Agenda item

To approve the Medium Term Financial Strategy 2025/26 – 2028/29.

Councillor Z Hannington, Cabinet Member: Finance, Governance & Customer Services presented the report of the Director: Finance, People & which set out how the Council would deliver the Strategy and its five key priorities.   It sought approval of the Council’s Medium Term Financial Strategy together with the budget framework for 2025/26.  It was noted that there had been a significant increase in costs and the demand for services, together with higher costs in relation to the provision of Adult Social Care.  There were high levels of financial pressure and complexity of need in relation to both Adult Social Care and Children’s Servies which had led to a Council Tax increase of 4.99% all of which would go to vulnerable children and adults.

In accordance with the Local Authorities (Standing Orders) (England) Amendment) Regulations 2014, a recorded vote was taken on the recommendations as follows:

For (43) Councillors E Aston, K T Blundell, M Boylan, A J Burford, E Callear, L D Cater, C Chikandamina, G H Cook, E Davies, P Davis, F Doran, A England, S Handley, Z Hannington, C Healy, T Janke, A Jhawar, J Jones, J Kaur, L Lewis, G Luter, A D McClements, R Mehta, K Middleton, H Morgan, R A Overton, N Page, L Parker, I Preece, S A W Reynolds, S J Reynolds, H Rhodes, R Sahota, P J Scott, S Syrda, P Thomas, B J Thompson, K Tomlinson, W L Tomlinson, K Tonks, J Urey, O Vickers and D R W White

Against (6) Councillors S Bentley, S P Burrell, A J Eade, T J Nelson, G Thomas and R Tyrrell.

Abstain (0)

RESOLVED – that:

a)    the Medium-Term Financial Strategy (MTFS) for 2025/26 to 2028/29 and the budget framework for 2025/26 set out in this suite of reports be approved;

b)   a council tax increase of 4.99% for 2025/26 including the Government’s 2% Adult Social Care precept, equivalent to £0.69 per week general council tax increase for the average Band B property and £0.46 per week for the ASC precept, which will be fully invested in the provision of social care services for the most vulnerable members of our community be approved;

c)    the net investment of £7.7m into Adult Social Care in 2025/26 be approved;

d)   the budget savings listed on Appendix 10 totalling £13m in 2025/26 and £11.8m ongoing be approved;

e)    the continuation of work with partner organisations, including Town & Parish Councils and Voluntary Sector and Community Groups to seek to identify ways to mitigate the impact of some of the cuts to services that we can no longer afford to deliver and to note the availability of the Invest to Save/Capacity Fund which is available to support partnership working be approved

f)     the base budget set out in Appendix 8 be approved;

g)   the policy framework for Reserves and Balances and their planned use outlined in Appendix 6 be approved;

h)   the Risk Register at Appendix 14 be approved;

i)     the endorsement of the Council Tax Reduction Scheme a link to which is included within Appendix 16, ready for implementation from 1 April 2025 be approved; 

j)     the continuation of the Council Tax Reduction Hardship Assistance Policy, also within Appendix 16 be approved;

k)    the revenue implications of the medium-term capital programme for the period 2025/26 – 2028/29 set out in the Capital Strategy and Programme reports also on this agenda be approved;

l)     delegated authority be granted to the Director Finance, People & IDT after consultation with the Cabinet Member for Finance, Governance and Customer Services to action any virements required following the final allocation of the Dedicated Schools Grant and other Grants and following the completion of the NNDR1 and final estimates of Business Rates income;

m)  delegated authority be granted to the Director Adult Social Care after consultation with the Cabinet Member for Adult Social Care and Health Integration and Transformation, to enter into appropriate Section 256 and Section 75 Agreements under the NHS Act 2006 (as amended);

n)   delegated authority be granted to the Director Adult Social Care after consultation with the Cabinet Member for Adult Social Care and Health Integration and Transformation, to enter into appropriate Section 256 and Section 75 Agreements under the NHS Act 2006 (as amended);

o)   delegated authority be granted to Director Policy & Governance to execute all necessary contract documentation including affixing of the common seal of the council as appropriate to enable the council to enter into appropriate Section 256 and Section 75 Agreements under the NHS Act 2006 (as amended);

p)   the suite of MTFS reports as the Council’s Efficiency Strategy for 2024/25, including the documentation at Appendix 13, to enable new capital receipts to be used to fund the revenue costs of transformation and efficiency projects as assumed throughout these reports be approved;

q)   delegated authority be granted to the Director Finance, People & IDT after consultation with the Cabinet Member for Finance, Governance & Customer Services to amend the use of the contingency in 2025/26 and to make any other associated adjustments to accommodate any difference in funding between that currently assumed and final grant allocations when received;

r)    delegated authority be granted to the Director Finance, People & IDT after consultation with the Cabinet Member for Finance, Governance & Customer Services to make changes to the Medium-Term Financial Strategy with immediate effect to reflect all grants received from Government with authority to incur associated spend;

s)    the Pay Policy for 2025/26 included as Appendix 17 be approved;

t)     the additional recommendations contained in other reports included in this suite of Medium-Term Financial Strategy reports included on this agenda be approved;

u)   the savings delivered of £181.7m since 2009/10 as a result of reduced government funding from 2011 whilst the cost and demand for many Council services have been increasing and in particular for Adult Social Care be noted;

v)    75 pence in every £1 the Council spends is now allocated to Social Services be noted;

w)  a number of the investments made in this report also generate a financial benefit, as well as fulfilling their primary purpose, which is invested in front line services be noted;

x)    national and international economic pressures which have resulted in an extremely challenging financial outlook for U.K public services with interest rates remaining high be noted; and

y)    the CFO’s robustness statement in Appendix 15 be noted.