The latest forecast of Hertfordshire County Council's budget for the 2024/25 financial year will be presented to the Resources and Performance Cabinet Panel next week (Thursday, 3 October). The report estimates an overspend of just under £1 million for the current financial year. 

A report to cabinet says the council's financial planning, which included a £20 million contingency fund built into 2024/25 budget will be used to bring down in-year overspends, but departments across the council will be asked to develop and deliver action plans to reduce the need to call upon these funds.

It continues: "Whilst inflation has reduced, the council continues to see the cost of materials increase, energy prices remain stubbornly high while pressures grow as more people require the vital services that we provide, particularly to the most vulnerable.

"The largest in-year pressures on the council's budget include £7.8 million within adult disability services due to a larger than predicted number of people requiring supported living and £8.9 million in respect of children who are looked after, due to the increasing cost of placing those who require care into independent placements."

Councillor Richard Roberts, Leader of Hertfordshire County Council said: "Like all local authorities we are again seeing pressures on our budget in-year due to a range of external factors, but thanks to our prudent financial planning I believe we are well placed to bring down this overspend to ensure that we can meet the challenges that are just over the horizon."

"By ensuring earlier in the year that additional funding was available we will be able to continue to support the most vulnerable while driving down on our own costs, making ourselves as efficient as possible so that every penny we spend is done to the betterment of Hertfordshire."

The full report can be found at:

https://democracy.hertfordshire.gov.uk/documents/s62984/03%20Item%203%20Q1%20Budget%20Monitor%202024-25.pdf