Agenda item

Joint report of the Chamberlain and the Commissioner.

The Committee considered a joint report of the Chamberlain and the Commissioner which provided an update on the City of London Police (COLP) Medium Term Financial Plan up to 2019/20.

Members agreed that the proposed approach appeared to be appropriate, although there would continue to be significant challenges for the Police’s funding. Members commented that, if the funding situation did not improve, it may be necessary to consider ways in which the Corporation could increase its funding of the Police. Members noted that this issue may become particularly important once the Police’s reserves had been depleted. Members also commented that, given the Common Council elections in March 2017, it would be important that information of the Police’s funding position was included within the induction programme for new Members.

The Chamberlain explained that external consultants would be procured, funded by the Corporation, to evaluate future demand and identify if there were any areas where further efficiency savings could be found within the Police. It was anticipated that the initial proposals from this work should be available in Summer 2017.

RESOLVED – That the Committee:

a)     notes the latest forecast outturn for 2016/17 of a deficit of £2.6m, funded by a drawdown in the Reserve to £1.5m.;

b)     notes the forecast budget deficit varying from £3.1m in 2017/18 to £5.9m in 2018/19 and £3.1m 2019/20 before mitigation;

c)     recommends to  the Court of Common Council the  relaxation of the reserve threshold of £4m and approve the use of reserves in 2016/17 totalling £2.6m and 2017/18 totalling £1.5m;

d)     agrees that the City Corporation should meet the revenue contribution to fund capital schemes already budgeted for in 2017/18 and 2018/19 of £1.4m and £1m respectively and that the additional headroom on business rate premium is applied to help meet the increased  budget pressures;

e)     agrees in principle  the use of City capital resources to finance the Police capital programme in future, subject to a further report;

f)      agrees the revision of current vacancy factors and efficiency targets within the force as an efficiency option over this MTFP, pending outcome of external review; and

g)     notes that the usual report detailing revenue and capital estimates will be submitted to Police committee in January following settlement of the Police grant from the Government.