To note a report from the Executive Member for Finance, Change, and Governance.

The Executive Member for Finance, Chang and Governance presented the Budget Monitoring 2023-24 Period 6 (April 2023 to September 2023) report which informed Members of the 2023-24 projected outturn figures relating to both Revenue and Capital budgets. It also summarises the projected outturn position for Council Tax and Business Rates. The report is divided into the following three parts –

               I.         Part 1 – Provides at “At a Glance” high level summary of the key        aspects of the budget monitoring position.

             II.         Part 2 – An Executive Narrative of the Projected Outturn and Outlook.

            III.         Part 3 – A list of annexes containing specific detail on the individual directorate positions, capital programme, savings programme, schools’ budgets and Trafford’s share of Council Tax.

The Executive Member for Finance, Change and Governance thanked the officers for the presentation of the report in an easier to digest format. Members were asked to note some positive movements in the estimated outturn since Period 4. Notwithstanding those positives it is important to recognise the scale of challenges that Trafford Council faces. The report outlines those areas such as Childrens Improvements around placements but still work to be done. Home to School Transport and Dedicated Schools Grant all of which are continually monitored.

The Executive Member made particular reference to paragraph 2.7 at page 20 of the report as follows –

·       The scale of the challenge faced means that the Council must continue to, identify significant permanent savings, lobby the Government to address the unfairness of the funding formula and maintain prudent financial management.

Members were reminded of the disappointment at the lack of anything for local government in the autumn Statement and we don’t know what awaits the Council in the December Statement.

The Leader noted the positive movements compared to Period 4 but highlighted the £0.5 million overspend and added that there must be focus on brining this into balance. He drew attention to the fact that Local Government Social Care were not mentioned as part of the Autumn Statement last week and he notes that Leaders from several Councils across the Country are concerned about support not being forthcoming so far from Central Government.

In response to a query about the lower than expected revenue from planning application fees, the Corporate Director for Place informed Members that this is because of a reduction in planning applications being a major part which is not surprising given the current economic uncertainty. The team is working through the implications of the increase in planning application fees which will

be in place on 6 December and the shortfall in fees revenue will begin to be addressed but that will also be part dependent on the number of applications received in future. We will not necessarily get back to the budget position that was expected at the start of the year but it will be worked through to the next financial year.

With regard to a Member’s query about the value of government grant that was covered in the Council Tax Support Scheme which cost the Council approximately £340,000, Councillor Butt would provide a response following the meeting.

In response to a Members query reduction the reduction in Adult Services budget of £1.4 million at Trafford and if the Contingency will be used to balance that shortfall, the Corporate Director for Adults and Wellbeing informed members that the Contingency Fund is in place to mitigate against any volatility in the budget. Adult and Social Care is volatile and when adults come in its at a cost. There is a Contingency that a considerable amount of the Council budget and whilst we must be prudent in that area we must be cognisant of the needs of anyone who requires care and support. Regarding the Living Wage and Real Living Wage we are in the midst of consultation with providers regarding fee uplifts which will report into the next iteration of the draft budget. There is a lot of work to bridge the gap between projections and actualities but the Council is committed to paying the Real Living Wage.

RESOLVED: That

a)    note the report and the estimated revenue outturn position showing a budget overspend of £0.51m;

b)    note the update on the Capital Programme as detailed in Section 6 and Annex 3: and

c)    Note that due to the positive movements in the estimated outturn since P4, that no new management actions are required to mitigate the current projected overspend in 2023/24.