1. BUDGET 2011/2012 to 2014/2015 Ref. FN51412114

2. Comprehensive Spending Review (20 th October 2010) 25% reduction in the Fire Service formula grant over the next four years (2011/12 to 2014/15). 25% reduction in the Fire Service formula grant over the next four years (2011/12 to 2014/15). ‘Back-loaded’ onto the last two years of the four year period. ‘Back-loaded’ onto the last two years of the four year period.

3. National Cumulative Grant Adjustments West Midlands South Yorkshire Tyne & WearMerseyside Shropshire Greater Manchester West Yorkshire Total England Hereford & Worcester Staffordshire

4. Service Changes 2011-13 Introduction of Late pumps – a reduction of 13 fire engines at nightIntroduction of Late pumps – a reduction of 13 fire engines at night Changes to crewing models, e.g Dual CrewingChanges to crewing models, e.g Dual Crewing Recruitment Freeze since 2009Recruitment Freeze since 2009 Top to bottom management reviewTop to bottom management review 22% reduction in traditional ‘back office’ costs by 201322% reduction in traditional ‘back office’ costs by 2013 Merging Halesowen & Cradley Heath StationsMerging Halesowen & Cradley Heath Stations

5. West Midlands Fire Service Grant Reductions Grant reduction: 2011/20129.5%(£7.7m) 2012/20133.4%(£2.5m)

6. Funding of Expenditure 2011/12 £’m £’m Formula Grant 73.100 Council Tax 38.300 S31 Grant (Council Tax Freeze) 1.000 112.400

7. Grant Reductions 2011/12 2012/13 2013/14 2014/15 £’m £’m £’m £’m £’m £’m £’m £’m 7.7 2.5 ? ? 7.7 2.5 ? ?

8. Years 3 & 4 Grant Figures CLG Position (Sept 2011) Individual Authority settlement announcements November/December 2012 Indicative national reductions: Year 38.5% Year 45.0%

9. Grant Reduction Planning Options National Years 1 and 2= 6.5% WMFS= 12.5% National Years 3 and 4= 13.5% WMFS= 26.0%

10. Estimated Position assuming 13.5 % National Grant Reduction (with 2012/13 C’Tax Grant) 2013/14 2014/15£m Base budget108106 Service Savings- 3- 3 105103 Grant 64 60 Council Tax 40 41 Shortfall 1 2

11. Estimated Position assuming 2 x 13.5% National Grant Reduction (with 2012/13 C’Tax Grant) 2013/14 2014/15 2013/14 2014/15 £m£m Base budget108106 Service Savings - 3- 3 105103 Grant 57 49 Council Tax 40 41 Shortfall 8 13

12. Council Tax Freeze Grant 2012/2013 3% for Fire Authorities3% for Fire Authorities One year only - £1.2MOne year only - £1.2M

13. Council Tax Threshold 2012/2013 4% for the Fire Service4% for the Fire Service Increase for Band D £1.91 per annumIncrease for Band D £1.91 per annum Increase of £1.5 m in base fundingIncrease of £1.5 m in base funding

14. Impact of potential budget shortfall 300 firefighters – 12 fire engines300 firefighters – 12 fire engines A number of station closuresA number of station closures Increased response timesIncreased response times Less prevention workLess prevention work

15. BUDGET 2011/2012 to 2014/2015