The Portfolio Holder for Finance presented a report from the Head of Finance, Governance and Assurance [Section 151 Officer] on the projected revenue expenditure for the whole of 2017/18 as at Quarter 2 and also an alternative position based on the implementation on management action, including imposing a spending freeze.

RESOLVED:

i)             That it be noted that at the end of Quarter 1 (30 September 2017), the full year revenue forecast is a potential overspend of £5.061m;

ii)            That the instigation of management action be approved, including a spending freeze to bring the variance within what would be considered a “reasonable tolerance” to a potential overspend of £0.428m.

iii)           That the impact of this on the Council’s General Fund balance be considered.

iv)           That net budget variations of £8.812m to the 2017/18 capital programme be approved, detailed in Appendix 3/Table 6, and the re-profiled 2017/18 capital budget of £68.349m.  Variations include new allocations of capital receipts of £0.500m for a grant allocation towards the Marches Centre of Manufacturing and Technology and £0.150m towards a Gypsy Transit Site project.

v)            That re-profiled capital budgets of £34.917m for 2018/19, £7.487m for 2019/20 and £0.667m for 2020/21, be approved as detailed in Appendix 3/Table 9.

vi)           That the capital expenditure to date of £23.861m be approved, representing 35% of the revised capital budget for 2017/18, with 50% of the year having elapsed.