Issue - meetings

This report:

·       Aims to ensure the council continues to maintain a balanced 2025/26 budget forecast by considering the impact that various assumptions would have on the underlying approved position. 

·       Proposes a financial strategy to support the delivery of a robust and financially sustainable budget for 2025/26. 

·       Proposes a budget planning process and timeline for key financial reports.

·       Presents the outcome of the CIPFA Financial Resilience Review undertaken in the summer/autumn of 2023 and finalised in the spring of 2024.

·       Presents a letter submitted by the Director of Finance to DLUHC and CIPFA outlining concerns regarding the impact the deficit on the Dedicated Schools Grant is having on the financial sustainability of the Council. This recognises that due to the forecast £92m accumulated deficit on the 31 March 2025 the council will be technically insolvent (a situation where the deficit on the DSG is greater than the total reserves held by the council with a negative overall general fund position) when the current statutory override finishes on 31 March 2026. This letter also highlighted the difficulties the council will have in setting a legally balanced budget for 2025/26 when it has exhausted its ability to cover the cost of the DSG deficit from its temporary short term treasury management cashflow headroom.

This item had already been considered in conjunction with the outturn report.