Agenda item

The scrutiny committee received the report of the Head of Finance, stating that the report requested an update to the budget. 

            The Head of Finance advised the committee that there was now an overspend of £43,000 for utilities.  There were also additional costs in relation to reduced income from:

·        Building Control, £61,000 decrease due to reduced applications and lower demand for inspections.

·        Land charges, £50,000 from lower than expected searches.

·        Rental income.

            The Head of Finance advised that Fees and Charges would need to be an area of focus in the coming year. 

            The Head of Finance also forecast a variance of £150,000 due to the increased cost of borrowing. 

            In response to a question about the contraction in the economy affecting council tax and the budget, the Head of Finance reassured the committee that the budget planning had been very prudent.

            There was a question concerning the bulk pre-purchase of gas and electricity and a lower cost and whether this meant that the council had also purchased at a higher price and this would feed through in the future.  The Head of Finance explained that she was aware of this possibility and would need to check the position.  This would be updated no later than the next report in March. 

            RESOLVED –

            that the update to the Financial Monitoring report 2022-23 (Period 8) and both the revenue and capital forecasts for 2022-23 be noted.

            The Chair thanked all those present at the meeting, but asked for his special thanks to the Head of Finance to be noted.