Issue - meetings

To submit the report of the Director of Function (Resources)/Section 151 Officer.

It was resolved to approve the following –

·      The initial proposed budget for 2025/26 of £195.234m.

·      A proposed increase in Council Tax of 8.85%, plus 0.65% to cover the Fire Levy making a total of 9.50% which takes the Band D charge to £1,721.70.

·      To formally propose to maintain the premium on empty and second homes at 100%.

·      That £2.000m is released from the Council’s general balances and earmarked reserves in order to balance the 2025/26 revenue budget.

The report of the Director of Function (Resources)/Section 151 Officer incorporating the initial draft Revenue Budget proposals for 2025/26 was presented for the Executive’s consideration and approval for the purpose of public consultation.

Councillor Robin Williams, Deputy Leader and Portfolio Member for Finance and Housing in presenting the report said that the initial draft budget proposals were set out fully to the meeting of the Corporate Scrutiny Committee on 15 January 2025 where they were examined and challenged in detail by both the committee and members of the Partnership and Regeneration Scrutiny Committee invited to attend in a comprehensive discussion. He summarised the position by saying that the draft local government settlement announced by Welsh Government on 10 December 2024 provided an increase of 3.6% for Anglesey (0.7% below the Welsh average and the 16^th highest increase from the 22 authorities in Wales). Although the settlement was better than had been expected it falls far short of what is needed to keep pace with the cost pressures facing the Council and after the main budget changes have been accounted for as explained in section 4 of the Section 151 Officer’s report, the Council is left with a funding gap of £10.791m before any change in Council Tax. If the Council was to seek to make up the budget shortfall through Council Tax alone it would mean raising Council Tax by 20.6% which the Executive accepts is unrealistic and not a step it would wish to take. The Executive is therefore proposing an approach based on a combination of budget savings, use of reserves and Council Tax increase to produce a balanced budget which by law the Council is required to do. An initial draft revenue budget of £195.234m is proposed made up of budget savings of £699k, utilisation of £2m of reserves and a Council Tax increase of 9.5% (to include 0.65% Fire Service Levy) which would increase the Council Tax on a Band D property by £2.87 per week. The Executive is asked to approve the initial draft budget proposals for public consultation which is planned to run from 22 January to 7 February. Councillor Robin Williams urged Anglesey residents to take part in the consultation and to make known their views which will inform the final budget proposal ahead of its submission to the Full Council on 6 March. He added that confirmation of the final settlement would not be received until February and any consequent changes and impact on the proposed budget would be considered at that time.

The Director of Function (Resources)/Section 151 Officer confirmed that the outcome of the public consultation process will be reported to the Corporate Scrutiny Committee which will examine the final budget proposal in light of the public feedback at its meeting on 19 February 2025 with the Executive then meeting on 27 February to recommend a final budget for 2025/26 for Full Council’s approval. He also encouraged Anglesey residents to read the budget report and to view the webcast  ...  view the full minutes text for item 6