Covid will likely cost Islington Council £ 22million more in 2021/22

The cost of the pandemic means Islington council faces additional pressure on the budget to the tune of £ 22.7million – but most of it will be covered by government grants and contingency funds.

It is predicted that Covid-related costs could reach £ 3.2million in adult social care, £ 2.9million in children’s services and £ 7.5million in regeneration of the ‘environment.

Once the council takes into account central government funding and emergency funds of £ 5.5million, it expects a £ 200,000 overrun for 2021/22, according to an early forecast.

Overall, the council is budgeting £ 176.2million for the year.

He is also due to find £ 25.8million in savings from his general fund this year.


You can also watch:


Cllr Satnam Gill, head of finance and performance, said the pandemic has also delayed the council’s housing construction program.

This means the housing income account could have an underutilization of £ 15million.

A council budget monitoring report stressed that any forecast remains “very uncertain” due to the resumption of the coronavirus.

He warns, “Rather than a one-time event from which the board’s budget is recovering, Covid-19 will continue to have a significant continuing impact on the board’s budget for the foreseeable future.

“There is a need to maintain and, where possible, increase the resilience of the board’s balance sheet and reserves to reflect the tightening fiscal risks over the medium term.”

So far the government has confirmed a general grant of £ 11.7million and contains an outbreak management fund.

The council is estimated to receive £ 2.4million in compensation from the government lost revenue program for lower sales, fees and charges for the first quarter of 2021/22, according to a report to the executive advice.

Among the likely lost income are £ 500,000 from not being able to rent the meeting room and £ 100,000 from license.

The environment ministry “relies heavily” on royalties and collects revenue to subsidize its services. He faces a ‘substantial decrease’ of £ 3.9million in likely income from payments and postings, penalty notices and permits and vouchers.

The council also envisions a loss of £ 3million in revenue from recreation centers and events in parks and open spaces.

Proceeds from commercial waste collection and weddings are also likely to be hit hard.

Source link

About Natalee Broderick

Natalee Broderick

Check Also

New study outlines opportunities for UK companies in US offshore wind growth

09/15/2021 The British Consulate General in Boston, Massachusetts, tasked global energy consulting firm Xodus to …

Leave a Reply

Your email address will not be published. Required fields are marked *