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Legal and Democratic Services The Lonsdale Building The Courts Carlisle
Cumbria CA3 8NA Fax 01228 606372
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To: The Council Leader and Members of Cabinet
Agenda
CABINET
A meeting of the Cabinet will be held as follows:
Date:
Time:
Place:
Thursday 6 January 2011
10.00 am
No 2 Committee Room, The Courts, Carlisle
Angela Harwood
Assistant Director – Legal and Democratic Services
Enquiries and requests for supporting papers to: Nick Evans
Direct Line:
01228 226367
Email:
[email protected]
This agenda is available on request in alternative formats
Building pride in Cumbria
1
MEMBERSHIP
Mr E Martin (Leader)
Mr SF Young (Deputy Leader)
Mr J Airey
Mrs A Burns
Mr DS Fairbairn
Mr TJ Knowles
Mrs EA Mallinson
Mr AJ Markley
Mr OH Pearson
Mr GB Strong
ACCESS TO INFORMATION
Agenda and Reports
Copies of the agenda and Part I reports are available for members of the public to inspect
prior to the meeting. Copies will also be available at the meeting.
The agenda and Part I reports are also available on the County Council’s website –
www.cumbria.gov.uk/councilmeetings/
Background Papers
Requests for the background papers to the Part I reports, excluding those papers that
contain exempt information, can be made to Legal and Democratic Services at the
address overleaf between the hours of 9.00 am and 4.30 pm, Monday to Friday.
2
AGENDA
PART 1:
1.
ITEMS LIKELY TO BE CONSIDERED IN THE PRESENCE OF THE PRESS
AND PUBLIC
APOLOGIES FOR ABSENCE
To receive any apologies for absence.
2.
DISCLOSURES OF INTEREST
To disclose any personal and prejudicial interests relating to any item on the agenda.
NB The following is a summary of what constitutes a personal interest and a
personal and prejudicial interest. Please seek advice or refer to the Code of
Conduct (paragraph 8) for full definitions.
PERSONAL INTERESTS
You have a personal interest if the issue being discussed in the meeting affects the wellbeing or finances of you, your family or your close associates more than most other
people who live in the Electoral Division affected by the issue.
Personal interests are also things that relate to an interest you must register.
N.B. If the personal interest arises because of your membership of another public body,
you only need to declare it if you intend to speak.
A personal interest should be declared as follows:
I have a personal interest in agenda item [] regarding the report on []
because I am [].
PERSONAL AND PREJUDICIAL INTERESTS
If you have a personal interest in a matter you will also have a prejudicial interest in that
matter if the interest is one which a member of the public, with knowledge of the relevant
facts, would reasonably regard as so significant that it is likely to prejudice your
judgement of the public interest. If you have a personal and prejudicial interest you must
withdraw from the meeting room for that item, unless you are there to make
representations and the public have the same opportunity to do so
NB You only have a prejudicial interest if the matter
•
•
affects your financial position or that of your family, close associate, employer etc
or it
relates to a regulatory matter
A personal and prejudicial interest should be declared as follows:
3
I have a personal and prejudicial interest in agenda item [] regarding the
report on [] because I am [].
Advice on this can be sought from staff in Legal and Democratic Services. Members are
requested to seek advice, wherever possible, before the meeting starts.
3.
MINUTES
To receive the minutes of the Cabinet meeting held on 16 December, 2010 (copy to
follow).
4.
EXCLUSION OF PRESS AND PUBLIC
To consider whether the press and public should be excluded from the meeting during
consideration of any item on the agenda.
5.
STATEMENTS BY THE LEADER OF THE COUNCIL AND CABINET
MEMBERS
To receive statements by the Leader of the Council and Cabinet Members.
6.
PUBLIC PARTICIPATION
None at this stage
REFERRALS FROM SCRUTINY
None at this stage
7.
HIGHWAYS SERVICE
[Electoral Divisions: All]
(1)
Report from Scrutiny Panel
Councillor Clare to present the report from the Scrutiny Panel (copy enclosed).
(2)
Report from Cabinet Member
To consider a report by the Cabinet Member for Economy and Highways and the
Corporate Director – Environment (copy enclosed).
8.
CONCESSIONARY TRAVEL
[Electoral Divisions; All]
(1)
Report from Scrutiny Panel
Councillor Cook to present report of the Scrutiny Panel (copy enclosed).
(2)
Report from Cabinet Member
4
[Electoral Divisions: All]
To consider a report by the Cabinet member for Transport and Environment and
the Corporate Director – Environment (copy enclosed).
9.
FUTURE
ARRANGEMENTS
FOR
CONCESSIONARY TRAVEL SCHEME
THE
ENGLISH
NATIONAL
[Electoral Division: All]
To consider a report by the Cabinet Member for Transport and Environment and the
Corporate Director - Environment (copy enclosed).
This report sets out proposals for the implementation in Cumbria of the English National
Concessionary Scheme which will be provided by Cumbria County Council with effect
from 1 April 2011. It also outlines the administrative arrangements being put in place to
administer the scheme.
Improving Council Services
10.
REVENUE AND CAPITAL BUDGET MONITORING
[Electoral Divisions: All]
To consider a report by the Deputy Leader and the Corporate Director – Resources
(copy enclosed).
This report sets out the forecast year-end position at 31 October 2010 against the
Council’s revenue and capital budgets for the 2010/11 financial year.
11.
BUDGET UPDATE
[Electoral Divisions: All]
To consider a report by the Leader and Deputy Leader and the Chief Executive and
Corporate Director – Resources (not available at time of despatch – copy to follow).
12.
PERFORMANCE MONITORING REPORT - LOCAL AREA AGREEMENT
LEGACY STRETCH 2007-10
[Electoral Divisions: All]
To consider a report by the Leader and the Chief Executive (copy enclosed).
13.
EMPLOYEE RELATIONS FRAMEWORK
[Electoral Divisions: All]
To consider a report by the Cabinet Member for Organisational Development and the
Corporate Director – Organisational Development (copy enclosed).
5
This report provides an update to Cabinet on the implementation of the new employee
relations framework (ER framework).
Improving the Health and Well-being of Adults
14.
ANNUAL ASSESSMENT OF PERFORMANCE - ADULT SOCIAL CARE
[Electoral Divisions: All]
To consider a report by the Cabinet Member for Adult Social Care and the Corporate
Director – Adult and Local Services (copy enclosed).
The purpose of this report is to formally present to Cabinet the Annual Performance
Assessment of Adult Social Care in Cumbria (SOCIAL CARE SERVICES FOR ADULTS
IN CUMBRIA) from the Care Quality Commission (CQC).
15.
ANTI POVERTY STRATEGY UPDATE AND REFRESH FOR 2011
[Electoral Divisions: All]
To consider a report by the Cabinet Member for Communities and the Chief Executive
(copy enclosed).
This report summarises the results of the Anti Poverty initiatives that delivered the
Cumbria County Council Anti Poverty Strategy in 2009/10.
Improving the Life Chances and Wellbeing of Children and Young People
16.
CHILD POVERTY STRATEGY
[Electoral Divisions: All]
To consider a report by the Cabinet members for Children’s Services and the Corporate
Director – Children’s Services (copy enclosed).
This report presents the Final Child Poverty Needs Assessment and the draft of the
Child Poverty Strategy.
Creating and protecting a high quality environment for all
17.
PLANNING FOR NEW ENERGY INFRASTRUCTURE: DECC CONSULTATION
ON REVISED DRAFT NPS'S PROPOSED RESPONSE
[Electoral Divisions: All]
To consider a report by the Cabinet Member for Economy and Highways and the
Corporate Director – Environment (copy enclosed).
This report identifies the main changes put forward in the second round of consultation
on the six Energy National Policy Statements (NPSs) and proposes a response to
6
consultation questions.
18.
CUMBRIA MINERALS AND WASTE DEVELOPMENT FRAMEWORK ADOPTION OF THE SITE ALLOCATIONS POLICIES AND PROPOSALS
MAPS
[Electoral Divisions: All]
To consider a report by the Cabinet Member for Transport and Environment and the
Corporate Director – Environment (copy enclosed).
The purpose of this report is to seek Cabinet’s recommendation to Full Council of the
changes recommended by the Inspector and that these two Development Plan
Documents should be formally adopted
19.
CUMBRIA MINERALS AND WASTE DEVELOPMENT SCHEME AND ANNUAL
MONITORING REPORT
[Electoral Divisions: All]
To consider a report by the Cabinet Member for Transport and Environment and the
Corporate Director – Environment (copy enclosed).
This report presents the 6th Annual Monitoring Report and covers the period 1 April
2009 to 31 March 2010.
20.
FIRE SERVICE MANAGEMENT
[Electoral Divisions: All]
To consider a report by the Leader and the Cabinet member for Safer and Local
Services and the Chief Executive (copy enclosed).
PART 2: ITEMS LIKELY TO BE CONSIDERED IN THE ABSENCE OF THE PRESS
AND PUBLIC
21.
DECISION ON ICT PROVISION BEYOND FEBRUARY 2010-MARCH 2012
[Electoral Divisions: All]
To consider a report by the Cabinet Member for Organisational Development and the
Corporate Director – Organisational Development (copy circulated separately to
members only).
This report is not for publication by virtue of Paragraph 3 of Schedule 12 A of the Local
Government Act 1972 as this report contains exempt information relating to financial or
business affairs.
22.
AWARD OF A CONTRACT FOR THE PROVISION OF CATALOGUE
SUPPLIES INCLUDING EDUCATIONAL MATERIALS
7
[Electoral Divisions: All]
To consider a report by the Deputy Leader and the Corporate Director – Organisational
Development (copy circulated separately to members only).
This report is not for publication by virtue of Paragraph 3 of Schedule 12 A of the Local
Government Act 1972 as this report contains exempt information relating to financial or
business affairs.
23.
PROFESSIONAL SERVICES FRAMEWORK CONTRACTS COMMENCING 1
FEBRUARY 2011
[Electoral Divisions: All]
To consider a report by the Deputy Leader and the Corporate Director – Organisational
Development (copy circulated separately to members only).
This report is not for publication by virtue of Paragraph 3 of Schedule 12 A of the Local
Government Act 1972 as this report contains exempt information relating to financial or
business affairs.
24.
HIGHWAYS SERVICES RETENDER
[Electoral Divisions: All]
To consider a report by the Cabinet Member for Highways and Economy, Cabinet
Member for Transport and Environment and the Corporate Director – Environment (copy
circulated separately to members only).
This report is not for publication by virtue of Paragraph 3 of Schedule 12 A of the Local
Government Act 1972 as this report contains exempt information relating to financial or
business affairs.
8
Agenda Item 7a
CABINET
Meeting date:
From:
16 December 2010
Chair – Environment & Economic
Regeneration Scrutiny Advisory Board
SCRUTINY HIGHWAYS TASK & FINISH GROUP,
REBID- HIGHWAYS CONTRACT, POST CAPITA/AMEY
1.
Executive Summary
1.1.
The attached scrutiny report sets out the objectives and background of
scrutiny’s work to consider the new Highways contractual options , following
the termination of the Capita (management and consultancy) and Amey
(works) contracts in January 2011 and March 2012. Note; the T&F Group
was not asked to examine or comment on the procurement model adopted
for the rebid process but Members decided it was important to do so and in
their view, this was also what Cabinet expected when the Interim Report was
presented.
1.2.
This second report builds on earlier scrutiny work which reviewed the Lean
System, customer-led Better Highways programme, focusing on reactive
maintenance. It seeks to understand how the learning from this programme
will be integrated into future contractual (works) arrangements for the
County.
1.3.
T&F Members recognise that Better Highways is work in progress and
accordingly some outstanding questions from Part 1 of the review process,
will remain unanswered at this stage. They recommend that continued
monitoring and appropriate changes are made – if necessary – to matters of
staffing levels, quality control, performance management and affordability
during and after BH rolls out across the County.
1.4.
Being assured by officers that that would be the case, Members have
agreed to leave the first stage of the reporting process (Interim Report) as it
currently stands and have recommended to Cabinet that: “As part of its
decision-making process, and in concluding a way forward, Cabinet
Members need to be assured that the questions raised by scrutiny
throughout the duration of its T&F work, have been adequately answered”.
1.5.
Following a series of meetings/discussions with Corporate Director –
Environment; Assistant Director and senior officers, an external highways
contractor and other authorities, Members moved the focus of their work to
the rebid process, with a view to helping to inform the authority’s final
decision-making process.
Page 1
1.6.
This final report focuses on the options assessment process leading to a
preferred contractual model, post March 2012 which will help to deliver the
Cumbria Highways programme. Scrutiny Members’ findings, conclusions
and recommendations can be found in the attached paper.
1.7.
Subsequent to the writing of this report a meeting was held between T&F
Members and the Assistant Director, Highways & Transport and Senior Area
Engineer at which further prioritising of (3) options was explained. This new
information has led to a further suggestion that in the Cabinet response
report, the Assistant Director includes a detailed benefits analysis on the
final choice of options.
2.
Recommendation
Cabinet are asked to consider the attached report, its findings and
recommendations contained.
In doing so, T&F draw attention to the fact that they have seen no cost
benefit analysis for the options even though they asked for such work to be
done on the preferred Options. Given the size of the potential contract this is
a matter which needs to be addressed before Cabinet makes a final
decision. In scrutiny Members’ view, this issue should be addressed or the
reasons fully explained why this was not deemed to be necessary.
3.
Strategic Planning and Equality Implications
3.1
The report relates to and supports the following priorities from the Cumbria
Plan:
• Better: People have confidence that their council delivers effective &
efficient services that provide value for money.
The Council has the right number of people with the skills,
attitudes and behaviours to work in modern and efficient ways
•
Greener: People move easily and safely around the county.
3.2
The application of the Transfer of Undertakings (Protection of Employment)
Regulations 2006 (TUPE) will be considered as part of the strategic planning
process, in advance of the expiry of the Capita contract in January 2011
and the Amey contract in March 2012.
3.3
There are no equality implications arising out of this report.
4.
Background
4.1
This Scrutiny report is concerned with the future of the Highway Service
Page 2
following the termination of the Capita (management & consultancy) and
Amey (works) contracts in January 2011 and March 2012. However, a
decision has already been made with regard to Capita and it has also been
decided that part of the envisaged new practices/configuration of services
will be based around the Better Highways scheme currently being “rolled
out”. Both, but the latter in particular, was the principal subject of our earlier,
interim report. Consequently this report builds on that report, the questions
and issues raised there and the subsequent comments and correspondence.
4.2
Members’ investigations and findings fall into three parts: firstly comments
on the Better Highways/Lean System thinking practices now being deployed;
secondly comments, if any, on the arrangements for work formally
undertaken by Capita and, thirdly, the options for service delivery after the
termination of the Capita and Amey contracts.
Councillor Dave Roberts
Chair – Environment & Economic Regeneration Scrutiny Advisory Board
APPENDICES
Highways Task & Finish Group – Final Report; Rebid – Highway Works Contract,
post Capita/Amey
RESPONSIBLE CABINET MEMBER
Cllr. Tony Markley, Cabinet Member for Economy & Highways
CONTACT
Scrutiny Officer:
Alan Gunston
Telephone: (01228 226515)
Email:
[email protected]
Web:
www.scrutiny.cumbria.gov.uk
Page 3
This page is intentionally left blank
Page 4
APPENDIX
Environment & Economic Regeneration Scrutiny
Advisory Board
Section 2
Highways T&F
Rebid - Highway Works Contract, post Capita/Amey
1
Page 5
CONTENTS
Foreword
3
1. Introduction
3
2. Recommendations
4
3. Background
5
4. Findings
9
5. Conclusions
25
6. Appendices
26
Task & Finish Group Members:
Cllr Tom Clare (Chair T&F)
Cllr Helen Fearon
Cllr Joe Holliday
Cllr Frank Morgan
2
Page 6
Foreward
In presenting this second report on the future of the Highway Service the Chair wishes to
thank all members of the T&F Group, Scrutiny officers and staff of the Highway Service.
However, the Chair wishes to specifically thank Cllrs Frank Morgan, Helen Fearon and Joe
Holliday and Alan Gunston, for all the work they put in during his absence following his
unexpected illness. Nevertheless this report represents the considered view of all members of
T&F.
1.
INTRODUCTION
1.1
This Scrutiny report is concerned with the future of the Highway Service
following the termination of the Capita (management & consultancy) and Amey (works)
contracts in January 2011 and March 2012. However, a decision has already been
made with regard to Capita and it has also been decided that part of the envisaged
new practices/configuration of services will be based around the Better Highways
scheme currently being “rolled out”. Both, but the latter in particular, was the principal
subject of our earlier, interim report. Consequently this report builds on that report, the
questions and issues raised there and the subsequent comments and correspondence.
1.2.
It follows that our investigations and findings fall into three parts: firstly comments on
the Better Highways/Lean System thinking practices now being deployed; secondly
comments, if any, on the arrangements for work formally undertaken by Capita and,
thirdly, the options for service delivery after the termination of the Capita and Amey
contracts.
1.3.
Within the first part the scrutiny review, which was focused on the Better Highways
project, questions emerged on how the learning from the Lean Systems approach to
reactive maintenance would be applied to the rest of the Cumbria Highways Service.
1.4.
Members have been particularly interested to learn how the thinking would inform any
future contractual arrangements following the termination of the Capita (management &
consultancy) and Amey (works) contracts in January 2011 and March 2012
respectively.
1.5.
This report is seen as a related but separate stage of the scrutiny review process, it
does however pick up on some of the outstanding questions which were asked by
Members as part of the Better Highways review.
3
Page 7
4
Page 8
2. RECOMMENDATIONS
1.
As part of its decision-making process, and in concluding a way forward,
Cabinet Members need to be assured that the questions raised by scrutiny
throughout the duration of its Highway T&F work, have been adequately
answered.
2.
When assessing options for a new Highways Contract, the attributes of flexibility
and responsiveness to economic, social and technological change must be a
key factor for consideration if not a principal factor influencing decisions.
3.
In any future contractual arrangement, adequate performance management
measures on productivity; cost control; H&S and community measures must be
included and, again, must be a factor influencing the choice of option(s)
4.
In opting for a stronger client model, the Cabinet must be confident that other
more creative and flexible contractual options which also provide closer client
engagement, have been considered.
5.
In order that Find & Fix Teams can work effectively and take on their new
delegated responsibilities, it will be essential that a robust and effective training
programme is developed and delivered to Find and Fix teams.
6.
That monitoring of the efficiency of these teams and outputs continues during
the life of any contract with the latter allowing for changes where and if
necessary.
7.
A full cost-benefit analysis on the two preferred contract options (2 & 7) are
undertaken in order that a more informed final decision can be made on the most
appropriate contractual model for Cumbria Highway Services, post 2012.
.
5
Page 9
3. BACKGROUND
Current contractual arrangements with Capita/Amey
3.1
The current client/management (Capita); works arrangement (as set up in 1995 was
originally focused with the following key issues in mind:
•
•
•
•
•
Current DLO was undertaking 40% of its work external to the County Council
and this was considered to be an unsupportable activity
At a time of reducing budgets the council were intent on protecting the
employment of the DLO who had significantly grown their business. It was felt
that a private sector partner would be able to offer this protection and continue
to grow its employee base. Note, that if we do not do so, we might want to
make the point that the primary purpose of Highway Service should not be
employment but the delivery of the best possible highways.
The authority required a capital receipt.
Private sector investment into ageing fleet and infrastructure.
Payment of significant ongoing annual efficiencies through free work.
3.2
The current arrangements have been described as an inflexible “command and control”
process in which Capita, as the managing agent, inspect, design and instruct the works
contractor to undertake reactive and planned work. Contracts were driving the method
of working which was not proactive in driving out inefficiencies and delivering an
improving service. The structure of the contracts does not help to achieve clear
accountability. Most importantly, Performance measures were lacking KPI’s on
productivity, Health & safety as well as ‘community’ indicators.
3.3
Feedback to Members would strongly suggest this has led to poor quality and cost
control, many temporary repairs; long completion times; significant ‘over-designing’
(Better Highways is working to eradicate this); inefficient use of funds; lack of
accountability and an inflexible response to working procedures.
3.4
In discussions with an experienced DSO Director, it was suggested to Members that in
preparing for any new contractual arrangement it was essential that the authority has a
clear understanding of what it requires in the future. Any ambiguity in the delivery
Better Highways and other services would result in unnecessary risk costs being
‘priced-in’ by a third party.
3.5
It has been suggested to Task group members that any new contractual arrangements
should include the following attributes:
•
•
•
•
•
•
•
Reduced Waste
Delivering customer and community expectations
Improved Customer Service
Increased local Member input
On-going service improvement
Purposeful and effective quality performance measures and KPIs
Effective cost control and reporting mechanisms
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•
An ability to Protect local employment where possible and without adversely
affecting some of the other principles.
As part of the options rebid review process, consideration should also be given to:
•
•
•
•
•
•
•
•
Innovation & sustainable first-class delivery
Best Value – securing financial savings to the authority
Reducing TUPE risks to the County Council
Delivery of on-going financial efficiencies
Flexibility to adapt to changing economic, social, political and technological
circumstances.
Guaranteed investment in infrastructure; people; innovation and contribution to
the local economy
Protecting the interests of the client
Clear accountability across all areas of the service.
Rebid history
3.6
In scrutiny’s consideration of the build-up to the Cumbria Highways Service rebid
process (post Capita/Amey,2012) it has been necessary for Task & Finish group
Members to understand the wider thinking which has informed the Environment Team’s
interim arrangements on the cessation of the Capita contract in January 2011. The
following paragraphs which are largely based on Cabinet reports from October 2009
onwards, help to explain some of that thinking.
October 2009
3.7
On 13 October 2009 Cabinet members discussed a range of future service delivery
options in relation to five service areas that were currently being delivered by Capita
until January 2011. At this meeting Cabinet Members identified their preferred
approach for the future delivery of the service, which related to the strengthened client
arrangement.
3.8
The options and subsequent decisions in relation to the authority’s Highways service,
were about whether or not to bring services wholly or partly back in-house, and/or
commission them through various types of contract models and procurement routes.
The key outcome was to deliver excellent and flexible services, through ‘best in breed’
national best practice, in a cost effective and efficient manner.
3.9
From these discussions it was agreed that under Environment (Highways and
Economic Development work streams), initial work relating to Option 3 - strengthening
the client function (design and monitoring) would be developed. In addition, procuring
other consultancy advice through existing call-off contracts with other agencies and
legally expanding the services currently provided by Amey up to 31 March 2012 would
be considered.
7
Page 11
Highways & Transport total capital/revenue budgets for 2009/10 = Approx £54m; Total
Client Fees approx £10.4m
3.10
Options Appraisal Summary (Oct 09)
Commencing in February 2011 parts of Capita services would be brought back in-house and the
remainder into the Amey contract which expires in March 2012. Option 3, was regarded as
much more strategic as it enabled the Council time to reinforce the client function and seek to
undertake a wider shared Highways, transportation and street scene service, post March 2012.
•
It was recognised that it would be crucial to get the balance right on the client and service
transfer split following Capita in February 2011, as well as the definition of an appropriate
contract model, post March 2012
•
Any transfer of additional works to Amey would require clearly defined targets and penalties
attached to these (including the possibility of re-negotiating improvements to existing KPI’s
and financial guarantees connected to performance targets).
•
A longer lead-in time would be required due to the complexities of early negotiations with
other public sector bodies and agreement of future contract delivery models
•
It was stated that such a project would need to be addressed from this period (Oct 2009) to
April 2012 to organise and implement. A draft timescale was included in the cabinet paper.
•
It was reported that in excess of 200 staff would be affected.
June 2010
3.11
Cabinet resolved to proceed with the Environment re-tendering operations on the basis
of a mix of restricted procedure and framework contract approaches to replace the
current Capita and Amey works and that this will be achieved using a mix of in-house
and externally procured professional, technical and works contracts at the appropriate
time.
3.12
In the report to Cabinet it was proposed that while the staff who were transferring from
Capita to the County Council will be able in the main to provide the professional and
technical work for the authority, from time to time there would be the need for additional
resources or specific expertise. A range of consultancy services had been identified
that would meet the needs of the Environment Directorate both highways & transport
and economic development services (work to have been completed by July 2010).
3.13
In developing a set of over-arching principles to guide an objective assessment of the
future delivery options following the cessation of the Capita contract, the transition
team had also taken into account information and views from a range of stakeholders
including Local Committees, Better Highways, professional bodies, scrutiny, bench
marking and staff. However, TUPE was, inevitably, a factor in deciding how many staff,
and therefore work areas, came back in house from Capita.
8
Page 12
3.14
Working with corporate procurement, options for the procurement of these services had
been developed. Where appropriate, options would include the use of design and build
and framework contracts. In terms of a Highways Works contract beyond April 2012,
Amey currently provides the ‘works’ element of Cumbria Highways Service and work
had been ongoing to explore a range of contact models for analysis.
September 2010
3.15
At the meeting of Cabinet on 16 September 2010, proposed new delivery
arrangements (post January 2011) for services currently provided by Capita for the
Environment Directorate, were discussed under Part 2.
3.16
Executive Members were asked to endorse a strengthened client (design and
monitoring) model and procure expert advice through a mix of call off framework
contracts. A detailed report set out five options specifically relating to the activities
currently undertaken by Capita for highways? and were assessed against the transition
team’s guiding principles, key benefits and risks. A strengthened client would focus on
the management of the asset; a network management service devolved to localities
and a transport service. In addition this would provide a flexible resource to manage
major projects such as the CNDR as well as roll out systems thinking and managing
the replacement of the works contract.
3.17
The team concluded that with the right expert advice from call off contracts, an
organisation with an estimated staffing level of 250 FTE’s would deliver the benefits of
a strengthened client within a reduced budget. An overview of the structure, plus
financial analysis was provided to Cabinet Members to support these proposals.
3.18
The arrangements regarding the cessation of the Amey contract and the choices about
service configuration and delivery would be considered at a later Cabinet (Dec 2010).
It was highlighted that the transition from Capita to new arrangements across the full
range of services supplied to the Council is expected to achieve a £1m saving plus
repaying the Improvement and Efficiency reserve of £500k. The amount attributed to
the Environment Directorate was £1.2m. In addition to this, savings had been
earmarked for the introduction of Better Highways, these savings related to the removal
and duplication between Capita and Amey and the County Council - this would be
£0.15m in 2011/12 rising to £0.8m from 2012/13. The revenue budget available would
therefore be reduced accordingly.
3.19
Within the report to Cabinet, there was an acknowledgement that the full financial
implications from the cessation of the Capita contract could not be fully assessed at
that time due to gaps in the financial information available, including numbers of staff
potentially transferring, their terms and conditions and a detailed strengthened client
structure. There was no specific budgetary provision for transition costs and action to
investigate these would be taken over the next few months. In addition, it was reported
that potentially there would be data transition costs and property implications that could
not be fully assessed until information was received by Capita.
3.20
The report concluded that the outcome of this work would mean that the County
Council would have a far greater internal resource, comparable with similar county
council highway operations, over which it will have much better control in terms of
9
Page 13
volume and quality of work, together with a mix of external framework consultants for
economic development service peaks. “In the long term both the Capita transition
and the systems thinking work will result in an improved definition of work
currently falling within the Amey contract”.
(M. Fallon – Corporate Director Environment – August 2010)
10
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4. FINDINGS
This report builds on earlier scrutiny work which reviewed the Lean System’s thinking Better
Highways programme and seeks to understand how the learning from this programme will be
applied to future contractual arrangements for the County.
4.1
The application of Lean Systems Thinking/Better Highways model to current and
future working practices.
4.1.1
Investigation of the Better Highways (reactive maintenance) project was a principal part
of the interim report presented to Cabinet on 16 September 2010. At this meeting and
in subsequent correspondence a number of questions and issues were raised for
resolution.
4.1.2
As the Better Highways programme has been unrolled throughout the County, some of
these questions have been answered, however, there remains a number of outstanding
concerns (identified in Appendix 1) plus new issues such as Find and Fix team
supervision and responsibilities, Local Committee budget arrangements etc. that are
emerging .
4.1.3
Given that Better Highways will be an integral part of any future contractual
arrangement, post 2012, it is Members recommendation that these questions should
be answered and that the operations should continue to be monitored to make
changes where appropriate. As yet Members have not been reassured by all the
answers to questions pertinent to the Better Highways programme as promised
following the September Cabinet.
4.2
The arrangements following the termination of the Capita contract.
4.2.1
In moving forward to this second stage of the review process a series of questions
relating to the rebid process post Capita/Amey, were discussed with the Corporate
Director, Environment and Head of Highways and Transport. Key questions included:
a-
In making your decision on the rebid service delivery model post Capita & Amey,
can you explain to Members which options were considered and what evidence
was produced to support your preferred choice?
b-
We understand up to seven options were considered, can you provide Members
with an assessment for the pros & cons of each?
c-
As part of your consideration have you undertaken a cost-benefit analysis of each
of the options? Where are the proposed savings going to be made against the
current cost model?
d - Having agreed to proceed with the Strengthened Client model, have you developed
a full business case in support of this option?
e -
Can you clarify the number of roles and staff that will be coming back in-house
from Capita?
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f -
What roles currently being undertaken by Capita will not be coming back in house?
g -
Which roles will be undertaken by the delivery contractor (currently Amey)?
h -
Will any roles in the proposed in-house structure be open to application from Amey
employees or will the new establishment be restricted to applications from those
Capita employees currently under 90 Day notice of redundancy?
i -
Is it envisaged whether any roles currently undertaken by Amey will be brought in
house or is it envisaged that these will be all be undertaken by a new contractor, at
some time in the future?
j -
What is the financial risk to the Council with regard to those staff currently with
Capita who will not be required in the new structure?
k - Similarly, what is the financial risk to the Council with regard to those staff currently
with Amey who will not be required in the new structure?
l -
How will the changes be reflected in budgetary information given to Members in
order that they are able to monitor and understand where resources are being
applied?
These questions were answered and formed the basis of the rebid options appraisal meeting
with T&F Members.
4.2.2
As noted, the decision to bring Capita staff back in-house has already been taken. T&F
Members however, are concerned that there appears to have been little consideration
of whether this creates duplication of activity (eg in areas of management) and whether
there is a need to restructure/redefine jobs. Members would recommend that this
needs to be done and that it forms part of the restructuring of the whole service which
is part of the thinking about options post 2012.
4.3
Questions to Corporate Director – Environment from Chair T&F Group
regarding the options post 2012:
4.3.1
Scrutiny Members noted in an earlier Corporate Director’s response that the Highways
Team would “ensure that the service is as efficient as possible before being put out to
competitive tendering next year” and intends to make this the next focus of its attention.
With this in mind the Chair, Highways T&F submitted the following questions on 7
September 2010:
a) When was the decision to go out to tendering made and why was Scrutiny not
told and invited to investigate as Members expected?
Answer: (a) No decision has been made about the final tendering process for the “work
contract” as this will be covered in the report to Cabinet in December but in
respect of the wording it merely acknowledges that the contract comes to an end
in 31st March 2012 and it is not unreasonable to expect us to be re-tendering in
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anticipation of the end of the contract. Indeed when we reported to Cabinet in
October 2009 it was agreed that these options should be evaluated.
b) Which parts of the service are to be put out to tender; all or part?
Answer: (b) All of the services currently provided by Amey which cover not only highways
but some monitoring of waste sites and fleet management will be considered.
c) If it includes all of those services currently provided by Amey why was this not
reflected in the diagrams of Highway structure hierarchy shown in power-point
presentation to all Local Committees and appended here? Local Committees
were given the impression that this was a single structure whereas in reality if
work currently being done by Amey is again done externally there is a missing
piece in which the equivalent of Highway Engineers will have to commission
work from the managers of the award winning company.
Answer: (c) The presentations given to Local Committees were focusing on the Better
Highways part of the service which in effect covers the area currently described
as “reactive maintenance”. As outlined above, Amey provide a wide range of
services to the Council and as we move forward the Cabinet will be considering
how they will wish to configure the remainder of the services. As a result of the
Capita transition and the outcome of the Better Highways work the Assistant
Director, Highways and transport will be reviewing his whole structure in order to
accommodate the various changes. I am sure once the position on the structure
is clearer we will be in a position to fully explain how the Better Highways part of
the service fits within the overall structure.
d) What are the comparative costs of putting work out to tender and of bringing it in
house? At what point did the Executive have such information and why did it not
share it with all Members through Scrutiny?
Answer: (d) The financial options of the various proposals will be considered in the report
to Cabinet in December. The reason why the information was not shared with
members through scrutiny was due to the fact that this work is still ongoing in
anticipation of the December deadline for Cabinet.
e) Is Cabinet aware that one of the questions T&F asked of officers was which other
LAs they had looked at for best practice, what questions they had asked and
what answers they had been given – and that no answer was given by the
Executive.
Answer: (e) I am sure that Cabinet members would be aware that the Task & Finish Group
were asking questions on other local authorities. You will note in the report to
Cabinet in September on the Capita Transition – Environment Directorate (Item
18) in paragraph 4.7 we did include a summary of comparisons with other similar
authorities.
4.4
The options considered for Cumbria Highway Services rebid, post
Capita/Amey 2012
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T&F Meeting with Assistant Director Highways & Transport and Senior
Area Engineer – 13.10.10
4.4.1
At this meeting scrutiny members were invited to consider the eight options which were
evaluated by the Highways Team as part of their preparation for the Cumbria Highways
Service rebid process (post Capita/Amey, 2012). Future delivery options were
considered against the key objective of developing a strengthened client function and
incorporating the set of over-arching principles to guide an objective assessment.
4.4.2
Each option was explained, including strengths/weaknesses and associated risks
enabling Members to further understand and explore the reasoning behind the
preferred model/s which would be presented to Cabinet in December. These are set
out below. However it is important to note that the stated benefits and risks of each
option are those of Highway staff and not T&F members. Indeed attention is drawn to
the fact that T&F asked if the evaluation of options had included – and could include –
cost benefit analysis and were told such a rigorous evaluation had not been made. T&F
asked if it could be undertaken for the two leading options so as better to inform the
final decision.
Option 1
Single County Contractor
Single Contractor
providing all
works
CCC Client
& Design
Professional
and Technical
Team
Benefits:
•
•
•
Risks:
•
•
•
•
Single Point of Contact
Economies of scale/Value-for-Money
Responsiveness in respect of additional work
This model could reduce local delivery
Council would incur main contractors ‘on-cost’ for any specialist sub contractors.
Require robust performance measurement framework with performance
penalties/rewards
Specifications at commencement of contract must be extremely robust
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•
•
Does not adapt quickly to changing markets/budgets/requirements
High up front costs for service provider
This option of a single contractor to operate across the county is not seen as the most
sophisticated, with little innovation or flexibility. This is about one service provider working to
the County Council.
Option 2
Core Contractor with additional Specialists to create commercial
tension
Benefits:
• Flexibility to deal with routine workload and service peaks.
• Mixed economy including SME’s
• Locality based delivery
• Responsiveness in respect of changing workload/market changes/organisational
changes
• Flexibility to deal with winter and weather events, supported by local supply chain.
• Economies of scale
• Provides Value-for-Money through Commercial Tension.
Risk:
•
Some duplication in terms of contract administration
CCC Client
& Design
Specialist Contract
Grounds Maintenance
Fleet
Professional
and Technical
Team
Traffic Signals
Road Signs
Term Core Contract
Specialist Contract 1
Large scale improvements
•
•
•
•
•
•
•
Better Highways
Minor capital works
Cyclical Maintenance
Winter and severe weather
Drainage
Bridge maintenance
Jubilee Bridge operation
Specialist Contract 2
Machine surfacing
Surface Dressing
Micro Asphalt
Task & Finish Group’s observations
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4.4.3
This is a variation of the previous model. A single core contractor would operate across
the whole county for all maintenance works with a framework in place to cover all
specialist works such as surfacing, surface dressing, improvement schemes. In this
version the client is a little bigger incorporating professional and technical services. The
main contract would be set up to deliver the Winter Maintenance contract while Street
lighting and electrical services (traffic signals) would be out with the main contract.
4.4.4
Following the principles of the ‘Big Society’, this option would allow the authority to look
at local providers, including District Councils; farmers etc. to assist when and where
required. This is about having a core contractor with additional specialists who can be
called upon locally. By sub-contracting out some areas of work to smaller, divisional
providers, ‘commercial tensions’ can be created. Work can be taken away from
technical contracts or added to, as demand dictates.
4.4.5
It was suggested that by encouraging ‘commercial tensions’, this would imply the client
will have measures for improvement? In his response the Assistant Director maintained
delivery will be measured against time, specification and price. It will be very important
to set the right threshold. If a contractor meets our quality standard it would have work
as of right to a certain value and therefore at that level. It has been pointed out by a
Task Group Member that the Council’s contract should ultimately specify that the
contractor cannot sublet without the Client’s approval. If this is not included then what
is to stop the contractor subletting whenever there is an opportunity for additional profit.
4.4.6
Fleet is seen in two parts: Servicing of operational vehicles and vehicle maintenance
which is separate and applies to all County vehicles, not just Highways? Traffic signals
and road signing will be provided through separate technical specialists who will deal
with large scale (Capital) and road dressing schemes.
4.4.7
In terms of the likely duration of specialist contracts, Members were informed that these
are likely to be 5 years for Term contracts (with a possibility of extending by 2 years)
Option 3
Option 3 Area Based Contracts
CCC Client
& Design
EAST
WEST
Professional and
Technical Team
SOUTH
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Benefits:
• Locality based
• Comparison of costs across areas possible
Risks:
•
•
•
•
4.4.8
Significant duplication in terms of contract administration.
Difficult to co-ordinate winter and weather events with reduction in VfM
Potential complication with area overlap/access to depots and material stores etc.
Less economies of scale
The three area-based term contracts would be similar to three companies – different,
but providing the same type/levels of service. Each contractor would operate across a
geographical area covering all works.
Option 4
Area Based Contracts with Specialists
Specialist Framework
CCC Client
& Design
Surfacing
Surface dressing
Electrical
EAST
WEST
Professional and
Technical F/W
SOUTH
Benefits
•
•
•
Local delivery of services
Comparison of costs across areas possible
Some incentivisation by competition
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Risks:
• Difficult to co-ordinate winter and weather events
• Less flexibility
• Duplication in terms of contract administration
• Reduction in economies of scale
Task & Finish Group’s observations
4.4.9
This model also includes (multiple) area-based term contracts of 4-5 years duration
with specialists in each area to cover work such as surfacing, surface dressing,
electrical and traffic signals etc.(with the possibility to extend). Members assumed the
budget would relate to Local Committees and in that case asked how they would be
tied into these contracts - this needed to be explained. T/F Members were informed
that things would stay the same; ultimately, Members will still retain the right to decide
what they want.
4.4.10 The Assistant Director, Highways and Transport maintained the debate is about
making funding simpler. Current Better Highways talks were about bringing Highway
Revenue Maintenance activity budget lines together; none of the rebid options will
change that debate.
Option 5
Managing Agent Contract (MAC)
Thin Client
MAC
Managing Agent Contract
Benefits:
• Single provider delivering to an output specification.
• Transfer of risk to the contractor
Risks:
• Costs generally high due to providers pricing risk
• Potential to reduce locally based delivery
• Reduced flexibility and responsiveness to changing service levels/budgets/organisation
• Limited use of SME’s
• Less control for council and will need to guarantee budgets to provider over several
years
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•
•
High up front costs for service provider
Output specifications and performance framework needs to remain relevant over
several years and be highly robust
Task & Finish Group’s observations
4.4.11 This option has a smaller client and is very similar to the Highways Agency Model,
where the Managing Agent is responsible for managing the budget, and deciding on
the delivery of which schemes.
4.4.12 The big disadvantage with the MAC, from the Directorate’s perspective, is that in a
large rural county the size of Cumbria, there is not enough work to make the MAC
sufficiently attractive for a company to come in. The funding levels which would be
attracted, would not be big enough. Through a MAC the authority can transfer the risk
to the contractor. The Contractor would look at the extensive road network, country
lanes etc. in Cumbria and would recognise a greater risk for them in going out to
address problems.
4.4.13 A Member pointed out that through a MAC the employment risks would also be
transferred and suggested by taking on a stronger client role the County Council could
govern the provision of works, currently with Capita.
4.4.14 A MAC contract requires an extremely thin client of a dozen or less with all staff
functions transferring to the contractor including the risk of legal liabilities issues to the
MAC contractor. This would need to be measured against the County Councils current
‘rebuttal rate’ which stands at 75% success.
4.4.15 When asked if these models had been costed, Members were informed that the
preferred models were not based on costs but on experience of the authority’s own and
other authorities’ contracts. Soft market testing has been undertaken on MAC type
contracts.
Flexibility is a key factor to consider when assessing these options.
Option 6
In-House Direct Service Operation (DSO)
CCC Client
Design and
Technical Team
Framework
Traffic Signals
In-House provider
DSO
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Benefits:
• Flexibility, can change delivery mechanism easily with own workforce
• Maximum level of control for the council
Risks:
•
•
•
•
Council becomes a provider not a facilitator
Reduces learning and innovation from commercial partners
Does not respond to changing budgets and variations in workload very well
All risk lies with the county Council
This is viewed as a more radical, broad option which has some flexibility and is more
responsive to change.
Option 7
In-House DSO with Specialists
Task & Finish Group’s observations
4.4.16 This variant on Option 6 is an in-house provision to deliver Better Highways and
revenue work with framework contracts in place to cover all specialist works such as
surfacing, surface dressing, electrical, road signals etc.
4.4.17 In explaining his preference for Option 2, the Assistant Director suggested that this
model (whether referring to option 2 or 7) does many good things, particularly in
supporting local business providers. For some Members, there is a real concern when
going out to external contractors that they have to make a profit.
4.4.18 When thinking about flexibility, there needs to be a halfway house as demonstrated by
Options 2 and 7 which are very similar. A DSO could be sub-let or provided ‘in-house’.
A term core contract could save those profits which would have previously gone to a
contractor, going out. Area managers would play a key role in helping to manage
services directly. This keeps business to a local level. The key is to manage the quality
and what is regarded as the higher risk of cost.
Specialist Contract
CCC Client
& Design
Grounds Maintenance
Fleet
Professional
and Technical
Frameworks
Traffic Signals
20
In House DSO
•
Better Highways
Page 24
Specialist Contract 1
Large scale capital
improvements
Benefits:
• Flexibility, can change delivery mechanism easily with own workforce
• Significant level of control for the council
• transfers some of the risk to contractors
• Fits with ‘Big Society’ principles
Risks:
• Council becomes a provider not a facilitator
• Does not respond to changing budgets and variations in workload very well
Task & Finish Group’s observations
4.4.19 Looking at Option 2 and the possible levels of staffing, it was suggested that with Amey
it would be approximately 395 people whereas the central term core contract or inhouse DSO would suggest less staff will be required.
4.4.20 A Member wondered whether there could be another Option (9) to consider a bigger
DSO arrangement – an extended Option 7. By effectively creating a business within
CCC, could some of the specialist contract work be included? The Assistant Director
agreed that Civil Engineering and Machine Surfacing could be done, but not so sure
about surface dressing or micro asphalt work. “By shaping the highways procurement
locally this can help to deliver the County’s model for local services”.
4.4.21 Officers believed there could be some merit in considering a larger in-house DSO.
There was some consideration of whether this idea would have the support of elected
Members and the public and it was noted that nationally there has been a shift away
from public/private schemes. A member believes Option 7 (or 9) would support the
principles of the ‘Big Society’ too.
Option 8
Existing Arrangement (post Jan 2012)
Spot Contracts
over threshold
limits
CCC Client
& Design
Professional
and Technical
Team
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Single Contractor
providing all core
works
This would be in consideration of extending the existing contract to Amey – a model which is
based on a single works contractor, plus spot contracts.
Benefits:
• Continue with single point of contact
• Reduce up front costs for the council
Risks:
• Lose benefit of current economic climate providing improved VfM if service is retendered
• Current contract lacks provision for flexibility and responsiveness; significant change
would be required in order to achieve desired changes to service delivery
•
Reduce opportunities for SMEs
4.4.22 Members expressed some reservations at the prospect of continuing with current
arrangements particularly in light of the very poor service the authority had been
receiving over recent years.
Key points discussed
4.5
In consideration of the best option officers preferred option 2 which in their view had
the ability to be more flexible; responsive and includes commercial tensions, whilst
having the ability to deal with winter maintenance, routine maintenance and cyclical
work.
4.6
In discussion members of T&F emphasised the importance in the current business
environment to include in-term flexibility and deliverability as well as people’s
expectations in any new contractual arrangement. In the view of the Assistant Director,
Option 2 gives the authority the flexibility of a range of options. Keeping a diverse
model like this is regarded as the right approach for the County.
4.7
In answer to a question on whether a five year contract for a specialist and core term
contract would be sufficiently attractive, Members were informed that most contracts
work to a 5-7year period. The plan is for contractors to recover all their costs within this
period. In the Assistant Director’s view, this option (2) is particularly good as it supports
local business providers.
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4.8
If the operation was to be in-house, the Assistant Director is confident it would save
money. He said there is a lot of merit in dealing with the most complex minor works in
house as this is often expensive when done externally. Then put out the scheme work
where the market is most competitive.
4.9
In consideration of Options 2 and 7, a Member asked where the financial risk to the
authority would be. Would this include Highway liability risk; transferred employee risk;
productivity; operation liability risk; quality of work risk etc? If everything comes in-house,
everything becomes the authority’s liability.
4.10
In a scenario where poor workmanship has to be done again, then the cost also comes
back to the Council. There are nonetheless risks to the contractor. It was suggested that
the County Council are more competitive on risk, relating to the maintenance work,
whereas scheme work tends to go out, although this could be done in-house.
4.11
T&F Members asked if a more detailed analysis of the benefits/risks and costings for
Options 2 and 7 could be set out. At the end of the day this would serve in defence of
the executive’s final decision. Scrutiny Members also asked if matters of Value-forMoney; risk; community; fees etc. could be included in table form, and including, where
possible, some figures against some of this.
4.12
Any new options proposal will have to make allowances for a reduction in funding
following the Governments Comprehensive Spending Review. Officers want to bring the
service back in without relying on fees which currently stand at £11.5m, (£4m fees for
Capital works and £7m+ fees for revenue work). The numbers of staff returning from
Capita will depend on the final funding levels. If the level of funding fell by 25% it was
anticipated that the number of transition staff from Capita would fall to approximately 229
staff. It has also been anticipated that there could be a 50% cut and if this was the case
the authority’s programme would stop spending with Amey. The authority contracts have
the ability to vary or reduce the contracts to zero.
4.13
Where Local Committee Members have a sum of money for minor works, would there
be flexibility in the contract to have some of these undertaken by specialists? In his
response the assistant Director said this needed to be built into the new contract. This
approach would accommodate Big Society arrangements. Under current
arrangements, Amey could be offered a three year extension to their current contract.
Members were informed that if it was decided collectively that it would be in the
Council’s interest to do so; the contract would have to be reworded in order to allow
Members more flexibility to allocate expenditure to independent contractors.
4.14
Winter maintenance is regarded as an example (and opportunity) of Big Society
working. Depending on the weather, the authority currently spends between £1.5m and
£4m on standby costs. When Cabinet met to consider a new menu of options, because
of the current economic climate, they decided not to add to the priorities for treatment.
This was a particularly difficult decision to make it was about managing a pot of money
against an unknown variable (the weather).
4.15
Another way to deal with this however would be to engage with a community collective
including local Parishes, farmers etc. and actively reshape all resources with local
people. After all they know their areas best and rather than renegotiate a £2m standby
fee, the authority could focus on a retained service approach. Local Members could be
signed up to a process and a structured delivery.
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4.16
A Task group Member highlighted concern around the County Council’s liability and it
was confirmed that this would have to be an approved service. The challenge here is to
save money while improving services safely and appropriately for the authority.
Other Options
4.17
In conversation with an experienced external contractor, and another local authority
which operates a Managing Agent Contract (MAC), Members have gained a useful
insight into other potential contractual models which are working successfully in other
parts of the Country. In these examples a Managed contract is seen as providing some
benefits to the authority through the use of contract systems that are flexible enough to
support the drive for on-going efficiencies.
Key points arising included:
•
In today’s environment there is a need to demonstrate Best Value. In order to deliver Best
Value it will be important to go for a flexible, like-minded partner.
•
Any future contract must be innovative and sustainable as budgets are increasingly under
pressure.
•
T&F Members were advised that re-procurement costs to the County Council will be in the
order of £1m – £1.5m.
•
It will be critical within any new contractual arrangements that the Client retains the ability
to control costs.
•
A clear understanding of how performance management and KPIs are to be measured and
how Best Value is demonstrated in any new contractual arrangement will be essential.
•
Under the proposed new arrangements, will the new framework contracts be allocated to a
contractor with the capacity to provide adequate resources to cover special circumstances
e.g. winter gritting?
•
Infrastructure investment (vehicle replacement etc) is included in a contract?
Herefordshire Council
4.18
•
•
•
In Herefordshire a public/private contractual arrangement moved to a Manage and
Maintain contract, which has driven end-to-end accountability. It incorporates
Performance measures and accountability and drives a real improvement on
performance from day one. This model gets closer to the local community than the
previous contractual arrangements and there are guaranteed savings written into the
contract with £22m coming back into the Authority
Inclusion of performance indicators drives extension awards
Delivery of significant savings through ‘walk and build’ delivery and reduction of
over-design.
Flexible structure delivers the ongoing requirements of the council
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•
•
•
Performance indicators driving a community focussed delivery. Core council
objectives reflected in core service delivery indicators.
Clear accountability across all areas of the service
Excellent communication with elected members and the public
4.19
The Authority has transferred the risk to the contractor whilst keeping in control and in
the Manage and Maintained model; penalties are built in the form of cash related
performance. If the contractor does not deliver against all KPI’s in the first year, there
is no extension of the contract into the following year.
4.20
The ‘Thin Client’ monitors performance – control measures sit above the work
(independently), to ensure everything is delivered. This arrangement is very similar to
the Highways Agency model of working (a hybrid of the HA model).
North Lanarkshire Council
4.21
In North Lanarkshire a public/private partnership (formed of a joint venture company)
ensures the TUPE risk sits with the contractor; guarantees pensions; length of service
and conditions of employees.
It has been set up as a profit sharing arrangement where profits are guaranteed.
The risk of under-performance in this contract sits with the contractor.
The financial model drives a real desire to improve performance and drives efficiencies.
This is a completely different relationship between client and contractor which includes:
•
•
•
•
•
•
A shareholder’s arrangement
Profit sharing and risk transfer model
Growth of the contract through third party works
The removal of a client/contractor relationship to one of joint aims and objectives
through the delivery of a first class service
Delivery of ongoing significant shared savings through innovative efficiency measures
Excellent communication with elected members and the public
Other key issues to come out of these discussions included:
4.22
Where an authority operates a command and control style contract, there is unlikely to
be any scope for the works contractor to be pro-active in working at the best solutions, or
working relationships.
4.23
In terms of Highway maintenance work, it is vital that the ratio of supervision and front
line workers is affordable. The industry standard around the ratio of supervisor to
frontline worker is recognised as 1:12-15, whereas in the Better Highways model it
appears to be 1-6.
4.24
The broad Lean Systems principles of removing inefficiencies have been adopted by
other Authorities (for example Bedfordshire, North Lanarkshire and Herefordshire),
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however there are aspects of these contracts that incorporate more comprehensive
control measures including:
- Performance Management and KPI’s
- Cost Control and Best value
- Communications and input of local members
- With a flexible contract model, further efficiencies can be achieved
throughout the duration of the contract
4.25
It has been stated to Task group Members that it is questionable whether the structure
of the Better Highways contracts will allow for full performance management
accountability, working solely to Right First Time and End-to End as indicators of
performance. Would this be indicative of the rest of the Highways service?
Cornwall County Council
4.26
Cornwall County Council runs a Managing Agent Contract (MAC) scheme where all
staff work for the authority. The team operate design and build and run all consultancy
and managed services with a contractor and over the past two years has significantly
managed to reduce staffing costs
4.27
The Head of Highways & Operational Services believes control is the big issue,
maintaining that through Cornwall’s MAC arrangements, the authority is totally in
control of its expenditure and in total control of its officers who have a very clear
understanding of their role. The Highways and Operational Services have a very good
working relationship with its Members and maintain control through the Corporate
Leadership Team.
4.28
In terms of Quality Assurance, Cornwall has its own Performance Management team
and the authority has 9001, 14001, and 18001 accreditation and sector schemes.
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5. CONCLUSIONS
5.1
The current client/management/contractor arrangement as set up ten years ago was
originally focused on Capital receipt; employee security for 400 ex-county council staff;
business growth; private sector investment and annual efficiency payments. T&F
believes that the primary purpose of the Highways Service is the delivery of better
highways and transport not employment per se and that this consideration must guide
future service configuration and delivery and thus methods of working now and the
choice of post 2012 options.
5.2
There are very real and worrying aspects of RISK associated with the options appraisal
for any new contractual arrangements. Some of the issues relating to Risk and Liability
have been identified in scrutiny’s Better Highways report and include:
•
•
•
•
•
Legal risk to the authority
operation liability risk
staffing ratios - affordability
financial management/monitoring risk
cost of TUPE staff transferring from Capita (pensions etc.)
Other risks include:
•
•
•
•
•
•
•
•
quality control work risk - underperformance
transfer of work to the contractor risk
in-house risk/liabilities
employee management risk
procurement out of county risk
cost of staff transferring from Amey risk
continuation of Amey contract risk
Health and Safety risks
5.3
Under Option 2, the Council’s contract should ultimately specify that the contractor
cannot sublet without the Client’s approval. If this is not included then what is to stop
the contractor subletting whenever there is an opportunity for additional profit.
5.4
Any new contractual arrangement should be sufficiently flexible to allow the ‘client’ to
go out and purchase/hire exceptional items and thereby minimise the risk of incurring
(inflated) additional costs to the authority.
5.5
Whilst applauding the development of responsibilities to area teams, there will be times
where a lack of experience or consideration of priorities could lead to problems in the
future, if these are not addressed by staff who are sufficiently experienced or have had
full training.
5.6
In their assessment of alternative highway contractual models in other authorities, did
the County’s Highways project team undertake a cost-benefit analysis; transfer of risk
and the need to drive on-going efficiencies, as part of its assessment process?
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5.7
In their report to Cabinet in September on the Capita Transition – Environment
Directorate (Item 18) in paragraph 4.7 reference was made to a summary of
comparisons with other authorities’ internal resources. In T&F Members view, this may
be erroneous as these authorities may well be looking for further efficiencies in light of
the current situation with public finances. T&F wonders, therefore, whether CCC should
have taken a zero based approach.
5.8
T&F has had no opportunity to assess whether the proposed new structure aligns with
Member aspirations for the service. Whilst a managed service might not be felt
appropriate by the Service managers it might provide a Corporate benefit when TUPE
and Pension risk is taken into account. It might, therefore, be beneficial to consider the
need to evaluate a further option (9) – a larger DSO
6. Appendices
Appendix 1
Outstanding answers to Members questions relating to the Better Highways project
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16.11.10
Appendix 1 - Scrutiny Highways Outstanding T&F Questions
Having focused on the customer-led, Lean Systems Thinking Project on Better Highways,
Scrutiny Members produced an Interim Report to Cabinet in September 2010. From this work
a number of questions remained outstanding and accordingly a highlighted list of questions
was produced.
Members have recognised that some questions can only be fully answered as the Better
Highways programme is rolled out. Some of these questions also apply to the Capita/Amey
rebid process and thereby straddle both T&F reports. The full list of original questions are
listed below and following Cabinet’s consideration of Scrutiny’s Interim Report in September,
those questions requiring further clarity have been highlighted as below in bold type
LEAN SYSTEMS THINKING
1.
In understanding how the wider customer-led highways model is expected to operate,
what are the implications for the rest of the Highway Service (value £44m)? Where is
the rest of the Highway Service in this model?
Reactive maintenance is the first stage. Other areas will be added in time. It is about changing
overall thinking so capital scheme identification will also evolve from this work. Rolling in the
project consists of two main work streams, firstly the changes to the way we deliver reactive
maintenance. This will provide the most visible and immediate change in delivery. Secondly,
the roll in process is accompanied by a Leadership Programme where management tier staff
are trained in how to apply systems thinking principles to everyday workplace situations. It is
anticipated that this will lead to further service improvements on a continuous basis.
2.
Recognising the value of the reactive maintenance systems thinking work, how will this
fit in the future with the broader capital work?
As in 1 above, we start with reactive maintenance. We have trialled this in Eden as part of a
comprehensive piece of work on A592 where the road was closed for as short a time as
possible (1 day) to allow patching, resurfacing, road marking, verge work, cleansing etc
activities to take place. This included working closely with Eden DC.
3.
Where are the Area Engineers in this project work and how is their role being
built into the new model?
Area Engineers will be expected to support the service as would any managers. The AE’s in
Eden and Carlisle are currently going through the leadership programme. One outcome of
Systems Thinking is to help free up managers time previously spent managing failure.
4.
Considering the value that Area Engineers add to the work of Local Committees,
can Members be given a solid assurance that this role, which we see as a vital
link, is not being diminished or disposed of?
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As in 3 above, everyone’s role will change as this is about making better use of time but
Members have been assured during Local Committee presentations that the strategic role of
our Area Engineers will not be changed or removed as part of this process.
5.
Repeat of question 3
As 3 and 4 above. Their role is at a strategic management level, key to ensuring the new
service delivery model achieves its goal of improving the highway service and maintaining the
network. Local Committees will continue to be serviced by the Area Engineer and their teams
as we see that working relationship as vital to the success of local delivery.
•
6.
For questions 3,4 and 5
Clear reassurances still being sought by Members on the function and role of the
Area Engineer in the new model
Won’t front-line staffing levels need to be increased to meet the new standards?
One of the principles of Systems Thinking is to put the resources at the point of most demand.
That would undoubtedly be the frontline although we are working within existing resource
levels. We expect that we will be able to do more with the same levels by removing waste
activity.
7.
Particular highways maintenance issues have been raised in past Scrutiny Reviews
and recommendations made. Where/how do these recommendations sit in the new
systems thinking?
Systems Thinking is giving the Council an opportunity carry out comprehensive reviews in
numerous business streams across a wide range of services. The good work carried out by
past scrutiny reviews have helped to identify areas to focus the interventions.
8.
In light of recently reported cuts to the government grants in respect of both
Highways revenue and capital work, is the Eden pilot model something which is
affordable and capable of being rolled out across other Districts?
We are working within available budget levels. We expect that we will be able to do more with
the same resource levels by removing waste activity.
•
•
9.
Clear reassurances are still sought here on the question of affordability. Recent
evidence would suggest that the proposed arrangement of one supervisor to
three two-man gangs will be unaffordable.
In addition, in order to pump-prime the Eden model, additional monies were
found to support this element of the roll-out programme?
When pulling in other resources to meet demand in one area – will this in turn take
much needed resources away from another area?
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Conflicting demands will be managed in line with the Operating Principles of repairing the
demand Right First Time, ensuring that any identified solution is permanent and can be
assessed as Proportionate, Legal, Accountable and Necessary.
10.
Where do you see the role of members fitting into the system?
Members would be expected to be advocates of the service. This means being an essential
member of the team engaged in joint working to deliver Better Highways. One of the major
drivers for this change has been recognition by the service that we need to improve the quality
of service delivery on the network to meet Members and Local Committees’ expectations.
11.
In terms of who adds value – do you have a breakdown of those people who are
fixing – as against those who are supporting (back office)?
•
An employee profile would be helpful here
Copy of possible structure attached. Please Note: The structure will vary depending on the
amount and type of demand and budget availability.
12.
There are issues with the current scanning, course visual inspection – how will this
interface with the new model?
Find and Fix will be the frontline visual assessment which will take place on a daily basis. The
SCANNAR assessment must continue as it is directly connected to the funding. However, we
will place greater emphasise on the frontline assessments undertaken by the new model.
13.
What guarantee do Members have that the role of the popular Highway Stewards will
continue and be incorporated in some form, to the new model? How does the project
team see this service being provided in the future and will that extend to the towns?
The new model is a natural progression and development of the Highway Steward concept
allowing continued Parish Council input at the front face. The new model applies the same
principles to both urban and rural areas and is based on Members and Parishes having a
dedicated team who they will know by name and be in regular direct contact with should they
wish.
14.
How is it planned to quantify the planned and reactive work in financial terms?
Demand will be identified by the Find and Fix teams which will then help direct funding to meet
it. Over time it is clearly expected that this reactive nature will move more towards planned
work based on the local knowledge of the demands. A single budget allocation for each area is
seen as essential. In the Local Committee presentations to date Members have been keen to
secure assurances that this does not mean their budgets will be changed without their
involvement. We have reassured Members that any decisions about how budgets are
configured is a discussion we all engage in driven by issues arising from the work on the
ground and that any changes are matter for Local Committee consideration as is currently the
case. As indicated above, the new system is about improving how the service works with and
for Members.
15.
What were the external factors that have contributed to the decline in Right-First time
work?
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Rigid budget allocation structures, national and local indicators, performance targets and
existing contractual arrangements with our 2 contractors have driven the behaviour of the
service to temporary fixes.
BUSINESS PLAN
16.
What is the business plan which will deliver the County Council’s future
Highways Service?
Current Environment Department Service delivery plan and Cumbria Highways Service Plan.
•
17.
Members would like to see Highways Service Plan
Who is administering the contract on the County Council’s behalf?
Ultimately council officers administer both the Capita and Amey Contracts. However, under
the current arrangements Capita directly manage Amey and the works they deliver on behalf
of the Council. This will change in time as each type of provision is re-tendered but it is the
Council, through its officers, which administers the contracts.
18.
Given the County Council's relatively poor record in realising projected cashable
savings and efficiencies from previous strategic contracts and improved
operating systems, what evidence can be provided that the Lean Systems
approach will produce the necessary funding to sustain and support the rest of
the Highways transformational change programme?
•
This brings members back to the concerns raised regarding the need for a costbenefit analysis which clearly demonstrate costs against income.
The current team in Eden has been designed to carry out work right first time basis. The initial
cost of a RFT repair is likely to be more than temporary repairs but the overall cost will be less
due to removing repeat visits/repairs and the associated waste activity. The current measures
of %RFT and the End to End Times help to demonstrate VFM. The overall objective is to
deliver better services for the same or less money and these measures provide evidence of
this.
19.
How will the proposed savings be quantified?
Work has been done to evaluate financial aspects of the systems thinking review however,
because the changes taking place are so fundamental direct comparisons of cost are very
difficult and time consuming. This is because we are moving from a variable cost to a fixed
cost plus materials maintenance regime. The true value of the new delivery method is that it
produces improvement in the quality and quantity of work delivered without increases in cost.
20.
Can we see a structure diagram of the current Capita Highways role? (members have
seen a proposed structure diagramme for the new reactive maintenance proposals)
No. Capita will not provide copies of their structure diagrams. The current contracts don’t
specify that this information is provided. Capita will not be providing the service after 31st
January.
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21.
What are the future implications for Local Committee revenue budgets for Highways?
Demand will direct funding. A single budget allocation for each area is seen as essential
however as stated above we have reassured Members that any decisions about how budgets
are configured is a discussion we all engage in driven by issues arising from the work on the
ground. Any changes are matter for Local Committee consideration as is currently the case.
As indicated above, the new system is about improving how the service works with and for
Members.
QUALTIY ASSURANCE
22.
Where is the Quality Assurance in this new model - what local performance
measures will be in place to ensure the new contractual arrangements are being
delivered to the required standard, and are the interests of the County Council as
client being protected?
•
In light of what has been reported to local committees regarding overspend,
what are the budget control mechanisms in the new model?
Measures are Right First Time and End to End Times, which have been identified as what is
important to customers.
23.
What local performance management measures will be used to oversee the work
of the contractor/s?
All existing performance indicators will be removed as there is clear evidence that this does
not improve performance locally. As an alternative, two measures have been identified. These
are Right First Time and End to End Times, which have been identified as what is important to
customers.
24.
•
This applies to questions 22-25
To date Members have not been reassured that there are adequate monitoring
and quality assurance mechanisms in place
•
In terms of measures there are 37 teams in the new model, who is assessing the
productivity of all these teams?
Are the RFT and End to End times sufficient indicators of performance?
Yes. Other supplementary, and temporary measures, may be used to also improve the service
as appropriate.
25.
On the Clients’ side, who is drawing up and monitoring the work of Amey or
another contractor?
Under the proposed structure the front line teams will be given autonomy to carry out find and
fix work, working to the operating principles, supported by the Area Steward, Area Leader and
wider team.
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26.
Who is measuring what Amey is delivering on the ground? If we have
contractors working for the authority, how can we run without a rigorous
checking mechanism?
Systems thinking shows that performance monitoring on its own is a waste activity.
Supervision of work teams is not required as proven by the success of the Highway Stewards.
As an alternative, support from Area Stewards and Leaders will ensure the frontline teams are
able to undertake nothing but value work. Members could play a key role in this area.
•
These 3 answers only quote two measures. Ass. Director acknowledged other
KPI’s are required. Where/what are the checks/balances on productivity
CUSTOMER SATISFACTION
27.
What mechanisms are in place to feed back to the customer to reassure them their
demand had been dealt with?
A key principle of the new model is for direct contact with the customer from the point of first
contact through to completion of the defect.
CAPITA
28.
Having looked at the customer systems thinking programme, how does this
translate to the Capita and Amey contracts?
The Systems Thinking programme fundamentally changes the method of delivery from that
specified in the existing contracts. What we learn about the design of service delivery will be
used to inform the content of future contract specifications for 2012.
29.
Members would like to be reassured that when bringing services back in, there
are opportunities for efficiencies and/or cashable savings.
The primary direction of officers when assessing the new model has been to identify a system
that meets the demand being received and the expectations of the public. Therefore the
“savings/efficiencies” being considered are in relation to the reputation of the service and its
ability to meet the demands received. Continual reassessments into the future will ensure
these continue to be realised.
30.
How will the duplication of roles between existing staff and those who would be
brought back in house, be analysed?
That forms part of the TUPE transition and not Better Highways. However, as noted in 29
above, there will be continual reassessment of the service to ensure it continues to meet the
demands and expectations.
31.
Members wish to have clarity on those elements of the current Capita staffing
who will be returning to the Authority in February 2011.
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Following cabinet earlier this month various options are being appraised and will be reported
back to Cabinet in September
32.
What are the risks and challenges to the County Council, arising from the return
of Capita staff?
We currently don’t know what will and will not return to CCC but a plan is in place to identify
and manage risks around the Capita transition.
33.
What evidence have officers based their 'assumptions' on numbers of staff
eligible for transfer?
Affordability, workload, work type.
34.
Which elements of the current Capita contract will be returning to the Authority
or be picked up by Amey until April 2012?
As 32
35.
How will the transition of all local office Capita staff; traffic management; design;
local practice engineers; hotline, etc be dealt with?
As 32
36.
As part of the new contractual arrangements, post March 2012, are the issues as
applied to Capita being applied to any Amey functions also to come back?
The new delivery model post March 2012 has still to be determined
•
•
37.
Members awaiting written clarity on these and other related questions
highlighted in the additional 12 questions post Capita/Amey Rebid – as
discussed 29.09.10
Still to be clarified to Members
When will a clear timescale (documentation) be provided to members regarding
decisions to be taken on the Amey contract?
It is hoped to be able to consider this issue at September’s Cabinet.
38.
How can it be ascertained which service configuration is most suited to Cumbria, if no
decision has yet been made on the key question as to whether the new service should
be delivered largely from the centre or primarily from Local Committee areas?
The new model clearly requires greater local decision making by, and autonomy for,
operatives. The model has been developed to allow that and will be revised to ensure it
continues to in the future.
39.
How will the transition costs be met, if there is no specific budgetary provision for this?
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All costs associated with the new model come from existing budgets.
40.
How and where is the County Council expected to achieve a £1m saving, plus
repayment of the Improvement and Efficiency Reserve of £500k?
From a number of sources including the changes in service delivery post Capita and the Amey
contract rebid in 2012 all of which are informed by the reshaping of service elements as a
result of the Better Highways Project.
HOTLINE
41.
If the Capita hotline is coming in-house locally, who will be dealing with this and how?
Will this require an operator in each district? Will there be automated responses? Have
we the technologies in place to facilitate this?
The new model works on the basis that as many decisions and activities happen at a local
level. As stated in 27, this needs contact with the customer from the very start of the demand.
Therefore, appropriate staff will need to be available locally.
42.
As part of Scrutiny’s original task would members have an opportunity to inform
that process of thinking on the re-configuration of the Highways hotline – how
will non-executive members get involved in that process of going forward?
If the demand is to be received locally then the Hotline may not be retained in its current form.
•
43.
With the demise of the hotline will budgetary allocations be made to Local Areas
to enable them to absorb the extra work?
What are your intentions relating to keeping members better informed on what is going
on in the Hotline?
Members will be provided access to reports on the performance of the Measures on a weekly
basis. The new system should radically reduce the need for Members to check progress of
defect reports. More widely we intend to upgrade the quality of information provided to
Members relating to highways works. Finally, there is an open invitation to any Member to
spend time with their local Better Highways teams to check on the quality and quantity of work
done.
44.
Have officers identified savings/efficiencies in bringing the development and operation
of the Hotline in-house?
See 41 above. The primary direction of officers when assessing the new model has been to
identify a system that meets the demand being received and the expectations of the public.
Therefore the “savings/efficiencies” being considered are in relation to the reputation of the
service and its ability to meet the demands received.
CONTRACT
36
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45.
Who is administering the contract on the County Council’s behalf?
For any contract the County Council is always the principal client ie. administers the contract.
The proposals within highways relate to the need to strengthen the client role as a result of the
changes taking place over the next few years ie. involving Better Highways reviews and the
Amey rebid process to 2012.
46.
At what point will scrutiny members be given the opportunity to discuss the preferred
option/s for the most suitable contract model or models, post March 31 20012, (as
agreed at SMB)?
We are finalising the models for future service delivery at present and would be happy to share
these with Scrutiny between now and the autumn.
47.
Will Members be given an opportunity to engage in the workshops which are being
arranged to consider and discuss the relative strengths and weaknesses of each - and
understand which, if any are best for Cumbria?
Members are always welcome to be involved and contribute.
•
48.
T&F Members will have an opportunity to discuss and consider options for the
works element of the new Highways contract, post Amey 2012, having been
provided with the relevant Cabinet *reports/papers, including discussion and
briefing papers which were considered by Members as part of the options
appraisal process.
In a recent Cabinet update report (para 4.5), it was inferred that the number of staff
returning from Capita will determine your final structure, rather than quality of service
and the particular skills which will be required to deliver the service in-house. Members
would like to have clarity on the following statement - "further work is being undertaken
to ensure we match future staff structure with further work programmes"
NB: The key message from Members is to ensure a business case for bringing 200+
Capita staff in-house is properly assessed and is determined by known workload
(particularly in the current climate) otherwise subsequent redundancy costs will fall on
the Council.
Throughout this process we have always understood that the number of staff to transfer (to
any organisation) is dependent on a business case justification. All proposals to date have
been made based on their being affordable within current funding levels. Further work has
been requested post general election to understand the impacts of a number of funding
reduction scenarios. The full details of the business cases and options of these are being
presented to Cabinet in September.
49.
What are the range of consultancy services which are being identified that will meet the
needs of the Directorate both Highways and Transport and Economic Development
services (work completed by July 2010)?
We understand this question to relate to the current Capita contract and refer to the above
response in item 48.
July 2010
37
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25.11.10
38
Page 42
Agenda Item 7b
CABINET
Meeting date:
From:
6th January 2011
Cabinet Member for Highways and the
Economy
Corporate Director – Environment
DIRECTORS RESPONSE TO THE FINAL REPORT OF THE
HIGHWAYS TASK AND FINISH GROUP
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1
A Task and Finish Group have been looking at the work done to
replace the current contract arrangements in Highways and Transport.
They have included in their brief the improvement work around Better
Highways and understood this in terms of what options exist for future
service delivery. They have then assessed the benefits and drawbacks
of the available options and provide commentary on the work done to
date by the project team.
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1
The County Council has a duty under the Highways Act 1980 to provide
a safe and accessible highway to the public. This duty cuts across the
Council priorities of Safer, Healthier, Wealthier, Greener and Better.
2.2
There are no direct implications for equalities issues as a result of this
report.
3.0
RECOMMENDATION
3.1
Cabinet is recommended to note the report and to thank the hard work
of the Highways Task and Finish Scrutiny Group.
Tony Markley, Cabinet Member for Highways and the Economy
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PART B – ADVICE OF CORPORATE DIRECTOR – ENVIRONMENT
4.0
BACKGROUND
4.1
The final report of the Scrutiny Highways Task and Finish Group looks at 3
key workstreams
•
Systems thinking work resulting in Better Highways
•
Capita Transition
•
Service provision in highways post Amey
4.2
The paper focuses on 8 delivery options for post Amey which have now
been reduced to 4 options in the main report of 6th January 2011.
4.3
Consideration is given to the origins of the County’s current service delivery
arrangements and the group has examined the underlying issues of the
present service configuration in relation to current concerns about quality
and cost of delivery in highways. Referring to earlier Cabinet reports the
group then looked at the thinking within the service about the strategic
direction decisions being made and assessed the proposed procurement
arrangements to replace both Capita and Amey contracts over the next 2
years.
4.4
Reassurance was sought by the group that work had been done on
comparisons with other authorities and the need to take an external view.
This work has been done and discussed with members of the Task and
Finish Group.
4.5
The group looked at the Better Highways model to understand the new way
of working and although some questions remain to be answered (Sections
4.1.2 & 4.25) of the Scrutiny Final Report) initial responses were given to all
questions posed by the Task and Finish Group and much ground has been
covered in explaining the nature of the new reactive maintenance service.
This work continues at a local as well as strategic level within the county and
any remaining questions are best clarified within that setting.
New
arrangements to embed Better Highways within Local Committees are being
introduced during the roll in process and these, together with the workshop
sessions with local members which are almost complete, will ensure
Members have full ownership of their local highway responsibilities. These
new arrangements are based on improved performance reporting to each
local committee which it is hoped will stimulate a change in focus of
Members’ discussion with the highways service from one about ‘how much’
and ‘why not’ to one in which the dialogue is about what needs to be done
and by when.
4.6
Section 4.2.2 of the Scrutiny report reflects a concern held by the group that
the forthcoming inward transition of Capita staff at the end of that company’s
contract with the county may result in duplication of management and other
unforeseen costs. However, reassurance has been given that much work
Page 44
has been done to ensure this is not the case and, alongside the need to reexamine service delivery because of the impact of the CSR, the proposed
new structure for the service should reassure Members that the risk of this is
being managed to ensure that does not happen.
4.7
In terms of the basis for re-tendering the current highways works contract
(Amey) post 2012 (Section 4.3) the group were advised that work was being
done to ensure Cabinet was able to make an informed decision of the
options for any new contract and that this work related to evaluation of the
benefits of a number of different service delivery models when compared
with a set of criteria which are configured to show which contract
procurement model fits the county’s needs best. Eight options were shared
with the Task and Finish Group and their feedback helped inform the
formation of the evaluation criteria - these are discussed in a separate report
to Cabinet on 16th December. The group were also provided details of the
range of work which will be included in the re-tendering operation.
4.8
Members of the Task and Finish Group enquired about the possibility of a
cost evaluation and were advised of the relative merits. They were advised
that although a financial comparison could be made such exercises require
vast amounts of work, almost of a ‘dummy bid’ nature and that anything less
than that would not be sufficiently robust to serve any useful decision making
purpose.
4.9
Reassurance was also given to the group that the forthcoming impact of the
Comprehensive Spending Review (CSR) had been accommodated in
planning the transition of Capita staff and is being used to inform the overall
procurement approach for the replacement of the highway maintenance
contract should that take place in 2012.
4.10
Task and Finish Members did express concern about the cost effectiveness
of Better Highways supervisory costs (section 4.23) and it was explained
that although the ratio is much higher in Better Highways (1 Area Steward to
6 frontline staff compared to 1:12 elsewhere in the industry) this is affordable
because of the ability of our new working methods to remove the cost of
waste activity.
4.11
A number of discussions with Task and Finish Group members focused on
their concerns (Section 5.2) relating to operational risks and legal liabilities
for the county. All these issues are covered in the project planning process
of both the Capita Transition work and the replacement of the Amey work
post March 2012. A summary of comments to the items mentioned in the
Task and Finish report is attached in the appendix to this report. Appendix 1
contains a table reflecting commentary on each of the issues raised by
Scrutiny.
4.12
Section 5.3 refers to the need for the Council to specify that no subletting of
the works contract should be permitted. This is standard terms and
conditions for any contract and therefore will be included in the new
documents. Equally in sections 5.6. and 5.7 Members indicate they have not
had sufficient opportunity to evaluate the proposed options. Meetings were
held with Members on Wednesday 29th September at which 8 options were
discussed, and again a follow up meeting was arranged on Monday 15th
Page 45
November to ensure Scrutiny Members were fully informed of the very latest
thinking in terms of options for future service delivery. The options referred
to in the Task and Finish Final Report are numbered 1-8 and these have
been retained in the final paper in brackets for each of the options tabled.
4.13
Much discussion has centred on the proposed benefits of moving highway
works procurement to a mixture of local and national providers with different
specialist disciplines being procured separately (option 3a in the Highway
Re-tender report, Option 7 in the Scrutiny Task and Finish Report). This
discussion has revolved around whether or not to procure the core highways
maintenance service such as Better Highways and Winter Maintenance from
a national provider or by direct employment of the workforce (a DSO). It is
felt that this discussion has been a robust one which has sought to include
the best interests of Cumbria as expressed by Members of the County
Council.
4.14
In terms of the recommendations of the Highways Task and Finish Group
•
As part of its decision-making process, and in concluding a way
forward, Cabinet Members need to be assured that the questions
raised by scrutiny throughout the duration of its Highway T&F work,
have been adequately answered.
This has been achieved and officers continue to work with Members.
•
When assessing options for a new Highways Contract, the
attributes of flexibility and responsiveness to economic, social and
technological change must be a key factor for consideration if not a
principal factor influencing decisions.
This has been done.
•
In any future contractual arrangement, adequate performance
management measures on productivity; cost control; H&S and
community measures must be included and, again, must be a factor
influencing the choice of option(s)
This will be included in the new contract documentation and suggests
retendering of the contract currently held by Amey is a better way forward
than the agreement of an extension.
•
In opting for a stronger client model, the Cabinet must be confident
that other more creative and flexible contractual options which also
provide closer client engagement, has been considered.
The options have been extensively examined and the best of a number
of options has been presented to Cabinet for consideration after
consultation with Scrutiny, the Leader and Deputy Leader and CMT.
•
In order that Find & Fix Teams can work effectively and take on their
new delegated responsibilities, it will be essential that a robust and
effective training programme is developed and delivered to Find and
Fix teams.
Page 46
This is being built in to standard operating procedures for Better
Highways. The value of frontline highways staff for future service
delivery is one of the key aspects in deciding whether or not a DSO
would be the best service delivery method for core maintenance.
•
That monitoring of the efficiency of these teams and outputs
continues during the life of any contract with the latter allowing for
changes where and if necessary.
This is being done through the presentation of key budget and
performance papers to each local committee and the embedding of the
new service “measures” and other performance data at local committees,
highways & transport management teams, CMT and Cabinet.
•
A full cost-benefit analysis on the two preferred contract options (2
& 7) are undertaken in order that a more informed final decision can
be made on the most appropriate contractual model for Cumbria
Highway Services, post 2012.
This is referred to in the Highways Re-tender paper as to complete such
a process would require and extensive piece of work at a cost to the
county for which the benefits in terms of reliable information for decision
making are questionable, in other words such an exercise seeks to
“predict the market”. Headline assessments have been conducted and
the report contains details of a commercial assessment of the options
presented.
5.0
OPTIONS
5.1
Members can agree to the recommendations in this report, seek further
clarification or reject any or all of the recommendations of the Highways
Task and Finish Group’s Final report.
6.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1
There are no financial implications arising from the recommendation in this
report.
7.0
LEGAL IMPLICATIONS
7.1
Under the Constitution, Task and Finish Groups are one of the principal
means by which Overview and Scrutiny make a positive contribution to the
development and review of County Council policies
7.2
There are no legal implications at this stage as this Report is simply to note.
Page 47
8.0
CONCLUSION
8.1
The replacement of two large services contracts which currently involve
service delivery streams across a range of county council departments is a
sizeable undertaking. This work is progressing within two key workstreams
of Capita Transition and the re-tendering of the current highways works
contract held by Amey (which itself includes provision for other services such
as grounds maintenance and fleet management). Highways Task and Finish
Group has worked intensively with the project team for these work streams
in concluding their report, their input throughout has served as a very
welcome “test” of the thinking and direction for the paper currently with
Cabinet for a decision on the future service delivery for highways and related
works.
Marie Fallon
Corporate Director - Environment
December 2010
APPENDICES
Appendix 1 – Table containing commentary on each of the issues raised by
Scrutiny
Electoral Division(s):
All
Executive Decision
No
Key Decision
No
If a Key Decision, is the proposal published in the current Forward Plan?
No
Is the decision exempt from call-in on grounds of urgency?
No
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
N/A
Yes
Has an environmental or sustainability impact assessment been
undertaken?
No*
N/A*
Has an equality impact assessment been undertaken?
No*
N/A*
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
Page 48
urgent and exempt from call-in and the Corporate Director has obtained the
necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
[including Local Committees]
13th October 2009
8th June 2010
16th September 2010
CONSIDERATION BY OVERVIEW AND SCRUTINY
If a matter has been considered by Overview and Scrutiny, this section
should give details of meeting dates and any Scrutiny recommendations. If
not, state “Not considered by Overview and Scrutiny”.
BACKGROUND PAPERS
No background papers
RESPONSIBLE CABINET MEMBER
Tony Markley, Cabinet Member for Highways and the Economy
REPORT AUTHOR
Andrew Moss, Assistant Director Highways and Transport
Tel: 01228 27732 email: [email protected]
Page 49
Appendix 1
Risk
1
Legal risk to the
authority
2
operation liability risk
3
staffing ratios affordability
4
financial
management/monitoring
risk
5
cost of TUPE staff
transferring from Capita
(pensions etc.)
6
quality control work risk
- underperformance
7
transfer of work to the
contractor risk
8
9
in-house risk/liabilities
employee management
risk
10
procurement out of
county risk
Change taking place
Capita
Amey
Comment
The County
remains overall
responsible for
highway claims.
Design risks move
to the authority for
schemes it
designs, for
schemes
designed through
the future
professional
services
framework these
would sit with
desgin
consultants.
Overseeing
authority risk
currently with
Capita would
move to the
county.
The affordability of
the Capita
transition has
been studied and
is being managed
to deliver savings
as well as an
affordable service.
This process
becomes county
council
responsibility
Shared between
Capita and County
Claims by client authorities
against professional
services contractors for
breach of their dutyof care
are very rare. It is
understood that no such
claim has ever been placed
with Capita during it's
contract with the county.
The role of
overseeing
authority moves to
the county.
This is understood
to be the same as
items 1 and 2
above.
No change.
No change though
the county will
have more staff.
No change.
As risk 1 above.
Page 50
This would be an
improvement in the
County's ability to control
works delivery. Part of a
"strengthened client".
The transition of Capita
staff will deliver savings.
These savings have been
accommodated within the
CSR budget review.
11
cost of staff transferring
from Amey risk
N/A
12
continuation of Amey
contract risk
N/A
13
Health and Safety risks
This risk passes to
the county in
respect of the
Capita staff who
will move to us.
However this
something which
is currently very
well managed in
both Capita and
the county with no
significant
incidents in either
of these services
in the recent past.
If this is
required then
it is
understood
there could be
a shared risk
between
Amey and the
county.
The report in
December
recommends
the county
does not
extend the
Amey contract
and states the
reasons for
this.
However,
should the
contract be
extended then
the risks of
doing so
would be
resolved
within the
terms of any
extension
agreement.
N/A
Page 51
Routine operational
management of staff.
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Page 52
Agenda Item 8a
CABINET
Meeting date:
From:
6 January 2011
Chair, Environment & Economy Scrutiny
Advisory Board
ENGLISH NATIONAL CONCESSIONARY TRAVEL
SCHEME – COVERING REPORT
1.0
EXECUTIVE SUMMARY
1.1
The attached scrutiny report sets out the background and findings of the
Environment and Economy Scrutiny Advisory Board’s task and finish group.
The group undertook a short piece of scrutiny work, with a total of two
meetings, due to an awareness of the time constraints before the English
National Concessionary Travel Scheme was due to be finalised and
published by Cumbria County Council.
2.0
RECOMMENDATIONS
2.1
Cabinet Members are asked to consider the attached report and to respond
to the 7 recommendations at Section 2 of the report.
3.0
BACKGROUND
3.1
A referral was received by the Environment and Economy Advisory Board
from the Chair of the Scrutiny Management Board, supported by the
responsible Cabinet Member, for a short piece of review work to be
undertaken on this topic.
3.2
Following a government consultation in 2009, the decision was taken to
transfer responsibility for the provision of the Scheme from Districts to
Highways Authorities with effect from 1 April 2011. As the designated Travel
Concession Authorities (TCAs) Districts determined whether they would
provide any enhancements over and above the statutory minimum scheme.
Whilst the minimum is off-peak travel, Monday to Friday, and all day at
weekends and banks holiday, where able Cumbria’s TCAs have provided
24/7 cover, railcard supplements and vouchers for taxi use.
Page 53
3.3
By law, Travel Concession Authorities are required to reimburse bus
operators for journeys taken by concessionary pass holders, so that the
operators are neither no better or worse off than in the absence of the
scheme. The Scheme applies to older people, according to a prescribed
calculation, and eligible people with disabilities; in Cumbria eligible
individuals are provided with a ‘Nowcard’ which they must present to the bus
driver in order to receive concessionary travel. The cards incorporate photoidentification to avoid misuse and, for people with disabilities who cannot
travel without assistance, ‘companion’ cards can be issued for someone to
accompany them on their journeys.
3.4
The cost of the scheme for 2009-10 for Cumbria’s TCAs was £8.1m. This
was inclusive of enhancements provided by 3 out of the 6 District areas. For
Cumbria County Council taking on the scheme, a key issue will be how
much funding is provided by government to support the scheme. Whilst the
government have stated that they recognise the importance of the
concessionary fares scheme and that they will see it continued, authorities
will not know what the funding settlement will be until mid-December 2010.
3.5
A recent government consultation on reimbursement rates was undertaken
in response to concerns that the existing system was too complex, applied
inconsistently and had led to “perverse incentives” for bus operators. The
new guidance sets out to address these problems and to recommend that an
operator’s average fare is used in the reimbursement calculation. However,
the guidance makes it clear that TCAs have plenty of scope to include local
variation in their calculation, where there is evidence to suggest that this
differs significantly from the Department for Transport’s standard.
3.6
The County Council’s Transport and Access Officers have been engaged in
the process of negotiating the reimbursement rate for TCAs with bus service
providers in Cumbria. Regular meetings continue between District and
County Council officers and this is set to continue for the foreseeable future,
as responsibility for the scheme is handed over.
3.7
Whilst the task and finish group’s attached report supports the
implementation of the required statutory minimum scheme from April 2011,
members recognise that this does not present a barrier to those Districts
wishing to continue to provide scheme enhancements. However the current
financial climate that includes significant losses to local authority funding
following the Comprehensive Spending Review, mean that these may not be
possible in future.
3.8
The report was submitted to members of the Environment and Economy
Scrutiny Advisory Board and the Chair and Vice-Chair of the Scrutiny
Management Board out with the realm of the formal process for approval
before submission to Cabinet. From this process, members have provided
some of their own views with regard to the provision of the statutory
minimum scheme and these points are included at Section 5.0 of the
attached report.
Page 54
4.0
FINANCIAL AND LEGAL IMPLICATIONS
4.1
There are no financial or legal implications for this report.
5.0
CONCLUSIONS
5.1
Members recognise that the English National Concessionary Travel Scheme
is very valued by its users and is supported by government. It is incumbent
on the County Council to provide the Scheme from 1 April 2011, with funding
from government. However, any shortfall in providing the statutory minimum
Scheme will need to be covered by the Authority.
5.2
Key to the Scheme’s implementation will be the timeliness and manner in
which it is communicated to the wider public, whilst ensuring members of the
Authority, and District colleagues, are appraised of the arrangements.
Councillor David Roberts
Chair, Environment and Economy Scrutiny Board
__________________________________________________________________
Appendix 1: English National Concessionary Travel Scheme Scrutiny Report
RESPONSIBLE CABINET MEMBER:
Cllr Tim Knowles – Transport & Environment
CONTACT:
Scrutiny Officer:
Vic Milbourne
Address: Scrutiny Unit, Chief Executives Office, The Lonsdale Building, The
Courts, Carlisle, CA3 8NA
Telephone: (01228) 226564
Email:
[email protected]
Web:
www.scrutiny.cumbria.gov.uk
Page 55
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Page 56
APPENDIX
CABINET
Meeting date:
From:
6 JANUARY 2011
ENVIRONMENT AND ECONOMY SCRUTINY
ADVISORY BOARD
ENGLISH NATIONAL CONCESSIONARY TRAVEL SCHEME
– SCRUTINY REPORT
1.0
PURPOSE OF REPORT:
1.1
This report sets out the initial findings of a small member task group,
assembled by the Economy and Environment Scrutiny Advisory Board, on the
future arrangements for the English National Concessionary Travel Scheme in
Cumbria. The report sets out to capture the findings of the task group and
sets out a series of recommendations at 2.0 below.
2.0
RECOMMENDATIONS:
2.1
The County Council’s ENCTS provides a statutory minimum service for
Cumbria.
2.2
All elected members in the County Council be appraised of the scheme and
the Council’s related statutory responsibilities as soon as possible;
2.3
The County Council to clarify where and how the scheme can be accessed, to
include the possibilities of rolling out the on-line application system across
Cumbria in 2011;
2.4
Any changes to ENCTS enhancements, from 2011, in any of Cumbria’s
District areas be well publicised;
2.5
Elected members be appraised of the level of government funding provided to
support ENCTS for 2011-12, following the Comprehensive Spending Review
outcomes;
2.6
Opportunities for wider public access to the scheme be explored, including the
use of Local Links centres and on-line facilities;
2.7
Possible opportunities for securing administrative costs funding be explored
through the Local Enterprise Partnership.
3.0
BACKGROUND:
Page 57
APPENDIX
3.1
Under legislation set out under the 1985 and 2000 Transport Acts, a statutory
minimum concessionary fares scheme entitles people over the age of 60, and
eligible people with disabilities, to free off-peak bus travel. From April 2008
the Concessionary Bus Travel Act extended this to allow eligible passengers
to use this concession any where in England but also changed the onus for
the reimbursement cost to the area where people started their journey rather
than the area of residence. The coalition government have recently indicated
their intention to see the existing concessionary fares scheme continue.
3.2
The recent Comprehensive Spending Review revealed that 28% savings
would be made from local transport revenue funding, which includes
concessionary travel, and stated “we are committed to protecting the Englandwide concessionary travel scheme for older and disabled people. So while we
have identified substantial efficiency savings in this area, they are focused on
the way the scheme is administered, rather than on the benefits received.”
3.3
Historically, the cost and administrative arrangements for the scheme have
been the responsibility of the District Councils in Cumbria. Following a
government-led consultation in 2009, the decision was taken to transfer the
responsibility for concessionary fares from the Travel Concession Authorities
(TCAs) to Highways Authorities. This means that, from 1 April 2011, the
responsibility for the scheme will be transferred to the Cumbria County
Council. The authority has a statutory responsibility to publish the planned
scheme before it is implemented.
3.4
The total cost of the scheme in 2009-10, for the whole of Cumbria, was
£8.1m. For 2010-11 an additional £440,000 was removed from the
government funding. This funding was provided to the TCAs in two parts from
both the Department for Transport and the Department for Local
Communities. There has been a variance in the schemes provided by the
TCAs across the county, with authorities able to provide ‘enhancements’ over
and above the basic minimum requirement for eligible passengers. The
statutory requirements dictate that passes can be used from 9:30am to
11:00pm Monday to Friday and at any time on weekends and bank holidays.
However, some areas provide more than the statutory minimum, with the
current level of provision as follows:
o
o
o
o
o
o
Allerdale
Barrow
Carlisle
Copeland
Eden
South Lakeland
-
off peak bus travel;
off peak bus travel;
bus travel 24/7 plus rail cards;
off peak bus travel, rail cards and vouchers*;
bus travel 24/7;
off peak bus travel.
[* vouchers are to the value of £18 per annum for use on taxis].
3.5
To date, the County Council has negotiated on behalf of the District Councils
with bus operators a single reimbursement rate for Cumbria. This means that
authorities pay 65% of the total cost for the concessionary journeys.
Page 58
APPENDIX
3.6
A key issue for the County Council in taking on the scheme is the anticipated
lower amount of government funding for 2011-12. Any reduction in the
reimbursement rate that can be paid to providers could impact upon the
viability of some commercial bus services in the county and reduce income on
supported services.
3.7
Another consideration is the cost implications for the County Council with
tourists coming into the county with concessionary passes; according to
legislation the cost of a journey using a concessionary pass is met by the
authority in the area where that journey begins. This means that, where a
tourist commences a journey within the boundary of the county, it is the
County Council who will be liable for the cost. However, arguably this cost is
balanced out by the fact that the tourism industry brings money into the local
economy.
3.8
The current age at which an individual can apply for a free bus pass is
determined by using a prescribed calculation which takes into account the
average pensionable age. This currently works out at about 60 years and 4
months. The qualifying age is likely to continue to increase incrementally in
light of the rationalisation of pension age.
4.0
ISSUES FOR SCRUTINY:
4.1
There are a number of issues arising from the transfer of the ENCTS to the
County Council, which the scrutiny task group wish to highlight. These are
outlined below.
o Level of scheme and enhancements
The County Council will be responsible for providing a statutory minimum
service but could provide more for off-peak hour travel; the District
Authorities may wish to continue to provide any enhancements over and
above this minimum and are free to do so.
Recently, the scheme has been the subject of 3 separate national
consultations, each with a deadline of 11 November 2010. These related
to: reimbursement rates, the reimbursement tool and ENCTS generally.
o Timescale and funding
Following the Comprehensive Spending Review, it is anticipated that by
mid-December, the County Council will know what the government’s
funding will be for this. The amount of funding will be a key factor in
determining what the financial impact of the ENCTS will be for the County
Council.
Page 59
APPENDIX
Members of the task and finish group suggest that opportunities for
accessing funding - particularly for administrative costs of running the
scheme – be explored through the Cumbria Local Enterprise Partnership.
o Accessing the service and communication
Part of the responsibility for the scheme will involve the administration
costs and the question of where and how the public apply for
concessionary passes has to be determined. In addition, the question of
where the public can access the scheme needs to be considered, with
initial plans to include access points in Cumbria’s 6 main libraries.
Members of the task and finish group suggest that providing wider access
opportunities should be considered, including through Cumbria’s Local
Links centres. Examining the opportunity for on-line access should also
be explored – as is already practice for 2 District Area - to extend this
across the county.
Currently, the scheme can be accessed at a number of locations around
the county, including some tourist information centres in some parts of the
county. There remains a variation in the number of locations in each
District area. With the transfer to the County Council, there will be a
training implication for staff taking on the task of providing this side of the
service. This will mean implications for both staff training and equipment.
It is important that the scheme is communicated to the public clearly and in
good time; this will mean that the details of the level of provision, criteria
and any enhancements will need to be included.
All elected members of the County Council should be aware of the new
responsibility placed on the authority.
5.0
ENVIRONMENT AND ECONOMY SCRUTINY ADVISORY BOARD
FEEDBACK
5.1
Members of the Environment and Economy Scrutiny Advisory Board have
considered this report and provided their views on the content and
recommendations. These are summarised below.
5.2
Whilst appreciating that the County Council takes on the responsibility for the
scheme facing an anticipated reduced level of funding from central
government, members note that the provision of enhancements to the
scheme have been important to local people. Although these have been
provided more recently to 3 out of the 6 District areas, there needs to be a
recognition that concessionary pass holders in those areas will be effected by
the introduction of a statutory minimum scheme. In response to this point, the
County Council’s Transport and Access officers continue to meet regularly
with District Authority officers and where a District is able to continue to
provide current enhancements they are free to do so.
Page 60
APPENDIX
5.3
Currently, 2 out of the 6 District areas allow use of the concessionary pass 24
hours a day, 7 days a week, whilst the others allow off-peak use only [details
provided in paragraph 3.4 of this report]. The statutory minimum service
provision would allow off-peak travel only, and whilst this may not be
problematic for pass holders in urban areas that are well served by regular
buses, in more remote rural areas this could be an issue.
6.0
CONCLUSIONS:
6.1
Members of the task and finish group are keen to ensure that the transition of
responsibility for ENCTS from District to County Council runs smoothly. A key
element of this will be communication with the Authority’s members and the
wider public.
6.2
The task and finish group understands that enhancements to the statutory
minimum scheme could, in theory, continue where Distrcts are able to support
this. However, any changes in the existing provision, that is moving from an
enhanced service to a statutory minimum only, will need to be carefully
managed. It is understood that a Communication Strategy is currently in
development at the Authority to address these issues.
6.3
Members will be interested to see how the Authority progresses plans for
providing access points for the Scheme across Cumbria. Whilst initially
planned for the 6 main libraries in Cumbria, possibilities for extending the
current practice of providing an on-line application facility in 2 areas of the
County should be examined.
6.4
Members wish to highlight that the costs of undertaking the Scheme for the
County Council relate not just to the reimbursement rate paid to bus service
providers, but also to the administration of the Scheme.
Councillor Geoff Cook – Cumbria County Council
Councillor Lisa Hammond – Cumbria County Council
Councillor Val Tarbitt – Cumbria County Council
Contact: Vic Milbourne, Scrutiny Officer, 01228 226564
[email protected]
1 December 2010
______________________________________________________________
Appendices:
None.
Page 61
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Page 62
Agenda Item 8b
CABINET
Meeting date:
From:
6 January 2011
Cabinet Member for Transport &
Environment
Corporate Director – Environment)
RESPONSE TO THE SCRUTINY TASK & FINISH GROUP
REGARDING THE ENGLISH NATIONAL CONCESSIONARY
TRAVEL SCHEME
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1
This report provides a response to the seven recommendations made
by the Economy & Environment’s Scrutiny Advisory Board on the
English National Concessionary Travel Scheme (ENCTS). The Task
and Finish Group focussed on the nature of the scheme to be offered
from 1 April 2011 and the administrative arrangements that will be put
in place by the County Council.
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1
The 1985 and 2000 Transport Acts require that a statutory minimum
concessionary travel scheme be offered to people over the age of 60,
and eligible people with disabilities, to free off peak travel on
scheduled bus services. In 2008 the Concessionary Bus Travel Act
extended this to allow eligible passengers to use this concession on all
local bus services in England. The funding is provided by the Travel
Concessionary Authority where the journey starts.
2.2
The scheme is specifically aimed at the elderly and those with
disabilities. However because the availability of scheduled services
are considerably less in the rural areas the benefits will accrue to a
greater degree in the urban areas. Where there are no scheduled
services but access to the key service centres are facilitated through
demand responsive schemes such as rural wheels free transport will
not be available.
Page 63
3.0
RECOMMENDATION
3.1
Cabinet incorporates recommendations R1 – R6 made by the Scrutiny
Task & Finish Group on the Cumbria ENCTS scheme.
3.2
Cabinet expresses its thanks to the members of the Advisory Board for
their valuable contribution to the future of the service.
Tim Knowles, Cabinet Member for Transport and Environment
PART B – ADVICE OF CORPORATE DIRECTOR - ENVIRONMENT
4.0
BACKGROUND
4.1
In order to provide an opportunity to discuss the issues involved in the
County Council taking responsibility for ENCTS and to provide the Cabinet
with advice on the content of a single scheme for Cumbria a Scrutiny Task
and Finish Group was set up. The Task Group were briefed by appropriate
officers and were made aware of the following background.
4.2
The English National Concessionary Travel Scheme has been the
responsibility of the District Councils (TCAs) in Cumbria. Following a
government-led consultation in 2009, the decision was taken to transfer the
responsibility to the County Council with effect from 1 April 2011. The
funding for the scheme has in the past been provided by the government
from two sources: the Department for Transport and the Department for
Local Communities. The statutory scheme allows for off peak travel
(between 9.30am and 11.00am Monday to Friday), all day weekends and
Bank Holidays, for those eligible by virtue of age or disability. In Cumbria the
TCAs have tended to provide enhancements to the statutory scheme which,
in the main, has meant allow travel 24/7. As this is a national scheme this
allows for people visiting Cumbria to be eligible for the statutory scheme
which is paid for by the Local Authority where the journey starts.
Currently the schemes provided by the Cumbria TCAs are:
Allerdale
Barrow
Carlisle
Copeland
Eden
South Lakeland
4.3
Off peak bus travel
Off peak bus travel
Bus travel 24/7 and Rail Cards
Off peak bus travel, Rail Cards and Vouchers
Bus travel 24/7
Off peak bus travel
The concession is only available on scheduled bus services. There is no
requirement under the legislation to provide concessionary fares on any
other service eg Rural Wheels.
Page 64
4.4
The amount of money repaid to bus operators is not 100% of the full
concessionary fare. The amount reimbursed has been negotiated previously
by the County Council on behalf of the District Councils. The amount being
reimbursed is currently 65% of the fare and takes into account the growth in
numbers of users generated by the scheme. The legislation requires that
the operator should be no better or worse off as a result of the scheme. This
amount is paid to the operators providing commercial bus services (in the
main Stagecoach). It should however be noted that the County Council also
receives ENCTS income for the services it supports and that there is a
greater proportion of concessionary fares [50%] on supported services
compared to commercial services [37%].
4.5
In Carlisle and Barrow applications for the scheme are currently made
electronically with the facility to also take a photograph of the applicant. In
the other locations in the County the applications are made on paper. The
issuing of smart cards and reimbursement to operators is handled through
the NoWcard Bureau. There are currently in the region of 94,000
concessionary pass holders and about 9.000 new applicants per year. The
current age at which an individual can apply for a free bus pass is
determined using a prescribed calculation which takes into account the
average pensionable age. This currently works out at about 60 years and 4
months. The qualifying age is likely to continue to increase incrementally in
light of the rationalisation of the pension age.
4.6
Close working has been achieved with the District Councils through the
existing Concessionary Fare Working Group for a number of years. This
group includes representatives of the six district councils and the County
Council and has worked close to deal with issues related to the scheme for
many years. This has included the bid to central government for the smart
card and more latterly responding from a Cumbrian perspective to the
various consultations from government. The County Council has always
taken a lead role in negotiation with operators.
4.7
The Scrutiny Panel made seven recommendations; a response to which is
given below:
R1
The County Council ENCTS provides a statutory minimum
service for Cumbria
The funding provided by central government to the County Council will not
be sufficient to provide enhancements to the statutory scheme. The County
Council has asked the District Councils if they wish to provide and fund any
additions to the statutory scheme.
R2
All elected members in the County Council be appraised of the
scheme and the Council’s related statutory responsibilities as
soon as possible
There will be information provided to all elected members by way of an
information report to all Local Committees.
Page 65
R3
The County Council to clarify where and how the scheme can be
accessed, to include the possibilities of rolling out the on-line
application system across Cumbria in 2011
The initial locations where applications can be made are shown in Appendix
1 in the separate Cabinet report. There will be opportunities for people to
apply through libraries, Local Links and where there are shared service
arrangements at District Council offices. However, opportunity for wider
access will be explored. It is proposed that applications for people with
disabilities will be dealt with in the same way as applications for the blue
badge scheme. The County Council can also provide a greater opportunity
for people to make applications on line.
R4
Any changes to ENCTS enhancements, from 2011, in any of
Cumbria’s district areas be well publicised
The information regarding the promotion of the scheme is shown in
Appendix 2 of the separate report.
R5 Elected members be appraised of the level of government funding
provided to support ENCTS for 2011-12 as part of the Strategic
Planning process, following the Comprehensive Spending Review
outcomes
This took place as part of the process to determine the budget options.
R6
Opportunities for wider public access to the scheme be explored,
including the use of Local Links centres and on-line facilities
The information regarding access to the scheme can be found at Appendix 1
of the separate report where it can be seen that increased access is being
proposed.
R7
Possible opportunities for securing administrative costs funding
to be explored through the Local Enterprise Partnership
There is currently no mechanism to bid for funding through the LEP. The
central government funding for the statutory scheme through RSG includes
an element for administration.
5.0
OPTIONS
5.1
Cabinet can adopt, or otherwise, the recommendations made by the Task &
Finish Group and incorporate as appropriate the contents in the Cumbria
scheme (see separate paper).
6.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1
Following the Comprehensive Spending Review, Government announced
that funding for concessionary fares would be rolled into Formula Grant.
Government also announced that Formula Grant would reduce. Based on
Page 66
information provided by the District Councils, some of whom provide a
scheme over the statutory minimum, the estimated cost of the
Concessionary fares scheme in 2010/11 will be £8.5m. This includes
administration costs of £200,000.
6.2
Current estimates are that the County Council will receive £7.9m in formula
grant for concessionary fares when the settlement in announced in early
December. Based on the estimated costs of providing the scheme, this
would result in a potential shortfall of £600,000. However, the County
Council is providing the statutory minimum scheme rather than the enhanced
scheme previously provided by some of the Districts, and would expect to
achieve economies of scale in dealing with the administration of the scheme.
The County Council will aim to provide the scheme within available
resources dependent on the amount of revenue support grant settlement.
7.0
LEGAL IMPLICATIONS
7.1
The provisions of the Concessionary Bus Travel Act 2007.
§
Guarantee free bus travel for those eligible from 9.30 am – 11 pm on
weekdays and all day weekends and bank holidays, across England.
§
Provide a power to allow via regulations for mutual recognition of
national concessionary bus passes across the United Kingdom.
§
Allow flexibility for Ministers to change the mechanism for
reimbursement of bus operators in the future and enable streamlining
of the administration of concessionary travel.
§
Retain Ministers’ ability to adjust the scope of the concession via
regulations.
§
Enable local authorities to continue to be able to offer benefits above
the statutory entitlement to their residents such as travel before 9.30
am and concessions on other modes like trams as well as alternative
forms of travel scheme, like tokens for use in taxis or community
transport
7.2
In March 2010 the Government announced that the responsibility for ENCTS
would transfer from District and Borough Councils to County Councils. This
change will come into effect on 1 April 2011.
7.3
The legislation under which discretionary elements are provided would allow
any discussion about them to be delayed until late January 2011 as 56 days’
notice to bus companies is required for discretionary elements.
Page 67
8.0
CONCLUSION
8.1
The County Council is required to provide the statutory minimum scheme
and in taking on the administration of the scheme it is intended to provide a
cost effective and efficient service.
Marie Fallon
Corporate Director - Environment
17 November 2010
APPENDICES
No Appendices
Electoral Division(s):
All
* Please remove whichever option is not applicable
Executive Decision
Yes
Key Decision
No
If a Key Decision, is the proposal published in the current Forward Plan?
N/A
Is the decision exempt from call-in on grounds of urgency?
No
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
N/A
Yes
Has an environmental or sustainability impact assessment been
undertaken?
N/A
Has an equality impact assessment been undertaken?
N/A
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Corporate Director has obtained the
necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
No previous relevant decisions.
Page 68
CONSIDERATION BY OVERVIEW AND SCRUTINY
This report is based on recommendations made by Scrutiny Task & Finish Group.
BACKGROUND PAPERS
No background papers.
RESPONSIBLE CABINET MEMBER
Tim Knowles, Cabinet Member Transport & Environment
REPORT AUTHOR
Contact: Rob Terwey, Telephone No 01228 226717
Email: [email protected]
Cheryl Cowperthwaite, Telephone No 01228 226757
Email: [email protected]
Page 69
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Page 70
Agenda Item 9
CABINET
Meeting date:
From:
6 January 2011
Cabinet Member for Transport & Environment
Corporate Director – Environment
THE ENGLISH NATIONAL CONCESSIONARY
SCHEME – THE CUMBRIA SCHEME
TRAVEL
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1
This report sets out proposals for the implementation in Cumbria of the
English National Concessionary Scheme which will be provided by
Cumbria County Council with effect from 1 April 2011. It also outlines
the administrative arrangements being put in place to administer the
scheme.
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1
The 1985 and 2000 Transport Acts require that a statutory minimum
concessionary travel scheme be offered to people over the age of 60,
and eligible people with disabilities, to free off peak travel on
scheduled bus services. In 2008 the Concessionary Bus Travel Act
extended this to allow eligible passengers to use this concession on all
local bus services in England. The funding is provided by the Travel
Concessionary Authority where the journey starts.
2.2
The scheme is specifically aimed at the elderly and those with
disabilities. However because the availability of scheduled services is
considerably less in the rural areas the benefits will accrue to a greater
degree in the urban areas. Where there are no scheduled services but
access to the key service centres are facilitated through demand
responsive schemes such as rural wheels free transport will not be
available.
Page 71
3.0
RECOMMENDATION
It is recommended that Cabinet:
3.1
Approve the reimbursement rate at 65% as per paragraph 4.18.
3.2
Approve the standard of service to be provided will be the minimum
standard hours of 9.30am-11.00 pm Monday to Friday, all day Saturday,
Sunday and Bank Holidays as stated in paragraph 4.9.
3.3
Approve the £25 replacement card charge as per paragraph 4.11.
3.4
Note that bus passes applications will be administered by the County
Council using a variety of methods as detailed in paragraph 4.12 of this
report.
Tim Knowles, Cabinet Member for Transport and Environment
PART B – ADVICE OF CORPORATE DIRECTOR - ENVIRONMENT
4.0
BACKGROUND
4.1
The English National Concessionary Travel Scheme has been the
responsibility of the District Councils (TCAs) in Cumbria. Following a
government-led consultation in 2009, the decision was taken to transfer the
responsibility to the County Council with effect from 1 April 2011. The
funding for the scheme has in the past been provided by the government
from two sources: the Department for Transport and the Department for
Local Communities. The statutory scheme allows for off peak travel
(between 9.30am and 11.00am Monday to Friday), all day weekends and
Bank Holidays, for those eligible by virtue of age or disability. In Cumbria
the TCAs have tended to provide enhancements to the statutory scheme
which, in the main, has meant allow travel 24/7. As this is a national scheme
this allows for people visiting Cumbria to be eligible for the statutory scheme
which is paid for by the Local Authority where the journey starts.
Currently the schemes provided by the Cumbria TCAs are:
Allerdale
Barrow
Carlisle
Copeland
Eden
South Lakeland
4.2
Off peak bus travel
Off peak bus travel
Bus travel 24/7 and Rail Cards
Off peak bus travel, Rail Cards and Vouchers
Bus travel 24/7
Off peak bus travel
The concession is only available on scheduled bus services. There is no
requirement under the legislation to provide concessionary fares on any
other service eg Rural Wheels.
