Councillor Rowan Ree stated that this report outlined the forecast spend and action plans to reduce overspend for Month 2, May 2022. All departments were constantly looking at ways to reduce spend and identify new savings throughout the year.
Councillor Adrian Pascu-Tulbure stated that paragraph 4 on the report described the £10m provision for inflation, which included provision for a 2.3% pay award for 2022/23 and corporate inflation contingency of £1.5m. He asked what the plans were to address those figures.
Councillor Ree replied that there were contingency plans built in all budgets and the Council was constantly looking for savings within budgets.
The Leader added that there was a variety of financial pressures due to the rising inflation and the 2.3% pay award was actually a pay cut. He hoped the Government would come forward with a generous approach to help front line staff dealing with the cost of living.
AGREED UNANIMOUSLY BY THE CABINET MEMBERS:
1. To note General Fund forecast overspend of £4.334m.
2. To note that the forecast draw down from the Housing Revenue Account (HRA) general balance is £4.453m, £0.403m more than budgeted.
3. To note the in-year Dedicated Schools Grant High Needs Block forecasted surplus of £0.582m, reducing the cumulative deficit.
4. To approve General Fund virements totalling £4.494m and HRA virements totalling £0.377m as detailed in appendix 10.