Agenda item

Financial Management 2022/23 to 2024/25 and Framework for Change 2020 - Revenue and Capital Budget Update 2022/23 - October Update

Report of the Executive Director of Corporate Resources and Customer Services


Further to Minute No. 67 of the meeting of the Cabinet held on 6 October 2022 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 August 2023 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.


The Cabinet had resolved (Minute No. 67):


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


(5)      approval be given to decisions on the use of the Household Support Fund being delegated to the Executive Director - People in consultation with the Cabinet Member for Communities and Housing, and it be noted that any discretionary element that will not be passported to vulnerable families and individuals in line with the grant conditions will be approved in accordance with the Financial Procedure Rules.


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 of 31 August 2022 of £10.191m  and the latest full year forecast of £56.651m be noted;


(3)      the explanations of variances to project budgets be noted; and


(4)      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.


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


·       the potential for the government to relax the cap by which local authorities could raise Council Tax to minimise reductions in budgets and services

·       it was noted that in general, due to the higher numbers of Band A properties in northern authorities, percentage Council Tax increases in northern authorities produced a lot less income than in southern authorities

·       the potential for the recruitment freeze, as described in paragraph 2.8 of the report, coupled with a public sector pay cap and a buoyant job market, could hinder recruitment to specialist public sector positions and also lead to public sector workers moving to the private sector   




That the financial monitoring report and the decision taken by Cabinet in respect of this matter be noted.



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