Issue - meetings

As detailed in the recommendation.

Councillor Johnson introduced the report which provided an update on:

·         the key headlines and financial impacts of the Welsh Local Government Provisional Settlement;

·         feedback from the series of specific Overview and Scrutiny Committee meetings, which was appended to the report;

·         an update on the changes and risks to the additional budget requirement for the 2023/24 financial year; and

·         an update on the work being undertaken on the range of budget solutions available to the Council to set a legal and balanced budget.

Following a report to Cabinet in November where the additional budget gap requirement was estimated to be £32.448m, the Welsh Local Government Provisional Settlement was received on 14^th December.  Due to consequentials arising from the recent UK budget announcements, the Settlement was improved and would contribute £19.568m towards the previously reported requirement of £32.448 with the remaining amount needing to be met from the other areas of the budget solutions included in the report.

A number of ongoing risks had been reported previously which would potentially impact further on the additional budget requirement including the level of provision for pay awards, uncertainty around the continuation of funding within the homelessness service and levels of demand for Out of County Placements.  The report provided an update on those risks.

The options available to the Council to meet the significant budget requirement was summarised in the report.  Consideration was needed for the solutions on:

·         Portfolio Cost Reductions

·         Corporate Financing Reductions

·         Schools Cost Reductions

·         Council Tax Uplift

A report had been submitted to each Overview and Scrutiny Committee in December where no new areas of efficiencies were identified. 

The report was then presented to Corporate Resources Overview and Scrutiny Committee on 12^th January 2023, which was open to all Members of the Council, and details of the questions asked were provided.

A legal and balanced budget for 2023/24 was scheduled to be recommended by Cabinet to Council on 23^rd February 2023.

The Chief Executive stressed the challenging backdrop in relation to the budget setting process, which would also be challenging in 2024/25 due to the risks facing the authority.

The Corporate Finance Manager confirmed that work was now focussed on the risks as outlined by Councillor Johnson.  A report recommending the budget would be submitted to Cabinet on 23^rd February prior to it being considered by County Council that afternoon.

RESOLVED:

That the financial implications of the Welsh Provisional Local Government Settlement and the remaining work which needs to be completed prior to agreeing a set of recommendations for Council to set a legal and balanced budget in February be noted.