Purpose

The purpose of the report was to provide an update on the Council’s Medium-Term Financial Plan (MTFP) and sought approval of the proposed budget development approach and timetable for developing the 2027/28 Budget and Medium-Term Financial Plan to 2030/31.

Decision

ORDERED that Executive approve the budget development approach and timetable, set out in Appendix 1 of the report, for developing the 2027/28 Budget and Medium-Term Financial Plan (MTFP) to 2030/31.

AGREED that the Executive note the update of the Council’s Medium Term Financial Plan (MTFP).

Reasons for the decision

REASONS

The forward planning for, and setting of a robust budget and balanced MTFP, enabled the Council to provide and deliver services within its overall corporate and financial planning framework. The MTFP underpinned the delivery of the Council’s vision for Middlesbrough to be a thriving, healthier, safer, and more ambitious place where people wanted to live, work, invest, and visit, and where the Council would support residents to live fulfilling lives, to ensure that its communities thrived.

All Council elected Members had a legal obligation to agree a balanced robust budget and set the Council Tax by 11 March 2027. In addition, the Council had a Best Value duty to demonstrate financial sustainability through the delivery of a balanced MTFP over a period of at least three years. The setting of the budget was part of the Performance and Financial Management Framework and therefore required Full Council approval scheduled for 24 February 2027.

The Council was required to take a systematic, coherent, and controlled approach to addressing its ongoing financial challenges over the medium-term, while enabling the delivery of the Mayor’s vision and priorities for Middlesbrough through delivery of the wider Council Plan.  

Alternative options considered

OPTIONS

The Council was required by law to set a balanced budget and to operate robust and meaningful financial planning arrangements. The report set out the development process and timeline for achieving that objective. Therefore, no other options were submitted as part of the report.