Page 72
4.3
The amount of money repaid to bus operators is not 100% of the full
concessionary fare. The amount reimbursed has been negotiated previously
by the County Council on behalf of the District Councils. The amount being
reimbursed is currently 65% of the fare and takes into account the growth in
numbers of users generated by the scheme. The legislation requires that
the operator should be no better or worse off as a result of the scheme. This
amount is paid to the operators providing commercial bus services (in the
main Stagecoach). It should however be noted that the County Council also
receives ENCTS income for the services it supports and that there is a
greater proportion of concessionary fares [50%] on supported services
compared to commercial services [37%].
4.4
In Carlisle and Barrow applications for the scheme are currently made
electronically with the facility to also take a photograph of the applicant. In
the other locations in the County the applications are made on paper. The
issuing of smart cards and reimbursement to operators is handled through
the NoWcard Bureau. There are currently in the region of 94,000
concessionary pass holders and about 9.000 new applicants per year. The
current age at which an individual can apply for a free bus pass is
determined using a prescribed calculation which takes into account the
average pensionable age. This currently works out at about 60 years and 4
months. The qualifying age is likely to continue to increase incrementally in
light of the rationalisation of the pension age.
4.5
Since the government announced that the County Council would be
responsible for ENCTS with effect from April 2011 there has been frequent
communication with the LGA who have been representing County Councils
across the Country on this issue. There has been some concern regarding
the likely changes to the funding of the scheme and to possible changes to
the guidance in respect of the reimbursement to operators. In addition there
was a request made by the County Council both via the LGA and GONW for
resource to be made available to enable the necessary arrangements to be
made to prepare for the new responsibility. There has been no resource
made available to date.
4.6
The County Council is required to make decisions regarding the scheme it
offers to the public and how applications will be dealt with at a local level.
Also the level of reimbursement paid to bus operators has to be agreed, this
is an important element of the scheme as the income derived from the
ENCTS forms an important part of the viability of bus services in Cumbria. A
key issue for the County Council in taking on the scheme has been the
anticipated reduction in government funding for 2011/12. In taking forward
the issues related to the responsibility for ENCTS moving to the County
Council a Project Management approach has been adopted with a group of
officers from different directorates taking forward various work streams.
4.7
Close working has been achieved with the District Councils through the
existing Concessionary Fare Working Group for a number of years. This
group includes representatives of the six district councils and the County
Council and has worked close to deal with issues related to the scheme for
many years. This has included the bid to central government for the smart
card and more latterly responding from a Cumbrian perspective to the
various consultations from government. The County Council has always
Page 73
taken a lead role in negotiation with operators. This group will be meeting
early in December to discuss the detailed handover arrangements.
Cumbria Scheme
4.8
The main decisions to be made are:
The scheme which is to be offered
The locations at which applications can be made
The reimbursement rate
4.9
The present situation varies across the County and there is a need to
provide an equitable level of service. The anticipated funding from central
government to the TCAs will be reduced and consequently it is proposed
that the County Council offers the statutory scheme. The statutory scheme
allows off peak travel on local bus services and the guidance published at
the beginning of December indicates that the statutory scheme remains as
before namely off peak scheduled bus travel between 9.30 am and 11.00 pm
Monday to Friday, all day Saturday, Sunday and Bank Holidays. In the light
of the resource implications set out in para 6.2 it is proposed that the County
Council should publish a scheme that meets the statutory requirements
4.10
The District Councils can, if they wish, supplement the statutory scheme.
The County Council has through the ENCTS Working Group asked the
Districts Councils whether they wish to supplement the statutory scheme. In
this financial year Allerdale, Barrow and Copeland Councils made the
decision to provide free travel during the off peak period only. South
Lakeland District Council have provided for travel after 11.00 pm. In some
rural areas the application of the statutory minimum has caused some
difficulties where there are few bus services and in particular the first bus
leaves before 9.30 am. Whilst the County Council is able to make changes
to the timing of supported scheduled bus services there may be financial
constraints to this being possible. In respect of commercially provided bus
services any changes to bus services would be a matter for the bus
company.
4.11
There needs to be consistency regarding the eligibility regarding people with
disabilities and in respect of this sector it is felt that companion cards be
offered for people travelling with people with disabilities. This is currently
offered by every district apart from Carlisle. All districts currently charge for
replacement cards and it is proposed that the charge for replacement cards
should increase to £25.00. This should act as a deterrent to fraud and will
mean that the replacement cards and necessary administration will not be
an additional financial burden.
4.12
It is proposed that the County Council improves the offer regarding locations
where people can apply for their bus pass. Appendix 1 shows the proposed
locations which will offer this service from 1 April 2011 and other locations
will be explored. The present situation will be improved and there will be an
opportunity to make applications electronically at all six main Libraries:
Carlisle, Penrith, Workington, Whitehaven, Kendal and Barrow. Currently
electronic applications can only be made in Barrow and Carlisle. Paper
applications can also be made at most libraries and will also be possible by
Page 74
post. There is a need for verification of the applicant’s date of birth and
place of residence.
In respect of people with disabilities additional
information is required and this will be taken at the same locations but will be
processed centrally to ensure consistency. In addition the option to apply at
home on line is being explored, in tandem with other County Council
schemes. The applications are all currently sent to the NoWcard Bureau
where the cards are produced and sent out to the home address. (This
section will be updated following discussion).
4.13
The NoWcard Bureau produces and distributes cards. It also provides a
Helpline service for people who have problems with cards, need
replacements etc. The cost of the service is currently paid for by the District
Councils and with effect from the 1 April the County Council will be paying
towards the cost of the Bureau who provide the same service for Lancashire
County Council. A range of management information regarding the usage of
the cards and costs of the reimbursement to operators will be available.
Negotiations are currently taking place with NoWcard to ensure value for
money and effective service provision.
4.14
The County Council will require additional staff resource to deal with the new
tasks to both administer and answer queries in relation to the scheme. This
will be drawn from the funding available through RSG. The delivery of the
service will form part of the work undertaken by existing Library staff but will
mean replacement of other activities.
4.15
It is likely that there will be more queries in the first few months given the
changes to the scheme itself and the administrative arrangements. The
funding from government does include an element for administration but
efficiencies have been assumed when moving the scheme from the six
districts to the County Council.
4.16
The rate at which operators are reimbursed needs also to be agreed. This is
mainly relevant to Stagecoach who operates more than 90% of scheduled
services commercially. In respect of the bus services which the County
Council supports, the agreed reimbursement rate will affect their viability.
Following the consultation earlier this year in relation to the guidance
produced by the Department for Transport in respect of the reimbursement
of bus operators new guidance has been produced. This recognises the
need for the TCA to agree its own reimbursement rate.
4.17
It needs to be noted that historically some operators have not received the
agreed reimbursement rate. Eden District Council have provided 100%
reimbursement rate to the following commercial bus operators; NBM,
Robinsons and Grand Prix. In addition they have provided 100% to the
Fellrunner who operate a number of services in the Eden Valley, they are
managed by a volunteer management committee and use volunteer drivers.
Copeland Borough Council have also provided 100% reimbursement rate to
the Muncaster Microbus which is a voluntary organisation similar to the
Fellrunner.
4.18
The Department for Transport guidance acknowledges that in rural areas the
assumed growth in bus patronage will not necessarily apply in a similar way
to growth in urban areas. This is because rural services may be infrequent
Page 75
and consequently demand will be limited by provision. It is also appreciated
that setting the reimbursement too low may result in the reduced viability of
commercial and supported bus services. This would lead to the TCA
considering whether they should provide these services as part of their duty
to consider the provision of socially necessary bus services. Taking these
factors into account it is considered that the current reimbursement rate
(nominal 65%) should be retained in the Cumbria scheme. It is advised that
any reduction in this level could have a detrimental impact on the viability of
commercial services, could result in reduced income for the County Council
and result in potential protracted and unproductive negotiations with the
operators.
4.19
This view is reinforced by the impact assessment that accompanied the
guidance produced by the government which explains that the research
informing the new guidance has revealed: “The importance of the scheme
for older people and the role that access to transport has to play in tackling
social exclusion and maintaining well being eg by providing access to health
care and other essentials, as well as allowing people to visit family and
friends and contributing to improved mental health from increased social
interaction”.
It also shows that the percentage of trips that are
concessionary in rural or very rural areas is higher than in urban areas (see
paragraph 4.3).
4.20
Finally, it is vitally important that there is a comprehensive Communication
Plan put into practice to ensure that the general public and operators are
fully informed of the changes to the scheme and the authority responsible. A
draft communication plan is set out in Appendix 2 and describes how each
audience will be informed at the relevant stage.
5.0
OPTIONS
5.1
Cabinet can approve the recommendations in this report or approve other
levels of service, reimbursement rate and replacement card charges.
However as the concessionary fare responsibility passes by law to the
county council on 1st April 2011 Cabinet cannot choose to make no decision.
6.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1
Following the Comprehensive Spending Review, Government announced
that funding for concessionary fares would be rolled into Formula Grant.
Government also announced that Formula Grant would reduce. Based on
information provided by the District Councils, some of whom provide a
scheme over the statutory minimum, the estimated cost of the
Concessionary fares scheme in 2010/11 will be £8.5m. This includes
administration costs of £206,000 and the cost of providing an enhanced
service in some Districts which is £275,000.
6.2
Current estimates are that the County Council will receive £7.9m in formula
grant for concessionary fares when the settlement in announced in early
December. Based on the estimated costs of providing the scheme, this
would result in a potential shortfall of £600,000. However, the County
Page 76
Council is providing the statutory minimum scheme rather than the
enhanced scheme previously provided by some of the Districts which will
reduce the total cost of the scheme by £275,000. Eden District Council have
historically paid 100% reimbursement rate to some operators. This is
unlikely to continue in 2011/12, apart from those services operated by
volunteers, which will generate further, as yet unquantified, savings. In
addition, the County Council expects to achieve economies of scale in
dealing with the administration of the scheme and is challenging the costs
relating to the NoWcard back office function. Taken together these items
currently cost the Districts £372,000.
6.3
The actual cost of the scheme will depend on the level of usage. Cumbria
has an ageing population and the scheme is aimed primarily at individuals of
pensionable age.
6.4
The County Council will aim to provide the scheme within available
resources dependent on the amount of revenue support grant settlement.
However, if the settlement is lower than expected, this will create a further
pressure.
7.0
LEGAL IMPLICATIONS
7.1
The provisions of the Concessionary Bus Travel Act 2007.
§
Guarantee free bus travel for those eligible from 9.30 am – 11 pm on
weekdays and all day weekends and bank holidays, across England.
§
Provide a power to allow via regulations for mutual recognition of
national concessionary bus passes across the United Kingdom.
§
Allow flexibility for Ministers to change the mechanism for
reimbursement of bus operators in the future and enable streamlining
of the administration of concessionary travel.
§
Retain Ministers’ ability to adjust the scope of the concession via
regulations.
§
Enable local authorities to continue to be able to offer benefits above
the statutory entitlement to their residents such as travel before 9.30
am and concessions on other modes like trams as well as alternative
forms of travel scheme, like tokens for use in taxis or community
transport
7.2
In March 2010 the Government announced that the responsibility for ENCTS
would transfer from District and Borough Councils to County Councils. This
change will come into effect on 1 April 2011.
7.3
The legislation under which discretionary elements are provided would allow
any discussion about them to be delayed until late January 2011 as 56 days’
notice to bus companies is required for discretionary elements.
Page 77
8.0
CONCLUSION
8.1
The County Council is required to provide the statutory minimum scheme
and in taking on the administration of the scheme it is intended to provide a
cost effective and efficient service.
Marie Fallon
Corporate Director - Environment
17 November 2010
APPENDICES
Appendix 1 List of Locations
Appendix 2 Draft Communications Plan
Electoral Division(s):
All
* Please remove whichever option is not applicable
Executive Decision
Yes
Key Decision
Yes
If a Key Decision, is the proposal published in the current Forward Plan?
Yes
Is the decision exempt from call-in on grounds of urgency?
No
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
N/A
Yes
Has an environmental or sustainability impact assessment been
undertaken?
N/A
Has an equality impact assessment been undertaken?
N/A
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Corporate Director has obtained the
necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
No previous relevant decisions.
CONSIDERATION BY OVERVIEW AND SCRUTINY
Page 78
See paragraph 4.16.
BACKGROUND PAPERS
No background papers.
RESPONSIBLE CABINET MEMBER
Tim Knowles, Cabinet Member Transport & Environment
REPORT AUTHOR
Contact: Rob Terwey, Telephone No 01228 226717
Email: [email protected]
Cheryl Cowperthwaite, Telephone No 01228 226757
Email: [email protected]
Page 79
Appendix 1
LOCATIONS WHERE PEOPLE CAN APPLY FOR ENGLISH
NATIONAL CONCESSIONARY TRAVEL
District
ALLERDALE
BARROW
CARLISLE
COPELAND
EDEN
SOUTH LAKES
Library Name
WORKINGTON LIBRARY
Aspatria Local Link
Cockermouth Library
Distington Library
Keswick Library
Maryport Library
Moorclose Library
Seaton Library
Silloth Library
Wigton Library
BARROW LIBRARY
Askam Library
Barrow Island Library
Dalton-in-Furness Library
Roose Library
Walney Library
CARLISLE LIBRARY
Brampton Library
Denton Holme Library
Harraby Library
Longtown Library
Morton Library
WHITEHAVEN LIBRARY
Cleator Moor Library (Local Link)
Egremont Library
Frizington Library
Gosforth Library
Hensingham Library
Kells Library
Millom Library
Mirehouse Library
Seascale Library
St Bees Library
Thornhill Library
PENRITH LIBRARY
Alston Local Link
Appleby Library
Kirkby Stephen Library
Shap Library
KENDAL LIBRARY
Ambleside Library
Arnside Library
Grange over Sands Library
Kirkby Lonsdale Library
Milnthorpe Library (Local Links)
Sedbergh Library
Ulverston Library
Windermere Library
Page 80
Photo Option
Yes
Yes
Yes
Yes
Yes
Yes
APPENDIX 2
Project
England National Concessionary Travel (ENCT) scheme
Overarching outcome
Overarching
messages
key
Audiences
Starting point
Page 81
Outcome
Messages
audience)
(for
each
•
•
•
All stakeholders have confidence in the council’s ability to deliver the new joint concessionary travel scheme
All stakeholders feel they receive the relevant information about the changes to the scheme in a timely way
The project will see a change in the way the public apply for their concessionary travel passes and see a change in the level of service
they will receive (moving to statutory only scheme in all areas)
• New ways of applying for concessionary travel pass – online, in six main libraries (full service), in all Local Links centres, freepost
County
council
staff General public
Members
Travel
providers District councils
(who will provide the
(Stagecoach etc)
service)
Library and Local Link staff Target audience of over Members
have
an Have some awareness of Currently help members of
have no experience or 60s and disabled people awareness of the project the fact that the scheme the public fill in their forms
knowledge of the scheme currently know to get their but don’t have a full and responsibilities has for passes and provide
as currently being provided concessionary
travel understanding of the new moved to the county them with information and
by district councils
passes from the 6 District ENCTS
council but don’t know the advice about the scheme.
Council Offices.
full details of the project.
Staff will be appropriately Public are fully informed Have full understanding of Are fully informed about By 1 April the district
trained in assisting people about where the new the project and all the the changes in the council’s will no longer be
activity scheme and aware of able to help people fill
fill their forms in and on delivery locations will be communication
what the new scheme and be aware of the that will take place
what this means to them their forms in. From this
provides (times of travel service they can expect at
as service providers
date onwards they will redirect the general public to
etc)
their local library / Local
Link.
the local library and Local
Link centre.
for
The new scheme takes The new scheme will see Key Members will agree Full details of the new Responsibility
providing the scheme is
affect from the 1 April changes to their current the new scheme at scheme.
Details of the changes to now with the county
therefore a short timescale concessionary
travel Cabinet on 6 January.
in getting all arrangements scheme.
All council Members will the scheme from the old council.
District
councils
sorted.
Changes to where they understand
the new one.
There will be training on can get assistance to fill scheme and know how to Are aware that this is an understand how users can
communicate the changes improved service for their access the new scheme
offer as well as the their forms in.
users making it easier for and have appropriate
appropriate facilities to Can now ‘do it online’ from to their constituents
material
to
give
to
cumbria.gov.uk
them to apply for passes.
provide the new service.
Potential for more users customers to best advise
as a result to publicity them.
campaign.
Key channels
Key actions
Evaluation and feedback
Page 82
Newsroom.
Update.
Intouch.
Targeted emails.
Training events.
Training materials.
Team meetings.
TBC
Your Cumbria.
District magazines.
Posters in key areas e.g.
GP surgeries, libraries,
Local Links etc.
Local media.
Members
information
briefing.
Targeted emails.
Group offices.
Cabinet report.
Intouch.
Targeted
written
correspondence.
Information packs.
Scheduled face to face
meetings
from
new
provider (CCC).
Targeted
written
correspondence.
Information packs.
Message
from
Jill
Stannard
via
the
Leadership forum.
TBC
TBC
TBC
TBC
Mystery shopping.
Survey targeted to new
frontline providers.
Informal feedback.
Levels of take up of new
scheme.
Level of complaints.
Random telephone survey
to
sample
Member’s
awareness of the new
scheme.
Informal feedback from
constituents.
Levels of take up of new
scheme.
Level of complaints.
How many enquiries they
are getting.
Level of complaints.
Page 83
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Page 84
Agenda Item 10
CABINET
Meeting date: 6 January 2011
From:
Deputy Leader and Corporate Director –
Resources
2010/11 REVENUE AND CAPITAL MONITORING REPORT –
OCTOBER 2010
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1
This report sets out the forecast year-end position at 31 October
2010 against the Council’s revenue and capital budgets for the
2010/11 financial year.
1.2
The Council’s budget has been amended to reflect the reduction in
Government funding (both revenue and capital) announced in June
and approved by Cabinet on 16 September.
REVENUE
1.3
The Council’s original gross revenue budget for the financial year
was £864.082m and the net budget requirement £386.081m. The
adjusted net budget for monitoring purposes at 31 October was
£389.486m.
1.4
The forecast revenue position for the year-end indicates total net
expenditure of £389.503m which shows a total net pressure of
£0.017m at this stage in the financial year, which is an improvement
of £0.424m on the net pressure reported at 30 September.
1.5
The £0.017m net pressure is made up of three elements:
•
•
1.6
£1.617m directorate net pressures.
£0.6m increased benefit from treasury management
activities.
• £1m dividend received from Cumbria Waste Management.
In accordance with the Council’s reserves strategy, the dividend will
benefit general reserves at the year end, and for in year monitoring
purposes does not offset the directorate net pressure of £1.617m.
Page 85
Action plans are being developed to manage the directorate
pressures to zero at the year end. Therefore, the net pressure
forecast (excluding the dividend) is £1.017m.
CAPITAL
The Council’s capital programme for 2010/11 as approved in
February 2010 is £158.089m. The adjusted capital budget for 2010/11
at 30 September was £195.535m. This has been adjusted in October
to reflect the following:
£0.564m
additional
contributions
to
Priority
Transport
Improvement Schemes including Dalton Road Phase 2/3
£0.116m
additional
schemes
contributions to
Highways
Section
278
_______
£0.680m
This gives a capital budget for the year of £196.215m. The forecast
outturn for the year is £147.306m
2.0 STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1
This report links to the Improving Performance theme of the Council
Plan as effective management of financial resources is a prerequisite for making informed decisions when planning and
delivering Council services.
3.0 RECOMMENDATION
3.1
Members are asked to:
•
•
•
•
Note the report.
Approve the revenue budget adjustments detailed in Appendix 1.
Note the adjusted capital programme for 2010/11.
Approve additions to Priority Transport Improvement Schemes
including Dalton Road Phase 2/3, and an addition to the Section
278 highways schemes, both of which are fully met by additional
resources.
Stewart Young, Deputy Leader
Page 86
Part B – Advice of Corporate Director – Resources
4.0 BACKGROUND
4.1
REVENUE
The original net budget requirement was £386.081m after allowing for
transfers to General Reserves of £1.824m, and contributions to
Earmarked Reserves of £0.948m. These are detailed in the tables below:Transfers to General Reserves
£0.202m Savings generated by restructuring
£1.243m Replace use of general reserves in 2009/10 to meet
flooding costs
(£0.323m) Non Partnership for Schools support costs for Richard
Rose Central Academy
(£0.250m) Cumbria Waste Management Dividend income
£0.952m Addition to general reserves
£1.824m
Transfers to/(from) Earmarked Reserves
£0.119m Elections Reserve
£0.103m Sea Fisheries Boat Reserve
£1.911m Insurance Reserve (flooding)
(£1.185m) Improvement & Efficiency Reserve
£0.948m
For monitoring purposes these items are excluded as they relate to the
agreed funding of specific items. This results in an original net revenue
budget for monitoring purposes of £383.309m. This has been adjusted to
reflect the following changes since the beginning of the year:
£2.137m 2009/10 Local Committee carry forward agreed by Council
£1.370m Transfer from Single Status and Modernisation Reserve to
meet the cost of the Single Status/Equal Pay team
£0.797m Additional Area Based Grant – Children’s Services
(£0.292m) Impact of Heads of Service review
£0.260m Use of LPSA Reward Grant from Earmarked Reserves
(£3.678m) Reduction in Area Based Grant announced in June
£4.062m Revised presentation of CNDR PFI grant
£1.434m Transfer from Earmarked Reserves – Adults & Local
Services
£0.087m Additional Area Based Grant for Child Poverty, School
Improvement Partners and Petitions
£6.177m
This gives a net budget for monitoring purposes of £389.486m as at 31
October.
Page 87
4.2
Appendix 1 shows the movements on the net revenue budget, sources of
finance and the Council’s reserves, since the beginning of the year and to
date. It reflects the restructuring of directorates, implemented on 1 April
2010.
4.3
Appendix 2 contains a summary forecast outturn position for 2010/11 as at
31 October. Appendix 2 sets out the original and revised (current) revenue
budget for services, together with the actual position to date (31 October)
and the forecast year end position. The original Childrens’ Services
budget has been adjusted to restate the original allocations in respect of
specific grants (Dedicated Schools Grant and Learning and Skills Council
Grant). The revisions to these grants made since 1 April (to reflect a
revision in pupil numbers in comparison to the estimates provided prior to
commencement of the financial year and the changes to LSC
arrangements announced by central government in June) are set out in
the revised budget. A detailed analysis of each directorate’s budget is
provided in Appendix 3 and Appendices 3A to 3J of the background
papers. The background papers are available in the group offices.
4.4
A brief commentary on the revenue budget monitoring position for each
directorate is shown below.
4.5.1 Children’s Services: Children’s Services are currently forecasting a net
pressure of £1.974m, an improvement of £0.595m from the previous
month.
Children’s Services continue to face significant budget pressures on out of
county placements, foster care allowances and adoptions totalling £2.7m.
A recovery plan has been developed to reduce the cost of looked after
children and this has resulted in a reduction in the rate of increase of new
cases being approved by the Directorate. Further work is ongoing, for
example, through implementing county-wide best practice from Barrow
which has seen a reduction in the number of looked after children.
The forecast outturn for looked after children is based on the cost of the
existing caseload and therefore, should the Directorate be able to reduce
the either the number of children looked after or their average unit cost,
this forecast outturn position would reduce.
Within Schools and Learning Services, the Pupil Referral Units continue to
overspend with a forecast overspend of £0.5m for the year.
The Directorate is continuing to attempt to reduce costs through effective
budget management and austerity measures.
Budget proposals for 2011/12 are currently under consultation. These
proposals reflect a reduction in service provision due to the implications of
the Comprehensive Spending Review and grants that are to be ceased.
The proposals will reduce the number of staff working within the
Page 88
Directorate but also provide £1m additional funding to offset the pressure
of social care placements.
4.5.2 Adults and Local Services: Adult and Local Services are forecasting an
underspend of £1.067m at 31 October, which is a small increase on the
previous month’s underspend.
The underspend has arisen with the transfer from earmarked reserves of
£1.434m which was set aside at the end of 2009/10 to meet the cost of
new services due to start in 2010/11. The directorate intends to invest
£0.4m of this in assistive technology and other transformation projects.
Other projects will not now commence and £1.0m is, therefore, declared
as an underspend this year. The saving is non-recurrent.
Issues previously reported remain with new pressures being shown within
Learning Disability Services as a result of the demise of the Learning &
Skills Council and also within Local Services, specifically in relation to the
new Archives Building.
The above pressures are mitigated by better than budget income from
fees and charges and reduced commitment against projects earmarked for
funding from the Social Care Reform Grant.
4.5.3 Environment: Environment is currently forecasting to be on budget at the
year end, this is unchanged from the position reported in September.
Economic Development
The NWDA has ceased committing to any new projects in the current
year, confirmed that the £2.3m staffing budget will not be provided from
2011/12 and also confirmed reductions in the current year's staffing
budget. The management team have commenced a fundamental review
of this area to put in place a new structure that will be affordable in the
current year and in future years.
Highways & Transportation
Whilst the service is managing a number of financial risks and budget
pressures there are no projected variations from budget at this stage in the
financial year.
Sustainability & Planning
Both Waste and Environment are facing significant financial pressures.
The key risk for the Environment service is to ensure there is sufficient
planning income to cover the shortfall in the budgeted Planning Delivery
grant which was removed. In waste management the pressures include
managing the waste arisings and recycling levels to ensure challenging
targets are met. At this stage in the year variations from budget are not
projected.
4.5.4 Safer and Stronger Communities: Safer and Stronger are forecasting
no change from the break-even position forecast previously.
Page 89
4.5.5 Local Committees: £23.212m from a total budget of £24.312m is
committed or spent, leaving an unallocated balance of £1.1m at 31
October. Expenditure at 31 October is £16.066m. No year end variance
against budget is forecast at this stage.
4.5.6 Chief Executive: Chief Executive is forecasting a balanced budget this
month, an improvement from the net pressure of £0.147m previously
forecast.
The balanced budget has been achieved by £0.169m virement to the
Communities Unit to offset the savings that were assumed in the budget
but which cannot now be achieved. Forecast net expenditure for the year
is £4.777m.
4.5.7 Organisational Development: A net pressure of £0.4m is forecast as at
31 October, this is a deterioration from previous months where a balanced
budget has been forecast.
This is due to the following potential pressures in ICT.
Agilisys mid-term review target not achieved
£200k
Reduced spend resulting from directorates
£300k
Lower telephone recovery
£50k
Underspend in IT Unit
(£50k)
Lower spend on unallocated invoices
(£100k)
4.5.8 Resources: A net pressure of £0.1m is forecast for October, this is a
small improvement from that reported at 30 September.
Pressures in Property from the corporate central maintenance fund have
been highlighted previously. These pressures will become apparent over
the winter period. This is subject to a detailed review which is currently in
progress.
4.5.9 Other Items Charged Corporately: there is no change from the forecast
pressure of £0.21m relating to residual pensions costs reported previously.
4.5.10 Other items: These are forecast to receive additional income of £1.6m.
£0.6m arising from interest savings on long term borrowings that were
budgeted for, and using internal balances to fund the borrowing in the
short term, thus minimising costs. A review of treasury management is
currently being undertaken to confirm the forecast for the year.
Page 90
The budget for other items has been increased to reflect the cost of the
Single Status/Equal Pay team which are met from the Equal Pay and
Modernisation Reserve. This ensures that the drawdown on the reserve is
identified clearly in the Council’s monitoring statement during the year.
4.6
General Reserves: On the basis that Directorates will be able to manage
down the current projected net pressure of £1.017m then General
Reserves is forecast to be £12.874m as at 31 March 2011. This forecast
includes £1.824m budgeted contribution to general reserves (detailed in
paragraph 4.1) and £1m dividend from Cumbria Waste Management Ltd.
CAPITAL
4.7
Appendix 4 details the original 2010/11 capital budget as approved in
February 2010, together with a breakdown of the movement from the
original approved programme, expenditure to date, forecast outturn and
anticipated variances from the revised budget.
4.8
Estimated slippage for the year is (£47.560m), an increase on that
previously reported. This is broken down as follows:
Children’s Services
Highways & Transportation
Reclamation
Environment
Adult and Local Services
Organisational Development
Safer and Stronger
Resources
Flood Recovery
(£22.353m)
(£4.140m)
£0.018m
(£4.444m)
(£7.528m)
(£0.100m)
(£1.021m)
(£1.505m)
(£6.487m)
_________
(£47.560m)
4.9
The reasons for slippage are set out in the explanatory notes in Appendix
4. No loss of capital resources is anticipated as a result of slippage arising
in the current financial year.
4.10
Estimated underspending for the year is expected to be (£1.348m). This
is broken down as follows:
Children’s Services
Highways & Transportation
Reclamation
Organisational Development
Safer and Stronger
(£1.478m)
£0.150m
£0.106m
£0.026m
(£0.152m)
________
(£1.348m)
Page 91
The variances are set out in the explanatory notes in Appendix 4.
4.11
£2.000m capital receipts were included in the original budget to contribute
to the funding of the 2010/11 Capital Programme. Capital receipts to date
amount to £1.342m. Pre-disposal and demolition costs relating to asset
sales are currently estimated to be £0.200m for the year.
5
LEGAL IMPLICATIONS
5.1
The Cabinet is obliged to manage and maintain an overview of the
financial position of the authority taking into account advice of the
Council's statutory finance officer. The Cabinet should also take into
account relevant statutory and non-statutory rules and guidance.
6
OPTIONS
6.1
Cabinet may note the recommendations.
7
CONCLUSION
7.1
The current financial position highlights net revenue pressure of £0.017m.
In accordance with the Council’s reserves strategy the CWM dividend will
benefit general reserves leaving the £1.017m to be managed down by
directorates. Action plans are in place to manage the pressures to zero by
the year end.
D. Wood
November 2010
cf
APPENDICES
Appendix 1– Movement on revenue budget in 2010/11
Appendix 2 – Revenue Budget Monitoring Summary 2010/11 - October
Appendix 3 - Revenue Budget Monitoring Directorates 2010/11 - October
Appendix 4 – Capital Programme 2010/11 – October
Appendix 5 – Treasury Management
Electoral Division(s):
*
Executive Decision
No*
Key Decision
No*
If a Key Decision, is the proposal published in the current Forward Plan?
Page 92
N/A*
Is the decision exempt from call-in on grounds of urgency?
No*
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
N/A*
No*
Has an environmental or sustainability impact assessment been
undertaken?
N/A*
Has an equality impact assessment been undertaken?
N/A*
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
No previous relevant decisions
CONSIDERATION BY OVERVIEW AND SCRUTINY
Not considered by Overview and Scrutiny
BACKGROUND PAPERS
The detailed revenue budget monitoring appendices for individual directorates
are available in the group offices.
