Issue - meetings
Money Matters 2018/19 Position - Quarter 3
Meeting: 07/02/2019 - Cabinet (Item 4)
- Appendix A, item 4 PDF 478 KB View as DOCX (4/2) 728 KB
- Appendix B, item 4 PDF 509 KB View as DOCX (4/3) 752 KB
- Appendix C, item 4 PDF 437 KB View as DOCX (4/4) 711 KB
- Appendix D, item 4 PDF 370 KB View as DOCX (4/5) 705 KB
- Webcast for Money Matters 2018/19 Position - Quarter 3
Cabinet received an update on the county council's 2018/19 revenue financial position as at the end of December 2018 and an updated Medium Term Financial Strategy (MTFS) covering the period 2019/20 to 2022/23. The MTFS reflected the final financial settlement for 2019/20 announced on 29 January 2019 and also included around £77m of savings proposals and management actions, identified through the service challenge process and aimed at delivering better and sustainable services at a lower cost that were agreed at Cabinet in December.
In particular it was noted that:
i. The 2018/19 revenue forecast outturn was £756.178m, representing a projected underspend of £8.462m (1.11%) of the agreed budget.
ii. The MTFS had been updated and revised slightly upwards and now indicated a financial deficit of £47.209m in 2022/23.
iii. The Council was forecast to hold a General Reserve against unforeseen issues of £23.437m representing c3% of net budget.
iv. The Council was forecast to hold £138.640m of uncommitted transitional reserve which would be sufficient to meet the deficit in 2019/20.
In presenting the savings proposals, it was confirmed that, following discussions with the Leader and Chief Executive of Pendle Borough Council, the county council was satisfied that on-street parking charges would not be required at the present time in the Pendle area.
i. the current forecast underspend of £8.462m on the revenue budget in
2018/19 be noted.
ii. the increased funding gap of £47.209m covering the period 2019/20 to 2022/23 as set out in the revised financial outlook forecast for the Council be noted.
iii. the budget adjustments for 2019/20, and following years' changes, included in the revised MTFS, be approved.
iv. the contents of the county council's reserves position be noted and the transfers between reserves contained within the report be approved.
v. Full Council on 14 February 2019 be recommended to approve a Band D Council Tax for 2019/20 reflecting a 3.99% increase including 1% to be used for social care as per the new flexibilities.
vi. the in-year agreed capital programme is £120.903m with a forecast spend of £131.030m and therefore a delivery variance of £10.127m due to earlier than planned delivery of the multi-year programme, be noted.
vii. a 2019/20 capital delivery programme estimated at £130.289m as presented within the body of the report be approved.
viii. additional prudential borrowing of £34.924m for 2019/20 as identified within the Capital Programme report be approved.
ix. the advice of the Chief Executive and Director of Resources in relation to the robustness of the budget and the adequacy of reserves be noted.