Purpose

• To report on the delivery of the Council Strategy during Quarter 4 2025/26, including the current performance and risk position
• To consider the Council's revenue outturn expenditure for 2025/26, agree recommendations for reserve transfers.
• Approve additions and funding changes to the Capital Programme, and note the 2025/26 final capital outturn

Decision

Cllr Colin Hay reported on the delivery of the Council Strategy during Quarter 4 2025/26, including the current performance and risk position. Cabinet was asked to consider the Council's revenue outturn expenditure for 2025/26, agree recommendations for reserve transfers; and approve additions and funding changes to the Capital Programme, noting the 2025/26 final capital outturn.

Having considered all of the information, Cabinet noted the report and

RESOLVED to:

1. Note this report of the delivery of the Council Strategy action plan and the    current performance and risk position. To do this, the following are provided:
   
   

·       Financial Overview

·       Overview of Performance

·       Delivery of Council Strategy

·       Performance Scorecard

·       Risk Scorecard

1. Note the 2025/26 revenue budget underspend of £7.642 million.
2. Approves the transfer of £7.642 million to the following reserves:
   
   

a)    £1.070 million to the Local Government Reorganisation Reserve, to achieve a balance of £11.7 million which has previously been identified as GCC’s minimum share of transition costs.

b)    The balance of the underspend, £6.572 million, is transferred to the Risk and Opportunities Reserve, to be held pending further Cabinet review of any emerging risks or opportunities in the current financial year. The Council’s most significant financial risk is the potential requirement to fund a 10% contribution to the residual Dedicated Schools Grant deficit following the end of the statutory override in April 2028. The County Council’s position remains that Central Government should fund DSG deficits in full.

1. Approve other technical reserve movements for 2025/26 as set out in Annex 2.
   
   
2. Note in section B the delivery of £25.656 million of savings against a target of £26.434 million in 2025/26 (97% achievement); and notes the revised 2026/27 savings target as per paragraph 43.
   
   
3. Approve the changes to capital programme of transfers (virements) and funding increases, as detailed in paragraph 86.
   
   
4. Note in section G the capital outturn position for 2025/26 of £142.327 million against a revised budget of £150.568 million, giving an in-year slippage of £8.241 million.
   
   
5. Note in section H the Council’s performance against the Prudential Indicators for 2025/26.