Meeting documents

The main points from the report were presented to the meeting.  It was noted that the recent announcement regarding the creation of a new Unitary District Council did not affect the statutory requirement for a prudent and legal budget to be set for 2019/20 as normal.   This would be the last Chiltern District Council budget.  The Government announcement regarding local authority funding in December was largely as expected and the negative RSG (Revenue Support Grant) had been cancelled.  Chiltern was taking part in a pilot project with all the authorities in Buckinghamshire which would enable 75% of business rates to be retained for 2019/20.

The table in 4.13 showed that there was no use of reserves required for this budget.  It was noted the Chiltern Crematorium had decided to distribute in 2019/20 some of its accumulated surplus and Chiltern’s share was £197,000.

The Members questioned the need for a 3% increase in the Council Tax, the maximum allowable by the Government.   It was agreed that this had been the policy in recent years to ensure that going forward Chiltern was in a sound financial position and this had been the correct approach. This prudent policy was argued to be less relevant now with the advent of the unitary Council, and that the forecast for Chiltern if it had continued was healthy.  The uncertainty around future Government funding was a risk, and reducing the council tax should not be considered.  The windfall funding from the Chiltern Crematorium that have become available could be used for one off projects to the benefit of the local residents and council taxpayers.  Members were concerned that Chiltern residents were already paying a higher rate of Council Tax compared to other districts in Buckinghamshire and this causes financial strain for some residents.

The Committee were asked to note the proposed earmarking of reserves towards the cost of the new unitary council which was currently estimated to be in the region of £22 million, of which Chiltern’s share would be £1.995m.  The Shadow Authority later in the year would determine the size of this budget and what would be required in 2019/20. Most of the transition cost would be incurred  after 2019/20  and it was agreed that it was sensible to make the provision.

Members expressed concern about the high level of fees and charges proposed in some areas, noticeably for Pre-App planning advice.  It was considered that these should only be increased if really necessary as this was a service we wished to encourage.  It was asked whether they were in line with the other district councils, as they would need to be harmonised in the near future under the unitary council.  There was general agreement that the Cabinet should carefully consider whether these Pre-Application fees and charges need to be increased.

The Committee congratulated the finance officers and the Cabinet on achieving a healthy financial position for Chiltern District Council.