Public Sector CutsWhat they mean for

Blackburn with Darwen

8th November 2010

Agenda

• 6.00 – welcome and introduction

• 6.10 – Presentation by Councillor Kate Hollern and Sir Bill Taylor

• 6.40 – discussion – facilitated round table session for comment and priorities for specific services

• 7.25 – Closing Comments

• 7.30 – Close of Session

Blackburn with Darwen Council

Councillor Kate HollernLeader of the Council

Government Spending Review (CSR)

• 500,000 public sector jobs likely to go• Equivalent loss in private sector jobs • 28% four-year cut for local government

– with the biggest chunk next year • £7bn in additional welfare budget cuts• 40% cut in for Building Schools for the

Future projects • Police funding cut by 16% over 4 years

Locally

Vision 2030

• prosperous towns

• connected communities

• clean places

• safe and healthy people

CSR impact for your council• It is a huge challenge – deprived towns

in the north will be hit harder• Bluntly this means a cut of £48m over

the next four years• The bigger cuts will come faster with a

cut of £29m next year• This year we will spend £48m on adult

social care, highways and libraries alone

Tough Choices• Council controllable gross spend for services - £411million• Council controllable net spend for services - £143million• Care Trust controllable gross spend for services £295million• Care Trust controllable net spend for services £286million

• We ARE thinking ahead

• Cuts of 28% from the Government spending review over four years• This will mean cuts of £48m for Blackburn with Darwen - or 35% of

the Council controllable spend for services and £29m next year alone• All the Council services are being closely examined - we will be

looking at doing things differently, more cheaply or not at all.• Priority has to be to protect the frontline services that you value and

rely on the most.

What does the Council spend?

The total net budget of £143m for 2010/11 (after taking income from grants and fees into account) is shared across eight portfolios.

Actual gross spend in each year is £410m

Resources, £21M, 15%

Housing, £1M, 1%

Environment & Sustainability,

£13M,9% Leisure &

Culture, £8M, 6%

Children's Services, £33M,

23%

Adults Social Care, £42M,

29%

N'hoods and Customer Svs,

£7M,6%

Regeneration, £18M, 12%

What you get for your money in 2010/11

Portfolio Cost Example Service Cost

Adult Social Care £42m Social Care for older people £19.3m

Children’s Services £33m Social Care for Children £20.2m

Leisure and Culture £8m Leisure Centres, Libraries & Museums £6.8m

Environment and Sustainability

£13m Refuse collection and Waste Disposal

£7m

Housing £1m Support for people who are homeless £0.02m

Neighbourhoods and Customer Services

£7m Customer contact centres in Blackburn & Darwen

£2.8m

Regeneration £18m Up-keep of roads; pavements & street lights

£7.5m

Resources £21m Administration of Council Tax £0.57m

Total £143m

Where the money comes from

General Grants (RSG / ABG /

LABGI / Business Rates)

34%

Other Service Specific

Government Grants

33%

Council Tax16%

Other Fees and Charges

17%

Contribution from Balances

0%

Blackburn with Darwen Care Trust Plus

Sir Bill Taylor: Chair of the Care Trust

The challenge for health• Small increase in NHS funding not enough to meet

rising costs and increased patient demand• NHS faces a £15-20bn shortfall nationally  to be met

by 2013/14. • All NHS organisations expected to improve efficiency

by at least 4% per annum• Planned 40%+ management cost reduction by 2013

& major NHS reorganisation is underway• The Care Trust will find out how much funding it will

receive for 2011/12 in late December

Our Plans

• Planning for minimal budget increase for the next few years

• We will focus our resources on key priorities • Substantial savings required to fund investments in

local healthcare & meet increased demand• £9m savings this year - through improving efficiency;

reducing duplication, management costs etc• As a minimum, Care Trust Plus needs to find

additional savings of over £6m in 2011/12 & similar amounts in future years

• Will achieve more working in partnership with Council e.g. reduced management and back office costs

What does the Care Trust spend?

£0 £10 £20 £30 £40 £50 £60 £70 £80 £90 £100

General/Personal Dental Services - £10m - 3%

Purchase of Healthcare from other NHS Bodies - £15m - 5%

Purchase of Healthcare from non NHS Providers - £18m - 6%

All other costs - £19m - 6%

General/Personal Medical Services - £22m - 8%

Purchase of Healthcare from Foundation Trusts - £25m - 8%

Primary Care Prescribing - £27m - 9%

Staff Costs - £30m - 10%

Purchase of Healthcare from other Primary Care Trusts - £33m - 11%

Purchase of Healthcare from East Lancashire Hospital Trust - £97m - 33%

£millions

What you get for your money - Examples

Inpatient and Day Case 49,000Outpatient Attendances 167,000A & E Attendances 52,000District Nursing/Treatment Room Contacts 248,000Health Visitor Contacts 114,000Podiatry Contacts 34,000School Nursing Contacts 58,000 Prescription items issued 3,172,000

Your Big Priorities: what you told us• 2008 Place Survey

– Clean streets, affordable decent homes, less crime and improved health services

• 2009 Vision 2030 research– Improve the local economy and provide more jobs;

better schools and college; less crime and communities getting on

• 2010 Neighbourhood consultation– Communities getting on, community centres,

better public transport, clean streets, improved parks and open spaces, refuse collection

What next• Council Budget Setting process

– Grant settlement from Government – December– Policy Council – December – Budget Setting and Consultation – November to February

2011– Finance Council to set Budget and Council Tax – 7th March

2011

• Care Trust Plus Budget Setting process– NHS Operating Framework and 2011/12 Funding levels

issued – December– CTP Financial Plans refreshed – January 2011– Budget setting completed (including savings & disinvestment

plans) – February 2011– Final budget for 2011/12 presented to CTP Board for

approval – March 2011

You’ll be involved• We’ll tell you what is happening and listen to

residents and communities– Meetings - residents, staff, voluntary, faith and

community groups– Ward Councillor surgeries – Shuttle/local media – Social media (Facebook/Twitter) – Council and other Websites– YouChoose tool where you are asked to make the

difficult choices and consider where council budgets cuts should fall, where efficiencies might be made and where income might be generated.