Agenda item

Dave Shipton (Head of Finance, Policy, Strategy and Planning) and Ben Watts (General Counsel) was in attendance for this item.

1.    Mr Oakford (Deputy Leader and Cabinet Member for Finance, Corporate and Traded Services) introduced the item and highlighted the degree of lobbying that had been done through both the County Councils Network (CNN) and MPs which culminated in government providing additional funding to Kent County Council of circa £11m. Whilst we were extremely grateful, work still needed to be done to achieve the savings as identified through the management action plan to balance the budget. Mr Oakford thanked the officers, Cabinet Members and staff throughout the organisation in reducing the budget gap by £118m, however, further work needed to be done. The draft budget had been through the democratic process of Cabinet Committees, Scrutiny Committees and Cabinet with the final budget due to be presented to County Council on 19^th February 2024.

2.    Mr Shipton advised that the additional funding that had been granted to Kent County Council was circa £11.5m – £12.8m, however this would be allocated according to the Adult Social Care Relative Needs Formula and Council Tax Equalisation and would not be confirmed until publication of the final local government finance settlement. The final draft budget would be amended to reflect the additional allocation from government alongside any changes in the final grant and tax base notifications. The final draft was due to be published on 9 February 2024.

3.    Mr Shipton reminded Members that prior to the funding announcement from Government, the Council had a funding gap of £85m. The additional funding would help to reduce the gap by 12%-15%, however, a significant amount of savings still needed to be achieved to balance the budget.

4.    An All-Member Briefing was scheduled to take place on 13February ahead of County Council on 19 February.

5.    The Leader highlighted the extensive process that had taken place in the production of the budget proposals and welcomed the Government’s announcement; however, the long-term pressures still remained and one-off measures were not a sustainable solution to address the challenges that were prevalent in the 2024-2025 budget. The Leader addressed the emphasis from Government concerning the efficiencies of Councils and said that it was an important opportunity to emphasise the work that Kent County Council were already doing within this area, particularly in relation to Objective 4 in Securing Kent’s Future and reshaping the Council to ensure it functioned as effectively and efficiently as possible.

6.    Mr Watts (General Counsel) advised that there were no formal amendments to the budget. Cabinet Members were reminded that there had been a number of requests for additional information throughout the course of the Cabinet Committee and Scrutiny Committee meetings which would need to be actioned. This was essential in demonstrating that the administration had taken into account all the concerns prior to the final proposal being agreed at County Council on 19 February 2024. A significant amount of decision making would be needed from a political perspective and Cabinet Members would need to be working closely with Officers to ensure preparation for those decisions following the outcome of County Council were underway. Mr Oakford confirmed that all comments and questions from the Scrutiny Committee held on 24^th January would be collated and responded to.

7.    Further to comments and questions from Members, it was noted:

·         Members commented on the commitment of the Directors to achieve the savings within the 2023-2024 budget and whilst the individual management actions could be perceived as considerably small, as a collective the savings achieved were considerable and indicative of the recognition throughout the organisation as to what was required to make lasting changes.

·         Members commented on the need to work collegially with opposition groups in bringing forward alternative budget proposals and identify solutions to the financial challenges faced by the Council.

8.    RESOLVED to agree to the recommendations as outlined in the report.