This report provides an update on the Council’s 5-year financial forecasts following the emergency budget.
This report gives the Executive the opportunity to consider the Council’s 5-year financial forecasts as set out in the Medium-Term Finance Strategy (MTFS) following the setting of the emergency revised budget for 2020/21 at the September Executive.
The impacts of Covid-19 have affected many areas of the Council’s finances including a contribution from reserves to set a balanced revised budget for 2020/21. In light of the changes a new table of figures highlighting the effects of the pandemic and other operation changes has been compiled and the effects of this going forward over the strategy period is shown in the table below:
£s |
2020/21 |
2021/22 |
2022/23 |
2023/24 |
2024/25 |
Approved MTFS Deficit Position |
0 |
489,000 |
512,000 |
440,000 |
N/A |
Revised MTFS Forecast Deficit Position |
1,145,000 |
2,282,000 |
706,000 |
594,000 |
452,000 |
The detailed report highlights the main spending pressures affecting the budgets and also opportunities taken to close the budget gap.
5-Year Financial Forecasts
The 5-Year financial forecasts for 2020/21 to 2024/25 is predicting a funding shortfall for all years. The Opportunities Plan approved last year is still predicted to address some of the shortfall and build in some capacity for future pressures and uncertainties.
Decision type: Key
Decision status: Recommendations Approved
Notice of proposed decision first published: 04/09/2020
Decision due: 12 Oct 2020 by Executive
Lead member: Executive Member for Policy & Resources
Lead director: Deputy Chief Executive Officer
Contact: Neil Wood Email: nwood@fareham.gov.uk.
Consultees
None.