Agenda item

            The Cabinet Member for Finance and the Board Director, Finance, Revenues, Benefits and Property submitted a joint report concerning (a) the current forecast outturn position of the Council's Revenue Budget as at the end of August 2012, (b) the proposed move of the Integrated Community Equipment Store, (c) proposed Budget Virements, (d) the current financial position of the Housing Revenue Account and the Dedicated Schools Grant, (e) a response to a Motion at Council concerning possible financial support to first time buyers, (f) arrangements for bringing empty properties into use,

(g) the transfer of Private Finance Initiative Schools to Academy status, (h) proposals for the 2013/14 Budget, and (i) proposed changes to fees and charges for Leisure services from 1^st January 2013.

            Councillor Mark Edwards, Cabinet Member for Finance, highlighted the contents of the report and the projected outturn of the Council’s Budget. He referred to the actions being taken to manage spending and the demand pressures that the Council continued to face. Whilst he remained confident that a balanced Budget would be achieved at year-end as a result of the actions now being taken, he did not underestimate the difficulties the Council would face in both setting and achieving its Budget for 2013/14.  He referred to the uncertainties around Government funding that made it extremely difficult to predict the financial position that the Council would find itself in over the next few years. He congratulated the Council’s officers on their hard work and actions that they were undertaking now to equip the Council to be best placed to respond to the challenges it would face over future financial years.

            Councillor Edwards commented on the various schemes available to support first time buyers in the housing market and in particular drew attention to the NewBuy Guarantee Scheme. He explained how the Council would continue to monitor the success and costs of this and similar schemes as delivered by other authorities. The Council would then be in a position to identify if this solution best met Swindon’s need and to make an appropriate provision in its Budget as part of the Budget Planning process.

            Resolved – (1) That the projected out-turn position of the Council's Revenue Budget for 2012/13, as set out in Table 1 and Appendices 1 and 2 of the joint report, be noted.

            (2) That capital funding of up to £165,000 be made available to SEQOL to support the move of the Integrated Community Equipment Store from Waterside to Enterprise Works, in order to help SEQOL secure a more sustainable on-going financial position, and this be funded from available Capital grants for Social Care.

            (3) That the Revenue Budget virements, as set out in Appendix 3 to the joint report, be approved.

            (4) That the position in relation to the Housing Revenue Account (HRA) and Dedicated Schools Grant (DSG) be noted.

            (5) That the balance of Private Finance Initiative (PFI) School Academy conversion costs be met from within the PFI Equalisation Reserve after contributions from the schools’ existing budgets, and the White Horse Federation.

            (6) That, further to the decision in (5) above and noting the contents of Appendix 4 to the joint report, the Board Director, Commissioning (DASS/DCS) be authorised to negotiate and conclude agreement with the appropriate parties in respect of all necessary and ancillary documentation to be completed for a Swindon Private Finance Initiative (PFI) School to convert to an Academy, on such terms as may be approved by the Director of Law and Democratic Services in order to protect the Council’s interests.

            (7) That the Chief Executive, and relevant Board Directors and Directors, be authorised to progress in-year savings in connection with the Council’s 2013/14 Budget, that do not impact front-line services, and to implement these as soon as possible to create cash flow capacity, including incurring severance expenditure for staff leaving the Council’s employment.

            (8) That approval be given to the proposed changes to Recreation (Leisure) fees and charges from 1^st January 2013, noting that a further change in pricing will also be effected part-way through 2013 following a review of the overall pricing strategy.

            (9) That the update provided on the options available to support first time buyers entering the housing market be noted and the Government’s NewBuy Guarantee Scheme be endorsed as the most appropriate response to the Council motion of July 2011 (Minute 25, 2011/12 of the Council).

            (10) That the Council be requested to note the contents of sections 9 and 10 of the joint report in response to the Motion to Council on 21^st July 2011 regarding “Financial Support to First Time Buyers” (Minute 25, 2011/12 of the Council).

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