Issue - meetings

The Cabinet considered a report of the Director of Corporate Resources regarding the Council’s overall financial situation, the revenue budget monitoring position at the end of Period 4 (the end of July), and seeking approval for changes to the capital programme, for additional investment in a bank risk share product, and to expand membership of the Investing in Leicestershire Programme Board.  A copy of the report, marked “Agenda item 6”, is filed with these minutes.

Comments of the Scrutiny Commission, which had considered a report at its meeting on 8 September, were circulated separately and a copy is filed with these minutes.

Miss Butler CC said that protecting frontline services remained a priority, new investment opportunities for the Council were being explored, and the reversal of the previous rise in Council Tax was being considered.

RESOLVED:

a)    That the comments of the Scrutiny Commission be noted;

b)    That the significant financial challenges faced by the County Council be noted;

c)    That the Period 4 monitoring position from the current financial year be noted;

d)    That the proposed approach outlined in the report to updating the Medium Term Financial Strategy be approved;

e)    That the revised Capital Programme for 2025/26 to 2028/29 as set out in Appendix C to the report be approved;

f)      That additional investment in bank risk sharing product (capital release funds) in line with the Council’s approved Treasury Management Strategy, up to a maximum investment of £20m at any one time, be approved;

g)    That the membership of the Investing in Leicestershire Programme Board be extended to include all members of the Cabinet.

(KEY DECISION)

REASONS FOR DECISION:

To note the revenue monitoring position for the current year, as at Period 4.

The revised capital programme for 2025-29 required amendment as a result of the latest forecast financial position.

To approve the approach to the development of plans to update the Medium Term Financial Strategy for 2026-2030 in order that work can be progressed.

To approve additional treasury management investments in a bank risk sharing product (capital release funds), up to a maximum of £20m at any one time, in line with the Council’s approved Treasury Management Strategy. An investment of £12m is currently held which is returning capital.

The Cabinet previously agreed the Terms of Reference of the Investing in Leicestershire Programme Board.