Decision details

The Board received a report from the Director – Finance, which reported the Council’s overall revenue net spending position as of 31 July 2024, together with a 2024/25 forecast outturn position. The report also included an update on the Council’s medium term financial forecast over the four years to 2028/29 (Appendix 5).

A summary of spending against the operational revenue budget position as at 31 July was presented in Appendix 1 and Appendix 2 and these provided detailed figures for each individual Department.  In overall terms net spending as at 31 July 2024 was £6.561m over budget. The outturn forecast for the year estimated that net spend would be over the approved budget by £19.777m. It was noted that the forecast position is of great concern and without action the Council would not be in a position to provide a balanced budget by financial year-end.

The report detailed a review of the Council General Reserve as at 31 July 2024. The current balance of reserves is £11.581m and this was well below that required to help provide a balanced budget position.

Members were advised that Council had previously approved the capital programme for 2024/25 at its meeting on 6 March 2024. Since then, the capital programme had been revised to reflect a number of changes in spending profiles and funding as schemes had been developed. Appendix 3 presented the Capital Programme as at 31 July 2024. Appendix 4 outlined the saving measures against the budget for the two year period 1 April 2024 to 31 March 2026 together with information on action to date to achieve the target saving.

RESOLVED:  That

1)    all spending continues to be limited to only absolutely essential items;

2)    Executive Directors continue the urgent action to identify areas where spending could be reduced or suspended for the remainder of the current financial year, or additional funding secured;

3)    Council be requested to approve the Capital Programme as set out in paragraph 3.21; and

4)    the updated Medium Term Financial Forecast included at Appendix 5 is noted.