Decision details

Financial update report - December 2022

Decision Maker: Cabinet

Decision status: Recommendations Approved

Is Key decision?: Yes

Is subject to call in?: Yes

Purpose:

To present Cabinet with the latest finance exception report, i.e. to advise Cabinet of any latest material financial changes and identify any additional financial approvals that are required.

Decision:

That Cabinet:

1.        Approved the drawdown of £4.7m from reserves for the 2022/23 pay awards budget shortfall impact.

2.        Authorised the Council’s S.151 Officer to accept the Adult Social Care Discharge Fund of £1.69m.

3.        Approved the realignment of heat network budgets to meet estimated funding requirements to 31 March 2023. This includes an additional £3.3m being funded from the Council’s capital contingency.

4.        Approved both the upfront payment of the pension deficit (£13.9m) and the future service cost which will generate an upfront saving of £981k and an annual saving of £300k.

 

That Cabinet noted:

5.             The General Fund risk adjusted forecast overspend of £12.2m, noting further mitigations continue to be explored.

6.             The forecast overspend of £2.0m within the HRA (with actual end of year position being funded by a transfer to or from the HRA general reserve).

7.        The forecast in-year deficit of £19.9m accumulating to a total £44.6m carried forward deficit in the DSG for 2023/24, and that the Council and the Schools Forum are developing a mitigation plan which will seek to address the High Needs overspend.

8.             The forecast £7.3m underspend within the General Fund against the latest approved Capital Programme’s Budget.

9.             The emergency decision taken to approve the use of HRA reserves to enter a contract for £2.0m to secure the service of a company or companies to carry out Waking Watch provision at the Council’s high-rise blocks

10.     The revised reporting of Q3 so that Period 8 rather than Period 9 constitutes a detailed report and thereby comes to Cabinet in January alongside Budget 23/24.

 

Report author: Denise Murray

Publication date: 06/12/2022

Date of decision: 06/12/2022

Decided at meeting: 06/12/2022 - Cabinet

Effective from: 14/12/2022

Accompanying Documents: