EXECUTIVE REPORT - APPENDIX 1
SUMMARY OF PROPOSED RSG SETTLEMENT 2003/04
Adjusted
For England 2002/03 2003/04 Adjusted
Settlement Proposals Change
%
Total Standard Spending/Total
Assumed Spending £64.650
bn £69.269 bn +
7.1
less: Specific Grants, Restructuring etc £9.752
bn £11.362 bn + 16.5
Standard Spending Assessment/Total
Formula Spending £54.897
bn £57.907 bn +
5.5
Aggregate External Finance £47.437 bn £51.235 bn + 8.0
of
which Revenue Support Grants are £21.052
bn £24.266 bn + 15.3
Specific Grants £9.752
bn £11.362 bn + 16.5
Business Rates are £16.626
bn £15.600 bn -
6.2
(Business poundages set at) 43.7
p 44.4 p +
1.6
Council Tax at Standard Spending (Gross)/
Assumed National Council Tax £17.335
bn £18.094 bn +
4.4
Charge per Band D equivalent property of £1,001 * £1,036 +
3.5
Tax Base (Band D equivalent properties) 17.320 m 17.464 m + 0.8
FIGURES MAY NOT SUM DUE TO ROUNDING
The figures for 2002/3 have been adjusted by the Government to reflect changes in function and funding for the coming year, largely the effect of transfer into FSS of expenditure previously met from Specific Grants. The adjusted figure also includes the impact of resource equalisation.
*£769 before resource equalisation (30%)
EXECUTIVE REPORT - APPENDIX 2
NATIONAL SSA COMPARISONS 2003/2004 WITH 2002/2003
Adjusted
2002/03 2003/04 Adjusted
Service Block Settlement Proposals Change
£bn £bn %
Education 23.488 25.015 + 6.5
Personal Social Services 10.519 11.171 + 6.2
Police 4.148 4.152 + 0.1
Fire 1.710 1.778 + 4.0
Highway Maintenance 1.904 1.954 + 2.6
Environmental, Protective and Cultural
Services 10.976 11.569 + 5.4
Capital Financing 1.979 2.268 + 14.6
Total SSA/FSS 54.724 57.907 + 5.9
Total
SSA/FSS Excluding Police 50.576 53.755 +
6.3
FIGURES MAY NOT SUM DUE TO ROUNDING
The figures for 2002/3 have been adjusted by the Government to reflect changes in function and funding for the coming year, largely the effect of transfer into FSS of expenditure previously met from Specific Grants. The adjusted figure also includes the impact of resource equalisation.
EXECUTIVE REPORT
- APPENDIX 3
ISLE OF WIGHT
COMPARISONS WITH NATIONAL PICTURE
Change in adjusted Standard Spending
Assessment (SSA) 2002/03 to Formula Spending Share (FSS) 2003/04
|
|
England % |
ShireUnitaries % |
Isle of Wight
% |
|
Due to Control total Resource Equalisation Data Methodology Total Total without protection |
5.9 7.9 0.0 0.0 13.9 |
6.4 7.3 0.0 0.0 13.8 |
5.2 6.7 2.4 -2.7 11.6 8.7 |
With the
exception of data changes, which represent increased demands on local services,
the Council’s FSS has increased by 4.7% less than the national average. After allowing for the extra cost of
passporting schools FSS and the temporary protection of the floor, the impact
of the settlement methodology is equivalent to 13% in excess of inflation on
Council Tax or £5.9 million of spending reductions. In the longer term, the effect rises to 23% or £10.6 millions respectively.
ISLE OF WIGHT
FSS COMPARISONS WITH 2002/2003
2002/03 2003/04 National Settlement Adjusted Proposals Change Change
Adjusted
SSA FSS
£m £m % %
Education 61.839 64.834 + 4.8 6.5
Personal Social Services 27.418 28.257 + 3.1 5.2
Fire 4.676 5.197 + 11.1 4.0
Highway Maintenance 4.050 3.702 - 8.6 2.6
Environmental, Protective & Cultural
Services 27.493 29.698 + 8.0 5.4
Capital Financing 8.570 10.129 + 18.2 14.6
Total SSA/FSS 134.046 141.817 + 5.8 6.3
FIGURES MAY NOT SUM DUE TO ROUNDING
The figures for 2002/3 have been adjusted by the Government to reflect changes in function and funding for the coming year, largely the effect of transfer into FSS of expenditure previously met from Specific Grants. The adjusted figure also includes the impact of resource equalisation.
