Agenda item

Deputy Leader and Executive Member for Finance and Governance, and the Executive Member for Corporate Policy and Resources.

The Executive Member for Corporate Policy and Resources, Councillor Lewanski, introduced a report which outlined the Council’s performance up to the end of Quarter 3 and proposed key performance indicators for 2021/22.

Of the ten indicators in Quarter 3, nine were on target or within the agreed tolerance. One indicator, KPI7, which tracks the number of affordable housing completions, was red rated. Councillor Lewanski explained that the impact of covid-19 on construction weighed on performance. However, looking at longer term trends, overall performance in affordable housing completions was on track, and 265 affordable housing units were under construction at the end of the Quarter.

Councillor Lewanski noted that the report proposed the roll forward of the Key Performance Indicators for next year with two proposed for removal. The Overview and Scrutiny Committee had considered the proposed Key Performance Indicators and requested that the removal of KPI12 ‘Movement in investment income as a % of the Council’s budget’ be reconsidered.

The Vice-Chairman of the Overview and Scrutiny Committee, Councillor Walsh, confirmed that the Committee had received and reviewed the Quarter 3 report and the proposed Key Performance Indicators, and that the Committee considered KPI12 an important measure for the Council. The Committee requested that it should continue to be reported.

In response, Councillor Lewanski proposed the following recommendation in addition to those contained in the report:

That the Executive delegates responsibility to agree the approach to KPI 12 in 2021/22 to the Portfolio Holder for Corporate Policy & Resources, in consultation with the Portfolio Holder for Finance and Governance, the Portfolio Holder for Investment and Companies, and the Chair of the Overview and Scrutiny Committee.

The Deputy Leader and Executive Member for Finance and Governance, Councillor Schofield, presented the Council’s Revenue and Capital Budget position for Quarter 3.

Councillor Schofield explained that the details of the significant budget variances and the details of individual scheme variances in the Capital Programme were set out in the report.

The main area of concern was the impact of the covid-19 pandemic. The situation was continuing to be monitored closely and the Council had more clarity on the extent to which Government would help fund the extra costs incurred and reimburse the Council for income losses. Confidence had increased that there would not be a significant financial burden to be funded by the Council in 2020/21. However, the picture for 2021/22 remained uncertain. The longer-term impacts on council tax and business rates income streams was likely to be confirmed well into the next financial year.

Councillor Schofield confirmed that the Council would do everything possible to minimise the impact.

Councillor Walsh confirmed that the Overview and Scrutiny Committee had noted the forecast of a satisfactory outturn, and that, in relation to covid-19, the net forecast impact for 2020/21 was cost neutral, taking into account covid-19 grant funding, although accurate forecasting remained challenging. It was also noted that not all the expenditure charged to the Feasibility Studies (Commercial Ventures) Reserve seemed to be related to commercial ventures, but included some broader capital projects.

The Leader of the Council, Councillor Brunt, thanked Members and Officers for their hard work in monitoring the impact of covid-19 and for providing information which had been valuable in enabling clear decisions to be made. The Leader also thanked the Overview and Scrutiny Committee for their work in scrutinising the performance.

RESOLVED:

1.    To note the Key Performance Indicator performance for Q3 2020/21 as detailed in the report and annex 1

2.    To approve the Key Performance Indicators to be reported on for 2021/22 as detailed in annex 1.1

3.    To note the Revenue budget performance for Q3 2020/21 as detailed in the report and at annex 2

4.    To note the Capital Programme performance for Q3 2020/21 as detailed in the report and at annex 3.

5.    That the Executive delegates responsibility to agree the approach to KPI 12 in 2021/22 to the Portfolio Holder for Corporate Policy & Resources, in consultation with the Portfolio Holder for Finance and Governance, the Portfolio Holder for Investment and Companies, and the Chair of the Overview and Scrutiny Committee.