Agenda item

The Committee noted a report of the Corporate Director, Resources which provided details of the final outturn for both the General Fund and the Housing Revenue Account for 2013/14 (for copy see file of Minutes).

The Strategic Finance Manager, Corporate Finance informed the Committee that both the balance sheet position and reserves were in a strong position. She added that the cash limit reserves across all service groupings was £22.4m and that the general reserves had increased to £28.9m.

Councillor O Temple referred to the high level of overall reserves and asked if there was a perception of carrying a risk at this level.  The Strategic Finance Manager, Corporate Finance explained that there was always a risk but that with the current climate the authority had been prudent in its approach.  She added that money had been set aside for specific purposes and would be forecast in the Medium Term Financial Plan.

Referring to the Direct Schools Grant, Councillor Temple enquired about the £4m centrally retained element.  The Strategic Finance Manager, Corporate Finance explained that this money was held centrally by local authorities after being delegated back from the schools.  Councillor L Armstrong advised that money goes directly to schools and the Schools Forum decide how much to delegate back to the local authority to provide a number of different services.

Councillor Temple was surprised at the amount of underspend and was informed that the money would be used to alleviate the high pressure on the services during 2015/16.

Resolved:

That the report is noted.