Revenue Budget 2024/25 - Update No 2
Perth and Kinross Council · 20 November 2024
Back to Finance and Resources Committee — 20 November 2024 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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PERTH & KINROSS COUNCIL FINANCE & RESOURCES COMMITTEE 20 NOVEMBER 2024 REVENUE BUDGET 2024/25 – UPDATE NO. 2 Contact Officer: Scott Walker, Chief Finance Officer (Report No. 24/318) 1. PURPOSE 1.1 This report provides an update on progress with the 2024/25 General Fund Revenue Budget based upon the August 2024 ledger, updated for any subsequent known material movements, and the projected financial position of the Housing Revenue Account. 1.2 The total net projected over spend on the 2024/25 General Fund Management Budget is £885,000 (£1.598 million at this time in 2023/24) (see Appendix 1). 2. RECOMMENDATIONS The Committee is requested to: A. note the contents of the report, B. note the projected outturn for General Fund Services set out in Section 5 and Appendix 1 and 2, C. note the projected outturn for Corporate Budgets set out in Section 6, D. note the funding update provided in Section 7, E. note the projected outturn for the Housing Revenue Account, which is summarised in Section 8 and Appendix 4, F. approve the adjustments to the 2024/25 Management Revenue Budget detailed in Sections 9, 10 & 11 and Appendices 1, 2, 4, 5, 6, and 7, G. note the financial risks set out in Section 12 and Appendix 8. 3. STRUCTURE Section 4 Background Section 5 Revenue Monitoring – Service Budgets Section 6 Revenue Monitoring – Corporate Budgets Section 7 Revenue Monitoring – Funding Section 8 Revenue Monitoring – Other Updates Section 9 2024/25 Additional Funding Section 10 2024/25 Virements Section 11 2024/25 Movements in Reserves Section 12 Financial Risks Section 13 Conclusions
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4. BACKGROUND 4.1 This report updates the Committee on progress with the 2024/25 Revenue Budget. Appendix 1 to this report summarises the current projected year end (outturn) position for each Service based upon the August 2024 ledger, updated for any subsequent known material movements. 4.2 The budget reflected in Column 1 of Appendix 1 to this report is that approved by the Council in setting the final 2024/25 Revenue Budget on 28 February 2024 (Report No. 24/63 refers). In addition, adjustments approved by the Finance & Resources Committee on 24 April and 18 September 2024 (Report Nos. 24/130 and 24/260 refer) are reflected in Appendix 1 (Column 2). 5. REVENUE MONITORING – SERVICE BUDGETS 5.1 The total net projected over spend on Service budgets, which is summarised in Section 1 of Appendix 1 to this report, is £929,000 which represents 0.3% of total net Service expenditure. This is a reduction of £473,000 from the last update. 5.2 Details of variances against individual Service budgets are shown in Appendix 2 to this report with the most significant variances summarised below. 5.3 The management of Service over and under spends are considered throughout the financial year and may also form part of the Revenue Budget strategy for future years. 5.4 There remains a risk that the Council continues to experience increases in costs over the short to medium term that are higher than budgeted. Going forward, this may continue to have an impact on projected outturns and future years’ budgets. 2024/25 Pay Awards 5.5 The full financial implications of the 2024/25 pay awards for all staff groups have not been included within this latest update. The pay award for teaching staff has been agreed and it is anticipated that this will be paid at the end of November. The pay award for non-teaching staff has not been agreed, but similarly will be paid at the end of November. 5.6 The financial implications of these pay awards will be included in the next update to the Committee. 5.7 There will also be financial implications for Tayside Contracts which will flow through to the constituent Councils in the form of increased charges. Education & Learning 5.8 The projected outturn for Education & Learning excluding Devolved School Management (DSM) and the Pupil Equity Fund (PEF) is currently anticipated
