Budget Development Overview and Scrutiny Committee - 22 September 2025

The Committee began with a statement that there were no declarations of interest and that no members of the public asked questions of the Chairman. The Chief Operating Officer, Section 151 Officer, Head of Finance and Comprehensive Spending Review Lead presented a report that had two primary purposes: (1) to review the Cabinet’s proposed Framework for Developing the Financial Strategy and to formulate recommendations for the Cabinet’s meeting on 24 September 2025, and (2) to consider and develop the Committee’s Work Programme for the coming year.

In relation to the financial‑strategy framework, officers explained that the Cabinet had previously received updates on national policy and funding announcements, including the Chancellor’s Spending Review and the first Funding Review 2.0. Because further detailed guidance from Government was not expected for some time, the draft budget to be presented in December 2025 will be based on funding assumptions rather than firm allocation figures. A final budget is slated for Cabinet consideration in February 2025 and for Council approval later that month.

Discussion highlighted two key points. First, the Government’s confirmation of a multi‑year funding settlement allows the Council to propose a three‑year budget position, which officers welcomed and for which additional scrutiny time has been built into the process. Second, the Cabinet report identified several “unknowns.” Officers responded that they are applying modelling techniques, drawing on their knowledge of inflation trends, service demand forecasts, demographic changes and market conditions to make informed assumptions. They also noted that the Council consistently lacks sufficient resources to cover all costs, so work continues to identify efficiency opportunities and close budgetary gaps.

Finally, the Committee noted that its workload for the year has increased, with a greater number of formal meetings scheduled compared with the previous year. The option to hold workshops in November was discussed as a means to address areas requiring further work, thereby strengthening scrutiny and the quality of recommendations that will be presented to Cabinet before its formal meeting on 17 December 2025. The Work Programme will be finalised in line with these plans.