Agenda item

Report of the Chief Executive

Cllr Nick Botterill, Cabinet Member for Finance, Development Management and Strategic Planning presented a report which provided detail about the final year end position for the financial year 2022/23 for revenue with the necessary approvals and with suggested actions.

The Cabinet noted that the report provided details of variances against budgets following the quarter three budget monitoring reported to Cabinet on 31 January 2023. That report forecast an overspend of £5.037m for the financial year although the final position has improved during the last quarter to a final overspend position of £1.839m. The report detailed a number of requests to transfer £25.836m, of which some relate to government grants, into specific earmarked reserves to support planned activity in 2023/24 and future years. 

Cllr Caroline Thomas, Cabinet Member for Transport, Street Scene, and Flooding reported specifically on the allocation of funding from the Business Plan Priority Reserve to fund for two years for litter enforcement on rural and urban roads, fly posting enforcement, additional litter prevention, cleaning and collection initiatives and awareness campaigns to ensure behaviour change.

Cllr Pip Ridout, Chair of the Financial Planning Task Group, confirmed that the report had been considered by the Task Group at its meeting on 7 July 2023. The Task Group were broadly satisfied that budgets were close to being balanced, pleased that reserves were increasing and proposed that a decision was required about the scrutiny of Stone Circle activities. Cllr Ridout thanked officers for their hard work in relation to the revenue outturn.

Cllr Graham Wright, Chair of the Overview and Scrutiny Management Committee, confirmed that the report had also been considered by the Management Committee on 26 June 2023 and he complimented the Task Group for their consideration of the report.

Cllr Brian Mathew welcomed the litter initiatives, thanking officers for the suggestions and the commitment of the community litter pickers. He also commented on the sign off of the Council’s accounts. In response to the comments and questions raised Cllr Botterill, supported by officers confirmed that robust discussions had recently taken place with McDonalds about the problem of litter from their premises. It was noted that McDonalds patrolled a significant perimeter around their premises, although there were instances that litter did extend further afield. Members noted that the issue of publishing accounts was an issue impacting a number of Local Authorities. The Audit Committee would be considering a report about how to resolve the issue at their next meeting on 25 July 2023.

Resolved:

To approve:

a)    the transfer in total of £22.638m to earmarked reserves as detailed in the report and Appendix B;

b)    the additional transfers to reserves of:

i.               £2m to a pay award reserve;

ii.             £0.6m to a feasibility reserve; and

iii.            £0.598m to the Business Plan Priority Reserve;

c)    that £0.510m be allocated from the Business Plan Priority reserve for the next two years to fund litter enforcement activity.

To note:

d)    the general fund revenue budget outturn position for the financial year 2022/23;

e)    the Dedicated Schools revenue budget outturn position for the financial year 2022/23;

f)     the Housing Revenue Account outturn position for the financial year 2022/23;

g)    the contributions to and from earmarked reserves as planned;

h)    the final year end position of savings delivery.

Reason for Decision:

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 2022/23, 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.