Issue - meetings

This report presents the forecast revenue outturn position for the current financial year 2025/26, as at Quarter 1 (30 June).

The Committee received a report presenting the forecast revenue outturn position for the current financial year 2025/26, as at Quarter 1 (30 June).

The following matters were considered:

a)            Budget overspend. A Member of the Committee asked if the report was forecasting year end to be a £485k overspend or whether that is the current position and the overspend will be even more. The Member also asked for clarification as to how the overspend will be dealt with other than just using reserves. The Director of Corporate Services (S151) confirmed that when the finance team do the budget forecast, it is for the year end position. He explained that this will be reviewed in the Q2 report scheduled to come to Committee in November. He recognised that there is a structural challenge in the Council’s housing budget with regard to the demand for temporary accommodation and the impact on the Council’s finances. He acknowledged that this is a wider issue, being felt and dealt with across the country. He informed the Committee that whilst the Council is fortunate to have healthy reserves, the aim is to not dip into reserves as that would not be sustainable. He continued to explain that this structural issue has been addressed in the Medium-Term Financial Strategy, and it is understood that if it is not adequately addressed it will continue into the next financial year.

b)            Housing and homelessness budget. A Member of the Committee asked if there was an increase compared to last year’s budget for homelessness. The Director of Corporate Services (S151) explained that the homelessness budget is based on a temporary accommodation (TA)  demand of 70, meaning as soon as we are over that number, the Council does not have the budget and is overspending. He explained to the Committee that there needs to be a budget set that ensures that services aren’t subject to failure every year and also recognises that services are doing their utmost to be able to manage to structural issue. The Member asked why the TA figure is set at 70 when it has been seen for years that the actual TA figure is much higher and therefore the budget should be set higher. The Director of Corporate Services (S151) informed the Committee that for 2026/27 the budget will be higher and that is what has been reported on.

·                     Councillor Bridger proposed a motion to add an additional recommendation to;

‘Agree to write to the Chair of Strategy and Resources and express concerns regarding the historically low Housing and Homelessness budget and Temporary Accommodation figure and seek assurance that it will be addressed and corrected in the upcoming budget.’

Councillor Neale seconded the motion.

The Committee unanimously agreed the motion and addition of a fourth recommendation to the report.

c)            S&R and C&W. A Member of the Committee asked for clarification as to whether Strategy and Resources are the right committee to write to when Community and Wellbeing Committee deal with homelessness.  ...  view the full minutes text for item 20