KIRKLEES PRIMARY CARE TRUST
Report to the Board 25th July Full Year Financial Accounts 2006/07 1.0 Purpose of Report The purpose of this report is to request the Board to adopt the PCT’s 2006/07 Annual Accounts.
2.0 Background The full year draft accounts were completed and submitted on the 8 th May in accordance with Department of Health deadlines. Since then the accounts have been subject to external audit’s review before being signed off by audit on the 5th July 2007. The updated accounts incorporating changes recommended by external audit have been presented to the Audit Committee at their meeting on July 3rd, who have recommended that the Board adopts the Accounts.
3.0
Annual Accounts 2006/07
A full set of 2006/07 accounts is included at Appendix A. A surplus of £906k is shown in the 2006/07 accounts (previously reported to the Board £913k, change due to revised cost of capital following updated prior period adjustment).
4.0
Financial Duties and Targets
The PCT’s financial duties are to: Manage revenue expenditure within a predetermined resource limit Manage capital expenditure within a predetermined resource limit Manage cash within a predetermined cash limit; this includes both revenue and capital. Demonstrate full cost recovery on an accruals basis in relation to (the PCT’s) provider functions (i.e. its expenditure is matched by income). In addition to these duties, the PCT has a financial target to pay 95% of its invoices within 30 days.
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The PCT’s outturn financial performance for 2006/07 is presented in the table below. 2006/07 Planned
2006/07 Actual
Achieved
487,035
486,129
Yes
1,637
1,635
Yes
Cash Limit
488,562
488,562
Yes
Provider Function
34,727
33,471
Yes
95%
69.1%
No
Duties Resource Limit Capital Resource Limit
Targets Public Sector Payment Policy
The table above demonstrates that the PCT has met all of its financial duties for 2006/07. The PCT has a financial target in that it should pay 95% of its non NHS invoices in 30 days (Public Sector Payment Policy). For 2006/07 the PCT failed to meet this target, for 2007/08 an action plan is in place to ensure performance is significantly improved.
5.0 Recommendations The Board is asked to adopt the 2006/07 Annual Accounts.
Bryan Machin 14th July 2007
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