Purpose

To report the
forecast position for 2023/24, including explanation and analysis
of the drivers for the material budget variances, and outline
current and planned recovery activity to reduce the forecast
overspend.
To provide
assurance that progress has been made towards delivery of the
agreed revenue budget and service delivery targets, and that the
reasons for major variances are understood and are being addressed
to the cabinet’s satisfaction. The forecast 2023/24 outturn
shows a net overspend of £13.8 million at Quarter 2.

Decision

That Cabinet:
 
a) Review the financial forecast for 2023/24,
as set out in the appendices A-D, and identifies any additional
actions to be considered to achieve future improvements;
 
b) Note the forecast revenue outturn position
at Quarter 2 2023/24 of a £13.8 million overspend, before
management action, and the potential impact of this overspend on
the council’s reserves;
 
c) Note the impact of the 2023/24 forecast
outturn on the 2024/25 budget requirement and the future financial
sustainability of the council;
 
d) Request that Scrutiny Management Board
reviews the budget monitoring position and that relevant Cabinet
Members provide explanation for key variances and actions
identified to address key pressures; and
 
e) Agree the
continuation and strengthening of management actions to reduce the
forecast overspend as identified in this report.