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to be £1.164 million or 0.7% more than budget which represents a movement of £291,000 from the last update. The individual elements contributing to this movement are summarised in the following table with commentary on the significant movements below. Function Projected Outturn Movement £’000 % £’000 Education & Learning Core Under spend (5) (0.4) 0 Nursery Sector Under spend (677) (2.82) 0 Primary Sector Over spend 1,328 2.89 (156) Secondary Sector Over spend 80 2.1 0 Special Sector Over spend 18 0.09 27 Home to School Transport Over spend 420 3.93 420 TOTAL Over spend 1,164 0.70 291 5.9 In the Primary Sector there is a reduction in the projected over spend of £156,000 following an update in staff cost projections. 5.10 In Home to School Transport there is an increase in the projected over spend of £420,000 based on the latest forecasts on both demand and price. 5.11 The Devolved School Management Scheme is currently projected to be on target. However, schools are experiencing challenges in delivering approved staff slippage targets and facing inflationary pressures against budgets that have been reduced over previous years. The budgets for the Devolved School Management scheme are allocated by financial year (April – March), whereas expenditure is incurred by academic year (August – June). 5.12 At this stage of the academic year, expenditure met from the Pupil Equity Fund (PEF) is projected to be £100,000 less than the allocation from the Scottish Government of £1.874 million. Schools are being instructed to use this year’s PEF by 31 March 2025. It is anticipated that the projected under spend on teacher and support costs will be carried forward to 2025/26 to meet commitments. The budgets for the Pupil Equity Fund scheme are allocated by financial year, whereas expenditure is incurred by academic year. Children, Families & Justice 5.13 The projected outturn for Children, Families & Justice is still currently anticipated to be on target against budget. The individual elements contributing to this position are summarised in the following table with narrative on the significant variances below. Function Projected Outturn Movement £’000 % £’000 Children & Families On target 0 - n/a Justice Service On target 0 - n/a TOTAL On Target - - n/a
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5.14 Despite Children & Families projections still being on target against budget, there are still pressures on residential placements which are being offset by foster, kinship and adoption payments. Economy, Development & Planning 5.15 The projected outturn for Economy, Development & Planning is currently anticipated to be £60,000 more than budget. The individual elements contributing to this position are summarised in the following table with narrative on the significant variances below. Function Projected Outturn Movement £’000 % £’000 Service Wide Under spend (100) (1.3) (100) Business & Investment Over spend 70 7.4 70 Tourism, Culture & Place Over spend 150 1.4 150 Development Management & Building Standards Under spend (60) - (60) TOTAL Over spend 60 0.3 60 5.16 Service Wide there is a projected under spend of £100,000 due to staff slippage in excess of budgeted levels. 5.17 In Business & Investment there is a projected over spend of £70,000 for the operating costs of Perth Harbour. 5.18 In Tourism, Culture & Place there is a projected over spend of £150,000 in relation to the delivery of previously approved savings from the review of ALEOs. 5.19 In Development Management & Building Standards there is a net projected under spend of £60,000 due to additional planning & building warrant income partially offset by legal costs relating to planning appeals. Environment & Infrastructure 5.20 The projected outturn for Environment & Infrastructure is currently anticipated to be £530,000 less than budget. The individual elements contributing to this position are summarised in the following table with narrative on the significant variances below. Function Projected Outturn Movement £’000 % £’000 Service Wide Under spend (250) (1.2) (250) Traffic & Network Under spend (50) (4.6) (50) Waste Disposal Under spend (350) (4.1) (350) Fleet Over spend 120 - 120 TOTAL Under spend (530) (1.5) (530) 5.21 Service Wide there is a projected under spend of £250,000 due to staff slippage in excess of budgeted levels.
