Agenda item

To consider a report from the Chief Financial Officer, which presents the 2024/25 forward budget to the Hampshire and Isle of Wight Fire and Rescue Authority (HIWFRA) for approval.

The Authority considered a report from the Chief Financial Officer (item 7 in the minute book)

The report was summarised by the officer, highlighting that a 2.99% increase had been assumed with Council Tax.

During questions of the report, the following points were clarified:

·        The Fire Authority continued to be part of the Fire and Rescue Indemnity Company (FRIC), and confirmed that a lot of research and development was done collectively to learn and improve. Zurich Municipal however continued to cover elements like Business Travel, Engineering Insurance and Engineering Inspection. FRIC continued to encourage and invite others to join the entity.

·         Carbon reduction spending had been focused on electric vehicle charging points and improving building fabrics and the Carbon Trust was consulted in order to help assess the effectiveness of investments.

·         It was confirmed that there was no ‘fund’ for the Firefighters’ Pension Scheme, as there is for the Local Government Pension Scheme (LGPS).

·         Future efficiencies would be closely looked at, with the HR model being assessed as it moved in-house. The future employment of on-call firefighters was not a concern for expenditure due to the lower numbers and the increase being steady. The timescales required for the relevant training and onboarding would allow time to plan to reduce other spend.

·         Members acknowledged the continuing lobbying of central government to contribute to the additional costs of pensions and it was confirmed that any money received or pension changes would be brought back to the Full Authority.

·         Advice was always taken with regards to borrowing.

·         Work around contaminants prioritised stations at higher risk.

RESOLVED

The Hampshire and Isle of Wight Fire and Rescue Authority approved the following:

a) The 2023/24 monitoring position as set out in paragraphs 31 – 37, including the £500,000 contribution to the Capital Payments Reserve in 2023/24 and the split of the 2023/24 underspend between the Transformation Reserve and the Capital Payments Reserve.

b)  The one off pressures set out in paragraphs 65 and 66, to be funded from the Transformation Reserve.

c)  The Revenue Budget for 2024/25, as set out in Appendix A1.

d)  The Revised Revenue Budget for 2023/24 as set out in Appendix A2.

e)  The Medium Term Financial Plan, as set out in Appendix B.

f)   The Capital Programme and funding as set out in Appendix C1 and exempt Appendix C2.

g)  The Reserves Strategy as set out in Appendix D.  This includes the contribution of £1.5m from an underspend on Capital Financing costs to the Transformation reserve as set out in paragraph 96 of the main report. 

h)  The Treasury Management Strategy for 2024/25 (and the remainder of 2023/24) as set out in Appendix E.

i)    Delegated authority to the Chief Financial Officer to manage the Fire and Rescue Authority’s investments and borrowing according to the Treasury Management Strategy Statement as appropriate.

j)    The Capital and Investment Strategy as set out in Appendix F for 2024/25, (and the remainder of 2023/24).

k)  The Section 25 Report as set out in Appendix G which should be taken into account by the Authority in agreeing the budget and council tax.

l)    The council tax requirement for the Authority for the year beginning 1 April 2024 of £59,533,418.31.

m)That the Authority’s council tax be increased by 2.99% for a Band D property for the year beginning 1 April 2024 and for the properties in each band to be increased by 2.99%, as set out in paragraph 44 of the report:

Band A:            £55.23                                    Band E:          £101.25

Band B:            £64.43                                    Band F:          £119.66

Band C:            £73.64                                    Band G:          £138.07

Band D:            £82.84                                    Band H:          £165.68

n)  That the precepts set out in paragraph 50 of this report, totalling £59,533,418.31 are issued on the billing authorities in Hampshire, requiring the payment in such instalments and on such dates set by them and previously notified to the Authority, in proportion to the tax base of each billing authority’s area as determined by them.

o)  The principle of adding any early delivery of savings from the efficiencies developed to meet the anticipated budget gap in 2025/26 to the Budget Equalisation Reserve was agreed.