The Leader introduced the report of the Chief Officers Executive (previously circulated) requesting that consideration be given to the Medium Term Financial Plan (MTFP) for 2020/21 to 2023/24 (also previously circulated) for consultation including setting a budget and council tax increase for 2020/21.
The submitted report stated that over the last decade, the Council had faced significant challenges following the economic downturn and reduction in public sector spending; to date the Council had been successful in responding to those challenges but there were still financial pressures to be faced, particularly in respect of a growing elderly population and pressure in the children’s social care sector; at the time of writing the report, the Local Government Finance Settlement (LGFS) had not been announced and that, as a result, a number of assumptions in regard to funding had been made; and that any changes to funding levels following the announcement would be reported to Cabinet in February.
It was reported that the Council undertook a significant consultation exercise in 2016, following an in-depth and detailed review of all services which resulted in the agreement of a Core Offer budget which allowed for a small futures fund allocated to discretionary services; in subsequent MTFP’s the Council had agreed to use unallocated balances of £4.7m to invest in five areas which held great value to the community; although the Core Offer remained challenging, an additional £1.8m had been allocated to bolster the Futures Fund themes whilst retaining usable balances of £4.3m; and that the Council’s financial position was robust with a four year balanced MTFP and funds available for investment which would be delegated to Cabinet.
Details of the projected expenditure and income, budget pressures and savings, schedule of fees and charges, assumptions used to prepare estimates, projected Revenue Outturn 2019/20 and assessment of risk balances, were also appended to the submitted report.
RESOLVED - That the Revenue Medium Term Financial Plan (MTFP), as set out in Appendix 7 of the submitted report, be approved for consultation, including:-
(a) a Council tax increase of two per cent plus the two per cent adult social care precept to fund social care for 2020/21;
(b) the Schedule of Charges, as set out in Appendix 3 of the submitted report; and
(c) the Futures Fund investment of £1.8m, as set out in paragraph 60 of the submitted report.
REASONS - (a) The Council must set a budget for the next financial year.
(b) To enable the Council to continue to plan services and finances over the medium term.
(c) To ensure decisions can be made in a timely manner.?????