{meta} Decision - Calculation of Tax Base for Tax Setting Purposes 2022/23 - David Eden

Decision details

Decision status: Recommendations Approved

Is Key decision?: No

Is subject to call in?: Yes


Salford City Council - Record of Decision


I Councillor Bill Hinds, Lead member for Finance and Support Services, in exercise of the powers contained within the City Council constitution do hereby:


Approve in accordance with the Local Authorities (Calculation of Council Tax Base) (England) Regulations 2012, the amount 71,905 calculated by Salford City Council as its council tax base for the financial year 2022/23.


The Reason is that the council is required to calculate the council tax base for 2022/23. This "base" figure, expressed as the number of band D equivalent properties in the city, is, for council tax purposes, a fundamental element in the tax-setting process.


Options considered and rejected were: other estimates to reflect changes in the next financial year.

Assessment of Risk: The Tax Base figure is fundamental to the setting of the council tax levy and hence to the whole budget process. Setting a tax base that is too low would prevent the council from drawing the full amount of tax collected from the collection fund in 2022/23, while setting a tax base that is too high would create a deficit in the collection fund. However, in normal years the exercise is regarded as low risk because: -

·       the starting figures are provided by the Valuation Office and a year on year comparison of figures is undertaken by the DLUHC and attention drawn to possible anomalies (if any);

·       the method of calculation is well-established and familiar, and figures are checked for "reasonableness" and their fit with expectations While an element of judgement needs to be made on future anticipated dwelling changes, these are based on research and information from other council sources.

Uncertainty due to Covid-19 has presented additional risks to the accuracy of the tax base figure. However, the overall risk is still considered to be low because:

·       The Collection Fund is monitored regularly and this has shown the impact of Covid-19 to be less severe on both the collection rate and the cost of the CTR scheme than originally forecast.

·       Any differences between the assumed and actual council tax base will ultimately “unwind” through the statutory mechanisms for operating the collection fund.

The source of funding is: n/a.

Legal Advice obtained: yes

Financial Advice: report produced via the corporate accountancy team

Procurement Advice obtained: n/a

The following documents have been used to assist the decision process.

·       Local Government Finance Act 1992

·       The Local Authorities (Calculation of Council Tax Base) (England) Regulations 2012

·       LGA Finance circulars.

·       Various Working Papers in Corporate Services, Finance Division.


Contact Officer:  David Eden             Tel No. 793 3228


*    This decision is not subject to consideration by another Lead Member

*    The appropriate scrutiny committee to call-in the decision is the Overview and Scrutiny Board.


Signed: Councillor Bill Hinds       

Lead Member for Finance & Support Services

Dated: 6th January 2022


*         This decision was published on 6th January 2022

*         This decision will come in force at 4.00 p.m. on 13th January 2022 unless it is called-in in accordance with the Decision Making Process Rules.


Publication date: 06/01/2022

Date of decision: 06/01/2022

Decided at meeting: 06/01/2022 - Lead Member for Finance and Support Services Briefing

Effective from: 14/01/2022

Accompanying Documents: