Decision Maker: Cabinet, Assembly

Outcome: Approved

Is Key Decision?: Yes

Is Callable In?: No

Date of Decision: February 25, 2025

Purpose:

Content: Cabinet resolved to recommend the Assembly to:   (i)  Agree that the basic amount of Council Tax (Band D equivalent) shall increase by 2.99%, and by a further 2% for the Adult Social Care precept, bringing the total increase to 4.99%;   (ii)  Agree that the Council Tax to be set for 2025/26 shall be £1,607.76 for a Band D property, an annual increase of £76.41;   (iii)  Note that the Council shall levy an additional £490.38 on the Band D amount above on behalf of the Greater London Authority, which represented an increase of 4.03%;   (iv)  Note the amount of 58,146.80 as the Council Tax Base for Barking and Dagenham for 2025/26, an increase of 3,230.26 on the previous year, in accordance with Regulation 3 of the Local Authorities (Calculation of Council Tax Base) Regulations 1992 made under the Local Government Finance Act 1992 (as amended);   (v)  Agree, in setting the Council’s General Fund revenue budget, to set the Council Tax requirement at £93.486m for 2025/26;   (vi)  Agree that, in accordance with provisions of the Levelling Up and Regeneration Act 2023, the 100% premium on long-term (over one year) empty homes be implemented from 1 April 2025 and a 100% premium on second homes be implemented from 1 April 2026, as detailed in section 11 of the report;   (vii)  Consider and have due regard to budget consultation feedback with residents and businesses as set out in Section 21 of the report and note that no changes were recommended as a result;   (viii)  Agree the Statutory Budget Determination for 2025/26 as set out at Appendix D to the report;   (ix)  Approve the proposed General Fund Revenue Budget for 2025/26 as set out in Appendix A to the report;   (x)  Agree the new savings and growth proposals as set out in Appendix B to the report;   (xi)  Approve the latest General Fund Medium Term Financial Strategy 2025/26 to 2027/28 as set out in section 4 and Appendix A to the report;   (xii)  Note that the proposals to maintain a General Fund balance of £12m in line with the Council’s approved Reserves Policy (July 2023);   (xiii)  Note the projected reserve balances at 31 March 2026 as set out in Section 20 of the report;   (xiv)  Approve the Council’s provisional Capital Programme, including Investment and Acquisition Strategy (IAS) schemes, for 2025/26 to 2027/28 as detailed section 18 and Appendix G to the report;   (xv)  Agree to set a Capital Budget for 2025/26 at £168.437m, as detailed in Appendix G to the report;   (xvi)  Approve the Strategy for the Flexible Use of Capital Receipts at Appendix I to the report, in line with the regulatory requirements to facilitate the delivery of efficiency savings including capitalisation of redundancy costs; and   (xvii)  Note the Chief Financial Officer’s Statutory Finance Report (Section 25 Statement) as set out in Appendix H and, in particular, their determination of “the robustness of the estimates made for the purposes of the calculations, and the adequacy of the proposed financial reserves”.   (xviii)  Note the savings proposals which came forward from the Finance Challenge sessions which are not being taken forward, as detailed in Section 21 of the report.