Purpose

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

Decision

(i) 
To agree the updated medium term financial forecast and its
assumptions set out in Appendix 1.
(ii) 
To agree to draw up proposals aimed at addressing the pessimistic
scenario set out in Appendix 1.
(iii) 
To agree the initial set of savings proposals set out in Appendix
2.
(iv) 
To agree to hold a budget engagement exercise commencing in
November 2025 to inform the setting of the budget in February
2026.

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
requirement.