Agenda item

Mark Scarrott, Finance Manager (Adult Services) presented a report relating to the Revenue Outturn position for Adult Services Department within the Neighbourhood and Adult Services Directorate for the financial year 2012/13.

It was reported that the 2012/13 revised cash limited budget was £72.024M, and the net Outturn for the Service for 2012/13 was an underspend of £0.527M (variation of -0.73%).

It was noted that a significant part of the actual underspend was due to additional income received from the NHS during the final quarter.  This, together with a Council-wide moratorium on non-essential spend underpinned by tight financial management within the Service, had contributed to addressing the significant budget pressures which had emerged across the wider Council.

A summary revenue outturn position for Adult Social Services was given in the table within the submitted report.

The appendix to the submitted report detailed the revenue outturn 2012/13 and the reasons for variance from approved budgets.  The following key variations were highlighted:-

Adults General (-£29,000)

-        Underspend in the main due to savings due to the moratorium on supplies and services and managed savings on training

Older People’s Services (-£761,000)

-        Additional income Winter Pressures funding received from the NHS in the last quarter

-        Vacancies due to Service reviews and difficulty in recruiting within Social Work Teams, Day Care, Transport, Extra Care Housing, Residential Care and Locality Services

-        Impact of moratorium on non-essential spend within Day Care resulted in an underspend

-        Slippage in developing services for Dementia clients, underspend on Independent Residential and Nursing Care due to less than budgeted for clients

-        Slippage in carers’ breaks

-        Review of Care Enabling Service and Sitting Service resulted in underspend but increased activity for Independent Home Care in the final quarter had resulted in an overspend

-        Overall overspends on Rothercare due to slippage in Service review and Assistive Technology equipment

-        Underspends reduced by pressures on Direct Payments

Learning Disabilities (-£753,000)

-        Main overspend in independent sector Residential Care as a result of an increase in the number of clients including higher average cost of care packages together with loss of income from Health

-        Recurrent pressures on Day Care transport

-        Under-recovery of income from charges reduced by vacant posts within inhouse day centres pending final outcome of review

-        Demand for Direct Payments

-        New high cost placements in Independent Day Care and Community Support

-        Overspends reduced by underspend in Supported Living Schemes due to additional Continuing Health Care income

Mental Health Services (-£58,000)

-        Continued increase in uptake on Direct Payments

-        Savings on Community Support budgets

-        Minor underspends on supplies and services

Physical and Sensory Disabilities (-£271,000)

-        Slippage on new investments to provide alternatives to residential care

-        Underspend on equipment and minor adaptations

-        Additional Winter Pressures funding, vacancies and savings on supplies and services

-        Increase in demand for Direct Payments

Adult Safeguarding (-£19,000)

-        Vacant posts plus additional fee income from Court of Protection

Supporting People (-£142,000)

-        Efficiency savings were made due to a reduction in actual activity on a number of subsidy contracts

-        Savings made during the year offset against commissioning saving targets

Members present raised a number of issues that were clarified as follows:-

-          The 104 additional clients receiving Direct Payments had been as a result of clients opting to stay with their current provider when the Home Care Tender had been renewed in April last year

-          2013/14 was going to be a difficult year and early management actions were being developed

-          Evidence suggested limited savings achieved from increasing the eligibility criteria from substantial to critical

-          Direct Payments would be paid monthly in future

-          Revised arrangements for all high cost residential placements

-          8 Social Workers had recently been recruited

-          Winter Pressures funding may not be forthcoming this financial year due to the increase in Health Support Funding received

-          Day Care Transportation consultation had closed with very little opposition to the implementation of charges

Resolved:- (1)  That the unaudited 2012/13 Revenue Outturn report for Adult Services be received and noted.

(2)  That staff be congratulated on ensuring the 2012/13 budget had been brought in line with Corporate priorities in an efficient and cost effective manner.