Contact: Paul Carey-Kent, Deputy Treasurer, (01962 847525)

David Howells, Director of Corporate Services (023 8064 4000 ext 203)

1 Introduction

1.1 The Authority approved a base budget of £47.543m and indicated to constituent authorities that its preference was for an 8% increase at its meeting on 5 December 2001.

1.2 Finance

1.3 A budget at this level was considered by the Finance and General Purposes Committee at its meeting on 16 January 2002. The Committee took into account the views expressed both by constituent authorities and by the Trade Unions. A copy of the full report is attached for all Members of the Authority.

1 Finance and General Purposes Committee recommendations

1.1 The Committee resolved that it be recommended to the Authority that:

(i) The indicative budget and levies set out in paragraph 2.4 be confirmed, leading to an increase of 8% in the Authority's budget for 2002/03.

(ii) The final budget and levies be determined at its meeting on 6 February 2002.

(iii) The capital programme set out in Appendix 2 be approved.

(iv) As set out in Appendix 5 to the report:

· an overall borrowing limit be fixed at £10.604m for the year ending 31 March 2003

· a short term borrowing limit be fixed at £8.054m for the year ending 31 March 2003

· the proportion of interest paid rates which can be varied by the level of external factors be set at 35% for the year ending 31 March 2003.

(v) Representation be made to the Government highlighting particular pressures on Fire and Rescue Services which would justify additional funding.

3 European convention on Human rights and the Human Rights Act 1998.

3.1 The proposals within this report are compatible with the provisions of the European Convention on Human Rights and the Human Rights Act 1998.

Recommendation

That the Authority determines its budget and levies on the three constituent authorities for 2002/03.

Section 100 D - Local Government Act 1972 - background papers

The following documents disclose facts or matters on which this report, or an important part of it, is based and has been relied upon to a material extent in the preparation of this report.

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