Cabinet considered the proposed draft revenue budget for 2021/22.

The Leader of the Council and Chairman of Cabinet, Business, Economic Development and Property informed that this was a draft proposed budget that was going out for consultation.  He mentioned that this would not be the budget they would have set if it had not been for the pandemic, in a different world they would have started the process of building up the council’s reserves using the predicted £4.5 million surplus from this year.  In a none Covid world savings would still have had to be made but nowhere near the levels that have had to be done.  The revised MTFS had been approved by Council after a thorough debate.  The challenge caused by Covid had not lessoned but it would have been more challenging if we had not been in a position to carry forward savings.  Difficult, painful decisions had to be taken this year but they had been the correct decisions.  There had been much talk about a possible S144 but due to a lot of work we had managed to get into a relatively stable position.   This proposed budget will go to consultation and lay the foundations for supporting the economy, investing in supporting the most vulnerable and great a borough of opportunity and innovation.  There were also difficult saving proposals so that a balanced budget could be set.  There is a proposal of a 5% increase in council tax but the borough was in a position of having low tax levels.  This was the most realistic, credible draft budget and he wanted genuine feedback from residents, businesses, stack holders and all councillors.  It was important to note that for every saving removed there had to be an alternative or cross charge to balance the budget.

The Lead Member for Finance and Ascot informed Cabinet that today he presented the draft 2021/22 budget which would be subject to consultation with residents, businesses and council staff, the feedback from those consultations would inform final budget decisions which will be presented at the February 2022 Council meeting.

The impact of COVID-19 on businesses and communities and its negative impact on the Council’s finances had been well publicised. This year COVID-19 will cause additional expenditure of £14.5m but it was expected  to receive £13.1 million of COVID funding from Government, a shortfall of £1.4M. However, despite this we are forecasting a positive variance of around £3M.

The MTFS presented at Council in October projected that next year expenditure would exceed income by £8.4M.  We have an obligation in law to deliver a balanced budget and this is the gap the draft budget closes. The draft budget shows the impact of COVID-19 next year to be £9.25M. Our projection of Government support is £4.71M so as a direct consequence of the COVID-19 pandemic we will need to manage a budget pressure of £4.5M. It is this covid pressure that has coloured the budget and forced some challenging proposals.

At July Cabinet we agreed an interim Corporate strategy which has informed the draft budget. The papers before Cabinet transparently explained the actions that are proposing to deliver a balanced budget. Savings and growth are shown by directorate, the appendices provide a detailed breakdown of increased costs and income loss as a result of the impact of COVID-19 together with growth bids from services and a detailed schedule of proposed savings.

The headlines were a 2% council tax increase and an additional 3% adult social care precept which will increase a band D property to £1131.27 This is unlikely to change our position as having the 8th lowest council in the country, charging £365 a year less than this year’s Berkshire average.

Saving £8.4M had been a challenge but residents should be aware that we will continue to support older people through the provision of excellent services. Three of the Care homes we use are rated Outstanding and one is Good, my research shows that only 4% of homes in the Country are outstanding.  Of four domiciliary care agencies used by Optalis, three are Good and one requires improvement. Working with Optalis our adult social care team have been at the forefront of the Council’s transformation programme and are proposing savings many designed to improve the wellbeing of older people in care.

We will be investing additional funds in Children’s services. Not only were children’s services rated good by OFSTED earlier this year but so was the Youth Offending team reflecting the positive influence of Achieving for Children, the proposed budget will ensure that these high standards are maintained. Expenditure on Adults and children’s service will be approximately £60M.

There are some services that will operate differently or be reduced and we are aware that a number of decisions may be unpopular but the draft budget will be subject to public consultation.  We are awaiting the final details of the comprehensive spending review if this does not deliver additional income, all the savings will be needed. However, we will listen to resident’s priorities and adjust the budget accordingly where we are able. So, the final outturn will not be known until nearer the Council budget setting meeting in February next year.

The Director of Resources gave the same budget presentation to all members, she stressed the need to set aside all in-year underspends in a Covid reserve to be used to manage one off overspends next year.  Members were invited to look at the savings report at appendix D, where 30% of savings reported were £20K or less so what some might seem small sums really do matter.  This was why Council earlier in the week did approve additional expenditure that some saw as a small amount.

In order to create the capacity and expertise to help us deliver our longer-term ambitions we have allocated £850K to increase Corporate capacity in the areas of:

·         Strategy and policy development

·         Procurement

·         Transformation

·         Contract management

·         Data analytics

·         Project management.

Officers have, with enthusiasm and goodwill taken on different roles and performed remarkably effectively in helping the Royal Borough through the COVID-19 pandemic and deserve a pay increase.  This is built into the budget as RBWM did not use the Green Book and could set local pay and conditions. 

The Deputy Leader of the Council, Resident and Leisure Services, HR, IT, Legal, Performance Management and Windsor informed that she was delighted that a draft budget had been brought forward so we get residents views.  She thanked officers for providing the challenge that enable a balanced budget.  In her portfolio we were proposing a staff wage increase even though national government had announced a pay freeze, there was a chance for transformation in the library service, there would be consultation on the best location for the container library, Old Court and Nordens Farm both get high levels of community support and we want to continue to support them with a new package.  Leisure services had been affected by the pandemic with a new provider being required to replace Parkwood Leisure, the pressure would continue but hopefully decrease as participants return. Continued investment in ICT was important as demonstrated during the current crises.  There were pressures on the registrars department due to a reduction in weddings,

The Lead Member for Planning, Environmental Services and Maidenhead informed that even without the need to make savings he would still be asking about moving to fortnightly black bin collections.  Earlier this year it had been proved that the borough could move to fortnightly collection.  He was determined to increase recycling and this could help so he was asking for residents views.

