To propose a budget process for 2013-14, to deliver a revenue and capital budget for 2014-15, for agreement by Council in February 2014.

A report by the Interim Director of Finance proposed a budget process for 2013-14 to deliver a revenue and capital budget for 2014-15.  Such a process required the agreement of the Council in early March 2014.  The report also set out forecast budgets for the following two years 2015-17, and refreshed the Medium Term Financial Strategy (MTFS), taking into account the Chancellor’s Budget of 20 March 2013.

The Interim Director of Finance informed that it was important to ensure that most of the decisions required were taken by the end of the year so that there would be more time available to implement them, in readiness for the new Financial Year.

Councillor Phil Davies informed that he was fully in support of the proposal to bring forward the budgetary decision-making process.  He was pleased with the way the ‘What Really Matters’ consultation had been handled.  He also informed that it was important that the excellent work around budget consultation was continued and that an evaluation of the exercise was carried out.  There remained a lot of uncertainty around Government funding so a degree of flexibility must be built into the process.

Councillor Ann McLachlan referred to the Local Government Information Unit’s work in bringing together local authorities and stakeholders to highlight the good works councils were doing in driving forward innovation, exploring new models of service delivery and considering how they could move forward with the challenges ahead.

The Chief Executive drew the Cabinet’s attention to Annex 1 to the Interim Director’s report which set out the draft timetable.  He informed that he would like to obtain the Cabinet’s agreement to five or six projects in May 2013 and begin to work on them.  He also informed that each of the three Strategic Directors would contact the Cabinet Members shortly to discuss major changes.

RESOLVED:

That Cabinet agrees:

(1)  the strategy of taking decisions earlier than in the last budget round, so that timely intervention will reduce risk and increase savings and therefore reduce the level of spending reductions needed.

(2)  that decisions will be taken in two phases, the first prior to Christmas and the second in January;

(3)  that from April to mid-August, based upon the current Corporate Plan, the Corporate priorities, major projects and options for improvement are identified, primarily in the light of the new significant changes planned by the Government; and

(4)  a revised Corporate Plan be discussed and agreed at a Policy Council in November to provide the basis for the 2013/14 budget.