Agenda item

Report ED14045

The Sub-Committee considered a report setting out the budget monitoring position for the Education Portfolio based on expenditure to the end of January 2014.  The Schools’ Budget, funded from the Dedicated Schools’ Grant and specific grants was forecast to be in an underspend position of £3,774,000, which would be carried forward into the next financial year.  The controllable part of the Non-Schools’ budget, funded from Council Tax, Revenue Support and specific grants, was forecast to be in an underspend position of £184,000.

In considering the budget monitoring position for the Education Portfolio, the Chairman highlighted the projected shortfall of income of £126k for Behaviour Services.  This was due to lower than anticipated uptake of respite placements by schools following delegation of the budget for Behaviour Services to schools from 2013/14, a fall in income generated from packages due to long term sickness, and higher than budgeted resources required to generate income.  The Interim Assistant Director: Education advised Members of the Sub-Committee that a consultation was currently being undertaken on the potential to assimilate the Respite and Behaviour Services into the proposed Bromley Alternative Provision Academy, which aimed to become a hub for behaviour support services in Bromley to better support the full continuum of behaviour needs at an earlier stage and support more young people to remain in a mainstream setting.  The consultation would close on 11^th April 2014.

In response to a question from a Member regarding the overspend of £221k currently projected for the Bromley Adult Education College, the Head of Service: Bromley Adult Education College confirmed that the Skills Funding Agency grant covered the direct costs of delivering courses to support jobseekers back into employment, but did not contribute to the College’s overhead costs in the case of all the qualifications delivered.  Students in receipt of Jobseekers Allowance and Employment and Support Allowance could not be charged to attend courses which supported them back into employment. 

A Member queried the overspend of £175k in the Schools’ Budget.  The Senior Accountant confirmed that the demand for school places had exceeded projections made at the start of the academic year, and that there continued to be a high demand for pupil places across the Borough which had required the provision of additional classes at some schools.  Another Member noted that free early education for 2 year olds, which had been funded by Dedicated Schools Grant since 2013/14, was expected to underspend by £870k.  The Head of Schools, Early Years Commissioning and Quality confirmed that this funding had been introduced in April 2013 to support the creation of nursery places which did not become statutory until September 2014, which had resulted in a cost saving.  The underspend had been used to offset a projected overspend of £570k on providing free early education for 3 and 4 year olds.  An additional £1.3m of free early education funding for 3 and 4 year olds had been built into the 2014/15 budget to offset an expected increase in take up of places following the expansion of free early education for 2 year olds in previous years, and to make up for the historical shortfall of budget.

RESOLVED that:

1)  The latest 2013/14 budget projection for the Education Portfolio be noted; and,

2)  The Education Portfolio Budget Monitoring Report 2013/14 be recommended to the Portfolio Holder for Education for approval.