Decision details

To note the forecast revenue outturn position

RESOLVED:

That the following be noted:

1.  The adverse variance of £3.4m forecast for the General Fund in 2023-24.

2.  The continuing budget pressures in:

·  Temporary accommodation

·  No recourse to public funds (NRPF)

·  Home to school transport.

3.  The progress on plans to contain general fund projected overspends since month 4 reporting (Appendix B of the report).

4.  The dedicated schools grant (DSG) in-year pressure of £0.4m, an improvement from £0.6m reported at month 4 and consistent with the Safety Valve Agreement.

5.  The housing revenue account forecast of £16.8m, an adverse movement of £2.9m since month 4, and the mitigations in place to contain this. 

6.  The ongoing inclement macro-economic environment, with inflation running at 3.9% in November (6.7% in September), and interest rates remain at 5.25%.

That the following be approved:

7.  The interdepartmental budget movements that exceed £250k, as shown in Appendix A of the report (noting those under this threshold).

8.  The approach proposed in principle in paragraph 19 of the report to reduce the HRA revenue contribution to capital in order to preserve reserves and to fund any resulting shortfall in the capital asset management programme through borrowing, noting the impact this will have on borrowing headroom and financing budgets.