Over the past few months all our departments have been tasked with identifying financial pressures their services are under as well as savings or efficiencies that could be made, as part of the budget-setting process.
Following this work specific savings proposals have been drawn up and are currently being considered at a senior level with a view to them being presented to a Cabinet meeting on Thursday 11 January 2024.
At a meeting of our Improvement and Scrutiny Committee – Resources, to be held on Thursday 14 December 2023, committee members will be asked to consider our budget-setting process, the work that has already taken place and the plan to take a number of budget savings proposals to Cabinet on 11 January 2024.
The report going to the December Improvement and Scrutiny Committee will also detail the Your Council Your Voice consultation which is open until Sunday 17 December, and how the responses from that will be used to feed into the main budget-setting process.
In common with authorities across the country, we are facing budgetary pressures far greater than experienced before, due to factors beyond our control. These include dealing with higher than anticipated inflation and higher prices for fuel, energy and materials, meeting the cost of the national pay award set nationally but met locally, and the continued unprecedented increase in demand for vital adults’ and children’s social care services.
In September we announced a forecast in-year (2023-24) overspend of £46.4m, and immediately put in place a number of strict cost-control measures aimed at reducing the amount. In November the forecast overspend had already reduced by £13m to £33m with the cost-control measures just starting to take effect.
The efforts to reduce the forecast in-year overspend have been running alongside planning for the 2024-25 budget.
The December Improvement and Scrutiny Committee - Resources, will consider the process that is being followed and will be asked to note that we face a significant financial challenge to produce a balanced revenue budget for 2024-25, cost savings and efficiency options are being developed and savings and efficiency options put forward will be consulted on appropriately before any decisions are made.
The Improvement and Scrutiny Committee – Resources, will meet again on 22 January 2024 to consider the budget and provide feedback to Cabinet on the proposals.
The budget will then be considered by Cabinet at its meeting on Thursday 1 Feb 2024 before going to Council when it meets on Wednesday 14 February 2024.