Decision details

To consider potential implication of business rate retention pooling. 

Matter for Decision: As part of the Local Government Resource Review the Government has included an option for authorities to come together to form ‘pools’. This was the subject of a ‘Pooling Prospectus’, issued by DCLG in May 2012. The report outlined the potential implications of pooling, based on the information available to date, and whether being part of a countywide pool could be beneficial to the City Council.

Decision of the Leader:

The Leader resolved to:

        i.            Confirm that the City would join with other Cambridgeshire authorities in submitting an expression of interest to DCLG by 27 July 2012.

      ii.            Instruct officers, in conjunction with other authorities, to work up arrangements for governance, transparency, investment and distribution of revenues and dissolution of a Cambridgeshire pool – enabling a final decision on whether to take forward a pooling arrangement in time for the Government’s November 2012 deadline.

Reasons for the Decision: As set out in the officer’s report

Any alternative options considered and rejected: As set out in the officer’s report

Scrutiny Considerations

The committee received a report from the Chief Executive.

In response to member’s questions the Chief Executive confirmed the following:

        i.            Whilst ‘pools’ were not confined to Local Authorities within the County, there did need to be ‘geographical connections’ between the members. It was also noted that governance issues could prove more difficult with a wider ‘pool’.

      ii.            Expressing an interest at this stage did not commit the City Council to joining a ‘pool’. Any future decision could also be dissolved at any time, with each Local Authority reverting to their individual baselines, tariffs and levies.

The Scrutiny Committee considered and approved the recommendations by 8 votes to 0 (unanimous).

The Leader approved the recommendations.