THAT Cabinet approve Corporate Management Board’s recommendations for updating the current medium term financial strategy and resource model highlighted in the body of this report subject to:

1. inclusion of the final local government finance settlement figures for Herefordshire 2008/09 and indicative figures for 2009/10 and 2010/11;

2. a revised planning assumption for a Council Tax increase of 4.4% in 2008/09; and

3. continued  discussion on the level of reserves in the light of a) and b) above.