Issue - meetings

·          That the following be noted:

(i)    Forecast revenue budget for 2013/14 is to underspend (£0.9m) on services, adding the unused £13m risk contingency brings this to £13.9m overall underspend (paragraph 1 of the report submitted).

 (ii)  Forecast ongoing efficiencies and service reductions achieved by year end is £60.3m (paragraph 74 of the report submitted).

(iii)  Forecast capital budget position for 2013/14 is -£22.3m on services and +£7.0m overall (paragraphs 79 to 84 of the report submitted).

(iv)  Management actions to mitigate overspends appear throughout the report submitted.

(v)   Quarter three balance sheet, reserves, debt and treasury report (paragraphs 85-93 of the report submitted)

(vi)  debt written off during quarter three totals £583,828 (paragraph 92 of the report submitted)

Reasons for decision

To monitor the budget in compliance with the agreed monitoring strategy.

[The decisions on this item can be called in by the Council Overview and Scrutiny Committee]

The Cabinet considered the council’s financial position at the end of period 9 – December of the 2013/14 financial year, with particular focus on the year end revenue and capital budgets forecasts and the achievement of efficiency targets.

The Chairman noted that the corporate strategy had ensured a prudent level of balances by applying reserves. There had been a £0.9 million improvement on the revised forecast since November and it was noted that this would have been even greater but for the additional work necessary to address the recent flooding. Demand for services was continuing to increase, offset by underspends in other areas, however there were no plans to use the contingency to achieve the year end target of a £13.9 million underspend. The risk contingency would be used to support the 2014/15 budget and keep any calls on the taxpayer to a minimum. The Council was also working to ensure that it was less reliant on government grants in the longer term.

The Deputy Leader commended the performance and achievements towards the £13.9 million saving on top of previous savings. It was noted that this represented the finances being managed to come in below budget each year since the appointment of the Leader of the Council. This represented a remarkable level of performance in difficult circumstances.

RESOLVED that the following be noted:

(i)    Forecast revenue budget for 2013/14 is to underspend (£0.9m) on services, adding the unused £13m risk contingency brings this to £13.9m overall underspend (paragraph 1 of the report submitted).

(ii)   Forecast ongoing efficiencies and service reductions achieved by year end is £60.3m (paragraph 74 of the report submitted).

(iii)  Forecast capital budget position for 2013/14 is -£22.3m on services and +£7.0m overall (paragraphs 79 to 84 of the report submitted).

(iv)  Management actions to mitigate overspends appear throughout the report submitted.

(v)   Quarter three balance sheet, reserves, debt and treasury report (paragraphs 85-93 of the report submitted)

(vi)  debt written off during quarter three totals £583,828 (paragraph 92 of the report submitted)

Reasons for decision

To monitor the budget in compliance with the agreed monitoring strategy.