Agenda item

To receive an update on the financial position for 2021/22 and to note or approve virements and supplementary estimates as required.

Consideration was given to the report setting out the financial year review for 2021/22.

Whilst it was a positive that the forecast overspend for Adults Services was relatively small, which had not always been the case, it was noted that some of this was due to not being able to spend in certain areas, including recruiting to vacant posts.

Some concerns were also raised in respect of the Adults Service being reliant on government grants and council tax rises to make up the necessary budget requirement; and it was acknowledged that demand and complexity of needs continues to increase.

A question was raised in respect of use of the additional Government grants relating to both Adults and Children’s Social Care that had been announced in the provisional Local Government Finance Settlement before Christmas.

Helen Charlesworth-May, Executive Director for Adults, Health, and Integration, highlighted to committee that over the last two years, due to the pandemic, the risk profile had changed significantly for Adult Social Care. It would be necessary to continue to support the market, negotiating with providers and using flexibilities in resources, including specific grants where possible between financial years.

With regard to the Social Care grant announced in the Provisional Settlement, Committee were asked to note that there was an inter-relationship between Adults Services and Children’s Services, for example in respect of children transitioning to adulthood with mental health needs,  or in need of other forms of support to help with managing safe and independent lives; and that the Council would look to manage its resources and set budgets to enable delivery of its objectives across the Social Care services.

Further questions and comments were raised and responses given by officers in the meeting in respect of the following:

• The amount remaining in respect of the un-ringfenced Covid grant provided by Government, and whether the grant had covered all costs relating to Covid pressures to date;
• Challenges with regard to recruiting to vacant posts; and the training offered to help recruit and retain staff

RESOLVED (unanimously)

1. That the report of the Finance Sub-Committee (Agenda for Finance Sub-Committee on Wednesday, 1st December, 2021, 2.00 pm | Cheshire East Council),specifically the recommendations of that committee be noted.
2. That the financial update and forecast outturn relevant to the committee’s terms of reference be noted.
3. That it be noted that officers would seek to improve outcomes and the financial outturn across all Committees to mitigate the overall forecast overspend of the council.
4. That appendix 3 of the report and the following sections specific to the Committee be noted:

• Changes to Revenue budget 2021/22

• Policy Proposals Update

• Corporate Grants Register

• Debt Management

• Capital Strategy

• Reserve Strategy

5. That the additional specific grant supplementary revenue estimate over £500,000 and up to £1,000,000 in Appendix 3, Section 3 Corporate Grants Register, Table 2 be approved.

The Committee adjourned for a short break at 11.54am and reconvened at 12.01pm.

Councillor D Edwardes left the meeting and did not return.