Main heading

On 14 February 2008, the Council met to agree its budget for providing services in the financial year from 1 April 2008.  The cost of these services will be £748 million, which includes £373 million ring-fenced for schools.

The new budget requires a 3.5% Council Tax increase which is equivalent to an extra 67p a week on the average bill. 

The final package was agreed following months of discussion to decide which are the priority Services for extra funding. This process involved more difficult choices than expected because the Council is receiving only a 2.1% increase in Government funding - compared with the average 5.3% rise for Shires nationally and significantly below the annual 4.1% Retail Price Index inflation rate.  However, the continuous search for greater efficiency helped to limit the impact of this funding shortfall, with over £30 million of savings achieved in the last three years.  A further £16 million is expected in the coming 12 months from major projects across the organisation. 

The Council plans to spend £107 million on capital investment in 2008-09 (including £40 million on new schemes).  This includes investment on roads, land and buildings, equipment and vehicles.

More information:

How will income and expenditure be shared across Services? Where will the money come from? How does the budget compare with last year?

2008 Budget Leaflet 2008-09 Budget Book The "Green Book" Policy and Expenditure Proposals on which the Budget was based More about the Council Tax More about setting the Council budget

Expenditure and Income by Service	2008-2009				2007-2008
	Gross	Income	Net		Net
	£ million	£ million	£ million		£ million
Education	559	121	438		423
Social Services	279	85	194		185
Highways, Roads and Transport:
Highways and Roads	46	7	39		40
Traffic management & Road Safety	5	2	3		3
Public Transport	24	15	9		9
Cultural, Environmental and Planning:
Cultural and Related Services (inc. Libraries)	20	4	16		16
Environmental services (inc. Waste Disposal)	41	4	37		32
Planning and Development	8	2	6		7
Central Services:
Corporate and Democratic Core	6	-	6		7
Other	5	-	5		11
	--------	--------	--------		--------
Total Service Budgets	993	240	753		733
Less:  Use of Reserves	-	-	10		13
Capital Financing / Depreciation	-	-	-2		6
Change in Pensions Adjustment	-	-	-3		1
	--------	--------	--------		--------
Total County Council Budget	-	-	748		713
Less:   Dedicated Schools Grant	-	-	373		360
	--------	--------	--------		--------
Budget Requirement	-	-	375		353

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Where will the money come from?	£ million		£ per resident		£ per Band D equivalent
Budget 2008-2009	375		545.93		1,419.58
Less:
Government Funding:
Revenue Support Grant	12		18.05		46.96
Business Rates	89		129.73		337.34
Deficit on Collection Fund			-0.72		-1.89
	-------		-------------		---------------
Amount to be met from Council Tax	274		398.87		1,037.17

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How does the Budget compare with last year?	£ million
Last Year's Budget 2007-2008	353
Increased spending on services	21
Increase in expenditure due to pay and price changes	14
Additional income from fees, charges and grants	-6
Service reductions and efficiencies	-28
Reduced use of reserves	3
Changes in responsibilities and other adjustments	18
	-------
This Year's Budget 2008-2009	375