Issue - meetings

To receive a report from the Head of Finance presenting the annual report and accounts to Members.

The Committee had before it, and NOTED, the draft Annual Report and Accounts for 2015/16.

The Head of Finance stated that the draft accounts had been completed ahead of schedule and that the external auditors would be on site the following day to commence their audit. He requested that the Committee hold a special meeting on 15 July to sign off the accounts should the external auditors be in a position to issue their opinion.

Reference was made to a summary within the report showing a list of all available reserves, illustrating that the Council had finished the year in a strong position. It was explained that not many technical changes had been made to the accounts, however, they had been made to look more like private sector accounts with an opening forward containing the key messages.

Discussion took place with regard to:

·         The good performance in the area of Council Tax and Business Rate collection with the Council being in the top quartile nationally for collection rates.

·         The move to Universal Credit would have an effect upon the Housing Revenue Account.

·         The Head of Finance was monitoring whether or not the closure of the Crediton office would have a significant effect upon rent collection, at the moment the effect was minimal.

·         Useable reserves continued to remain at the level agreed by full Council.

·         Earmarked HRA reserves would be used for new housing and keeping the current stock up to a decent standard.

·         The Council had made some investments which were proving to be financially beneficial.

·         More commercial activity involved a greater element of risk and this needed to be weighed up before entering any new venture.

The Committee congratulated the Head of Finance and his team on producing a set of draft accounts that were readable, understandable and easily read in electronic format.

Note: * Report previously circulated; copy attached to the signed minutes.