The Committee considered a joint report of the Corporate Director of Resources and Corporate Director of Regeneration, Economy and Growth which provided details of the forecast outturn position for quarter 2 revenue and capital for Regeneration, Economy and Growth (REG) as at 30 September 2022 (for copy see file of Minutes).
The Finance Manager Resources & Regeneration explained that the service were forecasting an overspend of £0.621 million, against a revised budget of £57.802 million, which was a reported improvement on Quarter 1. He further provided details of the level of additional funding from central contingencies which would be required to be drawn upon to support budget shortfalls as a result of post covid pressures and lost income.
The report further detailed budget adjustments required to original service budgets, noting some of the more significant adjustments such as that made in respect of the Pay Award for 21/22, which had been higher than forecast. In addition, he referenced the overspend in Planning and Housing of £0.557 million, mainly relating to Housing Solutions and the additional expenditure incurred as a result of temporary accommodation charges following the government initiative to protect and vaccinate all rough sleepers during the pandemic. He confirmed that the service is continuing to look at the ongoing impact of this budget pressure.
He then went on to advise that despite the service not being able to maintain spending within its cash limit, the overall Regeneration Cash Limit Reserve remained in a healthy position.
That the content of the report be noted.