WARRINGTON council tax payers face a proposed rise of 2.98 per cent for the coming year – meaning occupiers of the average Band D dwelling will have to pay £1,963.60.
This assumes 1.99 per cent increases in both the Cheshire Police and Cheshire Fire and Rescue precepts.
The council’s budget for the coming year is £150,177 million.
Savings of just under £19,972 million have been identified – and £23.3 million will be required from reserves to balance the budget.
The proposals are to be put to a meeting of the council’s cabinet by deputy leader and cabinet member for corporate resources Cllr Cathy Mitchell on Monday, February 14 with a view to being approved at a meeting of the full council on Monday, February28.
Cllr Mitchell says the process of setting a budget for 2022/23 and beyond has again been particularly difficult.
“We have continued to respond to dealing with the local effects of the Covid pandemic as well as continuing to deliver the council’s normal services in as Covid-safe way as possible.
“This has demonstrated how robust our existing budget strategy has been, with the council expecting to conclude the 2021-22 financial year in a relatively strong position, maintaining a robust level of reserves to mitigate further financial shocks and risks going forward.”
The council has already made savings of £14.1 million and £11.6 million in the last two financial years, but £53.9 million of additional savings will also need to be made over the next four years.
It is estimated that savings proposed, along with in-year budget management and ongoing consideration of any voluntary redundancy requests, will lead to a reduction of a small number of posts But the need for compulsory redundancies will be kept to a minimum.
The report adds: “At the time of writing, the situation around the council’s investment in Together Energy Ltd has been the subject of much speculation.
“As part of the planning process for the Medium Term Financial Plan (MTFP), the council has considered the potential future financial implications of a number of outcomes for the council’s investment in Together Energy. The current base budget includes a £1.8 million return from this investment.
At the time of budget planning it was considered prudent not to rely on this return for future years and, as such, this value is now reflected as a funded pressure in 2022-23.
“Budget provision for the cont8inuing costs relating to the investment remain within the base budget and have not been removed.
“The MTFP reflects a prudent approach to a range of potential outcomes. The proposed budgets for the ongoing delivery of council services are not subject to any reduction or detriment in 2022/23 as a result of the administration process in respect of Together Energy.
“As part of the financial planning process, the council maintains a corporate risk reserve (currently held at £28.8 million) to underpin one-off financial liabilities in the council’s commercial investment programme which may arise at short notice or due to unforeseen events.”
