Agenda item

Budget 2025/26

Purpose

To provide the proposed budget for 2025/26, whilst also considering approval for:

1. The Draft Base Budget for 2025/26

2. The Council’s Capital Programme for 2025/26 to 2031/32

3. The level of Council Tax for 2025/26

4. The Medium Term Financial Strategy (MTFS)

5. The Council’s Financial Strategies

6. The Council’s Pay Policy Statement

Recommendation

That Council resolves to approve:

1. The General Fund Revenue Budget as Summarised in Annex A.

2. The Updated Medium Term Financial Strategy in Annex B.

3. The Capital Programme for 2025/26 to 2031/32 as set out in Annex D.

4. The Council’s Pay Policy Statement as set out in Annex J.

5. The Council’s Capital Strategy as set out in Annex K

6. The Council’s Investment Strategy as set out in Annex L

7. The Council’s Treasury Strategy as set out in Annex M

Minutes:

The purpose of the item was to provide the proposed budget for 2025/26, whilst also considering approval for:

1. The Draft Base Budget for 2025/26

2. The Council’s Capital Programme for 2025/26 to 2031/32

3. The level of Council Tax for 2025/26

4. The Medium Term Financial Strategy (MTFS)

5. The Council’s Financial Strategies

6. The Council’s Pay Policy Statement

The Leader of the Council, Councillor Andy Graham, presented the budget, explaining that it was set in the context of financial pressures faced by councils across the country. In light of this, the Leader stated that the Council was committed to prudent financial management. The Leader highlighted what the administration had achieved, which included;

£1m to a football pitch in Witney
Climate change initiatives, including new electric vehicles for the waste fleet
Holding Executive meetings on tour, improving engagement with communities
Continued participation in the Proptech fund
Improvements in the Council’s estate, including solar panels at Elmfield
Support to communities through the shared prosperity fund and rural England prosperity fund
Delivering 50 vital services from waste collection to homelessness support
Savings achieved from better estate management and waste contract renegotiations
£125,000 in savings within customer services
Providing homelessness support for local residents

The Leader thanked Officers for their work.

The Leader of the Opposition responded, stating that the increase in Council Tax and green waste licence fees were detrimental to residents, that there was a lack of income in Marriott’s Walk due to empty shops and a delay in letting units. The Leader of the Opposition stated that a one-off windfall allocation had been fortuitous to the Council’s Budget and that otherwise the MTFS showed that reserves would run out by 2028. The Leader of the Opposition further highlighted that they believed the budget as presented to be a placeholder ahead of local government reorganisation, and that the majority of the capital programme had been carried over from the previous budget, with a lack of new projects.

In debate, alliance members made the following points;

The Council had one of the lowest green waste licence fees in the country but an increase was necessary to cover operating costs
Work had been done to review waste and recycling, leading to improved recycling contracts that saved £80,000 a year with further efficiencies expected by the Waste and Recycling transition project
Retail and other services made Witney an attractive place to live in, work and visit. The Council had invested £10m into Marriott’s walk, and the annual income was £650k, representing a strong return on investment (ROI). The capital investment into the Elmfield site was also highlighted as having increased net income for the Council through business rate savings, it was stated that the overall cost of the agile working project was £1.55m which was providing a 12.9% yearly ROI.
In response to the lack of new projects raised by the Leader of the opposition, special projects within the budget were highlighted by alliance members, particularly the Council’s work on housing and homelessness prevention.
The budget had included growth within the planning team, including new roles, in a full time Proactive Enforcement Officer, a part-time Planning Services Transformation Lead, and a full time Tree Officer
Section 106 projects were being delivered
In light of inflationary pressure, it was welcome that the Council was able to deliver a balanced budget.

Members of the Opposition made the following points;

The increase in green waste licence fees had led to a decrease in the number of residents purchasing these
The Council was proposing to increase Council tax
The Publica transition had cost the Council a lot of money
The Council was not sufficiently supporting local businesses on the high street, leading to the closing of local businesses, although this was disputed by a member of the alliance who stated that business was strong
The Council was inadequate at carrying out responsibilities such as sweeping roads
The Council had not fought development appeals successfully
The Witney football pitch was a Section 106 project, funded by developer contributions

Councillor Alaric Smith seconded the Budget, stating that the purpose of local government was to provide services in an effective way and that the budget allowed the administration to do this. Councillor Smith stated that the Council had achieved a balanced budget which also contributed £91,280 to reserves. Councillor Smith stated that this was an achievement in light of external funding pressures faced by all councils and a 40% reduction in the Council’s funding from business rates. Councillor Smith also made reference to the delivery of homelessness prevention services, the upgrading of the waste fleet and investment in youth services as well as a leisure contract that would take the Council through to 2027.

In summing up, Councillor Andy Graham stated that the administration was delivering a positive budget. Councillor Graham stated that the current administration was seeking to invest in areas such as planning and the Council’s assets following a lack of funding.

Council resolved to approve: