Agenda item

Report of the Cabinet Member Finance and Assets

The Cabinet Member for Finance and Assets was pleased to present the General Fund and Housing Revenue Account Outturn Report for 2024-25, a statutory requirement under financial rules to provide an overview of the council’s financial performance. 

He said Members will be aware that the ambitious 2024-25 budget required delivery of £2.841m savings, and he was proud to report that despite ongoing external pressures, the council has delivered against budget and ended the year with a modest £913 underspend.  This marks a significant shift in financial stability compared with previous years when we relied more heavily on general balances, and although those remain below the optimum level, medium-term financial strategy gives a realistic route to replenishment by March 2026.

The performance reflects strong financial governance and the efforts of Cabinet colleagues, officers and service teams across the organisation, ensuring continuity of key projects.  Our capital investment programme continues to support delivery of strategic objectives, particularly climate action, housing, and supporting the local economy, while driving forward the Golden Valley development and supporting the most vulnerable in town. Furthermore, treasury management activities have improved the management of business rates and council tax collection, providing support where possible for the many households facing financial challenges.  He said that although the housing revenue account shows a deficit, decisive action has been taken with the reintegration of housing services, and he anticipates this will drive efficiencies and rebuild services over coming years.

In conclusion, he said that the outturn report reflects the importance of building resilience into the system, while strengthening reserves to bring general balance levels to the optimum level as recommended by the S151 officer.

Member questions

While welcoming the very positive report, a Member said a number of residents are wondering whether income from the sale of major assets may have a positive impact on the future of the household recycling centre.  A simple response would be appreciated and helpful. 

The Cabinet Member for Finance and Assets said it is difficult to give a simple response, as any sale has liabilities attached and considerations to take into account, and although the council will be considering how incoming funds will be used, it faced many big financial challenges, especially around its key priorities, so it is difficult to say at this point where the money will be spent.

The Cabinet Member for Waste, Recycling, Parks, Gardens and Green Open Space reiterated that household recycling centres are the responsibility of the county council, but said he is meeting with county colleagues early next month to discuss the matter.  No decision has been made; the site is secure and not being sold off, but needs £1m-worth of infrastructure improvements to function safely.  He added that the county council is looking at the capacity of household recycling centres across the county generally, and it is noteworthy that since the closure of the Swindon Road site, usage of Wingmoor Farm has gone up by 26%, showing a significant number of Cheltenham residents are making use of that facility, which is now running efficiently at 95% capacity.

There was no debate on this item.

The following recommendations were approved.

RESOLVED that:

1.    the financial outturn performance position for the General Fund was considered, and it was noted that in delivering services in 2024/25, after the application of carry forward requests and following the use earmarked reserves, there was an underspend of £913 against the 2024/25 revised budget approved by Council on 21 February 2025;

2.    £420,144 of carry forward approved by the Section 151 Officer under delegated powers at Appendix 5 was noted;

3.    the annual treasury management report at Appendix 7 and note the actual 2024/25 prudential and treasury indicators was noted;

4.    the capital programme outturn position as detailed in Section 7 of this report  and Appendix 8, approve the carry forward of unspent budgets into 2025/26 was noted; 

5.    the year-end position in respect of Section 106 agreements and partnership funding agreements at Appendix 9 was noted;

6.    the outturn position in respect of collection rates for council tax and non-domestic rates for 2024/25 in Appendix 10 was noted;

7.    the financial outturn performance position for the Housing Revenue Account for 2024/25 in Appendix 11 was received,  and the carry-forward of capital budgets from 2024/25 into 2025/26 as set out in Appendix 12 was approved.