Agenda item

To receive a report from the Chief Executive, Deputy Chief Executive and Corporate Director of Resources and Director of Finance and Procurement (S.151 Officer).

Cabinet approved:

a)    the transfer of £0.368m to a new earmarked reservefor Health & Safety requirements as detailed in the paragraph 53 and Appendix B; 

b)   the allocation of the £5.705m underspend to invest in highways improvements works; 

c)    a further allocation of £5m of Community Infrastructure Levy (CIL) to increase the investment in highways improvements to £10.705m; 

d)   that the balance of £0.281m from the Business Plan Priority reserve be allocated to fund additional highways litter picking activity in 2024/25 and Armed Forces Covenant in 2023/24 and 2024/25. 

e)    the transfer of £0.181m to a new earmarked reservefor Local Nature Recovery Strategy (LNRS)as detailed in the paragraph 87 and Appendix B; 

Cabinet noted: 

f)     the general fund revenue budget outturn position for the financial year 2023/24; 

g)   the Dedicated Schools revenue budget outturn position for the financial year 2023/24; 

h)   the Housing Revenue Account outturn position for the financial year 2023/24; 

i)     the contributions to and from earmarked reserves as planned and detailed in Appendix B; 

j)     the final year end position of savings delivery. 

Reason for Proposals 

To inform effective decision making and ensure sound financial management as part of the Councils overall control environment.  

To inform Cabinet on the financial year end revenue outturn position for the Council for the financial year 2023/24, including delivery of approved savings. 

To improve the Councils financial resilience by increasing the balance on the General Fund reserve and setting aside funds in earmarked reserves to prudently assist in managing the Councils financial risks and future pressures. 

Cllr Nick Botterill, Cabinet Member for Finance, Development Management, and Strategic Planning, introduced the report providing details of the revenue budget outturn position for the financial year 2023/24. He drew attention to the £14.371m underspend as a result of the prudent management of the council’s finances, much of which would be transferred to the high needs reserve to account for the pressures relating to SEND.

Cllr Botterill paid tribute to the councils’ financial officers, and noted the very high delivery of planned savings, with the clear business plan, prioritisation of transformation and investment in preventative action leading to a sound financial position and further investment including for highways spending. However, he emphasised challenges remained including the Safety Valve programme delivery.

Members of the Cabinet commented further on the report. The additional £20m in highways maintenance on top of government funding was highlighted, along with investment in the Silverwood school, increases in Housing Revenue Account reserves, and modernisation of leisure services.

Cllr Graham Wright, Chairman of the Overview and Scrutiny Management Committee, noted the work of the Financial Planning Task Group, including examining the level of revenue underspend, use of highways reserves, and outcomes for savings targets.

Cllr Gordon King, Deputy Leader of the Liberal Democrat Group, stated it was correct to raise risks relating to underspend positions but welcomed the reinvestment in highways, which he hoped would include on C roads. He also noted continued risks relating to demands on children’s and adults services.

Cllr Wright also raised issues relating to highways maintenance in the Durrington area.

At the conclusion of discussion, and on the motion of Cllr Nick Botterill, seconded by Cllr Richard Clewer, it was then,

Resolved:

Cabinet approved:

a)    the transfer of £0.368m to a new earmarked reservefor Health & Safety requirements as detailed in the paragraph 53 and Appendix B; 

b)   the allocation of the £5.705m underspend to invest in highways improvements works; 

c)    a further allocation of £5m of Community Infrastructure Levy (CIL) to increase the investment in highways improvements to £10.705m; 

d)   that the balance of £0.281m from the Business Plan Priority reserve be allocated to fund additional highways litter picking activity in 2024/25 and Armed Forces Covenant in 2023/24 and 2024/25. 

e)    the transfer of £0.181m to a new earmarked reservefor Local Nature Recovery Strategy (LNRS)as detailed in the paragraph 87 and Appendix B; 

Cabinet noted: 

f)     the general fund revenue budget outturn position for the financial year 2023/24; 

g)   the Dedicated Schools revenue budget outturn position for the financial year 2023/24; 

h)   the Housing Revenue Account outturn position for the financial year 2023/24; 

i)     the contributions to and from earmarked reserves as planned and detailed in Appendix B; 

j)     the final year end position of savings delivery. 

Reason for Proposals 

To inform effective decision making and ensure sound financial management as part of the Councils overall control environment.  

To inform Cabinet on the financial year end revenue outturn position for the Council for the financial year 2023/24, including delivery of approved savings. 

To improve the Councils financial resilience by increasing the balance on the General Fund reserve and setting aside funds in earmarked reserves to prudently assist in managing the Councils financial risks and future pressures.