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5.22 In Traffic & Network there is a projected under spend of £50,000 due to additional income from statutory road network works. 5.23 In Waste Disposal there is a projected under spend of £350,000 due to savings on the waste disposal contract and additional income from sale of recyclates, both as a result of the new twin streaming collection service. 5.24 In Fleet there is a net projected over spend of £120,000 due to the additional costs of vehicle materials and repairs. Housing & Communities 5.25 The projected outturn for Housing & Communities is currently anticipated to be £95,000 or 0.1% less than budget which represents a movement of £85,000 from the position last reported. The individual elements contributing to this movement are summarised in the following table with commentary on the significant movements below. Function Projected Outturn Movement £’000 % £’000 Service Wide Under spend (150) (1.6) (75) Housing General Fund Over spend 40 0.5 (10) Bereavement Services Over spend 15 1.9 0 TOTAL Under spend (95) (0.5) (85) 5.26 On a Service Wide basis, there is an increase in the projected under spend of £75,000 due to updated staff cost projections. Property Services 5.27 The projected outturn for Property Services is currently anticipated to be £649,000 or 1.0% more than budget which represents a movement of £37,000 from the position last reported. The individual elements contributing to this movement are summarised in the following table with commentary on the significant movements below. Function Projected Outturn Movement £’000 % £’000 Service Wide Over spend 328 0.5 (98) Energy Under spend (239) (2.8) 61 Maintenance Over spend 150 3.2 n/a Facilities Management Over spend 240 3.9 n/a Catering Over spend 170 2.4 n/a TOTAL Over spend 649 1.0% (37) 5.28 On a Service Wide basis, there is a reduction in the projected over spend of £98,000 following an update on staff cost and income projections. 5.29 On Energy, there is a reduction in the projected under spend of £61,000 due to updated rates and consumption information.
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Legal & Governance 5.30 Within Legal & Governance there is a projected over spend of £78,000 or 1.7% which represents a movement of £38,000. This movement is the result of updated staff cost and income assumptions. Customer & Digital 5.31 The projected outturn for Customer & Digital is currently anticipated to be £89,000 or 0.8% more than budget which represents a reduction of £98,000 from the last update. The individual elements contributing to this movement are summarised in the following table with commentary on the significant movements below. Function Projected Outturn Movement £’000 % £’000 IT Over spend 69 1.2 69 Revenues & Benefits Over spend 20 0.3 (167) TOTAL Over spend 89 0.8% (98) 5.32 In IT there is an increase in the projected over spend of £69,000 on staff costs as the slippage target is not currently being met. 5.33 In Revenues & Benefits there is a reduction in the projected over spend of £167,000 due to under spends on staff costs and additional income partially offset by an additional expenditure on social housing providers. Strategic Planning & Performance 5.34 Within Strategic Planning & Performance, there is a projected under spend of £62,000 or 0.9% which represents an increase of £18,000. Finance & Business Support 5.35 The projected outturn for Finance & Business Support is currently anticipated to be £444,000 or 5.1% less than budget which represents an increase of £94,000 since the last update. The individual elements contributing to this movement are summarised in the following table with commentary on the significant variances below. Function Projected Outturn Movement £’000 % £’000 Finance Over spend 4 0.0 (13) Business Support Under spend (448) (11.5) (81) TOTAL Under spend (444) (5.1) (94) 5.36 Across Business Support, there is an increase in the projected under spend of £81,000 primarily on staff costs due to the accelerated delivery of approved savings.
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6. REVENUE MONITORING – CORPORATE BUDGETS 6.1 Included within Section 2 of Appendix 1 is an update on the Council’s Corporate budgets. More information on variances against individual budget headings are set out below. Health & Social care 6.2 On 23 September 2024, the Audit & Performance Committee of the Perth & Kinross Integration Joint Board (IJB) received a report on the 2024/25 Financial Position (Report No. G/24/147 refers). After the application of earmarked Reserves and non-recurring funding, this report presented a projected over spend of £1.637 million. This position is consistent with many other integration joint boards who also face significant financial challenges in the current financial year. 6.3 On 2 October 2024, Perth & Kinross Integration Joint Board approved a Financial Recovery Plan which aimed to reduce expenditure for the remainder of 2024/25 (Report No. G/24/163 refers). The measures approved, totalling £1.3 million, included vacancy management, further cost control and the application of additional earmarked Reserves. It is projected that these measures will reduce the projected over spend to £337,000, This remaining expenditure is being incurred against health services as shown in Appendix 3. 6.4 The Integration Joint Board will be presented with a further update at its meeting on 11 December 2024. Council Tax Reduction Scheme 6.5 The application of the Council Tax Reduction Scheme is a statutory function for the Council. The promotion and encouragement of take up is a key responsibility for the Council, particularly when households are facing significant pressures on the cost of living. 6.6 The level of expenditure incurred by the Council is dependent upon two main drivers, firstly, the average number of weekly caseload and, secondly, the average value of weekly entitlements. 6.7 In the current financial year, the Council is supporting approximately 8,600 households across Perth and Kinross with the Council Tax Reduction Scheme with an average award of £16.91 per week. This results in a projected over spend on the Council Tax Reduction Scheme of approximately £150,000 which is reflected in Appendix 1. 7. REVENUE MONITORING – FUNDING 7.1 Further information on the Council’s funding is set out within Section 3 of Appendix 1. More information on variances against individual budget headings are set out below.
