Agenda item

Report of the Director – Finance and Corporate Services

The Senior Finance Business Partner presented the outturn position for 2025/26.

The Group was informed that the revenue position showed an efficiency of £2.682m, and the capital programme reported an underspend of £4.011m. It was noted that revenue efficiencies largely arose from investment income, unrequired contingency budgets, and efficiencies within Neighbourhoods, Development and Economic Growth. These were partially offset by reduced income, particularly in planning.

The Group noted that capital variances were mainly due to delays in projects, with the majority of underspends to be carried forward into 2026/27.

Councillors were advised that the favourable financial position would support future pressures, including Local Government Reorganisation, inflationary pressures and Simpler Recycling requirements. It was also noted that no external borrowing had been required during the financial year.

It was advised that the principal savings identified through the Transformation and Efficiency Plan had been achieved and exceeded. The main savings had been delivered through the renegotiation of leisure contracts, increased income from garden and waste collection charges, and higher income from car park charges. It was also noted that improved performance at Rushcliffe Oaks and Edwalton Golf Centre had made a positive contribution to the overall financial position, helping to exceed the anticipated savings target.

It was further noted that the Council had not needed to draw on reserves or undertake any external borrowing during the period. This reflected the strength of the Council’s financial management and the effectiveness of the savings and income-generation measures that had been implemented, helping to maintain a robust financial position while continuing to deliver services and key priorities.

In relation to performance, seven indicators had not met their targets. It was clarified that this was not unusual and no single overarching reason had been identified for the underperformance. It was noted that despite the significant increase in workload that officers have seen over recent years as a result of the pandemic, the cost of living crisis, the impact of conflict abroad, and more recently local government reorganisation colleagues are providing exceptional services to Rushcliffe residents achieving their targets in the remaining 50 indicators.

Members raised a number of queries, including:

• The reasons for underperformance of specific indicators
• The level of glass recycling achieved following the introduction of the scheme
• The use of the asylum dispersal grant and whether expenditure could be identified
• Recycling rate reductions and influencing factors such as weather conditions
• Budget efficiencies, particularly in relation to Streetwise services

In response, Officers advised:

• Recycling performance is influenced by external factors such as weather and measurement by weight
• Grants are not always ringfenced but further information could be provided
• Budget efficiencies reflect improved understanding of costs following service changes rather than reductions in service levels

The Group noted the report and approved the recommendations. It was RESSOLVED that the Corporate Overview Group scrutinises:

a)    the 2025/26 revenue position and efficiencies identified in Table 1 and Appendix A and B

b)    the changes to the earmarked reserves as set out at Appendix G along with the carry forwards and appropriations to reserves in Appendix A

c)     the re-profiled position on capital and approves the capital carry forwards outlined in Appendix D and F and summarised in Appendix H

d)    the update on the Special Expenses outturn at paragraph 4.7 and in Appendix C, and

e)    performance exceptions (detailed in paragraphs 4.25 to 4.28) to judge whether further scrutiny is required.