Agenda item

Report of Chief Executive and Director of Regeneration and Planning

Lead Cabinet members: Councillors Gill Mattock and Dean Sabri.

(1) Highlight achievements and progress against corporate plan priorities for 2016/17 noted.

(2) General fund outturn on services’ expenditure for 2016/17 of £15.1m, a total favourable variance of £138,000 against the revised service budget, agreed.

(3) Transfer from/to reserves (appendix 3 to report) approved.

(4) Housing revenue account surplus for 2016/17 of £688,000 approved.

(5) Final capital programme (appendix 5 to report) and outturn for 2016/17 of £26.9m approved.

14.1 Councillor Smart asked questions about the abortive costs of the Downland farms sales and profiling of the Hampden Park retail park acquisition in the capital programme. 

14.2 Cabinet considered the report of the deputy chief executive and director of regeneration and planning reviewing the council’s performance against corporate plan priority indicators and action targets; financial performance of general fund revenue expenditure, housing revenue account and capital programme; and treasury management activities, for the fourth quarter of 2016/17 and also the position at year end, against the targets set for the full year.  

14.3 Appendix 1 gave detailed information on non-financial performance including details of the devolved ward budget spend for the year.  Members highlighted the significant reduction in reported incidents of fly tipping and both catering and the events programme showing income above target. 

14.4 The final outturn for service expenditure for the year 2016/17 was £15.1m.  The table at appendix 2 of the report showed the council‘s financial outturn as compared with the agreed budget at service level.  The general fund summary figures included the transfers to and from reserves as shown in appendix 3 to the report. 

14.5 Housing revenue account (HRA) performance showed a favourable variance of £271,000, which was mainly due to the new properties let at affordable rents not included in the budget, a reduction required for the provision for bad debts and the slow take up of the under occupation scheme.  The HRA delivered an surplus outturn of £688,000 representing 1.19% of turnover.  The HRA balance was in line with the expectation and was sufficiently robust to support the housing self-financing 30 year business plan.

14.6 A summary of capital expenditure for the year is shown in appendix 5 to the report.  The revised capital for 2016/17 was £45m and the outturn was £27m, a variance of £18m.  This variance of £18m related to the purchase of Hampden Retail Park taking place in early April rather than as expected in March in the previous financial year.

14.7 The collection fund balance for council tax was a surplus of £1.4m and a deficit of £2.4m for business rates. This would be allocated to or collected from preceptors during 2017/18 and 2018/19.

14.8 In accordance with legislation and codes of practice the council was required to produce an annual treasury report reviewing treasury management activities and the actual prudential and treasury indicators for 2016/17.  The Treasury management annual report for 2016-17 was considered as a separate report (see minute 15 below).

14.9 The Accounts and Audit Regulations 2015 require the council to formally approve and publish its statements for the financial year ending 31 March 2017 by 30 September 2017.  The draft statement was available on the council’s website and copies could be obtained from financial services.  Key features were summarised in the report.  The external auditor was due to commence work on 5 July and the accounts would open for public inspection between 3 July and 11 August 2017.  The final audited statement of accounts would be reported to the council’s audit and governance committee on 20 September 2017.

14.10 Resolved (key decision) (1) That the highlight achievements and progress against corporate plan priorities for 2016/17 be noted.

(2) That the general fund outturn on services’ expenditure for 2016/17 of £15.1m, a total favourable variance of £138,000 against the revised service budget, be agreed.

(3) That the transfer from/to reserves, as set out in appendix 3 to the report, be approved.

(4) That the housing revenue account surplus for 2016/17 of £688,000, be approved.

(5) That the final capital programme as set out in appendix 5 to the report and the outturn for 2016/17 of £26.9m. be approved.