Agenda item
To provide an overview of the Council’s financial outturn for the year 2024/25 and in-year budget adjustments for 2025/26 to date.
Minutes:
Members had been presented with the report of the Corporate Director (Finance & IT) (A.1) which provided an overview of the Council’s financial outturn for the year 2025/25 as well as in-year budget adjustments for 2025/26 to date.
The Committee heard that on 27 June 2025, the Portfolio Holder for Finance and Governance had considered the detailed Financial Outturn position for 2024/25 and made an executive decision as follows:
(a) that the financial outturn position for 2024/25, as set out in the Officer report and its appendices, be noted;
(b) that the financing of General Fund capital expenditure for 2024/25, as detailed in Appendix D, be approved;
(c) that the movement in uncommitted and earmarked General Fund reserves for 2024/25, as set out in Appendix E, be approved;
(d) that the General Fund revenue carry forward items totalling £15.093m, as set out in column 4 of Appendix K, be approved;
(e) that the General Fund capital carry forwards totalling £59.477m, as set out in Appendix D, be approved;
(f) that, in respect of the HRA, the movement on HRA balances for 2024/25, including any commitments set out within Appendices H and/or I, along with recharges to the HRA from the General Fund of £3.025m for the year and the financing of the HRA capital expenditure, as set out in Appendix I, be approved; and
(g) that the overall General Fund outturn variance of £5.417m for 2024/25 that is being carried forward via the Revenue Commitments Reserve be noted; and
(h) that Cabinet be recommended to approve the proposed allocations from the variance amount, as set out within Table 3.
It was reported that subsequently, on 25 July 2025, Cabinet had considered an overview of the financial outturn for 2024/25 and the proposed allocation of the general fund variance for the year and other in-year budget adjustments. It had been resolved by Cabinet that:
(a) the high-level Financial Outturn Position, as set out in this report (A.5), and the favourable General Fund Revenue variance of £5.417m for the year, which is currently held within the Revenue Commitments Reserve be noted;
(b) the use of the General Fund Outturn for the Year of £5.417m, as set out in Appendix A (Section 1), be approved;
(c) in respect of the additional £1.000m set aside to support the delivery of savings / efficiency plans and wider corporate priorities, the Chief Executive, in consultation with the Portfolio Holder for Corporate Finance and Governance, be authorised to utilise this funding during the year;
(d) in respect of the additional £1.000m set aside for Coast Protection Works, this be added to the remaining budget of £0.970m associated with earlier decisions, and that the Corporate Director (Operations and Delivery), in consultation with the Portfolio Holder for the Environment & ICT, be authorised to utilise this funding during the year;
(e) the budget adjustments for 2025/26, as set out in Appendix A (Sections 2 and 3), be approved;
(f) the Council’s Section 151 Officer, in consultation with the Corporate Finance and Governance Portfolio Holder, be authorised to adjust the outturn position for 2024/25 along with any corresponding adjustment to earmarked reserves as a direct result of any recommendations made by the Council’s External Auditor during the course of their audit activities relating to the Council’s 2024/25 accounts; and
(g) Officers, in consultation with the Portfolio Holder for Housing and Planning, be requested to continue to explore opportunities to support the Council in addressing the increasing financial challenge associated with the demand for homelessness / temporary accommodation, and to present reports to future meetings of Cabinet, including the potential options associated with the possible levying of charges, balanced against various issues such as the circumstances of those seeking support.
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Questions by Members: |
Answers: |
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What is the total amount of ringfenced funding? What are the specific purposes for which these funds are being allocated? And are the associated projects or initiatives expected to be delivered as planned?
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(Councillor M Stephenson) It is assumed that the reference to ring fenced funding relates to where a decision has been made to allocate a budget via the budget setting process, financial performance reports or separate decisions during the year. With this in mind, the associated decisions would have set out the basis / purpose of the funding (and / or further delegations agreed) and the items would subsequently be included within the budget with progress reported within the regular financial performance reports that would provide commentary around the delivery of the projects / initiatives as necessary. Was there any particular ring-fenced funding the Committee would like more information on? |
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Is there a document you can provide with all the ringfenced budgets? |
(Richard Barrett) I am amenable to engaging in a discussion outside the meeting to gain a more comprehensive understanding of the intended outcomes.
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What is the financial impact should the cost of the Waste Contract exceed initial expectations? |
(Councillor M Stephenson) As set out in the May 2025 Cabinet report, it was highlighted that the proposed approach would be based on the use of one-off funding, supported by savings and efficiencies within the overall GF revenue budget as necessary. This remains the planned approach with no direct impact on the provision of existing services.
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Can you provide clarification on the source of any additional funding required and the anticipated budgetary position in such circumstances?
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(Councillor M Stephenson) Following on the above, and as set out within the outturn report for 2024/25, £2.417m has already been set aside to support the cost of the contract. In accordance with the proposed use of one-off money set out above, it is proposed to utilise a limited number of currently uncommitted one-off budgets to meet the initial three-year cost of the contract.
