Issue - meetings

To receive and consider the report of the Director of Finance.

1.    To note the 2022/23 provisional outturn for revenue and the level of reserves, based on the position as at 31 March 2023.

2.    To note the virements made to and from the revenue budget during the period, as detailed in Appendix 2 of the report.

Councillor Peter Wilson, Executive Member for Resources presented the report of the Director of Finance which sets out the revenue and reserves provisional outturn for 2022/23 for the Council, based on the position as at 31 March 2023.

In summary, the provisional outturn would have been an underspend of £0.728m however as previously reported, the £0.597m unfunded cost pressure in respect of the 22/23 pay award, i.e. the cost over and above the 2% budgeted pay award, has resulted in a provisional underspend of £0.131m. The Council’s Medium-Term Financial Strategy recommends that General Reserves are maintained at a minimum of £4.0m to mitigate against any unforeseen financial risks that may present in the future. Based on the above and the amalgamation of reserves, the level of general fund balance is £4.271m at 31st March 2023.

Members discussed staffing costs and were provided with an update on current vacancies and the impact of not filling those vacancies. It was recognised that the staffing overspend was based on the above anticipated pay increase and a national shortage in certain professions which has led to the increased appointment of agency staff over the last year. Members noted the increased cost of agency staff but also recognised the need for this, particularly in regards to ensuring the progression of the Local Plan. Although the use of agency staff was likely to continue the council was moving in the right direction and would continue to try and recruit but also consider other options if required. 

Decision:

1.    To note the 2022/23 provisional outturn for revenue and the level of reserves, based on the position as at 31 March 2023.

2.    To note the virements made to and from the revenue budget during the period, as detailed in Appendix 2 of the report.

Reasons for recommendations:

To ensure the Council’s budgetary targets are achieved.

Other options considered and rejected:

None.