Issue - meetings

Councillor Russell Holland, the Deputy Leader of the Council and Cabinet Member for Commercialisation, Education and Skills along with the Corporate Director of Finance and Assets submitted a joint report providing Cabinet with the 2020/21 revenue budget forecast out-turn. Councillor Holland reminded Cabinet that while the gap had reduced slightly for 2020/21, there was still uncertainty about future financial years and the Council would still have to make some difficult decisions.

Councillor Jim Grant asked a number of questions to which the Leader, Councillor Holland and the Corporate Director of Finance and Assets responded at the meeting covering:

·        Had the Secretary of State responded to the letter the Leader had sent subsequent to July’s Council Resolution (Council Minute 24, 2020/21)? The Leader had not received a reply.

·        Was the government’s funding in-line with the projected income shortfall and how would the finances be affected by a second wave? The shortfall projections had been accurate so far but the process was to claim lost income a quarter in arrears. There would be additional loss of income and increased spending for the Council to manage as well as seeking additional support from government.

·        Would there still be a draft Council budget in December 2020? That was the intention, as well as awaiting the outcome of the government’s comprehensive spending review.

Resolved: (1) That the 2020/21 revenue budget forecast out-turn for each service area set out in Table 1 and Appendix 1 to the main report be noted;

(2) That it be noted that the Corporate Management Team will continue to mitigate the current forecast overspend;

(3) That the update on the financial outlook for future years be noted;

(4) That the virements set out in Appendix 2 to the main report be noted; and

(5) That the allocation of section 106 funding as set out in paragraph 3.16 be approved.

The reasons for the decision and alternative options are as set out in the report to the meeting.