Issue - meetings

Report of the Cabinet Member Finance

RESOLVED THAT

1. the contents of this report including the key projected variances to the revised 2012/13 budget and the projected total budget saving of £212,100 be noted. 
   
   
2. in principle, recommend to Council, as part of the 2012/13 outturn report to Council on 24^th June 2013, that this projected budget saving be used to create a provision to fund any additional expenditure relating to the new business rates retention scheme and any possible future fluctuations on business rates (paragraph 4.2).
   
   
3. the write off of irrecoverable business rate debts totalling £68,587.90 (paragraph 4.3) be approved, noting that doing so does not impact adversely on the Council (paragraph 4.4).

The Cabinet Member Finance introduced the report and explained that the projected total budget saving amounted to £212 100. This had been achieved through the hard work of officers and success in terms of above target income for the Town Hall, income from investments and the provision of project management services to other councils.

He explained that Cabinet was being asked to approve the write off of irrecoverable business rates debts totalling £68 587.90. These debts related to companies which have ceased trading and there are no available enforcement procedures available.

The Cabinet Member Finance explained that Cabinet and Council would have to decide in June 2013, when outturn was finalised, how to apply the budget saving bearing in mind the need to keep the level of reserves robust and the uncertainty surrounding possible future budget funding gaps. Cabinet would be seeking Council approval to set aside part of the underspend to create a provision to fund the safety net threshold for any additional expenditure relating to the new business rate retention scheme.

Tribute was paid to the sound financial management of the council and the hard work of officers.

The Leader of the Council said that this was a positive report. He referred to the discretionary rate relief scheme whereby £100k had been provided by central Government to facilitate high street revitalisation. Take up of the scheme had been low so officers were looking at ways to attract more claims in the future.

RESOLVED THAT

1. the contents of this report including the key projected variances to the revised 2012/13 budget and the projected total budget saving of £212,100 be noted. 
2. in principle, recommend to Council, as part of the 2012/13 outturn report to Council on 24^th June 2013, that this projected budget saving be used to create a provision to fund any additional expenditure relating to the new business rates retention scheme and any possible future fluctuations on business rates (paragraph 4.2).
3. the write off of irrecoverable business rate debts totalling £68,587.90 (paragraph 4.3) be approved, noting that doing so does not impact adversely on the Council (paragraph 4.4).