Agenda item

[NOTE: Councillor A. Evans having declared an interest in this item remained in the meeting for its consideration and voting thereof.]

The Committee considered the Authority’s Corporate Budget Monitoring Report and the Chief Executive’s and Corporate Services departmental reports, which provided an update on the latest budgetary position as at 31^st December, 2023 in respect of the 2023/24 financial year.

The report also included an appendix which detailed the Savings Monitoring report as at 31 December 2023.

Overall, the monitoring report forecast an overspend for the year at departmental level of £10,183k, with a forecast overspend on the Authority’s net revenue budget of £4,782k.

Amongst the issues and queries raised on the report were the following:

·   A query was raised regarding the progress made in respect of office downsizing and the relocation of staff, and the consequential impact on the Authority’s efficiency savings.  The Assistant Chief Executive appraised Committee of the Authority’s hybrid working arrangements which enabled the Council to divest buildings in accordance with its asset management strategy and Welsh Government expectations. Concerns were conveyed to Officers in respect of the effect of home working on staff wellbeing and the importance of staff interaction within an office environment for new members of staff.  In this regard, the Assistant Chief Executive provided an assurance that the hybrid working policy was closely monitored, with the wellbeing of staff being a key consideration.

·   Concerns were raised by the Committee in respect of the adverse impact of the recruitment freeze on the workforce which could lead to increased staff sickness and longer-term cost implications for the Authority.  Officers acknowledged the challenges of the ongoing recruitment freeze; however, it was considered that a pragmatic approach was being undertaken by the Authority to explore different ways of working within a challenging financial climate.  An assurance was provided that the recruitment to business-critical vacancies would continue, and, in this regard, managers were required to provide feedback on any additional pressures faced by departments for consideration by the Corporate Management Team.  It was also highlighted that in accordance with the Authority’s duty of care, robust policies were in place in terms of absence management, workforce planning and staff wellbeing.

·   In response to concerns raised regarding the disposal of assets, the Head of Regeneration, Policy and Digital duly appraised Committee of the Authority’s Asset Management Strategy and emphasised the need to balance capital receipts with income generation.

·   In considering the capital programme, a query was raised regarding the Authority’s ability to deliver its projects and schemes given the slippage detailed within the report.  The Head of Financial Services clarified that the budget construction for the capital programme required funding to be in place for capital expenditure; the nature of which required all Local Authorities take a prudent approach which inevitably resulted in an element of slippage between financial years. An assurance was provided that inflationary measures had been accounted for within the budget where appropriate. 

·   In response to a query regarding the Shared Prosperity Fund (SPF) programme, the Head of Regeneration, Policy and Digital appraised Committee of the Authority’s current position and confirmed that the funding had been allocated to individual projects who were required to deliver the schemes by 31 December 2023.  An assurance was provided to the Committee that robust monitoring arrangements were in place, and it was expected that the projects would be delivered within timescales.

·   It was queried whether there was scope for the Committee to receive current, up to date financial reports going forward to enable effective monitoring and the identification of solutions.  The Leader, in acknowledging the historical nature of the reports, commented that the Committee could review the available data in terms of specific trends in over-expenditure or under-expenditure to identify areas for further consideration by the Committee.  Furthermore, the Head of Financial Services clarified that the key issues in terms of emerging pressures remained constant and therefore it was considered that the reports provided an opportunity for the Committee to undertake its key role in holding the Cabinet and Council departments to account. The Head of Financial Services duly explained the budget report timescales to the Committee which was aligned with the democratic process.

UNANIMOUSLY RESOLVED that the report be received.