Issue - meetings

This report presents the forecast revenue outturn position for the current financial year 2021/22, as at Quarter 2 (30 September).

The Committee received a report presenting the forecast revenue outturn position for the current financial year 2021/22, as at Quarter 2 (30 September).

The Committee considered the following matters:

a)            Covid-19 has continued to have a major impact on the Council’s services and the updated projection at Quarter 2 is for a budget deficit of £2.67m this year, largely unchanged from Quarter 1.

b)            The £0.04m increase in the projected deficit is mainly due to increased fuel and staffing costs within waste collection, as sectoral issues such as the petrol and HGV driver shortages impact this service.

c)            The projected £2.67m deficit assumes that no future government support will be forthcoming.  The main reasons for the deficit remain increased expenditure to manage homelessness, combined with significant reductions in income from service areas such as car parks and the Council’s venues.

d)            The deficit is currently being managed by means of the Council’s reserves, however this is not a sustainable long-term solution.

Following consideration, it was unanimously resolved to:

(1)      Receive the revenue budget monitoring report, which projects a £2.67m budget deficit for 2021/22, along with provisional funding for the deficit;

(2)      Note that a report will be prepared for the Community & Wellbeing Committee in the new year 2022, to present a Homelessness and Rough Sleeper Strategy with mitigation options for the budget pressures within the Housing service;

(3)      Note that a report is being prepared for Community & Wellbeing Committee in the new year 2022, to present a recovery plan for the Venues;

(4)      Note that the updated Quarter 3 position will be reported back to this Committee in February.