Richmond upon Thames Council is facing a projected budget overspend of £57,000 for the current financial year, a significant shift from last year's underspend of £483,000. This forecast for the 2026/27 financial year was detailed in a Q1 monitoring report presented to the Transport and Air Quality Committee.
The overspend, representing 0.6% of the committee's net budget of £9.698 million, is spread across several directorates. The Growth and Place Directorate faces a £50,000 overspend, primarily attributed to Engineering 3 - Road Safety
. The Finance Directorate is projected to be £31,000 over budget, and the Chief Executive Group anticipates a £55,000 overspend.
Key factors contributing to the projected overspend include a shortfall in income from CCTV services and higher than anticipated expenditure within the Growth and Place Directorate. The report also notes that elevated petrol prices are expected to continue impacting parking income.
The shortfall in CCTV income stems from a continued shortfall in external income compared to budgeted income from solicitors/insurance companies following a review of the charging structure for CCTV.
The council is reviewing the pricing to ensure it covers administration costs and is exploring potential economies of scale.
Elevated petrol prices, exacerbated by ongoing supply disruption following the conflict in Iran, have remained high since November 2022. This is expected to continue impacting parking income by reducing car journeys and thus parking activity for the remainder of the financial year. The council is closely monitoring this situation.
To address the overall projected £57,000 overspend, the council is actively monitoring the situation and will continue to review it as the year progresses. The report mentions an ongoing process of finding efficiencies and delivering services more efficiently and cheaper throughout the year. Specific initiatives for the Chief Executive Group's overspend are being considered, including the review of the CCTV charging structure and general efficiency drives.
The full details of the council's financial position can be found in the Public reports pack for the Transport and Air Quality Committee meeting.
