Issue - meetings

[To approve the Collection Fund estimated outturn 2020-2021][report to follow]

1.      That the payments to the precepting authorities of their share of the Council Tax deficit in equal instalments be approved.

The estimated outturn in 2020-2021 is a cumulative deficit of approximately £7.8 million after accounting for the Hardship Fund grant to compensate for council tax reliefs but prior to funding for 75% of irrecoverable losses. Based on their proportion of the 2020-2021 council tax bill, as approved by Council in March 2020 the amounts are as follows:

•     City of Wolverhampton Council £6.8 million

•     West Midlands Police and Crime Commissioner £660,000

•     West Midlands Fire and Rescue Authority £251,000

2.      That the apportionment of the payments from the precepting authority of their share of the Business Rates deficit, also referred to as Non-Domestic Rates, in equal instalments be approved.

The estimated outturn in 2020-2021 is a cumulative deficit of approximately £9.0 million after accounting for the forecast additional Covid-19 business rates reliefs funded by Section 31 grant but prior to funding for 75% of irrecoverable losses; this is as a result of a cumulative deficit totalling £818,000 brought forward from 2019-2020 and an estimated deficit in 2020-2021 totalling approximately £8.2 million. As prescribed by legislation the amounts are as follows:

•     City of Wolverhampton Council £8.9 million

•     West Midlands Fire and Rescue Authority £90,000

3.      That authority be delegated to the Cabinet Member for Resources, in consultation with the Director of Finance, to confirm any final changes to the forecast outturn reflecting any further information received ahead of the statutory deadline of 31 January 2021.

Councillor Louise Miles presented the report on the estimated outturn for Council Tax and Business Rates, also referred to as Non-Domestic Rates (NDR), transactions on the Collection Fund in 2020-2021. The proposals would inform the budget setting process for 2021- 2022 for the Council and precepting bodies. She informed Cabinet that there was continuing cause for concern over the collection of council tax for the future. It was part of the Council’s financial planning for the next financial year as one of the indirect costs of the Covid-19 pandemic.  She again called upon the Government to make good on their promise to continue to meet these costs. Councillor Miles also referred to the ‘Talk to Us’ campaign launched by the Council to engage with people, particularly those suffering the financial consequences of Covid-19 to assist them in the various ways the Council can, in paying their council tax.

Resolved:

1.      That the payments to the precepting authorities of their share of the Council Tax deficit in equal instalments be approved.

The estimated outturn in 2020-2021 is a cumulative deficit of approximately £7.8 million after accounting for the Hardship Fund grant to compensate for council tax reliefs but prior to funding for 75% of irrecoverable losses. Based on their proportion of the 2020-2021 council tax bill, as approved by Council in March 2020 the amounts are as follows:

•     City of Wolverhampton Council £6.8 million

•     West Midlands Police and Crime Commissioner £660,000

•     West Midlands Fire and Rescue Authority £251,000

2.      That the apportionment of the payments from the precepting authority of their share of the Business Rates deficit, also referred to as Non-Domestic Rates, in equal instalments be approved.

The estimated outturn in 2020-2021 is a cumulative deficit of approximately £9.0 million after accounting for the forecast additional Covid-19 business rates reliefs funded by Section 31 grant but prior to funding for 75% of irrecoverable losses; this is as a result of a cumulative deficit totalling £818,000 brought forward from 2019-2020 and an estimated deficit in 2020-2021 totalling approximately £8.2 million. As prescribed by legislation the amounts are as follows:

•     City of Wolverhampton Council £8.9 million

•     West Midlands Fire and Rescue Authority £90,000

3.      That authority be delegated to the Cabinet Member for Resources, in consultation with the Director of Finance, to confirm any final changes to the forecast outturn reflecting any further information received ahead of the statutory deadline of 31 January 2021.