Isle of Wight Council

Financial Management

Our Spending Plans

The council's spending plans are set each year by full council usually at a February meeting. This follows consultation with the public on budget priorities and savings plans.

In 2022/23, the Isle of Wight Council plans to spend £368.9 million on providing services for the Island.

 

 Portfolio Expenditure  2022-23   2021-22
   £000's  £000's
 Adult social care and public health  90,303 91,512
 Children's services, education and lifelong skills  30,774 32,168
 Community protection, digital transformation, housing provision and housing needs  13,917  15,654
 Environment, heritage and waste management  9,859  9,522
 Highways PFI, infrastructure and transport  38,552 38,834
 Leader and strategic partnerships  1,212 1,120
 Planning and community engagement  2,639  3,050
 Regeneration, business development and tourism  5,006 5,484
 Strategic finance, corporate resources and transformational change  81,141  78,982
 School's budgets  95,467 92,222
 Total Expenditure  368,870  368,548
 Contribution to/from reserves and balances  -29 -2,065 
 less business rates, grants and fees and charges -275,070  -278,032 
 Estimated collection fund surplus/deficit bf (council tax) -497  1102 
 Council tax requirement  -93,274 -89,553

 

In additional to its day to day spending the council also plans to invest in capital schemes which support the delivery of its overall objectives. The council has budgeted a total of £56.1m for new schemes over the next 5 years comprising:

  • £40.7m for coastal protection schemes to protect homes and employment
  • £6.4m investment into school buildings
  • £2.9m for the Branstone Farm development
  • £1.9m for disabled facilities grants helping people to remain in their own homes
  • £1.3m for highway improvement and safety schemes
  • £1.2m for core IT infrastructure and digital transformation across council services
  • £0.75m to provide funding for compulsory purchases of property in order to guard against blight or facilitate regeneration and development

Further details can be found in the council's medium term financial strategy which is taken to February Full Council  for approval. It brings together the overall revenue and capital budget strategies setting out how the council will resource the key projects, changes and investments for the medium term. It also addresses the redirection of resources over time to balance the budget gap.

The council's treasury management strategy is taken to Audit Committee for approval. The Isle of Wight Council defines its treasury management activities as “the management of the organisation’s investments and cash flows, its banking, money market and capital market transactions, the effective control of the risks associated with those activities, and the pursuit of optimum performance consistent with those risks”. Treasury risk management at the council is conducted within the framework of the Chartered Institute of Public Finance and Accountancy’s Treasury Management in the Public Services: Code of Practice 2017 Edition (the CIPFA Code) which requires the council to approve a treasury management strategy before the start of each financial year. This strategy fulfils the council’s legal obligation under the Local Government Act 2003 to have regard to the CIPFA Code.