Issue - meetings

The Cabinet considered a report giving an update on the Medium Term Financial Plan 2013/14 to 2015/16.

Reference was made to the additional cost pressures which the Authority would be facing due to a number of issues including:

• A reduction in Council Tax Benefit Grant received
• Changes to welfare reform and the impact on the Authority from residents’ service need
• Transfer from Housing Benefit to Universal Credit
• Impact of the current national economic situation

Members were also reminded of the impact of loss of income in areas such as planning and building control applications and of the effect on the Revenue budget of borrowing in future years to fund projects such as a new Leisure Centre.

Reference was made to the actions which had been taken through Shared Services and transformation work to reduce costs but with a view to protecting front line services. Further savings from transformation had been built into the Medium Term Financial Plan and Heads of Service were working to achieve these. The Leader also reminded the Cabinet of decisions taken in respect of Business Rate Pooling in order to maximise the benefit to the Authority.

The Executive Director (Finance and Resources) referred to additional “one off” pressures on the budget these being work required in connection with the “Green Deal” scheme and a need to undertake an updated Travellers and Gypsy Site Assessment.  It was likely these costs would need to be met from balances. 

Members discussed the options available around the level of Council Tax in order to address the current budget gap of around £70,000 and to achieve a balanced budget.

It was noted that The Medium Term Financial Plan would be considered at Cabinet on 20th February 2013 and that recommendations would be made to the Council which was to take place on the same date. 

RESOLVED  that the current position for 2013/2014 – 2015/2016 be noted and that officers be requested to review the savings that can be delivered in order to achieve a balanced budget.