Issue - meetings

Budget Management 2021/22 – Half Year Progress Report.

Meeting: 29/11/2021 - Cabinet (Item 4)

4 Budget Management 2021/22 – Progress Report April to September 2021. pdf icon PDF 584 KB

Minutes:

Peter Stuart, Head of Corporate Resources introduced the report.   He noted that forecast overspend should reduce to £129,000 after receipt of an estimated £377,000 from the Department for Levelling Up, Housing and Communities (DLUHC) Income Compensation scheme for the first quarter of the year.  The modest recovery in income from development management fees was highlighted.

 

The Deputy Leader welcomed the reduced overspend due to the Income Compensation Scheme and uplift in income.  She queried whether an update was available regarding any extra burdens incurred by the Council or any other schemes to assist local authorities.  The Head of Corporate Resources highlighted the effect of inflation on the wider economy, that current contracts have been calculated on the October inflation indices and the increased rate of inflation will have a bigger effect in 2022/23.

 

The Cabinet Member for Community expressed concern and advised that the Council had to be prudent going forward.

 

Following a question from the Cabinet Member for Customer Services on the increased audit costs, the Head of Corporate Resources noted that only 9% of  Councils had met their audit timetable by the end of September.  The increased audit fee had to be agreed by both parties and the original fee requested had been higher. The new Financial Management System (FMS) had increased the auditor’s workload, there is a nationwide issue in valuing pension funds and property valuations which has led to an increased auditor's fee.

 

The Cabinet Member for Housing and Planning noted that this is a projected figure

for the year end.

 

The Leader commented that the results are relative compared to last year and before the pandemic, and the Council would monitor the projected figure.  As there were no further questions the Leader took the Members to the recommendations which were agreed unanimously.

 

RESOLVED

 

That Cabinet recommends to Council  for approval:

 

(i) That £500,000 be transferred to the JE/Redundancy Specific Reserve as detailed in paragraph 29;

(ii) the variations to the Capital Programme contained in paragraph 42 in accordance with the Council’s Financial Procedure rule B3.

 

And noted:

(iii) the remainder of the report.