Decision details

RESOLVED:

That the Cabinet:

1)    Note the budget monitoring position and treasury management update as at March 2024 (Month 12), noting the actions proposed by officers as outlined in Part A of this report.

2)    Approve the financial recommendations set out in Part B of the report below:

a)    Approve acceptance of £350k grant funding from National Trading Standards for costs associated with the delivery of additional enforcement work at Heathrow targeting the importation of non-compliant and unsafe vapes and e-cigarettes.

b)   Approve acceptance of Port Health Transition Fund grant of £209,161 to cover the period 1st April to 31st July 2024.

c)    Approve acceptance of the Household Support Scheme grant funding of £2,069k for the period 1st April 2024 to 30 September 2024 inclusive and the proposed scheme as set out in the statement at Annex A.

d)   Approve the acceptance of £107k grant funding from the Lawn Tennis Association Parks Tennis Renovation Grant for the renovation of the tennis courts at Moorhall Recreation Ground.

e)    Agree the request to continue existing operational arrangements with Caterplus and Powerday, whilst new contracts are agreed and formal governance approved.

f)     Note the interim consultants appointed where the value is above £50k in Annex B.

Reasons for decision

The Cabinet Member for Finance presented the Council’s 2023/24 budget outturn report. Despite an underspend of £2000, additional costs and income shortfalls of £9.9 million had been absorbed. Increased demands for social services and reduced planning fee income were also noted. Further pressures of £1.8m, including a reduced rebate from the West London Waste Authority, had been absorbed within the earmarked reserves, which stood at £8.3 million.

The Cabinet Member noted that the surplus on the collection fund had increased to £4.2 million and general balances and earmarked reserves amounted to £35.2 million. It was noted that unutilised capital receipts of £8m had also been retained. The savings programme for 2023/24 had amounted to £22.8 million, with £20.1 million delivered or being delivered, with the remaining savings required representing income shortfalls, with alternative options being investigated. General fund capital expenditure had showed an underspend of £64.8 million, with decisions on rephasing yet to be made. The Cabinet Member highlighted that the Council continued its dialogue with the Department for Education regarding the Dedicated Schools Grant. An updated was also given on the Housing Revenue Account, where on capital expenditure there had been an underspend against the budget of £23.3 million.

Additional recommendations were moved by the Cabinet Member, and agreed by Cabinet, relating to the acceptance of grants, extending two contractual arrangements and noting the use of consultants.

The Leader of the Council thanked Councillor Goddard and the finance team for their work and noted the pressures on Hillingdon Council, which were no different to any other local authority. The Leader stated that the Council was not expecting a bailout and was reviewing their structures and costs to drive out additional savings.

Alternative options considered and rejected

None.