Purpose

To consider the report of the Cabinet Member
for Finance and Corporate Services detailing an update of the
Medium Term Financial Strategy.

Decision

i) 
To agree the updated medium term financial forecast set out in
Appendix 1.
ii) 
To agree the next steps to developing the MTFS and maintaining a
balanced budget over the medium term.
iii) 
To agree to underwrite a proportionate share of the costs of local
government reorganisation and devolution alongside the other upper
tier authorities.
iv) 
To agree the creation of an earmarked reserve for future costs
associated with Local Government Reorganisation and Devolution.
v) 
To agree the virements requested in relation to managing pressures
in 2025/26 as a set out in paragraph 9.

Reasons for the decision

The council’s agreed financial strategy
sets out the MTFS will be updated on a quarterly basis in line with
best practice. The MTFS is a dynamic plan which requires regular
review and update to ensure the council has clear oversight of its
medium term financial position, ensuring assumptions are reviewed
and revised  where necessary  alongside progress on the delivery of the
plan.

Alternative options considered

The council is legally obliged to set a
balanced budget for 2026/27 and it would be imprudent not to review
whether the council is still on track to achieving this.