The Interim Chief Financial officer explained that the Fees and Charges report will be going to Cabinet next month and will report on the comments made by the Overview and Scrutiny Committees. In the budget report in March of this year the Commissioners commented that further financial work was needed to improve sustainability of the Council and a full review of fees and charges would need to be completed by the end of quarter 1. The Council has begun a three-part review of fees and charges. The first stage is to examine benchmarking and some price reviews. In the second stage there will be further price reviews. The third stage will be a longer-term piece of work which normally takes around 2-3 years and this will look at the profitability of all services and that the Council is actually charging what it can charge for. The policy recommends full cost recovery.

Following the update from the Chief Financial Officer, members were invited to ask questions. Key points raised included:

-       The Committee raised the impact it could have on residents who have already had a 10% rise in Council Tax and charges increased from the 1^st April 2023. The report talks about full cost recovery however the full cost of services and outturn over the last 3 years would have given a clearer picture as due to covid some of that period has not been real.

-       The Chair noted that staffing costs also come under full cost recovery and commented on some of the high salaries and fees paid to consultants over recent years and queried why residents should be paying for this where consultants haven’t done an effective and value-for-money role.

-       The Chair raised that the 14% rise in charges at Thameside could force it to close. It was clarified that the Thameside prices have not increased in line with inflation over the last 5 years.

-       The increase in charges is to get the Council in a sustainable financial position to allow it to deliver services in the future.

-       The CPI was taken at the point in time as it does fluctuate. 

-       The Chair requested for a pay journey to be considered over a period of time for charges where the increase is a particularly high percentage

-       The Chair raised that more should be done with enforcement as there is a lack of consequences for unacceptable behaviour

-       The Chair requested for a pay journey to be considered over a period of time for charges where the increase is a particularly high percentage

Councillor Anderson commented that although he is not happy with some of these increases, especially charging people to park outside their homes through the use of permits however, he understands why the Council is adopting this policy and confirmed that he will be voting in favour of the recommendations tonight. 

The Chair highlighted that she would like the Committee’s comments on full cost recovery, profitability and looking at CPI going forward not just taking April’s CPI as it is normally higher to be taken into account by Cabinet.

RESOLVED:

1.1          That Cleaner, Greener and Safer Overview and Scrutiny Committee notethe proposed Fees and Charges policy, Appendix 1, in particular agreeing the commitment to full cost recovery and annual CPI inflation increases as the default.

1.2          That Cleaner, Greener and Safer Overview and Scrutiny Committee notethe proposed Fees and Charges increases for the material areas, Appendix 2.

1.3          That Cleaner, Greener and Safer Overview and Scrutiny Committee note the proposed new Charges in section 8 of this report.

1.4    That Cleaner, Greener and Safer Overview and Scrutiny Committee note the requirement for a further detailed review & analysis of remaining Fees and Charges by Quarter 4 2023/24.