Purpose

To recommend for approval to Council the
General Fund Final Budget 2025-26 and MTFP

Content

RESOLVED
 
KEY
DECISION
 
That
the Executive endorsed the contents of the report and recommended
the budget proposals on to Council for approval. This
includes:
 

a)     
the 2025-26 Revenue Budget for approval and adoption as set out in
the report, which sets:
           

i.        a budget
requirement of £827.905m including the Dedicated Schools
Grant of £427.219m resulting in a net revenue budget
requirement for the General Fund of £400.686m as set out in
Appendix A.

ii.       a total Council Tax
requirement for the Council’s own purposes of £214.835m
as contained in paragraph 5.26.

iii.      an average Band D Council
Tax of £1,827.06 for North Northamptonshire Council,
representing an increase of 2.99% in the ‘core’ Council
Tax and a further 2% for the Adult Social Care Precept, noting that
a separate Council Tax Resolution Report will be presented to
Council

iv.      pressures of £51.6m,
including adjustments for the reversal of one-off funding in
2024-25, and savings, efficiencies and income proposals of
£26.3m as detailed in Appendix B.

v.       the provisional
Dedicated Schools Grant budget of £427.2m for 2025-26, as
detailed in Appendix C, and summarised in paragraphs 5.48 to
5.86.

vi.      the draft planned use of,
contribution to, and movement in, reserves as identified in
paragraph 5.40, section 9 and Appendix D of the report,
subject to the final call on reserves as a result of the Final
Financial Settlement or other changes.
 

vii.    
corporate budget requirements as set out in paragraph 8.1,
including a contingency sum of £2.6m as set out in paragraph
8.2.

viii.    the
Treasury Management Strategy for 2025-26 as set out in Appendix
H.

ix.      the recommended Flexible
Use of Capital Receipts Strategy as set out in Section 10 and
Appendix J.

x.       that Council
delegate authority to the Executive Director of Finance and
Performance (Section 151 Officer) in consultation with the
Executive Member for Finance and Transformation to agree any
necessary variations to the budget prior to 1st April
2025.
 

xi.      that Council delegate
authority to the Executive Director of Finance and Performance
(Section 151 Officer) in consultation with the Executive Member for
Finance and Transformation to agree the use of the following
reserves which will provide the flexibility to manage the overall
budget during 2025-26.

•   
Transformation Reserve

•   
Public Health Reserve

•    Waste
Management Reserve

•    Adult
Social Care Reserve

•   
Smoothing Reserve

•   
Business Rates Retention Reserve
 

b)     
the forecast financial position for 2026-27 to 2028-29, noting that
this will be reviewed as further information becomes available and
updated as part of the budget process for 2026-27
onwards.
 
That
the Executive:
 

a)      noted that the financial
position has been based on the Provisional Local Government Finance
Settlement announced on 18th December 2024 together with any
further announcements and updates to the forecast budget position
as at the date of the publication of this report;

b)      noted that, at the time of
writing, the Final Local Government Finance Settlement is yet to be
published and, therefore, some figures may be subject to
change;

c)      considered the
consultation feedback as summarised in the report and attached at
Appendix E;

d)      considered the Equality
Impact Screening Assessment as at Appendix F;

e)      considered the outcome
from the Corporate Scrutiny Committee, as detailed at Appendix
G and any separate representations to this Committee

f)       noted the legal
background for setting the revenue budget and Council Tax as set
out in Appendix I.

g)      delegated authority to the
Executive Director for Children’s Services and the Executive
Director of Finance and Performance (Section 151 Officer) in
consultation with Executive Member for Children, Education and
Skills and the Executive Member for Finance and Transformation to
approve North Northamptonshire’s DSG budgets and Schools
Funding Formula and to finalise the funding allocation for schools,
in line with North Northamptonshire’s Schools Funding
Formula;
 

h)      delegated authority to the
Executive Director of Finance and Performance (Section 151 Officer)
in consultation with the Executive Member for Finance and
Transformation to draft the recommended budget resolution for
Council in accordance with the necessary legal requirements and to
take into account the decisions of the Executive and any final
changes and other technical adjustments that may be
required.

i)        noted the
significant work that has been undertaken by the Corporate Scrutiny
Committee throughout the budget process. 
 
Reason for Recommendations: To ensure that the Council complies
with its Constitution and legislative requirements in setting the
budget for North Northamptonshire Council from 2025-26.
 
Alternative Options Considered: The budgets have been subject to
a formal budget consultation and scrutiny and the feedback has been
considered as part of this process.