Agenda item

Joanne Hazlewood – Finance Business Partner

The Finance Business Partner introduced the report which stated the financial position for the end of the November period and asked the committee to reflect on any potential impact of the position. The Finance Business Partner noted that the budget will be set at the next meeting and that the updates provided are for information purposes. The Finance Business Partner stated that the forecast presented had been based on actual cremations during the April to November period. The Finance Business Partner stated that with the projections from the December to March the total would be 1,558 as well as extra income that is accounted for from additional sales etc. The Finance Business Partner noted that when the budget was set there was a surplus and so the distribution was reduced and the figures were revised and now their position is more favourable.

The Finance Business Partner highlighted some of the variances in the budget such as the underspend in employees due to a vacant post, the increase in premises costs over the last 4 years and the issues due to the age of the equipment in the crematorium. The Finance Business Partner added that they had introduced a Repairs and Renewals Fund and that as it would be a new reserve the budget for it should be reviewed when the budget is set. The Finance Business Partner added that there was also an underspend in the supplies and services due to a surplus from a previous bulk order but that this would also need to be reviewed when the budget is set.

The Finance Business Partner stated that there was more income then originally budgeted for at the end of November and added that there had been more cremations compared to the same period the year before. The Finance Business Partner stated that they had made some improvements to help remain competitive. The Finance Business Partner noted that they would continue to monitor the position but that they were projecting an increase in cremations compared to the year before meaning an additional £86, 000 as well as any extras or additional items that may be purchased. The Finance Business Partner wished to highlight that the tables in this report were done on the financial year and so would not match to the Manager report due to that being based on the January to December year.

The Finance Business Partner summarised that when the budget had been set they were unaware of the cremation numbers but this has now been revised, the service duration times have been revised from 20 minutes to 40 and the projections had been cautious however income levels had stabilised. The Finance Business Partner added that they are facing challenges with increasing contract prices costs and this must be considered when setting the budget.

The Finance Business Partner stated that the committee note the financial position for 22/23 and recommended that the committee notes the reduced distribution and that any shortfall can be funded from the reserves if required.