Appendix 1
Part A: Executive Summary & Overview Page 2
Part B: Revenue Budget Q2 2022/23
B1) Revenue Budget Page 5
Part C: Capital Budget Q2 2022/23
C1) Capital Budget Page 9
Part B
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In 2021/22, income recovered more strongly than expected from the pandemic and the Council generated a modest surplus compared with budget. For 2022/23, there is no more direct government funding to cover the costs of Covid, but the Council has been able to set a balanced budget. Additional provision of £1.3 million was made within the 2022/23 budget for the expected impact of higher inflation on the Council’s input costs. The projected peak level of inflation has continued to increase since the budget was set and this is likely to have an impact in particular on contract and energy costs, so the requirement for this provision will be monitored carefully to assess whether it will be adequate. If at any stage it appears that an overspend is likely, measures will need to be taken in-year to bring the budget back into balance.
The headlines for Quarter 2 are as follows:
Part B: Revenue budget – Q2 2022/23
· Overall net expenditure at the end of Quarter 2 for the services reporting to PI PAC is -£0.440m, compared to the approved profiled budget of £0.074m, representing an underspend of £0.514m.
Part C: Capital budget – Q2 2022/23
· Capital expenditure at the end of Quarter 2 was £0.000m against a total budget of £0.206m.
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B2) Revenue Budget
B1.1 The table below provides a detailed summary on the budgeted net income position for PI PAC services at the end of Quarter 2. The financial figures are presented on an accruals basis (e.g., expenditure for goods and services received, but not yet paid for, is included). The Lead Member for Planning & Infrastructure is responsible for all the services shown below.
PI PAC Revenue Budget & Outturn – Quarter 2
Planning Services
Parking Services
B1.2 The table shows that at the end of the fourth quarter overall net expenditure for the services reporting to PI PAC is -£0.440m, compared to the approved profiled budget of £0.074m, representing an underspend of £0.514m.
B1.3 The table indicates that in certain areas, significant variances to the budgeted income levels have emerged during the second quarter of the year. The reasons for the more significant variances are explored in section B2 below.
B2) Variances
B2.1 The most significant variances for this Committee are as follows:
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|
Positive Variance Q2 |
Adverse Variance Q2 |
Year End Forecast Variance |
|
Planning & Infrastructure |
£000 |
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|
PLANNING SERVICES |
|
|
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Building Regulations Chargeable – There has been an increase in income received so far this year, but there is some uncertainty around the level of income we might receive for the remainder of the year, so it is forecast that the budget will break-even by the end of the year. |
56 |
|
0 |
|
Development Control Advice – Demand for pre-application discussions and Planning Performance Agreements is down this year and this trend is expected to continue for the remainder of the year. |
|
-34 |
-76 |
|
Development Control Majors – There has been an increase in the number of major planning applications received this year, but there is some uncertainty around the number of applications we might receive for the remainder of the year, so it is forecast that the budget will break-even by the end of the year. |
108 |
|
0 |
Local Plan Review
The Local Plan Review (LPR) process is an important, high profile and continuous task
undertaken by the Planning Services team. The associated revenue spending profile however
is cyclical and does not fit the conventional 12-month financial planning process for general
revenue expenditure. Instead, spending tends to follow the five-year production period of
each Local Plan with various peaks and troughs over that time period.
The LPR process is therefore funded through an annual £200,000 revenue contribution, in
addition to the existing service budget, with any remaining unspent balances at year end
automatically rolled forward into the following financial year. The table below shows the
available revenue resources currently allocated to fund LPR activities, and the spend as at 30th September 2022.
|
Opening Balance 01/04/2022 |
Spending April - September 2022 |
Forecast Spending October 2022 - March 2023 |
Forecast Spending Balance 31/03/2023 |
|
£'s |
£'s |
£'s |
£'s |
|
1,461,727 |
271,833 |
1,196,767 |
-6,873 |
In addition to the annual funding a further £1m was allocated from the New Homes Bonus for 2022/23 for the LPR.
|
|
Positive Variance Q2 |
Adverse Variance Q2 |
Year End Forecast Variance |
|
Planning & Infrastructure |
£000 |
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PARKING SERVICES |
|
|
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On Street Parking – Income is up against the budgets for parking meter income and dispensation payments. |
35 |
|
57 |
|
Pay & Display Car Parks – Occupancy levels continue to be higher than forecast with long stay car parks performing particularly well so far this year. |
100 |
|
154 |
|
Off Street Parking Enforcement - Income is up against the budget for Penalty Charge Notices. |
50 |
|
60 |
|
Park & Ride – Spend against the running costs budgets is lower than forecast. |
25 |
|
50 |
B1) Capital Budget: Planning & Infrastructure PAC
B1.1 The position of the 2022/23 PI PAC element of the Capital Programme at the Quarter 2 stage is presented in Table 3 below. The budget for 2022/23 includes resources brought forward from 2021/22.
