Council saves £1.1m by cutting electricity and heating costs

FERMANAGH and Omagh District Council (FODC) has reported substantial cost savings in electricity and heating expenses, amounting to £1.1 million for the year ending March 31, 2024.

The latest figures, released as part of the council’s management accounts, show that electricity costs were estimated at £1.08 million but saw a saving of £831,000. Heating costs, initially projected at £618,000, were reduced by £184,000, coming in at £433,000.

These savings contributed to an overall surplus of £163,634 for the year, which was presented in the draft financial position by the director of corporate services and governance at a policy and resources committee meeting this week. The surplus will increase the Council’s General Fund balance to £4.4 million.

In addition to reduced utility costs, the council also reported an increase in budgeted income by £1.58 million, which came from various areas, including leisure centres, tourist facilities, theatres, off-street car parking, recycling income, and extra central government support.

There was also an overall net saving of £1.1 million, which the council has attributed primarily to a reduction in staff costs.

Furthermore, the council benefited from ‘exceptional income’ of £3.17 million, following a successful claim against HM Revenue and Customs (HMRC) for overpaid VAT related to leisure services.

It is anticipated that the accounts for the year ending March 31 will be signed and dated by the council’s chief financial officer and subsequently submitted to the Department for Communities and the Northern Ireland Audit Office by June 30.