Purpose

This report provides Cabinet with a view on the 2025/26 provisional outturn for General Fund revenue and capital, as well as the Housing Revenue Account (HRA). It also details how identified structural pressures have informed the wider Medium-Term Financial Strategy (MTFS).

Decision

Cabinet approved the following:

1. To endorse the further management controls implemented to mitigate the anticipated budget shortfall for 2026/27;
2. The General Fund capital programme budget adjustments, numbered (i), as set out in section 6.4 of the Cabinet report.

Reasons for the decision

Management controls are being further tightened to mitigate the financial pressures from the 2025/26 outturn and the projected service overspend for 2026/27.

Capital programme adjustments are required for the Ramsgate Port - Berth 1 Refurbishment (now renamed to Ramsgate Port & Harbour Compliance Initiative) to enable the budget to be used for compliance projects at Ramsgate Port and Harbour.

Alternative options considered

Cabinet may have chosen to approve, alter or reject these recommendations. Rejecting the recommendations was not chosen as officers would need to report to Council at a later date on the full implications of doing so and the necessary mitigation.