Purpose

To inform Cabinet and the Corporate Overview
and Scrutiny Committee of the Council’s outturn 2023/24
financial position as at the end of March 2024.

Content

The Cabinet considered
a report of the Director of Corporate Services / Cabinet Member for
Finance and Growth which sought to inform of the Council’s
outturn 2023/24 Financial Position at the end of March 2024.
 
The Deputy Chief
Finance Officer was in attendance to present the report and to
answer the questions of the Cabinet Members.
 
The 2023/24 Revenue
outturn position reported a £179k in year saving, prior to
the transfer of the balance to the Equalisation Reserve. There were
significant pressures in Adult Social Care of £4,665k and
Children’s Services of £6,210k, partially offset by one
off in year savings, primarily from Finance Control of
£4,524k and Neighbourhoods of £5,081k.
 
Capital expenditure in
2023/24 of £86,475k, after rephasing in the final quarter of £21,683k
into future years and capital budget increases of £8,840k.
The majority of the rephased
expenditure, £13,265k (61%) related to schemes within the
Neighbourhood Directorate, of which £2,753k was funded by
prudential borrowing with the balance £10,512k being funded
externally through grants and capital receipts. The balance of
£8,418k was funded by prudential borrowing and externally
funds to the Council via grants or capital receipts.
 
The 2023/24 Collection
Fund position, being a surplus of £8,865k. The
Council’s share was £8,311k, which is partially offset
by a £1,127k variation relating to Renewable Energy income,
leaving a net surplus of £7,184k. This is an improvement of
£1,175k since Q3, with the previously reported underspend of
£6,009k budgeted to be transferred to the Equalisation
Reserve to support service pressures as part of the 2024/25 budget
setting process.
 
Quarter 4 updates on
the Property Growth Fund position as detailed in section 5.8 of the
report and the Treasury Management position, discussed in section
5.9 of the report and Appendix C.
 
Resolved:
1.   
That the 2023/24 outturn financial positions for Revenue, Capital,
and the Collection Fund as at the end of March 2024, as detailed in
section 5 of the report be noted;
2.   
That the £6,210k overspend being reported by the
Children’s Directorate, and that a recovery plan was being
progressed, which would be reported alongside this Finance Update
report be noted;
3.   
That the £4,665k overspend being reported by the
Adults’ Directorate, and that a recovery plan was being
progressed, which would be reported alongside the 2023/24 Outturn
Finance Update report be noted;
4.   
That the transfer from the Equalisation reserve in 2024/25 of up to
£6,000k to Adults Social Care to address pressures and ensure
a balanced budget for 2024/25 as detailed in section 5.2 of the
report be noted;
5.   
That the Budget Carry Forward and New / Transfer to Reserves
requests summarized in section 5.3.1 of the report be noted;
6.   
That the Budget Pressures requests detailed in section 5.4 of the
report be approved;
7.   
That the update on the Health and Social Care Pooled Budget
detailed in section 5.5 of the report be noted;
8.   
That the net Capital budget changes of £8,840k, detailed in
section 5.6.1 of the report be noted;
9.   
That the Capital re-phasing of £21,683k into future years
detailed in section 5.6, and Appendix B (2) of the report be
noted;
10. That the request to switch capital budgets
within Corporate and Neighbourhoods directorates as detailed in
section 5.6.3 of the report be approved;
11. That the Property Growth Fund update in
section 5.8. of the report be noted;
12. That the Treasury Management update for
Quarter 4 in section 5.9, and Appendix C of the report be
noted.
 
Reason for
decision:
Cabinet Members should
be kept updated on the financial position of the authority, as
effective budget management is critical to ensuring financial
resources are spent in line with the budget and are targeted
towards the Council’s priorities.
This report focuses on
the 2023/24 financial outturn position as at the end March
2024.
 
Alternatives
considered and rejected:
There is no
alternative, as the Council financial reporting complies with
CIPFA’s Financial Management Code and its standards to ensure
management of financial resources in the short, medium and long
term, management of financial resilience to meet unforeseen demands
on services, and management of unexpected shocks within financial
circumstances.