Agenda item

The Cabinet considered the Resources Report. The details were set out in the report.

In the ensuing debate, the following principal points were raised:

·         The Leader of the Council introduced the report and made the following points:

-        There were continual pressures on the  budget in respect of Children's and Adult Social Care. As a result, the Council had invested further in children's placements and the improvement journey. However the Council's finances were robust and sound

-        Framework-i would no longer be supported by the provider from December 2018 and therefore a replacement Social Care Management System was being sought. Council was therefore being requested to approve the addition of £2m to the Capital Programme for a replacement system

-        The outcome of the Government's Fair Funding consultation would feed into the Fair Funding Review. This consultation was vital because the Funding Formulae would influence the allocation of business rates and impact on the sustainability of the Council in the future. The consultation looked at the key drivers of cost for the Council which included Children's and Adult Social Care and kilometres of road used by HGVs. A robust response was being prepared to ensure that the changes to the formulae took place in a timely fashion

-        A Freedom of Information Request had been received and issues had been raised in the press concerning slides presented by CIPFA. These slides had been presented by CIPFA to an informal meeting of Cabinet members and the Strategic Leadership Team as part of the early budget-setting process in June 2017. Although the meeting itself had been public, the pressures disclosed in the subject matter of the slides had been made open to the public as part of the budget-setting process. These slides would be presented to the OSPB to provide an opportunity to discuss CIPFA's advice and reassure members of the robustness of the Council's developing finances. He would also welcome any early feedback from OSPB on the Council's budget. The Council faced similar demand pressures to other councils and these pressures would be continually monitored and any changes reported back

·         The Cabinet Member for Adult Social Care commented that he hoped that a well-used, tried and tested and reliable system would be found to replace Framework-i. The process was complicated by the need to integrate aspects of Children's Social Care into any new system

·         The general thrust of the Fair Funding consultation which concentrated on real cost drivers was supported. The current system needed to be simplified and should reflect the up to date population figures particularly in relation to the age profile as well as the rural nature of the County to ensure that the Council received the appropriate amount of funding

·         It would seem that the Government's distribution of the Area Cost Adjustment was based on an entirely false premise using the PAYE system and therefore should be abolished or radically reformed

·         The Cabinet Member for Children and Families commented that the pressures associated with Children's Social Care were being addressed in a measured way with the introduction of a number of forward-looking preventative approaches

·         A member from outside the Cabinet commented that it would be timely to make a renewed cross-party approach to the Government to lobby for changes to the Area Cost Adjustment. The Leader of the Council commented that this was a crucial and rare opportunity to influence the basis of the formulae. He welcomed the opportunity to form a cross-party group including local MPs to lobby Government

·         As well as lobbying the Government on the Area Cost Adjustment on a local level, Council representatives should use their position on the County Council Network to lobby the Government collectively

·         A member from outside the Cabinet expressed concern that the cost of the replacement Social Care Management System had not been included in the February budget. The Cabinet Member for Adult Social Care commented that the Council had had to amend its timetable for change in response to the supplier bringing forward the end date for Framework-I from December 2019 to December 2018.

RESOLVED: that

a)    The Cabinet Member with Responsibility for Finance's conclusions concerning revenue budget monitoring up to 28 February 2018 be endorsed;

b)    TO RECOMMEND TO COUNCIL to approve the addition of £2 million to the Capital Programme for Social Care Case Management System replacement; and

c)    the response to the Fair Funding consultation be noted.