Decision details
Resourcing Better Outcomes - Financial Performance Report for November 2022 (Period 8)
Decision Maker: Cabinet
Decision status: Recommendations Approved
Is Key decision?: Yes
Is subject to call in?: Yes
Decision:
The Cabinet considered a report of the Executive Director (Finance and Resources) reviewing the Council’s financial performance.
Recommended:
That, in respect of the 2022/23 Revenue Budget Performance, as set out in Appendix 1 to the submitted report:
1. That the forecast outturn for 2022/23 for the General Fund and the Housing Revenue Account as at 30 November 2022, be noted.
2. That the management action taken and to be continued to reduce the forecast overspend of the Council’s revenue budget for 2022/23, be noted.
3. That the potential requirement to use earmarked reserves to balance the 2022/23 budget, as set out in Appendix 1 to the submitted report, be noted.
4. That the planned budget transfer (virement) of £456,000 from earmarked reserves, be approved.
That, in respect of the 2022/23 Capital Budget Performance set out in Appendix 2 of the submitted report:
5. That the expenditure to date and the forecast outturn as at 30 November 2022 and its financing, be noted.
6. That the requested changes to the capital investment programme for 2022/23 and future years, set out in Appendix 2 to the report, be approved.
7. That the Southend-on-Sea City Council (SCC) Corporate Plan Performance Report as at 30 November 2022, set out in Appendix 3 to the report, be noted.
Reasons for recommendations:
1. The regular reporting of Revenue and Capital Budget Monitoring information provides detailed financial information to Councillors, senior officers and other interested parties on the financial performance of the Council. It sets out the key variances being reported by budget holders and the associated management action being implemented to address any identified issues. It also informs decision making to ensure that the Council’s priorities are delivered within the approved budget provision.
2. It is important that any adverse variances are addressed in order for the Council to remain within the approved budget provision or where this cannot be achieved by individual service management action, alternative proposals are developed and solutions proposed which will address the financial impact. Councillors will have a key role in approving any actions if the alternative proposals represent significant changes to the service delivery arrangements originally approved by them.
Other options:
The Council could choose to monitor its budgetary performance against an alternative timeframe, but it is considered that the current reporting schedule provides the appropriate balance to allow strategic oversight of the budget by Councillors and to also formally manage the Council’s exposure to financial risk. More frequent monitoring is undertaken by officers and considered by individual service Directors and the Council’s Corporate Management Team (CMT) including the implementation of any necessary remedial actions.
Note: This is a Council Function
Eligible for call-in to: Policy and Resources Scrutiny Committee
Cabinet Members: Cllr George and Cllr Collins
Report author: Joe Chesterton
Publication date: 13/01/2023
Date of decision: 12/01/2023
Decided at meeting: 12/01/2023 - Cabinet
Effective from: 21/01/2023
Accompanying Documents:
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