The Public Cabinet meeting on 29 January 2024 focused on the council's financial position, with significant decisions made regarding the Medium-Term Financial Strategy. Key outcomes included the approval of planning assumptions, fees and charges, and an additional Council Tax premium, alongside a planned Council Tax increase for the upcoming financial year.

Budget Monitoring and Medium-Term Financial Strategy

The Cabinet received an update on the council's revenue and capital monitoring position as of November 2023. This was followed by a detailed discussion and approval of the Medium-Term Financial Strategy for the period 2024/25 to 2027/28.

Key decisions made regarding the financial strategy include:

• Planning Assumptions: The current planning assumptions for the Medium-Term Financial Strategy were agreed. These assumptions form the basis for financial forecasting and planning over the next few years.
• Fees and Charges: The fees and charges set out for various council services were approved. These are the prices individuals and businesses will pay for services provided by the council.
• Council Tax Premium: The Cabinet agreed to charge an additional Council Tax premium, as permitted by the Levelling Up and Regeneration Act 2023. This legislation allows local authorities to increase Council Tax on properties that have been unoccupied and unfurnished for more than one year. The aim is to encourage owners to bring these properties back into use.
• Council Tax Increase: A Council Tax increase of 2.99% for the 2024/25 financial year was noted. In addition to this, a 2.00% Adult Social Care precept was also noted. The Adult Social Care precept is a specific increase in Council Tax dedicated to funding adult social care services. This decision reflects the ongoing financial pressures faced by local authorities in providing essential services.
• Forecast Position: The latest forecast position for the Medium-Term Financial Strategy was noted.
• Contract Inflation: The approach and risk associated with setting contract inflation were noted. This refers to how the council accounts for potential increases in the cost of contracts for services due to inflation.
• Local Government Settlement: The outcome of the draft local government settlement, published by the Department for Levelling Up, Housing and Communities on 18 December 2023, was noted. The council's response to the consultation on the draft Local Government Finance Settlement 2024 to 2025 was also noted.

A further report providing an updated update on the Council's Medium Term Finance Strategy is scheduled to be presented to the Public Cabinet on 22 February 2024.

The meeting was attended by Councillor Baroness O'Neill of Bexley OBE, Leader of the Council, and Councillors Richard Diment, Sue Gower MBE, David Leaf, Cafer Munur, Philip Read, and Caroline Newton. Other councillors were also present. Apologies were received from Councillor Melvin Seymour. The minutes of the previous meeting held on 23 November 2023 were agreed as an accurate record, and no declarations of interest were made. The meeting concluded at 8.55pm.