To note the report and make recommendations.

The Panel received a presentation on the latest Financial Update Cabinet report and was informed that the financial position had improved from the time of the last reporting period with an underspend of £430,000 now projected for the Council as a whole. Reserves were anticipated to total £6.5m by year end, which was above the recommended level.

With regards to the Adult, Children and Health directorate it had reduced its projected

overspend by £154,000. This resulted in a projected year end overspend of £158,000 out of a budget of £57m. The presentation showed the overspend and underspend for the different services areas and was informed that with regards to Adult Services and Health there were the following pressures / underspends:

·         Commissioning Adult Care Services -£103k

·         Services for Older People -£764k

·         Services for people with a learning disability +£400k

·         Services for people with mental health problems +£16k

·         Other care services -£55k

The presentation also highlighted budget issues / savings for older people as being:

·         Residential care placements -£127k

·         Additional income contributions towards cost of homecare -£164k

·         Homecare & Direct Payments -£343k

·         Grant income towards cost of care in nursing homes -£300k

·         Ordinary residence dispute +£200k

And for Learning Disability the following issues / savings were highlighted:

·         Slippage in planned de-registration of residential homes +£124k

·         Net cost of placements in all settings +£338k

·         Additional income contributions towards the cost of services -£60k

·         Ordinary residence adjudication +£75k

Cllr Jones asked that with regards to older people services did we see an increase in demand over the winter months and was this forecasted.  The Panel was informed that demand did increase and it was forecasted by looking at historical data and current client base.

Sheila Holmes asked how effective was the forecasting as last year there was increased demand and in the community people seemed to be asking for more help and not less.  The Panel were informed that there was a spike in demand last year due to an higher then expected number of flu cases. 

Cllr Hollingsworth raised concern about the legal advice being given as two cases had been lost and was informed that at the time the legal advice was correct but future findings had an impact.

Cllr M Airey mentioned that the liberty and safeguarding assessment had not had the financial impact as expected and was informed that the Council had to buy in specialist advice for this area but staff had been trained and there was a reduction in agency staff.

Cllr M Airey also questioned the budget for supporting residents into temporary accommodation as this was projecting an overspend and was informed that there would be a pressure in 2017/18 due to the change in legislation regarding the benefit cap and there would be a request for increased funding for this area.  There were a number of households who due to the cap could not afford to keep their current accommodation and as there were safeguarding issues it was prudent to find them alternative provision to prevent additional budget pressures and safeguarding risks.  Cllr Coppinger and the Leader were writing to our MP’s to highlight the impact the cap was having on local governments budgets and giving examples of the safeguarding issues.

(Cllr Lenton joined the meeting)

The Chairman asked if the budget pressure for the provision of services for learning disability and mental health problems was expected to continue in future years and would this be addressed in the budget build.  The Panel were informed that placement costs were increasing and as this cohort could stay in education until 25 costs had increased, this was allocated to the High Needs Block from schools funding.

Resolved unanimously: that the Adult Services and Health O&S Panel unanimously endorsed the recommendations in the Cabinet report.