This report follows the decision by Council on 2 June 2026 to accept the recommendations from the Community Governance Review in respect of Clacton-on-Sea, Holland-on-Sea and West Clacton & Jaywick Sands. That decision approved the creation of three separate parishes for those communities with effect from 1 April 2027. As part of Council’s decision, it was resolved:-

“invites Cabinet to consider the next steps to be undertaken and allocation of resources and, as part of this, to determine the steps the Council considers sufficient to secure that persons who may be interested in the review are informed of the outcome and the reasons behind the Council’s decision in this matter.”

The Council’s Section 151 Officer specifically drew Council’s attention to two of those ‘next step’ matters as being special expenses and initial precepts. This report addresses those maters and other ‘next step’ matters.

In this report the generic term of ‘parish’ is used rather than specific styles approved for the three parishes concerned (town, village and community).

RESOLVED that –

(a)     the contents of the report be noted, including the reference to the Council (in due course) determining the budgets for the three new parish councils for Clacton-on-Sea, Holland-on-Sea and West Clacton & Jaywick Sands and the Council Tax precepts for 2027/28 for those new parish councils;

(b)     the Assistant Director (Corporate Policy & Support) be authorised to commission the Essex Association of Local Councils (subject to an approval from the Leader of the Council and the Council’s Section 151 Officer in relation to the Council’s Procurement Procedure Rules) to undertake a range of work with the District Council to support the transition from the decision to create the three new parish councils to them commencing in existence from 1 April 2027 in the sum of £52,500 (on the basis that £25,000 would be recoverable from across the three new parish councils);

(c)     the required financial impact in 2026/27 of £27,500 be met from the Corporate Investment Fund (Revenue);

(d)     the associated work, including tax bases and special expenses that will be undertaken as part of the Council’s wider annual budget setting processes for 2027/28 later in the year, be noted; and

(e)     it is noted that the costs incurred by the Returning Officer in administering the elections to the three new Parish Councils will be costs to be recovered from those Parish Councils.

Cabinet was aware that full Council, at its meeting held on 2 June 2026, had decided to accept the recommendations from the Community Governance Review in respect of Clacton-on-Sea, Holland-on-Sea and West Clacton & Jaywick Sands. That decision had approved the creation of three separate parishes for those communities with effect from 1 April 2027.  As part of Council’s decision, it had been resolved:

“invites Cabinet to consider the next steps to be undertaken and allocation of resources and, as part of this, to determine the steps the Council considers sufficient to secure that persons who may be interested in the review are informed of the outcome and the reasons behind the Council’s decisions in this matter.”

The Leader of the Council’s report (A.2) therefore invited Cabinet to consider the appropriate level of resource to be allocated to work with community groups, residents and District and County Councillors for the three separate areas to support the establishment of the new parish councils.  It also addressed the necessary arrangement to ensure that the tax base for the three new parishes was as accurate as possible in the time available; the development of an initial budget for each of the three parish councils; and, thereby, identify the appropriate initial precept for those three parish councils for 2027/28.  Those precepts would need to be determined by the District Council in early 2027 as they would need to be in place ahead of the parish councils being formed on 1 April 2027. 

Cabinet was reminded that provisions under the Local Government Finance Act 1992 provided for different amounts of Council Tax to be calculated for different parts e.g. parished and unparished areas, of a district, depending on what, if any, special items related to those parts. A special item was an item (service) which related only to part of the district council’s area.

This Council currently incurred certain costs in respect of Open Space, Playgrounds and Recreation across Clacton, Holland and Jaywick.  Those costs had been applied in a way that meant all Band D properties in those three areas funded the special expenses equally.  With the formation of the three separate parishes there was a need to review the incurred expenditure and the recovery of those costs from households in the three separate areas.  In 2026/27, this Council had allocated £714,519 as Special Expenses and £442,297 of that total related to the combined areas of Clacton-on-Sea, Holland-on-Sea and Jaywick Sands.

Members recognised that in the Community Governance Review for the area concerned there had been a good working relationship with the Essex Association of Local Councils (EALC).  In the Phase II consultation (across December 2025-February 2026) EALC had supported the various community meetings with senior representatives from their organisation and this had assisted attendees to hear more about live experiences from parish councils across the county.  Given the limited capacity of the District Council to continue the community-based activity (undertaken in the review) for the period to the new parish councils coming into existence on 1 April 2027, Cabinet was invited to consider commissioning EALC to undertake more of that activity in that period.  EALC was also able to support the development of initial budgets for the three separate parish councils.

Recognising that the report’s recommendations set out requirements and good practice in respect of the move from a decision to establish new parish councils and those new parish councils coming into being:-

It was moved by Councillor Henderson, seconded by Councillor Kotzand:-

RESOLVED that –

(a)     the contents of the report be noted, including the reference to the Council (in due course) determining the budgets for the three new parish councils for Clacton-on-Sea, Holland-on-Sea and West Clacton & Jaywick Sands and the Council Tax precepts for 2027/28 for those new parish councils;

(b)     the Assistant Director (Corporate Policy & Support) be authorised to commission the Essex Association of Local Councils (subject to an approval from the Leader of the Council and the Council’s Section 151 Officer in relation to the Council’s Procurement Procedure Rules) to undertake a range of work with the District Council to support the transition from the decision to create the three new parish councils to them commencing in existence from 1 April 2027 in the sum of £52,500 (on the basis that £25,000 would be recoverable from across the three new parish councils);

(c)     the required financial impact in 2026/27 of £27,500 be met from the Corporate Investment Fund (Revenue);

(d)     the associated work, including tax bases and special expenses that will be undertaken as part of the Council’s wider annual budget setting processes for 2027/28 later in the year, be noted; and

(e)     it is noted that the costs incurred by the Returning Officer in administering the elections to the three new Parish Councils will be costs to be recovered from those Parish Councils.