The minutes of the five Special Overview and Scrutiny Committees, at which the Budget Options were considered, are attached together with the minutes of the Wirral Schools’ Forum.

A report from the Interim Director of Finance provided the latest Budget Projections for 2013/16. The Budget Projections for 2013/16 included £11 million for growth arising from demographic changes, Government decisions regarding funding and local decisions relating to income.

It was proposed that an extraordinary Council meeting be convened before the end of January to approve the Council Tax Base and Business Rates Base as they had to be agreed by 31 January 2013. The Mayor had agreed to call this meeting on Monday 28 January, 2013 and all Members had been informed.

Budget Cabinet was scheduled for 18 February 2013 with Budget Council scheduled for 5 March 2013. The Council had to agree the Budget and set the level of Council Tax for 2013/14 by 10 March 2013. 

The Chief Executive introduced the report, he informed the Cabinet that following the Chancellor of the Exchequer’s Autumn statement announcement, the budget gap for the next three years was now £109m. The Local Government Finance Settlement had been announced on 19 December and an initial analysis had been provided to the Cabinet by the Interim Director of Finance, this indicated that Wirral’s loss of grant in 2013/14 would broadly be as estimated within Wirral’s current budget projections, which was a loss of 6% equivalent to £8 million. Details regarding a number of grant areas were, however, still awaited. The Education Services Grant would only be known in late January and Public Health Funding had not yet been announced.

Joe Taylor, Unison Wirral Branch Secretary was invited to address the Cabinet. He welcomed the extension of the consultation period in respect of proposed changes to terms and conditions and emphasised that no savings had been agreed by any Trades Unions at this stage. With £6m in the salary budget for terms and conditions, the proposed reduction of £2.8m represented a 48 per cent cut, with an additional £1.5m saving if four days unpaid leave was introduced, a 1.5 per cent pay cut lasting three years.

Mr Taylor welcomed the extension of the consultation period in respect of the voluntary enhanced severance scheme and that the Administration would be speaking to the Government about possible capitalisation.

He re-emphasised the Trade Unions opposition to compulsory redundancies and that if any were put in place then the unions would ballot their members. Legal advice from UNISON’s solicitors had been forwarded to the Administration and he hoped that following the senior management restructure no redundancy notices would be issued on 21 December, 2012.

Mr Taylor further commented that UNISON’s national officer would be coming to Wirral on 16 January, 2013 and would be examining the Council’s books in the hope of suggesting alternative savings. He went on to give particular examples on certain staff of the devastating cuts in pay if the proposed changes to terms and conditions were approved.

Mr Taylor further stated that immediate savings could be made now by making it a priority to cease the employment of consultants, advisors and agency staff.  ...  view the full minutes text for item 144