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Council Tax Income 7.2 The amount of income the Council will generate from Council Tax is dependent on two main factors, firstly the collection levels and secondly, the number of Band D properties on the Valuation Roll. 7.3 Monitoring of Council Tax collection levels is carried out monthly. The following graph sets out collection performance to 31 October 2024 together with prior year comparative figures for the previous five financial years. 7.4 Between 2019/20 and 2023/24, the average collection figure to 31 October was 63.79%. The actual collection figure to 30 September 2024 was 63.54% which is 0.25% less than the five-year average and the comparable position in 2023.
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7.5 Secondly, in setting the Council’s Revenue Budget, assumptions are made on increases in the number of Band D equivalent properties. The graph set out below suggests that actual growth levels are in line with budget assumptions. 7.6 Given the 2024/25 collection information set out above and the growth in the number of Band D equivalent properties, it is currently anticipated that Council Tax income will exceed the budget by £250,000 in the current financial year which is reflected in Appendix 1. Non-Domestic Rates 7.7 The actual collection rate to 31 October 2024 was 67.43%, compared to 51.83% for the same period in 2023/24. 8. REVENUE MONITORING – OTHER UPDATES Impact on Arm’s Length External Organisations (ALEOs) 8.1 The Council continues to work closely with its three Arm’s Length External Organisations (ALEOs) – Live Active Leisure (LAL), Perth Theatre & Concert Hall (PTCH) and Culture Perth & Kinross (CPK) who make an important contribution to the Corporate Plan through the current Culture, Physical Activity and Sport Strategies approved by Council in May 2023. 8.2 Currently, for the current financial year, all three ALEOs are projecting a deficit that is in line with their approved budgets. 8.3 The long-term sustainability of the Council’s ALEOs across future financial years will be kept under review with updates provided to future meetings of the Finance & Resources Committee.
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Tayside Contracts 8.4 The operating environment for Tayside Contracts remains challenging. They continue to experience significant inflationary pressures on the price of staple foods – beyond that of the headline CPI and RPI rates quote more widely. 8.5 Beyond that, negotiations on the 2024/25 pay award are still ongoing. Should the outcome of the negotiations exceed budgeted levels, without sufficient external funding forthcoming, there is a risk that this will cause a further significant risk to the profitability of Tayside Contracts. 8.6 Tayside Contracts continue to identify mitigating actions and the three constituent Councils are looking at how they may assist. Work continues between officers of the Council and Tayside Contracts to further refine these projections. 8.7 Both of these pressures may impact on the Council in the form of a request for additional financial support, as has been the case in previous financial years and / or the non-achievement of the budgeted income from the share of Tayside Contract’s surplus. 8.8 At this stage, the potential costs of providing additional financial support have not been factored into the Council’s projections. Any proposal to provide additional funding to Tayside Contracts will be brought back to a future meeting of the Finance & Resource Committee for approval by elected members. 8.9 In addition, given the financial challenges facing Tayside Contracts, there is a risk that the budgeted amount from the Trading Operations surplus of £550,000 will not be received in the current year. Housing Revenue Account 8.10 The Housing Revenue Account is currently projected to break even in the current financial year. The main elements are summarised below and set out in Appendix 5. 8.11 Across the Housing Revenue Account activity there is a net reduction in the projected under spend of £88,000. This is made up of additional costs in relation to the garden maintenance contract and energy performance certificates partially offset by additional staff slippage. 8.12 As a result of the variances identified above Capital from Current Revenue will reduce by £88,000. 9. 2024/25 ADDITIONAL FUNDING 9.1 Since elected members were provided with the 2024/25 Revenue Budget update on 18 September 2024 (Report No. 24/260 refers), notification has been received of additional resources in the current financial year from several sources as set out below. To ensure that the 2024/25 Management Budget continues to reflect the operational requirements of the Council,
