Agenda item

Report FSD15034

The Committee considered the provisional outturn for 2014/15 at portfolio level and Council-wide, as well as the implications for the Council’s financial position in 2015/16. There was an overall net nil movement in balances consisting of net variations on Cr£2.4m on services, Dr£4.9m on central items and carry forwards, prior year adjustments of Cr3.8m, carry forwards from 2013/14 of Dr£1.6m and general grants of Cr£0.3m. The Director of Finance emphasised that the Council had to consider both stewardship and sustainability, with a longer term financial planning approach as austerity continued, and not deferring savings and investing to achieve returns that would provide ongoing support for key services was a more sustainable approach.

Councillor Angela Wilkins expressed surprise at the proposals to transfer over £10m into the Investment Fund, suggesting that the much larger than expected underspend should be allocated to building homes and protecting services. The Leader responded that much of the underspend was from un-needed contingency and the Council had to deal with future budget projections and the year on year reductions in grant. The Council had to generate additional income, take savings early and invest in the fabric of the borough to reduce costs. The Leader stated that it was important that tight gatekeeping and effective management of budgets should continue.

RESOLVED that

(1) The provisional revenue and capital outturns for the 2014/15 financial year and the earmarked balances on the General Fund as at 31^st March 2015 be noted.

(2) It is noted that a more detailed analysis of the 2014/15 final outturn will be reported for each portfolio to the relevant PDS Committees.

(3) The variations in 2014/15 impacting on the Council’s 2015/16 financial position be noted.

(4) The comments from the Education, Care and Health Services Department, the Director of Regeneration and Transformation and the Director of Environment and Community Services as detailed in appendix 1B to the report be noted.

(5) The carry forwards of £484k relating to repairs and maintenance, approved under delegated powers as detailed in Appendix 5 to the report be noted.

(6) The requests for carry forwards totalling £1,186 (net), as detailed in Appendix 5 to the report, be approved subject to the funding being allocated to the Central Contingency, to be drawn down on the approval of the relevant Portfolio Holder.

(7) A total of £2,248k funding be released from Central Contingency as detailed in paragraph 3.2.1 to the report.

(8) The return to Central Contingency of a total of £578k as set out in paragraph 3.2.2 be noted.

(9) The Prior Year Adjustments totalling £3,754k as detailed in section 3.4 of the report be noted.

(10) Council be recommended to transfer £10,165k to the Investment Fund as detailed in section 4.1 of the report.

(11) Council be recommended to create a Business Rates Risk Reserve of £1,200k as detailed in section 4.2 of the report.

(12) Council be recommended to transfer £1,250k to the Healthy Bromley Fund as detailed in section 4.3 of the report.