Issue - meetings

Report of Councillor P Kerry, Deputy Leader of the Council with responsibility for Finance.

The report to Council sought approval for the Current Budget for 2025/26 and Original Budget for 2026/27 for the General Fund, Housing Revenue Account and Capital Programme as part of the Council’s Medium Term Financial Plan covering the years 2025/26 to 2029/30.

Members were informed that Cabinet had considered and endorsed the proposals at its meeting on 15 January 2026 following on from scrutiny at the Joint Scrutiny Committee on 14 January 2026.

The Director of Finance and Resources and Section 151 Officer gave a presentation on the budget proposals. Members then asked any technical questions of the officer.

Councillor P Kerry, Deputy Leader of the Council, provided background to the budget setting and moved a Motion that Council approve recommendations 1 to 6 in the report.  Councillor N Barker spoke and seconded the Motion.

Councillor A Dale moved an amendment to freeze Council Tax (to amend recommendation 3 to 0% instead of 2.99%). This was seconded by Councillor Helen Wetherall.

Councillors M Thacker MBE, K Gillott, H Wetherall, R Shipman, D Hancock, J Barry and F Adlington-Stringer spoke regarding the budget proposal and amendment.

The amendment was put to the vote. As required by law this was taken as a recorded vote.  The amendment failed.

For: 14

Councillors F Adlington-Stringer, N Baker, S Clough, A Dale, L Deighton, M Foster, P Jones, W Jones, H Liggett, R Spooner, J Stokes, M Thacker MBE, R Welton, H Wetherall

Against: 27

Councillors N Barker, J Barry, G Baxter, R Beech, J Birkin, D Cheetham, A Cooper, S Cornwell, S Fawcett, C Fletcher, C Gare, K Gillott, D Hancock, L Hartshorne, D Higgon, P Kerry, C Lacey, T Lacey, F Petersen, S Pickering, M Roe, K Rouse, R Shipman, D Skinner, Caroline Smith, M Smith, L Stone

Councillor R Shipman moved an amendment to increase Council Tax by 1% (to amend recommendation 3 to 1% instead of 2.99%). This was seconded by Councillor D Hancock.

The amendment was put to the vote. As required by law this was taken as a recorded vote.  The amendment failed.

For: 16

Councillors F Adlington-Stringer, N Baker, S Clough, A Dale, M Foster, D Hancock, P Jones, W Jones, H Liggett, M Roe, R Shipman, R Spooner, J Stokes, M Thacker MBE, R Welton, H Wetherall

Against: 24

Councillors N Barker, J Barry, G Baxter, R Beech, J Birkin, D Cheetham, A Cooper, S Cornwell, S Fawcett, C Fletcher, C Gare, K Gillott, L Hartshorne, D Higgon, P Kerry, C Lacey, T Lacey, F Petersen, S Pickering, K Rouse, D Skinner, Caroline Smith, M Smith, L Stone

The original Motion was put to the vote. As required by law this was taken as a recorded vote. The Motion was approved.

For: 23

Councillors N Barker, J Barry, G Baxter, R Beech, J Birkin, D Cheetham, A Cooper, S Cornwell, S Fawcett, C Fletcher, C Gare, K Gillott, L Hartshorne, D Higgon, P Kerry, C Lacey, F Petersen, S Pickering, K Rouse, D Skinner, Caroline Smith, M  ...  view the full minutes text for item 78

Report of Councillor P R Kerry, Deputy Leader of the Council and Portfolio Holder for Strategic Leadership and Finance

RESOLVED

1.     That all recommendations below are referred to the Council meeting of 26 January 2026.

The following recommendations to Council are made:

2.     That the view of the Director of Finance & Resources, that the  estimates included in the Medium-Term Financial Plan 2025/26 to 2029/30 are robust and that the level of financial reserves are adequate at this time, is accepted.

3.     That officers report back to Cabinet and the Services Scrutiny Committee on a quarterly basis regarding the overall position in respect of the Council’s budgets.

General Fund

4.     A Council Tax increase of £6.48 will be levied in respect of a notional Band D property (2.99%).

5.     The Medium-Term Financial Plan in respect of the General Fund as set out in Appendix 1 of this report was approved as the Current Budget 2025/26, as the Agenda Item 4 Original Budget 2026/27, and as the financial projections in respect of 2027/28 to 2029/30.

6.     That the General Fund Capital Programme as set out in Appendix 4 was approved as the Current Budget in respect of 2025/26, and as the Approved Programme for 2026/27 to 2029/30.

7.     That budget under spends be transferred to the Resilience Reserve to provide increased financial resilience for future years of the plan.

Housing Revenue Account (HRA)

8.     That Council set its rent levels for 2026/27 in consideration of the Social Housing Rent Standard increasing rents by 4.8% from 1st April 2026.

9.     The Medium-Term Financial Plan in respect of the Housing Revenue Account as set out in Appendix 3 of this report was approved as the Current Budget in respect of 2025/26, as the Original Budget in respect of 2026/27, and the financial projection in respect of 2027/28 to 2029/30.

