Agenda item

To receive a report from the Deputy Leader and Cabinet Member for Finance and Procurement, the Cabinet Member for Specialist Children’s Services, and the Corporate Directors of Finance and Procurement and Social Care, Health and Wellbeing, to note the draft budget and medium term financial plan and make recommendations to the Cabinet Members on other issues which should be reflected in them, prior to the budget being considered by the Cabinet and County Council.

Mr D Shipton, Head of Financial Strategy, was in attendance for this item.

1.            Mr Shipton introduced the report and explained that the draft budget proposals for each of the Cabinet Committees had been published in time for those committees to consider them.  However, the Government’s provisional settlement and information on the tax base had been published very late before Christmas, so it would be necessary to make some small changes to the draft budget before it was considered by the Cabinet on 28 January. The Government’s provisional settlement had been largely as expected.  The increase to tax base had been estimated at 0.5%, but provisional notification from districts showed a higher increase (1.7%), giving the Council more available funding.  As a result, the savings proposals in the final draft budget would be reduced and some additional spending could also be funded.  Members made the following comments:-

a)    concern was expressed that savings planned for one year were sometimes ultimately unachievable, yet would be followed by more planned savings in the next year’s budget.  It was difficult to be confident that a balance budget for any one year could be achieved; and

b)    the planned savings in the Specialist Children’s Services base budget for the current year were not as high as they could have been, but it was important to ensure that sufficient spend and investment was possible to prevent children coming into care unnecessarily.

2.            Mr Segurola explained that some pressures in the budget had been identified, eg the enhanced recruitment package for children’s social workers and ongoing agency staff costs. The full-year impact of these would not be seen in the budget until next year.

3.            The Chairman commented that any Member who wished to ask questions of detail or increase their understanding of the budget could seek a meeting with Mr Shipton.

4.         RESOLVED that:-

a)    the draft budget and medium term financial plan, including responses to consultation and Government announcements, be noted; and

b)    Members’ comments on the draft budget and medium term financial plan, set out above, be noted by the Cabinet Members for Finance and Procurement, Specialist Children’s Services and Adult Social Care and Public Health when they are considered by the Cabinet on 28^th January 2015 and County Council on 12^th February 2015.