Agenda item

To receive a report from the Deputy Chief Executive (S151 Officer)

Cabinet had before it a report* which updated Cabinet on the Medium Term Financial Plan (MTFP) which covers the period 2024/25 to 2028/29. This took into account the Council’s key strategies (i.e. the Corporate Plan, Business Plans, Treasury Management Plan, Asset Management Plan, Work Force Plan and Capital Strategy) and demonstrated the financial resources to deliver the Corporate Plan. This models potential changes in funding levels, new initiatives, unavoidable costs and proposed service savings.

There was a priority to increase income over cutting services with a priority given to the Council’s corporate priorities.  At all times borrowing would be minimised and the use of reserves would only be done in a controlled and planned way. It was highlighted that an upcoming general election would impact on financial forecasts.

The following was considered:

·         With regard to recommendation 3 of the report, it was encouraged that innovative ideas be welcomed in order to support the Council.  The Deputy Chief Executive (S151) agreed and encouraged new ideas, he also encouraged the possibility of working in partnership with third party organisations. An all Member briefing was due to take place in mid-November which would allow Councillors to ask questions on the budget.

·         It was asked what the success rate was of funding based on grants and bidding. The Deputy Chief Executive (S151) explained that it was around a 1 in 4 success rate, some funding had been successful. For example, the Council was successful in a £3m bid for the leisure centres.  The Government had reduced grant funding and there was mixed success. Bidding for grants was something that this Council aimed to maximise. The Deputy Chief Executive (S151) reassured the Cabinet that all bids were of a high quality.

·         Asked what the cost had been to the Council pursuing grants and bids, the Deputy Chief Executive (S151) explained that over the past 5 years the Council had likely spent a 6 figure sum towards bidding.

·         Asked if the Rural Services Delivery Grant had been confirmed or whether it was likely to withdrawn, the Deputy Chief Executive (S151) stated that there was no guarantee that this funding would remain as it was renewed on an annual basis. However, as a sparsity indicator, it is considered more likely that this grant will be continued and hence is included in the calculations.

• The Council’s net zero commitments were raised, to which The Deputy Chief Executive (S151) acknowledged that this was a financial challenge for all Councils. He was hopeful that the Council could secure third party funding to work towards the Council’s decarbonisation goals. Members are encouraged to attend the Net Zero Action Group and help prioritise the Climate Action Plan.

·         It was raised that 2030 was not far off, the Deputy Chief Executive (S151) emphasised the importance of external funding to meet net zero targets and that this could not be achieved independently.

·         The Council Tax Base was mentioned as well as long term growth and what this relied upon. There was a commitment not to develop the area for the potential Culm Garden Village, until the relief road was established. It was asked how this might impact long term growth for the Council, if neither of these were achieved. The Chief Executive explained that the planned development was at risk and did not directly impact the wider long term growth of the Council.

·         Energy costs were highlighted as an issue within the District and it was asked how mitigating these costs might be achieved. The Corporate Manager for Finance explained that Cabinet had agreed to a contract back in July 2023 which accommodated preferential rates and usage of renewable energy. It was also added that increased level of investments into renewables was being looked into.

·         There was a need to future proof the Council so that the Council would not miss potential funding grants. The Deputy Chief Executive (S151) encouraged Parishes to approach the Council should they need help to complete bids.

·         Where shared services with other authorities had been considered. The Deputy Chief Executive (S151) explained that there were a few arrangements in place and that other opportunities were welcomed.

RESOLVED: That Cabinet Members:

1. Note the updated MTFP’s for the General Fund covering the years 2024/25 to 2028/29

2. Agree the principles and endorse the approach to balancing the General Fund Revenue Budget outlined in paragraph 6.2.

3. Seek recommendations from the Policy Development Groups on the appropriate fees for Services to charge and the services areas where savings should be sought and to what level.

(Proposed by J Buczkowski, seconded by Cllr J Lock)

Reason for the decision:

The Medium Term Financial Plan (MTFP) sets out the financial resources available to deliver the Council’s ongoing Corporate Plan priorities.

Note: * Report previously circulated.