Agenda item
THE COUNCIL'S 2023-24 BUDGET REPORT AND MEDIUM TERM FINANCIAL STRATEGY 2023-26
The Committee is asked to review the Council's 2023-24 Budget Report and Medium-Term Financial Strategy 2023-26
Members are asked to refer to the report included in the Tower Hamlets Council - Agenda for Cabinet on Wednesday 25 January 2023
Minutes:
The Council’s 2023-24 Budget and Medium Term Financial Strategy 2023-26 was presented by Cllr Saied Ahmed and Nisar Visram, Director of Finance Audit and Procurement.
The committee raised the following comments and questions:
· With the growth predicted in the report, but also the large amount of savings needing to be found, how did the council rationalise this? Officers stated a number pressures the council is currently under, including from adult social care, which has created a funding need. This has presented a need for council to find savings across the organisation.
· What plans are there to curb the spending in the forecasted years? Officers detailed the process around the reporting that is carried out to both officer and member leadership teams and how spending is discussed and actioned in these meetings. There is a strong budget management process across these meetings and it allows for all parts of the council to take part.
· What investment will there be in youth services over the next few years? Cllr Saied Ahmed detailed the planned investments, highlighting an additional £8.5m in young Tower Hamlets.
· Are the current reserves of the council sustainable? Officers stated that while the council’s constitution details what is the reserves policy, over the next few years, the council will have around £53m of reserves.
· Could the plans for the rollout of free home care be detailed? Cllr Saied Ahmed stated how budget pressures have meant free home care will not be able to start till the following year. Officers stated that the charging policy has meant that free home care would take more time to implement. Officers will provide members with a response on the consultation around home care chargers.
· What is the criteria about the schools within the school investments in the capital program? Why are some schools being prioritised over schools like George Green's School? Officers stated that programs like this are always under review, and based on the strategic plan some schools are prioritised.
· Will the current spending on staffing across the council, support the need to increase on core staffing? Officers detailed the current staffing plans including the statutory services, however the council will be looking at staffing when savings are needed and statutory staffing will be generally protected across the organisation, but budgets will be reviewed. · How will the new grants funding be funded and what will the governance arrangements around it? Officers detailed how the spend has been allocated, but this is pending the recent resident consultation. The plans for the governance arrangements is to ensure it is open and transparent, these are still being finalised and officers confirmed this will be sent to members.
· Is the cost for covering free school meals sustainable? Officers reported the breakdown of the costs around free school meals, with around £2m for primary and £3.2m for secondary school meals. These costs have been built into the medium-term strategy. · How achievable is the council’s saving plan and what are the other areas of risk? Officers detailed the work that will be carried out to identify the savings. There will be monitoring around savings and potential risks through the levels of reporting the council does.
RESOLVED:
Members noted the Council's 2023-24 Budget Report and Medium Term Financial Strategy 2023-26.