The projected overspend on Swindon Borough Council’s revenue budget has come down, but not nearly enough for comfort.
Members of the council’s Labour cabinet heard from the member for finance Councillor Kevin Small that the authority is on track to spend £8.4m more than the £188.8m it has budgeted for its everyday spending on services.
That’s down by just over £700,000 from the last report in September but is still causing grave concern in Euclid Street, where frantic efforts are being made to close the gap.
The council’s cabinet member for finance Councillor Kevin Small said: “ It’s a very challenging forecast. The reduction in the gap by £700,000 since the last report is good news, but more needs to be done.”
Cllr Small reminded the cabinet that there was a £1.5m budget contingency fund that had not been used and also £5m of cash reserves that was realised from the savings programme in the last budget.
This is also despite efforts to find savings in the the two highest spending areas of the council, adults’ services and children’s services, which are statutory duties that the council must, in law, fulfil.
Adults’ services which include running a care home and paying for car works to visit people in their homes, as well as home adaptations, are looking at a £2.5m overrun.
Children’s services, including looking after children and youngsters in care and funding social workers to work with families is headed for an overspend of £4.9m, which has grown by £500,000 since the September report.
Cllr Small said: “We’ve had to find £850,0000 extra for transport to school for children with special needs and disabilities, so that’s nearly £1m more for that.”
The finance member said he hoped that for next year’s budget the review process of SEND transport, which finalises the needs the council must meet, would take place earlier: “It doesn’t help to have something in mid-year that throws the budget out by so much.”
The council’s budget tracker said that by the end of September, the forecast for savings delivery is £16.1m, 82 per cent of what’s needed which is £800,000 lower than previously reported.
Cllr Small concluded by saying he believed that next year’s budget would only be balanced by the use of ‘exceptional financial support’ from the central government – for which it has applied.
This allows councils to meet revenue costs using money from capital budgets, but only when allowed by Whitehall.
Next year’s budget for 2025-26 must be agreed in February.
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