3 Service & Financial Planning Report - 2019/20 Outturn PDF 703 KB
Cllr R C Evans
Additional documents:
Minutes:
Key Decision identified as 2019/20 Outturn Report and Initial Trends for 2020/21 in the Notice of Key Decisions published on 20 May 2020.
Councillor R C Evans, Cabinet Member for Finance, Commercial Services and the Economy presented the report of the Director: Finance & Human Resources, Chief Finance Officer.
Cabinet Members noted that despite the significant financial impacts relating to the flooding of Ironbridge Gorge and the start of the coronavirus (CV-19) pandemic, the Council had ended the year in a positive financial position. The Council had not had to make any use of unplanned reserves in 2019/20 and had retained a prudent level of balances. This would support the Council in the current uncertain time.
The gross revenue budget for 2019/20 was £398m and the net budget was £121m. The revenue outturn position was within budget with a final net underspend of £0.146m (which was equivalent to only -0.12% of net budget) after the proposed transfers to reserves and balances had been made. This position had been achieved after delivering £6.1m of budget savings in 2019/20, on top of the £117m made in the previous 10 years giving a total of £123m - equivalent to around £1,500pa for every home in the Borough.
The funding outlook for the medium term was very uncertain. The Government had confirmed that, due to the Covid-19 pandemic, the planned review of local government finance system would not be implemented. However, there had been no confirmation of the funding levels for 2021/22, and it was anticipated that the Council would need to identify £4.6m savings in 2020/21 and around £18.4m of further savings in 2021/22 and 2022/23.
The key areas of pressures during 2019/20 were noted. It was reported that:
The Capital Outturn position 2019/20 was noted; capital spend ended the year at £41.84m against an approved estimate of £53.17m which ... view the full minutes text for item 3