Issue - meetings

Report of the Director of Finance.  To be introduced by the Cabinet Member for Finance and Local Investment.

The Cabinet Member for Finance and Local Investment introduced the report which set out the budget update for Quarter 3, and sought approval for debt write off over £50k, revenue budget virements and grant receipts.

In response to questions from Councillor Emery, the following was noted:

-              The debt write off was in relation to a company which had been very successful but as with a lot of hospitality companies, the pandemic made in very difficult for them to continue to function.  The Opportunity Investment Fund was there for high risk investment and to help to grow businesses.  It was a well placed loan at the time of providing it.

-              Parking income was affected by adverse weather conditions – people didn’t use their cars for a few days, and also a decision was taken to not ticket cars which had been clearly left for safety reasons.

-              In terms of garden waste, the Council had a responsibility to ensure that service was a full cost recovery.  The cost to run the service had increased, therefore the price of the service had to increase.

RESOLVED to

1.            Note the forecast total revenue outturn for the General Fund of £12.8m comprising £5.6m base budget and £7.2m (35%) savings delivery challenges and note that Directors are developing actions to bring the forecast down before the end of the year. (Section 6, Table 1, Table 2 and Appendices 1 & 3).

2.            Note the net DSG forecast of £2.8m overspend. (Section 6 and Appendix 1).

3.            Note the net Housing Revenue Account (HRA) forecast is £0.3m over budget. (Section 6 and Appendices 1 and 2).

4.            Note the forecast GF and HRA Capital expenditure of £309.7m in 2022/23 (including enabling budgets) which equates to 57% of the revised capital budget (Section 8 and Appendix 4).

5.            To note the debt write-offs approved in Quarter 3 2022/23 (Appendix 7a).

6.            Approve the recommended over £50k debt write off as set out in Appendix 7b.

7.            To approve the revenue budget virements and receipt of grants as set out in Appendix 6.

8.            Approve the proposed budget adjustments and virements to the capital programme as set out in Table 3 and Appendices 5 and 6.

Reason for Decision

A strong financial management framework, including oversight by Members and senior management, is an essential part of delivering the council’s priorities and statutory duties. This is made more critically important than ever because of the uncertainties surrounding the wider economic outlook.

Alternative Options Considered

The report of the management of the Council’s financial resources is a key part of the role of the Director of Finance (Section 151 Officer) in helping members to exercise their role and no other options have therefore been considered.