‘Aspirational’ budget is approved

‘Aspirational’ budget is approved

An “ambitious, aspirational and innovative” council budget has been approved this evening.

The Leader of North East Lincolnshire Council, Philip Jackson, proposed the Budget, Finance & Commissioning Plan 2022/23-24/25 at tonight’s meeting of NELC at Grimsby Town Hall.  

He told the chamber: “It sets out how we propose to resource the ambitious and aspirational Council Plan that we have just approved a few minutes ago and my comments here very much align with that plan.

“This budget and plan has been considered by both informal and formal scrutiny so you will already be familiar with it. Thank-you to all who have contributed to its development, both elected members and officers. The public have also been consulted on it.

“It is, of course, a legal requirement for us to approve a balanced budget for the year ahead, 2022/23. Developing this budget has been particularly challenging and it is not without risk. However, that’s no different to the budgets we have approved over the past decade or so. I’ve been around long enough to remember very speculative individual business cases included in the previous Labour administration’s budgets which had to be amended or even abandoned during the subsequent fiscal year.

“The plan is set within the context of significant change and challenge for the council. There are a wide range of issues, both local and national, which have been considered when developing it. Key issues include the continued and longer-term effects of Covid, wider health and care reform, demographic pressures on social care demand and the current challenges within children’s services. The latter is clearly a major area of focus and risk following the recent Ofsted inspection outcome.

“The commissioning plans reflect the continued focus on transformation and change, designed to look at new, different, and innovative ways of responding to demand and delivering services.

“The plan includes an ambitious capital programme to continue transformation of the borough to attract new businesses, better paid jobs and deliver our agreed Local Development Plan. There are robust business cases for all capital projects which are carefully monitored to ensure delivery of outcomes and best use of resources. We continue to adopt a more commercial approach and investments are anticipated to make a significant contribution to the council’s strategic objective of enabling the growth of a strong and sustainable local economy. 

“The cleaner and greener agenda remains a big council priority, alongside continued support for the renewables sector and delivering our low carbon roadmap. We are working alongside the Government and major private sector investors to accelerate economic and housing growth across the borough.  

“Major projects within the Port of Immingham, Stallingborough Enterprise Zone, and our town centres are underway and factored into the capital programme. The recent announcement of the Humber Freeport will help to facilitate and support the positive work already underway.

“Looking in more detail at housing growth, members will remember when we set the council tax base at last month’s full council, there are an additional 800 band D equivalent properties in the 2022/23 council tax base compared to the current year. This is the largest year-on-year growth I have seen during my 19 years on this authority. It is a key indicator that this administration’s growth plans are bearing fruit after many years of new housing numbers being significantly below our Local Development Plan delivery trajectory.

“Finally, turning to the council tax itself. The recommendations include a 1.98% increase in council tax and a 1% increase in the adult social care precept, giving a total increase of 2.98%. While no one likes increasing taxes, especially a Conservative administration, this is below the rate of inflation, lower than last year’s increase, and a smaller increase than many upper tier councils of all political colours up and down the country. 

“Indeed, looking at our immediate neighbours, Lincolnshire County Council’s increase is 4.99%, East Riding of Yorkshire Council’s increase is 3.99% and North Lincolnshire Council’s increase is also 3.99%.

“Furthermore, significant additional mitigation is provided by the recent announcement that residents living in properties in council tax bands A, B, C & D will receive a £150 payment from the Government, to assist with cost-of-living issues. Because of our relatively low property values in North East Lincolnshire, 95% of our properties are clustered in these four bands, so the vast majority of our families will benefit.

“In summary, this is an ambitious, aspirational, and innovative Budget, Finance & Commissioning Plan drawn up under particularly challenging circumstances and I commend it to the Chamber.”

The plan was seconded by Councillor Stan Shreeve, the portfolio holder for finance, resources, and assets. It was passed 30-7.

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