Fund position along with distribution of any surplus / deficit to preceptors

That the declaration of an estimated £4.62 million surplus balance position for the Council Tax proportion of the Collection Fund for the year ending 31 March 2017 be notified to the precepting bodies. Wirral’s share is £3.9 million.

That the declaration of the 2016/17 National Non-Domestic Rates (Business Rates) surplus/deficit position and 2017/18 initial forecast be made by the Leader in conjunction with the Assistant Director: Finance (Section 151 Officer) on, or before, 31 January 2017. The latest forecast shows a £1.4 million surplus in 2016/17 of which Wirral’s share would be £0.7 million.

That the Council share of the ‘one-off’ distribution from the Collection Fund, currently estimated as £4.6 million (or as amended per the final NNDR return of 31 January 2017), be added to the General Fund balances for use in supporting the General Fund budget.

In accordance with the Local Authority (Funds) (England) Regulations 1992, the Authority must annually estimate the likely surplus or deficit on its Collection Fund for the current financial year. The estimate should be made on, or as close to, the 15 January as possible but cover the period up to 31 March. The Authority must notify the precepting bodies of the Fund within 7 days of the 15 January and the estimated surplus or deficit can then be taken into account by the precepting bodies in setting their Budget and likely Precept requirements on the Collection Fund for the following year.

For National Non-Domestic Rates the Non-Domestic Rating (Rates Retention) Regulations 2013 require billing authorities to calculate the central share and each relevant receipting authority’s share of its non-domestic rating income. This should be notified on or before 31 January and include a forecast surplus/deficit position for the current year and an initial forecast for the following financial year.

The release of ‘one-off’ Collection Fund resources is added to the General Fund Balances. This can then be available to support the General Fund Budget.

As this requirement is specified in legislation no other options have been considered in this report.