Issue - meetings

Members received a report which provided an update on the Medium Term Financial Strategy for the period 2019/20 to 2022/23 that would be developed to deliver the Council’s objectives and priorities whilst maintaining tight financial control and ensuring prudent levels of reserves and balances were maintained.

Since 2014/15, the Council had made £77m of savings and a further £14.6m savings were proposed in the 2019/20 budget.  Children and Adult Services expenditure had been protected (£81m in 2012 to £83m in 2018); weekly refuse collection would be retained whilst other councils had moved to fortnightly; the proposal to dim street lights would not be progressed; and a significant road and pavement investment programme was proposed.

The Board discussed the capital programme, in particular road and pavement maintenance improvements and resident parking, and the implications of expanding the existing Controlled Parking Zones (CPZ) through a large-scale CPZ covering a 1km radius around commuter hubs, subject to consultation.  £3.2m was being spent in 2018/19 on improving the borough’s roads and pavements and an additional £10m per annum was to be added into the Highways investment programme in 2019/20 and 2020/21 funded from the additional traffic and parking income proposed in the Improving Traffic Flows Strategy.  The Horizon system would determine the roads most in need of resurfacing, by using algorisms, and parking verges would be considered where suitable.  A report on ‘Keeping the Borough Moving’ would be presented in the future.

It was proposed to reduce the 30 minute period of free parking to 20 minutes in local areas and remove free parking in Hornchurch Town Centre, Hornchurch Station Area, Upminster Town Centre and Elm Park, to provide fair and consistent parking charges across all the main shopping areas in Havering.  Furthermore, the proposal was to reduce the number of pay and display parking machines in the borough, by replacing them with machines that took contactless payment only.  Revenue raised from parking would be ring-fenced for highways and infrastructure.

The main areas of overspend in 2018/19 were Children’s Services (£1.9m) and Housing (£0.7m), and the services were taking action to reduce the over spends in order to return a balanced position at year end.  The Medium Term Financial Strategy included pressures in respect of projected ongoing increased demand in relation to Adults’ and Children’s demographics and the position would continue to be reviewed and if necessary, updated before the formal setting of the budget in February 2019.

Members discussed the benefits of the River Rom as part of the regeneration programme, in particular the creation of residential properties alongside the River, a percentage of which would be affordable housing and shared ownership, and the creation of green space inside the ring road and noted that this would be funded as part of the Joint Venture Programme. 

RESOLVED:

That the Board noted the contents of the Cabinet report detailing the Council’s Medium Term Financial Strategy.