Agenda item

To consider and comment on the Council’s draft 5 year (2018/19 to 2022/23) Medium Term Financial Strategy proposals relating to the Scrutiny Panel’s remit (Priority 4 and Priority 5).

Rita Bacheta, Senior Business Partner, introduced the report as set out. The Panel considered and noted the information set out in Appendix A (key lines of enquiry for budge setting), Appendix B (Medium Term Financial Strategy), Appendix C (2017 Budget (Savings) Proposals) and Appendix D (Overview and Scrutiny Recommendations from 2017).

The Panel went on to consider the (new) budget proposals for Corporate Plan Priority 4 (P4) and Corporate Plan Priority 5 (P4), as set out in Appendix E of the report.

In addition to the comments below, the Panel raised concerns about the limited financial information provided in the report. 

Consultancy Spend (Tottenham Regeneration)

The Panel was informed that following a detailed review of the overall Tottenham Regeneration Programme budget, savings from the General Fund (£50k) had been identified from 2018/19 on consultancy spend. It was noted proposed savings followed a detailed review with budget holders in order to determine what spend could be delayed or reduced to meet savings the Council was required to make. Officers explained that the impact of reduced spend on consultants would mean that progression of regeneration schemes or projects might be delayed.

Reduction in Housing Related Support Budget  

The Panel was informed that this was a budget that commissioned services rather than council employees. It was noted that the current budget (2017/18) still included funding that was due to be transferred to Adults Services following the implementation of the Housing Related Support Review. It was explained that the split was as follows: £4,654k to Adults Services with £3,999k to remain in Housing Related Support. In terms of savings offered it was noted that there would be potential savings for 2018/19 of approx. £50k by bringing monitoring roles back into the Housing Related Support team from Homes for Haringey. It was also noted that additional savings, of approx. £120k in 2019/20, would be achieved by recommissioning community based homelessness prevention work.

In addition to the issues above, a number of topics were considered in relation to the budget strategy for P4 and P5, consultancy spend for Wood Green Regeneration, the Council’s capital strategy and programme, and the Housing Revenue Account (HRA). During the discussion, the Panel highlighted the possibility of setting an in-principle target of zero for consultancy spend.

The Chair concluded the item by thanking everyone for their contributions.

AGREED:

1.    That further information on the Consultancy Spend for Tottenham Regeneration be made available for consideration by OSC on 29 January before final budget scrutiny recommendations are made. This should include information on how the budget was spent in 2017/18 and what the budget will be used for during 2018/19.

2.    That a full breakdown of the P4 and P5 budget, for April 2018 – March 2023, be made available for consideration by OSC on 29 January before final budget scrutiny recommendations are made. This should include information on the capital strategy and HRA.

3.    That further information on the Consultancy Spend for Wood Green Regeneration be made available for consideration by OSC on 29 January before final budget scrutiny recommendations are made. This should include information on how the budget was spent in 2017/18 and what the budget will be used for during 2018/19.