An in-year shortfall of £17.7m is projected for Trafford as a consequence of Covid-19. This is the initial figure and could get worse if we’re hit by a second wave. The council publishes regular reports throughout the year on its finances known as out-turn reports and the first of these is to be presented to the Executive on Monday 20th July.
- Anticipated the surge in demand for children’s placements will continue, adding an extra £1.2 million to costs
- Additional transport costs for children due to social distancing £0.8m
- Surge in demand for children’s early stage support £0.6m
- Income from nurseries down £0.23m
- Additional £4.3m to care providers
- Additonal client demand £1m
- Efficiency Savings planned for the year reduced by £0.9m
- Most of £1m+ extra spend on Test and Trace to be covered by Government Grant but additional £33k has been incurred.
Environment – Total change from budget: £6.8m
- Primarily loss of £5.5m of income (parking fees and fines £887k, property rentals £763k, outdoor media advertising £651k, planning fees £581k, building control fees £168k, licencing £132k, highways permits £116k, street trading £60k and pest control £38k) but additional £955k of waste disposal costs and £114k related to waste collection, £140k for rough sleepers, £50k for inclusive neighbourhoods, £35k traffic management. Within this is also the cost of supporting Trafford Leisure.
- Lost income on council services that are bought in by schools and other agencies accounts for almost all this total
The anticipated airport dividend of £5.5m is no longer expected but government grants of £6m have reduced the overall impact of covid-19 from £23m to £17m. The effect on council tax and business rates are still being felt and the council’s finances will be very much dependent on the extent to which Government honours it’s agreement to support councils in doing what needed to be done.Full Report