Agenda item

The Committee considered a report on the draft revenue budget and capital programme of the Children, Young People and Learning Services for 2017/18, along with indicative projections for the following four years.  The proposals had been considered by Cabinet on 15 December 2015 and were under consultation.  The Cabinet would consider the budget proposals again on 16 February 2017 and the report would include comments from the Policy Overview Committees.  Following that meeting of Cabinet, full Council would meet on 23 February 2017 to agree the budgets and Council Tax for 2017/18.

Members were reminded that the report set out the headline draft proposals, which were under consultation. Where savings to existing services were proposed, alternative service delivery models would be worked up and impact assessed before Council confirmed the budget.

It was reported that:

·            The Council had entered into a multi-year settlement which would require the Council to find savings of at least £15million per year.  However, the Council still received a number of external grants, which could be reduced and therefore could have an even further impact on the budget.  The consultation was on a tough financial settlement with significant challenges.

·            The majority of the senior management team for Children's Services had been appointed.

·            Recruitment of social workers was still a significant national challenge, although there had been successful recruitment campaigns in South Africa with a plan to change focus to Canada.  The cost of agency staff continued to increase and direct recruitment would produce savings.

·            The Council had improved its predictions for the number of children coming into the system.  Numbers has stabilised and reduced slightly.

·            There were approximately 100 unaccompanied asylum seeking children in the Borough and these numbers were increasing slightly.  Hillingdon had taken children from Calais.  London was above the government's National Transfer Agreement cap and should not take any more children, but in practice this was not happening.

·            The Council was looking at recruiting in-house foster carers which cost around half the cost of using agency carers.

·            The pupil population had gone up by around 850.  One primary school was seeking to convert to an academy.  The Borough had a healthy mix of school types with some more successful than others.

·            The Council would be implementing the government's increased early years childcare of 30 hours per week and had been allocated £3 million to support this.

·            The national funding formula was being introduced in April 2018.  Some schools stood to lose significant funding, although overall it appeared that Hillingdon would benefit.

·            The Council had received further information that day on School Improvement Grants.  The Council was currently consulting schools on a number of proposals within a very short timescale on the cessation of the Education Services Grant (ESG).

·            From 1 September 2017, the ESG would cease.  The Council currently received in excess of £2.5 million.  The finance model was complex and would have an impact on Council and school funding.

·            An area review of adult learning and further education colleges was taking place.  The main focus was on Further Education Colleges, where a number of colleges would be taken over and supported by other colleges.

·            A review of the Adult and Community Learning Fees identified that Hillingdon's charge rate was significantly below the benchmark and that there was a proposal to increase them from the start of the 2017/18 academic year to bring Hillingdon into line with other LAs.

·            There were three areas of risk and contingency: £1.6 million for asylum seekers; £5.2 million for Looked After Children; and £277K for agency staff.

·            There was nothing specifically for Children and Social Care in the capital programme.  However, the Council remained committed to significant school expansion and £89 million would be spent on this over the period of the capital programme, of which the Council would receive £26 million in grant funding, with the remainder having to be funded by taxpayers.

·            The free school agenda could be very positive for the Council, as the Council would not be required to fund the school building costs.

The following points were made by Members during discussion:

·            Members had received emails from residents concerned about the proposed savings for Children's Centres and whether this would mean service reduction.

·            The proposals were still under consultation and all residents were encouraged to put forward their views.

It was moved and seconded that the Committee's support of the budget proposals be noted and recommended to Cabinet.  Having been put to a vote, this was agreed.

Mr Anthony Little wished it to be noted that he had abstained from voting.

The Labour Members  wished the following statement to be recorded:

"The Labour Group on the CYP&L POC does not support the budget for 2017/18 as presented at the POC on 11 January 2017.  We believe that the cuts to the budget, including those affecting Children's Centres in Hillingdon, will mean a reduction in services, activities and programmes which these Centres now offer.  We further believe that the CYP&L POC has been presented with no evidence to confirm that the cuts will not result in a diminution of the excellent support which these Centres now offer to some of our youngest and most vulnerable residents as well as evidence to confirm that the other 'savings' will not mean a dilution of some vital services".

RESOLVED:  That (1) the Committee's support of the budget proposals, and the comments contained within these minutes, be forwarded to Cabinet.