Personal Services Directorate - 2006/7 Budget Presentation

8th December 2005

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Budget Characteristics

Big Budget - low flexibility Little capacity for service development Labour intensive - high staff costs Policy driven agenda National service frameworks Rising demand - limited supply Increasing public expectation

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Budget Characteristics (cont.)

High public profile and exposure Significant levels of audit and inspection Desire for hypothecation Pressures from external partners Operationally accountable Strategic capacity essential Virement risky

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Commitment to Modernise Many examples of commitment to modernise and

reshape services, e.g. Housing Stock Transfer Danygraig externalisation Deregistration of Learning Disability establishments Closure of 5 homes Reviews of Fees and Charges Learning Disability Day Services Joint Disability Services/Joint Mental Health Day

Services BUT limited strategic capacity = limited pace of

change

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Social Services Scrutiny

Joint Review every 5 years Review of Adult Services every 5 years Review of Children’s Services every 5 years Annual Performance Evaluation Twice yearly inspections of individual services

by the Care Standards Inspectorate Direct Intervention Plus generic scrutiny e.g. internal audit

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SSIW Performance Evaluation 2005

“The task with children’s services is to improve performance, focussing on targets set by the Chief Inspector”.

“…resources have had to be diverted from adult services to children’s services which has obviously had an impact on developments and the adult division’s ability to sustain and maintain improvements is threatened”.

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Personal Services Budget Strategy

1. Meet existing and known demand (statutory requirement).

2. Stabilise existing services e.g by recruitment and retention.

3. Improve performance and support Corporate priorities e.g. children’s service agenda, protecting vulnerable people.

4. Create new and additional services e.g. reablement

5. Modernise and reshape services.

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2005/06 Revenue Budget – The Figures (1)

Service Area Expenditure Income Net Budget

Projected Variation

£000s £000s £000s £000s

Children 12,606 (1,938) 10,668 1,382

Older People 21,200 (6,351) 14,849 (132)

Physical Disabilities 3,113 (264) 2,849 86

Learning Disabilities 14,940 (7,287) 7,653 56

Mental Health/Other Adult Services

2,690 (1,519) 1,171 (84)

Housing Services 1,546 (739) 807 (35)

Cross Directorate 3,843 (583) 3,260 21

TOTAL 59,938 (18,681) 41,257 1,294

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2005/06 Revenue Budget – The Figures (2)

£’M %Staff Costs 29.1 48.6Other Costs 5.8 9.7Payments to other Providers 25.0 41.7Total Budgeted Expenditure 59.9Income from Grants 9.6Income from charges/other bodies 9.1Net Budget 41.2

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Services provided/commissioned include:-

Social Services (all client groups) Social work/assessment/care management services

(6,291 assessments per annum) Accommodation Services (932 clients) 932 clients Day Care (1389 clients) Home Care (1244 clients, 400,000+ hours per annum) Family Support services Other preventative/support services Rehabilitation, re-ablement and independent living Respite Care Housing and Community Wellbeing Homelessness and housing advice/Supporting People Housing, health and well being strategy/Housing

Renewal

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Factors to consider

RSG Settlement - £45m for Adult Services in Wales

2005/6 projected overspend reported at £1.3m

Children’s Services recovery plan Joint Review Action Plan Adult Services Action Plan Joint Agenda with Health

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‘Specific’ Grants being transferred into RSG

£000’s Capacity grant 796 Children first 636 Mental handicap strategy 715 Carers strategy 246

2,393

• This is not new money – already committed to existing services.

• Vital that it is earmarked in full to Personal Services• The figures are provisional pending final settlement

information.

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What does this mean for us?

Adult Services/Cross Directorate requirements £2.069m

Children’s Services requirements

£1.419m

SubTotal £3.488m

Less BCBC share of national £45m for Adult Services (£1.890m

)

Net Sum needed from Corporate resources £1.598m64

Growth Submission – Adult Services/Cross Directorate

Total = £2.069m BUT only £0.355m is real service

growth The remainder is for:

• Meeting existing/known demand• Stabilising existing services• Improving performance

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Growth Submission – Children’s Services

Total = £1.419m BUT none is for real service growth It is for:

• Meeting existing/known demand• Stabilising existing services• Improving performance

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Case Study – Budget Strategy No.1 Stabilise existing services

NO INCREASE IN CARE HOME FEES Local Providers lose faith with BCBC Some providers will refuse to contract with BCBC Some providers may decide they are no longer viable Some providers will require top up payments from families Overall fewer places available for people needing

residential care in BCBC area Waiting lists for people wanting placements in BCBC area Additional supports at home while people wait Worsening performance on delayed transfers of care More placements out of county No alternative but to pay the going rate for out of county

placements, hence increased fees paid anyway

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Case Study – Budget Strategy No.2 Improve performance

IMPACT OF INCREASE IN FOSTERING PAYMENTS Increased satisfaction of BCBC carers Carers will stay with BCBC,more may be attracted More carers available overall Less pressure on carers More appropriate placements/less breakdowns Fewer alternative placements needed Less reliance on Out of County

residential/independent Fostering Agencies Less expensive placements overall/less overspend Better outcomes for children

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Case Study – Budget Strategy No.3 Create new or additional services

IMPACT OF INVESTMENT IN HOME CARE SERVICES Equitable re-ablement service across BCBC Modernisation of home care services Service user satisfaction with service Less reliance on family/friends Enables more input into prevention/rehabilitation Positive impact on service user independence Less crisis support needed later and less expensive Wider benefits for community health and wellbeing

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Reductions/Efficiency Savings

2.5% target for 2006/7 equates to £1.03m

Options put forward generate a max of £0.74m in 2006/7

But can generate at least £1.03m in 2007/08 and after

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2006/07 Budget – ‘Savings’ Proposals

2006/07£000s

2007/08£000s

Efficiency Savings 636 1076

Increased Charges 15 115

Service Reductions 88 359

TOTAL `SAVINGS’ 739 1550

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SUMMARY

Significant pressures on budget driven by local,national and other agency needs

Must tackle children’s services agenda Scope for efficiencies/economies is

limited Big budget/Little flexibility Must find other ways of reshaping

services

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