Agenda item

1.    Mr. Oakford introduced the budget report, which had been submitted to all the Cabinet Committees in November and would be considered again by the Scrutiny Committee on 29 January 2025.

2.    The Cabinet Members and Officers responded to questions which included the following: 

3.    Mr. Oakford acknowledged the uncertainty surrounding the settlement agreement and potential funding for Adult Social Care. He highlighted the uncertainty regarding expected grants and possible changes in Government methodology.

4.    Once the settlement details were known, Mr. Oakford would have a clearer understanding of the financial situation. The goal was to achieve £85 million in savings, and even with an additional £20 million from the Government, finding £65 million in savings was a significant challenge that would impact services. Efforts were focused on reducing pressures and securing necessary funds.

5.    Regarding Discretionary Council Tax Incentive Payments, Mr. Oakford noted that District Councils were legally responsible for collecting council tax. While the authority had previously supported them financially, it could no longer afford to do so. He believed it was necessary to stop subsidising District Councils to fulfil their statutory duties, as this would otherwise divert funds from essential services.

6.    Mr. Gough added that despite the policy statement indicating a positive direction, there are still challenges, particularly the National Insurance impact on providers. The Office of Budget Responsibility suggested that the £600 million extra for Adult Social Care would be offset by increasing sector costs. This highlighted the competing demands on the additional funds. Prioritisation of the funds was necessary to address the competing demands effectively.

7.    Mr. Watkins hoped that next year it would be easier to make the £50 million savings in Adult Social Care. He noted that referring to savings as cuts was not accurate as services were not being stopped, instead they were being carried out in a more efficient way to achieve savings.

8.    Mr. Oakford summarised by confirming that when he returned to the Committee with the final draft budget and answers to the questions regarding the settlement agreement, he would be in a much better position to engage in a debate on the budget in February.

RESOLVED that the Scrutiny Committee

a)    NOTE the administration’s overall draft revenue budgets including responses to consultation, and;

b)    NOTE there will be further opportunity to scrutinise the final draft budget proposals at the Scrutiny Committee meeting on 29 January 2025 ahead of Cabinet endorsement on 30 January 2025 and Full County Council meeting on 13 February 2025.