The Brent Council Cabinet met on Monday 15 July 2024 to discuss the council's financial outturn for the previous year, its medium-term financial outlook, and the first quarter financial forecast for the current year. Key decisions included the approval of a new contract for parking and traffic CCTV enforcement services and the allocation of community grants.

Financial Year End Outturn 2023-24

The Cabinet received a report detailing the financial outturn for the 2023-24 financial year. The council's General Fund broke even, with the Housing Revenue Account (HRA) showing an underspend of £2 million and the Dedicated Schools Grant (DSG) also breaking even. However, the Resident Services department reported an overspend of £11.2 million, primarily due to high demand for homelessness services. The Care, Health & Wellbeing department overspent by £1.9 million, and the Children & Young People service by £1.1 million. The use of earmarked reserves to manage unexpected pressures resulted in an overall breakeven position for the General Fund. Spending controls introduced in 2023 are estimated to have saved approximately £4 million. The capital programme spent £213 million, which was 95% of the approved budget, representing an £11.2 million underspend.

Medium Term Financial Outlook

The Cabinet reviewed the council's overall financial position and the significant risks and uncertainties facing its Medium Term Financial Strategy (MTFS). The report outlined the proposed budget-setting strategy for 2025-26, aiming to provide a framework for investing in priorities such as the Borough Plan and addressing the cost-of-living crisis. The MTFS anticipates a budget gap of £16 million in 2025/26, rising to £30 million by 2027/28, driven by pressures in homelessness and temporary accommodation. The council plans to identify and deliver £16 million in savings for 2025/26. The report also highlighted the challenging economic environment, including high inflation and interest rates, and the political uncertainty surrounding the General Election, which could impact future government funding for local authorities. Brent Council's core spending power has decreased by 18% in real terms since 2010/11, while its population has grown. The council has reduced its FTE headcount by 52% since 2010/11. The report endorsed Brent's productivity plans in response to a request from the Minister for Local Government.

Quarter 1 Financial Forecast 2024/25

This report presented the financial forecast for the General Fund revenue budget, HRA, DSG, and Capital Programme as at Quarter 1 2024/25. The council's revised General Fund revenue budget is £387 million, with a forecast overspend of £10 million at Quarter 1. Mitigating actions, including spending controls, are being implemented. The Housing Revenue Account faces potential budget pressures due to rent limitations and increased repair costs. The Dedicated Schools Grant shows a breakeven position, but a legacy deficit of £15.1 million requires attention. The Capital Programme faces risks of slippage due to project complexity and construction industry challenges. The report noted the ongoing economic volatility and political uncertainty due to the General Election, impacting future local government funding.

Brent Post-16 Skills Strategy

Councillor Jake Rubin, Cabinet Member for Employment, Innovation & Climate Action, introduced the draft Brent Post-16 Skills Strategy. The strategy aims to equip residents with skills for employment and career progression, support businesses with workforce development, and foster an inclusive and prosperous community. It acknowledges the impact of Brexit and the pandemic on the local economy, with Brent's unemployment rate above the London average and a lower proportion of residents with higher-level qualifications compared to London. The strategy outlines objectives to increase employment rates, particularly for disabled and Black residents, reduce unemployment, and increase apprenticeship participation. It also focuses on developing skills for future growth sectors like digital, creative, health and social care, and green industries. The strategy will be supported by an Employment and Skills Board comprising local businesses and educational providers.

Authority to award contracts for the provision of Parking and Traffic CCTV Enforcement Services

Councillor Krupa Sheth, Cabinet Member for Environment & Enforcement, presented a report seeking approval to award a four-year contract, with two possible one-year extensions, for Parking CCTV camera, equipment, software maintenance, and supply. The contract, procured through the ESPO Framework, will facilitate the enforcement of parking and moving traffic contraventions, including banned turns, one-way systems, and school streets. The new system will feature enhanced capabilities such as high-definition resolution, emissions/air quality sensors, and remote camera adjustment. The contract value is up to £9,746,610. The award supports the council's Long-Term Transport Strategy and Climate and Ecological Emergency Strategy by aiming to reduce congestion and emissions. Social value elements include work experience for school children and investment in road safety awareness and greener travel initiatives.

Community Grants Fund (NCIL) 2023-24 - Projects over £100,000

Councillor Harbi Farah, Cabinet Member for Public Safety & Partnerships, presented a report seeking approval for projects recommended to receive Community Grants Fund (NCIL) awards over £100,000. The NCIL is funded by the Community Infrastructure Levy, a charge on new developments used to fund local infrastructure and address development impacts. Two projects were recommended for approval: Step Up Hub (£114,000) for a community leadership programme, and Forest United (1973) Youth Football Club Limited (£146,976), subject to securing the remaining project costs. Both projects align with the Borough Plan's Strategic Priority 3, Thriving Communities.

Uncollectable Debt Write-Offs

Councillor Fleur Donnelly-Jackson, Cabinet Member for Resident Support & Culture, presented a report detailing debts written off between 1 October 2023 and 31 March 2024 that exceeded £20,000. The aggregate total value of these debts is £606,101.94, covering council tax, sundry debts, adult social care client contributions, and housing benefit overpayments. The report confirmed that all avenues for debt recovery had been exhausted in line with the Council's Ethical Debt Recovery Policy before these debts were proposed for write-off. Cabinet noted the write-offs and the total amount.

The Cabinet meeting was confirmed as held, and decisions were made on the items presented.