Agenda item

To consider the attached report.

The Chief Finance Officer introduced the report on quarterly financial monitoring, quarter 3. The report provided a comparison between the original estimate for the period ending 31 December 2018 and the actual expenditure or income applicable.

The reports were presented based on the directorate responsible for delivering the services to which the budgets related and the budgets themselves were the revised estimate. The reports were presented in the new directorate structure.

The Committee noted under Revenue Budgets that:

·         The salaries schedule showed an underspend of £202,000 or 1.2%;

·         Housing and Property was showing the largest underspend of 2.2% or £98,000. Most of this related to the Housing Options Group, who dealt with homelessness, as there were a significant number of vacancies, but which have now been filled;

·         Investment interest was slightly above target, due mainly to the Council holding more cash than was expected;

·         Development Control income at month 9 was above expectations;

·         Building Control income was £4,000 lower than the budgeted figure at the end of the third quarter. By the end of January 2019 the position had improved slightly;

·         Licensing income was broadly inline with expectations;

·         Car parking income was £10,000 below target at month 9. The new fee regime came into effect from 4^th March so some additional income will be received;

·         Local Land Charges was £4,000 below expectations;

·         Bed and Breakfast Income and expenditure had been a little volatile at times this year. During January and February we had seen a sharp increase in expenditure as more people had been presenting themselves as homeless. The Pod’s at Norway House would be available for occupation in the next couple of weeks but as regards this financial year we would now be overspent;

·         Recycling credit income was still slow coming through although things had improved and indeed credits for December were billed in early March which was more in line with expected timescales; and

·         Expenditure on Disabled Facilities Grants at quarter 3 was still significantly below the budget although less so than at quarter 2. However the underspend had again increased since December.

The report also gave an update on the Corporate Fraud Team. Their main area of proactive work related to Right to Buy applications, where all applicants were vetted by the team prior to the sale. The team also worked on Business Rates fraud and Council Tax exemptions, since this had commenced, around £45,000 of additional income had been recovered, although the main beneficiaries of the additional income was either Essex County Council or the Treasury.

They also carried out some reactive work including referrals from the ‘know a cheat in your street’ campaign and the National Fraud Initiative, where data was collected for a national database. The team also works with Brentwood District Council.

They have just had their strategy for 2019/20 adopted last week by the Audit and Governance Committee.

Councillor Mohindra said that it was really important to be proactive and discourage people trying to defraud us.

The report went on look at Business Rates. This was the seventh year of operation of the Business Rates Retention Scheme whereby a proportion of rates collected were retained by the Council. We presently retained 50% of the rates collected and this would eventually go up to 75%. This would take effect from the financial year 2020/21.

The report also contained detailed appendices on the Capital Budgets with detailed commentary on each table.

Councillor Baldwin asked what if any discounts on their business rates, did we give retailers for shop occupancy. P Maddock said that there were a lot of discounts available, such as the small business rate discounts. Some were mandatory and some discretionary and officers encouraged people to apply for a discount if they were eligible.

Councillor Owen looking at annex 11(B) asked if we only had CCTV systems on council property and did we share the images with the Police etc. He was told that we had a lot of cameras all over the district, mostly covering the High Streets. And yes we did share this coverage with the Police when warranted.

Councillor Baldwin said that he had not seen the CCTV Policy recently. Councillor Patel informed him that it was up for review in September.

RESOLVED:

That the Revenue and Capital Financial Monitoring report for the third quarter of 2018/19 was noted by the Committee.