Agenda item

The Director of Finance, Assets and Information Services will submit, for information and comment, a report which was submitted to Cabinet on the 9^th September, 2015 on the financial performance of the Authority during the quarter ended 30^th June 2015 (including progress made against agreed savings targets) and assessing the implications against the Council’s Medium Term financial Strategy (MTFS) and Reserves Strategy.

Note: due to their size, the appendices to this report are available for download from the Council’s website and have been emailed to all Members of the Committee.

The Director of Finance, Assets and Information Services submitted, for information and comment, a report that had been submitted to Cabinet on the 9^th September, 2015 on the financial performance of the Authority during the quarter ended 30^th June, 2015 (including the progress made against agreed savings targets) and assessing the implications against the Council’s Medium Term Financial Strategy (MTFS) and Reserves Strategy.

The report, which outlined the key headline messages, had been produced in a new format which would hopefully assist Members in assessing financial performance.

In the ensuing discussion reference was made to the following:

·         in response to queries about the reporting timeframe and the need for the most ‘up to date/real time’ financial information, Director of Finance, Assets and Information Services explained the rationale for the submission of the information.  Any matters of material significance would be reported as a matter or urgency

·         there was a discussion of debt management and specifically in relation to bad debts and to debt recovery.  Information in relation to the write off of historic debt could be provided.  It was noted that the next report to Committee would give an indication of changes to levels of debt.  Arising out of this discussion, the Service Director Finance commented that Authority had a 99.5% collection record in relation to Council Tax.  It was suggested that the report should provide a comparator to previous months as this would assist in determining the progress made in debt recovery matters

·         the Director of Finance, Assets and Information Services commented that the new format of reports presented additional information that had previously not been made available

·         reference was made to the issues associated by budget overspends particularly where services were demand led.  The Director of Finance, Assets and Information Services commented that such matters were under constant review

·         Reference was made to the potential impact on the Council’s Reserves Strategy and particularly in relation to the impact of the New Homes Bonus

·         There was a further discussion of the Council’s Reserves Strategy a report on which could be provided for a future.  It was considered that this might be particularly pertinent following the November Comprehensive Spending Review

·         Reference was made to the corrective action proposed within the Place Directorate in order to meet the budget reduction proposals and to the implications of presenting mitigating alternative proposals in order to meet savings targets.  The Director of Finance, Assets and Information Services commented that this matter was under review as were all savings proposals.  In this particular case, however, there were no issues of concern.  The Service Director Finance stated that the savings proposals were possibly not articulated well enough and this matter would be addressed in all future reports

RESOLVED

(i)        that the report on the Corporate Financial Performance for the quarter ended 30^th June, 2015 be received and the new format or report be welcomed; and;

(ii)       that reports be submitted to future meetings on the Council’s Reserves Strategy and on Debt Recovery.