Issue - meetings

To consider a report by the Corporate Director, Commerce and Technology.

Approved variations and adjustments in the cash limits for the years 2004/08, in the current MTP, agreed to meet any additional expenditure within the MTP from savings; agreed that there be no additional provision for revenue developments and £3.5m per year for capital investment (at current prices) unless funded from savings and/or related to population growth; that, further consideration be given to the level of acceptable development post 2008/09 and that the Overview and Scrutiny Panel (Planning and Finance) be invited to comment on the foregoing draft Financial Strategy.

A report by the Corporate Director, Commerce and Technology was submitted (a copy of which is appended in the Minute Book) containing details of the Council’s current financial position and options to consider before proposing a financial strategy within which the medium term plan and community and corporate strategies could be achieved.

Members noted that a series of assumptions had been made in relation to inflation, interest rates, revenue support from Central Government.  However, the Cabinet also were alerted to other issues which remained to be resolved, including the connotation, and other factors associated with the Government’s new funding principles introduced in the current year and the arrangements which would supersede those formerly applying to social housing grant, and their potential impact on Council Tax levels in future years.  In those circumstances, it was

RESOLVED

(a)  that variations in cash limits for 2004/05 - 2007/08 as approved in the current MTP be adjusted in accordance with the tabulation reproduced at Annex A to the report now submitted;

(b)  that any additional spending which is proposed in conjunction with the review of the MTP be met from within the overall, updated levels of expenditure referred to in (a) above;

(c)  that unless related to demographic considerations, no additional provision for revenue developments be made in 2008/09 and that £3.5m p.a. be earmarked for capital investment (at current prices);

(d)  that, further consideration be given to the level of acceptable development post 2008/09 and Council Tax levels at future meetings; and

(e)  that, in conjunction with the forthcoming review of the MTP, consideration be given to the scope for identifying further savings.