Decision details

To consider an update on the reconciling policy, performance and resources (RPPR) process for 2025/26, the next steps and the medium term financial plan.

27.1        The Cabinet considered a report by the Chief Executive.

27.2     It was RESOLVED to:

1)    note the updated policy context as set out in paragraph 2 of the report;

2)    note the updated Medium Term Financial Plan as set out in paragraph 3 and appendix 1 of the report;

3)    note the reserves summary set out in paragraph 3 of the report;

4)    note the savings proposals set out in paragraph 4 and appendix 2 of the report;

5)    note the capital programme update as set out in paragraph 5 and appendix 3 of the report;

6)    note recent lobbying activity and agree to continue pressing Government for sustainable funding to meet the needs of the residents of East Sussex, particularly in light of the immediate review of funding in light of local deprivation and need; and

7)    note our ongoing commitment to work with partners to make best use of the resources we have and to identify ways to mitigate the impact of savings proposals wherever possible.

Reasons

27.3     The Council’s financial position continues to be highly challenging, despite indications of some additional national support. This report outlines the substantial financial gap we continue to face which means we must propose further reductions to our services and the support we provide to local people.

27.4     Much is still to be determined around specific funding allocations for the coming year, and the funding outlook for 2026/27 onwards, the impact of new and ongoing national reforms, and the medium to longer term impact of the increases in demand and cost our services continue to experience.

27.5     Work will continue into the winter to understand the detailed funding picture as it emerges, the implications of national policy developments, and to refine our understanding of the county’s needs. This analysis will feed into our ongoing business and financial planning, ahead of final proposals for the 2025/26 budget and Council Plan being brought to Cabinet in January for consideration, and Council in February for decision. 

27.6     We will also progress the savings proposals set out to Cabinet through our consultation, governance and decision making processes, to ensure that Members have the information necessary to take budget decisions in the new year.

27.7     Members will continue to be involved in developing plans through Cabinet, County Council, Scrutiny Committees, and specific engagement sessions throughout the 2024/25 RPPR process.