Agenda item

To receive the Medium Term Financial Strategy for 2024/2025 – 2027/2028.

The Cabinet Member: Finance, Customer Services & Governance presented the Medium Term Financial Strategy which gave an update on the key uncertainties, financial pressures and increase in demand for the provision of social care services.  

A consultation would take place between 5 January 2024 and 4 February 2024 with key stakeholders, voluntary and community sectors, Town and Parish Councils, businesses and cross-party Business & Finance Scrutiny committee.  Views would also be sought from local residents through the Council’s website.

Following the consultation, a report containing the budget and finalised levels of Council Tax would be brought back to the Cabinet meeting being held on 15 February 2024 which would contain recommendations to be considered at Full Council on 29 February 2024 and would ensure that the Council’s medium-term financial position remained sustainable and robust.

Cabinet Members highlighted the increase in demand in both adult and children’s services and asked residents to take part in the consultation.  The housing investment portfolio supported services and helped to create new jobs and investment opportunities which showed ambition for the Borough and the local community.

The Leader of the Liberal Democrat Group supported the report and noted the difficult financial circumstances the Council faced.

The Deputy Leader of the Conservative Group noted the report and welcomed the opportunity for debate at Full Council.

RESOLVED – that:

a)    the revised Medium Term Financial Strategy (MTFS) including a council tax increase for 2024/25 of 4.99% which will be fully invested in the provision of social care services for the most vulnerable members of our community be noted;

b)   delegated authority be granted to the Director: Finance & Human Resources, in consultation with the Leader or relevant Cabinet Member to allocate funding from the £20m Capital projects fund referred to in paragraph 4.6 of the report;

c)     the unprecedented financial pressures being faced by local authorities across the country and the high level of uncertainty relating to the medium term financial outlook for Telford & Wrekin Council due to:

·    The escalating costs of, and demand for, many Council 

      services but particularly Adult Social Care and safeguarding

      vulnerable children;

·    National and international economic pressures resulting in an    

      extremely challenging financial outlook for U.K. public

      services;

·    The Government’s one-year provisional local government  

      finance settlement not extending beyond the end of March

      2025;

·    The impact of the significant potential changes to the local  

government finance system which have now been discussed by the Government for many years remain a major uncertainty. As does the potential impact of Adult Social Care funding reforms which have been delayed until October 2025; and

·         the high level of uncertainty required the Council to retain flexibility by limiting new ongoing investments to our highest priorities whilst identifying significant ongoing additional budget saving; be noted.