Purpose

Part A - The purpose of this report is to outline the outcomes of the summer review of the Council’s Medium Term Financial Plan (MTFP) 2026/27 to 2030/31. The report revisits the assumptions and forecasts underpinning the MTFP, and looks at any changes in national economic conditions, interest rates and increasing demand for services, to ensure they continue to be based on the latest available information.

Decision

The Cabinet has considered the outcomes of the review of the council’s Medium-Term Financial Plan (MTFP) 2026/27 to 2030/31 which highlighted  the context of significant budget pressures due to inflationary costs and increasing service demand reflecting Stockport residents and businesses increased need for support, and has then agreed to:-

(1) Note the outcomes of the MTFP update and the highlighted changes to the MTFP forecasts and assumptions approved in February.

(2) Approve the forecast and assumption adjustments as a result of the MTFP updates outlined in the report.

(3) Note that the council’s savings requirement has increased to £12.078m in 2027/28 rising to £29.137m in 2030/31 as a result of the adjustments subject to further review and updates during the financial year.

(4) Note that due to the significant demand, volatility, and risk within the financial landscape the assessment of the MTFP forecasts and assumptions will continue to be iterative with further updates to the MTFP reported to Cabinet as part of the 2027/28 budget setting process.

(5) Approve the recommended use of one-off resources identified during the financial year to support the council’s in-year financial position, the 2027/28 Budget and MTFP.

Alternative options considered

None.