Issue - meetings

FINANCE REPORT

 

 

Meeting: 10/01/2023 - Overview and Scrutiny Committee (Regulatory, Compliance and Corporate Services) (Item 32)

32 Financial Management 2022/23 to 2024/25 and Framework for Change 2020 - Revenue and Capital Budget Update 2022/23 - January Update pdf icon PDF 585 KB

Report of the Executive Director of Corporate Resources and Customer Services

Minutes:

Further to Minute No. 104 of the meeting of the Cabinet held on 5 January 2023 the Committee considered the report of the Executive Director of Corporate Resources and Customer Services that advised of:

 

(1)      the current position relating to the 2022/23 revenue budget;

 

(2)      the current forecast on Council Tax and Business Rates collection for 2022/23; and

 

(3)      the monitoring position of the Council’s capital programme to the end of November 2022 in respect of:

 

·       the forecast expenditure to year end;

·       variations against the approved budgets and an explanation of those variations for consideration by Members; and

·       updates to spending profiles and proposed amendments to capital budgets necessary to ensure the efficient delivery of capital projects are also presented for approval.

 

Members of the Committee asked questions/commented on the following issues:

 

·       The £17m potential overspend in children’s social care brought about by increases in the number of looked after children and accommodation costs, the significant number of vacancies and the resultant need to use agency staff, and increases in legal costs

·       The introduction of the social worker academy and the proposal to bring to the Council international social workers to reduce the reliance on expensive agency workers

·       Whether the Commissioner who produced the independent report on the delivery of children's services in Sefton had made any comments on the financial aspects of Sefton’s children’s social care service

·       Noted the requirement of the Council to meet its statutory responsibilities regarding the provision of children’s social care services

·       That the overspend Children’s Social Care and Government underfunding needed to be identified as part of the wider budget setting process    

 

RESOLVED:

 

(A)

That in respect of the Revenue Budget:

 

(1)

the current position relating to the 2022/23 revenue budget be noted;

 

(2)

the actions being taken to offset the budget pressures being faced in 2022/23 be noted;

 

(3)

the financial risks associated with the delivery of the 2022/23 revenue budget be recognised and it be acknowledged that the forecast outturn position will continue to be reviewed, and remedial actions put in place, to ensure a balanced forecast outturn position and financial sustainability can be achieved; and

 

(4)

the current position relating to the High Needs budget be noted and that officers are currently reviewing all options available to the Council to mitigate the additional pressure and to make the overall High Needs budget financially sustainable; and

 

(B)

That in respect of the Capital Programme:

 

(1)

the spending profiles across financial years for the approved capital programme be noted;

 

(2)

the latest capital expenditure position as at 30 November 2022 of £22.639m and the latest full year forecast is £47.141m be noted; and

 

(3)

it be noted that capital resources will be managed by the Executive Director of Corporate Resources and Customer Services to ensure the capital programme remains fully funded and that capital funding arrangements secure the maximum financial benefit to the Council.