RESPONSIBLE CABINET MEMBER
Stewart Young, Deputy Leader
REPORT AUTHORS
Diane Wood, Corporate Director Resources
Kate McLaughlin-Flynn, Assistant Director - Finance
Page 93
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Page 94
Page 95
TOTAL AFTER ADJUSTMENTS
Adjustments October
Changes to ABG: Child Poverty/School Improvement partners
Changes to ABG: Petitions scheme
Adjustment re Legal, 3c and HR from OD to Resources
Dalston Stores budget from Environment & OD to Resources
Fire Extinguisher Unit from OD To Property
Virement to Communities Unit for budgeted savings not achieved
Virement from Safer & Stronger to Resources
Adjustments September
Transfers from Improvement & Efficiency Reserve:
Better Transport Review
Childrens LEAN review
Access to Services
Capita transition
Improvement team
Supporting People transfer from Earmarked Reserve
Adjustments July/August
Heads of Service review
SSC Other Directorate savings (Communities) transferred to Chief Exec as
part of restructure
Tfr from Records Management to Archives £10k as agreed
Increase in Environment Agency Levy: North West
Use of LAA Pump Priming Grant: First Time Entrants to Youth Justice
Use of LPSA Reward Grant: Unauthorised Absence from School
Use of LPSA Reward Grant: Employment for People with Disability
Changes to ABG: Funding to support January Guarantee
Changes to ABG: LSC staff transfer Special Purpose Grant
Change in classification of CNDR PFI grant from specific to general
Transfer from Equal Pay & Modernisation Reserve to meet costs of Equal Pay
Changes to ABG: grant reduction announced in June
Sub total Adjustments from April to June
Approved Budget
Legal Services
Budget per Budget Book
Transfer Records Management from Adults to OD
Transfer Cultural policy from Adults to Chief Exec
Transfer Registrars from Resources to Adults
Transfer Coroners from Resources to Adults
Transfer Procurement from Resources to OD
Transfer Scrutiny from Resources to Chief Exec
Transfer Risk Management from Resources to Safer & Stronger
Transfer Communities Unit from Safer & Stronger to Chief Exec
Transfer Corporate Health & Safety from OD to Safer & Stronger
Transfer Equality from OD to Chief Exec
Budget transferred from directorates to OD for HR Service Centre
Budget transferred from directorate to Chief Exec for 3C Studio
Reduction in DSG funded CMF
External services shared income to be apportioned as cross cutting savings
Adjustment for Legal,HR & 3C for Registrars & Coroners
Transfers from Earmarked Reserves - Local Committees
Transfer from inflation contingency to OD to meet extra inflation costs on
contracts
Transfer from inflation contingency to Adults to meet pressure on mortuary
costs
2010/11 BUDGET NET EXPENDITURE
10
(49)
1,434
84,111 144,914
84,111 144,914
150
(3,124)
(246)
83,961 143,480
41
756
15
40
(157)
(29)
(454)
(158)
61,228
(6)
61,234
150
(255)
61,084
4,062
220
2
57,055
(12)
(160)
57,477
(250)
57,227
26,086
(200)
26,286
4,777
169
4,608
4,608
(169)
169
(53)
26,286
(106)
4,883
236
(2)
658
1,419
259
392
1,922
(1)
1,921
9
26,161
(29)
(16)
68
(1,419)
454
27,197
(94)
27,103
13,500
(10)
20
15
13,475
150
440
65
12,820
(10)
(29)
12,859
236
200
(454)
(236)
1,105
(17)
433
11,504
(13)
11,491
101
13,815
200
10
(14)
(15)
13,634
60
13,574
38
13,536
29
(138)
(72)
(216)
(163)
(867)
(433)
(259)
(68)
13,985
1,738
15,723
24,312
24,312
24,312
24,312
2,137
22,175
0
22,175
3,515
(169)
3,684
(150)
(150)
(150)
(500)
(65)
4,699
(6)
(15)
(200)
32,773
32,773
0
0
0
0
0
0
0
0
376,258 32,773
376,258
0
0
0
0
0
0
1,434
0
376,258
0
0
(6)
0
40
220
41
756
4,062
0
(3,678)
374,824
(292)
32,773
1,370
1,370
1,370
1,370
0
0
0
0
(22,142)
(22,142)
(22,142)
(22,142)
(22,142)
0
(22,142)
323
323
323
323
323
0
323
817
817
817
6
811
811
0
811
0
0
0
0
0
0
0
0
13,141
0
0
0
0
0
0
0
0
13,141
0
0
6
0
0
0
0
0
0
1,370
0
13,141
0
11,765
0
11,765
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
87
69
18
0
0
0
0
0
0
Precepts Sub total ABG
Paid Other items
£000s
£000s £000s
0
0
11,765
(470)
(235)
216
88,069 143,999
(1,190)
(190)
86,879 143,809
(101)
(392)
163
867
32,773
0
32,773
Interest
Depn Chgd to
etc Equal Pay
Services RCCO
£000s
£000s
£000s £000s
0
0
373,681
Sub total Service
Expenditure
£000s
(60)
Corporately
Charged
£000s
4,720
Local
Committees
£000s
60
Resources
£000s
86,390 143,765
Organistional
Development
£000s
0
Chief
Executive
£000s
0
Safer &
Stronger
£000s
(236)
Environment
£000s
371,544
0
371,544
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
2,137
Adults
£000s
5,216
0
5,216
Children's
Services
£000s
1,824
1,824
1,824
1,824
1,824
0
1,824
General
Reserves
£000s
(3,961)
(3,961)
(1,434)
(2,527)
(1,370)
(40)
(220)
292
(1,189)
(2,137)
948
0
948
Earmarked
Reserves
£000s
0
0
0
0
0
0
41
756
4,062
0
(3,678)
387,262
0
0
0
0
0
0
0
0
0
387,262
0
69
18
0
0
0
0
0
0
387,349
387,349
0
0
0
386,081
0
386,081
0
386,081
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
TOTAL
£000s
Appendix 1
This page is intentionally left blank
Page 96
Page 97
CMT 03/11/10 (v2)
Forecast Closing Balance
Balance b/f at 31 March 2010
Budgeted transfer to Reserves
CWM Dividend
Local Committees carry forwards from 2009/10 transferred to budget
Forecast use of Modernisation Reserve
Use of LPSA reserves
Use of reserves - Head of Service Review
Use of Adults & Local Services earmarked reserve
Reserves Statement
Sources of Finance
Formula Grant
PFI Grant
Areas Based Grant
Income from Council Tax
0
12,874
10,050
1,824
1,000
0
0
0
0
General
Reserves
£000
144,505
4,062
33,851
204,931
387,349
1,824
(3,961)
387,349
1,824 Transfer to/ (from) general reserves
948 Transfer to/(from) earmarked reserves
386,081 Net Budget Requirement
144,505
0
36,645
204,931
386,081
13,141
389,486
84,111
144,914
61,228
26,086
24,312
4,777
13,500
13,815
3,602
376,345
11,765 Other items
383,309 Total Net Expenditure
86,174
143,705
57,055
26,161
22,175
4,883
12,628
13,547
5,216
371,544
£000
£000
Directorate
Children's Services
Adults and Local Services
Environment
Safer Stronger Communities
Local Committees
Chief Executive
Organisational Development
Resources
Other Items Charged Corporately
Total Service Expenditure
REVISED
BUDGET
ORIGINAL
BUDGET
Revenue Budget
2010/11 BUDGET MONITORING STATEMENT AS AT 31st October 2010
7,666
208,605
49,066
75,397
25,567
14,084
16,066
3,099
7,624
9,823
213
200,939
£000
14,970
948
0
(2,137)
0
(260)
0
(1,434)
0
12,087
Other CCC
Earmarked
Reserves
£000
93,125
5,941
19,745
118,893
237,704
4,142
285,159
138,949
69,719
23,918
12,896
15,533
2,191
7,502
10,003
306
281,017
£000
YEAR TO
DATE
YEAR TO
BUDGET DATE ACTUAL
39,411
0
0
0
(1,370)
0
292
0
0
38,333
Equal Pay &
Modernisation
Reserve
£000
144,505
4,062
33,851
204,931
387,349
1,807
(3,961)
387,349
11,541
389,503
86,085
143,847
61,228
26,086
24,312
4,777
13,900
13,915
3,812
377,962
£000
ANNUAL
FORECAST
2,851
0
0
0
0
0
0
0
0
2,851
Earmarked
Capital
Reserve
£000
57,232
948
0
(2,137)
(1,370)
(260)
292
(1,434)
0
53,271
Total CCC
Earmarked
Reserves
£000
(12.2%)
0.0%
(1,600)
17
(17)
0
0
2.3%
(0.7%)
0.0%
0.0%
0.0%
0.0%
3.0%
0.7%
5.8%
0.4%
%
VARIATION
FROM
BUDGET
1,974
(1,067)
0
0
0
0
400
100
210
1,617
£000
VARIATION
FROM
BUDGET
2,265
0
0
0
0
0
0
0
0
2,265
Schools
Delegated
Funds Reserves
(excludes
Standards Fund)
£000
(441)
0
0
(1,600)
441
2,569
(1,000)
0
0
0
147
0
115
210
2,041
£000
VARIATION
previously
reported
Appendix 2
2010/11 BUDGET MONITORING STATEMENT AS AT 31st October 2010
SUMMARY OF DIRECTORATES
APPENDIX 3
NET EXPENDITURE
Original
Budget
£000
86,174
143,705
57,055
26,161
22,175
4,883
12,628
13,547
5,216
371,544
Year to Date
Actual
£000
Year to
Date
Budget
£000
£000
£000
£000
%
Previous
Variance
Reported
£000
84,111
144,914
61,228
26,086
24,312
4,777
13,500
13,815
3,602
376,345
49,066
75,397
25,567
14,084
16,066
3,099
7,624
9,823
213
200,939
138,949
69,719
23,918
12,896
15,533
2,191
7,502
10,003
306
281,017
86,085
143,847
61,228
26,086
24,312
4,777
13,900
13,915
3,812
377,962
1,974
(1,067)
0
0
0
0
400
100
210
1,617
2.3%
(0.7%)
0.0%
0.0%
0.0%
0.0%
3.0%
0.7%
5.8%
0.4%
2,569
(1,000)
0
0
0
147
0
115
210
2,041
Revised
Budget
Year to Date
Actual
Annual
Forecast
Forecast
Variance
Forecast
Variance
£000
Year to
Date
Budget
£000
£000
£000
£000
%
Previous
Variance
Reported
£000
471,032
223,163
79,038
28,598
24,312
8,470
26,895
28,230
3,602
893,340
274,770
125,446
36,926
15,369
16,066
4,749
14,399
16,144
213
504,082
389,199
118,760
39,808
14,826
15,607
4,184
13,484
16,530
306
612,704
471,529
222,192
79,038
28,675
24,437
8,652
28,118
28,585
3,812
895,038
497
(971)
0
77
125
182
1,223
355
210
1,698
0.1%
(0.4%)
0.0%
0.3%
0.5%
2.1%
4.3%
1.3%
5.8%
0.2%
2,940
(747)
0
218
125
329
823
418
210
4,316
Revised
Budget
Year to
Date
Budget
£000
Year to Date
Actual
Annual
Forecast
Forecast
Variance
Forecast
Variance
£000
£000
£000
%
Previous
Variance
Reported
£000
(237,473) (367,459)
(3,192)
(3,217)
(7,260)
(4,254)
(422)
(303)
0
0
(492)
(473)
(585)
(342)
0
0
0
0
(249,424) (376,048)
96
(25)
0
0
0
(473)
(342)
0
0
(744)
(0.0%)
0.8%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.2%
(54)
(25)
0
0
0
(473)
(342)
0
0
(894)
Forecast
Variance
Forecast
Variance
Revised
Budget
Children's Services
Adults and Local Services
Environment
Safer & Stronger Communities
Local Committees
Chief Executive
Organisational Development
Resources
Items Charged Corporately
Directorate Total
Annual
Forecast
Forecast
Variance
Forecast
Variance
GROSS EXPENDITURE
Original
Budget
£000
451,533
223,238
71,708
27,677
22,175
8,576
26,023
27,936
5,216
864,082
Children's Services
Adults and Local Services
Environment
Safer & Stronger Communities
Local Committees
Chief Executive
Organisational Development
Resources
Items Charged Corporately
Directorate Total
GRANT INCOME
Original
Budget
£000
(351,052)
(4,365)
(2,023)
(226)
0
0
0
0
0
(357,666)
£000
Children's Services
Adults and Local Services
Environment
Safer & Stronger Communities
Local Committees
Chief Executive
Organisational Development
Resources
Items Charged Corporately
Directorate Total
(367,555) (214,407)
(3,192)
(3,108)
(4,254)
(3,408)
(303)
(68)
0
0
(12)
0
0
0
0
0
0
0
(375,304) (221,003)
OTHER INCOME
Original
Budget
Revised
Budget
£000
(14,307)
(75,168)
(12,630)
(1,290)
0
(3,693)
(13,395)
(14,389)
0
(134,872)
Children's Services
Adults and Local Services
Environment
Safer & Stronger Communities
Local Committees
Chief Executive
Organisational Development
Resources
Items Charged Corporately
Directorate Total
£000
Year to
Date
Budget
£000
(19,366)
(75,057)
(13,556)
(2,209)
0
(3,693)
(13,395)
(14,415)
0
(141,691)
(11,297)
(46,941)
(7,951)
(1,217)
0
(1,638)
(6,775)
(6,321)
0
(82,140)
Year to Date
Actual
Annual
Forecast
£000
£000
£000
%
Previous
Variance
Reported
£000
(12,777) (17,985)
(45,849) (75,128)
(8,630) (13,556)
(1,508)
(2,286)
(74)
(125)
(1,501)
(3,402)
(5,397) (13,876)
(6,527) (14,670)
0
0
(82,263) (141,028)
1,381
(71)
0
(77)
(125)
291
(481)
(255)
0
663
(7.1%)
0.1%
0.0%
3.5%
0.0%
(8.6%)
0.0%
1.7%
0.0%
(0.5%)
(317)
(228)
0
(218)
(125)
291
(481)
(303)
0
(1,381)
Note: Gross expenditure and gross income both include internal trading activties
Page 98
Page 99
School Balances
School Organisation
Local Service - Carlisle
Local Service - East
Local Service - Furness
Local Service - West
Other Budgets
Total - Authority
Number of schools in deficit
Net school balances including Standards Fund
20,227
4,228
3,708
3,951
5,678
6,061
86,174
3,373 Commissioning
No.
103
No.
£000
8,129
87
£000
9,725
3,555
2,992
3,205
4,044
0
138,949
4,471
10,324
20,288
409
79,936
108
No.
2,185
£000
Mar 2010 Mar 2011*
11,059
1,968
1,852
1,936
2,918
4,166
49,066
1,806
5,536
11,193
522
6,110
£000
Year to Date Year to Date
Budget
Actual
12,659
£000
Mar 2009
18,958
3,373
3,174
3,319
5,002
7,141
84,111
3,097
9,491
19,189
11,145 Prevention and Partnership
16,984 Child and Family Care
£000
895
10,472
NET EXPENDITURE - AUTHORITY
Revised
Budget
Monthly Budget Monitoring as at 31st October 2010
Children's Services
28 Director & Support
10,791 Schools and Learning
£000
Original
Budget
18,546
3,373
3,174
2,926
4,924
8,057
86,085
1,945
9,101
22,097
886
11,056
£000
Annual
Forecast
(2.2%)
0.0%
0.0%
(11.8%)
(1.6%)
0.0%
2.3%
(37.2%)
(1,152)
(412)
0
0
(393)
(78)
916
1,974
(4.1%)
15.2%
(1.0%)
5.6%
%
Forecast
Variance
(390)
2,908
(9)
584
£000
Forecast
Variance
Explanation of Variance
(307)
0
0
(316)
0
915
2,569
Based on current returns from schools, the net balance of
school funding is forecasting to reduce to £2.2m by March
2011.
(908) Out of county education placements are forecasting a £0.576m
underspend due to robust placement management. Learning &
Development budgets are also forecasting underspends
through staffing vacancies and reduced training costs.
(28)
894 Schools and Learning budgets are forecasting an overspend
due to pressures on the Pupil Referral Unit and School Pension
service.
(427)
2,746 Significant pressures continue in fostering services £0.995m,
Adoption £0.839m and Out County Placements £0.866m.
Additional pressures also exist on the Legal Services budget.
£000
Previous
Variance
Reported
Implications for Service Delivery
Schools in deficit have been advised that they will be
expected to return to a balanced budget within 12 months.
The Corporate Director will personally approve any school
budgets where deficit recovery is not deemed achievable
within a year.
The service has a clear recovery plan for looked after
children which has seen some early signs of progress.
Services that have historically overspent, such as
discretionary fostering allowances, have been centralised to
give greater scrutiny to these payments.
All services are being reviewed to determine the capacity
for reducing the current forecast overspend.
Management Remedial Action
Appendix 3A
Page 100
£000
(40)
(5,349)
(3,793)
(430)
(8,622)
(364)
(150)
(220)
(228)
(170)
0
(19,366)
Director & Support
Schools and Learning
Prevention and Partnership
Child and Family Care
Commissioning
School Organisation
Local Service - Carlisle
Local Service - East
Local Service - Furness
Local Service - West
Other Budgets
Total
£000
Revised
Budget
(40)
(2,321)
(1,684)
(335)
(9,019)
(266)
(150)
(151)
(190)
(151)
0
(14,307)
OTHER INCOME
0
(316,573)
(30,174)
(1,407)
(6,790)
(915)
(2,073)
(1,329)
(2,055)
(1,870)
(4,369)
(367,555)
Original
Budget
£000
Director & Supoprt
Schools and Learning
Prevention and Partnership
Child and Family Care
Commissioning
School Organisation
Local Service - Carlisle
Local Service - East
Local Service - Furness
Local Service - West
Other Budgets
Total
Revised
Budget
0
(303,206)
(28,801)
(1,685)
(9,106)
(817)
(768)
(531)
(486)
(737)
(4,915)
(351,052)
GRANT INCOME
£000
Original
Budget
935
332,394
43,458
21,026
18,509
20,237
5,596
4,723
5,602
7,042
11,510
471,032
Director & Support
Schools and Learning
Prevention and Partnership
Child and Family Care
Commissioning
School Organisation
Local Service - Carlisle
Local Service - East
Local Service - Furness
Local Service - West
Other Budgets
Total
68
316,318
41,630
19,004
21,498
21,310
5,146
4,390
4,627
6,566
10,976
451,533
Revised
Budget
£000
GROSS EXPENDITURE
505
314,742
20,418
20,320
9,224
9,762
3,729
3,087
3,303
4,109
0
389,199
£000
£000
(23)
(3,120)
(2,213)
(251)
(5,030)
(212)
(88)
(128)
(133)
(99)
0
(11,297)
£000
(96)
(4,805)
(2,822)
(17)
(4,568)
(37)
(174)
(95)
(98)
(65)
0
(12,777)
£000
Year to Date Year to Date
Budget
Actual
0
0
(184,666) (230,001)
(17,602)
(7,272)
(821)
(15)
(3,961)
(185)
(534)
0
(1,209)
0
(775)
0
(1,199)
0
(1,091)
0
(2,549)
0
(214,407) (237,473)
£000
Year to Date Year to Date
Budget
Actual
545
193,896
25,351
12,265
10,797
11,805
3,265
2,755
3,268
4,108
6,715
274,770
£000
Year to Date Year to Date
Budget
Actual
£000
Annual
Forecast
926
331,316
43,009
23,764
17,224
19,947
5,821
4,819
5,259
7,018
12,426
471,529
£000
Annual
Forecast
(40)
(3,804)
(3,763)
(245)
(8,454)
(486)
(375)
(316)
(278)
(224)
0
(17,985)
£000
Annual
Forecast
0
(316,456)
(30,145)
(1,422)
(6,825)
(915)
(2,073)
(1,329)
(2,055)
(1,870)
(4,369)
(367,459)
Detailed Monthly Budget Monitoring as at 31st October 2010
Children's Services
£000
Original
Budget
0
1,545
30
185
168
(122)
(225)
(96)
(50)
(54)
0
1,381
£000
Forecast
Variance
0
117
29
(15)
(35)
0
0
0
0
0
0
96
£000
Forecast
Variance
(9)
(1,078)
(449)
2,738
(1,285)
(290)
225
96
(343)
(24)
916
497
£000
Forecast
Variance
0.0%
(28.9%)
(0.8%)
(43.0%)
(1.9%)
33.5%
150.0%
43.6%
21.9%
31.8%
0.0%
(7.1%)
%
Forecast
Variance
0.0%
(0.0%)
0.0%
0.0%
0.5%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
(0.0%)
%
Forecast
Variance
(1.0%)
(0.3%)
(1.0%)
13.0%
(6.9%)
(1.4%)
4.0%
2.0%
(6.1%)
(0.3%)
0.0%
0.1%
%
Forecast
Variance
0
745
(132)
(416)
(132)
(122)
(250)
5
(15)
0
0
(317)
Previous
Variance
Reported
£000
0
(50)
0
(15)
11
0
0
0
0
0
0
(54)
Previous
Variance
Reported
£000
(28)
199
(295)
3,177
(787)
(185)
250
(5)
(301)
0
915
2,940
Previous
Variance
Reported
£000
Explanation of Variance
Implications for Service Delivery
Management Remedial Action
Page 101
144,914
231
138
8,804
71,381
12,294
23,355
5,188
1,073
560
11,579
15
6,946
1,982
1,368
143,705 Total
£000
Director
Information Section
Local Services
Older Adults Services
Physical Disability Services
Learning Disability Services
Mental Health Services
Carers Support Services
Other Adult Services
Supporting People
Cumbria Care Modernisation
Services Strategy and Support
Care Governance
Capital Charges
231
138
8,734
71,488
12,277
23,482
5,062
1,073
577
10,528
15
6,690
2,042
1,368
NET EXPENDITURE
Revised
Budget
75,397
130
80
5,201
42,178
6,819
5,135
2,584
577
271
6,714
9
4,377
1,322
0
240
98
9,013
70,653
12,294
23,601
5,669
1,023
449
10,502
15
6,940
1,982
1,368
£000
Annual
Forecast
69,719 143,847
152
58
5,003
38,878
6,088
4,548
3,444
571
114
6,019
(92)
3,540
1,131
265
Year to
Year to
Date Date Actual
Budget
£000
£000
Monthly Budget Monitoring as at 31st October 2010
Adults and Local Services
£000
Original
Budget
(1,000)
(0.7%)
(1,067)
Previous
Variance
Reported
£000
8
(40)
134
(931)
81
291
470
(49)
(161)
(1,035)
0
232
0
0
%
Forecast
Variance
9
3.9%
(40) (29.0%)
209
2.4%
(728) (1.0%)
0
0.0%
246
1.1%
481
9.3%
(50) (4.7%)
(111) (19.8%)
(1,077) (9.3%)
0
0.0%
(6) (0.1%)
0
0.0%
0
0.0%
£000
Forecast
Variance
Implications for Service Delivery
See Detailed notes below. On balance the forecast underspend is more
likely to increase rather than decrease as managers reduce, where
possible, commitments into future financial years and the trend towards See detailed notes below. Services will continue to be
more cost effective services continue, particularly for Older People. The delivered in all areas with specific pressure being contained
within the Directorate budget.
forecast includes additional one off spend of £400k on Assistive
Technology, £90k on Libraries and £400k on Cumbria Care home
upgrades.
Explanation of Variance
Please see detailed points below
Management Remedial Action
Appendix 3B
Page 102
Director
Information Section
Local Services
Older Adults Services
Physical Disability Services
Learning Disability Services
Mental Health Services
Carers Support Services
Other Adult Services
Supporting People
Cumbria Care Modernisation
Services Strategy and Support
Care Governance
Capital Charges
Total
0
0
(1,922)
(42,519)
(1,777)
(26,550)
(1,207)
0
(419)
(209)
0
(171)
(394)
0
(75,168)
£000
240
98
11,021
58
4,398
6,304
596
425
3,834
26,473
7,662
165
7,833
10,865
1,023
901
7,010
50,408
14,700
60,886 114,099
152
58
6,320
£000
Annual
Forecast
0
0
(201)
(876)
(638)
(78)
0
0
(222)
(220)
(150)
(722)
(85)
0
(3,192)
Year to
Year to
Date Date Actual
Budget
£000
£000
0
0
(213)
(747)
(638)
(78)
0
0
(255)
(220)
(150)
(722)
(85)
0
(3,108)
Year to
Year to
Date Date Actual
Budget
£000
£000
£000
Annual
Forecast
0
0
(322)
(747)
(638)
(78)
0
0
(255)
(220)
(150)
(722)
(85)
0
(3,217)
£000
Annual
Forecast
(143)
(138)
(65)
(143)
0
0
0
0
(171)
(100)
(136)
(171)
(394)
(61)
(113)
(394)
0
0
0
0
(75,057) (46,941) (45,849) (75,128)
0
0
0
0
0
0
0
0
(1,731) (1,010) (1,116) (1,686)
(42,555) (21,031) (21,132) (42,699)
(1,944) (1,241)
(936) (1,768)
(26,612) (22,291) (21,847) (26,729)
(1,280)
(996)
(390) (1,341)
0
0
(25)
0
(227)
(73)
(89)
(197)
£000
Revised
Budget
0
0
(297)
(747)
(638)
(78)
0
0
(255)
(220)
(150)
(722)
(85)
0
(3,192)
Original OTHER INCOME
Budget
£000
Revised
Budget
0
0
(75)
(747)
(638)
(78)
0
0
(236)
(1,634)
(150)
(722)
(85)
0
(4,365)
Director
Information Section
Local Services
Older Adults Services
Physical Disability Services
Learning Disability Services
Mental Health Services
Carers Support Services
Other Adult Services
Supporting People
Cumbria Care Modernisation
Services Strategy and Support
Care Governance
Capital Charges
Total
159
5,199
7,072
577
599
3,580
27,504
8,698
63,956
130
80
6,424
Year to
Year to
Date Date Actual
Budget
£000
£000
2,461
1,468
1,329
2,461
1,368
0
265
1,368
223,163 125,446 118,760 222,192
165
7,839
£000
Original GRANT INCOME
Budget
2,521 Care Governance
1,368 Capital Charges
223,238
165 Cumbria Care Modernisation
7,583 Services Strategy and Support
11,942
1,073
1,042
1,073 Carers Support Services
1,232 Other Adult Services
12,371 Supporting People
6,468
50,045
50,110 Learning Disability Services
6,269 Mental Health Services
14,876
114,683
114,754 Older Adults Services
14,692 Physical Disability Services
231
138
10,832
£000
231 Director
138 Information Section
10,731 Local Services
£000
Revised
Budget
Detailed Monthly Budget Monitoring as at 31st October 2010
Adults and Local Services
Original GROSS EXPENDITURE
Budget
(1.2%)
(176)
0
0
0
0
0
(71)
0
0
45
(144)
176
(117)
(61)
0
30
£000
Forecast
Variance
0
0
(25)
0
0
0
0
0
0
0
0
0
0
0
(25)
£000
Forecast
Variance
0
0
(971)
0.0%
0.0%
0.0%
0.0%
0.0%
0.1%
0.0%
0.0%
(2.6%)
0.3%
(9.1%)
0.4%
4.8%
0.0%
(13.2%)
%
Forecast
Variance
0.0%
0.0%
8.4%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.8%
%
Forecast
Variance
0.0%
0.0%
(0.4%)
0.0%
(0.1%)
(9.0%)
(1,077)
0
(6)
(4.7%)
(13.5%)
8.4%
(50)
(141)
542
0.7%
(0.5%)
(584)
363
3.9%
(29.0%)
1.7%
%
Forecast
Variance
9
(40)
189
£000
Forecast
Variance
Explanation of Variance
0
0
(1)
0
0
(228)
0
0
45
(396)
141
(171)
(55)
0
209
Previous
Variance
Reported
£000
0
0
(25)
0
0
0
0
0
0
0
0
0
0
0
(25)
Previous
Variance
Reported
£000
The reduction to budget variance is due to correction of the budget
following outsourcing of the sheltered employment service to Shaws
Trust.
}Charges are based on legislation or the Fairer Charging Policy.
}Income fluctuates depending on the number of service users being
}supported and their individual means test.
(49)
(370) The underspend in this area largely relates to projects earmarked for
funding from the Social Care Reform Grant showing reduced levels of
commitment. The reduction compared to period 6 is due to correction of
the budget following outsourcing of the employment service to Shaws
trust.
(1,035) The budget includes £1,434k brought forward in earmarked reserves for
new services which were due to start in 2010/11. £1m has been
identified as a saving for 2010/11, the balance will be invested in
assistive technology.
0
233 Pressure relating to corporate recharges are consistent with previous
years but are offset by vacancies resulting from the recruitment freeze.
The reduction to forecast from period 6 is due to a more realistic
assessment of the vacancy position up to year end.
0
0
(747)
462 LD services are showing a pressure due to the loss of LSC and ILF
funding. The forecast assumes delivery of a further £250k of
efficiencies by year end as detailed on the efficiency plan.
525 The forecast overspend relates to a number of high cost service users
whose Continuing Health Care Status has been unclear for some time.
8
(40)
114 Pressures on Coroners and Archives budgets have previously been
reported. Both services have growth bids in the Medium Term Financial
Plan.
(535) The Cumbria Care budget is forecast to underspend by £468k (after
investment in residential home upgrades) resulting from falling usage of
residential, day and home care services. The independent sector budget
is forecast to underspend by £117k as long term residential services are
replaced by more cost effective community based services and more
services attract continuing health care funding.
(60) This forecast is offset by an equivalent shortfall against income budgets.
Previous
Variance
Reported
£000
Re-engineering through Better for People will ensure that this
service is sustainable in the longer term.
Services will continue to be delivered within the recurrent
budget.
There are no implications for service delivery.
The forecast overspend is contained within the Directorates
total budget.
The potential overspend is being managed within the overall
Directorate budget and therefore service delivery will continue.
There are no implications for service delivery.
There are no implications for service delivery.
Services will continue to be delivered in all areas with the
pressure being contained within the Directorate budget.
Implications for Service Delivery
Continue to review and amend these and corresponding
expenditure budgets as required.
Management continue to monitor spend against the SCRG
to ensure commitments are accurately reported.
Multidisciplinary reviews of those individuals are required
which would at best secure additional NHS funding for their
services or at least bring greater certainty regarding
liabilities. Governance arrangements relating to joint
commissioning with NHS Cumbria have been tightened. A
sustainable budget for this service will be agreed within
available resources for 2011/12 onwards.
In the longer term managers should consider reducing both
the income and expenditure budgets in line with current
service demands.
Managers have ensured that the efficiency plan is robust
and achievable and that progress monitoring is in place.
Service commitments are being scrutinised to ensure they
can be met within future expected budgets.
Management Remedial Action
Page 103
30,833
0
8,090
61,228
30,831 Sustainability and Planning
0 Accountable Body
8,090 Capital Charges and Insurance
57,055 Total
Original GROSS EXPENDITURE
Budget
Highways and Transportation
Sustainability and Planning
Accountable Body
Capital Charges and Insurance
£000
0
(3,044)
(8,772)
(1,740)
0
0
(13,556)
Director
Economic Development
Highways and Transportation
Sustainability and Planning
Accountable Body
Capital Charges and Insurance
Total
£000
Revised
Budget
0
(3,055)
(7,839)
(1,736)
0
0
(12,630)
Original OTHER INCOME
Budget
£000
0
(1,713)
(2,440)
(101)
0
0
(4,254)
Director
Economic Development
Highways and Transportation
Sustainability and Planning
Accountable Body
Capital Charges and Insurance
Total
£000
Revised
Budget
31,049
32,674
0
8,090
79,038
891
6,334
£000
Revised
Budget
0
(1,906)
(16)
(101)
0
0
(2,023)
Original GRANT INCOME
Budget
23,735
32,668
0
8,090
71,708
897 Director
6,318 Economic Development
£000
0
0
25,567
17,944
5,878
527
1,218
£000
(1,795)
0
23,918
18,097
5,675
572
1,369
£000
Year to Date Year to Date
Budget
Actual
£000
13,705
19,403
2,519
0
39,808
572
3,609
£000
0
(733)
(2,321)
(121)
(4,085)
0
(7,260)
0
(1,752)
(5,184)
(1,015)
0
0
(7,951)
£000
0
0
0
0
0
0
0
£000
Forecast
Variance
Annual
Forecast
£000
0
0
0
0
0
0
0
£000
Forecast
Variance
0
0
0
0
0
0
0
£000
Forecast
Variance
0
0
0
0
0
0
0
£000
Forecast
Variance
0
(1,713)
(2,440)
(101)
0
0
(4,254)
£000
Annual
Forecast
31,049
32,674
0
8,090
79,038
891
6,334
£000
Annual
Forecast
0
8,090
61,228
30,833
19,837
891
1,577
£000
Annual
Forecast
0
0
(1,507) (3,044)
(5,709) (8,772)
(1,185) (1,740)
(229)
0
0
0
(8,630) (13,556)
£000
Year to Date Year to Date
Budget
Actual
0
(957)
(2,350)
(101)
0
0
(3,408)
£000
Year to Date Year to Date
Budget
Actual
13,412
19,060
0
0
36,926
527
3,927
£000
Year to Date Year to Date
Budget
Actual
Detailed Monthly Budget Monitoring as at 31st October 2010
Environment
19,837
15,880 Highways and Transportation
891
1,577
£000
£000
897 Director
1,357 Economic Development
Revised
Budget
Original
Budget
NET EXPENDITURE
Monthly Budget Monitoring as at 31st October 2010
Environment
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
Reasons for the Variance
Reasons for the Variance
0
0
0 Income is ahead of profile due to higher than budgeted levels of NRSWA income.
0
0
0
0
Previous
Variance
Reported
£000
0
0 As above.
0
0
0
0
0
Previous
Variance
Reported
£000
0
0 Expenditure is behind profile due to a delay in committing sums caused by the review by
the NWDA.
0
0
0
0
0
£000
Previous
Variance
Reported
0 Accountable Body - This is primarily Economic Development projects.
0
0
0
0 Economic Development - The NWDA has ceased committing to any new projects in the
current year, confirmed that the £2.3m staffing budget will not be provided from 2011/12
and confirmed reductions in the current year's staffing budget. The management team
have completed a fundamental review of this area following a period of consultation and
propose to implement a new structure that is affordable in the current year and future
years.
Port of Workington - forecast
expenditure is lower than budget but forecast income is significantly lower than budgeted
resulting in a forecast call on reserves of £300k.
0 Highways & Transportation - Whilst the service is managing a number of financial risks
and budget pressures there are no projected variations from budget at this stage in the
financial year. The winter maintenance period has commenced and Members will
receive forecast information as the winter progresses. The forecast outturn includes a
transfer to reserves of £2.5m relating to the CNDR project, this reflects a technical
accounting adjustment following implementation of new accounting standards and will be
released over the life of the project.
0 Sustainability & Planning - Both Waste and Environment are facing significant financial
pressures. The key risk for the Environment service is to ensure there is sufficient
planning income to cover the shortfall in the budgeted Planning Delivery grant, which was
removed. In waste management the pressures include managing the waste arisings and
recycling levels to ensure challenging targets are met. At this stage in the year variations
from budget are not projected. The forecast outturn for Waste Management includes a
transfer to reserves of £1.9m relating to the Shanks waste project, this reflects a
technical accounting adjustment following implementation of new accounting standards.
This will be released over the life of the project once the ITSs are in operation.
Previous
Variance
Reported
£000
Implications for Service Delivery
Implications for Service Delivery
Management Remedial Action
Management Remedial Action
APPENDIX 3C
Page 104
GROSS EXPENDITURE
0
0
0
(1,290)
Safer & Stronger Communities Fund
Health & Safety
Capital Charges and Insurance
Total
(40) Community Safety
0
0
0
(2,209)
(40)
(1,554)
(345)
(522) Trading Standards
(345) Emergency Planning
£000
Revised
Budget
0
(270)
OTHER INCOME
0 Director
(383) Fire & Rescue Service
£000
Original
Budget
0
0
0
0
0
0
(303)
0
0
0
0
0
0
(226)
Trading Standards
Emergency Planning
Community Safety
Safer & Stronger Communities Fund
Health & Safety
Capital Charges and Insurance
Total
0
(303)
0 Director
(226) Fire & Rescue Service
£000
Revised
Budget
Original
Budget
GRANT INCOME
1,207
28,598
1,207 Capital Charges and Insurance
27,677
454
523
576 Safer & Stronger Communities Fund
454 Health & Safety
879
182
196
21,764
3,393
£000
Revised
Budget
813 Emergency Planning
182 Community Safety
£000
105
12,011
879
219
83
523
264
0
14,084
£000
0
0
0
0
0
0
(422)
0
(422)
£000
0
0
0
(1,217)
(23)
(881)
(162)
0
(151)
£000
0
0
0
(1,508)
(107)
(870)
(291)
0
(240)
£000
Year to Date
Year to
Budget Date Actual
0
0
0
0
0
0
(68)
0
(68)
£000
0
0
0
(2,286)
(107)
(1,554)
(345)
0
(280)
£000
Annual
Forecast
0
0
0
0
0
0
(303)
0
(303)
£000
Annual
Forecast
Year to Date
Year to
Budget Date Actual
454
523
879
249
196
21,774
3,393
£000
1,207
28,675
168
472
392
113
107
12,126
1,448
£000
Annual
Forecast
196
21,191
1,839
534
142
523
454
1,207
26,086
£000
Annual
Forecast
0
14,826
0
15,369
264
523
381
106
105
12,230
1,760
£000
Year to Date
Year to
Budget Date Actual
107
11,464
578
101
6
472
168
0
12,896
£000
Year to Date
Year to
Budget Date Actual
Detailed Monthly Budget Monitoring as at 31st October 2010
Safer & Stronger Communities
196 Director
21,831 Fire & Rescue Service
2,418 Trading Standards
£000
Original
Budget
196
21,191
1,839
534
142
523
454
1,207
26,086
Director
Fire & Rescue Service
Trading Standards
Emergency Planning
Community Safety
Safer & Stronger Communities Fund
Health & Safety
Capital Charges & Insurance
Total
196
21,222
1,896
468
142
576
454
1,207
26,161
Revised
Budget
£000
NET EXPENDITURE
£000
Original
Budget
Monthly Budget Monitoring as at 31st October 2010
Safer & Stronger Communities
0
0
0
(77)
(67)
0
0
0
(10)
£000
Forecast
Variance
0
0
0
0
0
0
0
0
0
£000
Forecast
Variance
0
77
0
0
0
67
0
10
0
£000
Forecast
Variance
0
0
0
0
0
0
0
0
0
£000
Forecast
Variance
0.0%
0.0%
0.0%
3.5%
167.5%
0.0%
0.0%
0.0%
3.7%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
0.3%
0.0%
0.0%
0.0%
36.8%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
Explanation of Variance
Explanation of Variance
0
0
0
(218)
0
(131) Levels of budgeted income are £54k ahead of profile. There has also
been sundry income of £10k, where no budget. Capital receipts of £25k
also included within the ytd figure of £240k.
0 Receipts close to anticipated.
0 Receipts include unutilised District Councils funding brought forward from
0910 of £61k and full 1011 SLA income of £116K rather than pro-rata,
£86k ahead of budget profile. Other Resilience Unit income (£114k) is
£43k ahead of profile.
(87) £40k received re Community Safety Officer, £17k ahead of profile. Other
monies not in budget relate to £35k from Police (since passported to
Victim Support), £20k re donations and £12k IIA from 0910.
Previous
Variance
Reported
£000
0
0
0
0
0
0
0
0
0 In year receipts represent anticipated grant of £68k plus £21k received
ahead of profile. The balance represents a mis-posting of £333k.
Previous
Variance
Reported
£000
0
218
0 Supplies and Services spend behind profile, and some savings on
employee costs due to a departure and a secondment.
0
131 Current spend close to profile,
0 Not all ytd costs re Consumer Direct posted. Other areas of spend are
also running behind profile. Underspend on employee costs anticipated by
year-end.
0 Spend close to that anticipated at the end of Month 7.
87 Excess income received in ytd (detailed below) is expected to be spent by
year-end.
0 Budget reduced in-year by £53k, reflecting cut in ABG, and interim
payment of £392k (75% of the revised funding available) made in Month 5.
Remaining £80k relates to capital grant allocation mis-posted.
Previous
Variance
Reported
£000
0
0
0
0
0
0
0
0
0
Previous
Variance
Reported
£000
Implications for Service Delivery
Implications for Service Delivery
Management Remedial Action
Management Remedial Action
Appendix 3D
Page 105
633
466 General Provision
Revised
Budget
Original
Budget
0
0
0
0
0
0 Total
£000
General Provision
Highways Maintenance - Basic Allocation
Early Years
Community Support & Community Grants
0
0
0
0
Revised
Budget
£000
OTHER INCOME
0
0
0
0
0
Original
Budget
£000
0
0
0
0
0
General Provision
Highways Maintenance - Basic Allocation
Early Years
Community Support & Community Grants
Total
£000
GRANT INCOME
24,312
22,175 Total
633
17,771
3,251
2,657
General Provision
Highways Maintenance - Basic Allocation
Early Years
Community Support & Community Grants
466
16,784
2,954
1,971
Revised
Budget
£000
GROSS EXPENDITURE
£000
Original
Budget
2,657
24,312
3,251
1,145
16,066
2,640
12,010
271
£000
Year to Date
Budget
1,217
15,533
2,457
11,625
234
Year to
Date
Actual
£000
0
0
0
0
0
£000
Year to Date
Budget
0
0
0
0
0
£000
Year to Date
Budget
16,066
271
12,010
2,640
1,145
£000
Year to Date
Budget
0
0
0
(125)
(125)
(74)
£000
Annual
Forecast
0
0
0
0
0
£000
Annual
Forecast
24,437
633
17,771
3,251
2,782
£000
Annual
Forecast
2,657
24,312
3,251
17,771
633
£000
Annual
Forecast
0
0
0
(74)
Year to
Date
Actual
£000
0
0
0
0
0
Year to
Date
Actual
£000
15,607
234
11,625
2,457
1,291
Year to
Date
Actual
£000
Detailed Monthly Budget Monitoring as at 31st October 2010
Local Committees
1,971 Community Support & Community Grants
22,175 Total
2,954 Early Years
17,771
£000
£000
16,784 Highways Maintenance - Basic Allocation
Revised
Budget
Original
Budget
NET EXPENDITURE
Monthly Budget Monitoring as at 31st October 2010
Local Committees
(125)
0
0
0
(125)
£000
Forecast
Variance
0
0
0
0
0
£000
Forecast
Variance
125
0
0
0
125
£000
Forecast
Variance
0
0
0
0
0
£000
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.5%
0.0%
0.0%
0.0%
4.7%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
Explanation of Variance
Explanation of Variance
0
0
0
(125) External contributions in respect of Sandgate
Pool, District Council support for Forum
Grants programme, and highways
developments
(125)
Previous
Variance
Reported
£000
0
0
0
0
0
Previous
Variance
Reported
£000
0
0
0
125 Expenditure variance offset by income
variance; some internal recharges not yet
actioned
125
Previous
Variance
Reported
£000
0
0
As at 31 October £1.1m of Communities
Local Committee balances are unallocated
.
