Issue - meetings

Members considered a report and supplementary report of the Director of Corporate Resources which set out the proposed Medium Term Financial Strategy (MTFS) for 2026/27 to 2029/30 for consultation and scrutiny.  A copy of the report and supplementary report marked ‘Agenda Item 5’ is filed with these minutes.

Mr. H. Fowler CC, the Cabinet Lead Member, welcomed the external Efficiency Review that was currently being undertaken and recognised that this would have an impact on the final proposals for the MTFS.  He felt that the proposals in the draft MTFS for Council Tax were balanced between providing value for money for taxpayers and meeting the needs of service users.  He encouraged residents to respond to the consultation.

RESOLVED:

a)    That the proposed Medium Term Financial Strategy (MTFS), including the 2026/27 draft revenue budget and capital programme, be approved for consultation and referred to the Overview and Scrutiny Committees and the Scrutiny Commission for consideration;

b)    That the Director of Corporate Resources, following consultation with the Cabinet Lead Member for Resources, be authorised to -

                      i.        agree a response to the provisional Local Government Finance Settlement;

                    ii.        decide on the appropriate course of action with regard to the Leicester and Leicestershire Business Rates Pool in 2026/27 and, subject to agreement by all member authorities, to implement this;

c)    That each Chief Officer, in consultation with the Director of Corporate Resources and following consultation with the relevant Lead Member(s), undertake preparatory work as considered appropriate to develop the savings set out in the draft MTFS and to identify additional savings in light of the financial gap in all four years of the MTFS, to enable the Cabinet and Council to consider further those savings to be taken forward as part of the MTFS and implemented in a timely manner;

d)    That a further report be submitted to the Cabinet on 3 February 2026.

(KEY DECISION)

REASONS FOR DECISION:

To enable the County Council to meet its statutory requirements with respect to setting a balanced budget and Council Tax precept for 2026/27 and to provide a basis for the planning of services over the next four years.

To ensure that the County Council’s views on the provisional Local Government Finance Settlement are made known to the Government.

To enable the County Council (alongside the pooling partners) to respond to the Ministry of Housing, Communities and Local Government in respect of the Business Rates Pool within 28 days from the draft Local Government Finance Settlement.

To enable early work to be undertaken on the development of new savings to address the worsening financial position.

To consider feedback from consultation on the draft MTFS and the views of the Overview and Scrutiny bodies and the final recommendations to be made to the County Council.