Issue - meetings

To consider a joint report of the Leader of the Council and Cabinet Member for Policy, Finance and Devolution and the Cabinet Member for Reform and Governance.

The Leader of the Council and Cabinet Member for Policy, Finance & Devolution (Councillor Alex Ganotis) submitted a report (copies of which had been circulated) detailing the Cabinet’s Revenue Budget Proposals for 2019/20 and Capital Programme Investment Plans and outlining the Council’s financial outlook and challenges across the medium term period 2019/20 to 2022/23.

MOVED AND SECONDED – That:-

(1) approval be given to the Budget for 2019/20 described in the report and set out in Appendix 2 and 3;

(2) the risk assessment of the Budget at Appendix 5 and the report of the Borough Treasurer on the adequacy of proposed financial reserves and robustness of the estimates included at Appendix 5 be noted;

(3) the financial forecasts for 2019/20 to 2022/23 (Appendix 6), and the key issues to be addressed in formulating a response to the future financial challenges facing the Council be noted;

(4) approval be given to the 2019/20 to 2021/22 Capital Programme and the funding arrangements as described in the report and set out at Appendix 7; and

(5) approval be given to the prudential indicators set out in Appendix 8;

AMENDMENT MOVED AND SECONDED – That the Council Meeting gives approval to the proposed amendments to the 2019/20 Cabinet Revenue Budget and Capital Programme put forward by the Liberal Democrat Group and as set out in its proposals and summarised in the document entitled “Liberal Democrat Group Budget Amendment, 21st February 2019” which had been circulated at the meeting and which would result in consequential revisions to Appendices 1, 2, 3 and 6 to the report.

To consider a joint report of the Leader of the Council and Cabinet Member for Reform & Governance.

The purpose of the report is to finalise the Cabinet’s Revenue Budget and Capital Programme for 2019/20. It also outlines the Council’s financial outlook and challenges across the medium term period 2019/20 to 2022/23.

The report highlights the overarching priorities and desired outcomes upon which the Cabinet has based its budget proposals, and which form the basis of the updated Council Plan included elsewhere on this agenda.

This report needs to be considered in conjunction with the Borough Treasurer’s MTFP Update report on the Council’s Medium Term Financial Plan (MTFP) for 2019/20 to 2022/23 following the Provisional Local Government Finance Settlement (PLGFS) announced by Government (included elsewhere on this agenda). The Borough Treasurer’s MTFP Update report clearly sets out the budget challenges facing the Council highlighting the risks which could have a significant impact on the Council’s financial position in the medium term.

This report also takes account of other reports included on this agenda as follows:

·                The Corporate Performance and Resources Final Update report for 2018/19 including an update of the Council’s Capital Programme taking account of the Quarter 3 2018/19 Capital Programme monitoring and the Cabinet’s medium term capital investment plans;

·                The Council’s 2018/19 Treasury Management Strategy, Annual Investment Strategy and Minimum Revenue Provision Policy;

·                The Council’s Capital Strategy; and

·                The Cabinet’s Our Medium Term Strategy and Budget Choices 2019/20 report.

The updated MTFP forecasts take account of a number of factors including:

·                The 2018/19 Quarter 3 revenue and capital budget monitoring position;

·                The issues, challenges and financial prospects facing the Council in 2019/20 and the following three years;

·                The proposed 2019/20 Council Tax increase of 2.99% announced at the Cabinet by in October 2018;

·                The Borough Treasurers report which identifies available resources to support the Council’s investments and MTFP;

·                The 2018 Autumn Budget  announced by Government on 29 October 2018;

·                The 2019/20 Provisional Local Government Finance Settlement announced by Government on 13 December 2018;

·                The Council Tax Taxbase approved at the Council meeting on 17 January 2019; and

·                The Cabinet saving proposals for 2019/20.

The Cabinet is asked to recommended that the Council Meeting:

·         Agree the Budget for 2019/20 described in the report and set out in Appendix 2 and 3;

·         Note the risk assessment of the Budget at Appendix 5 and the report of the Borough Treasurer on the adequacy of proposed financial reserves and robustness of the estimates included at Appendix 5;

·         Note and comment upon the financial forecasts for 2019/20 to 2022/23 (Appendix 6), and the key issues to be addressed in formulating a response to the future financial challenges facing the Council;

·         Approve the 2019/20 to 2021/22 Capital Programme and the funding arrangements as described in the report and set out at Appendix 7;

·         Approve the prudential indicators set out in Appendix 8; and

·         Pass the appropriate Council Tax resolutions which produce a Council Tax increase of 2.75% (1.75% General increase and 1% Adult Social Care Precept increase) as illustrated in Appendix 9.

Officer contact: Jonathan Davies, 0161 218 1025, jonathan.davies@stockport.gov.uk

The Leader of the Council and Cabinet Member for Policy, Finance & Devolution submitted a report (copies of which had been circulated) inviting the Cabinet to consider its proposed 2019/20 Revenue Budget and Capital Programme investment plans, outlining the Council’s financial outlook and challenges across the medium term period 2019/20 – 2022/23.

The Leader of the Council emphasised that the proposals contained in the report represented the culmination of a number of strands of work that had been considered in reports earlier in the meeting. In particular he highlighted the importance of the Capital Programme in supporting the Council’s aspirations and ambitious reform programme. He further reported that the proposals also included resources to be set aside in preparation for any consequences that may arise from a no-deal ‘Brexit’.

RESOLVED – That in relation to the 2019/20 Cabinet Revenue Budget and Capital Programme, the Council Meeting be recommended to:-

•        approve the Budget for 2019/20 described in the report and set out in Appendix 2 and 3;

•        note the risk assessment of the Budget at Appendix 5 of the report and the report of the Borough Treasurer on the adequacy of proposed financial reserves and robustness of the estimates included at Appendix 5;

•        note and comment upon the financial forecasts for 2019/20 to 2022/23 (Appendix 6 of the report), and the key issues to be addressed in formulating a response to the future financial challenges facing the Council;

•        approve the 2019/20 to 2021/22 Capital Programme and the funding arrangements as described in the report and set out at Appendix 7 of the report;

•        approve the prudential indicators set out in Appendix 8 of the report; and

•        pass the appropriate Council Tax resolutions which produce a Council Tax increase of 2.75% (1.75% General increase and 1% Adult Social Care Precept increase) as illustrated in Appendix 9 of the report.