Agenda item

8.1

It was moved by Councillor Bernard Little, and seconded by Councillor Brian Holmshaw, that this Council:-

(a)      notes:-

(i)       since 2010 Sheffield City Council has delivered £475 million of savings to off-set budget cuts, leaving £856 less per household to spend, compared to 2010-11 in real terms;

(ii)       more Councils have forecast income less than their forecast expenditure in 2024/25 and are considering issuing a Section 114 notice;

(iii)      Unison’s head of local government says “Council finances are in the direst of states” and “the squeeze on local budgets means that services either vanish or are scaled down dramatically”; and

(iv)      South Yorkshire NHS Integrated Care Board says “People living in the most deprived parts of South Yorkshire will live on average 19 years more in poor health compared to those living in the least deprived areas”;

(b)      looks forward to the “Taxing Wealth Report” by Prof. Richard Murphy of Sheffield University Management School, which is expected to show:

(i)             our public services are underfunded, local businesses struggle and many people are at crisis point;

(ii)       the 1% of the most wealthy and high earners are considerably undertaxed and there is significant scope to increase the tax paid by these groups; and that

(iii)      funding for the Green New Deal is readily available, investment in public services and the broader economy can be raised and there is no need for any politician to claim “there is no money left” because there is a wide range of choices on how to raise the funding that is needed; and

(iv)      cumulatively, the recommendations have a total tax-raising potential of £83.3 billion per annum to date;

(c)      believes that neither the Conservative or a potential Labour-led Government has a plan to ensure Councils are properly funded to deliver front-line services to the public;

(d)      resolves to ask the relevant Policy Committees to consider placing on their work programmes consideration of the following:-

(i)       backing income-generating schemes like the Employers’ Workplace Parking Levy, and review parking fees and charges, to help fund public transport, road safety and active travel measures;

(ii)       investigating establishing a wholly-owned Council company to help deliver the Council’s objectives and raise income to deliver reliable services for Sheffield residents, e.g. gardening, household repairs, heating system servicing and replacement and retrofit works; and

(iii)      every opportunity for investing in renewable energy projects on Council land and buildings to generate energy and income; and

(e)      further resolves that the Council write to both Keir Starmer and Rishi Sunak, calling for the proper funding of Councils to deliver local services and to implement the recommendations of the Taxing Wealth Report to date, and consider any future recommendations.

8.2

Whereupon, it was moved by Councillor Tom Hunt, and seconded by Councillor Sioned-Mair Richards, as an amendment, that the Motion now submitted be amended by the deletion of paragraph (b) and the addition of a new paragraph (b) as follows:-

(b)      notes the forthcoming report by Prof. Richard Murphy of Sheffield University Management School, but that without knowing what the report will say, or what its recommendations will be, we cannot comment upon its contents.

8.3

It was then moved by Councillor Andrew Sangar, and seconded by Councillor Barbara Masters, as an amendment, that the Motion now submitted be amended by:-

1.       the deletion of paragraph (b) and the re-lettering of paragraph (c) as a new paragraph (b).

2.       The addition of new paragraphs (c) to (f) as follows:-

(c)      believes that directly raising tax on individuals is the wrong approach to funding key public services, and instead favours taxing the enormous profits of organisations benefiting from the Cost of Living crisis such as water companies, oil and gas companies, and banks;

(d)      notes that in 2022, BP reported profits of £21.8bn and Shell reported profits of £32.2bn, while families struggled to pay their energy bills, and calls for a proper, one-off windfall tax on the super-profits of oil and gas producers and traders;

(e)      believes that a Workplace Parking Levy would not target the 1%, but instead would create disincentives for businesses to locate in the City Centre and would pass costs on to consumers;

(f)       notes the significant increase in the repairs backlog following the insourcing of the housing repairs service, and expresses doubt over whether a wholly owned Council company would meet the Council’s best value duty;

3.       the re-lettering of original paragraph (d) as a new paragraph (g) and the deletion of sub-paragraphs (i) and (ii) from that paragraph.

4.       the re-lettering of original paragraph (e) as a new paragraph (h) and the deletion of the words “and to implement the recommendations of the Taxing Wealth Report to date, and consider any future recommendations” from that paragraph.

8.4

After contributions from five other Members, and following a right of reply from Councillor Bernard Little, the amendment moved by Councillor Tom Hunt was put to the vote and was carried.

8.4.1

(NOTE: The result of the vote was FOR - 53 Members; AGAINST - 10 Members; ABSTENTIONS – 2 Members.)

8.5

The amendment moved by Councillor Andrew Sangar was then put to the vote and was carried.

8.5.1

(NOTE: The result of the vote was FOR - 24 Members; AGAINST - 9 Members; ABSTENTIONS – 31 Members.)

8.6

The original Motion, as amended, was then put as a Substantive Motion in the following form and carried:-

RESOLVED: That this Council:-

(a)      notes:-

(i)       since 2010 Sheffield City Council has delivered £475 million of savings to off-set budget cuts, leaving £856 less per household to spend, compared to 2010-11 in real terms;

(ii)       more Councils have forecast income less than their forecast expenditure in 2024/25 and are considering issuing a Section 114 notice;

(iii)      Unison’s head of local government says “Council finances are in the direst of states” and “the squeeze on local budgets means that services either vanish or are scaled down dramatically”; and

(iv)      South Yorkshire NHS Integrated Care Board says “People living in the most deprived parts of South Yorkshire will live on average 19 years more in poor health compared to those living in the least deprived areas”;

(b)      notes the forthcoming report by Prof. Richard Murphy of Sheffield University Management School, but that without knowing what the report will say, or what its recommendations will be, we cannot comment upon its contents;

(c)      believes that neither the Conservative or a potential Labour-led Government has a plan to ensure Councils are properly funded to deliver front-line services to the public;

(d)      believes that directly raising tax on individuals is the wrong approach to funding key public services, and instead favours taxing the enormous profits of organisations benefiting from the Cost of Living crisis such as water companies, oil and gas companies, and banks;

(e)      notes that in 2022, BP reported profits of £21.8bn and Shell reported profits of £32.2bn, while families struggled to pay their energy bills, and calls for a proper, one-off windfall tax on the super-profits of oil and gas producers and traders;

(f)       believes that a Workplace Parking Levy would not target the 1%, but instead would create disincentives for businesses to locate in the City Centre and would pass costs on to consumers;

(g)      notes the significant increase in the repairs backlog following the insourcing of the housing repairs service, and expresses doubt over whether a wholly owned Council company would meet the Council’s best value duty;

(h)      resolves to ask the relevant Policy Committees to consider placing on their work programmes consideration of every opportunity for investing in renewable energy projects on Council land and buildings to generate energy and income; and

(i)       further resolves that the Council write to both Keir Starmer and Rishi Sunak, calling for the proper funding of Councils to deliver local services.

8.6.1

(NOTE: The result of the vote was FOR - 63 Members; AGAINST - 0 Members; ABSTENTIONS – 2 Members.  Although Labour Group Members voted for, they voted against paragraphs (c) and (i) of the Substantive Motion and abstained from voting on paragraphs (d) to (h) of the Substantive Motion.  Although Green Group Members voted for, they voted against paragraphs (b), (d), (f) and (g) of the Substantive Motion.)