Decision details

Councillor Howell presented a report detailing financial performance relating to the General Fund, Housing Revenue Account, Capital Programme and Treasury Management, based on actual expenditure and income from April to September. 

.

Councillor Howell drew members’ attention to the main items in the report in that the General Fund was forecast an underspend of £1,488,000; the Housing Revenue Account was forecast an underspend of £2,949,000; the Capital Programme was forecast an underspend by £3,414,000, with an updated position including slippage brought forward from 2016/17 and slippage of £2,571,000 to be carried forward to 2018/19, which left an actual underspend of £843,000.  Treasury Management activity now included external borrowing both short term and long term relating to the Council’s purchase of the 50% share of Chesterford Research Park by Aspire Ltd, the Council’s wholly owned subsidiary company. 

Councillor Howell highlighted further sections of the report, including updates on efficiencies; variances outside the control of the Council; and commitments already agreed.  He drew attention to the expanded treasury management report, identifying the structure of the funding of Aspire Ltd. 

Councillor Redfern referred to the underspend in the Housing Revenue Account.  She said the slippage was mainly on the development work at Reynolds Court, Walden Place and Hatherley Court.  The first two schemes were progressing well, and in respect of Hatherley Court, further information would be brought to Cabinet in January.  Regarding the purchase of eight new properties in Radwinter, three were now ready and the rest would be ready in 2018/19. 

Councillor Lodge asked how the repayment profile was structured for the Phoenix Life Ltd loan. 

The Director of Finance and Corporate Services said drawing down would be in three tranches; repayments would be interest-only for the first five years, and then repayments of interest and capital would be made, as modelled in the repayment plan. 

            RESOLVED to note and approve the outturn forecast position.