Decision details

The Executive will be asked to consider the regular budget monitoring reports any changed proposals to relevant action plans change in use of budgets additional budget expenditure and the Councils in year financial performance

Received a report from the Corporate Director of Finance and Commercial Services providing an update on the Council’s revenue and capital position for the 2009/10 financial year as projected at 31 December 2009.

The current forecast for revenue expenditure across the Council shows in-year pressures amounting to £2.8m, for which current recovery plans have identified expected savings of £2.1m.  In addition there are net potential corporate risks of a further £0.7m, which represents an improved position to that reported for the period up to 31 October.  In this latter respect, noted proposals to off-set some of the corporate revenue pressures through the release of other specific reserves which are no longer required, as well as other proposals in relation to re-profiling of capital schemes and virements between revenue budgets in order to better reflect the current position.  The Corporate Director commented that she is optimistic that a balanced budget position will be achieved by the year end.

Agreed, as a matter of good financial practice, to:

  (i)  The transfer of £1.2m from specific and ear-marked reserves to the general balance as detailed in paragraph 3.1.6 of the report;

  (ii)  The re-profiling of certain capital schemes as detailed in section 5 of the report and Appendix D;

  (iii)  The revenue and capital virements as detailed in section 6 of the report;

  (iv)  Note the current projected position for 31 March 2010 of the Council’s revenue and capital budget as detailed in the report and Appendices A and C;

  (v)  Note the position for the Housing Revenue Account as detailed in the report and Appendix B;

  (vi)  Note that in light of the current potential overspend, departments are continuing work to identify and deliver recovery plans to eliminate overspends;

  (vii)  Note that the Corporate Director of Finance and Commercial Services has imposed mechanisms to reduce in-year expenditure;

  (viii)  Note that potential further actions may be required; and

  (ix)  Note the third quarter Financial Health Indicators as detailed in Appendix E to the report.