RESOLVED

1.            That the financial reporting data relating to revenue budgetary control, showing a forecast net overspend at year end of £0.708 million, 0.13% of gross budget, be noted.

2.            That the contents of Section 4 of the report be noted.

The Deputy Leader and Cabinet Member for Finance presented both items 6 and 7 together.  For ease of reference the resolutions are set out under the item to which they relate.

The Cabinet Member thanked all who contributed to the reports and to the financial management of the Council.  It was important to monitor the financial position on a month by month basis, to ensure the Council was close to budget to avoid having to make further cuts to services in response to the Government’s austerity cuts in funding.  Although relatively early in the financial year, the Council was currently very close to, within £0.2m of, budget.  However, services had lost funding to such an extent that it was now making it very difficult to provide those services.  It was important to consider the constraints on services as a result of the government’s cuts, and this would be monitored closely as significant further savings would be required in future years.

The Chair expressed concern that the Government’s cancellation of the business rate retention scheme would potentially cost the Council approximately £1.5m.

The Director of Corporate Services drew Members attention to the month 3 report which had been reported to the Financial Monitoring Task Group, with some updates on income and savings.  The month 4 report included some adjustments for Cabinet’s consideration and a scheme was included which required Council approval, to carry out safety works on the Wimbledon Park lake.  The deficit in the Dedicated School Grant had increased to £1.2m in-year and officers were working with the Director of Children, Schools and Families to mitigate the impact and lobby the Department for Education for increased funding.

RESOLVED

1.            That the financial reporting data relating to revenue budgetary control, showing a forecast net overspend at year end of £0.708 million, 0.13% of gross budget, be noted.

2.            That the contents of Section 4 of the report be noted.