Purpose

The purpose of this report is to provide an analysis and commentary on the forecast financial position of the organisation at the end of 2026-27, based on the information known at Quarter 1, including:

• revenue and capital financial performance; and
• explanations for variations and any mitigating actions and an assessment of any impacts on service delivery.

Decision

Resolved

That Cabinet

1)    notes the forecast net service overspend of £10.043m (+1.4% of approved budget) that would need to be funded from reserves at the end of 2026-27;

2)    notes the forecast delivery of savings for 2026-27 of £23.733m (86.05%) and the consequent shortfall against the target;

3)    notes the forecast controllable capital spend in 2026-27 is £192.289m;

4)    notes and approves the total movement in the forecast spend on the capital programme of £65.971m from 2026-27 into future years; and

5)    notes the risks and impact on savings implementation arising from Local Government Reorganisation, as set out in section 11 of this report.