Report Title: Council Tax Base 2021/22 Contains Confidential or No - Part I Exempt Information? Member reporting: Councillor Hilton, Lead Member for Finance and Ascot Meeting and Date: Cabinet – 17 December 2020 Responsible Officer(s): Andrew Vallance – Head of Finance and Deputy S151 Officer Wards affected: All

REPORT SUMMARY

1. This report deals with the statutory requirement to set the Council’s Council Tax Base for 2021/22. The Tax Base is used by , Fire and Rescue Authority, local Parish Councils as well as the Royal Borough for setting Precepts and Council Tax next year.

2. The Tax Base is in line with the level anticipated in the Council’s Medium Term Financial Plan and has increased since last year for two main reasons:

 The number of properties being built.

 Reduced number of households claiming Local Council Tax Support Discount.

1. DETAILS OF RECOMMENDATION(S)

RECOMMENDATION: That Cabinet notes the report and:

i) Approves, in accordance with the Local Authorities (Calculation of Tax Base) Regulation 1992, as amended, the amount calculated by the Council as its Council Tax Base for the whole of the Borough area for 2021/22 shall be 69,179.45 as detailed in this report and appendices. This is an increase of 488.49 over the 2020/21 Tax Base, a 0.71% increase.

ii) Notes a Council Tax collection rate target of 99.5% for 2021/22.

iii) Notes an estimated deficit on the Council Tax Collection Fund in 2020/21 of £142,000, of which the Council’s share is £113,000.

2. REASON(S) FOR RECOMMENDATION(S) AND OPTIONS CONSIDERED

2.1 Section 33 of the Local Government Finance Act 1992 and the Local Authorities (Calculation of Council Tax Base) () Regulations 2012 requires the Council as the Billing Authority to calculate a Council Tax Base for its area by 31 January each year. 2.2 Under Government regulations it is necessary for the Council to review its Collection Fund and decide the following:

 The Council Tax Base to be used for setting its 2021/22 Council Tax;  It’s Council Tax Collection Rate for 2021/22; and  The estimated Council Tax surplus or deficit for 2020/21.

2.3 The Council Tax Base is used by the Authority to calculate its basic amount of Council Tax to be charged to taxpayers for the forthcoming financial year. Precepting bodies (i.e. Thames Valley Police, Berkshire Fire and Rescue Authority and local Parish Councils) also use the Tax Base figures to calculate their tax charges for the coming year.

Options

Table 1: Options arising from this report Option Comments Accept the recommendations Council Tax is likely to achieve planned levels. Reduce the non-payment percentage There is no guarantee the Council would recover the increased Council Tax arising from this action.

3. KEY IMPLICATIONS

3.1 New Properties. Provision needs to be made in the 2021/22 Tax Base for new properties that are likely to be occupied before the end of the next financial year. This provision is calculated by colleagues in the revenues team following conversations with planners, building control and local builders. The growth in local housing continues at a high level and the part year effect of 671 additional properties will be included in the provision for 2021/22.

3.2 Appendix C sets out the Band D equivalent properties at the end of September 2020 that were included in the CTB1 return to MHCLG, 68,869.72. Added to this is the estimated full year impact of additional properties and revaluations, 657.39, less an allowance for non-collection of 347.66 to give the Tax Base of 69,179.45.

3.3 Collection Rate. A review of eventual collection rates has been carried out which revealed that assumptions used to calculate the 2021/22 Tax Base (99.5%) are adequate and no changes are proposed.

4. FINANCIAL DETAILS / VALUE FOR MONEY

4.1. The Council Tax Base for the individual parts of the Royal Borough (both parished and unparished areas) is as follows:

Table 2: Local Tax Base 2021/22 by Parish Local Tax Base 2021/22 (band D PARISH equivalent properties) 732.73 Bray 4,397.15 2,962.35 Cox Green 3,058.44 2,264.88 Eton 1,829.84 Horton 461.08 Hurley 1,005.84 2,415.04 73.49 3,461.60 Sunninghill & Ascot 6,550.44 Waltham St Lawrence 680.30 1,282.56 2,142.53 UNPARISHED 22,118.18 Windsor 13,742.99 TOTAL 69,179.45

4.2. The calculation of the Tax Base for each area is quite complex. All residential properties are given a Council Tax Banding based upon the valuation of the property1. Each Band pays a proportionate amount of Council Tax to give an equivalent number of Band D properties (i.e. a weighted average). The Council Tax Bands and the proportion of Council Tax paid is shown in Table 3 below.

