The Council's Budget
A presentation will be made by Councillor Charles Adje, Cabinet Member for Resources.
Minutes:
The Board received a presentation from Councillor Charles Adje, Cabinet Member for Resources, on the Council’s budget for the next three year period.
An overview was provided of the national and local contexts within which the budget for the next financial year had been formed. It was noted that the Lyons Review and Comprehensive Spending Review, which had both taken place last year, had resulted in Local Government being required to make efficiently savings of 3% over the next three year period.
The Board was advised that the settlement received by the Council from the Government, under the Formula Grant, was 2% for 2008/09. This put the Council in the ‘floor’ category.
It was noted that the new Area Based Grant (ABG) would replace many separate and disparate funding streams. Grants would be made from this to deliver the agreed local priorities within the new Local Area Agreement (LAA). Neighbourhood Renewal Funding (NRF) would cease in 2008/09 and would be replaced with the new Working Neighbourhood Fund (WNF). The WNF would have a strong emphasis on reducing Worklessness.
The Board was advised that a total of £30M had to be saved by the Council over the next three years. This figure was comprised of £16.3M of pre agreed savings and a further initial budget gap of £15M. A consultation process in relation to the savings and investments that should be made in order to address this had begun in November 2007.
The Council’s budget for 2008/09 would include increased investment in infrastructure, particularly the Building Schools for the Future (BSF) scheme, street lighting and improving footpaths and highways. Key priorities for the Council, as set out in the Council Plan and Sustainable Community Strategy included making Haringey one of the Greenest Boroughs in London and investment to expand recycling and continuing the Better Haringey scheme supported these aspirations.
Following the presentation the Chair invited the Board to put questions to Councillor Adje.
The Board was advised that the £7M of investment would be added to the base budget and £5M of this would be allocated to the first year. It was noted that significant investment was being made in relation to adult social care in order to improve transitional arrangements for children already being provided with care into adulthood.
In response to a query, as to whether there was more detailed information in relation to the Council’s budget and the decision making process governing this, the Chair advised the Board that further information was set out in Council papers, which were published on the Council’s website.
The Chair concluded discussion by thanking Councillor Adje for his presentation.
RESOLVED:
To note the content of the presentation.