48 Second Financial Review 2024/25 (Corporate Policy Committee) PDF 616 KB
To consider the report on the current forecast outturn for the financial year 2024/25 based on income, expenditure and known commitments as at the end of August 2024.
Additional documents:
Minutes:
The committee requested an update on capital projects that had been delayed/reprofiled. It was highlighted that there was an ongoing review of the Capital Programme but currently, no projects had been stopped and that any decision relating to a project would be considered by the appropriate service committee. It was anticipated that a more detailed update on the Capital Programme would be provided in January 2025.
Members queried the use of Exceptional Financial Support and noted that a detailed piece of work on how it could be financed, including consideration of borrowing and capital receipts, how EFS would be calculated and its impact on the revenue account was underway. The S151 officer continued to meet frequently with colleagues from MHCLG where EFS would be discussed.
The committee acknowledged the difficult financial position the council was in and that many local authorities across the country were facing similar pressures, particularly in demand-led services. The committee agreed that transformation in those areas was critical, but costs needed to be reduced without having long-term consequences.
RESOLVED:
That the Corporate Policy Committee
1. Note the factors leading to a forecast adverse Net Revenue financial pressure of £20.1m against a revised budget of £395.4m (5.1%). Note the contents of Annex 1, Section 2 and review progress on the delivery of the MTFS approved budget policy change items, the RAG ratings and latest forecasts, and to understand the actions to be taken to address any adverse variances from the approved budget.
2. Note the in-year forecast capital spending of £157.7m against an approved MTFS budget of £215.8m, due to slippage that has been re-profiled into future years.
3. Note the available reserves position as per Annex 1, Section 5.