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Is there a contingency plan is in place to address any potential overspend associated with the Carnarvon Terrace project? |
(Councillor M Stephenson) As set out within previous reports, such risks have been highlighted and discussed and included within risk management plans and a contingency sum has been allocated to the project from within the overall agreed budget.
The consideration of this key issue will also be revisited within the associated report following the completion of the procurement process, which is planned to be presented to Cabinet in early 2026.
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Can you provide assurance that, should any such overspend occur, this Committee would be formally notified?
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(Councillor M Stephenson) Such issue would form part of Cabinet reports as necessary and therefore available to all Members. They would also be included within the regular financial performance reports as necessary, that already form part of the Committee’s work programme.
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I would appreciate clarification regarding the £45,000 allocated for the creation of a fixed-term Refugee Support Officer position. Specifically, is this funding sourced from the Government? Additionally, could you confirm the duration of the fixed-term appointment? I am also interested in understanding the core purpose of this role and the specific needs it is intended to address within the current context.
Is this talking about illegal immigrants?
Do we know who these people are? Have we been informed by the Government that they are arriving and do we offer them housing?
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(Councillor M Stephenson) This is regarding refugees and once they have been granted the right to remain. It was about dealing with people who have been given asylum status and working with them, which we felt we were not doing well enough?
No, this is not about dispersing illegal immigrants. It pertains to supporting those who have been granted the right to remain, facilitating their transition and integration through the next stages of resettlement.
I do not believe these questions are directly relevant to the agenda item currently under discussion. Therefore, I would kindly ask that they be submitted outside of the Committee for consideration through the appropriate channels.
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Do Colchester and Braintree have a Refugee Support Officer and the same Government funding? |
(Councillor M Stephenson) I don’t know. I will endeavour to find out that information and it will be added to the written response.
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Homelessness costs have doubled, what do you attribute that to? |
(Councillor M Stephenson) This is a nationwide issue and not unique to Tendring. However, our associated costs have not risen to the same extent as in some other areas, largely due to proactive initiatives such as the Spendells project and the fact that we do not currently have any individuals experiencing homelessness accommodated in hotels. Nationally, homelessness figures continue to rise. In response, the Portfolio Holder responsible for Housing and I are working closely with an Officer Working Party to explore and implement strategies aimed at reducing costs and improving outcomes.
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What are the percentage of voids we have where we can house these people?
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(Councillor M Stephenson) Under 2%, which is our goal. |
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Could you please confirm whether the increase in asylum seekers is contributing to the reported figures?
It was previously noted at a meeting that there is a correlation between homelessness and unemployment. In light of this, could you clarify why the homelessness figure is continuing to rise and resulting in increased costs for the Council? |
(Councillor M Stephenson) Asylum seekers represent a very small proportion of those reflected in our data. Approximately 75% of individuals currently in temporary accommodation are there due to factors such as antisocial behaviour, issues with landlords, and family disputes. The remaining 25% encompasses a wide range of other causes—around 20 distinct categories—with asylum seekers ranking among the least prevalent. While this may be a more prominent issue in other areas, it is not currently a significant concern within Tendring.
A report from the Officer Working Party addressing temporary accommodation is scheduled to be presented to Cabinet in January. This report is expected to provide comprehensive responses to many of the questions currently being raised.
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With reference to the 2% of void properties within the District, could you advise on what measures might be taken to mitigate the associated costs? To what extent is this issue influenced by a shortage of rental properties? Additionally, could you provide clarity on the current number of vacant homes in the area?
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(Councillor M Stephenson) The issue at hand relates to both homelessness and the housing waiting list. Introducing a policy that prioritises individuals experiencing homelessness for placement into void properties would present several challenges. Many of these properties are currently undergoing refurbishment, which is a time-consuming process, and others are classified as long-term voids that we are actively working to address. If we were to allocate voids directly to those in temporary accommodation, it could inadvertently create a perception that bypassing the housing waiting list is a viable route to securing a council property. This could, in turn, lead to an increase in demand for temporary accommodation, further exacerbating the pressures on our housing services.
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At this stage of the meeting, the Leader of the Council, the Portfolio Holder for Environment and ICT, and the Corporate Director (Law and Governance) left the meeting.
It was unanimously RESOLVED that the Committee:-
(a) notes the questions raised regarding the use of the refugee settlement grant and whether similar arrangements are in place within neighbouring authorities, and looks forward to receiving a response from the Leader of the Council;
(b) notes the request for an investigation into ringfenced funds and anticipates receiving the relevant documentation at its meeting in January 2026; and
(c) recommends to Cabinet that assurance be provided confirming the Committee would be notified in advance of any underspend that may impact the Council’s funding.
Supporting documents:
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A.1 - Financial Outturn - Report, item 24.
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A.1 - Appendix A - Financial Outturn 202425 - 27 June 25, item 24.
PDF 332 KB -
A.1 - Appendix B - Financial Outturn 202425, item 24.
PDF 184 KB


