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Issue - meetings

2025/26 Quarterly Finance Review Q1

 

 

Meeting: 10/09/2025 - Executive (Item 383)

383 Quarterly Finance Review Q1 pdf icon PDF 427 KB

Purpose:

To detail the Council’s financial performance for Quarter One 2025-2026.

 

Recommendation:

That the Executive resolves to:

1.    Note the Council’s Financial Performance for Quarter One 2025-2026.

Additional documents:

Minutes:

Councillor Alaric Smith, Executive Member for Finance, introduced the item, the purpose of which was to detail the Council’s financial performance for Quarter One 2025-2026.

 

Councillor Smith advised that:

 

  • At quarter 1 there was an overall underspend of £260,745 against a profiled budget for the period. Key factors driving this position were: additional income from Trade Waste; the Leisure Contract; vacant posts and better than expected performance in respect of the materials recycling contract.
  • Budget setting for 2025/26 had reduced the base budget for recycling by £300,000, however despite this, in quarter 1 the contract was £25,000 underspent.
  • Income from Trade Waste was £164,000 above target but this was partially offset by expenditure on bins and boxes.
  • There had been vacant positions in Legal and Conservation that had resulted in a combined underspend on employee costs of approximately £50,000. Officers were now in place in those areas and so these savings would now end.
  • The leisure contract was £41,000 ahead of budget, so was performing better than expected
  • The Governments consultation on Fairer Funding Review and Business Rates Reset had ended and final proposals from MHCLG were expected by the end of October. West Oxfordshire would be subject to a cash cut as it was not subject to a funding guarantee. This had been modelled in the Councils medium term financial strategy which would be further updated when more detail emerged.

 

Councillor Smith proposed accepting the recommendations of the report.

 

Councillor Graham seconded the proposal.

 

This was voted on and approved unanimously.

 

RESOLVED:

That the Executive:

1.    Noted the Council’s Financial Performance for Quarter One 2025-2026.

Meeting: 03/09/2025 - Overview and Scrutiny Committee (Item 37)

37 2025/26 Quarterly Finance Review Q1 pdf icon PDF 427 KB

Purpose

Pre-decision scrutiny of an Executive report detailing the financial performance of the Council in the first quarter of 2025/26.

 

Recommendation

That the Overview and Scrutiny Committee resolves to:

1.      Note the report and agree any recommendations it wishes to submit to the Executive.

 

 

Additional documents:

Minutes:

Councillor Alaric Smith, Executive Member for Finance, introduced the item and was supported by Madhu Richards, Director of Finance, and Georgina Dyer, Head of Finance. The Executive Member made the following points;

 

  • At the end of quarter 1 there was an overall underspend of £260,745.
  • Key factors driving the position were: additional income from Trade Waste; the Leisure Contract; vacant positions and better than expected performance in respect of the materials recycling contract.
  • The Recycling contract had commenced in September 2024. Between September 2024 and March 2025, the contract had saved the Council an average of £60,000 per month. In quarter 1 the contact was £25,000 underspent against the reduced base budget.
  • Green Waste income was £30,000 behind target; however, the net income was £1.2m. 
  • Trade waste was £164,000 above target and was partially offset by expenditure on bins and boxes. The estimate for the year end position was £216,000 underspent. 
  • Legal shared service vacancies had resulting in an underspend in the quarter. Subsequent recruitment to these posts had meant that this saving would cease, however Officers were now in post which was positive.
  • Development Management appeals were underspent by £24,975 in quarter 1, however it was noted that this was dependent on the actions of third parties.
  • In the Conservation Service two vacant posts had resulted in an underspend, these positions had now been recruited to.
  • The Leisure contract was £41,000 ahead of budget.
  • The Government’s proposals for The Fairer Funding Review and Business Rates Reset were out for consultation until 12 August 2025. Final proposals were expected to follow by the end of October. The Council was aware that it would receive less funding, however the position was no worse than expected or planned for.

 

In discussion, members raised the following points:

 

  • Although decisions would be influenced by Local Government Reorganisation (LGR) there was a need to ensure that there were no gaps in services and contracts.
  • A query was raised as to the degree of planned capital expenditure and the use of external borrowing. The Officer explained that all current planned expenditure would not require external borrowing. On the current LGR timetable, the Council’s last budget would be for 2027/28, with a Shadow Authority budgeting for 2028/29. Therefore, considerations for capital expenditure and borrowing would be a key question for the next budget cycle.

 

The Chair thanked the Executive Member and Officers for their presentation to the Committee.

 

Resolved: The Overview and Scrutiny Committee noted the report.

 

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