Agenda item

To consider a report on the 2023-24 Performance and Financial Management Report to 30 September 2023.

Cabinet received a report which provided a full overview of both the service delivery performance and budget position across the Authority as at 30 September 2023.  For performance, it sets out the key areas of service delivery, including where this impacted in budget terms.  In terms of the budget, it sets out the forecast outturn position to 31 March 2024 for both revenue and capital. 

The report detailed the current position in relation to schools finance, the Authority’s Investment Plan, developers’ contributions and treasury management.  It also provided details of additional revenue and capital grants received up until 30 September 2023.

In terms of performance, it was reported that service delivery overall across the Authority remained strong.  The Authority continued to manage high levels of demand in a number of areas including Education, Health and Care Needs Plans, children in care, children in need, home care provision, residential and nursing care placements all of which had financial implications.  Key areas of strength were delivery of the Our North Tyneside Plan 2021-2025 priorities such as the affordable homes programme and carbon net zero.  The Ambition for North Tyneside Programme was progressing well with regeneration projects across the four areas of the borough.  Capital investment continued to deliver planned improvement works helping maintain council homes at the decent homes standard.  Council Tax and Business Rates collection also remained on track.  

Since the last report, the number of children in care had increased from 376 in July to 385 in September, which was an additional 55 children in care compared to budgeted levels. The number of children in need had decreased from 1,664 in July to 1,617 in September, closing the gap on the 1,600 budgeted for.   The result of the additional children in care compared to July combined with the current mix of placements had driven a £1.372m worsening of the Children’s Services position, to a total forecasted pressure of £7.846m.

The budget’s overall projection for 2023/24 was that the General Fund would outturn with a pressure of £9.648m, which was an improvement of £1.662m from the previous report, and the Housing Revenue Account would have a forecast underspend of £0.070m.

The report set out the programme of work which was in place to manage and mitigate the 2023/24 budget pressures and form part of the 2024-2028 Medium Term Financial Plan (MTFP).

Cabinet considered the following decision options: to either approve the recommendations as set out in section 1.2 of the report, or alternatively, to not approve the recommendations.

Resolved that (1) the update provided on the Performance of the Authority including updated data on the key pressures facing the Authority and progress against the Our North Tyneside Plan 2021-2025, be noted;

(2) the forecast budget monitoring position for the General Fund, Housing Revenue Account (HRA), schools finance and Treasury Management together with the service delivery performance position across the Authority as at 30 September 2023 (sections 1.5.1, 1.5.2, 1.5.3 and 1.5.5 of the report), be noted;

(3) the Authority’s Investment Plan spend of £34.634m to 30 September 2023 and the proposed financing of the Plan to the end of the year (section 1.5.4 of the report), be noted;

(4) the variations of £0.971m within the 2023-2028 Investment Plan (section 1.5.4 of the report), be approved; and the current position with Developers’ Contributions (section 1.5.6 of the report), be noted; and

(5) the receipt of £3.685m new revenue grants (as outlined in section 1.5.7 of the report), £0.152m of new capital grants and £0.201m of Section 106 Developer contributions to be applied in 2023/24 (as outlined in section 1.5.8 of the report), be approved.

(Reason for decision: It is important that Cabinet continues to monitor  

performance against the Budget, especially given the current level of

financial pressures faced by the public sector.)