Agenda item

7.1

The Executive Director, Resources submitted a report setting out the Revenue Budget and Capital Programme monitoring month 3 position inviting comment and discussion from the Scrutiny Committee.

7.2

Andy Eckford, Interim Director of Finance, presented the report. He commented that officers had had early sight of the figures for Month 5 and the £11.5m overspend looked to be reduced to around £5m. This was no different to the pattern in 2013/14 and officers were working on getting best estimates sooner. The figures would be much clearer in Month 6.

7.3

In terms of capital, the Bus Rapid Transit North was a major project which had uncovered a number of issues which officers couldn’t have foreseen. There was a forecast underspend in housing as a result of a major project planned for 2014/15 for removing and replacing roofing.

7.4

Members made a number of comments and asked questions and officer’s responded as follows:-

·      The surplus in housing was ring-fenced and would be used in future years for the Housing Investment Programme.

·      The overspend in Learning Disabilities was caused by taking a longer time to move towards budget due to the sensitivities involved.

·      Officers would raise the issue of how useful the Cabinet report was for Scrutiny after it had been approved by Cabinet.

·      The transition to academies was undoubtedly a pressure on the budget. Officers were working on the implications if the Council was unable to financially support academies in the future.

·      Every time a school became an academy the Council lost money. The Council was still responsible for children’s educational outcomes even when they were at academies.

7.5

Members then made further comments as follows:-

·      Members should consider whether in future they Scrutinised the budget itself or the consequences for people as a result of the budget and follow through the implications for people. Consideration should be given to this in the Scrutiny Review Action Plan.

·      The Chair, Councillor Chris Weldon, commented that he had sat on Scrutiny Committee's a number of times where the budget had been presented in this format. Officers would note the comments made by Members. It would be a decision for the Committee how they wanted the information presented and how they wished to Scrutinise the budget.

7.6

RESOLVED: That the report, now submitted, be noted.

(Note. Councillor Sarah Jane Smalley did not support the decision to note the report as she did not believe she had all the information available to her and asked for this to be recorded).