Issue - meetings

To consider a report of the Corporate Director, Corporate and Support Services.

The purpose of the report is to update the Council’s 2020/21 to 2022/23 Medium Term Financial Plan (MTFP) forecasts and assumptions taking account of local and national changes including the 2019 Spending Review and Technical Consultation on the Local Government Finance Settlement announcements since the completion of the MTFP Summer Review. The report also details further work which has been undertaken since the MTFP Summer Review to ensure the forecasts and assumptions underpinning the MTFP remain robust.

The Cabinet are recommended to:

·                Note the details of the report including the announcements made by Government since September impacting on the 2020/21 Local Government Finance Settlement and Local Government funding beyond 2020/21;

·                Note the details of the 2020/21 Provisional Local Government Finance Settlement and the changes made to the Council’s revised MTFP as a result;

·                Note and comment upon as appropriate, the financial forecasts for 2020/21 to 2022/23, and the key issues to be addressed in formulating a response to the financial challenges facing the Council;

·                Note the £2.950m MTFP resource and the recommended options for use of the resource for consideration in the Cabinet Response to the MTFP;

·                Approve £3.032m use of the unallocated one-off resources to support the funding of the priorities set out in paragraph 7.4;

·                Note the £3.416m unallocated one-off resources identified and the recommended options for the use of the resource for consideration in the Cabinet Response to the MTFP; 

·                Note the budget reduction requirement for 2021/22 of £10.390m and £18.984m in 2022/23; and

·                Take the final steps necessary to propose a balanced budget for 2020/21 to the Budget Council meeting on 27 February 2020.   

Officer Contact: Jonathan Davies on 0161 218 1025 or email: jonathan.davies@stockport.gov.uk

The Deputy Leader of the Council and Cabinet Member for Resources, Commissioning and Governance submitted a report (copies of which had been circulated) providing an update to the Council’s 2020/21 to 2022/23 Medium Term Financial Plan (MTFP) forecasts and assumptions, taking account of local and national changes including the 2019 Spending Review and Technical Consultation on the Local Government Finance Settlement announcements since the completion of the MTFP Summer Review and has agreed to

The Deputy Leader of the Council provided an overview of the report, emphasising: -

·         The context of the report was that this was a one-year settlement and therefore set out the direction of travel moving forward for the next year which was based on the 5 key themes outlined in page 138 of the report.

·         There were a number of demands and pressures, locally and nationally, which would impact on the budget to a total cost of £2.65m.

·         There needed to be detailed discussions in relation to the level of Council Tax to be charged prior to this being agreed in the Budget.

·         There was likely to be a modest outturn surplus of approximately £500k and the vast majority of savings proposals had now been agreed following consultation with the public. However, there were some proposals which needed further consultation before a decision could be taken.

RESOLVED - That, in relation to the Medium Term Financial Plan, Update following the 2020/21 Provisional Local Government Finance Settlement:-

·         the details of the report including the announcements made by Government since September impacting on the 2020/21 Local Government Finance Settlement and Local Government funding beyond 2020/21 be noted;

·         the details of the 2020/21 Provisional Local Government Finance Settlement and the changes made to the Council’s revised MTFP as a result be noted;

·         the financial forecasts for 2020/21 to 2022/23, and the key issues to be addressed in formulating a response to the financial challenges facing the Council be noted;

·         the £2.950m MTFP resource and the recommended options for use of the resource for consideration in the Cabinet Response to the MTFP be noted;

·         approval be given to the £3.032m use of the unallocated one-off resources to support the funding of the priorities as set out in paragraph 7.4 of the report; 

·         the £3.416m unallocated one-off resources identified and the recommended options for the use of the resource for consideration in the Cabinet Response to the MTFP be noted;      

·         the budget reduction requirement for 2021/22 of £10.390m and £18.984m in 2022/23 be noted; and

·         the final steps necessary be taken to propose a balanced budget for 2020/21 to the Budget Council meeting on 27 February 2020.