The Cabinet considered the report of the Head of Corporate Resources which provided details of the current forecast revenue outturn position for the Council for 2018/19 and potential impact on the 2019/20 budget; the current forecast on Council Tax and Business Rates collection for 2018/19 and the current position of the 2018/19 Capital Programme.
Councillor Moncur enquired about the impact of the Chancellor of the Exchequer’s Budget announced on 29 October 2018 upon the Council and the Head of Corporate Resources indicated that officers were awaiting details of the allocations / bid criteria for the additional one - off funding to be provided for adult social care and highway potholes. He also indicated that more definitive information would be provided when the Government publishes the Local Government Financial Settlement on 6 December 2018. The details of which would be made available to Members of the Council in due course.
Councillor Hardy requested that a report on the funding of the Community Transition Fund be submitted to the Cabinet in due course.
Decision Made: That:
(1) approval be given to the implementation of the mitigating actions to deal with the significant budget pressure that have been identified and are detailed within th report;
(2) in the event that there is material change to the 2018/19 outturn
forecast, additional remedial measures should be identified in order that a balanced budget position can be achieved; and
(3) as a result of the impact of the current financial position in 2018/19,
and its subsequent impact on the 2019/20 budget, officers continue to identify new budget saving proposals for Members to consider in order that a robust and sustainable budget can be set for 2019/20.
Reasons for Decision:
To ensure Cabinet are informed of the forecast outturn position for the 2018/19 revenue and capital budgets as at the end of September 2018 and to provide an updated forecast of the outturn position with regard to the collection of Council Tax and Business Rates.
In March 2017 Council approved a three-year budget plan to March 2020. The final two years of this plan were revised in March 2018 as part of the process of setting the 2018/19 budget. The Council is half way through the second year of the budget plan and remains confident that the strategic approach to budget planning alongside good financial management and extensive community engagement means that it will secure future sustainability to 2020 and beyond. However, in year demand for social care services is currently resulting in the costs for these services exceeding the budget. Corrective action will be required to bring the overall budget into balance before the end of the financial year if the position worsens over the coming months.
Alternative Options Considered and Rejected:
None.