Agenda item

To consider a report of the Chief Finance Officer and Director of Corporate Operations regarding the overall financial strategy for dealing with the budget gap to 2025/26 in light of the various options available to the County Council and the high level outcomes from the public consultation exercise on balancing the budget.

Cabinet considered a report of the Chief Finance Officer and Director of Corporate Operations regarding the overall financial strategy for dealing with the budget gap to 2025/26 in light of the various options available to the County Council and the high level outcomes from the public consultation exercise on balancing the budget.

With the agreement of the Chairman, Councillor Jackie Porter addressed Cabinet.  She was concerned that of the savings proposals around 50% were proposed service reductions and that the council tax increases would fall more heavily on smaller households in council tax bands A-D.  She made suggestions regarding easing the pressure on school transport such as encouraging more children, who are able, to walk or cycle to school.  She was disappointed that government did not provide a longer term funding solution to enable long term planning for councils, and she acknowledged the ongoing work of officers to reduce costs.

In response, it was confirmed that new invest to save opportunities would be considered as appropriate.  In terms of school transport, it was reported that existing legislation did not allow flexibility for local authorities to enforce longer walking distances.

During the discussion and in response to questions, it was noted that the funding settlement for 2025/26 was unconfirmed and that any additional funding received in the past had been a maximum of £25m which was not sufficient to alleviate the budget pressures.  It was confirmed that council tax increases were capped by government.  There was some benefit from the County Council’s investments, half of which were in high yielding accounts, which would help fund the pressure in school transport.  Cabinet discussed a number of reviews which could redesign delivery models and help reduce costs without adverse impact to residents and in some cases improve outcomes.

The recommendations in the report were considered and agreed. A decision record is attached to these minutes.