Issue - meetings

Medium Term Financial Outlook

Meeting: 19/07/2021 - Cabinet (Item 16)

16 Medium Term Financial Outlook pdf icon PDF 656 KB

This report sets out the overall financial position facing the Council and highlights the significant risks, issues and uncertainties with regards to the Council’s Medium Term Financial Strategy (MTFS). It also sets out the proposed budget setting strategy for 2022/23.

Additional documents:

Decision:

Cabinet RESOLVED:

 

(1)     To note the contents of the report and the potential financial impact on the Council’s Medium Term Financial Strategy.

 

(2)     To agree the budget setting process for 2022/23, including the approach to consultation and scrutiny, as set out in section five of the report.

 

(3)     To note and agree the proposed 2020/21 capital budget carry forwards and capital virements, as set out in section six of the report.

 

(4)     To note the financial position with regards to the Housing Revenue Account, as set out in section seven of the report.

 

(5)     To note the financial position with regards to Schools and the Dedicated Schools Grant, as set out in section eight of the report.

Minutes:

Councillor McLennan (Deputy Leader and Lead Member for Resources) introduced the report which set out the overall financial position facing the Council along with the significant risks, issues and uncertainties identified in relation to the Council’s Medium Term Financial Strategy (MTFS).  The report also set out the proposed budget setting and consultation strategy for 2022/23.

 

Cabinet noted that the risks and uncertainties identified included those not only related to Covid-19 but also those which had existed prior to the pandemic along with new and emerging risks.  Issues identified included the lack of funding certainty over the medium term given the impact of the Governments current spending and fair funding review and when this was likely to be finalised, the position in relation to the review and future administration of Business Rates and management of ongoing growth and demand led pressures.

 

Despite the difficulties and ongoing financial challenges identified in relation to managing the impact of the Covid-19 pandemic and within which the Council was operating beforehand, Cabinet also noted how the MTFS aimed to provide a framework for delivery of the Council’s broader ambitions and longer term priorities.  These included those identified within the Borough Plan, the recovery programme from Covid-19 and other future steps to ensure the Council continued to operate in a financially sustainable and resilient way.

 

Having noted the overall summary and conclusions identified within section 9 of the report and direction of travel moving forward in order to mitigate the challenges and risks identified Cabinet RESOLVED:

 

(1)     To note the contents of the report and the potential financial impact on the Council’s Medium Term Financial Strategy.

 

(2)     To agree the budget setting process for 2022/23, including the approach to consultation and scrutiny, as set out in section 5 of the report.

 

(3)     To note and agree the proposed 2020/21 capital budget carry forwards and capital virements, as set out in section 6 of the report.

 

(4)     To note the financial position with regards to the Housing Revenue Account, as set out in section 7 of the report.

 

(5)     To note the financial position with regards to Schools and the Dedicated Schools Grant, as set out in section 8 of the report.