Issue - meetings

·      That the following be noted:          

- Forecast revenue budget for 2013/14 is balanced on services, adding the unused £13m risk contingency brings this to £13m overall underspend (paragraph 1 of Annex 1 to the report submitted).

- Forecast ongoing efficiencies and service reductions achieved by year end is £61m (paragraph 67 of Annex 1 to the report submitted).

- Forecast capital budget position for 2013/14 is -£2.7m on services and +£26.6m overall (paragraphs 71 to 75 of Annex 1 to the report submitted).

- The management actions to mitigate overspends throughout the report submitted.

·      The request to drawdown the 2012/13 winter pressures funding (£1.7m) to cover slippage on Family, Friends & Community Supportsaving (paragraph 14 of Annex 1 to the report submitted) be agreed.

·      The re-profiling of the capital expenditure on road and highway repairs from £20m each year of the five year 2013-18 capital programme to £31m in 2013/14, with the remainder spread over the four years 2014/15 to 2017/18 (paragraph 75 of Annex 1 to the report submitted) be agreed.

Reasons for Decisions:

To progress the actions identified as part of the agreed strategy of monthly budget monitoring reporting, noting the particular focus on the year end revenue and capital budgets forecasts and the achievement of efficiency targets.

The Cabinet considered an update on the council’s financial position at the end of November 2013. The Cabinet focused in particular on the year end revenue and capital budgets forecasts and the achievement of efficiency targets.

The Chairman advised that the financial position was progressing well and the year end budget was projected to be in balance across all services. There were no plans to use the contingency fund of £13m. The Council’s focus remained on providing Surrey’s taxpayers with absolute value for money. The council continued to use its capital programme to invest in Surrey. This included Project Horizon which would deliver significant investment in Surrey’s highways. Frontloading would see £31m invested in the current financial year with a further £69m over the following four years. The reprofiling of a number of small capital schemes had led to a forecast underspend of £3m within service capital budgets.

Cabinet Members updated on pressures and efficiencies within their portfolios. Services were making good progress in delivering efficiencies and were forecast to achieve £61m in savings for the full year. Work was also ongoing to reduce the council’s reliance on government grants and council tax. The outcomes of these projects would be key to balancing budgets in the longer term and ensuring the long term resilience of the council’s financial position.

RESOLVED:

1.         That the following be noted:   

- Forecast revenue budget for 2013/14 is balanced on services, adding the unused £13m risk contingency brings this to £13m overall underspend (paragraph 1 of Annex 1 to the report submitted).

- Forecast ongoing efficiencies and service reductions achieved by year end is £61m (paragraph 67 of Annex 1 to the report submitted).

- Forecast capital budget position for 2013/14 is -£2.7m on services and +£26.6m overall (paragraphs 71 to 75 of Annex 1 to the report submitted).

- The management actions to mitigate overspends throughout the report submitted.

2.         The request to drawdown the 2012/13 winter pressures funding (£1.7m) to cover slippage on Family, Friends & Community Support saving (paragraph 14 of Annex 1 to the report submitted) be agreed.

3.         The re-profiling of the capital expenditure on road and highway repairs from £20m each year of the five year 2013-18 capital programme to £31m in 2013/14, with the remainder spread over the four years 2014/15 to 2017/18 (paragraph 75 of Annex 1 to the report submitted) be agreed.

Reasons for Decisions:

To progress the actions identified as part of the agreed strategy of monthly budget monitoring reporting, noting the particular focus on the year end revenue and capital budgets forecasts and the achievement of efficiency targets.