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several adjustments are required, which are summarised below and included in Appendix 1 and Appendix 6. Scottish Government – Revenue Support Grant: • Children’s Social Care Pay Uplift - £412,414 (Children, Families & Justice) • Children’s Social Care Pay Uplift - £30,586 (Education & Learning) • Scottish Milk Subsidy Scheme - £28,000 (Education & Learning) • No One Left Behind 2024/25 – Employability Child Poverty Co- Ordinators - £72,000 (Economy, Development & Planning) • 2024-25 local government pay offer (for SJC, Craft and Chief Officers) - £2.099 million (Corporate Pay award budget – allocated to strategic leads after processed by payroll) 9.2 The Scottish Government has advised that the increase in Revenue Support Grant identified above of £2.642 million will be made through a redetermination of the Council’s Revenue Support Grant. It is therefore necessary to adjust budgets for Children, Families & Justice, Education & Learning, Economy Development & Planning, Corporate Pay Award and Revenue Support Grant. 9.3 ACTION: The Council is asked to approve the adjustments set out at paragraph 9.1 which are reflected in Appendix 1 (Column 3) to this report. Other Funding 9.4 Other funding amounting to £771,585 will be paid outside the Revenue Support Grant mechanism as Other Grant income and is, therefore, cost neutral in terms of the budget summary. Details of this funding is set out in Appendix 5. 9.5 ACTION: The Committee is asked to note the receipt of £771,585 of additional resources, with this funding being reflected within Education & Learning and Strategic Planning, People & Performance as additional grant income. The current projected outturn assumes that all these additional resources will be fully expended in 2024/25 or will be carried forward under the terms of the grant award. 10. 2024/25 VIREMENTS Contribution to/from Capital Fund 10.1 In line with the strategy for managing the Council’s Capital Programme over the medium term, it is recommended that the eventual over or under spend on Capital Financing Costs and Interest on Revenue Balances be transferred from or to the Capital Fund. 10.2 The latest monitoring indicates a projected reduction in capital financing costs (loan charges) of £18,000 based on the latest treasury management activity and an increase of £406,000 in income from interest on revenue balances due
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to improved cashflows. This will result in an increased Contribution to the Capital Fund of £424,000 in the current financial year. 10.3 ACTION: The Committee is requested to approve the virement of £18,000 from the Capital Financing Costs (Loan Charges) Budget and £406,000 to Interest on Revenue Balances with a corresponding increase in the projected Contribution to the Capital Fund. These adjustments have been reflected in Appendix 1 (Column 5) to this report. 10.4 At 31 March 2024, the unaudited Annual Accounts included a Capital Fund balance of £31.026 million. The Capital Fund is currently projected to peak in 2025/26 at approximately £38.799 million, before, on the basis of the approved Council Tax strategy, gradually reducing until being fully utilised in 2061/62. Service Virements 10.5 To ensure that the 2024/25 Management Revenue Budget continues to reflect current Service needs and operational requirements there are several virements that are reflected in Appendix 1 (column 5) that have been processed in line with the Scheme of Administration. 11. 2024/25 MOVEMENTS IN RESERVES 11.1 Included at Appendix 6 is an update on the Council’s General Fund Reserves. The appendix includes the following: • Earmarked and unearmarked Reserves at 31 March 2024 (per unaudited Annual Accounts). • previously approved contributions to and from earmarked Reserves in 2024/25. 2025/26 and 2026/27. • The impact of proposals within this report on earmarked Reserves. • The impact of the latest revenue monitoring on the level of unearmarked Reserves. 11.2 The earmarked Reserves are brigaded under three headings as follows: i. Balances held under statute / regulation – these earmarked Reserves are prescribed under legislation and the Council has limited discretion in how they are applied. ii. Balances held for specific (previously approved) purposes – the purpose of these earmarked Reserves has been previously approved by Council in either the Reserves Strategy or Annual Accounts iii. Balances held for other purposes – the creation of these earmarked Reserves has been approved by Council, but not specific proposals. 11.3 Going forward proposals involving earmarked Reserves under i. and ii. above will be advised to Committee in summary as Council either has limited discretion or previously approved their application. Proposals to apply earmarked Reserves under iii. above will include more detail for elected member consideration.
