Views on Council Tax levels, budget savings and proposals for raising income are being sought as Bath & North East Somerset Council faces “very difficult choices” in the light of squeezed budgets and rising demand.
Setting out consultation proposals for next year’s budget, Councillor Mark Elliott, cabinet member for Resources said: “Despite managing our finances with caution, well-controlled spending and no high-risk investments, this has been a tough and challenging budget consultation to prepare with some really difficult choices we are having to make. A perfect storm of inadequate government funding, high inflation and increases in demand for services, particularly in children’s social care - means we, alongside other councils, are having to make really tough decisions.”
The council needs to find an additional £24.53m next year, primarily to address increased costs and demands, for example, in home to school transport. By law, the council must set a balanced budget, so to close the funding gap the council is consulting on a Council Tax rise of 2.99% plus an additional 2% for Adult Social Care (making a total rise of 4.99%), additional income of £6.51m and savings of £10.31m.
The council is now consulting on its revenue budget, the ongoing ‘operational’ spend on day-to-day services. This does not include spending on infrastructure such as transport projects, sometimes called capital schemes. These two budgets are quite separate, and the council is not allowed to spend money designated for one-off capital spending on providing services which require support year after year. The council’s proposed capital programme will be included in the budget papers being presented to cabinet and Council in February.
Councillor Elliott said: “We have had to dig really deep this year to bring forward a package which balances the budget and meets the day-to-day spending we need to deliver key frontline services. We’ve needed to focus on maintaining our statutory services and so the consultation proposals are wide-ranging, and if adopted in February they would have an impact on our residents and also on some of our valued third-sector organisations.”
As part of its savings proposals, the council is bringing forward a planned review of the funding that is currently spent on community support contracts across our social care provision, so that the available funding is targeted efficiently and at the greatest need. This would mean that the council would not be able to spend as much as in previous years on non-statutory, preventative services, although £2.945m, or 80% of the current budget, would continue to be available to invest in this. The council is writing to organisations delivering these services directly to keep them informed. Reductions are also being proposed in children’s early help and prevention budgets, although savings have also been identified from addressing the increasing costs of children’s placements through more in-house provision.
Councillor Elliott added: “We are very concerned about the potential impacts of these reductions in our community support contracts, particularly on preventative services. I am afraid, though, that we are now in a position where we have to consider savings in these areas due to the cumulative effect of over a decade of government funding cuts to councils and a completely inadequate government response to the huge pressures in social care. The position we are now in has been faced by many councils over recent years. We do not want to be considering these savings, but the reality is that the council has no separate funding stream for them, and they are not all services we are required to provide. We are acutely aware of the risk that a decrease in funding for preventative services may create a budget pressure for statutory services in the future and will work with partners to minimise this. We want to address these savings forensically. We have to focus our spend on the greatest need and on prioritising the statutory provision laid down by central government. At this early stage in the review I am undertaking to keep our third sector providers informed and to listen to them closely as part of this budget consultation before any decisions are taken in February.
“I am keen to hear what people think about what we are proposing before the budget is decided. For example, while we are fortunate in being able to raise additional income from our attractions such as the Roman Baths, to help us maintain frontline services, this is no longer enough to close the gap. So, we have had to put forward some increases in income, such as from parking, that not everyone will like, but I at least hope will understand.”
Nearly two thirds of the extra income identified in the proposals comes from Heritage Services income, such as the Roman Baths. Proposals are also being put forward which would see parking charge increases, alongside the extension of emission-based charging to across all locations in Bath, both on-street and off-street, and to Keynsham. Parking charges based on vehicle emissions are also proposed for Midsomer Norton and Radstock, where parking is currently free of charge, to an equivalent level as in Keynsham. This would also make it easier for shoppers to find parking by encouraging turnover of spaces.
To reduce impacts on residents, the budget also proposes savings from new ways of working including how the council manages customer contacts and IT systems and from reviewing its management and operating structure.
A lower-than-expected bill for concessionary fares means savings can be made in the transport budget without any anticipated reduction in supported bus services and services will also make greater use of external funding to deliver priority projects, such as for tackling the climate and ecological emergency. Overall funding for Green Transformation will be maintained over the next three years (2024-27).
A proposal is also being put forward to reduce the opening hours at Midsomer Norton and Bath recycling centres whilst maintaining the booking system to make sure residents have certainty about being able to use the facility at the time booked. There will be no changes to opening hours at the Keynsham Recycling Hub and at least two sites will be open every weekday, with all three open at weekends.
Each of the saving and income items set out impacts, and an Equality Impact Assessment is being developed which the cabinet and Council will consider when decisions are made on the budget.
The final budget proposals for 2024 to 2025, which will be considered by cabinet on 8 February and Full Council on 20 February, will also reflect any other changes to the council’s finances, including the level of central government funding, which should be confirmed later in December. Proposals will be scrutinised by the Corporate Policy Development and Scrutiny Panel on 23rd January, before going to cabinet and Council.
To view the savings and income proposals and to respond to the consultation, go to the budget consultation pages on the Council's website.
The consultation is open from Friday 15 December and will close at 5pm on 15 January 2024.
Savings and income items will also be discussed at the Climate Emergency and Sustainability Policy Development and Scrutiny Panel on 11 January and the Children, Adults, Health and Wellbeing Panel on 15 January.
The detailed budget proposals will be drawn up and presented for consideration by councillors at the following meetings:
• Corporate Policy Development and Scrutiny Panel on 23 January 2024
• Cabinet on 8 February 2024
• Council on 20 February 2024, for final decision on the budget and Council Tax
If you need support, a printed survey, information in another format including audio, braille, large print or in another language, or you would like to feedback on any other aspect of this consultation, please contact [email protected] or call 01225 396975.
Completed forms can be returned to Budget Consultation, Lewis House, Manvers Street, Bath, BA1 1JG
Information about all budget meetings is listed on our council meeting calendar web page. Meetings will also be available to view on our YouTube channel.