The Council's Budget
Rushcliffe Borough Council Financial Strategy - summary (2023-24 to 2027-28)
The impact of reduced Government funding (and one-year settlements) has meant that in recent years the Council has had to find significant efficiencies, maximise its income streams and be increasingly innovative and commercial. Following two difficult years through the Covid pandemic, the war in Ukraine has further exacerbated the negative impact on the economic environment which remains volatile and consequently has increased the cost of living globally. Inflation is at an unprecedented high and is expected to remain elevated during the medium term, causing significant pressure on the Council’s budget.
The Council’s Medium Term Financial Strategy (MTFS) firstly seeks to ensure that the Council remains financially resilient and able to deliver the services it must by law; secondly to ensure resilience in the current economic climate, by appropriately focussing on economic recovery and growth and prosperity within the Borough and supporting the most vulnerable in our community; thirdly to ensure that health and wellbeing remains a high priority; and finally to remain committed to carbon reduction and supporting the environment. Thus, ensuring the Council continues to deliver its Corporate Strategy objectives
The Council has approved a balanced budget for 2023/24 that is robust, affordable and deliverable. The Council is forecasting a £0.270m budget deficit for 2023/24. This will be funded from the Organisation Stabilisation Reserve. This budget is designed to ensure we maintain high quality services for current and future generations, a budget that is both financially and environmentally sustainable. In the short term the Council look forward to understanding the impact of future Business Rates, New Homes Bonus and Fairer Funding Reviews and multi-year financial settlements will give greater financial certainty.
The Council has taken measures to maintain a strong financial position whist continuing to invest and encourage growth, such as:
- Increasing the Council Tax for 2022/23 by 2% (less than the cap 2.99%) and in further years to fund net expenditure whilst ensuring Rushcliffe’s Council Tax remains amongst the lowest in the country (and the lowest in Nottinghamshire) and an increase well below inflation
- Using reserve balances over the medium term, together with a savings target, to balance the budget (replenishing the reserves over the medium term).
- The capital programme is smaller than in recent years, following completion of the Councils two major projects – The Bingham Leisure Hub and The Rushcliffe Oaks Crematorium. Going forward the focus is on improving the energy efficiency of Council facilities
- Transformation targets over the 5-year period of £1.539m through service efficiencies and income generation
- A forecast level of general balances of £2.6m throughout the 5 year strategy, with confirmation that the minimum level of general balances should not fall below £1.25m.
- A five year capital investment strategy totalling £23.5m over the 5 years.