Issue - meetings

It was moved by Councillor Mrs Wilson, seconded by Councillor Harper, that the recommendation of the Policy and Resources Committee regarding the Medium Term Financial Strategy be approved.

RESOLVED:  That the Medium Term Financial Strategy, attached as Appendix 2 to the report of the Policy and Resources Committee, be agreed.

The Director of Finance and Business Improvement presented his report on the Medium Term Financial Strategy. It was noted that the report presented three scenarios – favourable, neutral and adverse – for the purpose of financial planning. The scenarios guided the Council’s financial planning and would help ensure the Council could set a balanced budget in each of the scenarios, through a mix of efficiency savings, increased income, transformation and business improvement, and service reductions.

The Committee debated whether, due to the current uncertainty and  interest rates being at a historic low, it was appropriate to bring forward prudential borrowing to fund investments that would contribute to the Council’s revenue budget. The Director of Finance and Business Improvement explained that he would request advice on this measure from the Council’s external financial advisors and circulate a briefing note to the Committee once the advice had been received.

RESOLVED:

1.  That the assumptions described in the draft Medium Term Financial Strategy set out at Appendix I for planning purposes are noted.

2.  That the financial projections contained within the Medium Term Financial Strategy are noted.

3.  That the draft Medium Term Financial Strategy set out at Appendix I is agreed for submission to Council.

Voting: Unanimous