Budget Consultation 2017/18

Government shifts burden of funding council services to local taxpayers

Nottingham City Council is planning its next budget against a backdrop of £82m of cuts to its Government Revenue Support Grant (RSG) over the last four years and a national shift towards local taxpayers footing the bill for services.

The cuts in RSG  – which takes no account of the additional effects of inflation – will continue over the next two years rising to over £100m by 2019/20.

Shifting the burden to local taxpayers includes the Government’s proposed additional 3% social care precept (raising an extra £3m) as a way to partly address the funding crisis in providing care for the elderly. However, over £10m extra is needed to deal with the extra pressures on the social care budget in the coming year.

The council has made over £200m in savings since 2010/11 and needs to make a further £27m for 2017/18 and another £19m up to 2020 – when under Government plans, the main Government grant to councils will be scrapped altogether and replaced with the ability for councils to keep all of the business rates raised locally.

But Nottingham has been hit harder than most by Government cuts, with people in Nottingham losing £28 per household while in Rutland for example, people are losing £4. And the Government gave nothing to Nottingham when it handed out £150m earlier this year to soften the blow of cuts – while giving it to better off areas such as Surrey and Hampshire.

Watch our video explaining the Council’s budget challenge for 2017/18  

Once again, the council is looking to protect key services such as children’s centres, tackling crime and anti-social behaviour, keeping Nottingham as the UK’s cleanest city and protecting children and supporting vulnerable elderly people.

The city also suffers more under the Government’s proposals to address the funding crisis in adult social care, allowing councils to raise Council Tax by 3%, on top of the 1.99% already accounted for. But this once again leaves local council taxpayers shouldering the burden and is not enough to plug the funding gap – especially in more disadvantaged areas like Nottingham where less can be raised through Council Tax and yet demand for care services is greater. A third of the council’s overall budget is spent on adult social care, with the total additional cost to the council set to reach £54million by 2019/20.

Nottingham City Council Budget Pressures

As well as the Council Tax increase and a reduction of 63 posts, the council is managing to stave off significant service impacts by bringing in extra income through running more services on a commercial basis, more efficiently and in a different way.

Nottingham City Council’s Deputy Leader, Councillor Graham Chapman, said: “This Government is placing the burden on the residents and businesses of Nottingham to pick up the bill for local services, while taking away more funds from Nottingham than many richer parts of the country.

“Nowhere is this more unfair or more serious than in the adult social care funding crisis, for which the Government is shirking its responsibility. Instead of providing a centrally-funded, coordinated solution to help the elderly and prevent bed blocking in the NHS, we need a national solution; this proposal  is short term and simply ‘dumping ‘ costs onto local council taxpayers. But even this will not be enough. Extra demand in Nottingham for adult care this year will be £10m; the extra 3% council tax, if taken, would raise only £3m, which means that the proposals are no more than a sticking plaster.  Moreover, because adult social care accounts for a third of our total budget, it squeezes funds even further for other services.

“Despite all of this we have worked hard to run services more efficiently and on a commercial basis and sought to protect services that local people value as much as possible. However, by 2020, when the Government plans to replace the grant it gives to councils with business rates – another move which will disadvantage poorer areas – we will have lost over £180m in Government funds for local services while demand for them increases.”

People can comment on the draft budget proposals from now until just before the budget is approved at the full council meeting on Monday 6 March 2017.

The council is continuing to do what it can to protect services including

  • Children's centres
  • Keeping crime and anti-social behaviour down
  • Keeping Nottingham as the cleanest city in the country
  • Weekly bin collections
  • Services to protect children and vulnerable adults

As part of the draft budget proposals and in order to try to protect vital services the council is

  • bringing in additional income
  • making more efficiencies
  • transforming some of our services
  • doing some things differently

Proposals to balance the 2017/18 budget include

  • Introducing a fare on Centrelink and Medilink bus services
  • Reviewing on-street parking charges
  • Increasing commercial sales and contracts
  • Redesigning the running of Children’s Centres
  • Carrying out efficiencies in Play and Youth services
  • Reducing Youth Crime services
  • Reducing funding for Nottingham Futures
  • Introducing a charge for non-domestic use of the Household Waste Service
  • Reviewing Leisure Centre and Bereavement Services fees and charges
  • Reducing cultural grants

A report to the council's Executive Board on Tuesday December 20th set out the progress on the 2017/18 budget so far.

In the meantime, people have the opportunity to give their views on the budget proposals so far and to continue to provide any suggestions on how to make further savings, through the Your City Your Services process, at: www.nottinghamcity.gov.uk/yourcityyourservices and at consultation meetings in January.

People can comment on the draft budget proposals from now until just before the budget is approved at the full council meeting in March 2017.

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Draft Budget and Budget Proposals

The Executive Board report below details the Council's budget proposals discussed at Executive Board on Tuesday 20 December. The report includes a list of the proposed savings and other changes to the budget.

Click here to view the Executive Board Budget Consultation 2017/18 report 

Click here to view the detailed proposals

 

Nottingham City Council Budget Pressures

 Our Budget Challenge

  • The number of children in care has increased by 9.4%% since 2012
  • Over the last 6 years we have made savings totalling £200 million
  • The number of people aged 65 is projected to increase by 3% by 2019, Currently, 24% of over 65s have one or more long term conditions
  • The number of school pupils in our schools is expected to increase by 4,500 or 12% by 2017

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How to Have Your Say

Completing this simple online questionnaire

Please note: The online questionnaire is not compatible with screen reader software

Completing a text only / large print version of the questionnaire [17kb]
Return your completed questionnaire in any of the following ways:
email engage@nottinghamcity.gov.uk or post it to the FREEPOST address shown below (you do not need a stamp)

FREEPOST RSKR-JYGH-YYAK
Communications and Marketing (Budget 2017)
Nottingham City Council
Loxley House
Station Street
Nottingham NG2 3NG

You can also comment on Twitter via @MyNottingham using #shrink

Attending one of the community consultation events listed in the table below

If you need any further help to access this information please call us on 0115 876 3421 or email engage@nottinghamcity.gov.uk.

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Community Consultation Events

Locality

Venue

Date and Time

North

Bulwell Riverside JSC (drop-in event)

Main Street

Bulwell

Nottingham, NG6 8QJ

9:30 – 12:30, Thursday
12 Jan 2017

 

 

 

Central

Mary Potter JSC (drop-in event)

Gregory Boulevard Hyson Green NOTTINGHAM NG7 5HY

2:00 – 6:30pm,
Wednesday
25 Jan 2017

 

 

 

South

 

 

 

St Ann's Valley Centre (drop-in event)

2 Livingstone Street St Anns

Nottingham

NG3 3GG

3:30 – 5:00pm Wednesday   18 January 2017

Clifton Cornerstone

Southchurch Drive

Clifton

Nottingham

NG11 8EW

6:30-8:30pm, Tuesday
24 Jan 2017

 

Dales Ward Local Issues Group meeting (budget)

BANCA

312 Sneinton Dale

Sneinton

NG3 7DN

6:30 – 8pm         Tuesday                 31 January 2017

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