Issue - meetings

Report of the Cabinet Member for Finance and Communities is attached.

Councillor Richard Gold, Cabinet Member for Finance and Communities, presented the report which outlined the forecast financial position of the Council at Quarter One 2023/24 and provided an update on savings targets and the work to mitigate and reduce overspends throughout the remainder of the financial year.

Members discussed the report, noting a more positive position in month 4, and Councillor Gold advised that the support of a Financial Improvement Panel was a sensible and mature way to move forwards, ensuring financial prudence and getting as much support as possible for Bury. The challenge on Councils was unprecedented, with more demands, less funding, and increased costs, and Councils nationally were looking to the Government for a systemic solution.

Decision:

Cabinet:

1.    Noted the delivery of savings to date of £11.021m with a forecast savings delivery of £18.103m within the challenging context of increased demand and inflationary cost increases;

2.    Noted the forecast overspend of £13.266m within the revenue budgets at Quarter One and the recovery action proposed;

3.    Noted the re-phasing of the capital budget;

4.    Noted the deficit on the Dedicated Schools Grant and the ongoing activity within the Project Safety Valve project;

5.    Note the ongoing work to mitigate and reduce the overspends; and

6.    Approved the establishment of a Finance Improvement Panel and the Terms of Reference which are appended to this report.

Reasons for the decision:

To update Members on the Council’s budgetary position, ensure the Council’s budgetary targets are achieved and set out proposals for the Financial Improvement Panel. This report is in accordance with the Council’s financial procedure regulations.

Other options considered and rejected:

None.