Issue - meetings

The Strategic Lead Finance presented the draft Financial Plan (2021-2031) for consideration. He stated the Plan ensured the financial stability of the Council as it continued to respond and recover from the Covid-19 pandemic. A 10-Year projection showed services as they were presently with no changes to additional services. He discussed in detail the MTFP over the next 3 years and recommended to set aside a £2m reserve to mitigate losses from central government from changes in business rates and the New Homes Bonus.

Discussions included the following:

·       The Council’s borrowing position had been reduced significantly from the selling of the Knowle; therefore no additional borrowing costs required based on the capital programme set out in the MTFP.

·       The set aside £2m reserve would come from the 2019/20 General Fund outturn position giving us a high General Fund Balance at year end.

·       £2m reserve allows the Council to buy time if required to consider their aims and objectives and sync this with the budget

·       The need to look into revenue from car parks through the task and finish forums and costs of public toilets in order bring forward proposals to balance the 2021/22 budget.

The Portfolio Holder Finance and Members congratulated and thanked Simon Davey for his work, report and very clear explanation of the current and future financial positon of the Council.

RECOMMENDED that Cabinet recommend to Council:

1.     To approve the Financial Plan (2021-2031), and

2.     to approve the proposals contained in  the minutes of the Budget Strategy and Capital Allocation Panel  to address the projected budget shortfall outlined in the Financial Plan.

REASON:

It was good practice in managing the finances of the Council to produce a Financial Plan looking at the future direction of the Council’s budgets. To consider the implications of spending plans and the level of resources likely to be available. It was only by looking at the Council’s budget over a longer period, that action could be taken that would influence the direction and shape of future service delivery within a balanced budget.