The Board received a report from the Operational Director – Finance, which reported the Council’s overall revenue net spending position for the 2024/25 financial year.
A summary of spending against the Council’s revenue and capital net spending position for 2024/25 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 March 2024 was £16.073m over budget. This was an improvement from the forecast outturn position of £18.906m reported at the end of January 2025. Whilst an improved position, given the scale of the budgetary overspend the Council would need to access the exceptional financial support provisionally approved by the Ministry of Housing, Communities and Local Government on 24 February 2025.
The report also detailed a review of the Council General Reserve as at 31 March 2025. Other than the General Fund reserve of £5.149, there were no further reserves available to help fund future budgets.
In addition, it was noted that Capital Spending at 31 March 2025 totalled £46.517m, which was 91.7% of the planned spending £50.748m (which assumed a 20% slippage between years). Appendix 2 presented details of spending against all capital schemes. Appendix 3 presented the Capital Programme as at 31 March 2025.
It was noted that the 2025/26 budget had been slightly increased to reflect the increased spending against all the high-pressure areas.
A report on the 2025/26 budget monitoring position as at 31 May 2025 along with an initial outturn forecast, would be presented at the earliest opportunity to allow for any urgent corrective action to be taken.
RESOLVED: That
1)
the
Council’s 2024/25 outturn position as presented in the report be noted;
2)
Directorates
take all possible steps to manage spending in line with budget during 2025/26;
3) priority is given to the acceleration of the Council’s Transformation Programme, to ensure it is sufficiently developed to deliver the savings required to meet the medium-term financial gap and help the Council replenish its reserves; and
4) this report be shared with each Policy and Performance Board, in order to ensure they have a full appreciation of the councilwide financial position, in addition to their specific areas of responsibility.