Agenda item

To update Members on the 2022/23 outturn positions for the General Fund (GF) and Housing Revenue Account (HRA) and to seek approval for revisions to 2023/24 revenue budgets; and to update Members on the Council’s reserves and balances available to support revenue expenditure.

The Executive considered a report in respect of 4th Quarter Revenue Budget Monitoring 2022/23 for the General Fund and Housing Revenue Account.

It was RESOLVED:

General Fund

1.          That the 2022/23 actual General Fund net expenditure of £10.423Million be noted, subject to the 2022/23 audit of the Statement of Accounts.

2.          That the 2022/23 actual core resources of £9.470Million be noted (as set out in Paragraph 4.4 of the report), subject to the 2022/23 audit of the Statement of Accounts.

3.          That carry forward/spend requests totalling £504,650 be approved for the General Fund (as set out in Paragraph 4.3.1 of the report).

4.          That the Transfer to reserves of £0.696Million be approved for the General Fund (as set out in Paragraph 4.7.2 of the report).

5.          That the changes to the 2023/24 General Fund budget savings totalling £95,000 be approved for the General Fund (as set out Section 4.6 of the report).

6.          That the changes to the 2023/24 General Fund budget to reflect the additional cost associated with the Shared Revenue and Benefits service of £89,000 and adjustment to NDR Levy of £51,000 be approved for the General Fund (as set out in Section 4.6 of the report).

7.          That the inflationary pressures outlined in Paragraphs 4.6.4 and 4.6.5 of the report be noted.

8.          That drawdown of £272,000 from reserves to fund Revenue Contribution to Capital within the amount included in the General Fund working budget be approved (as set out in Paragraph 4.6.2 of the report).

9.          That delegated authority be given to the Strategic Director (CFO), following consultation with the Portfolio Holder for Resources and Transformation, to appoint the Council’s insurers, following the completion of the tendering exercise (as set out in Paragraph 4.8 of the report).

Housing Revenue Account (HRA)

10.       That the 2022/23 actual in year HRA deficit of £469,241 be noted, subject to the audit of the Statement of Accounts.

11.       That new carry forward requests totalling £922,000 and an ongoing budget saving of £6,300 be approved for the HRA (as set out in Paragraph 4.13.1 of the report).

12.       That the Transfer to reserves of £17.244Million be approved for the HRA (as set out in Paragraph 4.15.2 of the report).

Reason for Decision:  As contained in report.

Other Options considered:  As contained in report.

The Executive considered a report in respect of 4th Quarter Revenue Budget Monitoring 2022/23 for the General Fund and Housing Revenue Account.

In respect of the General Fund, the Portfolio Holder for Resources & Transformation referred to Section 4.2 of the report, which provided an analysis of the significant 2022/23 underspends totalling £740,000.  She added that the report also sought approval for the Chief Financial Officer, in consultation with her as Portfolio Holder, to appoint the Council’s insurers, following completion of a tendering exercise.  The report requested approval for carry forwards totalling £504,650, and the transfer to reserves of £696,000.

In relation to the Housing Revenue Account (HRA), the Portfolio Holder for Resources & Transformation explained that this was reporting a 2022/23 deficit of £469,000, and a £518,000 improvement against the working budget of £987,000.  Within these figures, £922,000 of carry forwards were requested, as set out in Section 4.13 of the report.  A transfer to reserves of £17.244Million was also recommended for approval, to reflect upcoming debt repayments in the HRA.  The working balance for the HRA would therefore be £10.476Million.

The Portfolio Holder for Resources & Transformation stated that inflation costs and staff pay award costs would need to be monitored and analysed.  The updated General Fund Medium Term Financial Strategy would be submitted to the Executive in the Autumn.

The Strategic Director (CF) commented that, for the General Fund, officers were vigilant at looking at savings opportunities due to reducing funding.  The table contained in Paragraph 4.1.4 of the report would be key to understanding how the 2022/23 underspends had arisen.

It was RESOLVED:

General Fund

1.          That the 2022/23 actual General Fund net expenditure of £10.423Million be noted, subject to the 2022/23 audit of the Statement of Accounts.

2.          That the 2022/23 actual core resources of £9.470Million be noted (as set out in Paragraph 4.4 of the report), subject to the 2022/23 audit of the Statement of Accounts.

3.          That carry forward/spend requests totalling £504,650 be approved for the General Fund (as set out in Paragraph 4.3.1 of the report).

4.          That the Transfer to reserves of £0.696Million be approved for the General Fund (as set out in Paragraph 4.7.2 of the report).

5.          That the changes to the 2023/24 General Fund budget savings totalling £95,000 be approved for the General Fund (as set out Section 4.6 of the report).

6.          That the changes to the 2023/24 General Fund budget to reflect the additional cost associated with the Shared Revenue and Benefits service of £89,000 and adjustment to NDR Levy of £51,000 be approved for the General Fund (as set out in Section 4.6 of the report).

7.          That the inflationary pressures outlined in Paragraphs 4.6.4 and 4.6.5 of the report be noted.

8.          That drawdown of £272,000 from reserves to fund Revenue Contribution to Capital within the amount included in the General Fund working budget be approved (as set out in Paragraph 4.6.2 of the report).

9.          That delegated authority be given to the Strategic Director (CFO), following consultation with the Portfolio Holder for Resources and Transformation, to appoint the Council’s insurers, following the completion of the tendering exercise (as set out in Paragraph 4.8 of the report).

Housing Revenue Account (HRA)

10.       That the 2022/23 actual in year HRA deficit of £469,241 be noted, subject to the audit of the Statement of Accounts.

11.       That new carry forward requests totalling £922,000 and an ongoing budget saving of £6,300 be approved for the HRA (as set out in Paragraph 4.13.1 of the report).

12.       That the Transfer to reserves of £17.244Million be approved for the HRA (as set out in Paragraph 4.15.2 of the report).

Reason for Decision:  As contained in report.

Other Options considered:  As contained in report.