Funding Assumptions
The MTFP sets out the anticipated funding for the next four years, and the table below expands on some of the information provided in the MTFP. The Government has offered FRAs a guaranteed four-year funding settlement in order to provide increased certainty and to aid planning. However, this only guarantees the minimum amount of revenue support grant (RSG) receivable. Business rates receivable are not guaranteed and are subject to volatility depending on factors such as the level of growth and appeals against valuations.
|
Settlement Funding Assessment (All figures are £000 unless stated) |
2015-16 | 2016-17 | 2017-18 | 2018-19 | 2019-20 |
|---|---|---|---|---|---|
| Baseline Funding - Business Rates / Top Up | 13,714 | 13,842 | 13,907 | 14,318 | 14,775 |
| Revenue Support Grant (RSG) | 14,361 | 11,940 | 8,864 | 7,262 | 6,319 |
| Settlement Funding Assessment Total | 28,075 | 25,782 | 22,771 | 21,580 | 21,094 |
| Additional Transitional Grant included in the Grant settlement | / | 141 | 178 | / | / |
Council Tax Forecast
|
Settlement Funding Assessment (All figures are £000 unless stated) |
2015-16 | 2016-17 | 2017-18 | 2018-19 | 2019-20 |
|---|---|---|---|---|---|
| Band D Council Tax (£) | 41,254 | 42,918 | 44,160 | 45,477 | 46,817 |
| Actual / Assumed Council Tax base increase on previous year(£) | 733 | 876 | 437 | 450 | 464 |
| Yearly Council Tax Precept Increase (£) | 1.35 | 1.35 | 1.35 | 1.44 | 1.44 |
| Collection Fund (Council Tax and business rates) (£) | 646 | 451 | / | / | / |
| Estimated Total Council Tax Income | 41,900 | 43,369 | 44,160 | 45,477 | 46,817 |
| Council Tax Band D Precept Increase (%) | 1.95 | 1.91 | 1.88 | 1.96 | 1.93 |
| Growth in Council Tax Base Yield to Previous Year (%) | 1.81 | 2.08 | 1.00 | 1.00 | 1.00 |
Total Funding
2015-16: 69,975
2016-17: 69,292
2017-18: 67,109
2018-19: 67,057
2019-20: 67,911
As can be seen from the figures above, the level of RSG that the Authority can expect to receive over the coming years is likely to reduce, which means that there will be an increased reliance on the money raised from Council Tax and business rates. The Authority’s current plans are that it will continue to increase Council Tax each year, but that the increase will remain below the Government-set referendum limit (which is currently a maximum annual increase of less than 2%).