FINANCIAL YEAR END - ANALYSIS OF BALANCES

The end of the financial year is fast approaching and with it the closure of accounts.

This has to be done a month earlier than last year as required by the Audit Commission.

Closure of accounts also means that you will have to provide an analysis of revenue balances in hand at 31 March, 2006 to demonstrate that these are being held for purposes approved by the Schools Forum. The early closure means that we should try and complete this task by the end of Summer term so that any worries on this score are removed before you go off for the summer break. I shall however, ensure that sufficient time is available to see that proper consideration is given to all the issues affecting any particular school.

Since last year we have taken the opportunity to revise the guidance notes on the reasons for holding balances. A sample form and a copy of the revised guidance notes are attached for your information. On the return I will show the sum that can be retained to balance the budget. As you may recall this was the most contentious area.

Training has also been provided for school finance support staff to try and ensure that everyone is on the same wavelength and to ensure schools are not given inconsistent advice. In addition for schools that still have some worries, training sessions at the Heartsease Training Centre are being arranged to go through the issues involved; details will follow shortly.

During the Summer term the Schools Forum will be reviewing the existing scheme and the outcome of their deliberations will be included in the Autumn consultation.

The detailed timetable on the closure of accounts and the analysis of balances will be sent from my finance staff in good time.

Sample Sheet

Guidance Notes


Lisa Christensen - Director of Children's Services