Agenda item

Members of the Committee heard from the Business Support Team Leader concerning the budget and treasury management for the first quarter of the 2025–26 financial year. It was explained that the report covered the period from the end of May 2025, and as anticipated at this early stage of the financial year, few budget variances had been identified. The Officer stated that there was a forecast net underspend of £19,000 against revenue budgets; within the figure, significant offsetting variances were highlighted. The Committee were informed that a salary underspend of £94,000 was forecast due to existing vacancies across the Council; this forecast had been based on a 3% pay award included in the Medium-Term Financial Plan (MTFP). However, it was confirmed that a 3.2% employer pay award offer had been accepted, which would further reduce the underspend by approximately £27,000. Further reductions were expected as vacant posts were filled.

The Officer highlighted that a housing benefit subsidy pressure of £150,000 was forecast, attributed to supported accommodation placements involving unregistered landlords. It was noted that one such landlord was seeking registration, although the process was acknowledged to be lengthy. For reference, a subsidy loss of £86,000 had been incurred during the 2024–25 financial year. For the current year, this pressure was being partially offset by forecast savings of £23,000 in housing benefits administration.

The Officer outlined the recommendations to the Committee. It was stated that an amendment to the fees and charges schedule for markets, was being proposed, with a new fee of £50 for stalls and pitches for event traders only, as detailed in the report. Two capital programme amendments were also proposed. It was stated that an increase of £31,000 in the food waste collection budget was requested to reflect the cost of vehicles and caddies already received or expected before year-end, to be funded by the Defra grant. Additionally, a carry-forward of £188,000 was requested for the Gainsborough Heritage Regeneration Scheme to enable project completion in the following financial year.

The Chairman thanked the Officer for the introduction and invited comments and questions from the Committee.

A Committee Member began by querying the benefits of landlord registration for tenants. The importance of registration was emphasised in safeguarding tenants, and it was suggested that referral practices could be used to encourage compliance among landlords. Another Member of the Committee requested data on the number and trend of individuals seeking supported accommodation, citing an observed increase in housing difficulties. It was agreed that further information on this matter would be circulated to the Committee following the meeting.

The complexity of the issue was highlighted by Members of the Committee, including the role of subletting arrangements, the impact of Universal Credit on rent payments, and the increasing costs involved for landlords.

A Committee Member sought clarification on whether the discussion pertained to intensive housing management costs, suggesting that the issue was linked to registered providers of supported housing and the associated management expenses. In response, the Chairman noted that workshops had previously been held on housing-related topics, including landlord registration, funding, and support. It was suggested that consideration be given to holding a future workshop to address the issues raised during the meeting. It was confirmed that further details regarding housing benefit matters would need to be provided by the relevant Officer, with information to be circulated to Members of the Committee, and wider Members of the Council if appropriate.

A procedural clarification was provided by the Monitoring Officer regarding recommendation C. It was stated that while the Committee held authority to approve amendments to existing fees and charges, any new fees and charges would require referral to full Council for approval. This clarification did not affect the substance of the recommendation.

With no further comments or questions, having been proposed and seconded, and with the understanding that any new fees would need to be recommended to full Council for approval noted, it was unanimously

RESOLVED that

REVENUE

a)    The forecast out-turn position of a £0.019m net contribution to reserves as of 31st May 2025 (see Section 2) relating to revenue activity, be accepted; and

b)    the use of Earmarked Reserves approved by the Chief Finance Officer using Delegated powers (2.4.1), be accepted; and

c)    the Committee approves the amendment to the fees and charges schedule for 2025/2026 and RECOMMENDS the new fee to full Council for approval (2.3.2).

CAPITAL

d)  The current projected Capital Outturn position of £13.228m (Section 3), be accepted; and

e)  the amendments to the Capital Schemes as detailed in 3.2, be approved.

TREASURY

f)   The report, the treasury activity and the prudential indicators (Section 4), be accepted.