Issue - meetings

Report ECHS19033

The Sub-Committee considered a report providing the budget monitoring position for 2018/19 based on activity levels up to the end of December 2018.

The Sub-Committee noted that issues remained around the High Needs element of the Dedicated Schools Grant (DSG).  Nevertheless, a £281k underspend would be added to the £1.180k carried forward from 2017/18 giving an estimated DSG balance of £1,295k at the end of the financial year.  This figure included the additional £788k High Needs funding for 2018/19 that the Government announced in December 2018.  In response to a question, the Head of Education and Children’s Social Care Finance confirmed that in light of the increasing pressures on the High Needs Block it would be prudent to retain the surplus around this level.  The final 2018/19 outturn would need to be evaluated before any decisions could be taken.

In relation to Adult Education; in response to a question the Head of Education and Children’s Social Care Finance explained that the £128k overspend was a result of, amongst other things, possibly overestimating the fees that would be generated in 2018/19.  The Director of Education explained that there had been a focus on supporting corporate priorities and the courses that were required to do this were the less lucrative courses to run.  There had also been an element of overspend around staffing and this would be resolved going forward.  The current projections for 2019/20 were that the service would be cost neutral as growth had been included in the budget.  The Sub-Committee also noted that some of the overspend had been the result of action that had been taken in response to recommendations from Ofsted.

Members noted that the Children’s Social Care Division was currently overspending by £3,051k (net of management action of £800k).  The overspend before management action stood at £4,250k.  Placements for children continued to be a pressure.  Members were reminded that the number of placements was volatile and had further increased above budgeted levels, particularly in residential homes, independent fostering arrangements and special guardianship arrangements.  This was in part due to the increase in the number of children reaching the threshold for secure placements and no secure placements being available.  There had also been a significant increase in the cost of outreach services connected to the placements.  Officers were being proactive in addressing this issue.  In addition to the £800k already received from Bromley Clinical Commissioning Group (CCG) an additional contribution of £900k had been secured following positive discussions.  The Local Authority had been able to put a strong case to the CCG with good evidence and the additional funding would go towards addressing the increasing pressures.  Members noted that in particular Fostering, Adoption and Resources was a needs-led service and as a result figures were volatile.  The Head of Education and Children’s Social Care Finance confirmed that growth had been assumed for 2019/20 in addition to the £900k received from the CCG.  The Service continued to identify ways in which further pressures could be mitigated.  ...  view the full minutes text for item 53