Issue - meetings

Report ED18038

The Sub-Committee considered a report which provided the budget monitoring position for 2017/18 based on activity up to the end of September 2017.

The Schools’ Budget was predicted to underspend by £124k during 2017/18, and this would be added to the £1.6m carried forward in 2016/17.  The Non-Schools’ budget was projected to overspend by £648k.

The Education division was predicted to overspend by £245k.  There were pressures in in-house nurseries of £172k, and other strategic functions were overspending by £163k, partially due to additional costs of business rates together with a £128k of a £300k efficiency target given to the Education division that had not materialised.  SEN and Inclusion was underspending by £54k, mainly due to the transport service contract payments being less than budgeted.  In response to a question surrounding whether the efficiency target had been a realistic expectation, the Head of ECHS Finance confirmed that the efficiency target would not be included in the 2018/19 budget.

The Children’s Social Care division was currently projected to overspend by £403k.  Placements for children continued to be a pressure area and the number of placements had increased above budgeted levels.  Leaving care also continued to be an ongoing pressure for both the 16-17 age group and the 18+for whom housing benefit contributed to the costs.  Current staffing pressures amounted to £650k, although there was a drive to permanently recruit with the ambition to have only 10% of staff being locums by the end of the year.  To help alleviate the overspend pressures, management had introduced a freeze on some areas of the budget in children’s social care.  It was anticipated that this would achieve savings of £350k.

The Head of ECHS Finance reported that the review of in-house nursery provision would continue and Members stressed the need to ensure that the benefits of early years provision was maintained and developed.

A Member suggested that it would be helpful to identify in the report where increased expenditure was the result of increased demand.

The Sub-Committee considered and discussed issues surrounding cover for social worker absence.  The Director of Children’s Social Care confirmed that whilst a 2 week absence could be adequately managed it become more challenging to manage an absence of 4 weeks.  There was a need to ensure that communication with families was maintained and that in the event of staff absence children and families were provided with alternative contact details.

RESOLVED: That

1.  The latest projected overspend of £648,000 forecast on the controllable budget, based on information as at September 2017, be noted;

2.  The full year effect cost pressures of £718,000 as set out in the report be noted;

3.  The comments of the Department set out in the report be noted; and

4.  The Portfolio Holder be recommended to note that the latest projected overspend of £648,000 forecast on the controllable budget, based on information as at September 2017.