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Balances Held Under Statute / Regulation 11.4 Approval is sought to draw down resources of £383,000 from the Council Tax Income for Affordable Housing earmarked Reserve. This will support the delivery of the Empty Homes Initiative with the payment of grants and contributions to new builds that will bring more properties back into use. 11.5 ACTION: The Committee is asked to approve the transfer of £383,000 from the Council Tax Income for Affordable Housing earmarked Reserve to Housing & Communities. This adjustment is reflected in Appendix 1 (Column 5) to the report. Balances Held for Specific (Previously Approved) Purposes 11.6 These earmarked Reserves have previously been approved by elected members in their consideration of the Reserves Strategy or Annual Accounts. 11.7 The drawdown of the resources from the Feasibility and Project Feasibility Fund earmarked Reserves as set out below will provide capacity to take forward economic development projects in the current financial year. • Feasibility – £100,000 • Project Feasibility Fund – £62,000 11.8 ACTION: The Committee is asked to approve the transfer of £162,000 from the Feasibility and Project Feasibility Fund earmarked Reserves to Economy, Development & Planning. This adjustment is reflected in Appendix 1 (Column 5) to the report. 11.9 In addition, in setting the 2024/25 Revenue Budget in February 2024, the Council Approved Expenditure to fund several specific initiatives. For a variety of reasons including consultation and capacity issues, there has been slippage in the delivery of a few of these projects that may result in the expenditure not being incurred in the current financial year. Projects totalling £103,000 are set out at Appendix 7. 11.10 Should the Committee confirm that that the projects remain a priority for the Council then the balances set out in Appendix 7 will be transferred to an earmarked Reserve to ensure that the funding is in place to ensure delivery. The final outturn for individual projects may change before the end of the financial year, therefore, by agreeing the projects within Appendix 7, the Committee is confirming that the initiative remains a priority and that the final under spend will be earmarked within Reserves. 11.11 Should any of the projects no longer be a priority, the projected under spend would be available to support the financial management of the Council in both current and future financial years. 11.12 ACTION: The Committee is asked to confirm that the projects listed in Appendix 7 remain a priority and that the final under spends, currently projected at £103,000 are transferred to an earmarked Reserve to ensure delivery. These adjustments are reflected in Appendix 1 (Column 6) to the report.
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Perth and Kinross Health & Social Care Partnership 11.13 Funding of £190,000 has been requested by Perth & Kinross Integration Joint Board to provide focussed care and support for those people most at risk of deconditioning leading to hospital or residential admission. 11.14 ACTION: The Committee is asked to approve the transfer of £190,000 from unearmarked Reserves to the Health & Social Care Partnership. This adjustment is reflected in Appendix 1 (Column 5) to the report. Contribution to Insurance Fund 11.15 The Council’s Insurance Fund has been under pressure in recent years due to the increasing cost of annual premiums and several high value claims which has resulted in the balance on the Fund reducing. Approval is therefore sought for an in-year transfer of £200,000 from the General Fund (unearmarked Reserves) to ensure the sustainability of the Insurance Fund. This position will be kept under review and a further pressure may be introduced for the 2025/26 Revenue Budget in February 2025. 11.16 ACTION: The Committee is asked to approve the transfer of £200,000 from unearmarked Reserves to the Insurance Fund. This adjustment is reflected in Appendix 1 (Column 5) to the report. 12. FINANCIAL RISKS 12.1 In preparing the Council's 2024/25 revenue monitoring, officers have considered the key strategic, operational and financial risks facing the Council over this period. Whilst the risks may be managed in the current financial year, there is the potential for there to be an impact in the future. 12.2 To alleviate the impact these risks may have if they occur, a number of general risk mitigation factors are utilised by the Council which include detailed budget monitoring carried out by Services and having general fund balances available to meet unforeseen expenditure. 12.3 Going forward, new risks will be captured within the body of the report with a summary being maintained in Appendix 8. Perth and Kinross Health & Social Care Partnership 12.4 Perth and Kinross Health & Social Care Partnership continues to experience significant financial challenges. Work is ongoing by the Partnership to mitigate these but there is a risk that the Council may be required to provide additional funding in both the current and future financial years. Funding Towards Pay Awards 12.5 The Council has been allocated £2.099 million towards the 2024/25 non- teaching pay awards. Until the pay awards are applied, it is not possible to confirm whether this will meet the additional cost. This will be updated in the next monitoring report to Committee in February 2025.
