Issue - meetings

The Cabinet Member for Finance introduced the report on the Council’s capital and revenue position for the 2014/15 financial year, as at 30 September 2014.

The General Fund showed a projected end of year spend of £168.49m against the total approved budget of £165.32m.  Whilst this represented an improvement of £1.1m on the position as at 31 August 2014 due to the implementation of spending control measures across Council services, there remained a projected year-end overspend of £3.17m.  The Cabinet Member for Finance advised that the Children’s Services budget was continuing to show considerable in-year pressures totalling £4.652m and he had asked the Corporate Director of Children’s Services to report to this meeting on the reasons for the forecast overspend, together with options to bring expenditure levels into line and reduce the likelihood of the Council having to use reserves to achieve a balanced budget.

In respect of other issues relating to the General Fund, the Cabinet Member referred to the proposal to reduce the saving within the Democratic Services function (CEX/SAV/09) by £148,280.  This was in response to the views expressed by the Public Accounts and Audit Select Committee during its recent consideration of the budget saving proposals that a post of Scrutiny Officer should not be deleted, as well as proposals to enhance the direct support available to Members which had been strongly recommended in the recent Corporate Peer Challenge.  As a consequence, a new post of Leader and Members’ Services Manager was proposed and the vacant Political Assistant post would be appointed to.  Another issue was the delay in the planned closure of 2 and 90 Stour Road offices, which would result in a shortfall of £295,000 in the planned £300,000 saving.  The Cabinet Member added that all directorates were looking at innovative ways to reduce the current overspend position and build a firmer financial position going forward.

The Housing Revenue Account (HRA) continued to show a projected break-even position for the year, although it was noted that a projected £500,000 overspend in the Repairs and Maintenance service was being mitigated by underspends in other areas.  The Cabinet Member also referred to the failure to achieve any of the £318,000 saving in respect of energy billing for communal housing areas and shortfalls in respect of staffing restructures which may require future reports to the Cabinet.

The Capital Programme showed a projected spend of £142.12m against the original budget of £156.69m and the Cabinet Member for Finance referred to several amendments to budgets to reflect current delivery programmes.  In response to comments regarding the slippage that occurs on the annual Capital Programme, it was agreed that the Chief Finance Officer should report to a future meeting on the issue.

The Cabinet Member for Education and Schools commented on the hard work of the Children’s Services Asset Management team for delivering the extensive school improvement and expansion programme, while the Leader of the Council recognised the efforts of all staff in the drive to mitigate the financial  ...  view the full minutes text for item 49