|
Budget
Forecast Summary |
|
EXECUTIVE REPORT
– APPENDIX 4 (Page One)
|
||||||||
|
|
|
2003-04 |
2004-05 |
2005-06 |
||||||
|
|
|
Education |
Other |
Total |
Education |
Other |
Total |
Education |
Other |
Total |
|
|
|
£000 |
£000 |
£000 |
£000 |
£000 |
£000 |
£000 |
£000 |
£000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Base budget 2002-03 |
|
59,156 |
73,837 |
132,993 |
59,156 |
73,837 |
132,993 |
59,156 |
73,837 |
132,993 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Inflation |
|
2,302 |
2,712 |
5,014 |
4,221 |
4,846 |
9,067 |
6,198 |
7,025 |
13,223 |
|
Capital financing costs |
|
|
1,953 |
1,953 |
|
3,624 |
3,624 |
|
5,036 |
5,036 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Contractual pay increments |
|
329 |
272 |
601 |
600 |
500 |
1,100 |
900 |
750 |
1,650 |
|
Teachers' pensions (locally borne 0.4%) |
|
128 |
|
128 |
128 |
|
128 |
128 |
|
128 |
|
Pension fund revaluation |
|
91 |
402 |
493 |
212 |
938 |
1,150 |
212 |
938 |
1,150 |
|
Fire pensions |
|
|
85 |
85 |
|
208 |
208 |
|
234 |
234 |
|
Enterprise House underwriting |
|
|
135 |
135 |
|
135 |
135 |
|
135 |
135 |
|
Increased benefits takeup |
|
|
350 |
350 |
|
350 |
350 |
|
350 |
350 |
|
Audit/inspection fees |
|
|
100 |
100 |
|
100 |
100 |
|
100 |
100 |
|
Parish grants |
|
|
17 |
17 |
|
17 |
17 |
|
17 |
17 |
|
BVPI consultation |
|
|
15 |
15 |
|
0 |
0 |
|
0 |
0 |
|
Waste management volumes |
|
|
-163 |
-163 |
|
0 |
0 |
|
150 |
150 |
|
Health & safety training |
|
|
100 |
100 |
|
100 |
100 |
|
100 |
100 |
|
Landfill Tax (including fuel from waste
closure) |
|
203 |
203 |
|
257 |
257 |
|
419 |
419 |
|
|
LPSA pump priming |
|
|
392 |
392 |
|
0 |
0 |
|
0 |
0 |
|
One-off capitalisation |
|
|
609 |
609 |
|
609 |
609 |
|
609 |
609 |
|
National Insurance increase (1%) |
|
350 |
210 |
560 |
350 |
210 |
560 |
350 |
210 |
560 |
|
Miscellaneous items |
|
7 |
-17 |
-10 |
7 |
-17 |
-10 |
7 |
-17 |
-10 |
|
Grants and teachers' pensions into FSS |
|
4,211 |
659 |
4,870 |
4,211 |
659 |
4,870 |
4,211 |
659 |
4,870 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bids & savings |
|
|
|
|
|
|
|
|
|
|
|
- efficiency savings |
|
-19 |
-406 |
-425 |
-19 |
-104 |
-123 |
-19 |
-104 |
-123 |
|
-additional income |
|
|
-607 |
-607 |
|
-607 |
-607 |
|
-607 |
-607 |
|
- maintaining existing services |
|
545 |
2,546 |
3,091 |
688 |
2,761 |
3,449 |
750 |
2,790 |
3,540 |
|
- service improvements |
|
56 |
300 |
356 |
62 |
494 |
556 |
62 |
650 |
712 |
|
- service reductions |
|
|
-1,148 |
-1,148 |
|
-1,186 |
-1,186 |
|
-1,186 |
-1,186 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Education further spend to match FSS |
|
-1,515 |
|
-1,515 |
-2,707 |
|
-2,707 |
-2,905 |
|
-2,905 |
|
|
|
|
|
0 |
|
0 |
0 |
|
0 |
0 |
Net expenditure carried forward
|
|
65,641 |
82,556 |
148,197 |
66,909 |
87,731 |
154,640 |
69,050 |
92,095 |
161,145 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EXECUTIVE REPORT – APPENDIX 4 (Page Two) |
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
Net expenditure brought forward |
|
|
|
148,197 |
|
|
154,640 |
|
|
161,145 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
Support Grant and National Non-Domestic Rates |
|
|
|
93,681 |
|
|
95,876 |
|
|
99,602 |
|
Withdrawal from reserves |
|
|
|
0 |
|
|
0 |
|
|
0 |
|
Safety net |
|
|
|
1,270 |
|
|
803 |
|
|
0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Council Tax yield |
|
|
|
53,246 |
|
|
57,961 |
|
|
61,543 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Tax base (band D equivalents) |
|
|
|
50,365 |
|
|
50,818 |
|
|
51,275 |
|
Collection Fund surplus |
|
|
|
100 |
|
|
|
|
|
|
|
|
2002-03 |
|
|
|
|
|
|
|
|
|
|
Band D Council Tax |
895.77 |
|
|
1,055.22 |
|
|
1,140.55 |
|
|
1,200.25 |
|
Tax increase (%) |
|
|
|
17.8 |
|
|
8.1 |
|
|
5.2 |
Executive Report - Appendix
4 Page Three
2003 2004 2005
Efficiency savings 2004 2005 2006
£ £ £
Select Committee Support
216 Select Committee Various
economies -9 -9 -9
Support
Total for Select Committee
Support -9 -9 -9
Cross cutting items
256 Local Public Service Restrict pump priming to Government limit, or meet from
service -392 0 0
Agreement economies
Total for Cross cutting items -392 0 0
Community Development
228 Arts Appointment of Theatres Manager 45 -45 -45
Total for Community Development 45 -45 -45
Education
251 Various Miscellaneous savings -19 -19 -19
