Issue - meetings

This report sets out the projected 2024/25 financial position and the performance position for the period covering 1 April 2024 to 31 December 2024. This is the third report of the financial year and assesses performance against budgets, including progress in delivering the Council’s savings programme.

Resolved:

                      i.         Noted the finance and performance information.

                    ii.         Noted that work will continue on identifying the savings needed to fully mitigate the forecast overspend.

Reason:    to ensure expenditure is kept within the approved budget.

The Director of Finance introduced the report as well as the reports for the Capital Programme – Monitor 3 2024/25 and Treasury Management Quarter 3 report and Prudential Indicators 2024/25. She highlighted the progress made to date at reducing the Council’s forecast overspend and noted the need for continued work to further reduce that overspend.

The Executive Member for Finance, Performance, Major Projects, Human Rights, Equality, and Inclusion emphasised the work that had been undertaken by the Executive and Council officers to bring the Council’s overspend down and control budgets. She noted that the reprofiling of the Capital Budget had allowed the Council to assess what projects were deliverable and had prevented the Council from borrowing additional money for projects when interest rates were high. She highlighted the challenge of predicting budgets with high costs in areas such as social care where individual complex cases can cost over £1 million a year. She noted that the Executive had reduced the Council’s overspend from £11 million to £2.6 million and expected the overspend to continue to shrink in future years.

The Deputy Leader and Executive Member for Economy & Culture stated that the Executive had taken tough decisions to improve the city’s finances. He also pointed to positive growth in tourists using York’s hotels, an increase in footfall, and an increase in bus patronage. 

Resolved:

                   i.        Noted the finance and performance information.

                  ii.        Noted that work will continue on identifying the savings needed to fully mitigate the forecast overspend.

Reason:    to ensure expenditure is kept within the approved budget.