Agenda item

The report of the Director – Finance and Corporate Services is attached.

It was RESOLVED that:

a)               the 2023/24 revenue position and efficiencies identified in Table 1, the variances in Table 2, and Appendix A to the report be noted;

b)               changes to the earmarked reserves as set out at Appendix B along with the carry forwards and appropriations to reserves in Appendix E to the report be approved;

c)               the re-profiled position on capital be noted and the capital carry forwards outlined in Appendix C and summarised in Appendix F to the report be approved; and

d)               the update on the Special Expenses outturn at paragraph 4.20 and in Appendix D to the report be noted.

The Cabinet Portfolio Holder for Finance, Transformation and Governance, Councillor Virdi presented the report of the Director – Finance and Corporate Services, which outlined the year-end financial outturn position for 2023/24, linked to the closure of the accounts process and previous financial update reports.

In introducing the report, Councillor Virdi referred to the sharp increase nationally in the number of councils facing financial pressures and stated that he was pleased to report that Rushcliffe had maintained a positive outcome, despite the challenging economic environment, as detailed in paragraph 4.4 of the report. Councillor Virdi referred to ongoing cost of living pressures, which impacted both on residents and the Council’s budget, and Cabinet noted that service efficiencies had continued to be identified to balance those pressures. The revenue budget had an overall revenue efficiency of £1,663m and the Capital Programme overall had an underspend of £5.710m and Councillor Virdi confirmed that the report recommended carrying forward those budget efficiencies to help meet 2024/25 service pressures and risks.  

In respect of revenue, Councillor Virdi referred to paragraph 4.5 and Appendix A to the report, which detailed the main variances, with paragraph 4.6 highlighting additional savings from Business Rates and Government Grants, giving the Council an additional resource of £1.379m. Overall the Council’s robust financial position enabled it to fund service demands or cost pressures not originally identified in the budget, details of which were highlighted in paragraphs 4.18, 6.3 and 6.4 and Appendix E.  Cabinet was reminded that there would continue to be further pressures on the budget going forward. 

In respect of capital, Councillor Virdi advised that paragraph 4.19 and Appendix D highlighted the key variances and explanations for those, including the underspend on the Crematorium and Bingham Arena. Councillor Virdi emphasised the success of both projects and the benefits brought to residents.  Reference was made to paragraph 4.20, which covered Special Expenses, with an overall deficit for the year of £8k, which in the context of overall finances Councillor Virdi considered to be manageable. 

In conclusion, despite the financial challenges referred to, Councillor Virdi stated that the Council had always been prudent, which had negated the need to draw on reserves or borrow externally. Inflation had begun to fall; however, pressures would remain as household income continued to contract.  Cabinet was reminded that with the new government, there could be a change in funding, and the ongoing economic uncertainties and risks made planning challenging.  There were warning signs for the budget going forward, with pressures on areas including Planning Services and Streetwise and the impact of inflation on contracts and therefore it was vital that the Council was even more productive, and although the Council was in a good position, it could not be complacent.  Councillor Virdi thanked Councillors and officers, in particular the Director – Finance and Corporate Services and the Finance Team for their dedication and diligence. 

In seconding the recommendation, Councillor J Wheeler referred to the difficulties of setting a budget during such challenging times and welcomed the savings made, that had been put into capital projects to benefit residents.  Councillor Wheeler thanked the officers responsible for applying for the various grants, which required considerable work and helped to fund additional projects around the Borough.

Councillor Upton referred to the Crematorium and the Bingham Arena and reminded Cabinet that both of those excellent, multi-million pound projects had been delivered under budget during very challenging financial times, which he felt emphasised the competency and skill of officers as project managers.  Those officers had challenged and looked for alternative products, which delivered the same performance and quality, but at a cheaper cost and Councillor Upton stated that they should be applauded for that.     

The Leader concurred with those comments and thanked officers for their hard work.

It was RESOLVED that:

a)               the 2023/24 revenue position and efficiencies identified in Table 1, the variances in Table 2, (and Appendix A) to the report be noted;

b)               changes to the earmarked reserves as set out at Appendix B along with the carry forwards and appropriations to reserves in Appendix E to the report be approved;

c)               the re-profiled position on capital and approves the capital carry forwards outlined in Appendix C and summarised in Appendix F to the report be noted; and

d)               the update on the Special Expenses outturn at paragraph 4.20 and in Appendix D to the report be noted.

The Leader advised that this would be the Monitoring Officer’s last meeting, as she was leaving Rushcliffe and thanked her for all her hard work and wished her well for the future.