Agenda item

Report of the Deputy Leader and Cabinet Member for Finance and Corporate Services is to follow.

The Committee considered the Quarter 1 Finance Monitoring Report and accompanying appendix. Councillor Thorpe Deputy Leader and Cabinet Member for Finance and Corporate Services, presented an overview of the report, explaining that it outlined the Council's financial position at the end of Quarter 1, performance against budget assumptions, and the forecast outturn position. Members were advised that the report represented an early indication of financial performance and that forecasts would continue to be refined throughout the year.

Discussion took place regarding the Dedicated Schools Grant (DSG) deficit and the Government's SEND reform programme. Members heard that significant financial pressures continued to arise from independent and out-of-borough SEND placements, with work ongoing to increase local provision and reduce reliance on higher-cost placements.

Councillor Birchmore sought clarification on the Council's plans to increase SEND provision within mainstream schools and whether academies would be expected to support this approach. In response, it was explained that additional funding was being used to build capacity across schools, enabling them to accommodate a wider range of needs and support more pupils locally.

Further discussion focused on the increasing demand for SEND support and the associated costs. Members were advised that the Council's strategy aimed to provide appropriate provision across the full spectrum of need whilst reducing expenditure on expensive external placements. It was noted that improved diagnostics, earlier intervention and increased local capacity would contribute to a more sustainable model over time.

In response to a supplementary question regarding anticipated savings and the location of new SEND provision, Members were informed that a new 60-place provision was intended to reduce out-of-borough placements and would deliver significant savings. Further details would be provided outside the meeting.

Members also considered expenditure relating to children's residential placements. Councillor Rahimov asked whether the Council was exploring the development of its own residential provision. The Committee heard that two projects were currently being progressed, including collaborative work across Greater Manchester, although not all children would be suited to internally provided accommodation due to the complexity of some cases. Officers advised that establishing residential provision required significant lead-in time, including Ofsted registration, but remained a key element of the Council's strategy to reduce placement costs and improve outcomes.

The Committee noted continuing financial pressures within children's services, including fostering and residential care costs. Members were informed that whilst some placement costs were beginning to stabilise, market conditions remained challenging.

Councillor Birchmore raised concerns regarding capital expenditure at Ramsbottom Pool, particularly in light of future proposals affecting the facility. Questions were also asked regarding project delays, additional costs associated with facilities within the Radcliffe Hub development, and whether the Council would benefit financially from commercial arrangements linked to those facilities.

Officers advised that project costs had been updated to reflect revised assumptions and changing market conditions. Whilst some costs were higher than originally expected, a number of these were one-off costs which would not impact long-term revenue budgets. Reference was also made to revisions within the Medium-Term Financial Strategy.

The Committee discussed vacancy management and staffing savings identified within the report. Councillor Rydeheard queried the level of savings being achieved through recruitment delays. In response, Members were informed that critical social care roles would continue to be prioritised, whilst recruitment to non-critical vacancies may be delayed to support financial management. It was acknowledged that challenges remained in recruiting to specialist roles, particularly within legal services and social care.

Jacqui Dennis the councils monitoring officer, emphasised that recruitment difficulties continued across a number of professional disciplines. The Committee noted that the use of agency and temporary resources remained necessary in some areas where recruitment challenges persisted.

Councillor Birchmore raised concerns regarding Housing Revenue Account procurement processes and delays in delivering repairs and maintenance work, referencing specific examples raised by residents. In response, Members were informed that procurement arrangements had improved significantly in recent years, with stronger contract management, more accurate contract registers and greater use of framework agreements to secure value for money.

Neil Kissock highlighted ongoing efforts to strengthen procurement processes and improve contract oversight, whilst continuing to recruit to key procurement posts.

Members also discussed the recruitment and retention of social workers. Councillor Pilkington asked whether work had been undertaken to improve the Council's offer in comparison with neighbouring authorities. The Committee heard that improvements to pay, conditions and workforce support had resulted in a more stable workforce and reduced reliance on temporary staff. Members noted that this had contributed positively to outcomes for children and families.

Further questions were raised regarding the Housing Revenue Account and the potential for bringing more services in-house rather than relying on external contractors. Members were advised that this remained under consideration as part of wider service reviews, and that a separate HRA report would provide further detail on the issue.

Councillor Chaudhry queried the overspend identified in relation to corporate printing and postage. Officers explained that a number of factors contributed to the pressure, including election-related activity and the continued use of physical correspondence. Members were advised that work was ongoing to increase digital communication and reduce printing and postage costs through an invest-to-save approach.

It Was Agreed

·       The report be noted