0 Highways budgets are fully allocated
0 The full year forecast assumes that all
unallocated and committed balances will be
fully spent at 31 March 2011
0
Previous
Variance
Reported
£000
Implications for Service Delivery
Implications for Service Delivery
Management Remedial Action
Management Remedial Action
Appendix 3E
Page 106
Original GROSS EXPENDITURE
Budget
3,099
495
129
208
Scrutiny
Communities
Communications and Media
Customer Access
3C Studio
Total
0
0
0
0
0
0
(19)
0
0
0
0
0
(1,619)
(1,638)
(20)
0
0
(896)
0
0
(2,777)
(3,693)
Cultural Policy
Equality
Scrutiny
Communities
Communications and Media
Customer Access
3C Studio
Total
0
0
(896)
0
0
(2,777)
(3,693)
0
0
£000
0
0
£000
Revised Year to Date
Budget
Budget
0
0
0
0
0
(12)
0
0
(12)
0
£000
0 Chief Executive
(20) Policy and Performance Unit
£000
Original OTHER INCOME
Budget
0
0
0
0
0
0
0
0
0
0
£000
Chief Executive
Policy and Performance Unit
Cultural Policy
Equality
0
0
0
0
4,749
8,470
Revised Year to Date
Budget
Budget
8,576 Total
Original GRANT INCOME
Budget
£000
495
129
1,827
745
222
3,251
759 Communications and Media
222 Customer Access
3,251 3C Studio
359
151
828
231
432
297
£000
236
259
2,220
408
717
412
£000
Revised Year to Date
Budget
Budget
236 Equality
259 Scrutiny
2,315 Communities
392 Chief Executive
1,142 Policy and Performance Unit
0 Cultural Policy
£000
4,777
745
222
474
828
151
359
266
432
231
236
2,191
448
130
159
613
(56)
(78)
0
(145)
0
0
(1,205)
(1,501)
0
(17)
Year to
Date
Actual
£000
0
(61)
0
0
0
(492)
0
0
(173)
(258)
Year to
Date
Actual
£000
4,184
448
130
1,364
267
120
819
284
389
363
Year to
Date
Actual
£000
(60)
(78)
0
(896)
(25)
0
(2,326)
(3,402)
0
(17)
£000
Annual
Forecast
0
(42)
0
0
0
(473)
0
0
(173)
(258)
£000
Annual
Forecast
8,652
770
222
2,800
572
259
2,262
408
734
625
£000
Annual
Forecast
4,777
745
222
474
1,324
259
(69)
120
392
717
408
£000
Annual
Forecast
134
372
284
Year to
Date
Actual
£000
Detailed Monthly Budget Monitoring as at 31st October 2010
Chief Executive
4,883 Total
759 Communications and Media
222 Customer Access
474 3C Studio
1,324
259
1,419 Communities
236
259 Scrutiny
392
717
236 Equality
0 Cultural Policy
1,122 Policy and Performance Unit
408
392 Chief Executive
£000
Revised Year to Date
Budget
Budget
£000
EXPENDITURE
£000
Original
Budget NET
Monthly Budget Monitoring as at 31st October 2010
Chief Executive
(40)
(78)
0
0
(25)
0
451
291
0
(17)
£000
Forecast
Variance
0
(42)
0
0
0
(473)
0
0
(173)
(258)
£000
Forecast
Variance
182
25
0
(451)
336
0
42
0
17
213
£000
Forecast
Variance
0
0
0
0
0
0
0
0
0
0
£000
Forecast
Variance
100.0%
100.0%
200.0%
300.0%
0.0%
0.0%
0.0%
(8.6%)
0.0%
0.0%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
100.0%
0.0%
%
Forecast
Variance
2.1%
3.4%
0.0%
(13.9%)
142.4%
0.0%
1.9%
0.0%
2.4%
51.7%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
Reasons for the Variance
Reason for Variance
0
(17) Income from Intelligence Partnership offset by increased
expenditure
(40) Extra income offset by additional spend
(78) Income from other LA's and partners to support programme
0
0 Income recovered ahead of schedule
(25) Community Voice contributions
0
451 Reduced activity and income.
291
Previous
Variance
Reported
£000
0
0
(173) Arts Council Grants - offset by additional expenditure
(258) Migration grant income (b/f from 2009-10 and new 2010-11) to
be offset by additional expenditure
0
(42) Additional income offset by additional expenditure
0
0
0
(473)
Previous
Variance
Reported
£000
0
17
213 Additional spend covered by extra income; but YTD lagging
behind actual income received
314
0
211 Budget includes £156k internal CAB recovered ahead of
schedule.
25
0
(451) Some invoices outstanding and reduced activity against
budget
329
Previous
Variance
Reported
£000
0 Balanced budget position currently projected
0 Balanced budget position currently projected
0 Balanced budget position currently projected; move away from
trading status has removed target profit
147
0 Possible pressure on staffing costs; Head of Service review
adjustment outstanding could lead to £30k pressure. Some
additonal non-staff costs in respect of computers and
subscriptions
0 Possibility of underspend at end of financial year if vacancies
not filled
0 Balanced budget position expected overall. Additional income
received in respect of grants assumed to be fully spent in
year, although at the moment expenditure lags behind income
received.
(22) Income received in respect of Migration and partner initiative;
forecast is to spend by end of financial year
0 Possibility of underspend at end of financial year if vacancies
not filled
169 YTD variance due to internal recharge recovered ahead of
schedule; overall balanced budget position currently projected
.
Previous
Variance
Reported
£000
Implications for Service Delivery
Implications for Service Delivery
Monitor ongoing income levels
Management Remedial Action
Management Remedial Action
Appendix 3F
Page 107
NET EXPENDITURE
100 Capital Charges
12,628 Total
(74) Improvement - Partnership Transition
0 Improvement - Corporate Improvement
6,864 Improvement - ICT Partnership
101 Improvement - Records Management
430 Improvement - Procurement
1,198 Improvement - Information Unit
100
13,500
566
281
7,186
91
457
981
592
1,625
592 People Management - HR Operations
1,625 People Management - HR Service Centre
217
0
7,624
(43)
0
3,966
63
334
700
345
948
1,094
303
1,318
£000
Year to Date
Budget
£000
Revised
Budget
1,460 People Management - Corporate Development
332 Business Management
£000
Original
Budget
Monthly Budget Monitoring as at 31st October 2010
Organisational Development
0
7,502
138
104
3,441
21
274
623
332
1,043
1,413
113
Year to
Date
Actual
£000
100
13,900
566
281
7,736
91
457
831
592
1,625
1,318
303
£000
Annual
Forecast
0
400
0
0
0.0%
3.0%
0.0%
0.0%
7.7%
0.0%
0.0%
(15.3%)
(150)
550
0
0
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0
0
0
0
£000
Forecast
Variance
Reasons for the Variance
( £ 50k)
(£ 100k)
0
0 Balanced budget anticipated
0 Activity in Supplies is higher, and, in Agency lower than budget; overall
a balanced budget position is currently expected
130 Budget includes funding of £215k from Improvement and Efficiency
reserve. Income received in advance of spend on CEIP and other
external contributions
0 Expenditure to date includes costs to be funded from Improvement and
Efficiency reserve and this is now included in the Full Year budget and
foecast at £440k.
0
0
Offset by:
Underspend in IT Unit
Lower spend on unallocated invoices
0 Balanced budget anticipated
0 Currently projecting a balanced budget position; some expenditure in
respect of IT costs paid ahead of budget release
0 Variance against budget to address a structural issue previously
recovered out of generated income. Lower levels of activity this year
have affected the ability to cover the shortfall
.
Projected net variance of £400K is due to the following factors:
Agilisys mid-term review target not achieved
£200k
Reduced spend resulting from directorates
£300k
Lower telephone recovery
£50k
(130) Balanced budget anticipated. YTD includes CEIP income against which
little expenditure yet.
0 Staffing cost pressure based on current staff deployment projected at
£100k. Review of current vacancies to mitigate this position underway
Previous
Variance
Reported
£000
Implications for Service Delivery
Confirmation of budget from Improvement and
Efficiency reserve required
1 Strategy for recovering £200k savings to be
negotiated with Agilisys
.
2 Monthly monitor of project income recovery
alongside further analysis of PE2 contractual
funding streams to determine if resources can
be identified
Management Remedial Action
Appendix 3G
Page 108
592
1,625
981
8,652
206
566
100
26,895
Revised
Budget
(74) Improvement - Partnership Transition
100 Capital Charges
26,023 Total
Original
Budget
0 Business Management
0 People Management - Corporate Development
0 People Management - HR Operations
People Management - HR Service Centre
0 Improvement - Information Unit
(1,466) Improvement - ICT Partnership
(115) Improvement - Records Management
(11,814) Improvement - Procurement
0 Improvement - Corporate Improvement
0 Improvement - Partnership Transition
0 Capital Charges
(13,395) Total
£000
OTHER INCOME
0
0
0
0
0
(1,466)
(115)
(11,814)
0
0
0
(13,395)
£000
Revised
Budget
0
0
0
0
0
0
0
0
0
0
0
0
Original
Budget
£000
0
0
0
0
0
0
0
0
0
0
0
0
Business Management
People Management - Corporate Development
People Management - HR Operations
People Management - HR Service Centre
Improvement - Information Unit
Improvement - ICT Partnership
Improvement - Records Management
Improvement - Procurement
Improvement - Corporate Improvement
Improvement - Partnership Transition
Capital Charges
Total
£000
GRANT INCOME
12,271
281
12,244 Improvement - Procurement
0 Improvement - Corporate Improvement
People Management - HR Operations
People Management - HR Service Centre
Improvement - Information Unit
Improvement - ICT Partnership
Improvement - Records Management
592
1,625
1,198
8,330
216
£000
Revised
Budget
303
1,318
GROSS EXPENDITURE
332 Business Management
1,460 People Management - Corporate Development
£000
Original
Budget
0
0
0
0
0
(893)
(67)
(5,699)
0
(116)
0
(6,775)
£000
Year to Date
Budget
0
0
0
0
0
0
0
0
0
0
0
0
£000
Year to Date
Budget
73
0
14,399
6,033
0
345
948
700
4,859
130
217
1,094
£000
Year to Date
Budget
(4)
(16)
0
0
(21)
(255)
(2)
(4,942)
(157)
0
0
(5,397)
Year to
Date
Actual
£000
(130)
0
0
0
(194)
0
0
0
(261)
0
0
(585)
Year to
Date
Actual
£000
138
0
13,484
5,216
522
332
1,043
838
3,696
23
247
1,429
Year to
Date
Actual
£000
Detailed Monthly Budget Monitoring as at 31st October 2010
Organisational Development
(4)
(20)
0
0
(300)
(1,466)
(115)
(11,814)
(157)
0
0
(13,876)
£000
Annual
Forecast
(130)
0
0
0
0
0
0
0
(212)
0
0
(342)
£000
Annual
Forecast
566
100
28,118
12,271
650
592
1,625
1,131
9,202
206
437
1,338
£000
Annual
Forecast
(4)
(20)
0
0
(300)
0
0
0
(157)
0
0
(481)
£000
Forecast
Variance
(130)
0
0
0
0
0
0
0
(212)
0
0
(342)
£000
Forecast
Variance
0
0
1,223
0
369
0
0
150
550
0
134
20
£000
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
0.0%
4.3%
0.0%
100.0%
0.0%
0.0%
15.3%
6.4%
0.0%
44.2%
1.5%
%
Forecast
Variance
Reason for Variance
(4)
(20)
0
0
(300)
0
0
0
(157)
0
0
(481)
Previous
Variance
Reported
£000
Contributions from external agencies in respect of CEIP
Partnership income offset by additional expenditure
Internal project and telephone charges to be recovered
Internal income to be recovered
Income relates to voucher schemes offset by additional expenditure
(130) CEIP funding transferred from Corporate Improvement
0
0
0
0
0
0
0
(212) Grant in respect of in respect of CEIP
0
0
(342)
Previous
Variance
Reported
£000
4
20 YTD spend includes expenditure to be recharged in respect of Occ.
Health and some staffing.
0
0
300 Includes EMS One to be offset by additional income or recharge
0 1 months charge to come from Agilisys
0 £15k in YTD relates to budget profiling; £12k pressure in respect of
ongoing TCO computer charges
0
499 Expenditure in respect of CEIP offset by grant and external agency
income
0
0
823
Previous
Variance
Reported
£000
Implications for Service Delivery
Management Remedial Action
Page 109
830
(53)
630 CMF - Corporate
(38) Facilities Management
110
364
(905)
13,815
2,700
2,700 CMF - Education
Insurance
Capital Charges
Cumbria Care Rental
Total
2,683
2,683 Property Services
110
364
(905)
13,547
1,908
1,848 Legal Services
277
228 Director
3,454
2,447
£000
£000
3,480 Finance
2,447 Member Services
Revised
Budget
Original
Budget
NET EXPENDITURE
0
0
0
9,823
182
309
1,575
1,965
1,087
3,018
1,548
139
£000
Year to Date
Budget
Monthly Budget Monitoring as at 31st October 2010
Resources
0
0
0
10,003
(139)
370
1,429
3,223
1,024
2,600
1,339
157
Year to
Date
Actual
£000
110
364
(905)
13,915
(53)
930
2,700
2,683
1,908
3,454
2,447
277
£000
Annual
Forecast
0
0
0
100
0
100
0
0
0
0
0
0
£000
Forecast
Variance
0.0%
0.0%
0.0%
0.7%
0.0%
12.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
Explanation of Variance
100 Potential pressure as Corporate CMF requirements could
actually be up to £1m. Budget reduction in respect of Bridge
Mills to be actioned.
15 School meals service currently doing better than budget
although there is is significant inflationary pressure on food
costs. Meals on Wheels worse than budget where there has
been significant reduction in number of meals. Overall a better
than budget position could develop, but for now a balanced
budget position is forecast.
0
0
0
115
0 Managed in conjunction with capital budget for DSG
maintenance; slow activity in early part of the year. Excludes
£818k carry forward to be agreed by Schools forum.
0 Legal Services are anticipating an underspend fo the year,
detailed work is underway to quantify it.
0 Potential pressures of £265k;
£150k
Office Accommodation and £115k Misc County Property
(includes £60k Leases to VOs). Work being concluded early
December to identify firm pressures and options.
0 Reorganisation of budgets between Finance and Director line
has been completed in November; overall no major pressures
0 currently anticipated against budget
0 No major pressures anticipated. Budget and actuals excludes
Scrutiny which is transferred to Chief Executive Directorate
Previous
Variance
Reported
£000
Implications for Service Delivery
Report to DMT / CMT
scheduled September.
Finalise budget adjustments
Report to DMT / CMT
scheduled September
Management Remedial Action
Appendix 3H
Page 110
0
0
(905)
(14,415)
Insurance
Capital Charges
Cumbria Care Rental
Total
0
0
(905)
(14,389)
0
0
0
(6,321)
(7)
(48)
0
(116)
(400)
0
0
(5,750)
£000
Annual
Forecast
0
0
0
0
0
0
0
0
0
0
0
0
£000
Annual
Forecast
2,700
930
10,646
110
364
0
28,585
289
5,219
2,523
2,108
3,696
£000
Annual
Forecast
0
0
0
0
0
(905)
(6,527) (14,670)
0
(12)
(73)
(1,765)
(22)
(76)
(147)
(200)
(382)
(1,013)
0
0
0
0
(5,903) (10,699)
£000
£000
(12)
(1,765)
(76)
(200)
(1,013)
0
0
(10,444)
Director
Finance
Member Services
Legal Services
Property Services
CMF - Education
CMF - Corporate
Facilities Management
Year to
Date
Actual
£000
Year to Date
Budget
Revised
Budget
£000
OTHER INCOME
(12)
(1,765)
(76)
(200)
(1,013)
0
0
(10,418)
Original
Budget
£000
Year to
Date
Actual
£000
Year to Date
Budget
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
1,429
370
5,764
0
0
0
16,530
157
2,673
1,361
1,171
3,605
Year to
Date
Actual
£000
1,575
309
5,932
0
0
0
16,144
146
3,066
1,548
1,203
2,365
£000
Year to Date
Budget
0
0
0
0
0
0
0
0
0
0
0
0
£000
Director
Finance
Member Services
Legal Services
Property Services
CMF - Education
CMF - Corporate
Facilities Management
Insurance
Capital Charges
Cumbria Care Rental
Total
Revised
Budget
0
0
0
0
0
0
0
0
0
0
0
0
GRANT INCOME
Original
Budget
2,700
830
10,391
110
364
0
28,230
£000
CMF - Education
CMF - Corporate
Facilities Management
Insurance
Capital Charges
Cumbria Care Rental
Total
2,700
630
10,380
110
364
0
27,936
289
5,219
2,523
2,108
3,696
Director
Finance
Member Services
Legal Services
Property Services
240
5,245
2,523
2,048
3,696
Revised
Budget
£000
GROSS EXPENDITURE
£000
Original
Budget
Detailed Monthly Budget Monitoring as at 31st October 2010
Resources
0
0
0
(255)
0
0
0
0
0
0
0
(255)
£000
Forecast
Variance
0
0
0
0
0
0
0
0
0
0
0
0
£000
Forecast
Variance
0
100
255
0
0
0
355
0
0
0
0
0
£000
Forecast
Variance
0.0%
0.0%
0.0%
1.7%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
2.4%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
12.0%
2.5%
0.0%
0.0%
0.0%
1.3%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
Explanation of Variance
0
0
0
0
0
0
0
(303) Income overall ahead of budget although slightly down on last
months projection; main area is school meals where sales
holding up against predicted fall
0
0
0
(303)
Previous
Variance
Reported
£000
0
0
0
0
0
0
0
0
0
0
0
0
Previous
Variance
Reported
£000
0
0
0
0
0 £500k internal Cleaning contracts and £647k rates paid; budget
released on monthly profile. £380k CAPITA settlement in YTD to
be allocated out
0
100
318 Some indirect costs to be received
0
0
0
418
Previous
Variance
Reported
£000
Implications for Service Delivery
Management Remedial Action
Page 111
NET EXPENDITURE
Original
Budget GROSS
213
3,602
INCOME
0 Reduced Discount on Second Homes
0 Residual Costs
0 Allowance for risk/contingency held
centrally
0 Inflation still to be allocated
0 Expenditure met by contributions from
Improvement & Efficiency Reserve
0 Total
£000
Original
Budget OTHER
0 Reduced Discount on Second Homes
0 Residual Costs
0 Allowance for risk/contingency held
centrally
0 Inflation still to be allocated
0 Expenditure met by contributions from
Improvement & Efficiency Reserve
0 Total
0
0
0
0
0
0
0
0
0
0
0
£000
0
0
0
£000
0
0
0
0
0
0
£000
0
0
0
0
0
0
£000
Year to Date
Year to
Budget Date Actual
0
0
0
0
Revised
Budget
0
0
0
£000
0
0
0
£000
306
0
0
0
0
306
£000
Year to Date
Year to
Budget Date Actual
Revised
Budget
Original
Budget GRANT
INCOME
213
3,602
0
0
256
0
0
213
£000
170
£000
306
0
0
0
306
0
£000
Year to Date
Year to
Budget Date Actual
1,185 Expenditure met by contributions from
Improvement & Efficiency Reserve
5,216 Total
552 Inflation still to be allocated
1,697
2,000 Allowance for risk/contingency held
centrally
£000
Revised
Budget
1,114
365
EXPENDITURE
1,114 Reduced Discount on Second Homes
365 Residual Costs
£000
0
0
0
213
0
£000
Year to Date
Year to
Budget Date Actual
170
256
1,114
365
1,697
£000
Revised
Budget
Detailed Monthly Budget Monitoring as at 31st October 2010
Items Charged Corporately
1,185 Expenditure met by contributions from
Improvement & Efficiency Reserve
5,216 Total
552 Inflation still to be allocated
1,114 Reduced Discount on Second Homes
365 Residual Costs
2,000 Allowance for risk/contingency held
centrally
£000
Original
Budget
Monthly Budget Monitoring as at 31st October 2010
Items Charged Corporately
0
0
0
0
0
0
£000
Annual
Forecast
0
0
0
0
0
0
£000
Annual
Forecast
3,812
170
256
1,697
1,114
575
£000
Annual
Forecast
3,812
170
256
1,114
575
1,697
£000
Annual
Forecast
0
0
0
0
0
0
£000
Forecast
Variance
0
0
0
0
0
0
£000
Forecast
Variance
210
0
0
0
0
210
£000
Forecast
Variance
210
0
0
0
210
0
£000
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
5.8%
0.0%
0.0%
0.0%
0.0%
57.5%
%
Forecast
Variance
5.8%
0.0%
0.0%
0.0%
57.5%
0.0%
%
Forecast
Variance
Explanation of Variance
Explanation of Variance
0
0
0
0
0
0
Previous
Variance
Reported
£000
0
0
0
0
0
0
Previous
Variance
Reported
£000
210
0
0 Budget has been adjusted to transfer £236k to OD to meet extra inflation
on contracts which came in at 4.8% vs budget assumptions, a further £60k
transferred to Adults & Local Service to meet pressure on mortuary costs
0
210 The residual costs relate to pension costs for retired staff who if they were
still working for the Council would have transferred to Capita, Amey or
Agilisys. The actual spend last year was £558k.
0 Budget has been amended by the following - £200k from OD in respect of
shared service income which is subject to cross directorate working with
external partners to generate the expected returns. £6k increase EA Levy;
£15k use of LAA PPG. Budget has been increased temporarily for £87k
additional ABG not yet allocated to Directorates. £169k has been
transferred to Chief Executive to meet Communities Unit pressure.
Previous
Variance
Reported
£000
210
0
0 Budget has been adjusted to transfer £236k to OD to meet extra inflation
on contracts which came in at 4.8% vs budget assumptions, a further £60k
transferred to Adults & Local Service to meet pressure on mortuary costs
0
210
0 Budget has been amended by the following - £200k from OD in respect of
shared service income which is subject to cross directorate working with
external partners to generate the expected returns. £6k increase EA Levy;
£15k use of LAA PPG. Budget has been increased temporarily for £87k
additional ABG not yet allocated to Directorates. £169k has been
transferred to Chief Executive to meet Communities Unit pressure.
Previous
Variance
Reported
£000
Implications for Service Delivery
Implications for Service Delivery
Management Remedial Action
Management Remedial Action
Appendix 3I
Page 112
GROSS EXPENDITURE
Detailed Monthly Budget Monitoring as at 31st October 2010
Other items
Depreciation Charge to Services
Precepts Paid
Revenue Contribution to Capital Expenditure
Other
Total
Depreciation Charge to Services
Precepts Paid
Revenue Contribution to Capital Expenditure
Other
£000
0
0
0
0
0
0
0
0
0
0
0
0
0
0
13,660
£000
£000
0
(519)
0
0
0
0
(519)
£000
0
0
0
0
0
0
0
Equal pay
Investment Income
Depreciation Charge to Services
Precepts Paid
Revenue Contribution to Capital Expenditure
Other
Total
Revised
Budget
Original
Budget
OTHER INCOME
19,420
799
Year to
Date
Budget
£000
0
(303)
0
0
0
0
(303)
Year to
Date
Budget
£000
0
0
0
0
0
0
0
Year to
Date
Budget
£000
7,968
(22,142) (12,916)
817
477
323
188
0
0
33,292
1,370
£000
Revised
Budget
Revised
Budget
Equal Pay
Investment Income and Minimum Revenue Provision
Depreciation Charge to Services
Precepts Paid
Revenue Contribution to Capital Expenditure
Other
Total
19,118
799
Year to
Date
Budget
£000
(22,142) (12,916)
817
477
323
188
0
0
13,141
7,666
32,773
Original
Budget
GRANT INCOME
11,765 Total
(22,142)
811
323
0
32,773 Interest Payable and Minimum Revenue Provision
0 Equal Pay
£000
Original
Budget
(22,142)
811
323
0
11,765
32,773 Interest Payable, Minimum Revenue Provision and Investment Income
1,370
£000
£000
0 Equal Pay
Revised
Budget
Original
Budget
NET EXPENDITURE
Monthly Budget Monitoring as at 31st October 2010
Other items
0
(210)
0
0
0
(1,000)
(1,210)
£000
Year to Date
Actual
0
0
0
0
0
0
0
£000
Year to Date
Actual
5,352
0
318
0
2,114
2,258
662
£000
Year to Date
Actual
0
318
0
1,114
4,142
2,048
662
£000
Year to Date
Actual
0
(969)
0
0
0
(1,000)
(1,969)
£000
Annual
Forecast
0
0
0
0
0
0
0
£000
Annual
Forecast
13,510
(22,142)
817
323
0
33,142
1,370
£000
Annual
Forecast
(22,142)
817
323
(1,000)
11,541
32,173
1,370
£000
Annual
Forecast
0
(450)
0
0
0
(1,000)
(1,450)
£000
Forecast
Variance
0
0
0
0
0
0
0
£000
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
%
Forecast
Variance
(1.1%)
(150)
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
(0.5%)
(150)
0
0
0
0
0.0%
%
Forecast
Variance
0
£000
Forecast
Variance
0.0%
0.0%
0.0%
0.0%
(12.2%)
(1.8%)
(600)
0
0
0
(1,000)
(1,600)
0.0%
%
Forecast
Variance
0
£000
Forecast
Variance
Explanation of Variance
Explanation of Variance
0
0
0
0
0
(1,000) CWM Dividend
(1,000)
Previous
Variance
Reported
£000
0
0
0
0
0
0
0
Previous
Variance
Reported
£000
0
0
0
0 This is the balance on the control accounts and will be
transferred to directorates or transferred to reserves at year end,
so the forecast is nil.
(600)
0 The cost of team (ytd £572k) is to be met from the Modernisation
Reserve and the Equal Pay settlements paid out this year (ytd
£1,419k) is offset by a provision of £5.149m made in 2009/10, so
the impact on 2009/10 is nil.
(600) Budget was set on the basis of additional borrowing of £20m,
however this was not done, internal balances were used instead
and a saving of £270k on the interest paid budget is anticipated.
Previous
Variance
Reported
£000
(1,000) CWM dividend received
(1,600)
0
0
(600) Budget was set on the basis of additional borrowing of £20m,
however this was not done, internal balances were used instead
and a saving of £450k on the interest paid budget is anticipated.
There is a further £150k additional investment income received
due to higher than anticipated cash balances.
0 The cost of team (ytd £572k) is to be met from the Modernisation
Reserve the estimated full year cost is £1.370m.Equal Pay
settlements paid out this year (ytd £1,419k) is offset by a
provision of £5.149m made in 2009/10.
Previous
Variance
Reported
£000
Implications for Service Delivery
Implications for Service Delivery
Management Remedial Action
Management Remedial Action
Appendix 3J
£000
£000
(1,346)
Formula Capital 2010/11
Building Schools for the Future 2010/11
Health & Safety General 2010/11
Health & Safety General 2009/10
Building Schools for the Future
(additional costs)
50
1,000
100
100
Building Schools for the Future 2009/10
200
Strategic SEN Facilities 2010/11
Inclusive Education
Individual School AMP Projects Second
49
31
1
741
784
Extended Schools 2009/10
479
875
Extended Schools 2008/09
Extended Schools 2010/11
125
Extended Schools 2007/08
Schools Access Initiative 2010/11
Schools Access Initiative 2009/10
918
4,742
Formula Capital 2009/10
690
2,350
Formula Capital 2008/09
OTHER PROJECTS
347
9,193
Slipped /
adjusted
after
2009/10
Outturn
Estimate
2010/11 Per
Approved
Budget
February
2010
Formula Capital 2007/08
FORMULA CAPITAL
CHILDREN'S SERVICES
Page 113
(219)
VireGrant
Other
ments changes adjustments
including
additional
contributions
& Match
Funding
£000
£000
£000
6
200
27
0
0
741
200
101
31
100
0
0
260
50
132
784
0
0
875
49
0
125
0
0
918
1,000
62
3,173
7,847
690
2,718
4,742
0
0
0
0
0
101
200
15
260
784
875
0
0
115
3,173
2,718
1,474
1,474
2,350
£000
347
£000
Actual Estimated
Spend 31
Outturn
October
2010
347
£000
Revised
Budget
2010/11
APPENDIX 4
(1,000)
(100)
(31)
(125)
£000
(50)
(49)
(726)
(918)
(575)
(4,674)
(2,024)
(876)
£000
As above
School AMP visits currently being undertaken to
identify appropriate work which unlikely to be initiated
before 2011/12
As above
As above
BSF funding withdrawn
Funding has been retained to meet disputed
interserve costs- flagged up with finance contingent
liability required in 2010/11
Funding cuts of £219k confirmed. Work expected to
be completed by 31.03.10
As above
Work expected to be completed by 31.03.10
Expenditure committed for 2011/12
As Above
3 year rolling programme with expenditure led by
demand from schools. Estimated outturn represents
the amounts delegated to Schools to date
As Above
Estimated Explanatory Notes
Estimated
Over or (Slippage) or
(Under) Accelerated
Spends Expenditure
Explanation of Variance
<-------------Capital Programme 2010/11------------->
200
Review, Feasibility & Management
/School Review Projects
500
6,500
Caldew
Trinity
SECONDARY PROJECTS
125
Property Unit
Initial PCP projects & subsequent review
Implementation
(815)
(234)
196
4,448
538
Ulverston
7,372
782
OTHER
189
North Carlisle
Brampton
Children's Play areas
602
400
225
125
Specialist Sports Colleges
Specialist Schools capital
School Travel Plans
PRIMARY PROJECTS
628
Standards and Diversity
43
88
235
Youth Facilities/Youth Capital Fund
2010/11
225
2,051
Fire Precautions 2008/09
526
Aiming High for Disabled Children
1,783
781
Children's Centres Phase 3
Nursery PVI - Quality & Access
8
910
216
Children's Centres Phase 1
1,304
Children's Centres Phase 2
3,026
Harnessing Technology 2010/11
£000
2,000
£000
6,000
Slipped /
adjusted
after
2009/10
Outturn
Estimate
2010/11 Per
Approved
Budget
February
2010
14-19 Diplomas/SEN (TCF)
Page 114
(25)
(118)
(225)
(1,506)
(658)
(31)
642
VireGrant
Other
ments changes adjustments
including
additional
contributions
& Match
Funding
£000
£000
£000
158
3,535
266
5,685
0
0
125
396
184
39
538
11,820
2
620
189
782
0
577
0
0
0
400
225
125
6
526
585
1,443
3,834
628
656
2,333
1
9
8
88
0
216
25
93
2,824
129
£000
1,437
£000
5,685
266
0
125
3,900
538
782
189
577
400
225
125
588
0
129
526
3,834
2,333
9
0
2,824
3,936
£000
Actual Estimated
Outturn
Spend 31
October
2010
7,342
Revised
Budget
2010/11
APPENDIX 4
(40)
1
(216)
£000
(396)
(7,920)
(87)
(3,406)
£000
Change in phasing of expenditure due to slippage in
2009/10
Revised grant allocation has been confirmed. Ringfencing removed from grant.
Awaiting final account
Potential clawback of £40k grant brought forward as
expenditure was not committed at 30/8/10
Delegated to schools in full
Delegated to schools in full
Delegated to schools in full
Potential clawback of £19k grant not spent in 2009/10
Slippage of £225k clawed back. Funding of £526k
relating to 2010/11 has now been confirmed.
Estimated
Estimated Explanatory Notes
Over or (Slippage) or
(Under) Accelerated
Spends Expenditure
Explanation of Variance
<-------------Capital Programme 2010/11------------->
1,233
Non Partnerships For Schools resourced
academy costs
Property Unit Cost
Children's Services Total
Academies additional temps / dining
rooms
Academies additional temps / dining
rooms
81,344
25,377
(54)
72
679
Academies environmental
385
14-19 Centre
92
138
202
(113)
89
William Howard
Newman
Dallam Boarding
Dallam
125
6,300
West Lakes Academy (including
Egremont Library)
Richard Rose Central Academy 8/9
(406)
13,600
15,781
Richard Rose Morton Academy
Richard Rose Central Academy
1,146
701
2,243
Walney
(141)
£000
£000
2,243
Slipped /
adjusted
after
2009/10
Outturn
Estimate
2010/11 Per
Approved
Budget
February
2010
St Bernard's
Page 115
-
(2,751)
611
VireGrant
Other
ments changes adjustments
including
additional
contributions
& Match
Funding
£000
£000
£000
104,581
38,129
5
0
72
(54)
133
678
385
679
47
4
92
4
0
0
125
138
80,749
2
46
678
385
92
125
138
404
1,435
7,981
89
16,927
13,194
550
2,050
£000
1,435
3,924
7
89
6,187
4,554
10,790
67
2,944
13,194
931
2,102
16,927
£000
Actual Estimated
Outturn
Spend 31
October
2010
£000
Revised
Budget
2010/11
APPENDIX 4
(1,478)
56
(26)
(1)
4
£000
(22,353)
1,794
(2,394)
(52)
£000
Difference to be met by Academy
Overspend to be met by school
Project requires some re-phasing of expenditure to
bring into line with contractors milestone payment
schedule and ICT costs included in full business case
Awaiting final account
Cost reduction exercise led to delay in award of
contract. Some change in phasing of expenditure is
necessary
Some change in phasing of expenditure due to
slippage in 2009/10
Estimated
Estimated Explanatory Notes
Over or (Slippage) or
(Under) Accelerated
Spends Expenditure
Explanation of Variance
<-------------Capital Programme 2010/11------------->
Flooding
80
Community Mini Buses
2,738
100
Better Ways to School
Sub total
300
Engineering Safety Schemes
Section 278 Schemes
50
213
Road Safety (Safety Cameras)
Active Travel (Rights of Way
Improvement Plan)
240
1,360
395
2,000
574
26
33
60
195
42
218
-
£000
£000
2,000
Slipped /
adjusted
after
2009/10
Outturn
Estimate
2010/11 Per
Approved
Budget
February
2010
Preparation Pool
Speed Limit Review Implementation
Priority Transport Improvement Schemes
Major Schemes - CNDR
INTEGRATED TRANSPORT
Sub total
HIGHWAYS & TRANSPORTATION
Page 116
-
-
(1,169)
(80)
(50)
(20)
(213)
(90)
(661)
(55)
-
2,858
1,465
18
1,375
-
VireGrant
Other
ments changes adjustments
including
additional
contributions
& Match
Funding
£000
£000
£000
33
1,465
44
1,465
3,998
27
5,001
97
94
195
310
101
150
133
15
42
0
1,834
2,292
30
332
427
427
£000
5,001
1,465
44
133
310
30
195
150
42
2,292
340
488
488
£000
Actual Estimated
Outturn
Spend 31
October
2010
340
2,000
2,000
£000
Revised
Budget
2010/11
APPENDIX 4
-
-
£000
-
(1,512)
(1,512)
£000
Expenditure in respect of adopted roads fully funded
by contributions from developers
Scheme has been adjusted to reflect recently
announced cuts in government grant. This is partially
offset by a contribution of £18k.
Scheme has been adjusted to reflect recently
announced cuts in government grant.
Scheme has been adjusted to reflect recently
announced cuts in government grant.
Scheme has been adjusted to reflect recently
announced cuts in government grant.
Scheme has been adjusted to reflect recently
announced cuts in government grant.
Includes expenditure for Dalton Road Phase 2/3 which
will be funded by external contributions
This scheme relates to the "betterment" element
(improvements in the asset) of the DfT Emergency
Capital Fund claim following the November 2009
floods. The DfT or their advisors have not formally
agreed the mechanism the Council is using for
calculating betterment and may be subjet to change
when the final claim has been made, this is likely to be
in 2011/12. Efforts have been made to formally agree
the mechanism to reduce the financial risk but the
department or their advisors have been unwilling to
formally agree this. Slippage due to complexity and
nature of works.
Estimated
Estimated Explanatory Notes
Over or (Slippage) or
(Under) Accelerated
Spends Expenditure
Explanation of Variance
<-------------Capital Programme 2010/11------------->
2,100
Footbridges
(200)
Sub total
200
30,742
Highways & Transportation Total
200
15,194
1,000
4,326
2,628
2,628
963
(112)
913
(196)
1,350
11,943
358
901
Sub total
CNDR Land Purchase
TRANSPORT - Additional Investment
Lighting Column Replacement
Non-principal Road Network - Other
Capitalised Maintenance
Annual Package of Measures (Under
£50k improvements)
Non-principal Road Network - Minor
Structural Repairs
DEVOLVED TO LOCAL COMMITTEES
-
-
-
(1,710)
-
(341)
(341)
8,188
-
25
25
5,305
2,305
Sub total
S31 Emergency Fund Winter Damage
-
(70)
(130)
3,000
161
122
VireGrant
Other
ments changes adjustments
including
additional
contributions
& Match
Funding
£000
£000
£000
Winter Damage Repairs
10,610
2,900
640
39
£000
£000
4,970
Slipped /
adjusted
after
2009/10
Outturn
Estimate
2010/11 Per
Approved
Budget
February
2010
Structures Assessments, Strengthening
and Maintenance
De-trunked Roads
Principal Road Network (PRN)
HIGHWAYS ASSET MANAGEMENT
Page 117
1,675
41,546
2,828
2,828
20,375
29
29
8,901
226
888
15,841
7,761
624
1,154
12,881
290
918
7,020
2,305
15,876
150
138
2,100
3,000
1,232
185
632
2,830
3,640
£000
37,556
200
200
15,841
888
12,881
1,154
918
16,026
2,305
3,000
2,100
2,830
632
5,159
£000
Actual Estimated
Outturn
Spend 31
October
2010
5,009
£000
Revised
Budget
2010/11
APPENDIX 4
150
-
-
150
150
£000
(4,140)
(2,628)
(2,628)
-
-
£000
Expenditure unlikely to be incurred in year due to
protracted negotiations with ASDA.
Scheme has been adjusted to reflect recently
announced cuts in government grant.
Expenditure relates to work on Navvies and Millers
footbridges.
