Issue - meetings
Revenue Budget Monitoring 2019/20 (Month 7)
Meeting: 17/12/2019 - Cabinet (Item 117)
117 Revenue Budget Monitoring 2019/20 (Month 7) PDF 164 KB
- Enc. 1 for Revenue Budget Monitoring 2019/20 (Month 7), item 117 PDF 19 KB
- Enc. 2 for Revenue Budget Monitoring 2019/20 (Month 7), item 117 PDF 242 KB
- Enc. 3 for Revenue Budget Monitoring 2019/20 (Month 7), item 117 PDF 47 KB
- Enc. 4 for Revenue Budget Monitoring 2019/20 (Month 7), item 117 PDF 409 KB
- Enc. 5 for Revenue Budget Monitoring 2019/20 (Month 7), item 117 PDF 191 KB
As detailed in the recommendations.
The Corporate Finance Manager introduced the Revenue Budget Monitoring 2019/20 (Month 7) report which provided the latest detailed revenue budget monitoring position for 2019/20 for the Council Fund and the Housing Revenue Account for the financial year and presented the position, based on actual income and expenditure, as at Month 7. The report projected how the budget would stand at the close of the financial year if all things remained unchanged.
The projected year end position, without new actions to reduce cost pressures and/or improve the financial return on efficiency planning and cost control was:
- An operating deficit of £2.193m which was a favourable movement of £0.505m from the deficit figure of £2.698m reported at Month 6; and
- A projected contingency reserve balance as at 31st March 2020 of £2.676m.
Housing Revenue Account
- Net in-year revenue expenditure forecast to be £0.022m higher than budget which was a negative movement of £0.012m from the deficit figure of £0.010m reported at Month 6; and
- A projected closing balance as at 31st March 2020 of £1.301m.
As previously reported, and to assist with mitigating the overall projected overspend, the following measure were introduced from Month 6:
1. All non-essential spend be reviewed and challenged with a view to ceasing/delaying where able; and
2. Further portfolio management team challenge of recruitment to vacancies i.e. ceasing/delaying.
At Month 6, this had resulted in identifying a one-off delay in spend of -£0.530 which helped to reduce the overall financial overspend position. Further reduction in the overall financial position at Month 7 had been achieved through commitment challenge and delaying recruitment. Engagement with budget holders and finance teams had been positive so far, and work would continue into Month 8 and beyond with the same rigour and challenge in an attempt to further improve the overall position.
The Corporate Finance Manager also provided details on the projected position by portfolio; tracking of in-year risks and emerging issues; achievement of planned in-year efficiencies; other in-year issues; MTFS impact and risks; reserves and balances and earmarked reserves.
The report had been considered at Corporate Resources Overview and Scrutiny Committee the previous week and no specific issues had been raised.
The Chief Officer (Governance) said that an update would be provided the following month of the possible contributions to the budget following a review of the single person discount in relation to Council Tax.
(a) That the overall report and the projected Council Fund contingency sum as at 31st March 2020 be noted; and
(b) That the projected final level of balances on the Housing Revenue Account (HRA) be noted.