Table 3: Council Tax Bandings Band A B C D E F G H Value up to £40,001 £52,001 £68,001 £88,001 £120,001 £160,001 more than £40,000 to to to to to to £320,000 £52,000 £68,000 £88,000 £120,000 £160,000 £320,000 Council Tax 6 / 9ths 7 / 9ths 8 / 9ths 9 / 9ths 11 / 9ths 13 / 9ths 15 / 9ths 18 / 9ths Proportion

4.3. Below are examples of some additional factors included in the calculation:

 Properties which are exempt from Council Tax are excluded;  Changes in banding following a revaluation;  A property in Band D with only one adult resident receives 25% single occupancy discount and therefore counts as 0.75 of a Band D property;  A 200% premium for homes left empty and unfurnished for more than 5 years

4.4. The Tax Base has increased by 488.49 Band D equivalent properties since 2020/21, which is an increase of 0.71%.

4.5. The Council’s budget requirement divided by the Tax Base (above) equals the Band D Council Tax that is set by the Council in February 2021.

4.6. Despite the Covid-19 pandemic, it has not been necessary to adjust the tax base for any increased take up of Local Council Tax Support Discounts. This may

1 As at 1 April 1991 become necessary for 2022/23 if the situation changes as the result of the ending of furloughing and other support arrangements.

5. LEGAL IMPLICATIONS

5.1 This report is part of the process required for the Council to meet its legal obligations to set its Tax Base that it notifies to Parish Councils, Police and Fire.

6. RISK MANAGEMENT

6.1 Table 4 below outlines the risks and controls available:

Table 4: Impact of risk and mitigation Risks Uncontrolled risk Controls Controlled risk That the non- A deficit on the The non- Minimal collection rate of 0.5% collection fund will collection rate is proves to be result and this would the best estimate inadequate. be used to adjust based on past future calculations of collection rates. Council Tax. The collection rate is monitored throughout the year.

7. POTENTIAL IMPACTS

7.1 None.

8. CONSULTATION

8.1 There is no requirement to consult on the taxbase calculation.

9. TIMETABLE FOR IMPLEMENTATION

9.1 The budget for 2021/22 will be finalised in February 2021 with full details going to Cabinet and Council in February 2021. Residents will be advised of their Council Tax in March 2021.

10.APPENDICES

10.1 This report is supported by 3 Appendices:

 Appendix A Analysis of properties.  AppendixB TaxBase byParish byBand.  Appendix C 2021/22 Tax Base compared with 2020/21.

11.BACKGROUND DOCUMENTS

11.1 None 12.CONSULTATION (MANDATORY)

Name of consultee Post held Date Date sent returned Cllr Hilton Lead Member for Finance 4/12/20 Duncan Sharkey Managing Director 4/12/20 8/12/20 Russell O’Keefe Executive Director of Place 4/12/20 Mary Severin Monitoring Officer 4/12/20 Elaine Browne Head of Law 4/12/20 Nikki Craig Head of HR, Corporate Projects & 4/12/20 ICT Adele Taylor Director of Resources, S151 1/12/20 4/12/20 Officer Louisa Dean Communications 4/12/20 Kevin McDaniel Director of Children’s Services 4/12/20 Hilary Hall Director of Adults, Commissioning 4/12/20 6/12/20 & Health Karen Shepherd Head of Governance 4/12/20 7/12/20

REPORT HISTORY

Decision type: Urgency item? To Follow item? For information No No

Report Author: Andrew Vallance, Head of Finance & Deputy S151 Officer. APPENDIX A Tax Base 2021/22 - Analysis of Properties

A (Entitled to Disabled Relief BAND Reduction) A B C D E F G H TOTAL

Number Of Properties

Full Charge 2 801 1,178 5,038 10,661 9,411 6,250 7,673 1,546 42,558

25%Discount 25.00% 0 945 2,198 4,195 4,921 3,403 1,774 1,555 187 19,178 Empty Property Zero Discount <2Y 0.00% 0 49 87 217 252 156 85 88 30 964

Empty Property 100% Discount 100.00% 0 0 0 0 0 0 0 0 0 0

Second Homes 0.00% 0 107 60 126 191 164 82 114 58 902

Empty Property Premium >2Y 100.00% 0 44 53 31 36 59 17 26 9 275

Statutory 50% Discounts 50.00% 0 2 0 7 7 6 14 36 13 85

Exemptions 0 149 277 227 308 175 100 134 28 1,398 Equivalent property reductions resulting from discounts to Council Tax Support claimants 0 -198 -711 -947 -804 -242 -91 -40 -1 -3,033

MOD Properties 0 0 147 109 108 14 11 48 0 435 Total No. of Properties 2 1,899 3,289 9,003 15,679 13,145 8,241 9,634 1,870 62,762

Total Equiv No. 2.00 1,557.09 2,515.35 7,754.44 14,173.21 12,174.85 7,707.52 9,119.66 1,797.61 56,801.73

Ratio to Band D 5/9 6/9 7/9 8/9 1 11/9 13/9 15/9 2

BAND D EQUIVALENT EXCLUDING NEW BUILDS 1.11 1,038.06 1,956.38 6,892.84 14,173.21 14,880.37 11,133.09 15,199.44 3,595.22 68,869.72 APPENDIX B Tax Base 2021/22 - Band D Equivalents

