Agenda item

In accordance with Paragraph 2 of Section 5 of the Police Reform and Social Responsibility Act 2011 consideration was given to the report which set out details of the Police and Crime Commissioner’s proposed revenue budget and council tax for South Yorkshire for 2017/18.

The Police and Crime Commissioner reported that whilst the proposed council tax represented an increase of 10p per week for a Band D property, the majority of properties were in Band A which would see an increase per week of 6p if the proposed increase was agreed.  Without increasing the council tax by the maximum amount allowed, any future requests made to the Home Office for special grant funding for the costs of legacy issues would not be counted.  The potential impact of a reduction in funding (£1.7 m) would equate to the cost of reducing the workforce by 34 officers or 57 police staff.

This Budget was based on certain assumptions, but that it maintained current workforce numbers.  The flat cash funding position and reduction of £2.5m in Government grant would be offset by an increase in the precept income.

In addition, following the peer review, a new force operating model would provide better strategic focus on demand so that an effective and efficient policing model could be resourced.  This would need to be fully integrated to maximise impact for the public and staff and serve as the foundation for all future changes and prevent further risk to service delivery.

Attention was also drawn to saving proposals which had been identified to offset additional costs, including reductions in spending in 2016/17, proposed to be carried forward as contributions from reserves.

In terms of reserves the proposed budget for 2017/18 relied on a contribution from general reserves of £7.8m to achieve a balanced budget.  Management of the 2016/17 budget had been to reduce spending so that reserves would be available at the end of the year and be carried forward for use in financing expenditure in 2017/18.

Consultation on the budget proposals had taken place both online and face to face with 93% and 77% respectively, from the two separate samples, being in favour.  All comments received would be taken on board.

The Chief Finance and Commissioning Officer echoed the comments by the Police and Crime Commissioner and confirmed the grant settlement figures were now confirmed and if the inclusion of the council tax requirement was confirmed would represent an increase of approximately £0.3m (or 0.13% compared to 2016/17).  Clarity was provided on the contributions from reserves, which provided for some development of the force operating model and the identification of savings for future years.

Panel Members sought clarification on a number of issues and were advised accordingly:-

·                Without the increases to the precept workforce numbers would have to reduce.  Value for money would be demonstrated through best practice and learning from the past, but this would continue to be closely monitored.

·                Investments in new technology, buildings and equipment in the capital programme for 2017/18 included improvements to some station buildings and potentially some joint location collaboration between South Yorkshire Police and South Yorkshire Fire and Rescue.  As requested further narratives on the capital programme would be provided in future reports where appropriate to do so.

·                Whilst assumptions could only be made on the potential legacy issue costs, it would be unlikely that any underspend on funding could be used as part of the Police and Crime Plan.  However, it was pointed out that whilst a collaborative judgement could be assumed the actual costs when realised could increase beyond any assumptions.  Work on the workforce plan was a complex operation following the peer review, but work was taking place to ensure the force was capable and resourced to meet current and future demands.

·                Use of savings to put into reserves, yet using approximately £4.1 m was an approach to manage the 2016/17 budget so that reserves would be available at the end of year and be carried forward for use in financing expenditure for 2017/18.

·                Details on the Force strategy delivery plan for the operating model were still being consulted upon and work was taking place to develop a meaningful performance framework to underpin the plan.

·                Public perception from removing Police buildings from use was taken into account, whether this building was used or not.

·                Success of the recent prosecutions of individuals involved in child sexual exploitation and the need for continued transitional support for victims and survivors following convictions.

·                Grant support to local organisations, which were to be maintained in the budget, which also included local Safeguarding Boards, who were historically responsible for dividing funds.

·                Recognition for different modern crime policing roles rather than the traditional visible beat presence.  Continuation of Operation Duckford concentrated on specific areas and executing warrants.

·                Increases in public poverty for working and non-working families as a result of the Government’s cuts to public spending and the shortfall pushed to be found locally.

·                Contributions from reserves amounting to £11.5m, with a contribution from the general fund of £3.9m from underspends in 2016/17 to be carried forward to meet expenditure in 2017/18.  This contribution of £3.9m would meet potential one-off severance costs associated with savings proposals of workforce replenishment. i.e. allowing higher paid staff to leave and recruiting new staff at a lower level.  A provisional assessment suggested that further savings of around £3m would be required in 2018/19, which could change as a result of the delivery of savings assumed in 2017/18 and cumulatively savings of around £13m would be required over four years beyond 2017/18.

Resolved:-  That the proposed annual increase in council tax for 2017/18 of £5 for a Band D property (a 3.26% increase) to £158.16 be approved.