Agenda item

The Chairman introduced the Resources Report, beginning by thanking staff and Partners for achieving an excellent outturn. An enormous amount of work had taken place over the past year dealing with COVID on top of day to day work, so it was impressive to have an underspend of £1.336 million on the net budget of £352.5 million. The underspend will be put into the general fund. The Chairman wished to thank the government for the £70.4 million which was made available for COVID funding.

Schools balances rose to a net surplus of £5.9 million, with 93 schools having a surplus, but there continued to be pressures in the higher needs block and Special Educational Needs and Disabilities (SEND). The Government would continue to be lobbied about this area, which remained a national issue.

£17.9 million of COVID grants would be carried forward. It was proposed that there be increases to Earmarked Reserves to support the Economy, Tourism and the additional cost of waste disposal, as well as money for the financial risk reserve and Public Health. The spend on capital projects was £110.6 million with almost £90 million being carried over. Major projects included Hoobrook Island, Upton upon Severn and Malvern Technology Park.

The report was seconded, and Cabinet felt that the modest underspend showed good financial management. Adult Social Care was the largest part of the budget and was broadly at break-even, although there had been a £3.1million overspend in Learning Disabilities. There had been an underspend in some areas such as a number of Direct Payments which had not been claimed. It had been a difficult year due to COVID but the Government had given support by telling Local Councils that they should spend what was needed to deal with COVID.

The Chairman noted that the County worked as One Worcestershire and worked together with Communities to deal with the pandemic.

RESOLVED that Cabinet:

(a)        endorsed financial performance for the year ended 31 March 2022 and the unaudited Annual Financial Report and Statement of Accounts 2021/22,

(b)        approved the transfers to increase Earmarked reserves and general balances as detailed in paragraphs 39 to 48 of the agenda report,

(c)        considered the draft Annual Governance Statement for 2021/22 for comment before final approval is sought from the Audit and Governance Committee, and

(d)        noted the use of COVID related grant funding from Central Government during 2021/22 and amounts carried forward at 31 March 2022.