Report - London Borough of Hillingdon

80 This increases the total overspend on Benefits to £568k. The gross budget for
benefits this year is some £108m. This includes benefit payments to claimants, subsidy
income from government recovery of overpayments and costs of processing benefit claims.
There are a number of risks with this budget that is demand led and the net cost to the
council is very dependent upon the levels of subsidy and effective recovery of
overpayments.
Homelessness: £332k underspend (£58k adverse)
81 A key factor in monitoring the homelessness budget is forecasting income levels with
the movements in the size and mix of the temporary accommodation portfolio. The level of
income is dependent upon the mix of properties procured, the associated rent and
minimising the period that the properties are void. A reduction in the number of properties in
line with demand has led to higher than average void levels.
82 While it is forecast that the net budget will be £332k underspent, there are a number
of risks to be managed. These include:
• Maintaining the procurement programme for temporary accommodation;
• Control of void periods, to maintain budgeted levels of rent income;
• Ensuring that suitable properties are procured to match the demand for
temporary accommodation;
• Continue with the substantial reduction in homelessness acceptance levels.
Caravan Site: £11k overspend (£4k adverse)
83 Ongoing additional staffing cost to cover sickness and an increase in utility costs.
Housing Services: £65k underspend (£73k improvement)
84 This favourable movement is as a result of additional income following a review of
income levels; ongoing vacancies and additional capitalisation to Public Service Agreement
(PSA) resources.
Planning & Transportation £5k overspend (£13k improvement)
85 A projected overspend of £5k is forecast for month 6, a £13k improvement on month
5. The position is summarised in the table below:
Division of Service
Forecast
Variance
Month 6
£’000
Change
From
Month 5
£’000
Development Control -75 0
Support Services – Legal Services +80 -13
TOTAL +5 -13
Development Control: £75k underspend (no change)
86 Currently the income from Development Control is above the budget. The regular
monitoring of the weekly income from planning fees would indicate that this level of income
PART 1 – MEMBERS, PUBLIC AND PRESS
Cabinet report 10 th November 2005 Page 251