Issue - meetings

The Director of Finance and Business Improvement, in presenting his report on the Medium Term Financial Strategy (MTFS) 2020/21 – 2024/25, explained that the report set out how the Council would deliver the Strategic Plan in financial terms.

The Committee noted that:-

·  A budget for action on climate change  would need to be built into next year’s budget. 

·  Central government planned to roll forward the existing funding settlement to 2020/21 which would provide some stability next year.  However, after 2021 there remains considerable uncertainty.

·  The government planned to set a limit of 2% to increases of Council tax, above which a referendum would be required.

In response to questions from Members, the Director of Finance and Business Improvement advised that:-

·  In the event that self funding capital bids could not be found, the Council would be looking for new proposals to meet the strategy and would welcome suggestions from Members.

·  Assuming that Council tax goes up by 2% then further savings for 2020/21 would not be required and the existing services that the Council provided would not be affected if all other variables remained constant.

·  If there was a deficit in subsequent years post 2020/21 then further savings would need to be made.

·  Given the fact that growth of 2% per annum in the Council Tax base had not been achieved in previous years, it was prudent to assume that the Council Tax base increase for 2020/21 would be 1.5%.

RESOLVED:  That the Committee considered the draft Medium Term Financial Strategy 2020/21 – 2024/25 and provided comments to be taken to the Policy and Resources Committee.