Issue - meetings

Report of the Corporate Director (Resources, Environment and Cultural Services) on a review of the Medium Term Financial Strategy.

The review was noted and the principles to be adopted for the 2019/20 budget setting process in particular that the 2019/20 budget setting process should focus to balance the indicative budget gap up to 2020/21 were approved.

Report of the Corporate Director (Resources, Environment and Cultural Services) on a review of the Medium Term Financial Strategy (MTFS).

(1)        The Decision Taken

RESOLVED:

That the review be noted and the principles to be adopted for the 2019/20 budget setting process in particular that it should focus on balancing the indicative budget gap up to 2020/21 be approved.

(2)        Reasons for the Decision

When the MTFS was approved by the Council in February 2018 a need to identify £700,000 of savings to close the budget gap in 2019/20 and a further £1.3M for 2020/21 was agreed.

The Council had a proven track record of delivering savings with over £12M achieved since 2010 and work was currently underway to find further savings as part of the budget setting process.  Whilst the Council’s reserves were in a healthy position, the financial sustainability of local authorities would be under greater scrutiny in light of the financial problems at Northamptonshire County Council and the Council would therefore put robust plans in place to close the budget gap.

Work was now starting on the 2019/20 budget and it was clear that the 2020/21 budgeting challenge was likely to be greater than that for 2019/20.