Decision details

The report presents the draft outturn position against the general fund, HRA and capital programme for 2012/13

1.  That Cabinet note the General Fund, HRA and capital outturn position for 2012/13;

2. That Cabinet approve the proposed movements to earmarked reserves as outlined in paragraphs (a) and (b) of the report hereby detailed below:

a)  The under-spend of £2.1m has enabled a number of movements to and from earmarked reserves to be proposed as per the table overleaf.

b)  In accordance with statutory requirements, the Council has to make a depreciation charge within the HRA to reflect the use of the HRA assets over their useful lives. Within the old Housing Subsidy System the Council received a Major Repairs Allowance which was considered to be an appropriate measure of depreciation for the HRA assets. Now that the Housing Subsidy System has come to an end there is no longer an actual Major Repairs Allowance paid to the Council, however, for the next five years the Council is allowed to continue to use the Major Repairs Allowance figure, as detailed in the HRA self-financing settlement, as a proxy for depreciation. As part of the final accounts an actual depreciation charge has been calculated on the HRA assets. The difference of £1.17m between the actual charge and the Major Repairs Allowance settlement figure has been transferred to the Major Repairs Reserve in accordance with accounting guidance and will be used to support the maintenance and capital works to the existing housing stock.

Corporate priorities will only be deliverable with a robust budget. The budget needs to be carefully monitored and any variations reported to Members for approval

None considered