Issue - meetings

To receive a report presenting details of the Council’s financial performance for 2024/25.

Executive Councillor: B Mickelburgh.

The Cabinet has

(a)  considered and commented on the revenue financial performance for the financial year 2024/25 quarter 2, as detailed in Appendix 1 and summarised in paragraph 3.2 of the report now submitted;

(b)  considered and commented on the capital financial performance for 2024/25 quarter 2, as detailed in Appendix 2 and summarised in paragraph 3.3 of the report now submitted; and

(c)  referred the proposed contribution to the Community Wealth Fund on to Full Council on 11th December 2024.

The Cabinet received and noted a report by the Director of Finance and Corporate Resources (a copy of which is appended in the Minute Book) presenting details of the Council’s financial performance for 2024/25.

Members noted that at the end of Quarter 2, there was a revenue forecast underspend of £1,915,000 and a capital forecast underspend of £1,160,000. The reasons for this were as noted within the report. In terms of revenue, Cabinet Members were encouraged by the Director of Finance and Corporate Resources to give consideration to the effective utilisation of the underspend, ensuring appropriate resources were directed to areas where there were pressures or increased business need. In respect of capital, it was reported that whilst it might be concerning when programmes were not delivered this was not unusual. Assurances were delivered that projects were given the appropriate level of scrutiny by Officers which was particularly important as the Council approached Quarter 3 when the Council would set the Minimum Revenue position which formed part of the annual budget setting process. Reference was then made to the collection of Council Tax, Business Rates and sundry debt, an area that was subject to review by Officers in ensuring that any monies owed to the Council were being collected.

The views of the Overview and Scrutiny Panel (Performance & Growth) were presented by the Executive Councillor for Finance and Resources and in doing, so, comment was made upon the accidental savings that were being achieved as a result of vacancies in posts.

The Executive Councillor for Finance and Resources then went on to suggest an additional recommendation for consideration by the Cabinet in respect of the proposed contribution relating to the Community Wealth Fund. The Chief Executive reported that this was currently not included within the 2024/25 budget and to ensure due process, the matter should be referred on to Full Council on 11th December 2024 for consideration. Whereupon, the Cabinet

RESOLVED

(a)  to consider and comment on the revenue financial performance for the financial year 2024/25 Quarter 2, as detailed in Appendix 1 and summarised in paragraph 3.2 of the report now submitted;

(b)  to consider and comment on the capital financial performance for 2024/25 Quarter 2, as detailed in Appendix 2 and summarised in paragraph 3.3 of the report now submitted; and

(c)  to refer the proposed contribution to the Community Wealth Fund on to Full Council on 11th December 2024.

The Panel is invited to comment on the Finance Performance 2024/25 Quarter 2 Report.

Executive Councillor: B Mickelburgh

By means of a report by the Director of Finance and Corporate Resources (a copy of which was appended in the Minute Book), the Finance Performance 2024/25 Quarter 2 Report was presented to the Panel.

Following a query as to which site was referred to under the Community Resilience line within Appendix One (page 133 of the agenda pack) in reference to the transition from Places for People and the agreement of management of that site, the Panel heard that clarification would be sought and communicated back.

A possible discrepancy between the forecasted underspend on the revenue outturn figures from quarter 2 versus quarter 1 was observed and the Panel were advised that the detail would be sought and brought back for clarification.

It was noted that a separate amount of £1 million had previously been allocated to the Market Towns for St Neots project and questioned where that was now allocated within the budget. The Panel heard that the report was to show the accounts for the quarter, however this would investigated and brought back to the Panel.

It was highlighted that the recorded underspend of £100,000 to the increased MRF contract contradicted with a later noted underspend due to late completion of the MRF contract. The Panel heard that this had been split out and reported as previously requested which was why it was now showing in a different fashion. The Panel were assured that plans were being implemented to ensure long term debt recovery on commercial rents be addressed and that this reported back in a future report to the Panel.

The Panel heard that additional National Insurance and wages costs which were showing in Table 3.2 were due to a previous computer error, in order to correct this, they had been put into the finance budget so that individual budgets would not be affected. It was observed that it was concerning that an underspend was predicted under the Planning salaries line and the Chair would endeavour to take this up with the portfolio holder.

A marked increase relating to Civil Parking Enforcement was observed by the Panel, it was advised that costs had been estimated within the CPE strategy development, however upon implementation the signs and lines required far more work than anticipated and the increase in cost was as a result of that.

The Panel heard that due to staff turnover and staff sickness within the CCTV team there had been an increased use of agency staff to cover vacancies during the recruitment period. The Panel were further advised that contracted staff and agency staff were budgeted for separately and that the underspend in one area had balance the increased spend in the other with no detriment to the service.

Following the discussion, it was

RESOLVED

that the comments of the Panel would be added to the Council report to allow for visibility during their consideration of the report.