homes and
public buildings are being explored.
The following documents have been used to assist the decision
process:
Local
government finance settlement. Working papers held in the finance
division.
Contact officers:
Rachel
Rosewell: Telephone 0161607 8643 email:
rachel.rosewell@salford.gov.uk
Paul
Hutchings: Telephone 0161 793 2574 email:
paul.hutchings@salford.gov.uk
Tony
Thompstone: Telephone 0161 793 2016
email:tony.thompstone@salford.gov.uk
David
Mills (HRA):  Telephone: 0161 793 2858
e-mail: david.mills@salford.gov.uk
 
The
decision is not subject to call-in, in accordance with the
Decision-Making Procedure Rules.
 

Signed:            Paul
Dennett                   
Dated:     17.02.25                    
     .
                       
City Mayor
 

For Democratic
Services use only

 

This decision was
published on  17.02.25                                           

This decision will
come into force with immediate effect.