Agenda and minutes

There were no apologies for absence.

To invite Councillors to declare any Disclosable Pecuniary Interests and / or Other Disclosable Interests they may have in items on the agenda, and to confirm the nature of those interests.

There were no declarations of interest.

The Leader advised that at the meeting of the Overview and Scrutiny Committee held on Monday 25^th November 2024, Members had pre-scrutinised the Carbon Reduction Strategy and Implementation Plan Annual Review report, scheduled for consideration at the Executive Committee meeting.  Members were advised that at the end of their discussions, the Committee endorsed the recommendations in the report but did not propose any further recommendations.

Prior to the Executive Committee meeting, the Budget Scrutiny Working Group had pre-scrutinised the Quarter 2 Revenue and Performance Monitoring and the Medium Term Financial Plan (MTFP) Tranche 1 reports.  Again, the group had not proposed any recommendations on these items for the Executive Committee’s consideration.

On behalf of the Executive Committee, the Leader thanked the members of the Overview and Scrutiny Committee and Budget Scrutiny Working Group for their hard work in pre-scrutinising these reports.

RESOLVED that

the minutes of the meeting of the Executive Committee held on 15^th October 2024 be approved as a true and correct record and signed by the Chair.

The Housing Development and Enabling Manager presented a report on the subject of Homelessness Grant and Domestic Abuse Grant funding.

The Committee was informed that the report focused on the use of the funding that had been allocated to the Council by the Government to address homelessness and domestic abuse in the 2025/26 financial year.  There were a number of risks that could arise if this funding was not allocated as proposed, including a potential increase in homelessness rates in the Borough and a possible increase in use of Bed and Breakfast accommodation, resulting in increased financial costs to the Council.  There was also a risk that rates of rough sleeping could increase in Redditch if the proposals were not taken forward.  Members were assured that all recipients of grant funding would be required to enter into agreements with the Council.

Following the presentation of the report, Members discussed the proposed allocations to Voluntary and Community Sector (VCS) groups and questions were raised about how additional grant funding would be distributed if this was received from the Government.  Officers clarified that a delegation had been requested to enable Officers to use both any unallocated funding and to make adjustments in relation to funding where necessary in order to meet local needs.

Reference was made to the reduction in Independent Living Support Grant funding from Worcestershire County Council to St Basils and Members highlighted the potential impact that this could have on services tackling homelessness in the Borough.  Members also noted that whilst the proposals detailed in the report would result in a reduction in funding for the Bromsgrove and Redditch branch of the Citizens Advice Bureau (CAB), the services that had been previously funded through the CAB would remain available for residents to access elsewhere.  The Council also continued to provide financial support to the CAB through other grant schemes.

Consideration was given to the proposal to allocate funding to the Maggs service for a rough sleeper outreach and support service.  Members welcomed this proposal and commented that it was anticipated that this would result in an improvement to these services for vulnerable local people.

During consideration of this item, reference was made to the need for the Council to support victims of domestic abuse in the Borough and questions were raised about what further action the local authority could do to address this issue.  Officers clarified that in a two-tier authority area like Worcestershire, the County Council had more responsibilities in respect of tackling domestic abuse and therefore Worcestershire County Council received more funding than the district Councils in relation to this area.  However, Redditch Borough Council received domestic abuse grant funding in relation to addressing homelessness issues for victims of domestic abuse, as this was the responsibility of local district Councils.

Questions were raised about the number of victims of domestic abuse who tended to seek support from the Council when they were placed at risk of homelessness.  The Committee was informed that domestic abuse was a significant  ...  view the full minutes text for item 50.

This report will be the subject of pre-scrutiny at a meeting of the Overview and Scrutiny Committee due to take place on Monday 25^th November 2024.  Any recommendations arising from that meeting on this subject will be reported to the Executive Committee in a supplementary pack.

The Strategic Housing and Business Support Manager presented the Carbon Reduction Strategy and Implementation Plan Annual Review for the Executive Committee’s consideration.

