Agenda item

Within this report and appendices, we provide a further update on our strategic approach in responding to the review of the Medium-Term Financial Plan (MTFP). This follows on from the report presented at the cabinet meeting in September 20241 and scrutiny committees during November 2024 and January 2025. It includes our final change proposals within the appendices following consultation and scrutiny comment ahead of the Budget Council meeting later this month.

This report outlines the change proposals being considered by the cabinet to address our financial challenges and balance the rising cost of delivering services to the people in our communities who need it most. The report sits alongside a suite of budget papers presented elsewhere on this agenda.

The Cabinet is recommended to:-

(1) Note the further development of proposals and the feedback received from the engagement and consultation carried out.

(2) Approve the proposals for inclusion within the Cabinet’s proposed 2025/26 Revenue Budget.

Officer contact: Gill Lawton on 0161 474 3014 or email gill.lawton@stockport.gov.uk

The Leader of the Council (Councillor Mark Hunter) and the Cabinet Member for Finance & Resources (Councillor Jilly Julian) submitted a report (copies of which had been circulated) providing an update on its strategic approach in responding to the review of the Medium Term Financial Plan and included the change proposals being considered by the cabinet to address our financial challenges and balance the rising cost of delivering services to the people in our communities who needed it most.

The following comments were made/ issues raised:-

·         The financial challenges facing many local authorities were overwhelming with a number asking for permission from the government to increase Council Tax above 4.99%.

·         It was noted that Stockport was one of the only local authorities not to receive any addition funding from the Recovery Grant.

·         The council would nonetheless maintain is reputation for robust and resilient financial management.

·         It was commented that for the 16th consecutive year there was insufficient funding that was needed to protect the borough’s most vulnerable residents.

·         There was a further shortfall of £233k in the funding received from government by way of compensation for the increase in employer national insurance contributions.

·         It was becoming increasingly difficult to find ways to alleviate the impact of underfunding on residents.

·         There was a further emphasis on early intervention and prevention in adult social care to enable the council to identify additional savings in this area.

·         There had been a significant response to the consultation on changes to waste collection services; however, this had not taken away the need for the council to make the saving.

RESOLVED - (1) That the further development of proposals and the feedback received from the engagement and consultation to date be noted.

(2) That approval be given to the proposals for inclusion within the Cabinet’s proposed 2025/26 Revenue Budget.