A (Entitled to Disabled Relief BAND Reduction) A B C D E F G H TOTAL

Parish

Bisham 0.00 4.67 3.11 2.67 31.02 109.39 126.97 365.83 89.00 732.66 Bray 0.56 156.34 166.38 187.58 507.97 1,035.52 760.46 1,371.38 224.50 4,410.69 Cookham 0.00 62.03 21.48 150.67 328.02 791.66 477.36 901.35 239.00 2,971.57 Cox Green 0.00 5.53 59.16 181.19 774.49 1,140.82 690.00 213.73 8.00 3,072.92 Datchet 0.00 27.71 52.09 336.11 388.35 463.23 383.96 591.37 32.00 2,274.82 Eton 0.00 11.31 58.13 190.12 577.13 507.52 197.05 231.00 65.00 1,837.26 Horton 0.00 19.57 11.32 57.68 79.31 110.94 104.71 71.20 8.00 462.73 Hurley 0.00 38.50 16.67 53.26 150.93 175.36 112.96 346.27 113.50 1,007.45 Old Windsor 0.00 28.01 46.99 141.07 389.58 804.81 409.11 524.72 69.00 2,413.29 Shottesbrooke 0.00 2.00 0.78 1.56 7.44 18.94 8.31 20.83 14.00 73.86 Sunningdale 0.00 28.83 34.45 104.86 412.99 514.95 487.59 898.10 974.00 3,455.77 Sunninghill & Ascot 0.00 141.95 100.08 350.64 886.39 859.49 1,162.30 2,089.07 987.00 6,576.92 Waltham St Lawrence 0.00 12.04 4.59 15.79 57.78 123.20 94.61 287.08 86.00 681.09 White Waltham 0.00 37.65 63.81 94.84 305.16 281.92 131.89 315.35 55.50 1,286.12 Wraysbury 0.00 35.77 36.21 45.41 222.54 261.86 466.93 954.25 122.00 2,144.97

UNPARISHED Maidenhead 0.56 189.41 784.49 3,648.22 4,945.28 4,190.00 3,612.38 4,083.00 291.22 21,744.56 Windsor 0.00 236.74 496.64 1,331.16 4,108.83 3,490.76 1,906.51 1,934.90 217.50 13,723.04

1.12 1,038.06 1,956.38 6,892.83 14,173.21 14,880.37 11,133.10 15,199.43 3,595.22 68,869.72

New build & valuation changes in year 2021/22 23.90 128.33 418.24 22.00 15.89 16.83 28.20 4.00 657.39

1.12 1,061.96 2,084.71 7,311.07 14,195.21 14,896.26 11,149.93 15,227.63 3,599.22 69,527.11

Deduct Non-Collection Rate of .50% 0.00 5.31 10.41 36.56 70.98 74.48 55.73 76.16 18.03 347.66

COUNCIL TAX BASE 1.12 1,056.65 2,074.30 7,274.51 14,124.23 14,821.78 11,094.20 15,151.47 3,581.19 69,179.45 APPENDIX C Local Tax Base 2021/22

ADD New build & LESS Non APPENDIX C Band D valuation changes Collection Local Tax Base Local tax Base PARISH Equivalents in 2021/22 Allowance 2021/22 2020/21 Change

Bisham 732.66 3.75 -3.68 732.73 740.12 -7.39 Bray 4,410.69 8.56 -22.10 4,397.15 4,400.09 -2.94 Cookham 2,971.57 5.67 -14.89 2,962.35 2,961.79 0.56 Cox Green 3,072.92 0.89 -15.37 3,058.44 3,047.57 10.87 Datchet 2,274.82 1.44 -11.38 2,264.88 2,242.14 22.74 Eton 1,837.26 1.78 -9.20 1,829.84 1,819.55 10.29 Horton 462.73 0.67 -2.32 461.08 461.73 -0.65 Hurley 1,007.45 3.44 -5.05 1,005.84 1,006.31 -0.47 Old Windsor 2,413.29 13.89 -12.14 2,415.04 2,403.26 11.78 Shottesbrooke 73.86 0.00 -0.37 73.49 80.97 -7.48 Sunningdale 3,455.77 23.23 -17.40 3,461.60 3,465.80 -4.20 Sunninghill & Ascot 6,576.92 6.44 -32.92 6,550.44 6,506.19 44.25 Waltham St Lawrence 681.09 2.63 -3.42 680.30 679.24 1.06 White Waltham 1,286.12 2.89 -6.45 1,282.56 1,270.21 12.35 Wraysbury 2,144.97 8.33 -10.77 2,142.53 2,138.78 3.75

UNPARISHED

Maidenhead 21,744.56 484.77 -111.14 22,118.19 21,792.39 325.80 Windsor 13,723.04 89.01 -69.06 13,742.99 13,674.82 68.17 TOTALS 68,869.72 657.39 -347.66 69,179.45 68,690.96 488.49