Issue - meetings

A report presenting the Council Tax Base and provisional Non-Domestic Rates (NDR) Tax Base forecast for 2024/25.

The Cabinet considered a report of the Director of Finance which presented the Council Tax Base and provisional Non-Domestic Rates (NDR) Tax Base forecast for 2024/25 which would underpin the forthcoming Council Budget and Medium-Term Financial Strategy scheduled for consideration at the Budget Council on 28^th February 2024.

The report also Sought delegated authority to finalise the 2024/25 Non-Domestic Rates (Business Rates) forecast to reflect up to date Non-Domestic Rates details to be submitted to Central Government via the annual NNDR 1 return by the statutory deadline of 31^st January 2024.

The submitted report set out information on the Council Tax Base for 2024/25 using the most up to date valuation list and all other information and estimates available.

The total number of chargeable properties included in the Council Tax Base calculation in Oldham for 2024/25 was 98,628. This figure was reduced to 87,971.8 after allowing for discounts and exemptions and translated to the equivalent of 69,938.4 Band D properties. After applying adjustments for the Local Council Tax Support scheme offset by the additional charging for empty properties and an anticipated increase in the number of properties to be included in the valuation list over the forthcoming year, the number of Band D equivalent properties reduces to 61,374.7. The final Tax Base after the application of the anticipated collection rate of 96.75% was 59,830 which represented an increase of 880 when compared to the Council Tax Base for 2023/24 of 58,500.

The 2024/25 Tax Bases for Saddleworth and Shaw and Crompton Parish Councils of 9,150 and 5,724 respectively, had been calculated using the same methodology.

Statute requires local Billing Authorities to prepare and submit to the Department of Levelling Up, Housing and Communities (DLUHC) a locally determined and approved Business Rates forecast through the NNDR 1 return by 31^st January each year. This forecast will be used to determine the 2024/25 “demand” and payment schedule for Business Rates between Oldham Council and the Greater Manchester Combined Authority (GMCA). The Council remained a participant in the Greater Manchester 100% Rates Retention Pilot Scheme, which meant that the Council no longer paid a share of Business Rates to Central Government. Instead, Oldham currently retains 99% of the income with 1% being paid to the GMCA for Fire and Rescue services.

The estimated rating income for 2024/25 attributable to Oldham Council using the latest information is currently £51.644m. Delegation was being sought to enable the Business Rates income forecast to be updated to take account of up-to-date Non-Domestic Rates information, enabling the submission to Central Government of the annual NNDR 1 return by the statutory deadline of 31 January 2024.

As the 100% Business Rates retention regime is continuing, the Council had assumed a benefit of £4.083m from the pilot scheme for 2024/25. The current arrangement was that the Council could retain 75% of this benefit with the balance attributable to GMCA. The Council’s share, £3.062m was to be made available to support the 2024/25 budget whilst the GMCA share  ...  view the full minutes text for item 7