Agenda item

Cabinet Portfolio:                 Children’s Services and Neighbourhood Working

Strategic Directorate:           Children and Young People’s Services

To receive a budget monitoring briefing in respect of Children and Young People’s Services

Consideration was given to a report in respect of financial monitoring against the budget for Children and Young People’s Services. It was reported that demand in Children’s Services was high and continuing to rise across all key areas which include children in need of help, protection and children requiring care. The main factors that have impacted on demand were:

·         Complex abuse inquiry and Operation Stovewood – 105 children in care had been referred from these investigations;

·         Improved social work practice intervention in legacy cases specifically re neglect; and

·         National increase in statutory intervention and a budget shortfall of £2bn predicted by 2020.

It was reported that the Children’s Services budget for 2018/19 (excluding schools) was £57.4m. Expenditure in the 2017/18 financial year was £69.8m and forecast expenditure before mitigating actions in 2018/19 was £72.7m,  which represented an in year pressure of £15.3m that had increased compared to initial estimates in March due to a continued net increase, albeit at a slower rate, in the number of children admitted into care. In year mitigations of £5.7m had reduced this pressure to £9.6m.

Members noted that demand on the service remained high and had continued to rise across all key areas, which included children in need of help and protection and children requiring care. Demand seen at the front door through to children in care and in key service areas was significantly high when compared to our nearest and statistical neighbours with the number of looked after children (‘LAC’) significantly higher than most neighbouring authorities.

Clarification was sought in respect of the approach to tackling the increased demand and it was explained that there was a continuing focus on the need to reduce demand. The authority would continue to meet its statutory obligations, but where there were opportunities to reduce spend these would be evaluated and taken where appropriate. Members noted that caseloads for social workers had increased as a result of increase demand and that Ofsted had confirmed that the criteria followed was consistent with national standards. The Deputy Leader reiterated the Council did not want to bring children into care, but did so because it was the only course of action left according to national guidelines and the law.

Assurances were sought in respect of how effective vacancy management would deliver savings. It was explained that all current vacancies were being reviewed and some posts were forecast to be vacant for some time, with some vacant from the beginning of the financial year. It was also confirmed that there were two consultants presently working in the Children and Young People’s Services directorate.

Reference was made to the level of performance in the directorate which had been recently considered by the Improving Lives Select Commission, where it was noted that an increasing number of indicators were off target. Members expressed concern at the prospect of maintaining performance levels whilst seeking to make savings. Officers relayed confidence that the planned mitigations would deliver the savings requirement, but advised that pressures would continue if demand rose further.

Resolved:-

1.    That the new Strategic Director of Children and Young People’s Services be invited to attend a meeting of Overview and Scrutiny Management Board in November 2018 to set out his financial plan for Children and Young People’s Services.

2.    That further details on in-year mitigations be submitted to the sub-group of Overview and Scrutiny Management Board members in September 2018.

3.    That a detailed breakdown of spend be provided to the sub-group of Overview and Scrutiny Management Board members to provide assurance in respect of extra pressures faced by the service.