Issue - meetings

Councillor Akhtar, Deputy Leader, introduced a report by the Director of Finance, which provided details of progress on the delivery of the Revenue Budget for 2012/13 based on performance for the first nine months of the 2012/13 financial year.  It was currently forecast that the Council would overspend against its budget by £1.946 million.  The main reasons for the forecast overspend were:-

·               The continuing service demand and cost pressures in looking after vulnerable children across the Borough

·               Additional, one-off property costs relating to the continued rationalisation of the Council’s asset portfolio as part of the efficiency drive to reduce operational costs.

It was expected that the forecast overspend would reduce further over the remaining months following the instruction by Cabinet, endorsed by Scrutiny, that future spend should be on essential items only.  For the remainder of the current financial year, spend must only be in respect of ensuring that vulnerable children and adults were safeguarded, be contractually committed, where to not spend would be a false economy or to ensure compliance with Health and Safety requirements.

Continued management action would be required over the remaining periods of the financial year to ensure that the Council was able to preserve its successful track record in managing both its in-year financial performance and its overall financial resilience.

Resolved:- (1)  That the progress made to date in delivering the significant financial challenges presented in the Council’s 2012/13 Revenue Budget be noted.

(2)  That further progress reports be submitted during the remainder of the financial year.