To receive notice of any business not on the agenda which in the opinion of the Chair, by reason of special circumstances, be considered as a matter of urgency.
Decision:
Please note: Stage 1: Recommendations arising from Scrutiny on 14 October 2024 was taken as an item of Urgent Business, as the recommendations related to Item 7. Period 4 Financial Monitoring Report and Item 8. 2025-29 Medium Term Financial Strategy Update.
Cabinet RESOLVED, to;
1. Receive the recommendations arising from the meeting of the Scrutiny & Overview Committee on 14 October 2024 (Appendix 1)
2. Provide a substantive response to the recommendations (a Scrutiny Stage 2 Report) at the Cabinet meeting on 30 October 2024.
Minutes:
Recommendations Arising and Responses arising from Scrutiny was takenas an Item of Urgent Business by the Executive Mayor. The Scrutiny and Overview Committee had met on Monday 14 October to discuss Period 4 Financial Monitoring Report and the Medium Term Financial Strategy. Following the meeting a stage one report from Scrutiny and Overview Committee was published on the day of the Cabinet meeting.
Chair of Scrutiny and Overview Committee, Councillor Leila Ben-Hassel advised the Scrutiny and Overview Committee held on 17 September had discussed the financial monitoring reports for Periods 2 & 3. The Committee thanked the Cabinet Member for Finance for the information provided on the evolving situation following the Period 2 financial monitoring report.
Scrutiny and Overview Committee had considered the Medium Term Financial Strategy and the Period 4 financial monitoring report at its meeting on 14 October 2024. Details of the ongoing recovery plans work had not been provided however the Committee was reassured by the actions in progress, including the reintroduction of spending panels and had asked to be briefed on the recovery plans once further developed.
It welcomed the £3 million improvement in Period 4, but noted £2 million of the savings were from the release of £2 million unallocated transformation funding and hoped the recovery plans would lead to greater in-year savings across directorates.
It was noted that London Councils had reported a projected £600 million overspend across local authorities in the Capital. The main areas of overspend were Homelessness, Children's Social Care and Adult Social Care, Special Educational Needs and Disability (SEND) Transport.
The Scrutiny and Overview Committee had agreed to engage with other Local Authority Scrutiny Chairs across London to explore best practice and shared solutions.
On SEND Transport, the Committee welcomed the Executive's commitment to the exploration of the budget sitting within the Children and Young People's directorate and requested the outcome to be reported back to the Committee as part of the budget setting process.
In regard to the Medium Term Financial Strategy the Committee noted the council's ongoing fragile financial position in the context of the pan London issues and on top of the council's existing debt burden. The Committee had felt the projected savings were currently low, but had been reassured by the Cabinet Member for Finance that more work was to be done and the savings would be more reflective of the requirements.
The Committee commended the transformation work of the Adult Social Care service. Croydon was better placed to manage the demand in comparison to other London local authorities.
The uncertainty of the government's autumn statement and announcement of the local government settlement was noted. It had been recommended that a member's briefing on the financial challenges was arranged in a timely manner. It was also recommended that residents be regularly updated via the email newsletter.
The Committee welcome the implementation of the recommendation following last year's budget, that the LGA would independently review the budget before its publication.
Cabinet Member for Finance Councillor Jason Cummings noted the productivity of the Scrutiny and Overview Committee meeting and advised it was expected that the recommendations could be accepted.
Supporting documents: