Agenda item

By way of introduction the Chairman emphasised that any comments from Members on this item should be kept within the Select Committee’s remit. Andy Goodwin, Interim Financial Planning Manager, was present for this item highlighting that it was his second appearance at the Select Committee following the mid-year budget update in July 2021. A brief overview of the 2022/23 budget proposals was delivered and a breakdown of the budget proposals for services within the remit of the Select Committee were outlined. With regard to inflation, £885k in cost pressures were projected against 2021/22 expenditure going into 2022/23, half of this related to workforce budgets, with the remainder coming from contracted expenditure and energy costs. Savings of £1,754k had been incorporated into the draft budget under the Select Committee’s remit including £200k of efficiency savings to be delivered from a review of Parking Services and £1,554k arising from a review of fees and charges within the Public Safety and Transport portfolio.

Clarifications were sought as to the substantial reduction in the 2022/23 budget proposals for a number of works programmes when compared to the 2021/22 budgets; namely the CCTV Programme, Highways Structural Works Programme and Road Safety Programme. Officers confirmed that this was primarily attributed to a significantly heightened spend in 2021/22 as a result of the Covid-19 pandemic. Many Council services were subject to various restrictions and supply chain issues throughout the 2020/21 financial year and a catch up spend was required in 2021/22. It was also confirmed that the CCTV Programme budget had been spread evenly over a five year capital programme, the 2022/23 CCTV Programme budget was intended to maintain the Council’s CCTV infrastructure rather than to expand the offering.

The Committee commended officers on the well-constructed budget proposals despite the uncertainty posed by the Covid-19 pandemic and welcomed the proposed investment within highways, street lighting and the maintenance of the CCTV Programme. A query was raised regarding the increase of roughly £500k in the Transport for London (TfL) grant as it had been noted that TfL had been substantially affected financially by the Covid-19 pandemic. Officers confirmed that the Council was still awaiting news of the final TfL settlement and that this was unlikely to arrive ahead of finalising the 2022/23 budget in February. Depending on the final TfL settlement, Officers would prospectively be required to carry out a budget amendment.

Concerns were raised as to the savings projected to be delivered through increases in fees and charges. Officers confirmed that a yearly benchmarking exercise was carried out whereby fees and charges were reviewed in the context of neighbouring local authorities. Across neighbouring boroughs, per resident fees and charges averaged at £150, the proposed review of fees and charges for Hillingdon averaged out at £113 per resident.

The Committee also acknowledged that there may be broader implications for the Public Safety and Transport proposed budget related to discussions with the Department for Education regarding the Dedicated Schools Grant deficit. It was noted that this matter would be scrutinised under the remit of the Families, Health and Wellbeing Select Committee.

The Committee commented that the budget proposals were balanced in the face of a difficult financial period brought about by the Covid-19 pandemic and Members were encouraged by the continued investments in many works programmes. Members accepted that the increase in fees and charges was not ideal but when benchmarked against neighbouring local authorities, Hillingdon provided more affordability for residents.

RESOLVED:

1)    That the Select Committee noted the budget projections contained in the report and commented, as appropriate, on the combined budget proposals affecting the relevant service areas within the Public Safety & Transport Cabinet Portfolio, within the context of the corporate budgetary position; and,

2)    That the final wording of the additional sentence relating to the Select Committee’s budget comments be delegated to the Democratic Services Officer to sign off with the Chairman, in consultation with the Labour Lead.