Archived decisions

Income and Expenditure Account

This account summarises the resources that have been consumed and generated in providing services

and managing the council during the last year. It includes all day-to-day expenses and related income

on an accruals basis, as well as transactions measuring the value of fixed assets actually consumed and

the real projected value of retirement benefits earned by employees in the year. The net cost of services

is presented using the service expenditure analysis set out in the Best Value Accounting Code of Practice.

2006/07

See

Income

2007/08

Net

note

Gross

Specific

Other

Total

Net

Expenditure

Expenditure

Grants

Income

Expenditure

£'000

£'000

£'000

£'000

£'000

£'000

3,032

Central services to the public

5,902

-

-1,935

-1,935

3,967

98,859

Cultural, environmental and planning services

133,009

-1,305

-23,237

-24,542

108,467

163,588

1a

Children's Services & Education

1,047,450

-752,881

-105,110

-857,991

189,459

66,528

Highways, roads and transport services

80,337

-4,160

-7,652

-11,812

68,525

220,018

1a

Adult Social Care

362,428

-59,300

-80,002

-139,302

223,126

416

Court services

1,340

-

-912

-912

428

12,968

Corporate and democratic core

12,841

-

-

-

12,841

-3,561

Reward grant

-620

-

-620

-620

1,186

2

Non-distributed costs

14,146

-

-

-

14,146

-

3

Exceptional Item

-

-

-168

-168

-168

-3,505

4

Reduction in provisions

-3,017

-

-

-

-3,017

559,529

Net cost of services

1,654,436

-818,266

-219,016

-1,037,282

617,154

-2,009

5

Surplus deficit on trading undertakings

-1,897

13,782

6

Interest

21,192

10,634

10,558

14,090

7d

Pensions interest cost and expected return on pensions assets

16,520

-

8

Loss/gain on disposal of assets

-6,430

585,392

Net operating expenditure

635,905

Amount to be met from Government grant and local taxpayers

-19,472

Revenue support grant

-17,631

-100,871

National business rates

-105,061

-444,717

Council tax income

-471,356

-3,300

Surplus on collection funds

-4,175

17,032

Deficit for the year on the Income and Expenditure Account

37,682

Statement of Movement on the General Fund Balance

The Income and Expenditure Account shows the council's actual financial performance for the year, measured in terms of the

resources consumed and generated over the last financial year. However, the authority is required to raise council tax on a

different accounting basis, the main differences being:

*

capital investment is accounted for as it is financed, rather than when the fixed assets are consumed

*

retirement benefits are charged as amounts become payable to pension funds and pensioners, rather

than as future benefits earned.

The General Fund balance compares the council's spending against the council tax it raised for the year, taking into account

the use of reserves built up in the past and contributions to reserves earmarked for future expenditure.

The reconciliation statement summarises the differences between the outturn on the Income and Expenditure Account

and the General Fund balance

2006/07

2007/08

£'000

£'000

17,032

Deficit on the Income and Expenditure Account for the year

37,682

-29,607

Net additional amount required by statute and non-statutory proper practices to be credited

-44,240

to the general Fund Balance for the year (this is shown in detail below)

-12,575

(Increase)/decrease in General Fund Balance for the year

-6,558

-4,167

Balance brought forward 1 April

-16,742

-16,742

Balance carried forward at 31 March

-23,300

35