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 October 2009.

The current forecast for revenue expenditure across the Council shows in-year pressures amounting to £4.9m, for which current recovery plans requested by the Chief Executive have identified expected savings of £2.9m.  In addition to this potential shortfall, there are net potential corporate risks of a further £1.6m. 

Discussed a number of the overspends / pressures and noted the additional steps being taken by the Corporate Director of Finance and Commercial Services to improve the Council’s financial position.  Also noted the legal implications associated with the setting of a balanced budget, adequate levels of reserves and the responsibilities of the Corporate Director of Finance and Commercial Services as Chief Financial Officer.

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

  (i)  The current projected position for 31 March 2010 of the Council’s revenue and capital budget as detailed in sections 3 and 5 and Appendices A and C to the report;

  (ii)  The position for the Housing Revenue Account (HRA) as detailed in section 4 and Appendix B to the report;

  (iii)  That in light of the current potential overspend, departments are continuing work to identify recovery plans to eliminate overspends;

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

  (v)  That potential additional actions may be required which will be the subject of further reports as appropriate.