To consider the financial position for both revenue and capital budgets to 31 July 2013, including the treasury management position. 

The Cabinet Member Corporate Strategy and Finance presented the budget monitoring report, which gave the financial position for revenue and capital budgets to 31 July 2013, and also included a treasury management report.  He drew members’ attention to the projected £4.22m overspend which, due to the cautious approach to savings delivery, had not included savings which were still subject to a Cabinet or Cabinet Member decision.  Once those decisions were signed off, the projected overspend would be reduced to approximately £2.8m.  He reported that a series of cross-party meetings had been scheduled on October, to discuss ways of further reducing the overspend by the end of the financial year. 

In response to a question, the Cabinet Member Corporate Strategy and Finance confirmed that he was happy to provide further information after the meeting, on the budgetary changes that had been made to enhance economies and reduce costs, with a view to further reducing the overspend.  In addition, Members asked various questions in relation to the following:

• The drop of £13.9m in income for Adult Social Care (the table on P 9 of the agenda) and what it relates to;
• Clarification on salary and recruiting (Para 11, P 10);
• The issues outlined in Paras 15 and 16, in respect of the Adult Social Care budget (P 11);
• The contractual savings referred to in Para 20, P 11);
• Further detail was required in relation to points A1-A3 (P 14);
• Further information was requested in relation of off-book borrowing (for Example, connected to Private Finance Initiatives) and the associated risks;
• Whether there would be sufficient contingency in future years for any
• potential spikes in the number of child protection cases, as per the trend in other areas of the country. 

The Cabinet Member Corporate Strategy and Finance asked members to put their questions in writing after the meeting, and gave an assurance that they would be answered fully. 

RESOLVED:   that

(a)  the projected outturn for 2013/14 and the potential impact of levels of reserves unless the overall revenue position is balanced at year end, be noted; and

(b)   the continuing action to deliver financial savings, be supported.