The Lead Member for Public Protection and Parking informed that it was proposed to review how the community wardens work and looked forward to residents views.  With regards to parking revenue was going to be down and we would be looking at a standardised parking charges across the borough.  The old on road parking charging machines would be removed.

The Lead Member for Transport and Infrastructure informed that there would be rationalisation of street cleaning so they were cleaned when required and it was proposed to reduce the number of council pool cars from 30 to 8.  He looked forward to seeing the consultation results.

Cllr Jones mentioned that it was good to see a draft budget presented in time to allow to allow all councillor to give their views. She acknowledged that not all the information was available at this present time and also agreed with some of the capital slippage.  She had raised concern about the authority keeping council tax low and the consequences of this had been evidenced by the pressures of the recent pandemic.  She wanted to highlight the reduction in services so residents were aware such as libraries, community wardens, back office staff, road cleaning, day centres, home to school transport as well as placing additional demand on the voluntary sector.  She asked how we could be sure all residents would be aware of the consultation. 

Cllr Werner mentioned that he would review the proposed budget over the next couple of months and mentioned his view that the council needed a long term strategy.  It was important that the consultation was a real exercise and not just rubber stamping.  When he was part of the Liberal Democrats administration they had undertaken meaningful consultation allowing residents to express their views on shaping the budget.  Residents needed to be aware of the effects of the budget.

The Chairman confirmed that there were a number of unknowns still to be confirmed, however this would be a meaningful consultation and an opportunity for all councillor to put forward there alternative proposals that resulted in a balanced budget.  He felt that this was the best budget given circumstances and looked forward to the consultation results.

Cllr Baldwin raised concern that one Lead Member was proposing a fortnightly bin collection whilst another was proposing reducing street cleaning, the combination would have unfortunate consequences.  The Lead Member for Planning replied that during the pandemic when there was fortnightly black bin collections there was not issues of bins overflowing and rubbish on the streets as implied.

Cllr Tisi raised concern about the speed of the transformation in adult social care.  Talking to officers she understood the need but was concerned about the implication as residents needed the context and reasons behind changes and time for services to be shaped and not axed.

Cllr C Da Costa agreed that it was good to have a draft budget to comment on supported the proposals to go to a fortnightly black bin collection to help increase recycling.  With regards to transformation with the children’s services felt it would the public to have more information in bite size pieces on areas such as the changes to children’s centres.

Cllr Del Campo mentioned that community wardens were introduced in 2004 and had undertaken a crucial role in decreasing anti-social behaviour and the fear of crime.  The wardens role was highlighted in 2010 when police budgets were cut.  In her ward her residents appreciated the help and support they provided but if reduced there would be no dedicated support in the area and her residents would have to result in calling the 111 police number instead to talking to a warden. She raised concern about the cuts to the arts and also mentioned the importance of libraries above the need to loan books and she would like them to remain open weekend and evenings.

Cllr Bhangra raised his support for Norden’s Farm and its importance to the community and in his ward.

Cllr Price mentioned that there had been a long discussion but little mention on the impact on RBWM staff as some will be fearing for their jobs or the jobs of those they are working with.   She offered her support to the MD and his team managing during these difficult times.  Reading the budget she concluded that if you are both affluent and able you will be fine, if not you will find it tough for the near future and next five years.  She also raised concern about the ability or perception that the voluntary sector would step into the gaps.  She felt that they would be a shadow of themselves over the next coming years.  She questioned if the voluntary sector would be consulted.  The chairman confirmed they would as part of stakeholders.

The Lead Member for Housing, Communications and Youth Engagement informed that the fundamental point was that in order to continue to deliver vital services we needed a balanced budget.  If you looked at other authorities such as Croydon who had to deliver a section 144 notice there were many authorities who would struggle to have a balanced budget.  With regards to housing there was a large pressure within the budget but it was important that those that require our support received it and our statutory role was fulfilled.  During this year all rough sleepers within RBWM had been housed or offered accommodation.  With regard to the consultation this would allow residents to understand the rational for suggestions and make representation. He welcomed alternative budgets from the opposition groups and residents views.

The Deputy Chairman of Cabinet, Adult Social Care, Children’s Services, Health and Mental Health reiterated the comments made by the Lead Member for Finance about his portfolio.  He said that with regard to children’s services we remained committed to protecting the most vulnerable within our borough.  With regards to comments made about school transport this would be focused on those who need it most, the most vulnerable. Wirth regards to adult social care as mentioned it was important to protect vulnerable residents but also to help support those to have independent lives.

Resolved unanimously:  that Cabinet agrees the draft budget that will be

consulted upon prior to final budget setting during February 2021 including:

i)             The draft budget and revised Medium Term Financial Plan set out in Appendix A.

ii)            The proposed Covid-19 pressures set out in Appendix B

iii)           The proposed growth and budget pressures set out in Appendix C.

iv)           The proposed savings set out in Appendix D.