Issue - meetings

A report from the Executive Director – Resources is attached.  (Key decision – reference number 5788)

Cllr Tim Leaver (Cabinet Member for Finance and Procurement) introduced the report of the Executive Director – Resources, setting out the Council’s revenue provisional outturn position and providing updates on savings, collection fund performance, the Dedicated Schools Grant provisional outturn and impact on earmarked reserves balances. The adverse variance and challenges from areas of pressure were noted, and flexible use of capital receipts would be utilised to begin to address this.

DECISION:  The Cabinet agreed to note/approve the following:

I.  An adverse variance at outturn of £39.4m is reported in respect of financial year 2023/24.

II.  2023/24 progress on savings set in the original 2023/24 budget as laid out in Appendices B and C, with a shortfall in delivery in-year of £3.4m.

III.  The impact of the forecast on the reserves balances as set out in paragraphs 126-132/Table 5 and the consequences this has for longer-term financial resilience.

IV.  The in-year net underspend for Dedicated Schools Grant of £0.5m, £1.3m Early Years underspend offset by an overspend of £0.8m for High Needs cost pressures leading to a cumulative deficit of £14.752m.

V.  Recommend to Council to approve the use of an additional £4.9m to fund Revenue expenditure, using the Flexible use of Capital Receipts (FUCR), bringing the total value of expenditure funded by FUCR to £7.1m for 2023/24 as set out in the revised schedule of projects in Appendix G.

VI.  Note that the Annual Internal Audit opinion was there is Reasonable Assurance on the overall adequacy and effectiveness of the Council’s framework of governance, risk management and control. (See paragraph 6).

The report sets out the options considered, if any, and the reasons for the recommendations and the decision.