Agenda item

Councillor Ward, Executive Member for Finance and Performance, and Dave Hodgkinson, Corporate Director – Resources, introduced the Budget Outturn report.

The following main points were noted in the discussion:

·        Despite financial challenges, the council had a balanced budget at year end, however had made use of contingency budgets to achieve this. Councillor Ward summarised the main financial movements detailed in the report and commented on the overall financial position in local government, which remained challenging.

·        A member queried the progress of the insurance claim related to the fires and floods at three leisure centres. Officers advised that negotiations were ongoing.

·        A member noted the overspend in the Environment department, in comparison to the underspend in youth and criminal justice budgets, and commented on the importance of ensuring that budget proejections are robust. Officers advised of the work to review parking budgets over the past year, and while some overspend was expected in Quarter 1, it was a much improved position in comparison to previous years.

·        It was clarified that departments that routinely underspend year on year would have their budget adjusted accordingly, however this did not happen routinely.

·        A member expressed concern at the Environment overspend, commenting on the importance of futureproofing the borough against environmental changes, and the need to forecast income and expenditure accurately. It was advised that the parking income account was a strategic risk in that income was volatile and could be impacted by circumstances outside of the council’s control.

·        Following a question on abuse of the parking system, e.g. the impact of false license plates and vandalism of enforcement cameras, it was advised that an update from the relevant officers would be sought.

·        In response to a question, it was advised that the Executive had recently reviewed the budget of the new build programme, and programme budgets would continue to be kept under review. It was commented that national economic conditions had changed the landscape for the new build programme, and while the council could not make guarantees on future progress given the influence of broader economic factors, it was noted that the new government had already changed the financial rules on Right to Buy receipts, which was a positive development.

·        Members welcomed that the government was considering multi-year financial settlements, which would provide the council with the certainty needed to plan and deliver services and manage its budget effectively. 

·        The previous government had asked all councils to identify possible efficiencies and areas for savings. The Executive Member emphasised that it was important for councils to use public money efficiently, and this could involve investing money in new systems, software and processes in order to manage council business more effectively.

·        Following a question on the overspend in Adult Social Care budgets, it was advised that this was a national issue and while the service was working to reduce costs through transformation programmes, Adult Social Care was a demand-led service and there were costs associated with meeting the needs of an ageing population. Members commented on the importance of lobbying nationally for a funding deal for Adult Social Care.   

·        In response to a question, it was advised that additional staff were brought in to help manage the complaints backlog. This was a temporary measure and the council was now introducing new systems to manage complaints better.

·        A member noted the historic debt in the Council Tax and Business Rates collection fund and queried the prospect of recovering these funds. In response, it was advised that the council was considered to have a relatively high collection rate in comparison to other authorities and benchmarked well against other boroughs.

·        A member asked if the costs of the Sobell Leisure Centre refit had significantly changed and if it was still planned to open on time. It was advised that there were costs associated with the centre being closed, however the project was expected to be on track. A further update would be sought following the meeting.

·        A member queried paragraph 7.19 of the report, which suggested that slippage on fire safety works had been a consequence of delays to planning and internal governance processes. It was advised that clarification would be sought on this point.

·        A member queried paragraph 8.4 of the report, which suggested a target that every child in the borough would use the Sobell Leisure Centre in the first year of operation, and asked how this could be monitored.

RESOLVED:

That the Budget Monitoring 2023/24 Provisional Outturn and

New Leisure Fees and Charges report, agreed by the Executive on 27 June 2024, be noted.