Decision details

Executive Board will be asked to note the financial position of the Authority and to agree any release of reserves as necessary.

The Chief Officer, Financial Services submitted a report which presented the Council’s projected financial health position for 2018/2019, as at month 5 of the financial year. In addition, the report sought the Board’s approval to the release of specific reserves.

Responding to Members’ enquiries, the Board was provided with further information on the extensive cross-party and cross-boundary political agreement which had been achieved in respect of the Business Rates Retention Pilot 2019/20 submission. Also, clarification was provided to the Board that the proposal to release £1.7m from the general fund reserve in 2018/19 was in response to the Department for Education’s re-profiling of the final payment from the Partners in Practice initiative.

In noting the reference in the submitted report to the pressures regarding external residential placements within Children and Families directorate, a Member suggested that consideration be given to the further provision of such placements in Leeds.

Responding to an enquiry, the Board received an update on the current budgetary position regarding the Council’s commercial asset portfolio which sat within the City Development directorate.

RESOLVED –

(a)  That the projected financial position of the authority, as at Month 5 of the financial year, be noted;

(b)  That the release of £1.7m from the General Fund Reserve in 2018/19 be approved, in order to address the income pressure in the Children and Families budget arising as a consequence of the re-profiling of the final payment of the Partners in Practice Project by the Department for Education, and that this amount be repaid to the reserve in 2019/20 once received, with it being noted that the officer responsible for the implementation of this resolution is the Chief Officer, Financial Services, and that the release from the reserves will be actioned before the next reporting period;

(c)  That the release of £1.0m from the General Insurance Reserve in 2018/19 be approved, following a review of the level of the reserve, with it being noted that the officer responsible for the implementation of this resolution is the Chief Officer, Financial Services, and that the release from reserves will be actioned before the next reporting period;

(d)  That Directors be requested to identify and implement appropriate measures so that a balanced budget position can be delivered.

This is a factual report and is not subject to consultation.