Issue - meetings

Cabinet Member: Finance

Forward Plan Ref: 2015/028

Contact: Stephanie Skivington, Corporate Finance Manager Tel: (01865) 323995

Report by Chief Finance Officer (CA6).

This report is the first in the series on the Service & Resource Planning process for 2016/17 which will culminate in Council setting a budget for 2016/17 in February 2016. This initial report sets the context and the starting point for the process. It sets out:

• the assumptions on which the existing Medium Term Financial Plan (MTFP) is based,

• known and potential financial issues for 2016/17 and beyond which impact on the existing MTFP, and

•         a proposed process for Service & Resource Planning for 2016/17 including a timetable of events.

The report follows on from and builds on the report presented to Cabinet in May 2015, ‘Addressing the Council’s Future Challenges’.

The Cabinet is RECOMMENDED to:

(a)            Note the report;

(b)            Approve the Service and Resource Planning process for 2016/17; and

(c)            Approve a four year period for the Medium Term Financial Plan and Capital Programme to 2019/20.

Recommendation agreed

Cabinet had before them the first in the series of reports on the Service & Resource Planning process for 2016/17 which will culminate in Council setting a budget for 2016/17 in February 2016. The report set the context and the starting point for the process, including:

•              the assumptions on which the existing Medium Term Financial Plan (MTFP) is based,

•           known and potential financial issues for 2016/17 and beyond which impact

            on the existing MTFP, and

•           a proposed process for Service & Resource Planning for 2016/17 including a timetable of events.

Councillor Nick Hards, Shadow Cabinet Member for Finance expressed concern at the implications of the County Council being expected to cope with an uncosted commitment to a national living wage. He referred to a nursing home that had an efficient business model but would be adversely affected by the proposals and queried how the Council would cope if it or others changed hands or closed and asked that Councillor Heathcoat give it some consideration. Councillor Heathcoat asked that he write in with this request and commented that a lot of work was going on. He also commented on the difficulties faced within Children, Education & Families and noted that roads and highways was still of concern to the public. He was concerned at the effects of modelling cuts of 25 and 40%.

The Leader in moving the recommendations commented that there would be hard decisions to be made to deliver a balanced budget on 6 February. Lorna Baxter updated the expected timing of the spending review and settlement which did not change the planned approach.

RESOLVED:             to:

(a)          note the report;

(b)          approve the Service and Resource Planning process for 2016/17; and

(c)          approve a four year period for the Medium Term Financial Plan and Capital Programme to 2019/20.