5
The Chief Finance Officer submitted a report relative to the revenue budget year-end outturn for the HSCP for the 2022/23 financial year, as detailed in appendices 1 to 4 of the report. The report also sought approval for the transfer of funds to reserves to allow completion of the IJB’s accounts by the statutory deadline of 30 September 2023.
The report intimated that the year-end position reflected changes to the health budget in relation to a non-recurring budget allocation from the Scottish Government to fund the increased pay settlement for health employees in line with the agreed uplift for 2022/23.
The report advised that budget monitoring throughout 2022/23 had shown the IJB projecting an underspend prior to the transfer of year-end balances to general and earmarked reserves. The IJB final outturn was an underspend of £627k, as detailed in section 3.4 of the report, and these figures included the impact of COVID-19 funding from the draw-down of COVID-19 earmarked reserves, and, in line with Scottish Government funding arrangements, assumed a transfer of any in-year underspend as at 31 March 2023 to earmarked reserves in relation to winter pressure monies, Action 15, the Primary Care Improvement Programme, and the Alcohol and Drug Partnership.
The key pressures were highlighted in section 4 of the report; appendices 5 and 6 of the report provided a reconciliation of the main budget adjustments applied this current financial year; Appendix 7 of the report detailed the Scottish Government funding streams; and Appendix 8 of the report detailed the HSCP funded earmarked reserves.
The report provided information on prescribing; responding to the COVID-19 pandemic; Scottish Government funding 2022/23; other delegated services; reserves and the adult social care pay uplift.
In closing the annual accounts and in line with the IJB’s Reserves Policy approval was sought to approve an increase to general reserves of £758k, and the creation of an additional £8,164k of earmarked reserves, as detailed in the tables in section 9.5 of the report, which would be drawn down in line with their relevant spending profile reflecting the flexible funding approach agreed with the Scottish Government. The reserves had been split into Scottish Government ring-fenced monies, amounting to £5,723k and funding carried forward to deliver on specific projects, amounting to £2,441k.
The Chief Finance Officer advised that further detail and clarification around the financial outlook for 2023/24 and beyond, as mentioned in paragraph 3.5 of the report, would be provided as soon as the detail was available.
DECIDED:
(a) That the year-end financial position for 2022/23 be noted;
(b) That the proposed transfers to earmarked reserves, as detailed in section 9.4.3 and 9.5 of the report, be approved;
(c) That the proposed transfer of the year-end underspend of £758k to general reserves in line with the IJB’s Reserves Policy, as detailed in section 9.4.3 of the report, be approved; and
(d) That it be noted that further detail and clarification around the financial outlook for 2023/24 and beyond, as mentioned in paragraph 3.5 of the report, would be provided as soon as the detail was available.