The Finance and Economic Overview and Scrutiny Committee were scheduled to meet to discuss the South Kesteven District Council’s financial position, including updates on the General Fund, Housing Revenue Account (HRA), and capital programmes. Also on the agenda were updates on the Economic Development Strategy Action Plan, the UK Shared Prosperity Fund, and the Turnpike Close depot, as well as reviews of the Corporate Asset Management and Property Maintenance strategies. Councillors were also expected to discuss criteria for allocating funds from the Leisure Investment Reserve.

Finance Update

The committee was scheduled to review the council's forecast financial position for 2025/26 as of the end of July 2025. This included updates on the General Fund Revenue Budget, the Housing Revenue Account Budget, and both the General Fund and Housing Revenue Account Capital Programmes.

The report to the committee noted that the net cost of services budget set by the council on 27 February 2025 was £24.008m, but that this had been updated to £27.581m to reflect approved budget carry forwards and in-year virements¹. The report also included a risk register, which stated that the council faced several financial risks, including:

• Capital programmes requiring borrowing in the medium term
• Lack of clarity for funding levels from 2026/27
• Increase in bad debts as a result of economic circumstances
• Increased maintenance costs of council assets
• Fuel price volatility
• Inflation increases beyond budgeted levels
• Fee income volatility

Local Council Tax Support Scheme

The committee was scheduled to discuss the outcome of consultations on the Local Council Tax Support Scheme, the Discretionary Council Tax Payment Policy and the Discretionary Housing Payment Policy for 2026/27.

Economic Development Strategy Action Plan

The committee was scheduled to receive an update on the action plan associated with the South Kesteven District Economic Development Strategy (2024-2028). The Update on Economic Development Strategy Action Plan noted that enabling economic opportunity is a priority within the council's Corporate Plan 2024-2027, and that the Economic Development Strategy was adopted by the cabinet in October 2024.

The report stated that the strategy focuses on five themes:

• Business, job creation and employment safeguarding
• Skills development
• Inclusive growth and regeneration
• Inward investment
• Enhancing South Kesteven's tourism and visitor economy

The report also noted that there had been good progress against many of the actions in the strategy, but that some of the actions had been delayed due to a vacancy in the Economic Development and Inward Investment Manager post.

The report recommended that the committee note the progress made on the action plan and agree to receive a further update and refreshed action plan within the next six months.

The Appendix 1 for Update on Economic Development Strategy Action Plan provided an update on the progress of each action in the plan. It noted that a number of actions were on hold until the Economic Development and Inward Investment Manager was in post, and that some actions had been delayed due to challenges with the founding principles of the Local Economic Forum (LEF).

The report stated that challenges with the founding principles of the Local Economic Forum (LEF) were identified within the delivery of the first tranche of UKSPF².

It was a requirement of the funding that all councils in receipt of the funding establish a LEF for strategic input into the delivery of the UKSPF programme (and wider engagement on strategy development). Unfortunately, the same group of senior stakeholders were being asked by all of the councils in Lincolnshire to form LEF's across the County. As this resulted in an unreasonable burden upon them, it resulted in lack of engagement with senior stakeholders.

Appendix 1 for Update on Economic Development Strategy Action Plan

UK Shared Prosperity Fund 2025-26

The committee was scheduled to receive an update on the progress made in delivering the UK Shared Prosperity Fund Allocation 2025-26. The Update on UK Shared Prosperity Fund 2025-26 noted that in December 2024, the government announced an additional or transition year of UK Shared Prosperity (UKSPF) funding for 2025-26.

The report stated that the allocation to South Kesteven District Council was £1,212,660 in UK Shared Prosperity Funds with a further £162,103 allocated through the Rural top-up funds (REPF).

The report also noted that the Greater Lincolnshire Mayoral Combined County Authority (GLCCA) not South Kesteven District Council (SKDC) will be the lead authority and have allocated funding to the council.

