Agenda and minutes
Resources and Governance Scrutiny Committee - Thursday, 16th January, 2025 10.00 am
Venue: Council Antechamber, Level 2, Town Hall Extension. View directions
Contact: Charlotte Lynch Email: charlotte.lynch@manchester.gov.uk
Media
No. | Item |
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To approve as a correct record the minutes of the meeting held on 5 December 2024. Minutes: Decision: That the minutes of the meeting held on 5 December 2024 be approved as a correct record. |
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Revenue Budget update and Provisional Local Government Finance Settlement 2025/26 Report of the City Treasurer.
This report updates on the revenue budget position and outlines the main announcements from the provisional local government finance settlement 2025/26, which was published 18 December 2024. This report also updates on the grant notifications and the implications for the Council’s position. Minutes: The committee considered a report of the City Treasurer which provided an update on the revenue budget position and outlines the main announcements from the provisional local government finance settlement 2025/26, which was published 18 December 2024.
Key points and themes within the report included:
Some of the key points and queries that arose from the committee’s discussion included:
The Executive Member for Finance and Resources introduced the report and stated that fourteen years of the previous government administration had resulted in a broken finance system, from which Manchester had been disproportionately affected, and that the new Labour government recognised the importance of local government and was resetting this relationship. He stated that the provisional local government finance settlement 2025/26 was the best settlement since 2009 and would provide relief for in-year pressures and allow transformative work going forward. He acknowledged that, despite the positive settlement, eighteen councils across the country were seeking financial support from the government to balance their budgets which he stated gave a picture of the scale of the challenges facing local government. He highlighted the current government’s commitment to fairer funding based on deprivation, need and a low council tax base and stated that Manchester’s spending power had increased by 9.2% as a result of the settlement, compared to a national average of 6%. He noted continued pressures in demand-led services such as social care and homelessness and that the Council was continuing to progress savings options of £18m, which would be achieved through income generation and efficiencies. He informed the committee that ... view the full minutes text for item 2. |
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Sales, Fees and Charges - Budget 2025/26 Report of the Deputy Chief Executive and the City Treasurer.
This report updates the committee on the current work being undertaken to review all sales fees and charges as part of the 2025/26 budget process to ensure that charges are correct, that the costs of providing the services are being recovered and identify opportunities for increasing existing budgets in order to support the overall Council 2025/26 budget. Additional documents:
Minutes: The committee considered a report of the Deputy Chief Executive and the City Treasurer which provided an update on the current work being undertaken to review all sales fees and charges as part of the 2025/26 budget process to ensure that charges were correct, that the costs of providing the services were recovered and to identify opportunities for increasing existing budgets in order to support the overall Council 2025/26 budget.
Key points and themes within the report included:
Some of the key points and queries that arose from the committee’s discussion included:
The Directorate Head of Finance introduced the report and explained that the overall budget in 2024/25 for sales, fees and charges amounted to £132m and a shortfall was forecasted for this financial year. He explained that it was proposed to increase the income budget by £4.7m through increased costs and recovery and assumptions in areas beyond the Council’s control, such as government-imposed fees, and that this would support the wider Council budget. He stated that work was ongoing to finalise some of the proposed increases and final proposals would be submitted for consideration in February.
In response to queries regarding the proposed increase to allotment fees, the Directorate Head of Finance explained that there had not been an increase to these fees for a number of years and that a benchmarking exercise would be undertaken against the fees charged by other local authorities. It was also stated that the service would look into mitigations for those with allotments affected by flooding in early January. The Executive Member for Finance and Resources explained that these proposals were developed before the flooding and that the Council recognised the need for a sensitive approach to communicating any increase in ... view the full minutes text for item 3. |
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Imposition of a 100% Council Tax premium on empty, furnished properties Report of the Head of Corporate Revenues.
This report confirms the Executive’s decision on 17 January 2024, introduced on 1 April 2024, to increase the Council Tax on empty properties with the aim of increasing the supply of residential properties and maximise occupation in Manchester. The report also reviews exemptions to a blanket imposition introduced by the government on 1 November 2024. Minutes: The committee considered a report of the Head of Corporate Revenues which confirmed a decision made by the Executive on 17 January 2024, introduced on 1 April 2024, to increase the council tax on empty properties with the aim of increasing the supply of residential properties and maximising occupation in Manchester. The report also reviewed exemptions to a blanket imposition introduced by the government on 1 November 2024.
Key points and themes within the report included:
Some of the key points and queries that arose from the committee’s discussion included:
The Head of Corporate Revenues informed the committee that a 100% council tax premium for properties that were empty and unfurnished for more than one year had been applied from 1 April 2024 and that, from 1 April 2025, a 100% council tax premium on empty and furnished properties would be applied from the day they become empty. He explained that the rationale behind these policies was to increase housing supply in the city. The committee was also advised of government-assigned exemptions to these premiums, including properties actively for sale or rent.
In response to members’ queries, the Head of Corporate Revenues explained that evidence of property viewings and communication with estate agents would be required to qualify for an exemption to the 100% premium where a property was marketed for sale ... view the full minutes text for item 4. |
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Report of the Governance and Scrutiny Support Unit.
This report provides the Committee with details of key decisions that fall within the Committee’s remit and an update on actions resulting from the Committee’s recommendations. The report also includes the Committee’s work programme, which the Committee is asked to amend as appropriate and agree. Minutes: The committee received a report of the Governance and Scrutiny Support Unit which provided details of key decisions that fell within the Committee’s remit and any items for information previously requested by the Committee.
The Chair clarified that the meeting on 26 February 2025 would commence at 4:30pm.
In response to a member’s query, the Governance and Scrutiny Team Leader recognised that some entries listed on the Register of Key Decision dated back to 2023 and explained that this was regularly reviewed to ensure accuracy and to monitor decisions yet to be taken. She also advised that decisions must be published on the Register for a minimum of 28 days and that the due dates attached to individual decisions constituted the earliest that decision could be taken.
Decision:
That the report be noted. |