The Priorities and Resources Review Panel 2025/26 meeting was scheduled to discuss Torbay Council's budget consultation proposals for 2025/2026, as outlined in a report pack dated 2 December 2024. This included proposals for a 2.75% increase to the base element of the Council Tax and a 2% increase for the Adult Social Care precept.¹ The report pack also included two background documents prepared by the Overview and Scrutiny Board about the Safer Communities Annual Review, Domestic Abuse and Sexual Violence, Drugs and Alcohol, and the Multiple Complex Needs Alliance.

Revenue Budget 2025-2026

The report pack included a Budget Overview, the Chief Finance Officer's report, proposed fees and charges, a reserves statement and a Financial Sustainability Plans Summary.

The Budget Overview for 2025-2026 set out Torbay Council's proposed Revenue Budget for 2025-2026. It was accompanied by a statement from the Leader of the Council, Councillor David Thomas, and the Cabinet Member for Finance, Councillor Alan Tyerman. The statement said:

As councils locally and across the country continue to report their financial difficulties and the need to reduce services, thankfully Torbay Council is in a secure financial position.

The statement said that although the council was in a secure financial position, it was vital that prudent decisions continue to be made .

The Overview contained proposals for new investment, including a continued focus on Operation Town Centres and Operation Brighter Bay. £200,000 was proposed for Operation Town Centres to support the enforcement work against those who engage in antisocial behaviour and environmental crime, and £200,000 was proposed to be provided to Operation Brighter Bay as we work to make our Bay more attractive and safer .

The Overview also said that:

An additional £100,000 is proposed to be made available to increase the number of planning Enforcement Officers. Additional staff will ensure caseloads are more appropriate and the number of open cases can be reduced and maintained at reasonable levels, especially in the light of changes introduced by the Levelling Up and Regeneration Act.

£400,000 was proposed to be added to the 2025-2026 budget to help manage the backlog in repairs and maintenance on the council's assets, on top of a £200,000 increase to the current year's base budget.

Chief Finance Officer's Report

The Chief Finance Officer's Report was prepared by the council's Chief Finance Officer. It summarised the factors influencing the draft budget for 2025/2026, providing detail about each of the service areas and setting out proposals for a number of new reserves to manage financial risks. The report also included a Medium Term Resource Plan projecting the council's financial position forward to 2027/2028.

The report noted the ongoing pressures on the High Needs Block of the Dedicated Schools Grant, reporting a projected cumulative deficit of £14.027m. It set out how this pressure was being addressed through a deficit recovery plan agreed with the Department for Education. It also set out how, following a needs analysis, the council was consulting on proposals to implement a locality model for children and young people with special educational needs and disabilities, saying that it aims to bring services together to support the children and young people of Torbay in their local community, reduce the requirement for an Education, Health and Care Plan (EHCP) to receive support and therefore reduce the delays that families are experiencing in receiving the support that their children need .

The report also noted the pressures on adult social care services, saying that although the council had signed a five year contract to extend the existing integrated arrangement with Torbay and South Devon NHS Foundation Trust, there remains a significant gap between the amount that the Council pays for adult social care and what the Trust spends on the integrated services . It said that we are working closely with Health colleagues on a joint ASC transformation programme (using earmarked reserves), to identify savings and efficiencies, focussing on areas such as reablement, learning disability support and extra care provision .

Financial Sustainability Plans Summary

The Financial Sustainability Plans Summary listed the five Financial Sustainability Plans that the council planned to focus on in 2025/2026:

• Locality Model for Children and Young People
• Children’s Social Care placements
• Home to school transport
• Housing needs
• Legal Services

The Summary also set out plans to develop a new Financial Sustainability Plan to review the Council’s support to, and long-term sustainability of, the cultural assets of Torre Abbey, Cockington Court and Torbay Coast and Countryside Trust .

Safer Communities Annual Review, Domestic Abuse and Sexual Violence and Drugs and Alcohol - Report of the Overview and Scrutiny Board

A report entitled Safer Communities Annual Review, Domestic Abuse and Sexual Violence and Drugs and Alcohol - Report of the Overview and Scrutiny Board, dated 6 November 2024, provided an update on the work of Safer Torbay. It contained information about the partnership's activities on:

• Strategic Assessment
• Prevent
• Modern Slavery
• Serious and Organised Crime
• Domestic Abuse and Sexual Violence
• The Torbay Drug and Alcohol Partnership

Multiple Complex Needs Alliance Review - Report of the Overview and Scrutiny Board

A report entitled Multiple Complex Needs Alliance Review - Report of the Overview and Scrutiny Board, dated 14 November 2024, provided an update on the work of the Multiple Complex Needs Alliance (MCNA). It said that the report highlighted the successes as well as the need for improvements such as a more integrated approach; the importance on focusing on the importance of relationships and the need for service users to work with the same person for continuity of support; cessation of supplementary central Government grant funding; and lack of suitable move on accommodation .

Capital Strategy 2025/26

The Capital Strategy 2025/26 set out the council's plans to fund capital expenditure, reporting that its asset base had a balance sheet value of approximately £625 million, including investment properties with a value of £190 million. Appendix 3 of the document contained a list of capital projects, split into those that were approved and those that were under feasibility and development, or pending the preparation of a business case.

Treasury Management Strategy 2025/26

The Treasury Management Strategy 2025/26 set out the council's plans to manage its cash flow, borrowing and investments. It reported that the council currently holds £359 million of loans. The report said that:

The Council’s capital expenditure plans are a key driver of treasury management activity.

It said that a new approach had been adopted for the 2024/2025 Capital Investment Plan whereby various elements of grant funding are being held within a ‘Project Pending’ list prior to establishing affordable, tangible business cases for each respective project . The report went on to say that it is anticipated that, during the course of the year, these figures will significantly increase as projects work through the gateway process and subsequent approvals granted which will move projects, and funds, from the pending list into the approved Capital Investment Plan .

Fees and Charges 2025/26

The Fees and Charges 2025/26 document listed the fees and charges payable for a wide range of services provided by Torbay Council. It included details about charges for services related to:

• Building Control
• Parking
• Community Safety
• Council Tax and Business Rates
• Culture and Sport
• Customer Services
• Data Protection
• Development Control
• Governance
• Green Spaces
• Harbours
• Highways
• Household Waste and Recycling Centre
• Land Charges
• Legal Services
• Libraries
• Planning Pre-Applications
• Registration
• Resort Services
• Spatial Planning
• Town Diary & Events

Reserves Statement December 2024

The Reserves Statement December 2024 listed the value of reserves held by the council at November 2024. It noted that the General Fund Reserve was to be retained at a relevant level to represent 5% of the Council’s indicative 2025/26 Revenue budget , and the balance of the Comprehensive Spending Review Reserve had been retained at its recommended level of £3m. The Statement reported plans to create three new earmarked reserves:

• £300,000 to account for the estimated costs of concluding the Schools Private Finance Initiative (PFI)
• £300,000 to create an Estates Reserve Fund
• £500,000 to create a Capital Repairs Fund