Agenda item

2019/20 Revenue and Capital Budget Monitoring Report Provisional Year End Results

To consider a report from the Director of Finance (Section 151 Officer) (copy enclosed)

 

Minutes:

Cabinet considered a report from the Director of Finance (Section 151 Officer), which set out the Council’s provisional year end results for 2019/20 covering the Revenue Budget, Capital Programme and Treasury Management activities.  This report linked to the Q4 Council Plan Delivery Plan Performance Report which would be reported in July. 

 

The Chair invited the Deputy Leader and Cabinet Member for Finance to present the report and move the recommendations.

 

The financial context for the Council was extremely challenging.  Since 2011/12, the Council had agreed a total of £272million of savings in setting annual revenue budgets. The impact of the coronavirus pandemic (Covid-19) which emerged in the fourth quarter of 2019/20 would be felt for many years to come and it added another layer of uncertainty and challenge to the funding and the provision of local public services.

 

It was, therefore, positive to report that at the end of Q4, against a net revenue budget of £394.453m, the provisional outturn position for the Revenue Budget at the year end was a balanced budget.

 

This report emphasises that this Council was in a strong and stable financial position as it entered the current year, on 1st April. That would be important when the Council made the case to the treasury as to the assistance Cumbria would need to meet the current extra costs.

 

The Deputy Leader reminded members that numbers were provisional at this stage, pending the external audit.  He then outlined the key messages and moved the report.

 

RESOLVED, that Cabinet:

a)           Note the Revenue Budget at the provisional outturn for monitoring purposes of £394.453m as a result of the transfers from the Inflation and Contingency budget and agreed transfers to and from reserves (set out in Appendix 1).

b)           Note the provisional outturn Revenue Budget year end position of a balanced budget, this is after the drawdown of £1.044m from the Covid-19 reserve.

c)           Note progress in delivering the new savings for 2019/20 of £22.730m; a total of £17.056m (75.0%) of these 2019/20 savings have been delivered by 31st March 2020.

d)           Note the General Fund balance at 31st March 2020 of £15.056m after mitigations.  This is consistent with the level of General Fund Balance at 31st March 2019.

e)           Approve the addition of £1.103m to the Capital Programme 2019/20, as detailed in paras 38 - 40, funded from specific grants and contributions.

f)            Approve the virements of £0.190m to the Capital Programme 2019/20 as set out in para 41.

g)           Note the provisional outturn for the Capital Programme 2019/20 of £90.891m against a current capital budget of £108.229m (excluding Accountable Bodies) resulting in a variance of £17.338m as set out in Table 8 para 43.

h)           Note Treasury Management activities during 2019/20 have operated within the treasury limits set out in the Council’s Treasury Policy Statement and Treasury Strategy Statement and the Prudential Indicators set by Council in February 2019.

2020/21 Capital and Revenue Budget Monitoring – Update

i)            Approve the addition of £19.502m external funding to existing schemes in the 2020/21-2024/25 Capital Programme as detailed in para 57.

j)            Approve the allocation of £9.625m of Additional Pothole Action Fund to the local committees, as detailed in para 58.

k)           Approve the addition of a £0.150m externally funded new scheme to the 2020/21-2024/25 Capital Programme, as detailed in para 59.

l)            Recommend to Council the reprofiling of £12.136m from the 2020/21 Capital Programme into future years, as detailed in para 56.

m)         Recommend to Council the addition of £3.805m of new schemes to the 2020/21-2024/25 Capital Programme, as detailed in para 60.

 

Supporting documents: