Agenda item

Mark Scrivener, Head of Risk & Delivery Assurance and David Whittle, Director of Strategy, Policy, Relationships & Corporate Assurance were in attendance for this item.

1. Mr Scrivener introduced the report that set out KCC’s Corporate Risk Register. The review process had occurred during a challenging and uncertain time for both KCC and the local government sector as a whole, which included the new Government’s first Autumn Budget Statement, the delay to the introduction of the European Union’s Entry / Exit System (EES) and subsequently, the publication of the English Devolution White Paper and provisional Local Government Finance Settlement. The Corporate Risk Register was a live document and would continue to evolve in light of any new risks that emerged, whether that be threats or opportunities. Mr Scrivener highlighted the new risks, risk reductions and revised risks as set out in the report. The Corporate Risk Register was due to be presented to the Governance and Audit Committee on 23^rd January 2025 and then through the Cabinet Committees during the Spring cycle.

2. Further to comments and questions from Members it was noted:

·         It was noted that risk CRR0056 SEND Delivery Improvement and High Needs Funding shortfall would be separated into two risk profiles. Whilst it had made sense to previously combine the two aspects, there were now different drivers for the risks and subsequently different ratings. As SEND improvements were being addressed through reforms through the service, the Safety Valve targets remained prevalent in their own right and would therefore be reported on separately going forward.

·         It was noted that risk CRR0015 sustainability of the social care market would likely remain at an elevated level as Government continued to delay all efforts to resolve issues facing the social care market. However, in relation to the Adult Social Care budget, the late changes to the financial settlement had enabled a further uplift to fees for adult social care providers. It was further noted that Mr Watkins and the Kent Integrated Care Alliance (KICA) had written to Ministers regarding the significant additional costs for social care services and the impact that this would have on the social care budget; most notably the increase in employer National Insurance Contributions, the response to which was awaited. Mr Watkins provided assurance that every effort was being made to ensure that social care funding from government would be used to help providers. The year ahead would undoubtedly prove to be a challenge for the social care sector and expectations would need to be managed as to how those associated risks would change over the course of 2025.

·         In response to how  English Devolution would impact on KCC’s risk register and the work that would be required to address the changing landscape, it was confirmed that officers would, subject to the outcome of the decision taken by Cabinet, create a programme of work with services and individuals to assess the risks from the bottom up within the organisation. Assessments would then need to be undertaken to identify any strategic implications for both KCC and its partners.

3. The Leader confirmed that, subject to the decision taken by Cabinet regarding the Devolution Priority Programme, there would be considerable challenge in managing the interaction between the change process as part of the local government reform and those elements which would need to remain business as usual. The risks would need to be well represented in the Risk Register.

4. RESOLVED that Cabinet note the report.