Issue - meetings

Medium Term Financial Strategy 2024-27

Meeting: 29/02/2024 - Full Council (Item 206)

206 Medium Term Financial Strategy 2024-27 (Cab.7.2.2024/6) pdf icon PDF 8 MB

RECOMMENDED TO COUNCIL:-

 

1.    24/25 Revenue Budget and Capital Programme

 

a)    that the report of the Director of Finance (S151 Officer), under Section 25 of the Local Government Act 2003 at Section 1 be noted, that the 2024/25 budget proposals be agreed and that the Chief Executive and Senior Management Team (SMT), in consultation with Cabinet Spokespersons, submit, for early consideration, detailed plans that ensure the Council’s ongoing financial sustainability in 24/25 and beyond;

 

b)    that the revised Medium Term Financial Strategy (MTFS) and Budget Forecast for 24/25 to 26/27 contained at Section 2 (supported by the suite of background papers inSections 2a – 2d) be noted and that these are monitored as part of the arrangements for the delivery of the MTFS;

 

c)    that provision be made of £34.6M to cover anticipated demographic and other cost pressures in 24/25:

 

Pay (£8.9M),

Children’s Social Care (Children in Care / Practice Improvement) (£14.9M),

Adult Social Care (Provider Fees / Practice Improvement) (£6.6M),

Home to School Transport (£1.4M),

•Waste Services (£0.6M),

Inflation on major contracts e.g. PFI (£1.4M),

Funding borrowing costs (£0.6M),

Investment in legal services (£1.0M),

•Commercial income budget re-alignment (£0.8M),

•Other minor investment £0.7M,

•Savings on Capital Financing / Investment Income (-£2.3M)

 

be approved for inclusion in the budget as identified at Section 2.

 

d)    that the increase in the specific Adult Social Care Market Sustainability grant of £2.5Mreceived in the 2023 Local Government Finance Settlement (£5.4M in total) be used to contribute to the funding of inflationary pressures in the care sector;

 

e)    that the increase in the Better Care Fund of £3.9M received in the 2023 Local Government Finance Settlement be used to fund inflationary and hospital discharge costs within Adults Social Care;

 

f)     that the increase in the general social care funding received over the last two years including the Council’s share of the additional £1.2bn funding announced in the 2023 final Local Government Finance Settlement be baselined to fund the significant financial pressures relating to Children and Adults Social Care (circ. £30M of General Social Grant now baselined);

 

g)    note that other core funding has increased by inflation, inline with previous assumptions;

 

h)    that the proposed Phase 1 service review savings of £8.4M in 24/25 highlighted inSection 2 and detailed at Section 4a – 4e be approved for implementation and that Members also note the further development of the transformation programme to help deliver balanced budget positions over the medium term (25/26 – 26/27);

 

i)     that the one-off General Services Grant / New Homes Bonus received as part of the 2023 Local Government Settlement be used to temporarily address the 24/25 budget shortfall pending the submission of further budget savings;

 

j)     that the Chief Executive, in conjunction with the Director of Finance and the Senior Management Team, be tasked with formulating alternate savings plans (over and above the current transformation programme) based on various planning scenarios for Member consideration during 24/25;

 

k)  ...  view the full agenda text for item 206

Additional documents:

Minutes:


Meeting: 07/02/2024 - Cabinet (Item 190)

190 Medium Term Financial Strategy 2024-27 (Cab.7.2.2024/6) pdf icon PDF 8 MB

RECOMMENDATION TO FULL COUNCIL ON 29 FEBRUARY 2024

Additional documents:

Decision:

RECOMMENDATION TO FULL COUNCIL ON 29 FEBRUARY 2024

 

RESOLVED that Cabinet submit to Full Council for approval the following recommendations:-

 

2024/25 BUDGET RECOMMENDATIONS

 

1.       2024/25 Revenue Budget, Capital Programme and Council Tax

 

a)    that the report of the Director of Finance (S151 Officer), under Section 25 of the Local Government Act 2003 at Section 1 be noted, that the 2024/25 budget proposals be agreed and that the Chief Executive and Senior Management Team (SMT), in consultation with Cabinet Spokespersons, submit, for early consideration, detailed plans that ensure the Council’s ongoing financial sustainability in 24/25 and beyond.

 

b)    that the revised Medium Term Financial Strategy (MTFS) and Budget Forecast for 24/25 to 26/27 contained at Section 2 (supported by the suite of background papers in Sections 2a – 2d) be noted and that these are monitored as part of the arrangements for the delivery of the MTFS.

 

c)    that provision be made of £34.6M to cover anticipated demographic and other cost pressures in 24/25:

 

·       Pay (£8.9M),

·       Children’s Social Care (Children in Care / Practice Improvement) (£14.9M),

·       Adult Social Care (Provider Fees / Practice Improvement) (£6.6M),

·       Home to School Transport (£1.4M),

·       Waste Services (£0.6M),

·       Inflation on major contracts e.g. PFI (£1.4M),

·       Funding borrowing costs (£0.6M),

·       Investment in legal services (£1.0M),

·       Commercial income budget re-alignment (£0.8M),

·       Other minor investment £0.7M,

·       Savings on Capital Financing / Investment Income (-£2.3M)

 

be approved for inclusion in the budget as identified at Section 2.

 

d)    that the increase in the specific Adult Social Care Market Sustainability grant of £2.5M received in the 2023 Local Government Finance Settlement (£5.4M in total) be used to contribute to the funding of inflationary pressures in the care sector.

 

e)    that the increase in the Better Care Fund of £3.9M received in the 2023 Local Government Finance Settlement be used to fund inflationary and hospital discharge costs within Adults Social Care.

 

f)      that the increase in the general social care funding received over the last two years including the Council’s share of the additional £1.2bn funding announced in the 2023 final Local Government Finance Settlement be baselined to fund the significant financial pressures relating to Children and Adults Social Care (circ. £30M of General Social Grant now baselined) .

 

g)    note that other core funding has increased by inflation, in line with previous assumptions.

 

h)    that the proposed Phase 1 service review savings of £8.4M in 24/25 highlighted in Section 2 and detailed at Section 4a – 4e be approved for implementation and that Members also note the further development of the transformation programe to help deliver balanced budget positions over the medium term (25/26 – 26/27).

 

i)      that the one-off General Services Grant / New Homes Bonus received as part of the 2023 Local Government Settlement be used to temporarily address the 24/25 budget shortfall pending the submission of further budget savings.

 

j)      that the Chief Executive, in conjunction with the Director of Finance and the Senior Management Team be tasked with formulating alternate savings plans (over and above the current  ...  view the full decision text for item 190

Minutes: