Issue - meetings

A report from the Executive Director – Resources is attached.  (Key decision – reference number 5789)

Cllr Tim Leaver (Cabinet Member for Finance and Procurement) introduced the report of the Executive Director – Resources, setting out the Council’s revenue forecast position compared to the budget for 2024/25, based on the position at the end of June 2024. He advised that cost pressures continued as in the previous year, and additionally new emerging pressures had been identified in Children’s external care placement cost and the Housing Benefit Subsidy loss. Details of the variances by department were set out in the report.

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

I.  An adverse net variance of £11.4m is reported in respect of financial year 2024/25, after the application of the specific earmarked reserve for Temporary Accommodation and the flexible use of capital receipts.

II.  Progress on savings set in the original 2024/25 budget and those deferred from 2023/24 as laid out in Appendices B and C, with a projected shortfall in delivery in-year of £1.7m.

III.  The impact of the forecast on the reserves balances as set out in paragraphs 112-121/Tables 5 and 6 and the consequences this has for longer-term financial resilience.

IV.  The forecast in-year overspend on the Dedicated Schools Grant of £2.5m, leading to a projected cumulative deficit of £17.252m.

V.  Recommend to Council to approve the revised schedule of projects for flexible use of capital receipts in 2024/25 as set out in Appendix E.

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