Issue - meetings

This report gave details of the forecast outturn for the 2010/2011 financial year projected based on actual income and expenditure from April 2010 to July 2010.

It was noted that on 25 February 2010 the Council had set gross revenue spending at £625million and a General Fund net budget requirement of £182.713 million for 2010/2011. It was noted that Council agreed to revenue savings totalling £3.057 million on 29 July 2010 in response to the public expenditure reductions announced by the government in May 2010.

The monitoring report indicated that after management action, the outturn forecast for 2010/2011 stood at a £650,000 overspend. After excluding the forecast underspend on the dedicated schools grant funded services the overspend on the General Fund was £1.164 million. It was noted that the forecast overspend of £650,000 would be offset by any reserve contribution to meet the once-off costs associated with budget reductions, including any shortfall arising from part year effect. This was currently forecast to be £534,000.

An analysis of the budget position for each directorate was set out in the report and accompanying appendices.

Reasons:

Cabinet has the responsibility to ensure effective budgetary control to contain expenditure within the approved limits set by Council. Where a budget overspend is forecast, Cabinet supported by the corporate management team must identify measures to remove any excess expenditure.