Purpose

This report provides the
2025/26 budget monitor for General Fund revenue and capital
forecasts against budget, as well as the Housing Revenue Account
(HRA) to the 30th September 2025. The current forecast is a
significant General Fund overspend of £2.907 million, driven
by a combination of systemic, demand-led pressures (particularly in
Homelessness and Housing Benefits) and a number of significant
one-off costs.

Decision

Cabinet agreed the following:
 
1. 
To formally endorse the following financial actions:
 
(i) 
The immediate in-year expenditure control measures being
implemented by the Corporate Management Team for the remainder of
2025/26, as detailed in Section 6;
 
(ii) 
The core strategic approach for the 2026/27 budget focussed on
funding the identified systemic pressures and re-basing budgets, as
detailed in Section 8;
 
2. 
To the capital programme budget adjustments, numbered (i) to (iii),
as set out in section 9.5 and Annex 1 to the report.

Reasons for the decision

The report provides Cabinet with a view on the
2025/26 forecast outturn for General Fund revenue and capital, as
well as the Housing Revenue Account. The decisions are required to
approve necessary budget adjustments to the Capital Programme and
to recommend approvals to Council where appropriate to ensure
finances continue to be sound and the Council meets its duty to
monitor spending.

Alternative options considered

Cabinet considered not approving the budget
variations or adjustments. This was rejected because insufficient
budget would be available for the proposed usage detailed in the
report. Consequently, those schemes and initiatives would either
need to be aborted or officers would need to return to Cabinet with
alternative recommendations at a later date.