Budget Consultation 2024-25

Closed 31 Jan 2024

Opened 14 Dec 2023

Contact

Nigel Kennedy

(Head of Financial Services)

Financial Services

01865 252708

nkennedy@oxford.gov.uk

Feedback updated 30 Jul 2024

We asked

In preparation for the 2024-25 budget, we sought our communities’ and citizens’ input on several proposed changes, including potential increases in council tax, adjustments to charges for services like garden waste collection and car parking, and the allocation of funds towards key priorities such as council housing and climate initiatives. The consultation aimed to understand the public's views and preferences, ensuring that the final budget reflected the city’s needs and values.

You said

The public engagement process provided us with diverse and insightful feedback. Many respondents emphasised the importance of generating additional income through council-owned companies like Oxford Direct Services Ltd and Oxford City Housing Ltd. This was seen as a prudent way to support council services without overly burdening residents.

Opinions were mixed regarding the proposed 2.99% increase in council tax. While some residents supported the increase as a necessary measure to maintain essential services, others expressed concerns about the financial burden it might impose, particularly on low-income households.

Similarly, there were divided views on the suggestion to increase charges for garden waste and car parking. Some participants acknowledged the need for these increases to support the council's financial health, while others were wary of the impact on affordability, especially for frequent users of these services.

There was also significant discussion around council tax support. Many respondents felt that maintaining a strong support system was crucial to help vulnerable residents cope with financial challenges. Additionally, there was a broad consensus on the need for substantial investment in social housing, energy efficiency projects, and initiatives to combat climate change, reflecting a strong community commitment to sustainability and social equity.

We did

Considering the valuable feedback received, adjustments were made to the final budget:

  • Council Tax: After careful consideration, the council decided to proceed with a 2.99% increase in council tax. This decision balances the need to fund essential services with the recognition of the financial pressures faced by residents.   
  • Council Tax Support and Investment Priorities: In response to the feedback, the council has maintained robust support for low-income residents, ensuring they continue to receive necessary assistance, and this fully mitigates the impact of the increase in council tax for those on the lowest incomes. Furthermore, significant investments have been allocated to enhance social housing, improve energy efficiency, and fund climate change initiatives. These actions align with the strong public support for creating a more sustainable and equitable community.
  • Garden Waste & Car Park Charges: While recognising the mixed feelings on these charges, the council has implemented a moderate increase. This measure is necessary to cover the rising costs of service provision and to continue offering high-quality services without compromising other budgetary areas.

 

The adjustments made in response to public feedback demonstrate our commitment to incorporating community input into our decision-making processes. We believe these changes strike a balance between fiscal responsibility and addressing the needs and concerns of our residents.

Supporting information, appendices and more information can be found here.

Thank you for your participation and contributions to shaping the future of our community.

Overview

Every year, we spend around £100 million providing public services that you, your family and friends use every day. Oxford City Council wants to hear from you on its budget proposals for 2024-25.  

The financial environment for local authorities at the present remains challenging. Dividend returns from our wholly owned companies are reducing as higher interest rates and inflation harm their finances. Inflation is not expected to return to manageable levels for some time to come and mean we are spending substantially more money on utilities for things like council buildings and leisure centres. The cost of living is increasing pressure for above average pay settlements, and we need to support growing numbers of families falling into homelessness. In this difficult climate difficult decisions are required to be taken.   

The Council has used its reserves to bridge gaps in its finances over the last few years and further use of reserves remains part of the Budget Strategy with a further £7.5 million to be used over the coming years. Other components of the strategy in priority order include : 

  • Continue to support our wholly owned companies, OX Place and Oxford Direct Services in delivery of houses and front line services.  

  • Making a further £17 million of efficiencies and increased income from fees and charges leading to ongoing increases of £3.8 million annually with effect from 2028-29.  

  • Continue with our approach to service transformation, for instance by reducing our office footprint, restructuring management tiers, making new use of technology and improving how these systems operate, reviewing how we procure goods and services and continuing with our progress to enabling access to more services electronically on line and self- service by our customers. 

  • Use of reserves in the period while savings are being delivered.  

  • Maximising the use of our assets 

  • Making cuts to discretionary services    

The draft budget proposes a Council Tax rise of 2.99% for the next financial year from April 2024, an increase of £10.06 per year, or 19 pence per week, for the average band D household.  It also proposes a continuation of full council tax relief for those on the lowest incomes for another year and charging a 100% council tax premium on second homes (from April 2024 onwards – the first time we can do this) as well as removing the unfurnished empty homes discount of 1 month to get much needed homes back into use. 

We would like to hear your views on our draft budget and get a deeper understanding of your priorities, needs and aspirations in relation to our services and your community. 

Audiences

  • Anyone from any background

Interests

  • Budget
  • Annual Budget