This report considers the level of Council Tax for 2019/20 and the policy on reserves. It also provides details of the Council's formula grant funding settlement for 2019/20, the 75% Business Rates Retention Scheme and the requirement for the Council to generate income form a variety of projects.  The 75% Business Rate Retention Schemes is a pilot scheme for 1 year only which is across the North Yorkshire and West Yorkshire Councils.  It is expected to benefit the Council in obtaining increased funding, and is a precursor to the 75%  Business Rate Retentions Scheme from 2020/21 that is currently under consultation with the Ministry of Housing Communities and Local Government (MHCLG).

 

In accepting the recommendations, Cabinet will approve and recommend to Council various decisions regarding the setting of the level of Council Tax.

The subject of the decision:

 

This report considered for level of Council Tax for 2019/20 and the policy on reserves. In addition, it provided details of the Council's formula grant settlement for 2019/20; the 75% Business Rates Retention Scheme and the requirement for the Council to generate income from a variety of projects.  The 70% Business Rate Retention Scheme was a pilot scheme for one year only which was across North Yorkshire and West Yorkshire Councils.  It was expected to benefit the Council in obtaining increased funding and was a precursor to the new 75% Business Rates Retention Scheme from 2020/21 that was currently under consultation with the Ministry of Housing Communities and Local Government (MHCLG).

 

Alternative options considered:

 

None.

 

The reason for the decision:

 

To maintain the long term viability of the Council’s finances and ensure sustainability by investing in community projects as determined by the Council’s priorities and supporting the maintenance and enhancement of service delivery. To maintain the integrity of the Council’s financial strategy.

 

THE DECISION:

 

That Cabinet recommends to Council:-

 

(1)       That it be noted that on 15 January 2019 Hambleton District Council calculated the Council Tax Base for 2019/20:-

 

          (a)     for the whole Council area as 36,847.22  [Item T in the formula in Section 31B of the Local Government Finance Act 1992, as amended (the "Act")]; and

 

          (b)     for dwellings in those parts of its area to which a Parish precept relates as in the attached Annex A(1).

 

(2)     That the Council has calculated the Council Tax requirement for the Council's own purposes for 2019/20 (excluding Parish precepts) as £4,034,033.65

 

(3)     That the following amounts be calculated for the year 2019/20 in accordance with Sections 31 to 36 of the Local Government Finance Act 1992:-

 

          (a)     District/Parish Gross Expenditure

                   £ 47,644,004.00       being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(2) of the Act taking into account all precepts issued to it by Parish Councils

 

          (b)     District/Parish Gross Income (including Government Grants, use of Reserves and Collection Fund Surpluses etc)

                   £ 42,107,836.30       being the aggregate of the amounts which the Council estimates for the items set out in Section 31A(3) of the Act

 

          (c)     District/Parish Net Expenditure

                   £ 5,536,167.70         being the amount by which the aggregate at 3(a) above exceeds the aggregate at 3(b) above, calculated by the Council in accordance with Section 31A(4) of the Act, as its Council Tax requirement for the year (Item R in the formula in Section 31B of the Act)

 

          (d)     Basic Amount of Tax (including average Parish Precepts)

                   £ 150.2466               being the amount at 3(c) above (Item R) all divided by Item T (1(a) above), calculated by the Council in accordance with Section 31B of the Act, as the basic amount of its Council Tax for the year (including Parish precepts)

 

          (e)     Parish Precepts

                   £ 1,502,134.05         being the aggregate of all special items (Parish precepts) referred to in Section 34(1) of the Act (as per Annex ‘A’)

 

          (f)      Basic Amount of Tax (Unparished Areas)

                   £109.4800                being the amount at 3(d) above less the result given by dividing the amount at 4(e) above by Item T (1(a) above), calculated by the Council in accordance with Section 34(2) of the Act, as the basic amount of its Council Tax for the year for dwellings in those parts of its area to which no Parish precept relates

 

(4)     Major Precepting Authorities

          That it be noted that the North Yorkshire County Council, the North Yorkshire Fire and Rescue Authority and the Police and Crime Commissioner North Yorkshire will issue precepts to the Council in accordance with Section 40 of the Local Government Finance Act 1992 for each category of dwellings in the Council's area and this will be as indicated in the table below and at Annex A(1).

 

(5)     Council Tax Bands for All Councils

          Figures for North Yorkshire County Council, North Yorkshire Fire and Rescue Authority and Police and Crime Commissioner North Yorkshire are yet to be determined and will be reported at Council on 26 February 2019.

 

          That the Council, in accordance with Sections 30 and 36 of the Local Government Finance Act 1992, hereby sets the aggregate amounts in the tables below as the amounts of Council Tax for 2019/20 for each part of its area and for each of the categories of the dwellings.

 

          Hambleton District Council

 

          Valuation Bands

 

A	B	C	D	E	F	G	H
£	£	£	£	£	£	£	£
72.99	85.15	97.32	109.48	133.81	158.14	182.47	218.96

 

          North Yorkshire County Council – excluding Adult Social Care

          Valuation Bands

 

A	B	C	D	E	F	G	H
£	£	£	£	£	£	£	£

 

          North Yorkshire County Council – Adult Social Care

          Valuation Bands

 

A	B	C	D	E	F	G	H
£	£	£	£	£	£	£	£

 

          North Yorkshire Fire and Rescue Authority

 

          Valuation Bands

 

A	B	C	D	E	F	G	H
£	£	£	£	£	£	£	£

 

          Police and Crime Commissioner North Yorkshire

 

          Valuation Bands

 

A	B	C	D	E	F	G	H
£	£	£	£	£	£	£	£

 

(6)     Excessive Council Tax

          That the Council determines that the Council's basic amount of Council Tax for 2019/20 (at 3(f) above) is not excessive in accordance with the principles approved under Section 52ZB of the Local Government Finance Act 1992.

 

(7)     The appropriate amount is transferred to the Council Taxpayers Reserve to support the decision at (3) above.

 

(8)     The policy on Balances and Reserves at Annex C is approved.

 

Note: Councillor P R Wilkinson declared a non-pecuniary interest as he represents the District Council on the Police and Crime Commission who are required to set their precept for the North Yorkshire Fire and Rescue Service and the Police.