The Appendix 2 for Update on UK Shared Prosperity Fund 2025-26 listed the projects that had been awarded funding by the council, including:

• Safer Streets
• Shop Front Maintenance Grant Scheme
• Campbell Close Grantham Play Park
• Harrowby Lane Grantham Playing Field/Football Club
• Wyndham Park Grantham Provision of a Skate Park
• Dysart Park Grantham Tennis Courts
• Stamford Indoor Bowls Club
• Parish and Community Fund
• Decarbonisation Projects
• Business and Skills
• Impact Booster – Harlaxton College
• Connect2Grow - Steadfast
• Move and Food - Inspire+
• Skills Summit 2026
• Deepings Community Centre
• Langtoft Pre-School
• Community Hub - Inspire+

The report recommended that the committee note the contents of the report and agree to receive a further update in 6 months.

Turnpike Depot Update

The committee was scheduled to receive an update on the construction of the new Waste Depot at Turnpike Close in Grantham. The Turnpike Depot Update - September 2025 noted that works have continued to progress on site since commencement in October 2024 and have now reached a critical point in the final fitting out and commissioning stages of the project.

The report stated that the contractor had outlined a 3-week delay to the completion of the construction phase of the project, moving back the anticipated construction completion from 7th October to the 30th October 2025. The report attributed this delay to the steel work manufacturer going into liquidation and prolongation of the building's fire compartmentation design sign off due to recent changes in regulations.

The report also noted that the mobilisation period has been reviewed following the change in the construction completion date and has been streamlined to reduce the impact of the construction delay on the Operational Go Live date. The new operational go live date is 1st December 2025 resulting in a delay of 5 days.

The Appendix 1 Turnpike Depot Dashboard - September 2025 provided a summary of the project's progress, risks, and issues.

The report recommended that the committee note the current position of the delivery of the new Waste Depot at Turnpike Close, Grantham.

Corporate Asset Management Strategy Review

The committee was scheduled to review and update the Corporate Asset Management Strategy 2022- 2027, ensuring the strategy is in accordance with SKDC current priorities and objectives. The Corporate Asset Management Strategy Review noted that the Asset Management Strategy (AMS) is a medium-term plan for optimising the value, performance, and utility of the council's corporate property assets whether owned, leased, or managed.

The Appendix 1 - Corporate Asset Management Strategy 2025-2030 stated that the council's vision for its property portfolio is:

Utilising the Council's assets to support the delivery of the Corporate Plan in a sustainable and socially responsible way.

The report recommended that the committee recommend to cabinet the Asset Management Strategy (Corporate Property) for the period 2025 – 2030.

Corporate Property Maintenance Strategy Progress Update

The committee was scheduled to receive an update on progress being made in respect to the General Fund Maintenance Programme in accordance with the Maintenance Strategy. The Corporate Property Maintenance Strategy Progress Update noted that on the 10th of September 2024, cabinet approved proposals for a Maintenance Strategy in respect of SKDC's General Fund Corporate Property Assets.

The report stated that the strategy establishes the approach the council will adopt for ongoing investment in its corporate property estate, and a criteria for the allocation of funding to deal with maintenance – both responsive and planned.

The report recommended that the committee note the progress being made with respect to the development and delivery of the General Fund Maintenance Programme, in accordance with the allocation criteria set out in the Maintenance Strategy.

Leisure Investment Reserve – Allocation Criteria

The committee was scheduled to discuss a proposed criteria to be developed in order to provide a clear methodology to allocate the funding from the Leisure Investment Reserve. The Leisure Investment Reserve Allocation Criteria noted that the council is currently focussing significant resources in tackling a backlog of maintenance across a varied range of corporate property assets, but that the maintenance resources are primarily focused on urgent works and therefore very little allocation is currently being made to cosmetic works and decoration.

The report stated that from a customer perspective when using facilities this is usually the most important element as a negative experience can lead to negative feedback or a reduction in customer numbers.

The report recommended that the committee consider the proposed criteria for the allocation of the £500k from the Leisure Investment Reserve, and agree to receive a further update at the meeting of the 18th November 2025 regarding the proposed work programme.

St Martins Park Update

The Head of Corporate Projects, Performance and Climate Change was scheduled to provide a verbal update and presentation on St Martins Park, Stamford.