Members were reminded that the Carbon Reduction Strategy had been introduced two years’ previously.  At the time that the strategy was introduced, Members had agreed that progress should be monitored on an annual basis and that a new strategy should be presented every three years.  The next new strategy was due to be presented for Members’ consideration in 2025/26.

Following the presentation of the report, Members discussed the targets detailed in the action plan and in doing so noted that financial costs and timelines had not been incorporated into the plan in many places.  The suggestion was made that this information would be useful, where known, as this would help the Council in terms of long-range forecasting for the Council’s budget.  Officers explained that for many of the targets, the financial costs would not become apparent until specific business cases were drawn up and presented for the consideration of Members.

Reference was also made to the information that had been provided in the report in respect of Electric Vehicle charging points and the projected income that the Council would receive through an agreement with Zest EV Charging.  Questions were raised about the extent to which the Council would receive this income for car parks serving facilities operated by Rubicon Leisure Limited.  Concerns were also raised about the extent to which the Council would be required to cover the utilities costs for the charging points.  The Committee was informed that the Council would receive income in relation to the authority’s assets and it was noted that Rubicon Leisure Limited used Council assets.  In respect of the electricity costs, Members were advised that Zest would cover the electricity costs, which would be recharged to the customer when they were charging their vehicle. 

During consideration of this item, Members noted that one of the targets in the action plan referred to reducing the amount of paper used for Council business.  Questions were raised as to whether Members would be forced to go paperless for Council and Committee meetings in order to meet this target.  Officers clarified that Members continued to be consulted as to whether they required paper or electronic access to agenda packs and paper copies were provided when requested.  However, the modern.gov app could also be used to access and annotate agenda packs electronically and the Democratic Services team could provide training on how to use the app to Members who wanted to go paperless or reduce their use of paper.

RECOMMENDED that

the Council endorse the findings of this annual review of the Carbon Reduction Strategy.

This report will be subject to pre-scrutiny at a meeting of the Budget Scrutiny Working Group due to take place on 21^st November 2024.  Any recommendations arising from that meeting on this subject will be reported to the Executive Committee in a supplementary pack.

The Deputy Chief Executive and Section 151 Officer presented the Revenue and Performance Monitoring Report for the second quarter of the 2024/25 financial year.

Members were asked to note that the report updated the Committee on the following areas:

·             The Council’s forecast outturn revenue monitoring position for 2024/25 based on data to the end of the second quarter.

·             The position in respect of balance sheet monitoring as requested by the Audit, Governance and Standards Committee.

·             The updated procurement pipeline of Council projects due to be delivered over the following 12 months in order to properly plan for the delivery of these projects.

·             The organisation’s performance against the strategic priorities outlined in the Council Plan Addendum, including operational measures to demonstrate how the Council was delivering services to customers.

In terms of financial performance, the draft position was a £299,000 overspend, up from the £164,000 overspend reported in the quarter 1 report. As this related to expenditure at quarter 2, Members were asked to note that at this stage in the financial year, there were a number of instances where annual expenditure or accruals might distort the profiling.  The projected figures assumed support services and grants were adjusted to budgetary levels and accruals were netted out of the figures.

The overspends of £2.35 million detailed in the report, were offset by additional income of £2.05 million in corporate financing from additional grant income together with increased investment interest receivable and lower interest payable.  The Committee was asked to note that significant agency overspending in Financial Services related to the delivery of the Council’s accounts.  Overspends in Environmental Services were linked to greater costs arising with the Council’s vehicle fleet and reductions in income from Bereavement Services.

Additional funding had been added for the level of the pay award to staff, which had been agreed recently and which was above the 4 per cent allowed for in the 2024/25 budget.

In terms of cash management and borrowing, the Committee was informed that as of 30th September 2024, the Council had no short-term borrowings. The authority did have long-term borrowings of £103.9 million, although Members were asked to note that this linked to the Housing Revenue Account (HRA).

