Issue - meetings

As detailed in the recommendation.

Councillor Johnson introduced the report which provided Members with the first detailed overview of the budget monitoring position for the 2023/24 financial year for the Council Fund and Housing Revenue Account and presented the position, based on actual income and expenditure as at Month 8.

The projected year end position was as follows:

Council Fund

·         An operating deficit of £2.942m which was a favourable movement of £0.728m from the deficit figure reported at Month 7

·         A projected contingency reserve available balance as at 31^st March 2024 of £4.918m (after the actual impact of pay awards and taking account of previously approved allocations)

Housing Revenue Account

·         Net in-year revenue expenditure was forecast to be £0.018m higher than budget which was an adverse movement of £0.118m from the figure reported at Month 7

·         A projected closing balance as at 31st March, 2024 of £3.297m

The Corporate Finance Manager explained that the economic outlook remained challenging due to inflation levels remaining high.  The impacts of that, together with continued increases in service demand was becoming increasingly hard to deal with as the Councils funding failed to keep up with the scale of those pressures. 

To assist with managing those risks and mitigating the overall projected

overspend, a moratorium on non-contractually committed spend had been put in

place alongside a vacancy management process which continued.

At Month 8, £1.293m of deferred and/or delayed expenditure had been identified and was analysed by service within Appendix 2. The robust challenge of budget lines and commitments would continue, and further updates provided in future reports.

RESOLVED:

That the report and the estimated financial impact on the 2023/24 budget be noted.