Issue - meetings

RESOLVED:

1.    That the Council’s forecast revenue and capital budget positions for the year be noted.

2.    That the transfer of the balance of the CV-19 funding (£1.9m) and amended revenue budget baseline as £1,019.7m be noted.

3.    That the addition of the 20/21 contingency (£20.4m) to the Budget Equalisation Reserve be approved.

Reason for Decision:

This report is to comply with the agreed policy of providing a monthly budget monitoring report to Cabinet for approval of any necessary actions.

[The decisions on this item can be called in by the Resources and Performance Select Committee]

The Cabinet Member for Finance explained that as at July 2020 (M4) the Council is forecasting a deficit of £9.1m, against a budget of£1,019.7m.The main drivers of the unfavourable variance are children’s services and relate to demand in corporate parenting, SEND placements and a higher cost of staffing. Waste is also reflecting an additional cost of £2.9m. All other services at this point are forecasting at the end of the financial year to be within a narrow margin of their respective spending targets. Funding received from Government of £53.3m together with year date incurred costs have been allocated across services impacted by Covid-19 and as a result the annual budget has been adjusted. £20.4m had been transferred to the budget equalisation reserve At M4, the capital budget has been restated from to £230.1m to reflect the purchase of and other costs relating to the Woodhatch site in Reigate.

RESOLVED:

1.    That the Council’s forecast revenue and capital budget positions for the year be noted.

2.    That the transfer of the balance of the CV-19 funding (£1.9m) and amended revenue budget baseline as £1,019.7m be noted.

3.    That the addition of the 20/21 contingency (£20.4m) to the Budget Equalisation Reserve be approved.

Reason for Decision:

This report is to comply with the agreed policy of providing a monthly budget monitoring report to Cabinet for approval of any necessary actions.

[The decisions on this item can be called in by the Resources and Performance Select Committee]