Issue - meetings

To consider and decide on the recommendations as set out in the associated report. 

RESOLVED –

1. That the Quarter 3 next expenditure on services year to date was £10,094,000, £745,000 less than budget be noted.
2. That by year end the Council anticipates net expenditure of £15,349,000 on services and this forecast is £325,000 under budget, an improvement of £315,000 since Quarter 2 be noted.
3. That by year end the Council anticipates receiving an increase in funding of £1,712,000, an improvement of £240,000 since Quarter 2.  Overall, an improvement to budget of £2,037,000 which will reduce the budget deficit that was to be met from reserves to a forecast of £963,000 be noted.
4. That write offs as set out in Paragraph 2.24 and detailed in Appendix J be approved.

REASON FOR DECISION: To show the actual expenditure on services compared to the revised budget for the period ending 31 December 2021, and the forecast outturn position, highlighting significant variances from the revised annual budget.

Jane Fineman, Head of Finance, Procurement and Parking introduced the report set out in the agenda.

Discussion and questions from Members included the following:

-       The finance team were congratulated on balancing the budget this year without having to use reserves. 

-       The economy in the town and across the Borough in general was starting to recover – the number of premises being occupied and the recent announcements related to the cinema site and the BHS store were very welcome. 

RESOLVED –

1. That the Quarter 3 next expenditure on services year to date was £10,094,000, £745,000 less than budget be noted.
2. That by year end the Council anticipates net expenditure of £15,349,000 on services and this forecast is £325,000 under budget, an improvement of £315,000 since Quarter 2 be noted.
3. That by year end the Council anticipates receiving an increase in funding of £1,712,000, an improvement of £240,000 since Quarter 2.  Overall, an improvement to budget of £2,037,000 which will reduce the budget deficit that was to be met from reserves to a forecast of £963,000 be noted.
4. That write offs as set out in Paragraph 2.24 and detailed in Appendix J be approved.

REASON FOR DECISION: To show the actual expenditure on services compared to the revised budget for the period ending 31 December 2021, and the forecast outturn position, highlighting significant variances from the revised annual budget.

To consider and provide a recommendation to Cabinet on the proposals set out in the attached report. 

Jane Fineman, Head of Finance, Procurement and Parking introduced the report set out in the agenda.

Discussion and questions from Members included the following:

-       The new Secretary of State had indicated that there would be no more single year settlements, instead moving to multi-year settlements.

-       The number of years was unknown but a multi-year settlement would bring certainty that would allow the Council to set out its own medium term strategy.

-       This would mean the Council would be better informed when making difficult decisions and allow those decisions to be brought forward over a period of time.  This should avoid any unintended consequences and would ensure any changes to services were informed and robust. 

-       The Council was also waiting to receive details from Central Government for the replacement to the New Homes Bonus.  There was likely to be some form of incentive to Councils for delivering housing and growth. 

-       Off street parking income was relatively evenly spread throughout the quarter. 

-       Requests for annual car parking permits had increased and the Council had sold more than had been sold pre pandemic.  This was very positive.

-       Less positive were the RVP and Meadow Road car parks which were still considerably below pre pandemic levels. 

-       Surface level car parks were also doing very well.  Torrington Road was doing better than previously.  Permits for the new Pantiles car park and at Linden Road were also doing well.

-       The employment market was very buoyant at the moment which had resulted in a high turn over of staff. 

-       The Council’s current staff were working very hard to bridge the staffing gaps.

-       The Council had digitalised as many processes as possible and would continue to look for opportunities in this area. 

-       The deficit was originally in the region of £3m.  The Council had found nearly £2m.  Of the remainder, the majority would come from New Homes Bonus.  This money had already been confirmed by Central Government so it would definitely be received. 

-       Beyond 2022/23, the Council as yet had no details of what it would receive from Central Government. 

-       It was right for the Council to be prudent until such time as future funding was known. 

RESOLVED – That the recommendations to Cabinet as set out in the report be supported.