Issue - meetings

The purpose of this report is to provide an update to the Medium Term Financial Strategy along with an outline of the 2024/25 budget process. The report also informs Executive of the key risks and challenges, along with an overview of the main assumptions used

Resolved:

                         i.         Agreed the Medium Term Financial Strategy as outlined in this report.

Reason:     To ensure the Council meets future financial challenges and produces a robust budget.

The Chief Finance Officer noted that the medium term financial position of the Council showed serious financial challenges which included a forecast budget gap of £40m over the next four years. The Chief Operating Officer suggested that this was likely the biggest challenge the Council had faced and that budget savings would need to be identified from a low base level of service. He advised that the Council would likely require significant cuts in order to reduce a budget gap of £40m.

The Executive Member for Finance, Performance, Major Projects and Equalities highlighted that the Council was amongst the lowest funded local authorities in the country. She acknowledged the statutory services the Council needed to provide and that the Council would need to make cuts and maximise income in order to maintain those services.

The Executive noted that the reduction in the rate of inflation was positive for the Council as the cost of goods would stop to rise as fast as they had been. The Executive noted that one of funding had been used in pervious years to meet budget gaps and that longer term solutions were required. They noted that they would seek to work with city partners to deliver their commitments and would explore new funding opportunities where available.  

Resolved:

                      i.         Agreed the Medium Term Financial Strategy as outlined in this report.

Reason:     To ensure the Council meets future financial challenges and produces a robust budget.