25 November 2015

Council finances back on track this year

A report to Brighton & Hove City Council's Policy & Resources committee on Thursday 3 December will detail a significantly improved budget position of the council for the current financial year, following a range of measures being put in place to control spending.

The forecasted overspend will be reported as being £1.653 million in October (month 7), an improvement of nearly £3 million on the previous month’s forecasted of £4.751million. In September, the forecasted for August (month 5) was reported as £7.2milion.  The recent improvement means that the council expects to bring the budget in on target in April.

The reduction in overspend follows the introduction of strict financial controls across the council in September, including spending restrictions and a recruitment freeze. This approach was confirmed at a special Policy & Resources committee convened by the Leader of the council and held on 4 November.

Councillor Warren Morgan, leader of the council, said: “It’s clear that these strict recruitment and financial controls are having the effect that is needed, but we must continue being vigilant with our spending to make sure that we stay in control. That said, there are still significant pressure on our children’s and adult’s social care budgets and our temporary accommodation budget.

“The budget proposals for the next four years, that we are publishing on Thursday 26 November, address how we plan to redesign services, strip out middle management cost and improve efficiency across the council as we attempt to deal with a £68million reduction in our grant funding from central government.”