Total for Education -19 -19 -19
Consumer Protection
258 Bereavement Services Externalisation 0 0 0
Options to be investigated
Total for Consumer Protection 0 0 0
Planning
210 Planning Trimming a number of budgets -50 -50 -50
Total for Planning -50 -50 -50
Total Efficiency savings -425 -123 -123
EXECUTIVE
REPORT - Appendix 4 Page Four
2003 2004 2005
Income generation 2004 2005 2006
£ £ £
Legal & Democratic
214 Land Charges Increase by £14 to £117 - saving net of inflation -49 -49 -49
Part funding for item 22
Total for Legal & Democratic -49 -49 -49
Consumer Protection
14 Bereavement Services Increase of 3% over inflation for bereavement services -18 -18 -18
197 Bereavement Services Single occupancy charge for graves (£130) -40 -40 -40
Total for Consumer Protection -58 -58 -58
Engineering Services
211 Car parks Traffic management and offset to reduction in
Highways FSS -500 -500 -500
Total for Engineering Services -500 -500 -500
Total Income generation -607 -607 -607
EXECUTIVE
REPORT - Appendix 4 Page Five
2003 2004 2005
Maintain existing service levels 2004 2005 2006
£ £ £
Corporate Policy & Communications
209 Crime and Disorder CCTV
costs at Ryde - part funding 12
One year only, then passed to
Ryde Forum
Total for Corporate Policy &
Communications 12
Finance
1 Finance & Business To achieve Government standards for benefit
payments - 5 staff 25 50 75
offset by sanction income
2 Finance & Business To meet requirements of the Local
Government Bill, especially 25 25
prudential code
Review as part of medium term
budget
184 Finance & Business New tax & pension credits - additional
2500 benefit claims p.a. 22 22 22
Total for Finance 47 97 122
Education
74 School budgets Pupil numbers (excl 6th form) 212 241 195
78 School support Complex/severe SEN statements 120 234 342
85 SEN Communications & Interaction
team - funding at risk 70 70 70
86 SEN Nodehill centre - funding at
risk 25 25 25
250 School Transport Increase
in contract costs by Transport Fleet 118 118 118
Total for Education 545 688 750
Consumer Protection
4 Environmental Health Replacement noise monitoring systems 8 6 0
5 Environmental Health Increased pest control contract costs 7 7 7
9 Bereavement Services Implementation of Health & Safety recommendations re 15 15 15
Further £15k from risk
management funds
Total for Consumer Protection 30 28 22
Engineering Services
44 Newport Harbour Loss
of income as area is developed 10 10 10
54 Transport Concessionary fares age
equalisation 180 185 190
254 Transport Fund concessionary fares
equalisation from other existing -180 -185 -190
Total for Engineering Services 10 10 10
Property Services
25 Property Markets security 10 10 10
Total for Property Services 10 10 10
Fire & Rescue
72 Fire Service Radio licence fee 10 20 30
73 Fire Service Fire inspector's recommendations 66 66 66
164 Fire Service Radio replacement 29 29 29
166 Fire Service Personal protective equipment - includes admin and replacement 85 85 85
178 Fire Service Working at height/near water regulations 23 35 35
259 Fire Service Reduce bids by £53k to £160k -53 -53 -53
Total for Fire & Rescue 160 182 192
Social Services
Social Services Expenditure
increase in excess of inflation 2277 2434 2434
Total for Social Services 2277 2434 2434
Total
Maintain existing service levels 3091 3449 3540
EXECUTIVE REPORT - Appendix 4 Page Six
2003 2004 2005
Service improvement 2004 2005 2006
£ £ £
Finance
3 Finance & Business To improve audit coverage of identified
risk areas - one additional 25 25 25
auditor to bring resources
closer to District Auditor
Combined with restructuring
Total for Finance 25 25 25
Information & Communication Technology
18 Trading Standards Upgrade
of Trading Standards ICT to corporate standard 4 0 0
19 Trading Standards Replacement
of Trading Standards ICT hardware (FLAIR) 12 0 0
21 ICT ICT/e-government strategy in
excess of £500k in base 0 0 0
31 Engineering Web development 10 5 5
32 Engineering e-government requirements 5 5 5
46 Car parking ICT 0 8 8
Meet from income in year 1
147 Social Services - central ICT - Local Implementation Plan bid (£1.1m over 3 years) 120 120 120
Unsupported credit approval of
£1.3m
167 Fire Service Fire service ICT developments 250 350 350
185 Finance & Business Education Forum secure web page 6 12 12
187 Finance & Business Registrar's Web Site - additional income? 5 0 0
