Here is a summary of the scheduled discussions for the Finance and Budget Monitoring Scrutiny Committee meeting. The meeting included discussion of directorate budget updates, performance reporting, and the council tax base. The committee was also scheduled to discuss questions raised by members in advance of the meeting.

Directorate Update: Housing and Communities

The committee was scheduled to receive an update on the Housing and Communities Directorate, which was newly established in July 2024, following the transfer of Housing Services from Your Homes Newcastle^[YHN]: Your Homes Newcastle was an ALMO¹ created in 2004 to manage council housing in Newcastle upon Tyne. It was brought back in-house in 2024. The directorate includes:

• Housing Services
• Housing Capital Programme Manager
• Director of Housing and Communities
• Fairer Housing Unit
• Home Ownership
• Regeneration Housing
• Support Services and Active Inclusion
• Leisure Services

The report pack indicated that the Housing and Communities Directorate had a surplus outturn position of £0.865m against budget. The committee was scheduled to discuss variances within the directorate, including an overspend in Head of Housing Services caused by unfunded damp and mould survey costs, and an underspend in Support Services Active Inclusion due to underspends against staffing budgets and resettlement services. The report pack also included details of capital spending, including £3.468m on specialist housing, £2.194m on general needs, and £1.946m on leisure. The Housing Revenue Account (HRA) revenue budget reported a surplus of £1.6 million, which was an improvement on the agreed breakeven position for the year. The report pack noted that future financial risks included additional repairs and maintenance costs, increased scrutiny from the Regulator of Social Housing, reliance on grant funding, and the contract management of Leisure Services.

HR Performance Monitor

The committee was scheduled to discuss a report showing key Human Resource (HR) indicators for the twelve months ending 30 June 2025. The report pack recommended that the committee review and comment on whether the report represented a fair summary of the data and performance monitor, and whether actions outlined to address performance adequately addressed the underlying causes. The report pack noted that sickness absence remained the most significant issue within the HR indicators, with mental health being the main cause of absence. The committee was also scheduled to discuss overtime and agency spend, recruitment, and turnover rates. The report pack included data on starters and leavers, and turnover by directorate. The most common reason for leaving was for career progression within another public sector employer.

Council Tax Base and Council Tax Support Scheme

The committee was scheduled to receive an overview of the Council Tax base setting process and the Council Tax Support Scheme. The report pack noted that Newcastle City Council's current Council Tax Support Scheme (CTS) for 2025/26 continues to be one of the most comprehensive in the region. The committee was scheduled to discuss how external challenges and risks may impact on the Council Tax Support Scheme. The report pack included a comparison of Newcastle's Council Tax Support Scheme with neighbouring authorities:

Council	Discount Range	Scheme Type
Newcastle	25% – 100%	Income banded
South Tyneside	30% – 90%	Income banded
North Tyneside	Up to 85%	Means tested
Gateshead	Up to 91.5%	Means tested
Northumberland	Up to 92%	Means tested
Durham	Up to 100%	Means tested
Sunderland	Up to 100%	Income banded

The committee was also scheduled to discuss the proportion of the city's households that receive either some form of council tax support, or council tax exemption. The report pack noted that 9.8% of the city's households are exempt from council tax and 26.7% of households receive council tax support.

Q4 Budget Outturn and Key Financial Systems

The committee was scheduled to discuss the Q4 (2024/25) Budget Outturn and Additional performance reporting for Key Financial Systems. The report pack noted that at the end of quarter 4, the council reported an underspend of £0.6 million against the agreed 2024/25 net revenue budget of £281.2 million. The committee was scheduled to discuss collection rates for Council Tax and Business Rates, commercial property arrears, and the overall underspend in the budget. The report pack noted that there was £5.6m of interest income which wasn't in the budget. The committee was also scheduled to spend some time considering reserves and establish the decision making process for determining what moves into and out of the reserves. The report pack included an update about the Outer West Leisure Centre, but the details were restricted.

Higham House

The committee was scheduled to discuss Higham House, but the details were restricted.