Purpose

To consider the budget management report for the
2nd quarter of the 2024/25 financial year to the end of
September 2024.

Decision

Cabinet
approved the following:
 
1. 
General
Fund (Revenue) – A balanced outturn on an approved budget
of £160.202m. This includes the £11.4m of mitigations
identified during Quarter 1 that is now being proactively managed
within services.  Further action has
been identified to contain pressures that have arisen during Q2
including the curtailment of a number of projects. The 24/25 Pay
award has been settled within the £2.6m set aside for this
and the balance of £1.228m has been used to offset
pressures.
2. 
Virements
in accordance with the council’s constitution and includes
mitigations agreed in Quarter 1 that require Cabinet approval. The
values shown are the net impact on departments forecast allowing
for offsetting underspends. These are funded through the Recovery
Actions agreed at Q1, other underspends and further actions
proposed for the second half of 2024/25.
 
3. 
In addition
to the virements in the table below, there are a further 2
virements required, as follows:
 
· 
A
£250k saving on Fees and Charges across all directorates is
held in contingency, and should be distributed; and
· 
A
£2.660m figure held in contingency in respect of the pay
award needs distributing, noting this is offset by the saving on
the pay award in the table below.
 

Cabinet
Virements to approve (Revenue)

£m
 

Temporary
or Permanent

 

Operational
Matters

 

 

 

Supporting vulnerable young
people through investment in EHCP processing, Educational
Psychologist and Home to School Transport

1.353

Temporary (addressed in
MTFS)

 

Supporting increasing number
of vulnerable adults

3.603

Temporary (addressed in
MTFS)

 

Temporary
Accommodation

4.401

Temporary (addressed in
MTFS)

 

Procured additional external
resources to fund the balance sheet review and interims to deliver
the backlog accounts

0.600

Temporary

 

Other Recovery Actions from
Q1

-2.963

Temporary

Reduction in Slough Children
First contract costs

-2.166

Temporary

Reduction in Non-Departmental
Cost and Balance Sheet contributions

-3.735

Temporary

Reduction in assumed use of
2024/25 Pay Award (including SCF)

-1.228

Permanent

Removal of historic saving in
respect of the integration of support services

0.235

Permanent

Deferral of purchase of
Library Stock

-0.100

Temporary

TOTAL

0.000

 

 
4. 
General Fund (GF) (Capital) – The revised capital
budget is £35.428m with a projected outturn of £25.294m
resulting in underspend of £10.134m. This compares to a
£1.868m forecast underspend in Quarter 1.
 
5. 
Approve the
following virement which require Cabinet approval in accordance
with the council’s constitution. 
 

Cabinet
Virements to approve (Capital)

£m

Arbour Vale capital works
– Release unused contingency from the car park budget and
increase the classroom budget

0.500

 
6. 
Housing Revenue Account (HRA Revenue)
– An
underspend of £3.478m is forecast, in line with budget. This
compares to a £3.734m forecast underspend in Quarter
1. 
 
7. 
Housing Revenue Account (HRA Capital)
– The
revised capital budget is £25.003m with a projected outturn
of £19.641m resulting in an underspend of £5.362m. This
compares to a £8.062m forecast underspend in Quarter
1.
 
8. 
Dedicated Schools Grant (DSG) – There is an overspend
of £0.254m in the Schools Block due to higher than
anticipated costs for growth in 2024/25. Further details are set
out in para. 8 of this report including the risks This compares to
a forecast overspend of £0.155m in Quarter 1.
 
9. 
Council Tax and Business Rates collection
– As
at the 30 September, actual Council Tax collected was 54.26%
(target 55.50%) and actual Business Rate collected was 57.41%
(target 56.60%).
 
10.Sundry Debt – Total
outstanding sundry debt including adult social care debt as at the
30 September 2024 was £9.743m. Based on the age profile of
the debt, £5.914m is the calculated bad debt provision
(61%).

 
11. 
Financial Resilience – The Council is committed to
improving financial resilience, moving towards financial
sustainability and improvement in governance and process as laid
out in the Directions issued by Government and a capitalisation
direction for exceptional finance support in 2024/25.
 
12. 
Once the
Council has concluded the outstanding financial accounts, a formal
financial resilience statement will be prepared.