NORTH YORKSHIRE COUNCIL

 

EXECUTIVE

 

18 NOVEMBER 2025

 

QUARTERLY PERFORMANCE AND BUDGET MONITORING REPORT

 

Joint Report of the Chief Executive and

Corporate Director – Resources

 

 

EXECUTIVE SUMMARY

 

 

 

1.0       Background

1.1       The Quarterly Performance and Budget Monitoring Report seeks to bring together key aspects of the Council performance on a quarterly basis. The Summary below captures the key points in this Quarterly update as set out in the main body of the attached report.

2.0       Performance

2.1       The quarter 2 performance report covers the period 1st July 2025 to the 30th September 2025 providing a comprehensive picture of performance across North Yorkshire.

 

3.0       Revenue Budget 2025/26

3.1       At the end of Q2, there is a forecast net overspend of £7,849k against the 2025/26 budget (paragraph 2.2.1). Despite including growth of £12.0m in the 2025/26 budget for Children & Young People’s Services, the increasing demands in the service is leading to a significant forecasted overspend of £15.1m gross. A number of funding sources (some of which are one-off in nature) are being applied to offset the forecast overspend from £15.1m to £11.0m. 

3.2       The key drivers of the financial position are outlined in the sources set out below:

1.    A breakdown of each of the Directorates forecast outturn variance is provided in Appendices B to F with the financial position for NYES provided in Appendix G.

2.    A detailed HRA forecast outturn position is provided in Appendix H which is reporting a £4,437k deficit.

3.    An update on the council’s reserves position is provided including the latest position on the spending relating to the transition to the new unitary council (Section 2.5).

4.    Recommendation to approve an additional £549k from the LGR reserve to fund the Customer Engagement Platform (paragraph 2.5.2 and Appendix I).

 

4.0       Annual Treasury Management and Prudential Indicators

4.1         For North Yorkshire Council External debt stood at £367.0m at 30 September 2025. The average interest rate of this debt was 3.75% (paragraph 3.13).

4.2         Investments outstanding at 30 September 2025 were £710.8m of which £136.7m belonged to other organisations who are part of NYC’s investment pool arrangements. (paragraph 3.9 & Appendix A).

4.3         For cash invested the average interest rate achieved in the 2nd quarter of 2025/26 was 4.44% which stood above the 7 day benchmark rate of 4.19% (paragraph 3.10).

 

5.0       Capital Plan

5.1       After additions and reprofiling, the Council is currently planning to invest £294.8m on capital schemes across the County in 2025/26 and £778.1m, in total, over the Capital Plan period.

 

5.2       Financing of the Capital Plan for 2025/26 is largely through grants and contributions, with £181.6m from this source; then revenue £70.0m, capital receipts £34.4m and borrowing £8.9m (paragraph 4.9.4).

 

5.3       A recommendation to approve the commitment of £2m of Strategic Capacity Reserve funding to address any potential overspend relating to the Selby Transforming Cities scheme is included (paragraph 4.5.2).

 

 

 

RICHARD FLINTON

Chief Executive

 

County Hall

Northallerton

18 November 2025

GARY FIELDING

Corporate Director, Resources

 

Contents

 

1.0       2025/26 Quarter 2 Performance Commentary

 

2.0       Revenue Budget 2025-26

 

3.0       Treasury Management

 

4.0       Capital Plan

 

5.0       Legal Implications

 

6.0       Consultation and Responses

 

7.0       Conclusions and Recommendations