SHAPING THE FUTURE

Warwickshire's budget

On 6 February 2014 Warwickshire County Council agreed a medium term ­financial plan covering the period 2014 – 2018. This medium term fi­nancial plan will underpin the delivery of our One Organisational Plan and we will continue to review our medium term revenue position during the course of the plan.

As part of our review of the current One Organisational Plan we will also have to consider further savings. We anticipate that by 2020 we will have to find £67million savings, this includes savings already agreed as part of the 2014-18 plan.

The amount of money we have available to deliver our core purpose will be in the region of £378m by 2018. A year by year breakdown is presented in more detail here and includes Council Tax at a rate of 1.9% - 1.99%

Overall predicted council revenue position

 

14/15

£m

15/16

£m

16/17

£m

17/18

£m

Revenue support grant 73 56 47 40
Business rates 58 59 60 61
Other Government grants1 44 43 38 38
Council Tax (1.9% - 1.99 % year on year increase)2 217 229 233 239
Total revenue resource 392 387 378 378

1 Other Governement Grants included here are New Homes Bonus, Better Care Fund, Public Health Grant, Education Support Grant and Local Services Grants. Dedicated Schools Grant is excluded.
2 Council Tax figures assume a 0.5% year-on-year increase in tax base in future years.


The 2014/15 Agreed Revenue and Capital Budget is available here. This includes the 2014/15 - 2017/18 savings plan.

We have identified that over the four years of the plan we must deliver savings of between £20million - £25million each year to ensure a sustainable budget over the medium term. This amounts to a total saving of around £92million. The savings have been identi­fied from all areas of our activity and will be delivered in a phased manner between 2014 – 2018.

Our capital budget is money we spend on assets that have a lasting value, for example, land, buildings and large items of equipment such as computers or vehicles. Our revenue budget covers the day to day running of services, this includes wages and the running expenses of our buildings.

The 2015/16 Revenue Budget is available here. 

This was agreed by county council at their meeting on 5 February 2015.


 The 2016/17 Revenue Budget is available here.

This was agreed by county council at their meeting on 4 February 2016.


 

Council tax

Council tax remains the biggest source of income for Warwickshire County Council and the development of the 2014-18 One Organisational Plan has provided the opportunity to take a longer term approach to setting the level of council tax.

More information about council tax is available here: www.warwickshire.gov.uk/counciltaxspending 


 

Inflation Inflation

The cost of inflation over the period 2014-18 will be in the region of £41million. Funding has been allocated to cover the cost of inflation at a local level to minimise the impact on services

 

Spending Pressures

Spending Pressures

We have allocated £5million a year to respond to expected new spending pressures from 2016/17  that emerge to ensure we have in place a medium term plan that is financially resilient.

 

Capital Resources

Capital Resources


We will use our capital resources over the next four years to support the growth of the local economy through investment in infrastructure. This support will not only stimulate economic growth but deliver a positive and sustainable economic impact for the people of Warwickshire. 

There are several categories of capital resources (capital funding) - Corporate Borrowing, Grants & Contributions, Capital Receipts, Revenue Contributions, Developer Contributions.

Corporate Borrowing: Borrowing from the Public Works Loans Board to meet the shortfall between the amount in the capital budget (i.e. what we plan to spend) vs. the total of the other sources of capital funding.

Grants & Contributions: Funding from central government towards either specific schemes i.e. with conditions attached, or non-specific i.e. no conditions attached/non-ringfenced. Additionally, this may be contributions from a third-party i.e. from another public sector body or charity, towards a project that WCC is leading on.

Capital Receipts: Re-investing the proceeds from the sale of existing assets i.e. the sale of a property or vehicle.

Revenue Contributions: Where Services decide to use some of their revenue budget to contribute towards a capital scheme or project.

Developer Contributions: Contributions towards the cost of building the new infrastructure that is needed in order to make a development viable. For example, towards the cost of building new roads on/near a housing development.

 

Reduce Debt

Reduce debt


Capital resources will also be used to reduce the authority's level of outstanding debt by keeping the existing limit on borrowing to £20million.

 

 

 

Warwickshire NewsFor the latest news from Warwickshire County Council visit www.warwickshire.gov.uk/news