In respect of Council investments, Members were informed that on 30^th September 2024 there were £15 million of short-term investments held by the authority.

The capital programme had been approved in the Council’s budget for 2024/25 in February 2024.  The Council’s outturn spend in the capital programme was £3.682 million against a capital budget totalling £20.507 million. Members were asked to note that, as part of the budget setting process, it had previously been decided that £8.051 million would be rolled forward from 2023/24 into 2024/25 to take account of slippage from 2023/24.

Included in this capital programme, the Council also had the following grant funded schemes which were being delivered in 2024/25:

·             The three Town’s Fund schemes:

o      The library would not now be moving to the Town Hall to become part  ...  view the full minutes text for item 52.

This report will be subject to pre-scrutiny at a meeting of the Budget Scrutiny Working Group due to take place on 21^st November 2024.  Any recommendations arising from that meeting on this subject will be reported to the Executive Committee in a supplementary pack.

The Deputy Chief Executive and Section 151 Officer presented the MTFP Tranche 1 report (including fees and charges) for 2025/26 to 2027/28.

The Executive Committee was reminded that the Council set a three-year MTFP every year, with the final Council Tax resolutions being approved by Council in February.  Members were asked to note that this year’s process took into account the following factors:

·             The starting point from the 2024/25 MTFP being neutral starting balances (which was actually a £63,000 surplus on the date of the meeting).

·             This was the first budget under a new Government and the local government settlement would be for only one year in duration for the first year of the plan. Future budgets would cover multiple years.

·             The present cost of living crisis continued to impact on the Borough’s most vulnerable residents.

·             Three years’ accounts had been submitted (2020/21 to 2022/23).  Like many other Councils, the authority would receive a disclaimer opinion on these accounts. 

·             There was continued uncertainty of the Government’s funding for projects detailed in the Chancellor’s statement on the 30^th October 2024, as allocations were not yet known.

·             There was also uncertainty over what would be required by the new Government and other stakeholders.

·             Loss of key personnel, present vacancy rates, and staff retention needed to be noted.

·             Business Rates, Council Tax income and associated collection rates and reliefs linked to the “cost of living” crisis and Covid-19 grants were still working their way through the authority’s system.

·             Inflation was moving back to the Government’s target level of 2 per cent.

As such, it was considered prudent to split the budget process into two tranches, in line with the approach taken in recent years.   The initial tranche would seek to close as much of the deficit as possible using information known as at the end of October 2024, after the Chancellor’s statement but before the Local Government Settlement and seeking approval for those savings to be implemented at Council in January 2025.  The second tranche would be presented after the Christmas break, for which approval would be sought in February 2025.  This tranche would take account of the Local Government Settlement, in respect of which the final detail would not be known until early January 2025.

The Committee was informed that the emerging national picture was in many ways quite similar to the previous year:

·             The war in Ukraine had still not been resolved and was impacting on inflation rates for everyone.

·             Many Councils, including Redditch Borough Council, had declared “Climate Emergencies” and had challenging carbon reduction targets to deliver by 2030, 2040 and 2050.  These needed to move into the implementation phase.

·             The Office for Local Government was looking at Council data to assess performance and to try to predict if Councils were getting into difficulty.

·             The data provided by the Council was important as the Government worked on an allocation method using data to inform decisions.

·             In the Local Government arena:

o     There were a number of Local Authorities that  ...  view the full minutes text for item 53.

The Leader noted that there were no outstanding recommendations from the meeting of the Overview and Scrutiny Committee held on 14^th October 2024 which required the Executive Committee’s consideration.

RESOLVED that

the minutes of the meeting of the Overview and Scrutiny Committee held on 14^th October 2024 be noted.

To receive and consider any outstanding minutes or referrals from the Overview and Scrutiny Committee, Executive Panels etc. since the last meeting of the Executive Committee, other than as detailed in the items above.

There were no referrals from the Overview and Scrutiny Committee or any of the Executive Advisory Panels on this occasion.