RESOLVED:

That Cabinet, in taking decisions relating to the Business Plan 2022-26, took into account the recommendations made by the Overview and Scrutiny Commission (set out in paragraphs 2.7 to 2.12 below) and references from the other Overview and Scrutiny Panels (set out in paragraph 2.4)

2.4. The Sustainable Communities Panel RESOLVED to recommend Cabinet hold saving ENV2022-23 03, regarding Deen City Farm, on the basis that it is a saving to be made in 2023/24 and in anticipation of finding an alternative saving.

2.7. Commission members welcome the opportunity to scrutinise the Budget and Business Plan 2022-26, and acknowledge the difficulties officers have faced in finalising it while the legacy costs of the pandemic remain unfunded and unresolved. 2.8. Because of the timetable for the budget process, the Commission has consistently been one step behind the Cabinet e.g. scrutinising the third (December) iteration of the budget on 19 January when Cabinet has approved the fourth iteration two days earlier, on 17 January. The timetable should be reviewed to see whether the final Commission meeting can be delayed to ensure scrutiny of the latest budget iteration, while still allowing time to feed back to the final Cabinet meeting on 7 February.

2.9. In recent years heavy reliance has been placed on the Balancing the Budget Reserve to close the gap and set a balanced budget ((£11.5m in 2022/23).

2.10. The text notes: “It should be recognised that the use of reserves is a one off form of funding and alternative ongoing savings need to be identified to address the budget gap over the long term”. Is the Cabinet satisfied that this dependence on the BtBR is sustainable?

2.11. Resolution of the DSG deficit is now tantalisingly close, with the potential to impact the final budget for 2022/23. Cabinet will be faced with various options for allocating the provisions released, including amongst others: · replenishing the Balancing the Budget Reserve · cancelling “unachievable” savings · funding priorities identified by “Your Merton” · moving forward with the Climate Change Action Plan

2.12. Cabinet is requested to ensure that scrutiny members are involved in the discussion of these alternatives

The Chair advised that items 4, 5 and 7 would be taken together. For the purpose of the minutes these are minuted separately.

At the invitation of the Chair, Councillor Southgate, Chair of the Overview and Scrutiny Commission presented the reference report which set out the recommendations of the Commission and the Scrutiny Panels following the preceding round of budget scrutiny in January 2022.

Councillor Southgate gave an overview of the recommendations by the Overview and Scrutiny Commission, noting that in future the scheduling of Scrutiny and Cabinet meetings could be timetabled more closely.

Councillor Southgate thanked Councillor Pritchard and the Director for their work.

The Deputy Leader and Cabinet Member for Finance responded and agreed that more could be done in regard to the timetabling of meetings.

The Director of Corporate Services advised that the timetabling of meetings had been amended for 2022-23 and these meeting dates had been agreed at February Council.

RESOLVED:

That Cabinet, in taking decisions relating to the Business Plan 2022-26, took into account the recommendations made by the Overview and Scrutiny Commission (set out in paragraphs 2.7 to 2.12 below) and references from the other Overview and Scrutiny Panels (set out in paragraph 2.4)

2.4. The Sustainable Communities Panel RESOLVED to recommend Cabinet hold saving ENV2022-23 03, regarding Deen City Farm, on the basis that it is a saving to be made in 2023/24 and in anticipation of finding an alternative saving.

2.7. Commission members welcome the opportunity to scrutinise the Budget and Business Plan 2022-26, and acknowledge the difficulties officers have faced in finalising it while the legacy costs of the pandemic remain unfunded and unresolved. 2.8. Because of the timetable for the budget process, the Commission has consistently been one step behind the Cabinet e.g. scrutinising the third (December) iteration of the budget on 19 January when Cabinet has approved the fourth iteration two days earlier, on 17 January. The timetable should be reviewed to see whether the final Commission meeting can be delayed to ensure scrutiny of the latest budget iteration, while still allowing time to feed back to the final Cabinet meeting on 7 February.

2.9. In recent years heavy reliance has been placed on the Balancing the Budget Reserve to close the gap and set a balanced budget ((£11.5m in 2022/23).

2.10. The text notes: “It should be recognised that the use of reserves is a one off form of funding and alternative ongoing savings need to be identified to address the budget gap over the long term”. Is the Cabinet satisfied that this dependence on the BtBR is sustainable?

2.11. Resolution of the DSG deficit is now tantalisingly close, with the potential to impact the final budget for 2022/23. Cabinet will be faced with various options for allocating the provisions released, including amongst others: · replenishing the Balancing the Budget Reserve · cancelling “unachievable” savings · funding priorities identified by “Your Merton” · moving forward with the Climate Change Action Plan

2.12. Cabinet is requested to ensure that scrutiny members are involved in the discussion of these alternatives