10. That the HRA Capital Programme as set out in Appendix 4 was approved as the Current Budget in respect of 2025/26, and as the Approved Programme for 2026/27 to 2029/30.

11. That the Management Fee for undertaking housing services at £13.962m and the Management Fee for undertaking capital works at £1.1m to Rykneld Homes in respect of 2026/27 was approved.

12. That Members noted the requirement to provide Rykneld Homes with a ‘letter of comfort’ to the company’s auditors and granted delegated authority to the Council’s Director of Finance & Resources (S151 Officer) in consultation with the Deputy Leader of the Council to agree the contents of that letter.

This was not a Key Decision and so can be implemented with immediate effect by officers.

Cabinet considered a report seeking approval of the Current Budget for 2025/26 and Original Budget for 2026/27 for the General Fund, Housing Revenue Account and Capital Programme as part of the Council’s Medium Term Financial Plan covering the years 2025/26 to 2029/30.  The report made a number of recommendations proposing to be taken by Council on 26 January 2025. 

With the agreement of the Leader, the report recommendations were considered and taken in two parts. Cabinet would consider recommendations 1-7 (relating to the General Fund) followed by recommendations 8-12 (relating to the Housing Revenue Account).

Cabinet considered the report and recommendations 1-7. Some Members suggested that the proposed council tax increase was sensible, necessary for services to be fully funded and provided resilience for future years. Cabinet agreed to pass recommendations 1-7.

Councillor K Gillott left the meeting

Cabinet considered the report and recommendations 8-12. It was highlighted that the proposed rent levels would allow for contingency and resilience. Some Members suggested that it wasn’t an easy decision to increase rents, however it was a necessary decision as additional costs were approaching and there was a need for contingency. Some Members highlighted that Rykneld Homes had achieved a C1 score from the regulator and expressed positivity at the level of service provided. Cabinet agreed to pass recommendations 8-12.

RESOLVED –

1. That all recommendations below are referred to the Council meeting of 26 January 2026.

The following recommendations to Council are made:

2. That the view of the Director of Finance & Resources, that the estimates included in the Medium Term Financial Plan 2025/26 to 2029/30 are robust and that the level of financial reserves are adequate at this time, is accepted.

3. That officers report back to Cabinet and the Services Scrutiny Committee on a quarterly basis regarding the overall position in respect of the Council’s budgets.

General Fund

4. A Council Tax increase of £6.48 will be levied in respect of a notional Band D property (2.99%).

5. The Medium-Term Financial Plan in respect of the General Fund as set out in Appendix 1 of the report was approved as the Current Budget 2025/26, as the Original Budget 2026/27, and as the financial projections in respect of 2027/28 to 2029/30.

6. That the General Fund Capital Programme as set out in Appendix 4 was approved as the Current Budget in respect of 2025/26, and as the Approved Programme for 2026/27 to 2029/30.

7. That budget under spends be transferred to the Resilience Reserve to provide increased financial resilience for future years of the plan.

Housing Revenue Account (HRA)

8. That Council set its rent levels for 2026/27 in consideration of the Social Housing Rent Standard increasing rents by 4.8% from 1st April 2026.

9. The Medium-Term Financial Plan in respect of the Housing Revenue Account as set out in Appendix 3 of the report was approved as the Current Budget in respect of 2025/26, as the Original Budget in respect of 2026/27, and the financial projection in respect of 2027/28 to 2029/30.

10. That the HRA Capital Programme as  ...  view the full minutes text for item 61

To consider the Cabinet report which will be published on Wednesday 7 January 2026, and can be accessed online at https://democracy.ne-derbyshire.gov.uk/ieListDocuments.aspx?CId=1137&MId=3073&Ver=4

Report of the Director of Finance & Resources and Section 151 Officer

Councillor P Kerry, Deputy Leader and Portfolio Holder for Finance, introduced the draft Medium Term Financial Plan 2025/26 – 2029/30, which would be presented to Council on 26 January 2026.

Councillor Kerry talked about the budget setting process, a key part of which had been the upcoming business rate reset, which was the first reset since 2013. The reset removed all previous growth, significantly affecting the Council’s business rate income.  An increase to Council Tax of 2.99% was being proposed.

The importance of rent affordability for tenants was emphasised, with consideration also given to rising costs pressures on the Housing Revenue Account (HRA). The housing service had recently been awarded a C1 rating, however the financial burden of regulatory and compliance requirements was beginning to have a notable impact.  Consequently, a rent increase of 4.8% was proposed.

The Director of Finance and Resources (Section 151 Officer) gave a presentation which summarised the draft Medium Term Financial Plan. This included details of:

·       General Fund

o   Funding Reforms

o   Waste Reforms

o   Revenue Support Grant (RSG) and Transitional Protection

o   Business Rates

o   Recovery Grant

o   Local Government Reorganisation

o   Council Tax

o   2025/26 Budget

o   2026/27 Original Budget

o   Forecast 2027/28 – 2029/30

o   Reserves

·       Housing Update

o   Housing Revenue Account (HRA)

·       Capital Investment Programme

Members thanked the Director of Finance and Resources (Section 151 Officer) for their presentation and the work in preparing the budget.