Revenue Contribution to Capital Outlay (RCCO) from
£3m winter damage revenue budget
Revenue Contribution to Capital Outlay (RCCO) from
£2.3m DfT S31 revenue grant
Scheme has been adjusted to reflect recently
announced cuts in government grant.
Unplanned drainage work required as part of
Glenridding scheme. Additional patching also required
on surface dressing.
Scheme has been adjusted to reflect recently
announced cuts in government grant.
Estimated
Estimated Explanatory Notes
Over or (Slippage) or
(Under) Accelerated
Spends Expenditure
Explanation of Variance
<-------------Capital Programme 2010/11------------->
Land Reclamation
West Cumbria Development Fund
Contribution
Year 3 - Operational Plan - soft end use
RECLAMATION
Household Waste Recycling/ Civic
Amenity Sites
Carbon Shift
Port of Workington Derwent River Floods
Port of Workington Investment Plan
ENVIRONMENT
2,700
281
26,915
13,201
Projects delivered in partnership with
West Lakes Rennaissance
Reclamation Total
12,854
130
60
3,275
83
1,221
(768)
1,959
30
£000
£000
670
Slipped /
adjusted
after
2009/10
Outturn
Estimate
2010/11 Per
Approved
Budget
February
2010
Other Projects
Page 118
-
(26,917)
(11,873)
(14,466)
(578)
4,126
-
VireGrant
Other
ments changes adjustments
including
additional
contributions
& Match
Funding
£000
£000
£000
18
347
162
2,700
56
382
4,126
3,275
0
317
364
1,219
102
86
130
560
60
51
£000
562
1,500
4,126
0
1,343
666
347
130
60
140
£000
Actual Estimated
Outturn
Spend 31
October
2010
60
122
£000
Revised
Budget
2010/11
APPENDIX 4
106
106
£000
(2,713)
(1,200)
(364)
18
18
£000
Estimated outturn based on a more accurate forecast
position than that reported in July monitoring
Currently forecasting a small reduction in revenue
savings as a result of slippage but Directorate is
seeking to close the gap.
Estimate provided by consultant engineers. Expected
completion date April 2011. £5m funded from
insurance. £874k spent in 0910.
No expenditure expected in 2010/11
Following cuts from NWDA the only projects
continuing are those which are already committed eg.
Lake District National Park Employment Sites
Programme feasibility works. Silloth Green and
Hadrian's Cycleway may commence with Lottery
funding and funding from the Rural Development
Programme for England.
See above. Further cuts to Barrow Regeneration and
Britain's Engergy Coast West Cumbria programme
have resulted in fewer projets being approved for
delivery by the County Council.There is a risk of claw
back on the Barrow Access Road project following an
audit undertaken by CLG. Potential financial
corrections relating to land acquisition, procurement
and legal fees total £106K
Schemes funded by County Council rather than
NWDA
This programme has been cut by NWDA. The budget
from NWDA has been revised to £56K to take account
of a retention payment due in March 2011.
Expenditure above the NWDA budget relates to
projects with funding from other sources.
Estimated
Estimated Explanatory Notes
Over or (Slippage) or
(Under) Accelerated
Spends Expenditure
Explanation of Variance
<-------------Capital Programme 2010/11------------->
CDSP Adaptations
ADULT & CULTURAL SERVICES
Environmental total
Contaminated Land Grant
Waste Infrastructure
Household Waste Recycling/ Civic
Amenity Sites Land Purchase
ICT Investment
ORGANISATIONAL DEVELOPMENT
Chief Executive Total
Customer Access Centres
CHIEF EXECUTIVE
Adult & Cultural Services Total
Coombe House
Carlisle/Cumbria Records Office
Mental Health
Improvements to Care Homes
Social Care IT Infrastructure Grant
60 Bed Elderly Persons Home
Page 119
2,000
200
200
7,675
7,200
475
2,981
-
169
169
1,852
1,509
4
185
148
6
4,748
20
-
20
-
508
324
184
316
4,126
-
-
0
0
542
0
185
4
1,529
324
2,000
369
369
0
4
4
758
0
184
10,055
5
211
1,494
7,348
481
12,171
0
8
12
316
727
12
411
£000
1,900
369
369
2,527
324
1,529
4
0
184
5
481
7,727
12
727
800
£000
Actual Estimated
Outturn
Spend 31
October
2010
886
£000
Revised
Budget
2010/11
967
£000
£000
VireGrant
Other
ments changes adjustments
including
additional
contributions
& Match
Funding
£000
£000
£000
967
Slipped /
adjusted
after
2009/10
Outturn
Estimate
2010/11 Per
Approved
Budget
February
2010
APPENDIX 4
-
-
-
£000
(100)
-
(7,528)
(185)
(7,343)
(4,444)
(167)
£000
Projects for 2010/11 have been identified and are
contained in ICT Strategy which will be presented to
Cabinet in October. A range of projects will then be
commissioned and implemented
Delivery of the scheme was affected in 2009/10 by
flooding in Keswick and Cockermouth. It is now
anticipated that the scheme will be spent in full by 31
March 2011
Fully grant funded and it is likely that the works will
take place in Q4 of this financial year.
Grant income received. Final building and fitting out
costs will be incurred in quarters 2,3 and 4.
Scheme linked to 60 bed elderly persons home
Expenditure is funded by annual grant received at the
start of the year and fully paid out at the end
Project in early stages. Expenditure requires rephasing to reflect latest timeline
Expenditure will be incurred later in the year
£316k adjustment relates to additional grant received
Estimated
Estimated Explanatory Notes
Over or (Slippage) or
(Under) Accelerated
Spends Expenditure
Explanation of Variance
<-------------Capital Programme 2010/11------------->
710
750
100
Capital Investment in Lazonby & Bootle
Fire Stations
Mobilising Infrastructure
Fire Behahaviour Training Facility
Safer & Stronger Communities Total
Fire Station PFI
Equipment Rooms Upgrade
2,299
50
689
1,832
302
611
919
-
£000
£000
2,000
Slipped /
adjusted
after
2009/10
Outturn
Estimate
2010/11 Per
Approved
Budget
February
2010
Fire Service Vehicles
SAFER & STRONGER COMMUNITIES
Organisational Development Total
Enterprise Licensing Agreement
Page 120
-
-
-
-
-
-
VireGrant
Other
ments changes adjustments
including
additional
contributions
& Match
Funding
£000
£000
£000
0
0
11
100
50
302
1,063
0
750
4,131
47
1,005
1,321
1,608
26
26
0
2,000
£000
2,958
150
50
100
750
300
1,608
1,926
26
£000
Actual Estimated
Outturn
Spend 31
October
2010
£000
Revised
Budget
2010/11
APPENDIX 4
(152)
(152)
26
26
£000
(1,021)
(1,021)
(100)
£000
Final equipment specification in line with RCC
requirements being determined along with
maintenance provision prior to purchase.
Initial Fire Behaviour Training selected site had third
party issues. New site selected and legal work to
determine variation to existing lease to take place.
Enabling work for station end equipment
commissioned.
Final business case approved by PRG. Detailed
planning applications and resolution of site issues to
be completed prior to financial close in Otober 2010.
Slippage has been due to concentration on the
requirements of the competitive dialogue process.
Existing land and site issues have moved back but are
required to be addressed in 2010/11
Site identification and purchases for Bootle and
Lazonby. Site identification in progress with planning
assessments being completed by Capita. Potential for
shared service also being evaluated.
Fire appliance specifications finalised and order
placed 2010. Vehicle replacement programme has
been reviewed to enable reduction of fleet age to
minimise risk. Emergency vehicle specification drawn
up. Slippage from 2009/10 incurred as orders for 7
vehicles were not placed until April 2010 with delivery
expected by October. It is anticipated that the
programme will be spent in full in 2010/11.
Accrual at end of 2009-10 underestimated final bill for
this scheme. Uncertainty at present as to how gap will
be funded.
Estimated
Estimated Explanatory Notes
Over or (Slippage) or
(Under) Accelerated
Spends Expenditure
Explanation of Variance
<-------------Capital Programme 2010/11------------->
Better Places To Work
CMF Contribution
RESOURCES
Local Committees Total
Local Capital Schemes
LOCAL COMMITTEES
100
100
Capital provision to match revenue
funding for health & safety
Disabled Access
41,943
-
(30,554)
(30,554)
13,050
125
125
-
26,737
158,089
-
-
-
GRAND TOTAL
41,943
(20)
(10)
(10)
-
13,687
158,089
1,922
150
115
100
250
35
661
611
496
VireGrant
Other
ments changes adjustments
including
additional
contributions
& Match
Funding
£000
£000
£000
FLOOD RECOVERY
TOTAL PROGRAMME
Resources total
2,925
125
Energy Conservation/Carbon Reduction School Buildings
Carbon Management Action Plan
100
500
2,000
1,008
496
£000
£000
1,008
Slipped /
adjusted
after
2009/10
Outturn
Estimate
2010/11 Per
Approved
Budget
February
2010
Energy Conservation
Page 121
0
150
66,405
2,895
13,687
196,215
63,510
182,528
1,049
2
205
4,952
0
0
200
500
100
537
1,161
135
410
295
295
£000
147,306
7,200
140,106
3,447
150
35
27
500
135
600
2,000
1,504
1,504
£000
Actual Estimated
Outturn
Spend 31
October
2010
2,601
1,504
1,504
£000
Revised
Budget
2010/11
APPENDIX 4
(1,348)
(1,348)
-
-
£000
(47,560)
(6,487)
(41,073)
(1,505)
(170)
(173)
(561)
(601)
-
£000
Revised budget includes additional funding granted
since February Council. The DfT recently paid £5.3m
relating to a claim for works undertaken in 2009/10,
2010/11 and future works relating to the Workington
Bridge. Slippage due to complexity and nature of
works.
Part of the Energy Conservation Project
As Above
Strategy for expenditure is being managed together
with the Better Places for Work Programme to ensure
that buildings to be retained are prioritised.
Scheme adusted to include Salix match funding of
£125k relating to 2010/11
Capita had difficulties in delivering commisioned work
in 2009/10 due to a shortage of mechanical engineers.
As Above
Strategy for expenditure is being managed together
with the Better Places for Work Programme to ensure
that buildings to be retained are prioritised.
Member approval of schemes well advanced. Expect
to spend full allocation by 31 march 2010.
Estimated
Estimated Explanatory Notes
Over or (Slippage) or
(Under) Accelerated
Spends Expenditure
Explanation of Variance
<-------------Capital Programme 2010/11------------->
This page is intentionally left blank
Page 122
Agenda Item 11
CABINET
Meeting date: 6th January 2011
From:
Deputy Leader and Corporate Director - Resources
DRAFT – BUDGET PLANNING UPDATE
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1
The purpose of this report is to present the economic and financial
context of the current budget planning framework and outline the draft
planning assumptions contained therein.
1.2
The report outlines the current budgetary position in light of the recent
draft Local Government draft settlement announcement on 13th
December 2010. The Council will be required to drive through revenue
savings totalling £48.5m during the planning period 2011-12 to 2014-15
of which £30.9 m is required in 2011/12. Capital reductions of £14.2m in
2011-12 are also required.
1.3
The Council is in the midst of a process of consultation on potential
grant reductions and £16.2m of savings options for 2011/12. As the draft
settlement was worse that the initial planning assumptions by
approximately £3 million, further options are currently being considered
by officers and Cabinet members to help bridge this gap. .
1.4
A number of factors such as inflation, council taxbase and potential
deficits or surpluses on collection fund will become clearer between now
and February and will need to be updated in budget in February.
1.5
The report also includes initial consultation results in respect of the draft
Council plan and budget consultation
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS – ECONOMIC AND
POLICTICAL CONTEXT TO THE 2011-12 STRATEGIC AND BUDGETARY
PLANNING SENARIOS
2.0
The County Council’s Budget is a key part of the policy framework for
the County Council and links directly with the Council Plan and
Directorate service plans. This year more than ever there has been a
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need for a clear focus on core services provision due to the financial
reductions predicated by the Comprehensive Spending Review. Priority
setting and the budget process has been fully integrated with service
planning to ensure we deliver a budget that is operationally and
financially viable. Cabinet Members and the Corporate Management
Team have led the strategic planning process to ensure that it has been
sequenced correctly with resources and delivery plans aligned to the
Council’s priorities and Council Plan.
2.1
Whilst working within a much reduced funding envelope the Council is
committed to delivering a budget that protects the core outcomes for the
people of Cumbria and thus the focus is on;
•
Challenging poverty in all its forms
•
Ensuring the most vulnerable people in our community receive the
support they need; and,
•
Improving the chances in life of the most disadvantaged in
Cumbria
2.2
As resources reduce it is essential that operational plans are based on
sound financial principles to ensure that they can facilitate the delivery
of the Council’s strategic priorities. This year the Council has sought
the views of the local communities and stakeholders to inform the
choices it has to make regarding which services it must seek to protect
and in which areas reductions would be most acceptable, if not
desirable.
2.3
The removal of the majority of ring fencing on grants will enable the
Council to choose more freely how it focuses the reduced resources on
providing the services that are most important to the people of Cumbria.
Value for money is a core principle and as such service areas have made
use of benchmarking data and reviewed alternative operating models to
ensure Cumbria is achieving the most it can from the resources used.
Thus the Council is seeking to ensure that service needs, resources and
priorities are being developed throughout the Council to ensure value for
money for the people of Cumbria.
2.4
Equality impact assessments have been undertaken for all proposals
included in the planning scenarios’ currently presented.
3.0
RECOMMENDATION
To note:
3.1
the provisional settlement and its implications for Cumbria and the
progress made to date in addressing the funding reduction;
3.2
the proposed strategic planning assumptions contained therein;
3.3
the current funding gap and the work identified to address this;
3.4
the consultation feedback to date
Page 124
4.0
BACKGROUND
General Political and Economic Background
4.1
This year, possibly more than any other year, financial planning has been
difficult predominantly due to the uncertain financial position. The election of
a new coalition Government in May, led to an emergency budget in June
which made in year reductions in funding. This was then followed by the
Comprehensive Spending Review in October which announced planned
reductions in Government funding to Local Authority budgets of 28% in real
terms over the next four years and the provisional settlement on the 13th
December.
4.2
The Government have made its overarching priority that of eliminating the
structural deficit by 2014/15. This has driven far reaching changes both in
terms of quantum and form into how Local Government is funded. Whilst the
announcements as to our main funding elements have just been made any
reductions that will arise as partner organisations seek to balance their
budgets will only become fully understood in the coming months. In the
background the global crisis continues, most recently with Ireland requiring
aid from the IMF to support its banks. This has continued to fuel concerns
that the assumed economic growth may not be as quick to materialise as
was hoped. As the CSR has only given a firm commitment to the funding
levels for the next two year of the settlement period this is of particular
concern and an issue in the ability to plan longer term.
General Economic and Political Context up to the Comprehensive Spending
Review
4.3
The 6th May 2010 saw the election of a coalition government facing what is
widely accepted as the worst global financial crisis since the war. This was
pre-empted by an unprecedented loss of faith in the banking sector, resulting
in the previous Government increasing national borrowing to support the
sector. The cost of this and large scale quantitative easing saw the national
debt, which had been steadily rising due to the expansion of the public sector,
escalate to levels that all accepted were unsustainable. The financial markets
added pressure on the incoming Government to set out plans that showed it
was serious in its intention to tackle this deficit and that it was going to do it
both forcefully and quickly.
4.4
The Government established a new fiscal policy framework, “to achieve
cyclically adjusted current balance by the end of the rolling, five year forecast
period” (i.e. they will remove the structural deficit over the course of the current
Parliament). The Chancellor of the Exchequer stated that “We have, at £109
billion pounds, the largest structural budget deficit in Europe.”
4.5
The Government announced an Emergency Budget, published in June 2010.
This initial round of in year cuts led to reductions nationally of £6.2 bn
nationally and Cumbria CC budget reductions amounting to £3.6m revenue
and £4.3m capital. It also signalled the demise of many government quangos
Page 125
including the NWDA and the Audit Commission highlighting the Governments
drive to reduce the quantum of the State.
Comprehensive Spending Review in General
4.6
In the Comprehensive Spending Review(CSR) in October Departmental
Programme and Administration Budgets were to be reduced by 8.3% over the
four year Spending Review period. However, this headline rate masked
significant differences at an individual departmental level. NHS (Health),
Schools and International Development were relatively ‘protected’, following
various statements made by the Government in the run-up to the General
Election in May 2010. The biggest ‘losers’ were: Communities and Local
Government (-51%, although -33% when grants to local government are
included); Environment, Food and Rural Affairs.
4.7
Departmental capital budgets will be reduced by 29% over the spending
review period. Again, Communities and Local Government looked to be the
biggest ‘losers’, facing a 74% reduction; although the Education capital budget
is also reduced by 60% (which takes into account the abolition of the Building
Schools for the Future (BSF) programme). Later announcements did suggest
“additional” funding in this Education area.
4.8
The Chancellor of the Exchequer stated that he was proposing three principles
to apply to the choices made in the Spending Review 2010:
1) Reform: “that in every area where we make savings, we must leave no
stone unturned in our search for waste and we must deliver changes
necessary to make our public services fit for the modern age.”
2) Fairness: “that we are all in this together and all must make a
contribution.”
3) Growth: “that when money is short we should ruthlessly prioritise those
areas of public spending which are most likely to support economic
growth, including investments in our transport and green energy
infrastructure, our science base and the skills and education of citizens”
4.9
The headline figure for local government proposed an average reduction in
formula grant funding of 7.1% per annum in real terms over the four years of
the Spending Review. This equates to an overall reduction in budget typically
of 14% after allowing for funding from Council Tax.
4.10 Of note is that: the funding reduction is front-loaded into the first two years;
the formula grant figure included £3.4bn of specific grants that the
Government announced have rolled into the general funding system from
2011-12; that by 2014/15 formula grant also includes £1bn described as new
funding for personal social care; and that it also included general funding for
police and fire authorities. This last point is important because the spending
review announced relatively smaller reductions in support for police and fire
authorities, leaving a greater portion of the reduction to fall on local
government generally.
4.11
Each local authority’s own budget reduction is dependent upon:
• Their reliance on council tax (i.e. what proportion of the net revenue budget
is financed by Formula Grant), with authorities with larger than average
taxbases seeing less of a reduction in overall funding;
Page 126
• The tier of authority and how effectively funds for particular functions are
channelled to the relevant tier; and
• The outcome of the Formula Grant Distribution (FGD) consultation.
The CSR also set out a number of key departments amendments that affect
Local Government – see appendix A for detail.
Economic Prospects
4.12 The OBR has recently announced that it believes the economy will continue to
recover from the recession but at a slower pace than previous recessions of
the 1970’s,1980’s & 1990’s. Over the medium term they expect growth to
accelerate to 2.6% in 2012 and 2.9% in 2013, before slowing to 2.7% in 2014
and 2015 as the working population grows less quickly.
4.13 They expect government employment to fall by 330,000 over the next four
years. They also indicate that the Governments plans to freeze real total public
spending in 2015-16 imply a further 80,000 fall in employment in that year.
They are predicting CPI will fall from 3.2% to 1.9% in 2012 as the short term
effects of the increase in VAT etc dissipate and thereafter will stabilise at the
Bank of England’s target rate of 2% from 2013.
Inflation Prospects (Bank of England)
4.14 Inflation as measured by the Consumer Prices Index (CPI) was 3.2% in
October, well above government’s 2% target. The Bank of England November
inflation forecast predicted it may pick up further in the short term and remain
above target throughout 2011 before returning to target during 2012. This
reflects in part the pending increase in VAT to 20%, which does not impact
directly on the Council’s costs. However, many of the Council’s large
commercial contracts are lined to RPI(X), which typically is higher than CPI
and at September was 4.6%.
4.15 Pressures on employee costs are likely to be low. Employer’s National
Insurance contribution rates will increase from April 2011 but this is partially
offset by an increase in the threshold for payments.
Demographic Pressures
4.16 Cumbria has a significantly ageing population, with one in three people
expected to be of retirement age by 2028. By 2012/13 it is envisaged there will
be an additional 400 people aged over 85 living in the county. Around half of
these people will receive some social care from the local authority. The budget
projections include an additional £524,000 in each of 2011/12 and 2012/13 to
help look after the increasing number of older people.
4.17 For a range of reasons – including medical advances there are now a higher
than average number of vulnerable younger adults with a physical and
learning disability reaching the age of 18. The budget projections include an
extra £75,000 from 2011/12 to help meet physical disability needs and
£343,000 in each of 2011/12 and 2012/13 to help look after the increasing
number of younger adults with learning disabilities
Page 127
4.18 Nationally, more people with a learning disability are both living through their
childhood into adulthood and into old age, despite needing complex care and
support. The budget projection includes an additional 520,000 in each of
2011/12 and 2012/13.
Council Tax
4.19 The MTFP reported to Council in February assumed a 2% increase in Council
Tax in 2011/12 and 2012/13. This is less than the equivalent of a 2.5%
increase funded by the Council Tax Grant freeze grant for next year. Planning
therefore assumes Council Tax will be frozen in 2011/12 at £1,161.50 and will
increase by 2% per year in 2012/13 onwards as in the existing MTFP.
4.20 Planning totals assume no increase on the current taxbase of 176,422.85
Band D equivalents. If the notified taxbase is higher than the planning
assumption additional Council Tax and Council Tax Freeze Grant will be
raised on the increase in taxbase. No surplus or deficit is assumed from
District Council collection funds at this stage. Balances will be confirmed
during January.
4.21 Based on this, each 1% increase in Council Tax raises £2.049m. District
Councils will provide final taxbase figures by mid-January.
Reserves
4.22 The Local Government Finance Act 2003 places a duty on the Council to
reinforce sound financial management and in this respect the Chief Finance
Officer is required to provide a statement on the robustness of the budget and
the adequacy of the reserves. Given the potential for Councils to reduce
reserves to balance budgets especially in times of such stringent financial
need, governance of such matters takes on increased significance. The Act
also provides potential intervention powers if the Government believes
balances are at too low a level. In finalising the budget over the next two
months an assessment of the robustness of the budget will be developed with
a full report included as part of the Medium Term Financial Plan.
4.23 In February 2009, and refreshed in February 2010, the Council agreed a
strategy to increase the reserves over a three to five year period to a level of
about £14 million. Progress has been made in implementing the strategy with
general reserves standing at £10m at March 2010. Without adequate reserves
the Council remains vulnerable to costs such as those of the recent flooding,
potential budget variations such as additional gritting and the risks associated
with the implementation of its improvement programmes.
Local Authority Pensions
4.24 Local Government Pensions Scheme (LGPS) is also undergoing
transformation at this time with public pressure being placed on what is seen
as the unaffordable burden currently accruing on the public purse of public
sector pension schemes generally. Not all Government Pension schemes are
the same, the LGPS is the only funded scheme.
Page 128
4.25 The recent triennial actuarial valuation results showed that the Cumbria
scheme is 79% funded with the intention of the deficit being cleared in the next
22 years. Annual pensions to Local Government employees average between
£3,500 and £4,500 per annum (dependent upon gender). Lord Hutton is
undertaking a review at the current time, many options are being discussed
most of which look to in some way to either reduce benefits, increase
employee contributions or transfer some of the future funding risk from the tax
payer to the employee member. The Hutton report is due to be published in
March this year.
4.26 The valuation that forms the basis of the ongoing employer contribution rates
for the following three years has just been concluded. Due mainly to the move
from RPI to CPI (as an uplift factor for future pensions) plus other
demographic and investment performance changes the expected required
increase has been held to a minimum. This would give a pension contribution
rate of 19.0%
4.27 There is an opportunity because of the beneficial effect of the valuation to
establish an amount in the fund to meet the capitalised value of the pension
costs arising from redundancies. This has the impact of increasing the
contribution rate. Approximately 1% contribution rate would provide for in the
region of £32m of capitalised costs. At this stage of the budget process the
value of early retirements in unclear, and for planning purposes an increase of
1% in overall pension contributions has been allowed.
4.28 Additionally consideration has been given to move to split the contributions
between past and future service. The current employer contribution rate is
effectively an amalgam of past service deficit recovery and future service
contribution. As the past service deficit is a fixed sum, that increases annually
based upon CPI, to calculate its recovery by charging a percentage of pay
means that in times of reducing staff numbers, full recovery is never achieved.
Therefore as part of the budget it is proposed to change to a cash lump sum
recovery amount for the past service deficit recovery and percentage
contribution rate for ongoing liabilities.
Interest rate outlook
4.29
The Bank of England Bank Rate is used in financial planning as an indicator of the interest that
can be earned on the Council’s cash balances that exist due to beneficial cash flow or the
holding of cash backed balances. The Base Rate has been unchanged at 0.50% since March
2009. Bank Rate is forecast to commence rising in quarter 3 of 2011 and then to rise steadily
from thereon.
4.30
There is downside risk to these forecasts if recovery from the recession proves to be weaker
and slower than currently expected.
Page 129
4.31
The Public Works Loans Board(PWLB) represents the main source from which the Council
borrows money, largely to finance capital projects, it is therefore used in financial planning to
estimate borrowing costs.
Page 130
4.32
The current forecasts for the bank Base Rate and PWLB new borrowing rate are as follows: -
Dec-10
Mar-11
Mar-12
Mar-13
Mar-14
0.5%
0.5%
1.00%
2.25%
3.25%
PWLB
3.00%
3.00%
3.50%
4.40%
5.00%
25year PWLB
5.00%
5.10%
5.40%
5.50%
5.70%
Bank Rate
5year
Rate
rate
Planning Assumptions
4.33 Taking all the attached into consideration the following main planning
assumptions have been incorporated into the preliminary budget planning are
as follows.
Main Planning Assumptions
%
Increase
2011/12
%
Increase
2012/13
%
Increase
2013/14
%
Increase
2014/15
Pay
National Insurance (net rate)
Pensions (rate)
Baxter Indices
0.0
0.4
1.0
1.7 to 4.4
1.0
0.0
0.0
3.0
2.0
0.0
0.0
3.0
2.0
0.0
0.0
3.0
Other supplies and services
CPI
RPI
Income
Council Tax
0.0
3.3
4.6
3.0
0.0
0.0
3.1
4.2
2.0
2.0
2.0
1.8
3.0
2.0
2.0
2.0
1.9
2.5
2.0
2.0
4.34 These assumptions will be reviewed as the budget process progresses.
Outcome of the Provisional Local Government Settlement for Cumbria
4.35 Up to the time of the settlement planning assumed that funding for Cumbria
tracks the trends in the national planning totals. Projected funding on this basis
is shown in appendix B, on this basis the net reduction in revenue grant
support after Council Tax Protection Grant is £43m by 2014-15, £33m of this is
from existing formula grant and other grants to be rolled therein. In addition
specific grants totalling £15m are assumed to cease altogether. The figures
post the provisional settlement show that our planning assumptions in total
were very close to the final outcome however there was some movement
within the overall total. The settlement only released figures for the next two
years, during this time there is to be a fundamental review of the allocation
formula (the late arrival of this years settlement figures possibly indicating how
unstable the allocation basis now is with all the additional pressure from the
merging of all the funding streams).
Page 131
4.36 In practice the existing formula grant model is poor at targeting resources to
the relevant authorities and is currently being reviewed. Consequently it was
extremely difficult to predict allocations for individual authorities with any
certainty; in particular it was unclear how funding for personal social care
would be channelled to authorities with those responsibilities.
4.37 The incorporation of the specific grants into formula grant per appendix C
makes it almost impossible with any clarity to establish what was included in
the national Formula Grant totals in versus what has been notified for the
County Council. The nature of formula grant i.e. that it is available for funding
with no specific conditions attached, means that the final allocation within the
County is at local discretion.
4.38 The provisional settlement for 2011/12 and 2012/13 was announced on 13th
December. This gives draft allocations for individual local authorities following
the Comprehensive Spending Review in October. Government also
announced allocations for the other core local government grants; Early
Intervention and Learning Disabilities. However, to date there are still some
announcements awaited on specific areas such as Youth Offending, DEFRA,
Fire (for planning purposes at this time where no specific announcement has
been received these grants have been assumed to cease) Additionally items
such as the NHS funding for joint working which equates to £6.9m for Cumbria
are not clear and so a cautionary approach has been taken to how much
funding this may additionally yield for County Council services.
4.39 In total formula grant for Cumbria County Council for 2011/12 is £21.7m less
than equivalent funds for 2010/11, there is approximately £3.7m reduction in
grants rolled into Early Intervention and £11m of other specific grants are
assumed to cease (this includes assumed losses of adult education and youth
offending) see appendix E. However, there is an additional £0.4m from
Learning Disability. In addition should Council Tax at a level equivalent to
2.5%, the County will receive Council Tax Protection Grant of £5.1m for
2011/12 only. This equates to a total loss of funding in 2011/2 of £30.9m For
2012/13 there is an additional reduction in funding of £9m.
Due to the settlement figures being confirmed for only for the first two years
two years, planning into the third year have been based upon the information
provided in the CSR in October. Thus for the four years of the planning cycle
the total funding loss is £48.5m.
4.40 Provisional allocations are set out in the Appendix B. Overall formula and
other grants (including early intervention grant) for Cumbria County Council
next year are £2.9m less than previously assumed for planning purposes.
4.41 Planning to date had assumed that funding for Cumbria would track the
national spending totals announced in the Spending Review. There are
several reasons why figures in the draft settlement differ:
•
£3.4 billion of funding previously paid as separate grants has been
rolled into formula grant. These were distributed using different
formulae. The formula grant calculation does not enable us to see how
much Cumbria has had back for some of these. But putting this money
into a formula that spreads that funding across all authorities means
that the distribution of these funds has changed.
Page 132
•
•
•
•
•
In 2011/12 four damping floors, instead of one, will operate for uppertier authorities (Education/PSS) to protect local authorities which are
most dependent on Formula Grant.
Separate from the spending review the grant formula has been
reviewed and the data used in it has been updated.
From 1st April the County Council will be responsible for administration
of the concessionary fares scheme in Cumbria. Government has
transferred funding previously paid to District Councils to County
Councils and distributed it all as Formula Grant. It appears that
approximately £7.2m has been incorporated into the 2011-12 baseline.
This compares to a spend across Cumbria of £8.4m in 2010-11.
The Formula Grant funding has been top-sliced for academies. This is
not based upon the number of academies in a particular area, and the
impact on the County Council is a reduction in funding of £1.6m in
2011-12 and a further £1.3m in 2012-13.
The grant formula includes a ‘floor’. This is a limit on the percentage
reduction in any authority’s grant in a year. It protects authorities that
would have an even bigger loss if the ‘raw’ grant calculation were not
adjusted. But the cost of this protection is found by scaling back the
grant paid to other authorities. Cumbria is contributing £13.2m to
damping for Authorities that would otherwise loose. In addition there is
a transitional grant for those Authorities with losses in excess of 8.9%
two Cumbria Authorities Copeland and Barrow are in receipt of
transition grant in 2011-12.
4.42 Government has also announced that there will be allocations for three other
core grants that are targeted for specific services.
•
•
•
Early Intervention This grant is targeted for activities to support children
‘at risk’. We estimated £22.0m of existing grants have rolled into Early
Intervention Grant. The grant for 2011-12 is £18.3m. It has been
confirmed that Connexions has rolled into early Intervention Grant.
Adult Education Currently CCC funds £2m but no announcements were
made in the settlement in respect of this area, and are expected in
January.
Learning Disabilities Funding previously paid from Primary Care Trusts
as a contribution to pooled funds will now be paid direct to local
authorities. CCC share of £15.7m compares to £16.1m, although this
latter figure includes additional responsibilities.
4.43 There has also been an additional £6.95m (£6.677m 2012/13) of funding
announced for the NHS. This is targeted funding for joint initiatives with the
County in regards to social care and health benefits. It is unclear at the
present how much of this will represent “new” money for the County, or how
much of this will transfer to the County as additional funding. Discussions are
currently on going to establish the allocation of these additional monies with
the NHS. Until this has been resolved the planning assumption is that these
resources would be additional if confirmed.
4.44 In planning terms where grants have ceased, it has been assumed as a
starting point that the function funded by those grants will also cease.
Corporate Directors are reviewing individual areas, to identify those that are
supporting priority areas in the Council Plan, and if necessary proposals to
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continue some areas will be brought forward as part of the proposed budget in
February.
4.45 All the allocations received to date are provisional. Allocations will be
confirmed in January following a period of consultation. Whilst the spending
review sets overall totals for the next four year this settlement covers the next
two years only.
4.46 The settlement also included an announcement that the Government plans to
launch a more fundamental Local Government Resource Review in the New
Year. Detailed arrangements in later years are dependent on the outcome of
that review.
Existing Medium Term Plan and Budget Risks
4.47
The existing medium term financial plan includes a number of significant budget savings, it has
been assumed that these can be delivered as planned
4.48 These include Better for Transport, new service arrangements following
contract conclusion, Better Places for Work, Carbon Shift etc. . To achieve a
balanced budget these will need to be implemented effectively and close
monitoring will be required.
4.49 Additionally the shear volume of change that is on going within the Council at
the current time poses a financial risk, e.g. financial and organisational
restructuring to take account of the new funding allocations, single status,
organisational restructuring post the cuts, cessation of the previously
outsourced services etc.
Current Budgetary Planning Status and Future Planned Activities
4.50 The Council has been proactively planning for reduced funding levels for the
last 18 months and had already identified £25.7m of savings in the MTFP for
the planning period to 2014-15.
4.51 When the full impact of the reduction in funding became apparent the Council
started a budget and service planning appraisal process to identify further
savings to bridge the anticipated additional funding reductions. To date
additional savings of £23.6m for the planning period to 2014-15 are currently
being considered. At present this leaves a funding gap of £13.3m for the
period to 2011-12 (£32.6m to 2014-15). Currently officers and Cabinet
members are working through further options to try and bridge this gap. A
summary is shown in Appendix D of the current budgetary position.
4.52 Guidance at this time would be to note the progress made to date, which has
focussed on understanding the reduced level of grant funding and the service
consequences of such losses; a refocus of attention on understanding and
delivering core essential services whilst prioritising resources to the most
vulnerable in our communities; note the progress that has been made to
bridging the gap through the new savings proposals that have been identified
and note the further on going work to bridge the remaining gap.
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Wider Implications for Cumbria
4.53 All Government funded services are facing similar cuts and some of the
Cumbrian Districts have fared particularly badly through this settlement. Due
to the level of joint initiatives that are delivered across the County talks are
currently on going to asses both the impact of our proposed cuts and service
changes on them and vice versa. Similar discussions are also on going with
the voluntary sector.
5.0
CAPITAL PROGRAMME
5.1
The capital programme has previously been funded from three main sources:
•
Capital Grants
•
Borrowing, both notional supported(ie where the Formula Grant Funds some of the revenue
repayment and interest costs) and prudential borrowing
•
Other capital funding including capital receipts and direct revenue funding
Capital Grants
5.2
These are issued by Government departments and agencies to fund capital investment. Many of
these require local authorities to make a financial commitment to the running costs of the
schemes.
5.3
A significant proportion of the Council’s Capital Programme is supported by capital grants, and
specifically Children’s Services where nearly all the programme is supported in this way, and
highways, where approximately a third has been supported by grants in the past.
Borrowing
5.4
Like household borrowing, if the council borrows there is a long term revenue commitment to
repay that borrowing and meet the interest costs.
Notional Supported Borrowing
5.5
Historically the Government has given allocations to local authorities that
indicate the amount that could be borrowed, at one time the costs of this
borrowing have been met by support through Formula Grant and its
predecessors for the debt repayment and interest costs, although this has
been eroded over time to a situation where only about a third of the costs were
being met. The Treasury have confirmed in the Local Government settlement
that there will be no supported borrowing after 2010/11 and capital
announcments in the settlement will be allocated via capital grant.
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Prudential Borrowing
5.6
Under the Prudential system the Council has the ability to borrow in excess of the amount being
‘supported’ by Government to fund further capital investment. However, such borrowing must be
affordable, sustainable and prudent. The Council must meet the whole of the capital financing
costs associated with this level of extra borrowing (referred to as Prudential Borrowing) via either
compensating savings or by an increase in the level of Council Tax. A fundamental principle
when determining affordability of capital spending is that all borrowing undertaken by the Council
is secured on its future revenue income.
Estimates of levels of borrowing
5.7
The current prudential indicators show that borrowing as a percentage of the Council’s budget
will be about 8.5% and are expected to rise to over 10% in 2012/13. This is based upon the
current capital programme, and increases in the budget projected before the CSR. The higher
the level of borrowing repayments costs, the smaller the amount that is left of the Council’s
budget to deliver day to day services. Should budgets remain static, the Council should be
targeting new borrowing at levels that are close to the level of debt that are being repaid every
year. Whilst analysis is still ongoing, based upon a 0% council tax rise next year, and 2% in
subsequent years, and taking into account existing commitments it is estimated this would give
borrowing levels of about £17m per year. Clearly as budgets decrease, the level of borrowing will
also need to decrease, otherwise it will increase as a proportion of the Council’s overall
spending.
Capital Receipts
5.8
These arise from the sale of assets such as surplus land. The current market conditions for
capital receipts remain difficult and, where capital receipts are not generated as planned,
additional borrowing would be required or reductions in the Capital Plan may need to be
considered. Excluding elderly person’s homes(below) the estimate of future capital receipts is
approximately £1.3m per year, although this is dependant upon assets being freed up for sale.
