Issue - meetings

To receive and consider a report outlining the schools’ current financial position.

Katherine Vernon, Schools Finance Manager presented the 2022/23 Revenue Monitoring report and made the following points during her presentation:

·           A deficit of £5.7 million was projected, mainly relating to overspend in the High Needs Block (HNB);

·           The increased in-year deficit relates to £1.1 million from the from the HNB and £108k from the Schools Block.  £1.1m of the potential EHCP related in-year overspend flagged in July has already been seen as actual spends;

·           £55k was brought forward from the 2021/22 financial year and is held on behalf of maintained schools for contingencies;

·           It is expected that the new St Cecilia School will open this year (previously anticipated in 2021/22), therefore the Growth Fund estimated cost of the opening has been brought forward.  If classes do not open this year, there will be a carry forward (as shown in the appendix);

·           A review of the de-delegated budget was undertaken and an underspend of £57k is anticipated, this was kept under review;

·           There has been an increase in the number of Education Health and Care Plans (EHCPs).  Due to a lack of suitable places within the borough, children have had to be placed out of the borough. 10 additional places had to be funded at Addington School;

·           Additional funding relating to the 2021/22 financial year had been received for the Early Years Block due to a recalculation by the Department for Education (DfE) based on the census data.  The Early Years Task and Finish Group would discuss proposals for the allocation of the additional funds.

The Chairman acknowledged that approximately £1.1million of the projected £1.7 million EHCP related overspend had already materialised and asked if there were any further risks in the projections.  Lynne Samuel, Senior Finance Lead stated the risks were as previously reported, this was based on best available information.  The service was continually reviewing the information provided by the SEND Team.

Derren Gray asked for clarification on the Growth Fund figures.  Katherine Vernon explained that the £1.589 million was a top sliced figure agreed by Schools Forum from the Schools Block.  The £1.664 million was the total DfE Growth Fund allocation for WBC.

RESOLVED That the 2022/23 Revenue Monitoring report update, with the associated risks be noted.