Issue - meetings

Report of the Executive Manager – Finance and Corporate Services.

The Financial Services Manager presented a report that assesses the Council’s Going Concern status linked to Covid-19 and to conform with professional standards with regards to the Local Authority Code of Accounting Practise, the report confirms the Council’s functions and services will continue in operational existence for the foreseeable future.

The Council’s External Auditors requested additional assurances in the assessment of Going Concern, these were:

·       The Council’s current financial position

·       The Council’s projected financial position

·       The Councils’ governance arrangements

·       The regulatory and control environment applicable to the Council as a local authority

The Financial Services Manager highlighted that an update on the Council’s medium-term financial position (MTFS) covering the five year period 2020/21 to 2024/25 due to the recent events of Covid-19 was reported to both, Cabinet and Full council on 24 September 2020.

The Financial Services Manager also reported that the Council has an established and robust corporate governance framework and that the Council remains a going concern.

The Vice-Chair asked a specific question in respect of the Council’s support to the Leisure contract and whether the Council was in a position to continue to provide this support if further lockdown measures are introduced and should the Group be concerned. The Executive Manager – Transformation explained that officers were in discussions with the leisure provider on a day to day basis as the government legislation and guidance changes. In addition the Executive Manager – Transformation  explained the situation is live and assured members that the Council is working with the leisure provider to look at alternative ways to deliver services and to fully support for them.

Councillor Virdi asked for some clarity in respect of the Government grant in relation to lost income. The Financial Services Manager explained, this measure has recently been announced by the Government and would potentially cover 75% of losses.

It was RESOLVED that the Governance Scrutiny Group note the positive outcome of assessment of Rushcliffe Borough Council’s status as a going concern for the purpose of the Statement of Accounts 2019/20.