To report the forecast outturn position for the year as at 31 March 2021 based upon actual spending and income to 30 June 2020 and to note the financial impact of the coronavirus pandemic as shown in paragraph 5 of the report.

With reference to Minute 23 of the Executive (11^th August 2020) consideration was given to the forecast outturn position for the year as at 31 March 2020 based upon actual spending and income to 30 June 2020.

The financial impact of the Coronavirus pandemic as detailed in paragraph 5 of the report was noted and that in view of these exceptional times the revenue monitoring position is uncertain.

RESOLVED

(1)  That approval be given for the latest revised net budget of £15.695m as shown in table 1 of the report; and

(2)  That approval be given for the net transfers to earmarked reserves of £1.703m as shown in appendix 2 as attached to the report.

To consider the forecast outturn position of the year as at 31^st March 2021 based upon actual spending and income to 30^th June 2020.

Members are asked to note the financial impact of the coronavirus pandemic at paragraph 5 of the report.  In view of these exceptional times the revenue monitoring position is uncertain.

This report was considered by the Executive at its meeting on 11^th August and was recommended to Full Council.

Howard Hamilton-Smith presented a report to the Committee that had previously been presented to a meeting of the Executive on 11^th August 2020.

The report to the Executive had been to:

a)    Report to the Executive the forecast outturnposition for the year as at 31^st March 20201 based upon actual spending and income to 30^th June 2020; and

b)    To request that the Executive note the financial impact of the Coronavirus pandemic as detailed in paragraph 5 of the report.

The report had also advised the Executive that in view of the current exceptional times, the revenue monitoring position was uncertain.

The Executive had been requested to:

a)    Note the projected revenue budget forecast position of a net overspend of £2.7m, as summarised in table1 and detailed in Appendix 1; and

b)    Note that Officers were continuing to work on several options to mitigate the potential financial impact and bring forward options for decision as appropriate; and

c)    Note that the Council, along with other District Council`s and industry groups continue to lobby Central Government for additional funding; and

d)    Note that further income compensation is to be received.  Where these income losses are more than 5% of a Council`s planned income from sales, fees and charges, the government will cover them for 75p in every pound lost. Full details of this were outlined in paragraph 11 of the report.

It was reported that the Executive had also been recommended to seek approval from Full Council for:

The latest revised net budget of £15.693m (as shown in Table 1); and

The net transfers to earmarked reserves of £1.703m (as shown in Appendix 2).

Grounds for the above recommendations which were approved by the Executive were outlined within the report.

The Committee was advised that since publication of the report, further guidance had been received in relation to the central government support scheme and the Council would be able to claim £1.1m through the scheme which would reduce the net over spend to £1.6m.  Included within the £1.6m overspend was a £1.2m predicted deficit relating to business rates and council tax. 

The Committee was also advised that the government had recently announced that the deficits could be received over the following three financial years which would effectively reduce the underspend for 2021, to be funded this year to £0.4m which would be required to be met from reserves.

Councillor Tony Martin expressed concerns that the Council may become insolvent due to insufficient funds to cover reserves and incur unsustainable debts.

Haword Hmilton-Smith advised that the government had recently announced that a further £1 billion for Local Authorities would be made available and that details would be reported to future meeting and the situation would continue to be monitored throughout the year. 

Howard also reminded that assurance had also been received from the government for authorities placed in Tier 3 restriction; that it would ensure that there would be no budget deficit in the current financial year and  ...  view the full minutes text for item 30

To consider the forecast outturn position of the year as at 31^st March 2021 based upon actual spending and income to 30^th June 2020.

Members are asked to note the financial impact of the Coronavirus pandemic at paragraph 5 of the report.  In view of these exceptional times the revenue monitoring position is uncertain.

This report was considered by the Executive at its meeting on 11^th August and recommended to Full Council on 30^th September.

1.    To report the forecast outturnposition for the year as at 31 March 2021 based upon actual spending and income to 30 June 2020; and

2.    Members are asked to note the financial impact of the Coronavirus pandemic as can be seen in paragraph 5.  In view of these exceptional times the revenue monitoring position is uncertain.

Purpose

1.    To report the forecast outturnposition for the year as at 31 March 2020 based upon actual spending and income to 30 June 2020; and

2.    The Executive is requested to note the financial impact of the Coronavirus pandemic as detailed in paragraph 5 of the report and that in view of these exceptional times, the revenue monitoring position is uncertain.

Reason for Decision

To give consideration to the level of revenue spending and income 2020/21 as part of the effective governance of the Council and to ensure that appropriate management actions is taken to ensure a balanced financial position.

Decision

That the Executive:

1.    Note the projected recenue budget forecast position of a net overspend of £2.7m, as summaried in table 1 and detailed in Appendix 1; and

2.    Note that Officers are continuing to work on a number of options to mitigate the potential financial impact and bring forward options for decision as appropriate;

3.    Note that the Council, along with other District Councils and industry groups continue to lobby Central Government for additional funding; and

4.    Note that further income compensation is to be received.  Where these income losses are more than 5% of a Council`s planned income from sales, fees and charges, the Government will cover them for 75 in every pound last (as detailed in paragraph 11 of the report).

5.    Seek approval from Full Council for the latest revised net budget of £15.693m as shown in Table 1 of the report; and

6.    Seek approval from Full Council for the net transfers to earmarked reserves of £1.703m as shown in appendix 2 as attached to the report.

7.