227 Libraries Peoples Network - additional
costs caused by company failure 30 30 30
253 Various Reduction in ICT bids -242 -242 -242
Total for Information &
Communication Technology 200 288 288
Legal & Democratic
22 Legal & Democratic Additional officer to co-ordinate new statutory requirement 30 30 30
Funded by part of item 214
Total for Legal & Democratic 30 30 30
Education
71 School budgets Education Forum secure web page 6 12 12
252 SEN Childrens' SEN project leader 50 50 50
Total for Education 56 62 62
Engineering Services
260 Car parks Improvements to car parks,
financed from item 211 0 100 100
Total for Engineering Services 0 100 100
Planning
58 Development control Additional
qualified planner for major applications 27 28 29
Total for Planning 27 28 29
Fire & Rescue
168 Fire Service Community Fire Safety 18 23 28
172 Fire Service Breathing apparatus replacement 0 0 150
Total for Fire & Rescue 18 23 178
Total Service improvement 356 556 712
EXECUITIVE
REPORT Appendix 4 Page Seven
2003 2004 2005
Service reduction 2004 2005 2006
£ £ £
Corporate Policy & Communications
203 Communications Ryde
Help Centre one off saving -7 0 0
204 Community Budgets Reduce
community forum grants -32 -32 -32
205 Communications Cut
one issue of Wight Insight -5 -5 -5
206 Economic Development -24 -24 -24
207 Communications Citizens
panel questions to be funded 50% from departments, if -9 -9 -9
required
208 Crimw and Disorder Supplies
and services budgets -2 -2 -2
Total for Corporate Policy &
Communications -79 -72 -72
Finance
193 Finance & Business Staff rationalisation -66 -66 -66
Services
Additional burden on remaining
staff
195 Administrative Buildings Reduce budget for improvements and refurbishments -24 -24 -24
Total for Finance -90 -90 -90
Legal & Democratic
215 Members Expenses Reduce
conference and travel budgets -7 -7 -7
Total for Legal & Democratic -7 -7 -7
Cross cutting items
262 Spend to save Delete annual spend, and replace by repayable loans from -250 -250 -250
Total for Cross cutting items -250 -250 -250
Community Development
218 Parks and Beaches
Discontinue seaside awards 0 -10 -10
219 Parks and Beaches
Discontinue beach lifeguards -25 -25 -25
220 Parks and Beaches
Reduce beach cleaning
standards to EEC minimum -75 -75 -75
221 Parks and Beaches
Discontinue decorative lighting -9 -18 -18
222 Libraries Closure of 5
libraries -60 -106 -106
223 Tourism Closure of a TIC -20 -20 -20
Total for Community Development -189 -254 -254
Consumer Protection
198 Dog Warden contract Reduce
coverage of non-statutory contract -4 -4 -4
Total for Consumer Protection -4 -4 -4
Engineering Services
261 Highways Reduce spending by half of
increase in excess of FSS -248 -248 -248
Highways standstill budget
represents increase £488k greater than FSS
Total for Engineering Services -248 -248 -248
Property Services
212 Property Services Reduce
consultants budget -9 -9 -9
213 Building maintenance Reduction of maintenance budget -40 -40 -40
Total for Property Services -49 -49 -49
Housing
249 Bed and breakfast Savings
from Housing Action Plan -25 -25 -25
EXECUTIVE
REPORT Appendix 4 Page Eight
2003 2004 2005
Service reduction 2004 2005 2006
£ £ £
Total for Housing -25 -25 -25
Social Services
244 Adult services Top slice budget -99 -99 -99
245 Adult Services Staff turnover period increased to 3 months -19 -19 -19
246 Childrens services Multi
agency working (special projects) -20 0 0
247 Childrens Services Residentail
services top slice -30 -30 -30
248 Policy Performance & Top slicing -39 -39 -39
Resources
Total for Social Services -207 -187 -187
Total Service reduction -1148 -1186 -1186
Report
total 1429 2251 2498
CAPITAL ALLOCATIONS 2003/4
2003/4 2002/3 %
£000 £000 Change
1 Annual
Capital Guideline (ACG) 14,207 12,908 +10.1
Receipts
Taken Into Account (RTIA) 0 754 -100.0
Basic
Credit Approval (BCA) 14,207 12,154 +16.9
The
breakdown of ACG between services is as follows:-
2003/4 2002/3 %
£000 £000 Change
Education 6,357 3,508 +81.2
Environment 240 284 -15.5
Highways
5,495 6,782 -19.0
Housing 1,532 1,781 -14.0
Social
Services 105 120 -8.8
Performance
related 478 433 +10.4
14,207 12,908 +10.1
Notes:
1 In 2002/03 an additional total of £1,819,000 was allocated to Education through Supplementary Credit Approval (SCA). The total capital allocation for 2003/04 has been made in the form of ACG.
