Issue - meetings

Medium Term Financial Plan Update

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Meeting: 20/12/2019 - Cabinet (Item 97)

97 Medium Term Financial Plan Update Report PDF 323 KB

This report details the good progress made in the development of a robust balanced budget for 2020/21. The report also sets out;

· The latest Medium Term Financial Plan (MTFP) position.

· Details of the key assumptions being applied to the 2020/21 budget and MTFP process.

· An update on the key financial risks as set out in the October MTFP Update report including the High Needs Budget.

· Recommendations of the Chief Finance Officer in respect of the review of earmarked reserves.

In addition, and in respect of the framework for Council Tax, the report proposes;

· Not to change the Local Council Tax Support Scheme (LCTSS) for 2020/21 and therefore the Council will operate the same scheme as that applied for 2019/20.

· To introduce a new Council Tax discount for BCP care experienced young people up to the age of 25.

Additional documents:

Decision:

RESOLVED that Cabinet:-

(a) Notes the good progress that has been made in developing a robust and lawful budget for 2020/21.

(b) Notes the update on the strategic financial risks.

(c) Endorses the review of earmarked reserves designed to support the Council’s Budget and MTFP process.

(d) Approves the continuation of the current 2019/20 Local Council Tax Support Scheme (LCTSS) into 2020/21.

(e) Approves the new Council Tax discount for BCP care experienced young people up to the age of 25.

(f) Confirms the recommendation of the Overview and Scrutiny Board that Cabinet Portfolio Holders be requested to provide further detail on budget work and risk analysis on the savings identified to date in figure 1 of the MTFP report to Cabinet of 20 December, to the Overview and Scrutiny Board in January, and prior to the budget being presented.

Voting: Unanimous

Portfolio Holder: Finance

Reason

To comply with accounting codes of practice and best practice which requires Councils to have a rolling multi-year medium term finacncial plan.

To ensure Members develop a balanced budget for 2020/21.

To provide Cabinet with the latest high-level overview of the medium-term financial plan position for Bournemouth, Christchurch and Poole Council.

To ask Cabinet to approve the continuation of the current LCTSS and the introduction of a new Council Tax Discount for care experienced young people up to the age of 25.

Minutes:

The Portfolio Holder for Finance presented a report, a copy of which had been circulated to each Member and a copy of which appears as Appendix 'E' to these Minutes in the Minute Book.

Cabinet were requested consider the rolling multi-year medium term financial plan in order to comply with accounting codes of practice and best practice. In relation to this Cabinet were advised of the progress which had been made in the development of a robust balanced budget for 2020/21.

The Chairman of the Overview and Scrutiny Board thanked the Portfolio Holder for his thorough presentation of the report and for the recent briefings which had been held for the Overview and Scrutiny Board. In addition the Chairman of the Overview and Scrutiny Board advised Cabinet that at their recent meeting the Overview and Scrutiny Board had resolved that Cabinet Portfolio Holders be requested to provide further detail on budget work and risk analysis on the savings identified to date in figure 1 of the MTFP report to Cabinet of 20 December, to the Overview and Scrutiny Board in January, and prior to the budget being presented.

A Councillor present at the meeting spoke in support of the recommendation in relation to the new Council Tax discount for BCP care experienced young people.

Cabinet Members discussed the Overview and Scrutiny Boards recommendation in detail expressing concerns with regards to the potential extra work which may be required of officers in order to provide the detail requested, and the potential that some figures may change prior to the final budget being published.

In relation to this the Cabinet were reassured that figures were available, and that reports prepared providing further details around the figures could be submitted to the Overview and Scrutiny Board as late supplementary reports or presented on the day of the meeting.