Agenda item

Revenue and Capital Budget Update 2019/20

Report of the Executive Director of Corporate Resources and Customer Services

Minutes:

The Cabinet considered the report of the Executive Director Corporate Resources and Customer Services advising of:

 

(1)

the current forecast revenue outturn position for the Council for 2019/20;

 

(2)

the current forecast on Council Tax and Business Rates collection for 2019/20; and

 

(3)

the monitoring position of the Council’s capital programme to the end of January 2020 which included 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.

 

Councillor Moncur, Cabinet Member – Health and Wellbeing raised concern about the long delay in the Government confirming the public health grant allocations to local authorities across the country, as this delay was hampering the ability of Sefton and other councils to plan the best possible services and support to improve public health in their communities.

 

Decision Made: That

 

(1)

the current forecast revenue outturn position for 2019/20 and the current position relating to delivery of savings included in the 2019/20 revenue budget be noted;

 

(2)

the mitigating measures being used to partially mitigate the forecast outturn position, as detailed in paragraph 2.2 of the report, excluding a forecast deficit on Housing Benefits which will be considered at the end of the financial year if it materialises be noted;

 

(3)

it be acknowledge that the forecast outturn position will continue to be reviewed to ensure a balanced forecast outturn position can be achieved or understand a potential call of General Fund Balances;

 

(4)

the review updates to spending profiles across financial years as detailed in paragraph 5.1.1 of the report be noted;

 

(5)

the review of the new schemes approved by Council and added to the Capital Programme for 2019/20 and 2020/21 as detailed in paragraphs 5.1.2 and 5.1.3 of the report be noted;

 

(6)

the latest capital expenditure position as at 31 January 2020 of £13.718m with the latest full year forecast being £21.823m, as detailed in paragraphs 5.2.2 and 5.2.4 of the report respectively, be noted;

 

(7)

the explanations of variances to project budgets as detailed in paragraph 5.2.5 of the report be noted;

 

(8)

it be acknowledged that capital resources will be managed by the Executive Director 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 as detailed in section 5.4 of the report; and

 

(9)

the Head of Health and Wellbeing be requested to prepare a letter for Cllr Maher to submit to the Rt Hon Matt Hancock M.P., Secretary of State for Health and Social Care expressing the Council’s dissatisfaction at the delay in his department confirming the public health grant allocations to local authorities.

 

Reasons for Decision:

 

To ensure Cabinet are informed of the forecast outturn position for the 2019/2020 Revenue Budget as at the end of January 2020, including delivery of agreed savings, and to provide an updated forecast of the outturn position with regard to the collection of Council Tax and Business Rates; to keep elected Members informed of the progress of the Capital Programme against the profiled budget for 2019/20 and agreed allocations for future years; to progress any changes that are required in order to maintain a relevant and accurate budget profile necessary for effective monitoring of the Capital Programme; to approve any updates to funding resources so that they can be applied to capital schemes in the delivery of the Council’s overall capital strategy; and that in March 2017 Council approved a three-year budget plan to March 2020. The final year of this plan was revised in February 2019 as part of the process of setting the 2019/20 budget.  The Council is in the final year of the budget plan and remains confident its strategic approach to budget planning alongside good financial management and extensive community engagement means that the plan continues to develop on solid foundations; it remains flexible and will secure the future sustainability to 2020 and beyond.  However, in year demand for social care services is currently resulting in the costs for these services significantly exceeding the budget.  If further budget pressures are identified between now and the end of the year additional remedial action will be required to bring the overall budget into balance.

 

Alternative Options Considered and Rejected:

 

None

 

 

 

Supporting documents: