Summary of budget increases 2002/03 to 2003/04
The City Council's Spending Plans 2003/04
The City Council operates a budget strategy which includes a projection of the estimated cost of providing its services covering a three year period. The total cost is compared to the likely level of funding to be received from central government so that the overall impact on the level of Council Tax can be calculated. This financial statement complements the review of services and makes it possible to monitor overall performance. These factors together with the views expressed by the public and representative groups as part of the consultation process are assessed so that resources can be targeted to where they can be most effective.
Each year the financial projection is updated to take into account the latest available information. For 2002/03 the City Council set a budget of £249.090m and this became the focal point for assessing its estimated costs in 2003/04. From the approved budget in 2002/03 the effects of inflation on pay and prices were calculated together with changes in service costs. Added to that were the cost of increases in the rates the City Council contributes to National Insurance and employee pensions. In addition the government has changed the way it funds some services and these factors are included within the overall budget requirement. Service budget allocations are finalised once the level of central government support is known and the impacts on the level of Council Tax and service provision are assessed.
The City Council's revenue budget for 2003/04 is increasing by £19.796m to £268.886m from its current year of £249.090m. This represents a year on year increase of 7.9% a large proportion of which is outside the direct control of the City Council. The main reasons for this increase are shown in the following table :
SUMMARY OF BUDGET INCREASES 2002/03 To 2003/04
| £M | % Change | |
|---|---|---|
| City Council Revenue Budget 2002/03 | 249.090 | |
| Inflationary & other increases outside the direct control of the City Council | ||
| Pay awards and increments | 7.480 | +3.0 |
| Price increases | 4.474 | +1.8 |
| Changes in the contribution rates of pensions and national insurance | 4.659 | +1.9 |
| Total | 16.613 | +6.7 |
| Government Changes | ||
| Change in the way the government funds certain Social Services functions. Transfer from a specific grant to general grant see Revenue Support Grant | 1.300 | +0.5 |
| Increase in Government grant toward Neighbourhood Renewal Schemes and the costs of administering benefits | -2.680 | -1.1 |
| Total | -1.380 | -0.6 |
| City Council Service Variations | ||
| Increased contributions to the Insurance Fund to meet a substantial increase in the number of claims against the Council's insurers. | 1.000 | +0.4 |
| Increases applied to Education & Social Services budgets to ensure that the Government funding expectations are at least matched by the City Council | 1.148 | +0.5 |
| Capital Financing - increased cost of borrowing to support increased expenditure on capital projects | 2.396 | +0.9 |
| Service Pressures - committed increased expenditure as shown in the analysis of services given on the following page | 1.970 | +0.8 |
| Net Budget reductions / efficiency savings | -1.951 | +0.8 |
| Total | 4.563 | +1.8 |
| City Council Revenue Budget 2003/04 | 268.886 | +7.9 |
The amount of the total budget allocated to specific services is shown in the amounts to be allocated to services 2003/04
Summary details of how the budget will impact on services is given in 2003/04 budget overviewSummary details of how the budget will impact on services is given in 2003/04 budget overview.
More revenue budget information
How we managed resources in 2002/03
- Summary of variations from the approved budget
- Summary of service variations from the approved budget 2002/03
The City Council's spending plans 2003/04
- Summary of budget increases 2002/03 to 2003/04
- The amounts to be allocated to services 2003/04
- 2003/04 budget overview
- What it means for services
- The amount to be collected from council tax
- The cost to the council taxpayer
- What is the council tax base
Where the money is spent - services - at a glance summary
Where the money comes from - at a glance summary
This page was last updated on 29 March 2006
Email this page to a friend
Bookmark this page using:
Find out more about social bookmarking.
These sites allow you to store, tag and share links across the internet. You can share these links both with friends and people with similar interests. You can also access your links from any computer you happen to be using.
If you come across a page on our site that you find interesting and want to save for future reference or share it with other people, simply click on one of these links to add to your list.
All of these sites are free to use but do require you to register. Once you have registered you can begin bookmarking. Each of the sites works slightly differently so use the links below to find out which service best suits your needs.
Find out more about social bookmarking at Wikipedia.
