Salford City Council Budget Planning 2013/14 and beyond 18 December 2012

Aims of this presentation Provide context within which Salford City Council will need to set its budget over the coming years Look back at what has happened already – impacts of cuts and efficiencies so far Look forward to future... Provide areas where further savings are being considered Opportunity for discussion around the savings, more efficient working practices and partnership

The national picture Councils were cut earlier and harder than rest of sector More cuts will follow in the next Spending Review Councils will not be able to afford to deliver their current service offer by the end of this decade Fundamental change is needed to one or both of the following : –the way local services are funded and organised –statutory and citizen expectations of what councils will provide Forecast shortfall of revenue v spending of 29% by 2019/20

The national picture Continued improved efficiency will not be enough Future sustainability will require: –Social Care Funding Reform –Rethinking the structures of local public services –Dialogue with residents about the local taxes they pay or services they contribute towards –Cutting services out not back

The local picture Reducing financial resources /112011/122012/132013/142014/152015/162016/172017/18 £m Total funding exc Schools Social Care - Children Social Care - Adults Environment (inc Waste) Money Available for all other services

What has been achieved so far? Our Recent Journey.... –Think Efficiency –In Year Government Grant Cuts – 2010 –Comprehensive Spending Review 2010 – (2011/12 to 2014/15) – minus 28% Efficiency/cuts for 5 th consecutive year –£78m up to and including 2011/12 –Government funding for capital spend decimated

Key impacts Protected Priorities Where Possible –Children’s Safeguarding –Maintaining Adult Social Care Eligibility –Skills and work Key Impacts –360 Council staff posts in 12/13 (cumulative 960 posts since 11/12) –Welfare rights and debt advice –Grass cutting & street cleaning –Skills and work –Supporting people

In summary... We have delivered to date but it’s getting tougher! Current forecast that a further £60m or more in savings will be required over next 3 years

Autumn statement Confirmed that Chancellor is not meeting his austerity targets More bad news: further cuts in public spending of 1% in 2013/14 and 2% in 2014/15. Councils are exempted from the first of these cuts but 2% for Salford City Council is a further c.£3m in 2014/15. Some new funding is available, not yet clear whether partners will be able to access these or how they will build strategies around them, eg: £5.5bn capital funding including –£980m for academies and free schools –£270m for road network projects –£300m in affordable homes –£683m to support housing and commercial development and support growth and jobs

Current forecasts for Salford CC Please note still forecasts at this stage

Savings options from 2013/14 The council is considering all options and is developing detailed proposals including: Efficiency savings, eg –Reviews of processes –Revision & rationalisation of structures –Opportunities for partnership working Income, eg –Review of charges –Maximising grants and contributions –Opportunities to sell services and, unfortunately but inevitably, reduction in services

Questions... General questions? What are your views on the actions we should take to operate within reducing resources?