Issue - meetings

To report to the Scrutiny Committee on the performance of the Finance Department.

DECISION To accept the report and note the observations.

The report was presented by the Cabinet Member for Finance, highlighting the red and amber indicators. It was noted that one measure within the Income Service remained in the red category, namely the balance of the value of variable debts over six months old at the end of October 2025, and the figure was identified as just under £3.2m. It was elaborated that this was an increase of £1.377m since the end of the previous month and that £1.2m of that increase derived from debts from the Health Board and another local authority. It was noted that the other local authority's debt resulted from an administrative error within the Council when an incorrect order number was given on an invoice. It was confirmed that this issue had been resolved and the debt had been paid.

It was noted that the Health Board's debt continued to be a challenge and the adult service was in discussions with the Health Board in the hope that the debt would be reduced. Attention was drawn to the tax collection service's performance meter 'Current Year Council Tax Collection Rate' which reported in amber and noted that the service had faced significant problems due to the number of staff on long-term sickness. It was elaborated that the situation was improving and the service appeared to have turned a corner and was getting back on track. Concern was expressed that the council and non-domestic tax collection rates were lower in Gwynedd than historically and compared to other authorities in Wales, but doubts were expressed as to whether the way the statistics were reported reflected the full picture. It was noted that, from the internal information, the basic rate of collection of council tax was fairly normal, but it was noted that the shortcomings mainly related to the collection of the council tax premium on long-term empty properties and second homes. It was emphasised that this could change the overall figures. The intention to look at the issue over the coming weeks and months was noted to give a more balanced picture of the situation.

It was noted that, in terms of the Digital Plan, work was progressing well, but particular concern was noted about the risks related to software licensing costs, particularly given the expected increased use of artificial intelligence. A wider expectation within the information technology sector was noted that prices could rise after consumption stabilised, and it was noted that this was an issue that the service would keep a close eye on in the future.

The Head of Finance stated that he was satisfied with the overall performance of the department, although there were a few challenges in some services. It was stressed that plans were in place to address those challenges with the hope that better outcomes would soon follow.

During the discussion, the following observations were made:

A question was asked about the Health Board's debt. It was questioned whether the problem stemmed from conflicts over invoicing or debt agreements, or whether  ...  view the full minutes text for item 8