Financial Position November 2019 - Report for the Year Ending 31st March 2020
Councillor Joyce Plummer, Portfolio Holder for Resources, provided a report informing Cabinet of the financial spending of the Council up to the end of November 2019 and the financial forecast outturn position for the Accounting Year 2019/20. Members considered a table within the report which set out the core financial details.
Councillor June Harrison thanked Joe McIntyre, Deputy Chief Executive, and his team for ensuring that the Council’s finances remained ‘in the black’.
Approval of the report was not a key decision.
Reason for Decision
The spend for the first 8 months of the financial year to the end of November 2019 is £7,542,000 compared to a Budget of £7,755,000 giving a positive variance of £214,000 over the first 8 months of the year.
The current forecast spend to the end of the financial year in March 2020 is £10,820,000 compared to a Budget of £10,994,000. This forecast produces a positive variance of £174,000 by the end of the financial year. There are small adverse forecasts for Planning & Transportation, Policy & Corporate Governance, and Environmental Services. Regeneration and Property Services have a larger adverse variance of 13% of Budget. Elsewhere, positive variances are sufficient to produce an overall surplus for the year.
Environmental Services are predicting a year end adverse variance of £36,000. This stems from salary savings of £19,000 on Food Safety. Waste Services’ income is up £35,000, along with £17,000 of salary savings and £103,000 positive variance on recycling, less £34,000 of additional miscellaneous expenditure for an overall £121,000 surplus on their budget. Parks and Cemeteries are predicting a positive variance of £18,000 with the Parks Service indicating savings of £22,000 on salaries and £5,000 on miscellaneous costs offset by £36,000 of reduced income. Cemeteries are predicting an additional £20,000 income this year and salary savings of £9,000 less £2,000 of additional extra miscellaneous spend. The Town Centre and Market Hall Budget is indicating an overall adverse variance of £194,000, comprising £190,000 reduced income at the Market Hall and income from CCTV down by £10,000, less £26,000 of salary savings reduced by £21,000 of additional expenditure.
Culture & Leisure Services
Culture and Leisure Services are indicating a positive variance of £26,000 due to £30,000 of savings on leisure budgets less £4,000 additional net expenditure at the Haworth Art Gallery.
Planning & Transportation
Planning & Transportation are predicting an adverse variance for the year of £30,000. This is due to a predicted shortfall in income compared to budget on Building Control of £65,000 and additional salary expenditure in this area of £26,000. Elsewhere on the Budget there are £27,000 of staff saving and £46,000 of additional income less £12,000 of miscellaneous additional expenditure.
Regeneration & Property Services
Regeneration & Property Services are predicting an adverse variance of £138,000 at year-end with salary costs up by £93,000 over the year compared to budget and expected additional costs of £76,000, less £31,000 of additional income.
Policy & Corporate Governance
Policy & Corporate Governance are predicting an adverse variance of £43,000. This stems from salary savings of £181,000 less the Corporate Savings Target for the year of £165,000, predicted increases of £100,000 on Housing Benefit Costs, along with £2,000 of additional miscellaneous costs less £43,000 of additional income.
Non Service Items
The current estimate for the year is a positive variance of £395,000.
There were no alternative options for consideration or reasons for rejection.
Resolved - Cabinet notes the report and asks Corporate Management Team to continue to reduce costs and increase income over the remaining months of the financial year.