To provide Cabinet with assurance on the robustness of budgetary control and monitoring across the Council, to highlight key financial risks within directorates and identify mitigation to bring the authority within its overall approved budget.

THAT: 

(a)       Cabinet noted the projected overspend of £3.3m for 2013/14, an improvement on the August position of £0.6m, the potential impact on reserves and the 2014/15 budget;

(b)      Cabinet supports the continuing action by Directors to identify further financial savings to mitigate the impact; and

(c)       Directors and financial resources are focussed on identifying savings for the remainder of 2013/14 and future savings for 2014/15 to 2016/17.

The council continues to forecast an overspend for the year, at September approximately £3.3m or 2.2% of its net budget, compared to £3.9m in August. The key pressure relates to Adults Wellbeing; either savings slipping or not being able to be delivered and pressures from the Department of Health.  The projected overspend in Adult Wellbeing has reduced from £4.3m in August to £3.4m, although there are additional net pressures in other Directorates of £0.3m.

The council has a limited level of reserves; to such an extent that any overspend in year would need to be recovered in 2014/15.

There are no alternative options.