Decision

Salford City Council - Record of Decision (Cabinet)

2026/27 – Revenue Budget Monitoring – Quarter 1

I Paul Dennett, City Mayor, in consultation with Cabinet, in exercise of the powers contained within the City Council Constitution do hereby approve the recommendations to:

•  Note and review the financial position at the end of June 2026 (Quarter 1) and the forecast revenue outturn position of a £6.660m overspend for 2026/27.

•  Approve a virement of £5.8m from Centrally Held budgets to the Adults and Health Partnerships Directorate.

•  Approve acceptance of the retrospective 2026/27 funding allocations of £2.145m for the Best Start Family Hubs and Healthy Babies Programme and £2.094m for the national SEND Reform Programme.

The Reasons are:

The 2026/27 Quarter 1 revenue budget monitoring report provides Cabinet with an update on the Council’s financial position at the end of June 2026, including the forecast revenue outturn position and an update on general balances.

The financial position at the end of Quarter 1 is a £6.660m revenue overspend for 2026/27 inclusive of the planned application of £21.417m from earmarked reserves. The forecast reflects significant service pressures offset by underspends in Centrally Held/Other budgets.

The report seeks approval of a £5.8m virement from Centrally Held budgets to Adults and Health Partnerships and approval to accept the retrospective 2026/27 funding allocations of £2.145m for Best Start Family Hubs and £2.094m for SEND Reform.

The report also highlights ongoing financial risks, including demand-led pressures within social care and housing, the Dedicated Schools Grant High Needs Block overspend, savings delivery and the planned use of reserves.

Options considered and rejected were:

Not applicable.

Assessment of Risk:

Key budgetary control risks are identified within the report, including forecast variances, the realisation of savings proposals, demand-led pressures within Children’s Services, Adult Social Care and Housing, the Dedicated Schools Grant High Needs Block position, and the delivery of actions required to manage the forecast overspend within the approved budget framework.

The source of funding is:

Existing approved 2026/27 revenue budgets and approved use of earmarked reserves

Legal Advice obtained:

Not applicable to this report.

Financial Advice obtained:

Report produced by the Finance Team working with budget managers across all service groups.

Procurement Advice obtained:

Not applicable to this report.

HR Advice obtained:

Not applicable to this report.

Climate Change Advice obtained:

Not applicable to this report.

The following documents have been used to assist the decision process:

•  Council 25 February 2026 – Council Revenue Budget 2026/27.

•  Council 25 February 2026 – Council Medium Term Financial Plan 2026/27 - 2028/29.

•  Service budget monitoring reports to Lead Members and supporting finance working papers.

Contact Officer:

Paul Hutchings

Telephone number:

0161 793 2574

The appropriate scrutiny to call-in the decision is the Overview and Scrutiny Board.

Signed: ___Paul Dennett _____________Dated: 3rd September 2026

City Mayor

For Democratic Services use only

This decision was published on ____3 September 2026._________

This decision will come in force at 4.00 p.m. on 10 September 2026 unless it is called-in in accordance with the Decision Making Process Rules.

2026/27 – Capital Budget Monitoring – Quarter 1

I, Paul Dennett, City Mayor, in consultation with Cabinet, in exercise of the powers contained within the City Council Constitution do hereby approve the recommendations to:

Note and Consider

1. ? The 2026/27 baseline capital programme of £122.976m.
2. The virements to the capital budgets within appendix A.
3. The rephasing of the capital programme of £11.752m to reflect the current 2026/27 forecast of £111.224m.
4. The actual spend to the end of Quarter 1 of £13.173m.

The Reasons are:

The report provides details of progress against the capital programme during Quarter 1 and sets out further amendments required to ensure the programme remains aligned with current project delivery plans and funding requirements.

The 2026/27 Capital Programme requires revision to reflect the final 2025/26 outturn position and the reprofiling of capital expenditure between financial years. The approved programme of £91.211m has increased to £122.976m following the reprofiling of £31.765m of previously approved schemes from 2025/26 into 2026/27.

Quarter 1 monitoring indicates capital expenditure of £13.137m to date and a forecast outturn of £111.224m by 31 March 2027. As a result, £11.752m of expenditure is expected to be rephased into the 2027/28 Capital Programme to align the capital budgets with the latest delivery timelines and expenditure forecasts.

Options considered and rejected were:

Not applicable.

Assessment of Risk:

Key budgetary control risks are identified within the report, including ongoing demand pressures, Dedicated Schools Grant deficits, forecast variances and the delivery of future savings.

The source of funding is:

Not applicable.

Legal Advice obtained:

Not applicable.

Financial Advice obtained:

Report produced by the Finance Team working with budget managers across all service groups.

Procurement Advice obtained:

Not applicable.

HR Advice obtained:

Not applicable.

Climate Change Advice obtained:

Not applicable.

The following documents have been used to assist the decision process:

• Council 25th February 2026 - Salford City Council Budget 2026/27
  
  

Contact Officer:       Paul Hutchings                 

Telephone number:  0161 793 2574

The appropriate scrutiny to call-in the decision is the Overview and Scrutiny Board.

Signed:    Paul Dennett               Dated: 3rd September 2026

                    City Mayor

For Democratic Services use only

This decision was published on 3 September 2026.                                            

This decision will come in force at 4.00 p.m. on 10 September 2026 unless it is called-in in accordance with the Decision Making Process Rules.