Agenda item

The budget and spending report was introduced as a new item on the agenda. The Corporate Director - Place explained that the report outlined savings proposals for Residents’ Services, with a requirement to make considerable savings this year, totalling £15 million. It was confirmed that Cabinet had reviewed these proposals in detail, and they had been agreed at Full Council.

It was explained that the green waste charging provision was expected to save £2.5 million. The importance of assessing and monitoring demand was emphasised. It was noted that there had been an uplift in crematory charges and parking penalty charges had increased across London.

In respect of services falling within the Community and Environment portfolio, it was confirmed that the Council aimed to bring in additional housing stock in the near future to reduce the costs of temporary accommodation. The Corporate Director of Homes and Communities would be in attendance at the June meeting of the Select Committee to respond to Members’ queries.

Members noted that a traffic light system (RAG rating) would be helpful to highlight areas of concern. Officers acknowledged the request and confirmed that further work around the profiling of budgets was underway. The Committee heard that Corporate Directors met to discuss the budget on a weekly basis. Monthly budget monitoring was also undertaken.

Councillors enquired about the increased car park revenue and the out-of-hours noise service review. The parking strategy and the need to review statutory nuisance and environmental enforcement work were highlighted. Members emphasised the importance of transparency and asked about the backup plan if the garden waste consultation did not go ahead. It was explained that alternative savings would be found if the consultation did not proceed.

Members sought further clarification regarding the temporary accommodation renegotiation and the impact on rates. It was confirmed that the backup plan was to acquire more properties from the open market using HRA funding; the local authority would then be less reliant on private landlords. £5 million had been added to the budget to address risks. Members were informed that the aim was to reduce the Council’s use of temporary accommodation. Long-term leases were being considered, and officers were attempting to bring empty properties back into use. It was acknowledged that most London boroughs were facing similar challenges.

Councillors asked about the Council's adaptability in reviewing the budget situation. The monthly budget monitoring process and the steps taken to address pressures were highlighted. Members heard that, to assist with budget management, profiling was in use to reflect key dates during the year.

In response to further questions from the Committee, regarding the impact of efficiency savings on frontline services, the role of the transformation team and the performance standards monitored by external regulators was highlighted.

Members enquired about the employee terms and conditions review. It was explained that the HR department was reviewing contracts to ensure harmonised terms and conditions across the organisation.

It was agreed that the Chair would liaise with the Labour Lead and Democratic Services to finalise the Committee’s requirements in terms of the Budget and Spending report going forward.

RESOLVED: That the Committee considered the proposed approach to financial monitoring at the Residents’ Services Select Committee as set out in the report.