Issue - meetings

As detailed in the recommendations.

Councillor Banks introduced the report which provided the latest detailed revenue budget monitoring position for the Council Fund and Housing Revenue Account for the financial year, and presented the position based on actual income and expenditure, as at Month 10.  The report projected how the budget would stand at the close of the financial year if all things remained largely unchanged.  It also took into account the latest positon on Welsh Government (WG) Emergency Grant Funding announcements.

            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:

Council Fund

·         An operating surplus of £0.924m (excluding the impact of the pay award which would be met by reserves), which was a favourable movement of £0.552m from the surplus figure of £0.372m reported at Month 9.

·         The operating surplus of £0.924m equated to 0.3% of the Approved Budget, which was within the target Medium Term Financial Strategy (MTFS) Key Performance Indicator (KPI) for a variance against budget of 0.5%.

·         A projected contingency reserve balance as at 31^st March 2021 of £2.339m.

The improved position had predominantly arisen from a detailed review of the risks included within the Streetscene and Transportation portfolio as a consequence of the pandemic in conjunction with confirmation of further funding from the WG Hardship Fund.

Housing Revenue Account

·         Net in-year revenue expenditure forecast to be £1.642m lower than budget.

·         A projected closing balance as at 31^st March 2021 of £3.815m.

The Strategic Finance Manager provided details on the projected position, the projected position by portfolio, significant movements from Month 9, open risks, new emerging risks, achievements of planned in-year efficiencies, carry forward requests and reserves and balances.

Section 1.05 of the report detailed the main grant announcements at the time of writing.  On the funding for the Unachieved Savings and Digital Transformation, £1.181m had now been received for each of those allocations.  As that funding was unhypothecated, that would bolster the Council’s reserves by £2.362m which was positive news and would provide an additional safeguard for the risks that would be faced in 2021/22.

The report had been considered at Corporate Resources Overview and Scrutiny Committee the previous week where further information was requested on the expected contribution from Betsi Cadwaladr Health Board towards jointly funded care packages being less than originally expected.

            RESOLVED:

            (a)       That the overall report and the projected Council Fund contingency sum as at

31^st March 2021 be noted;

            (b)       That the projected final level of balances on the Housing Revenue Account be

noted; and

            (c)        That the carry forward requests be approved.