2. The
reduced Highways allocation arises from the 2002/03 year containing additional
allocation relating to the Niton Undercliff situation.
3 The performance related total relates to Government’s overall assessment of our capital investment plans including a total reward of £100,000 relating to our good assessment for both Capital Strategy and Asset Management Plan submission.
4 RTIA is the amount of ACG that the Government assumes will be met from our capital receipts. It is calculated by reference to capital receipts in the past financial year, but no RTIA is currently apparent in the 2003/04 announcement.
5 BCA represents the Council’s capital basic borrowing approval for the year
GARETH HUGHES
Corporate Finance Manager
EXECUTIVE REPORT - APPENDIX 6
|
November consultation - preference for
service cuts if required (% responses) |
|
||
|
Service |
Definitely Reduce |
Reduce if I had to |
Definitely not Reduce |
|
community forums |
78 |
19 |
3 |
|
leisure events |
76 |
20 |
5 |
|
museums, theatres and support for the
arts |
64 |
30 |
7 |
|
sporting and leisure facilities |
60 |
33 |
8 |
|
economic development and support for
local businesses |
38 |
43 |
20 |
|
promoting tourism |
40 |
34 |
27 |
|
consumer protection including
environmental health and trading standards |
29 |
52 |
19 |
|
supporting public transport and
concessionary fares |
36 |
34 |
30 |
|
housing and homelessness |
28 |
49 |
24 |
|
youth services |
27 |
50 |
22 |
|
parks and open spaces |
23 |
56 |
21 |
|
the library service |
21 |
50 |
29 |
|
street lighting |
14 |
53 |
34 |
|
keeping roads, pavements and beaches
clean |
11 |
54 |
35 |
|
waste management and recycling |
10 |
50 |
40 |
|
schools |
17 |
31 |
52 |
|
helping children with educational and
other problems |
11 |
36 |
53 |
|
The Fire Service |
14 |
28 |
57 |
|
support for people with physical or
other learning difficulties |
8 |
38 |
55 |
|
public toilets |
8 |
37 |
55 |
|
repairing roads and pavements |
7 |
36 |
57 |
|
services for older people |
8 |
28 |
64 |
|
crime and disorder |
7 |
13 |
80 |
|
|
|
|
|
|
Increased charges (% responses): |
|
|
|
|
|
No Increase |
Increase |
No View |
|
car parking |
51 |
45 |
4 |
|
sports facilities |
16 |
79 |
5 |
|
other leisure facilities |
11 |
82 |
7 |
|
burial and cremation charges |
53 |
34 |
13 |
|
charges for social services clients |
35 |
50 |
15 |
|
|
|
|
|
|
|
Increase Council Tax |
Reduce Services |
|
|
increase tax or reduce services |
16 |
84 |
|
EXECUTIVE REPORT - APPENDIX 7
Revised planning and budget timetable
|
|
Select Committees |
Executive/Other |
|
Mid January |
|
Executive considers draft budget
proposals/options in the light of Proposed Grant Settlement, budget
consultation, Best Value Reviews |
|
End January |
|
Final Grant Settlement |
|
Late January |
Co-ordinating Committee considers
Executive budget proposals/options |
Consultation with business, unions,
partners |
|
February |
|
Executive considers all responses and
recommends budget to Council (12th) Budget and Tax set. 3 Year Projection approved (19th) |