Agenda item

Financial Management 2024/25 to 2027/28 - Revenue and Capital Budget Update 2024/25 – January Update

Report of the Executive Director of Corporate Services and Commercial

 

Minutes:

Further to Minute No. 94of the meeting of the Cabinet held on 9 January 2025 the Committee considered the report of the Executive Director - Corporate Services and Commercial that advised of:

 

(1)

the current position relating to the 2024/25 revenue budget;

 

(2)

the current forecast on Council Tax and Business Rates collection for 2024/25; and

 

(3)

the monitoring position of the Council’s capital programme to the end of November 2024 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.

 

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

 

·       did the Government appointed commissioner to oversee services for children, young people and families in Sefton recommend ways for the Council to address budget overspends?

·       A recent report by the Local Government Association which identified that the number of looked after children across the country continued to increase; and that the high figures underlined the urgent need for the Government to implement measures to address the funding pressures in children’s services

·       Competition amongst local authorities to attract experienced social work staff and resultant increases in costs

·       In respect of Education Excellence, the potential net overspend of £2.5m, which mainly related to Home to School Transport; and how this figure compared to the department’s overall budget 

·       Would Government allow local authorities to roll over overspends on the Dedicated Schools Grant in relation to Special Educational Needs and Disabilities?

·       Education Excellence schemes within the capital programme   

 

RESOLVED:

 

(A)

That in respect of the Revenue Budget:

 

(1)

the current position relating to the 2024/25 revenue budget be noted;

 

(2)

the actions being taken to refine forecasts and identify mitigating efficiencies to ensure each service achieves a balanced position be noted;

 

(3)

the remedial action plan measures previously approved by Cabinet on 7th November 2024, and as detailed in section 3 of the report, be noted;

 

(4)

the intention to review and release Earmarked Reserves to support the additional in-year budget pressure and reduce the call on the Council’s General Balances, be noted; and

 

(5)

the financial risks associated with the delivery of the 2024/25 revenue budget be noted and that 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

 

(B)

That in respect of the Capital Programme:

 

(1)

the spending profiles across financial years for the approved capital programme (paragraph 8.1) be noted;

 

(2)

the latest capital expenditure position as at 30 November 2024 of £31.470m (paragraph 7.3); the latest full year forecast of £77.937m (paragraph 7.4), be noted; and

 

(3)

it be noted that capital resources will be managed by the Executive Director - Corporate Service and Commercial to ensure the capital programme remains fully funded and that capital funding arrangements secure the maximum financial benefit to the Council (paragraphs 7.11-7.13).

 

 

Supporting documents: