Decision status: Recommendations Approved
Is Key decision?: No
Is subject to call in?: Yes
Salford City Council - Record of Decision
Approve, in accordance with the Local Authorities (Calculation of Council Tax Base) (England) Regulations 2012, the amount 73,859 calculated by Salford City Council as its council tax base for the financial year 2023/24.
The reason is: that the council is required to calculate the council tax base for 2023/24. 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 2023/24, 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.
The source of funding is: n/a
The Local Authorities (Calculation of Council Tax base) (England) Regulations 2012 set out the rules for calculation of the Council Tax base, which is an amount required to be used in the calculation of Council Tax by billing authorities and major precepting authorities and in the calculation of the amount of a precept payable by each billing authority to a major precepting authority. Under the rules, the council tax base is, in essence, the number of dwellings in an area belonging to each valuation band, modified to take account of the proportion applying to dwellings in each band, discounts, reductions under a Council Tax reductions scheme and the proportion of the Council Tax for the year which the billing authority expects to be able to collect.
Financial Advice obtained: the report is produced by 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.
This decision is not subject to consideration by another Lead Member.
FOR DEMOCRATIC SERVICES USE ONLY
This decision was published on 18th January 2023.
Publication date: 18/01/2023
Date of decision: 17/01/2023
Decided at meeting: 17/01/2023 - Lead Member for Finance and Support Services Briefing
Effective from: 26/01/2023