Agenda item

RESOLVEDthat;

1)    the revised General Fund budget for 2021/22 as set out in Appendix 1 and detailed in Appendix 2 to the report be approved,

2)    the revised HRA budget for 2021/22 as set out in Appendix 3 to the report be approved,

3)    the revised Capital Programme for 2021/22 as set out within Appendix 4.to the report be approved.

Executive’s approval was sought regarding the Council’s 2021/22, revised budget for the General Fund, Housing Revenue Account and Capital Programme. 

Members received a slide presentation which highlighted the following;

General Fund

·         Savings made between the February 2021 report and the Q2 monitoring report, i.e. the current position.

·         Changes to reflect the new calculations and forecasts – the revised budget

·         Savings made to help to prepare the Council for the future.

Housing Revenue Account (HRA)

·         HRA main changes for Revised Budgets (the main variances on the HRA).

Capital Programme

As part of the revised budget process the capital projects had been reviewed to estimate what level of spend would occur in 2021/22.

Where projects were unlikely to spend in 2021/22, the capital expenditure and matching financing would be moved to 2022/23 to avoid large under spends at 31^st March.

In Summary for 2021/22, the revised budget estimate for the Housing Revenue Account was a surplus, this would be transferred to the HRA Development Reserve.  Any underspend on General Fund would be transferred to the NNDR Growth Protection Reserve.  The level of reserves was considered to be adequate to fund planned expenditure and potential issues/risks that the Council faced.  The Capital Programme for 2021/22, was fully financed and did not include any borrowing where MRP was payable.

The Portfolio Holder for Finance noted that the Council would not receive information relating to the Government’s Spending Review until later in December 2021.  He also noted the increase in income to the Council by way of planning applications and the Go Active leisure facilities, and that the issue with the Council’s void properties would need monitoring as highlighted by the Assistant Director of Finance & Resources in her slide presentation.

Members thanked the Assistant Director of Finance & Resources for an excellent report.

Moved by Councillor Clive Moesby and seconded by Councillor Duncan McGregor

RESOLVED that 1) the revised General Fund budget for 2021/22, as set out in

Appendix 1 and detailed in Appendix 2 to the report be approved,

2)    the revised HRA budget for 2021/22, as set out in Appendix 3 to the report be approved,

3)    the revised Capital Programme for 2021/22, as set out within Appendix 4 to the report be approved.

REASON FOR DECISION:

The purpose of the report was to set revised budgets as early as possible within the financial year to ensure that identified budget savings were realised, that all budget managers were working to the revised budgets, and to allow any planned changes to be delivered. 

OTHER OPTIONS CONSIDERED:

General Fund and HRA

Any surplus on the Council’s two main revenue accounts would result in an increase in financial balances at the year-end which were available to protect services at a time of declining central government support.  It was proposed that additional resources would be transferred to reserves in preparation for future expenditure.

Capital

There were no alternative options being considered with regard to the proposed allocations from the Capital Programme budget as it ensured the Council’s assets met health and safety requirements in that they were maintained in a fit for purpose state that ensured they remained fully operational.