Purpose

This report deals with the forecast Collection Fund outturn position for 2024/25, the setting of the Council Tax Taxbase for 2024/25 and also presents a forecast for Business Rates income for 2025/26. These items form an integral and important part of the Council’s budget setting process.

Decision

The Cabinet considered the forecast Collection Fund outturn position for 2024/25, the setting of the Council Tax Taxbase for 2025/26, and a forecast for Business Rates income for 2025/26 and agreed:-

(1) That the Cabinet:-

(i)        Declare a provisional forecast outturn Collection Fund surplus of £0.461m in 2024/25 relating to a Council Tax deficit of £0.531m and Business Rates surplus of £0.992m subject to the delegations below;

(ii)       Declare a provisional forecast outturn Collection Fund surplus to be appropriated to the Council’s General Fund in 2025/26 of £0.535m relating to a Council Tax deficit of £0.447m and Business Rates surplus of £0.982m subject to the delegations below;

(iii)       Approve the use of the declared surplus to support the Council’s 2025/26 Budget and MTFP;

(iv)      Note the proposal for the Council Tax Discretionary Hardship Fund as set out in the Council Tax and Business Rates Discounts Annual Review report as per paragraph 3.4;

(v)       Note the 2025/26 Council Tax Taxbase for budget setting purposes of 99,339.6 Band D equivalent dwellings. The Council’s final 2025/26 Council Tax Taxbase will be presented for approval to the Council meeting on 16 January 2025;

(vi)      Note the 2025/26 Business Rates budget forecast subject to the completion of the NNDR1 (Business Rates budget) to be submitted to Government by 31 January 2025; and

(vii)     Note that the indicative Collection Fund resources identified are to be reviewed through the MTFP and 2024/25 budget setting processes following the Provisional Local Government Finance Settlement in December.

(2) That the following decisions be delegated to the Deputy Chief Executive in consultation with the Cabinet Member for Finance & Resources:-

(i)        The decision to change the provisional 2024/25 Collection Fund forecast outturn position prior to declaring the position on 31 January 2025 as required by legislation;

(ii)       The decision to continue in the Greater Manchester Business Rates pooling arrangement; and

(iii)     The decision to vary the Business Rates forecast presented in Table 7 linked to the submission of the NNDR1 (Business Rates budget) to Government.

(NOTE: This decision was originally published on 11 December 2024, however it contained an error in resolution (1)(v) that erroneously referred to a Council Tax Taxbase for budget setting purposes of ‘99,399.6’ rather than ‘99,339.6’.  The decision has been republished to correct this error).

Alternative options considered

None.