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13. CONCLUSION 13.1 Based on the August 2024 ledger, a projected over spend of £885,000 has been identified in the current financial year. 13.2 This level of projected over spend will result in a reduction in the level of unearmarked Reserves to £15.106 million or 3.2% (see Appendix 6). 13.3 The financial position of the Council and its partners including the Health & Social Care Partnership and the ALEOs remains challenging and regular updates will be provided to the Council and the Finance & Resources Committee as the position develops. APPROVED Name Designation Date Scott Walker Chief Finance Officer 12 November 2024
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ANNEX 1. IMPLICATIONS, ASSESSMENTS, CONSULTATION AND COMMUNICATION Strategic Implications Yes / None Community Plan / Single Outcome Agreement None Corporate Plan Yes Resource Implications Financial Yes Workforce Yes Asset Management (land, property, IST) Yes Assessments Equality Impact Assessment Yes Strategic Environmental Assessment Yes Sustainability (community, economic, environmental) Yes Legal and Governance None Risk None Consultation Internal Yes External None Communication Communications Plan None 1. Strategic Implications Corporate Plan 1.1 The Council’s Corporate Plan 2022 – 2027 lays out seven outcome focussed strategic objectives which provide clear strategic direction, inform decisions at a corporate and service level and shape resources allocation. They are as follows: • Tackling poverty • Tackling climate change and supporting sustainable places • Growing a sustainable and inclusive local economy • Enabling our children and young people to achieve their full potential • Protecting and caring for our most vulnerable people • Supporting and promoting physical and mental wellbeing • Placing communities at the heart of how we work 1.2 This report relates to all these objectives. 2. Resource Implications Financial 2.1 There are no direct financial implications arising from this report other than those reported within the body of the main report.
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Workforce 2.2 There are no direct workforce implications arising from this report other than those reported within the body of the main report. Asset Management (land, property, IT) 2.3 There are no direct asset management implications arising from this report other than those reported within the body of the main report. 3. Assessments Equality Impact Assessment 3.1 Under the Equality Act 2010, the Council is required to eliminate discrimination, advance equality of opportunity, and foster good relations between equality groups. Carrying out Equality Impact Assessments for plans and policies allows the Council to demonstrate that it is meeting these duties. 3.2 The information contained within this report has been considered under the Corporate Equalities Impact Assessment process (EqIA) and has been assessed as not relevant for the purposes of EqIA. Strategic Environmental Assessment 3.3 The Environmental Assessment (Scotland) Act 2005 places a duty on the Council to identify and assess the environmental consequences of its proposals. 3.4 The information contained within this report has been considered under the Act. However, no action is required as the Act does not apply to the matters presented in this report. Sustainability 3.5 Under the provisions of the Local Government in Scotland Act 2003 the Council must discharge its duties in a way which contributes to the achievement of sustainable development. In terms of the Climate Change Act, the Council has a general duty to demonstrate its commitment to sustainability and the community, environmental and economic impacts of its actions. 3.6 The information contained within this report has been considered under the Act. However, no action is required as the Act does not apply to the matters presented in this report. 4. Consultation Internal 4.1 The Strategic Leadership Team have been consulted in the preparation of this report.
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2. BACKGROUND PAPERS 2.1 No background papers, as defined by Section 50D of the Local Government (Scotland) Act 1973 (other than any containing confidential or exempt information) were relied on to any material extent in preparing the above report. 3. APPENDICES • Appendix 1 – 2024/25 Management Budget • Appendix 2 – General Fund 2024/25 Projected Outturn – Service Analysis • Appendix 3 – Perth & Kinross IJB 2024/25 outturn • Appendix 4 – Housing Revenue Account 2024/25 Projected Outturn • Appendix 5 – Other Fundings • Appendix 6 – General Fund Balances • Appendix 7 – Council Approved Projects 2024/25 • Appendix 8 – Financial Risks