5.9
Certain capital receipts are restricted e.g. the sales of playing fields associated with school sites
where the Council receives the first £300,000, but receipts above this level are shared 50:50
with the DfE.
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5.10
In addition it is the Council’s current policy that receipts from the sale of elderly person’s homes
is used to support reinvestment in these homes. In 2010/11 it is assumed that at least £900k in
receipts will support the development of the new Barrow home. This policy limits the potential
investment in other Council areas.
5.11
Another source of funding potentially available to support the capital programme is the annual
receipt of £340k from the Amey partnership, to March 2012.
Revenue Funding/Balances
5.12
It is open to Members to use revenue funds to support the capital programme. Clearly any
revenue contributions need to be considered alongside other revenue budget issues. In 2010/11
a contribution of £323k from balances for non PfS schools support costs for the Richard Rose
Central Academy was agreed. In addition the £3m identified for highways post flooding works
from the equal pay contribution has been used as a revenue contribution to capital. Given the
current level of revenue balances it is not recommended that any further contributions be used to
support the capital programme.
Planning Assumptions prior to the Settlement for Capital Resources in 2011/12 and beyond
5.13
As previously mentioned nationally capital expenditure had been identified as an area that was
to be reduced. The previous government’s red book set out reductions of 50%. The CSR had
not significantly changed these plans, these have been moderated to 45% through the
agreement of some significant capital schemes that had previously been placed on hold.
5.14
The indications were that the impact of the capital reductions would be largely felt in Education
with figures of 60% to 70% being quoted.
5.15
The CSR also announced an increase in the levels of interest rates that would be available for
loans from the public works loans board. This has effectively increased the borrowing costs for
all new loans by approximately 1%.
5.16
Formulating the capital programme centres on four main issues:
•
Availability of resources to fund the programme:
•
The capital implications of savings and growth proposals arising from the draft revenue
budget
Page 138
•
Review of any new proposals for capital resources and the scope to deliver these within
existing resources or otherwise.
5.17
Directorates have been asked to review their capital programme commitments should funding
cease or be significantly reduced:
Service by Service Commentary
Children’s Services
5.18
There are a number of capital schemes that are already committed and hence there is limited
flexibility for change in these areas:
5.19
These are:
•
Trinity and Caldew: funded by grants and borrowing
•
Walney and St Bernards: funded by grants and borrowing
•
Academies: funded by grants, and non-PfS costs funded by borrowing
•
Primary Capital: funded by grants, but not confirmed beyond 2010/11
5.20 The following areas fall with the removal of BSF:
5.21
5.22
•
BSF Preparation/Feasibility
•
BSF
The areas that therefore were open for review are:
•
Primary Capital: beyond 2010/11
•
Schools access initiative
•
Strategic SEN
•
Inclusive Education
•
Health and Safety
•
Capital Programme Support costs(total £450k, and programme dependant)
The capital programme includes Formula Capital that is passported to schools.
Page 139
Environment
5.23
The majority of the transport programme relates to the integrated transport plan. This was
historically funded approximately a third from grant and two thirds from ‘supported’ borrowing.
5.24
All areas of this programme are being reviewed, and this has included consultation with the local
committee chairmen and vice chairman.
5.25
The reclamation programme is funded from grants and the only items in the programme are
linked to residual funding for already agreed schemes the future programme is being developed
on the basis that where funding exists the project will be included in the capital programme.
5.26
The Port of Workington plan is already committed and hence there is limited flexibility for
change.
Adult Services
5.27
The majority of the programme relates to the Barrow EPH which is funded from borrowing and
capital receipts.
5.28
CDSP adaptations is met approximately 50% by grant and 50% by borrowing/capital receipts.
The Director has indicated that it is not possible to reduce this programme, and if the grant were
reduced this would need to be met from other funding.
Chief Executive
5.29
The entire programme is met from borrowing/capital receipts.
5.30
All areas of this programme are being reviewed.
Organisation Development
5.31
The entire programme is met from borrowing/capital receipts.
5.32
All areas of this programme are being reviewed, particularly the element related to ICT, where it
would be beneficial for some or all of this work to be funded as revenue.
Safer and Stronger
Page 140
5.34
The entire programme is met by borrowing.
5.35
The programme relates to the replacement of fire and rescue vehicles that are already owned by
the County. There is limited scope for review.
Local Committees – Local Capital Schemes
5.36
The entire programme is met from borrowing. 2011/12 is the last year of the 3 year programme.
5.37
This programme has been particularly difficult as many of Members aspirations form a mixture of
small schemes, and the use of capital does not allow for some of the works.
5.38
All areas of this programme require review, if it were to continue in 2011/12 consideration should
be given to meeting this within the revenue budget, as this would give greater flexibility.
Resources
5.39
The entire programme is met from borrowing/capital receipts.
5.40
All areas of this programme require review. There continue to be significant pressures on
enhancing and maintaining the Council’s buildings.
Local Government Settlement Capital Announcements
5.41 The capital settlement announced on 13th December 2010 removed
supported borrowing as a source of finance for capital expenditure, together
with the support for borrowing costs within formula grant. An element of
supported borrowing has been replaced by grant. All remaining future
borrowing will be entirely prudential placing the onus firmly on individual local
authorities to demonstrate the affordability and sustainability of this source of
financing for the whole life of the capital programme.
In high level terms the capital settlement provides the following allocations of
grant by service block:
Children’s Services
Highways &
Transportation
Department of Health
Total
Single Capital
Block Allocation
2010-11
Capital Grant
2011-12
Capital Grant
2012-13
£’000
£’000
£’000
30,267
26,732
15,309
26,894
tba
25,931
656
57,655
1,329
43,532
1359
27,290
1 figures are after in year reduction
Page 141
5.42 The settlement has largely maintained central government support for highways
infrastructure but has decreased support for Children’s services by some
£14.958m, a reduction of 50%. Central government support for the fire service
via fire service investment grant has been withdrawn, although a national total
of £70m has been announced for 2011/12 and 2012/13 from which we expect
to receive an allocation although at this point the value is still unconfirmed.
5.43 A more detailed analysis of central government support (both via grant and
supported borrowing) is set out below together with detail of the capital grant
settlement for 2011/12:
Children’s
Basic Needs
Maintenance
Devolved Formula
Primary Capital
Schools Access
Ext Schools
Harnessing Technology
Youth Capital
Targeted Capital
Environment
Integrated Transport
Borrowing Maintenance.
Bridge Maintenance.
Safety
De-trunked Roads
5.44
Final
2010-11
£’000
2011-12
£’000
VARIANCE
1,855
6,935
3,867
9,877
2,012
2,942
5,331
7,372
918
219
1,520
117
6,000
30,267
1,565
(3,766)
(7,372)
(918)
(219)
(1,520)
(117)
(6,000)
(14,958)
3,885
22,077
260
0
510
26,732
15,309
2,581
24,313
26,894
(1,304)
2,236
(260)
0
(510)
162
As can be seen in relation to Children’s Services the focus is on basic need
and maintenance, and a number of other areas have been significantly
reduced; formula capital to schools has been reduced by 64%. Also of
particular relevance is that there is no confirmation of future funding in respect
of primary capital beyond 2010-11. Allocations for Children Services have only
been made for one year, this is to allow time for a fundamental review of
Capital expenditure in this area to be undertaken.
5.45 This leaves the Council with the need to reduce the Children’s services capital
programme to the new level of funding and reprioritising based on what is
currently committed and / or need. Alternatively the council could fund some of
the shortfall through additional prudential borrowing; however this option would
need to be very carefully considered alongside the prudential borrowing limits.
5.46 Corporate Directors are working with Cabinet to formulate proposals for the
Capital Programme within the new level of resources available and proposals
will be brought to Cabinet in February.
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6.0
THE SCHOOLS FUNDING SETTLEMENT 2011-12
6.1
On 13 December 2010, the DfE announced details of the school funding
settlement for 2011-12. This included the details of local authority Schools
Grant (formerly Dedicated Schools Grant plus Standards Fund ) allocations
and the level of the pupil premium. The DfE has also published the outcome of
the consultation School Funding 2011-12: Introducing a Pupil Premium.
6.2
Key Points
• These are the first steps towards the aims set out in the White Paper - The
Importance of Teaching - of having a simpler and more transparent funding
for schools, eventually leading to a national funding formula.
• The settlement has mainstreamed all the separate grants that LAs used to
receive in respect of schools into the Schools Grant therefore simplifying
the funding streams, but, at this stage, this has not led to a redistribution of
resources between LAs; this will happen after the next review, which is due
in April 2012.
• The settlement is ‘flat cash’ i.e. the same level of funding as in 2010-11,
which effectively means a reduction in funding for schools after taking
inflation into account and, for the first time, the Minimum Funding
Guarantee ie the overall budget charge excluding pupil premium has been
set as a negative figure. The consequence is that some schools will receive
less funding and not just due to a loss of pupils.
Schools Grant 2011-12
6.3
The main points of the 2011-12 settlement are:
• The ‘spend plus’ methodology will continue in 2011-12 and the Schools
Grant will continue to be a ring fenced grant in 2011-12;
• Funding for the extension of early years entitlement to 15 hours for 3 and 4
year old was previously funded through a Standards Fund; it is now
included in the overall Schools Grant.
• The dual subsidiary pupils in Pupil Referral Units (PRUs) will not be
included in the pupil count
• The Minimum Funding Guarantee (MFG) is set at minus 1.5%, so no school
can lose more than 1.5% per pupil;
• A cash floor for LAs has been set at minus 2% in 2011-12;
• The recoupment methodology will continue for adjusting Schools Grant
allocations and will apply to all academies with predecessors that have
opened/converted since 2008-09;
• The Exceptional Circumstances Grant, which was used to reduce
turbulence for a number of LAs who experienced exceptional pupil growth,
will not continue in 2011-12.
6.4
The process for agreeing the formula that determines the individual Schools Budget is through
the School Forum which this year meets on 17th January 2011.
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7.0
CONSULTATION PROCESS & EARLY FEEDBACK
7.1
Due to the major service changes required to deliver a balanced budget
consultation on the Council’s budget proposals has been core to this years
process. Consultation was launched on 22nd November 2010, with publication
of a consultation paper “Have Your Say”, together with a full set of growth and
savings options. During November Tripartite Scrutiny Panels and Scrutiny
Management Board had an opportunity to comment on the budget proposals.
In addition the Council arranged a series of meetings and briefings for Trades
Unions, the Third Sector, Schools Forum and the business community.
Directorates are discussing individual proposals with affected interest groups.
Initial feedback from consultation is reported below and full analysis of
consultation will be reported to Cabinet in February to inform final
consideration of the recommended budget.
7.2
The council launched its public consultation on priorities and budget options on 22 November.
The main mechanism we are using to gather feedback is a bespoke consultation website where
people can discuss the options, complete a questionnaire and ask questions. This has been
supported by a hardcopy consultation document that has been distributed around libraries,
children's centres, Local Links etc for people to pick up; it is also available on request. In total
we have distributed just under 9000 hardcopy documents. We have also ensured that people
can use computers in libraries for free if they want to respond to the consultation online but do
not have their own equipment.
7.3
So far the consultation website has been visited by 1579 different people; this is roughly a
50/50 mix of council employees and members of the general public. Of them, 192 have chosen
to register on the site so that they can read and contribute to the discussions. There have been
42 comments from people on the discussion forums. 119 people have completed the online
questionnaire. Only a handful of hardcopy responses have been received so far but these have
only been available since 29 November and we fully expect this number to increase significantly.
Early results
7.4
An initial review of the headlines from the online questionnaire (119 responses) shows that
reducing waste prevention activities, reviewing day services for older people and implementing
on-street parking charges are the least popular proposals.
% supporting the
New savings proposal
proposal
Review registration services
64
Page 144
Remove funding for community use of swimming pools
57
Review social care transport payment arrangements
54
Reduce countryside access services to statutory minimum
52
Reduce staffing levels at stations with one pump and Landrover stations to one pump
station levels.
50
Reduction in grant giving
47
Review Supporting People contracts
47
Remove recycling credits payments
46
Review operation of household waste recycling centres
46
Low Level Activity Response model arrangements
44
Review contracting arrangements for domiciliary care
44
Review library and archive services
44
Reduce waste prevention activities
42
Review day services for older people
41
Implement charging for on-street parking
34
7.5
A wide range of comments have been including suggestions for alternative ways to save money
and appeals for certain functions. There have also been many people asking for further
information about specific proposals to give them a better understanding.
8.0
OPTIONS
Cabinet may note or comment on the recommendations
9.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
9.1
Resource and value for money implications have been set out throughout the
report and appendices.
10.0
LEGAL IMPLICATIONS
10.1
The key statute for the budget making process is the Local Government
Finance Act 1992. Section 32 imposes a duty on a local authority to calculate
its budget requirement for each financial year.
10.2
Part 2 of the Local Government Act 2003 adds a series of duties and powers
to give statutory support to important aspects of financial good practice. This
includes the provisions in respect of the requirement for the Chief Finance
Officer to report on the robustness of the estimates, including the adequacy of
the reserves.
10.3
Cabinet is required to agree a budget proposal to recommend to County
Council.
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10.4
County Council is required to agree the budget by the statutory deadline of 28
February 2011.
10.5
The Council is required to consult on its draft council plan and budget.
11.0
CONCLUSION
11.1 This has probably been the most difficult financial planning year in recent
history, predominantly due to the level of savings that the Council will be
required to find but also due to the uncertainty; the volume of change in how
funding is allocated with the move from over 90 specific grants to no more
than 9, the arrival of the provisional settlement figures on 13th December, and
the announcements that are still outstanding.
11.2 However, the initial financial planning assumptions that were formulated post
the CSR in October proved to be relatively accurate and thus the process of
identifying the savings required to address the budget gap is well progressed.
Currently there is additional work in train to identify how to address the
remaining funding shortfall. However, note must be taken of the fact that the
figures presented in December were only provisional and the final allocation
may change. Announcements on some funding streams are still outstanding
and that Council Tax surpluses and taxbase will only be finalised in January.
Diane Wood
Corporate Director Resources
Kate McLaughlin-Flynn
Chief Finance Officer
Fiona Miller
Senior Manager – Technical Finance.
APPENDICES
Appendix A - Departmental settlement detail
Annex to Appendix A – National Core Grants
Appendix B - Grant Forecast 2011/12 to 2014/15
Appendix C Grants Transferred Nationally to Formula Grant
Appendix D Budget Position Summary
Appendix E Grants Position
IMPLICATIONS
Staffing:
Financial:
Electoral Division(s):
None
As set out throughout the covering report and the
Appendices.
All
Executive Decision
No
Key Decision
No
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If a Key Decision, is the proposal published in the current Forward Plan?
N/A
Is the decision exempt from call-in on grounds of urgency?
N/A
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
N/A
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
No*
Has an environmental or sustainability impact assessment been
undertaken?
N/A*
Has an equality impact assessment been undertaken?
N/A*
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Head of Member Services has obtained the
necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
Cabinet 11/11/10: Outline Council Plan and Budget Process
County Council 18/11/10: Strategic Planning - Outline Council Plan and Budget
Process
Cabinet 16/12/10:Draft Budget and Council Plan
CONSIDERATION BY OVERVIEW AND SCRUTINY
Not considered by Overview and Scrutiny.
BACKGROUND PAPERS
Comprehensive Spending Review
Local Government Grant Settlement and subsequent announcements
RESPONSIBLE CABINET MEMBER
Stewart Young, Deputy Leader of the Council
REPORT AUTHORS
Contacts: Diane Wood, Corporate Director – Resources, Tel: 01228 226260
Email: [email protected]
Kate McLaughlin-Flynn, Assistant Director - Finance, Tel 01228 226312
Email: [email protected]
Fiona Miller, Senior Manager Technical Finance, Tel 01228 226280
Email: [email protected]
Page 147
APPENDIX A
Other key announcements within the Spending Report 2010 affecting local
authorities were as follows:
• Local authorities who freeze their council tax in 2011/12 will have the
resultant loss to their council tax income funded at a rate of 2.5% in
each year of the Spending Review period through un ringfenced grant.
• Local authorities were expecting to make reductions of around 45% in
capital spending due to reductions from Government Departments;
• The system of financing capital through Prudential borrowing was to
continue, however, interest rates on Public Works Loan Board (PWLB)
loans to local authorities were increased to 1% above Government gilts.
Thus the amount of self-financed capital expenditure (supported &
unsupported borrowing) was forecast to fall by 17% over 2011/12 to
2014/15;
• The Department for Health - Personal Social Services (PSS) grants for
social care to be increased by £1bn to £2.4bn a year by 2014/15 and
the additional £1bn rolled into Formula Grant.
• In 2011/12, local authorities will be able to capitalise up to £200 million,
of essentially redundancy payments, to accelerate reforms of local
services;
• Ring-fencing of all revenue grants will end from 2011/12, except the ‘tobe simplified’ Dedicated Schools Grant and a new grant to fund public
health responsibilities transferring to local government from 2013/14;
• Also announced was a radical change in the way funding is received by
Local Authorities with the number of separate core grants reduced from
over 90 to less than 10. Core grants are listed in Annex to Appendix A
with a summary of their purpose and, where known, the existing funds
they replace.
• More than £4 billion of revenue grants were rolled into Formula Grant
over the Spending Review period. The Government‘s general intention
being that grants rolled into Formula Grant will initially do so in a way
which broadly reflects the existing distribution of the specific grant. A list
of these grants with announced planning totals is provided at Appendix
B;
• Several current grants are neither rolled into Formula Grant nor into
core grants.
• The first community budgets will be run in 16 local areas from April
2011 for families with complex needs. These community budgets will
pool departmental budgets together, in an attempt to make local public
service partnerships work together more effectively, help improve
outcomes, and reduce duplication and waste. The Government intends
that all local authorities may be able to operate these approaches from
2013/14. Councils and their partners will also have greater flexibility to
work across boundaries in health, policing, worklessness and child
poverty;
• Local authorities and their partners are to be able to stop reporting the
4,700 Local Area Agreement targets, and those that are kept will not be
monitored by Government. The Government is to work with councils to
reduce the amount of data local government is asked to collect by
Page 148
central government, and develop a single, comprehensive list, to be
reviewed annually.
4.14
The Spending Review provided further detail concerning the required
reduction in expenditure across the Spending Review period on a
departmental basis. The key issues for local authorities from other
departments that impact on our remit include the following:-
4.15
Department for Communities and Local Government (non-local
government funding)
• £2bn made available for the Decent Homes programme;
• CLG will contribute £890m of the £1.4bn Regional Growth Fund (RGF)
by 2013/14. The RGF is intended to, “support projects with significant
potential for private sector economic growth and employment,
supporting in particular those areas and communities that are currently
too dependent on the public sector.” There will be several rounds of
bids, with the results of the first round announced before the end of
2010/11. Cumbria’s LEP bid was approved in November which will offer
a conduit from which bids can be made against this funding.
• A New Homes Bonus (matching the additional council tax from every
new home for each of the following six years) will be introduced to
reward and incentivise local authorities and local communities to be
supportive of housing growth.
4.16
Department for Education
• An increase in funding for the schools budget by £3.6 billion in cash
terms by the end of the Spending Review period, reflecting a 0.1%
increase in real terms between 2011/12 and 2014/15. This figure
includes the £2.5 billion pupil premium;
• The underlying per pupil funding in the schools system is protected in
cash terms;
• The current universal entitlement to free early education and care of 15
hours per week for all three and four year-olds is to be extended to all
disadvantaged two year olds.
• A new and simplified early intervention grant to replace a range of
existing centrally directed programmes.
• Parents, teachers and community groups will be supported to establish
Free Schools outside of local authority control.
• There will be unit cost reductions in the 16 to 19 participation budget;
• Education Maintenance Allowances will be replaced with targeted
support for the most disadvantaged children;
• The Government are expecting an additional £2.1bn of savings to be
released to fund frontline teaching, i.e. it is expected that, within the
schools budget, procurement and back office savings will allow at least
£1bn to be invested directly in frontline teaching; and the public sector
pay freeze is expected to free up an additional £1.1 bn. However, it
should be noted that this is not new money;
• The “participation age” (i.e. the age at which young people must
continue in education or training) is set to increase to 18 by 2015;
• 60% real terms reduction in capital spending over the Spending Review
period, leaving £15.8bn to be allocated to maintain the schools’ estate
• Further review of education capital is intended to target the remaining
capital resources “to areas of greatest need”; and
Page 149
• The Government will meet its existing commitments to rebuild or
refurbish over 600 schools from the BSF and Academies programme,
i.e. those entered into prior to the cancellation of the Building Schools
for the Future (BSF) programme. This is of particular concern for
Cumbria due to falling pupil numbers and an assortment of ageing
schools building stock in locations that do not best serve the
communities.
4.17 Department of Health
• The NHS is to set aside up to £1bn funding by 2014/15 within their
settlement to support joint working between the NHS and councils,
including re-enablement services provided by the NHS. This funding is
also to be used to enable local authorities to deliver the necessary
efficiency savings, reforms and service improvements for the entire
Spending Review period.
4.18 Department for Transport
• The number of local authority grants for transport will be reduced from
just under 30 grant streams to 4.
• The statutory element of concessionary bus travel has been protected
(and is to be linked to the pension age changes);
• Bus subsidies paid directly to operators reduced by 20% by 2014/15;
and the Government intends working with local authorities and bus
operators to examine “smarter ways of administering this subsidy”;
4.19 Department for Business Innovation and Skills
• Spending on Adult Community Learning will be protected and reformed;
• Regional Development Agencies abolished
4.20 Department for Environment Food and Rural Affairs
• £2bn will be spent on flood and coastal defences over the Spending
Review period,
• Commission for Rural Communities abolished.
4.21
•
•
4.22
•
Cabinet Office
Resources have been provided to pilot the National Citizen Service (NCS).
The aim of NCS is to encourage young people to become engaged and
involved in social action within their communities; and
In recognition of the challenges faced by the voluntary and community sector,
a £100 million transition fund has been created to provide support to those
organisations delivering frontline services that stand to be affected in the short
term by reductions in spending, and are able to demonstrate that the financial
impact will affect their ability to deliver services.
Department of Energy and Climate Change
The Spending Review also outlines how the Department for Energy and
Climate Change (DECC) will revise the Carbon Reduction Commitment (CRC)
Energy Efficiency Scheme. Under this scheme large businesses and most
local councils are required to purchase allowances for the CO2 emitted as a
result of their energy usage. The revenues raised through the scheme were
due to be recycled back to participants, based on their relative energy
Page 150
efficiency. However, DECC have now announced that “Revenue raised from
the Carbon Reduction Commitment (CRC) Energy Efficiency Scheme will be
used to support the public finances (including spending on the environment),
rather than recycled to participants”. This means that all participating councils
will need to allow for paying the whole cost of allowances, rather than their
estimate of the net gain or loss after the allowances are “recycled”, within their
budgets in future years. This has added a significant pressure to our future
forecasts.
Page 151
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Page 152
NATIONAL CORE GRANTS
GRANT
ANNEX TO APPENDIX A
PURPOSE
Early Intervention Grant
To support preventative measures targeted at
children at risk
Public Health Grant
To fund new public health responsibilities from
2013/14
Formed from amount previously paid as Learning
Disabilities Pooled Funding by Primary Care Trusts
Learning Disabilities
New Homes Bonus
Page 153
Council Tax Freeze Grant
Housing Benefit and Council Tax Benefit
Administration Grant
PFI
Schools Grant (including Pupil Premium)
Preventing Homelessness
To provide a planning incentive for the building of
new homes. The grant matches additional Council
Tax raised from additional properties.
An amount equivalent to the amount that would be
raised by 2.5% increase in Council Tax for
authorities that agree to a Council Tax freeze in
2011/12
Paid to billing authorities for the administation of
Housing and Council Tax Benefit payments
Contribution towards the costs of investment
funded by approved PFI schemes.
Ringfenced funding for schools.
Funding for housing authourities for measures to
reduce the incidence of homelessness.
EXISTING GRANTS INCLUDED NATIONAL
TOTAL
2010/11£M
Includes Sure Start,
Connexions, Children's Fund,
Positive Activities for Young
People, Early years
Sustainability etc.
2,212
n/a
1,326
N/A
250
N/A
700
462
1,034
Existing Dedicated Schools
Grant, One-to-One Tuition,
Every Child programmes,
Extended Schools, School
Lunch, School Standards Grant,
Schools Development Grant,
Specialist Schools, Ethnic
Minroty Achievement, National
Strategies, Academies
38,093 Subject to further clarification
from DfE
88
GRANT FORECAST 2011/12 TO 2014/15
APPENDIX B
2010/11
Baseline
£000s
2011/12
£000s
2012/13
£000s
2013/14
£000s
2014/15
£000s
Previous
2014/15
projection
£000s
Page 154
Formula Grant
Early Intervention
Council Tax Freeze
Learning Disability
Grants ceasing / subject to announcement
180,154
22,052
0
15,718
10,973
158,428
18,318
5,128
16,103
0
147,851
19,449
5,128
16,485
0
147,936
19,449
5,128
16,485
0
139,298
19,449
5,128
16,485
0
146305
16,643
5,000
15,718
0
TOTAL
228,897
197,977
188,913
188,998
180,360
183,666
-30,920
-39,984
-39,899
-48,537
6,956
6,677
tba
tba
Reduction compared to 2010/11 baseline
NHS support to Social Care - allocation to Council uncertain
GRANTS TRANSFERRED NATIONALLY TO FORMULA GRANT
CLG Local Government Resource (Revenue)
DEL
10/11
Baseline
£m
28,995.50
4,373.50
24,622.00
Formula Grant minus Specified Bodies Top-Slice
Police Grant
11/12
£m
APPENDIX C
Annual
Change
%
12/13
Cum
change
£m
13/14
Cum
change
£m
14/15
£m
SR10
Change
%
21,069.12
-14.4%
19,099.64
-22.4%
18,730.84
-23.9%
17,416.82
-29.3%
Page 155
Grants Going into FG:
3,440.99
3,930.88
14.2%
4,300.36
25.0%
4,469.16
29.9%
4,483.18
30.3%
Supporting People
Housing Strategy for Older People
Race Equality
Economic Assessment Duty
Open Source Planning
Fire
Concessionary Travel
Other Transport Revenue
Animal Health Enforcement
LSC Staff transfer, Services for Children in Care
& Child Death Review Processes
AIDS Support
Preserved Rights
On-Going PSS
Recycled PSS inc. safeguarding & autism
New PSS Funding
1,636.00
20.00
0.17
11.03
1,625.00
15.50
0.03
1.50
-0.7%
-22.5%
-82.4%
-86.4%
1,620.00
13.50
0.03
1.50
-1.0%
-32.5%
-82.4%
-86.4%
-1.0%
-42.5%
-82.4%
-72.8%
224.00
79.00
4.80
0.4%
-29.5%
-43.5%
204.00
72.00
4.00
-8.5%
-35.7%
-52.9%
-6.7%
-28.6%
-62.4%
1,590.21
10.50
0.03
3.00
20.00
50.28
212.00
83.00
2.40
-2.8%
-47.5%
-82.4%
-72.8%
223.00
112.00
8.50
1,620.00
11.50
0.03
3.00
15.00
49.82
208.00
80.00
3.20
114.05
109.34
-4.1%
83.17
-27.1%
70.51
-38.2%
66.34
25.50
235.40
752.34
303.00
27.70
228.84
767.02
318.15
530.00
8.6%
-2.8%
2.0%
5.0%
30.30
221.68
784.43
335.75
930.00
18.8%
-5.8%
4.3%
10.8%
33.10
215.11
804.98
354.91
1,000.00
29.8%
-8.6%
7.0%
17.1%
36.20
209.80
826.31
373.11
1,000.00
-16.5%
23,200.00
-17.2%
21,900.00
Minor transfers
Formula Grant funding
-
-4.9%
-25.9%
-71.8%
-41.8%
42.0%
-10.9%
9.8%
23.1%
28.99
28,034.00
25,000.00
-10.8%
23,400.00
-21.9%
BUDGET POSITION SUMMARY
APPENDIX D
2011/12
£000s
GRANT LOSS AND PRESSURES:
2012/13
£000s
2013/14
£000s
2014/15
£000s
Grant loss:
Formula Grant
Council Tax Protection Grant
Other General Grant
21,726
(5,128)
14,322
32,303
(5,128)
12,809
32,218
(5,128)
12,809
40,856
(5,128)
12,809
Total Grant Loss
30,920
39,984
39,899
48,537
8,147
15,163
24,677
34,432
2,027
(200)
4,164
(400)
6,301
(400)
8,438
(400)
Contribution to Equal Pay
Other adjustments
Transfer to Insurance Reserve
6,154
1,120
(1,911)
6,154
705
(1,911)
6,154
705
(1,911)
6,154
705
(1,911)
Fallout of contribution to reserves to repay Bellwin
No further drawdown of CWM dividend
Cessation of contribution to General Balances
(1,243)
0
(952)
(1,243)
250
(952)
(1,243)
250
(952)
(1,243)
250
(952)
Total Pressures
13,142
21,930
33,581
45,473
TOTAL GRANT LOSSES AND PRESSURES
44,062
61,914
73,480
94,010
Savings in MTFP:
Savings subject to previous consultation
(14,525)
(23,460)
(25,371)
(25,707)
Total MTFP
(14,525)
(23,460)
(25,371)
(25,707)
(4,000)
(8,000)
(12,000)
0
(4,000)
(8,000)
(12,000)
(14,525)
(27,460)
(33,371)
(37,707)
29,537
34,454
40,109
56,303
4,917
5,655
16,194
Pressures in MTFP:
Directorate pressures in MTFP
Inflation (PENDING UPDATE OF MAJOR
CONTRACTS)
Financing of Capital Programme
BSFcapital financing costs removed
COUNCIL TAX AND SAVINGS
Council Tax:
Council Tax increases at 2% pa from 2012/13
Total Council Tax
TOTAL COUNCIL TAX AND SAVINGS
ADDITIONAL SAVINGS TO FIND
DIFFERENCE YEAR ON YEAR
Page 156
GRANTS POSITION
APPENDIX E
DISCONTINUED
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DEFRA
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DEFRA
DEFRA
CLG
DfT
DfT
DFE
Extended Schools StartUp Costs
Primary National Strategy -Central Coordination
Secondary National Strategy -Central
Coordination
Secondary National Strategy - Behaviour and
Attendence (£m)
School Improvement Partners (£m)
School Travel Advisers (£m)
Education Health Partnerships (£m)
Choice Advisers (£m)
School Intervention Grant (£m)
14-19 Flexible Funding Pot (£m)
Designated Teacher Funding
Sustainable Travel General Duty (£m)
Aggregates Levy Sustainability Fund
Fair Play Playbuilders - revenue
ICS
CWDC
Post 16 Transport
Sports Grants
Independent State School partnership
Diploma Formula Grant
Education Business Link
Parents to Be Scheme
Young Apprenticeship
Local Delivery Support grant
Raising Participation Age (pilot)
Early Actions to Tackle Surface Water
RDPE
Habitat
Transport Asset Management
Cycle Training
School Development Grant (LA Element) (£m)
TOTAL DISCONTINUED
110
228
209
94
244
72
120
41
164
137
50
36
150
0
48
33
120
603
108
648
242
33
477
264
70
84
205
17
97
120
1,353
6,176
SUBJECT TO FURTHER ANNOUNCEMENT
DFE
HO
HO
DFE
DFE
Extended Rights to Free Transport
Community Call for Action /Overview Scrutiny
Committee
Safer Stronger Communities
Youth Offending
Adult Education
TOTAL SUBJECT TO FURTHER ANNOUNCEMENT
334
14
525
1,325
2,599
4,797
TOTAL DISCONITNUED AND SUBJECT TO FURTHER ANNOUNCEMENT
10,973
NB. Difference to £9.6m previously reported in press is due to confirmation of cessation of School Development
Grant
Page 157
EARLY INTERVENTION
2010/11
£000s
DFE
DFE
DFE
DFE
HO
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
DFE
Children's Fund
Positive Activities for Young People
Teenage Pregnancy
Young Persons Substance Misuse
Young Persons Substance Misuse Partnership
Sure Start
Aiming High Grant
Key Stage 4 Engagement Programme /
Foundation Learning
Connexions
Children's Social Care Workforce (£m)
Child Trust Fund
Youth Opportunity Fund
Contact Point
Think Family Grant
Targeted Mental Health in Schools (pilot)
TOTAL EARLY INTERVENTION
883
586
258
87
89
13,582
1,619
228
3,720
89
9
271
49
359
223
22,052
Page 158
2011/12
£000s
18,318
Agenda Item 12
CABINET
Meeting date:
From:
6th January 2011
Leader of the Council
Chief Executive
PERFORMANCE MONITORING REPORT
LOCAL AREA AGREEMENT 2007-2010
PART A - RECOMMENDATION OF CABINET MEMBER
1
EXECUTIVE SUMMARY
1.1
The coalition government has taken a decision to stop any further
Comprehensive Area Assessments (CAA) and at this point in time
there are no firm proposals for a replacement National Performance
Framework for Local Authorities. Alternative models and principles for
National Performance Frameworks already exist and contributions
from the Local Government Association (LGA), Improvement and
Development Agency (IDeA), now called Local Government
Improvement & Development and the County Council’s Network (CCN)
have been developed in order to shape and influence future
arrangements.
1.2
The Secretary of State for Communities and Local Government has
also confirmed that the National Indicator Set (NIS) will be replaced
with a single, comprehensive list of all the data that local government
would be expected to submit to central government. Following a review
involving local government this will be made transparent by April 2011.
1.3
Additionally, the Secretary of State for Communities and Local
Government has announced that Local Area Agreement (LAA)
improvement targets have been revoked. In effect, our LAA has been
handed over to partners in Cumbria to control, and no approvals are
needed to add, amend or delete targets. Government will no longer
monitor LAA performance and no new agreements are required by
Government from April 2011. No Reward Grant will be paid for
Cumbria’s current agreement that ends in 2011.
Page 159
1.4
Internally, a review of the Council’s Performance and Accountability
Framework is currently underway with refreshed arrangements
scheduled to be implemented in April 2011.
1.5
Consequently, this report provides Cabinet with a final position
statement on the Legacy Stretch targets in Cumbria’s Local Area
Agreement that ended on March 31st 2010.
1.6
Final audited performance information is attached in appendix 1 and
these present a very strong picture of improvement across the range of
priorities, reflecting the focus on performance improvement by all
partners in Cumbria. Performance is expected to achieve 89% of grant
available.
1.7
As part of measures to reduce the national deficit, the Coalition
Government has looked carefully at programmes such as LAA Reward
and concluded that the programme should be reduced by 50%.
Consequently, since the last report to Cabinet in May 2010 the
Secretary of State for Communities and Local Government has
announced that performance reward grant will be reduced to 50% of
the amount originally planned for Local Area Agreements ending in
2010.
1.8
The impact of this decision is that the maximum performance reward
grant achievable by partners in Cumbria has reduced from £15.1m to
£7.55m. In May 2010, £12.1m of reward grant was expected and this
figure has now reduced to £6.7m following (1) the decision by
government to cut grant by 50% and (2) confirmation in December 2010
that performance on ‘Adult Participation in Sport’ exceeded our stretch
target, resulting in additional grant of £0.63m.
2
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1
The Community Strategy sets the 20 year vision for the county and is
the framework for the development and delivery of the Council Plan
and other key strategies and plans across the county. The Local Area
Agreement sets out priority outcomes and targets over 3 years,
contributing to the delivery of the vision and outcomes expressed in
the Community Strategy.
2.2
Most of the targets in the LAA are negotiated with Government,
through Government Office North West (GONW), and reflect national
and local priorities. The performance management of the LAA, through
the Thematic Partnerships of the Cumbria Strategic Partnership (CSP),
is carried out in line with the LAA Governance Framework as agreed by
all CSP Executive Board members in early 2007.
Page 160
2.3
3
The Community Strategy, the framework for the Cumbria Agreement,
was subject to an Equality Impact Assessment and a Sustainability
Appraisal. Equality and rurality perspectives of each LAA target were
identified by partners when the indicators included in the Agreement
were selected and these issues were addressed through delivery for
each target and ongoing performance management.
RECOMMENDATION
3.1
Cabinet is asked to note that the three year agreement period for the
‘legacy’ stretch targets ended on 31st March 2010 and that the amount
of performance reward grant has been reduced by 50% due to a
national review of the LAA Programme.
3.2
Cabinet is asked to note that performance at the end of the agreement
is expected to earn Cumbria £6.7m in reward grant.
Eddie Martin, Leader of the Council
PART B – ADVICE OF CHIEF EXECUTIVE
4.0
PERFORMANCE MONITORING
4.1
LEGACY STRETCH TARGETS 2007-10
4.1.1 Appendix 1 provides details of the performance against stretch target at
March 2010.
4.1.2 Final performance figures for the 12 ‘legacy targets’ in our LAA are very
positive, with:
•
10 service areas where performance has met or exceeded the negotiated
stretch target and earn maximum reward grant.
•
1 service area (Domestic Violence), where performance has improved
from baseline and where some but not all available reward grant.
•
1 service area where performance is forecast not to improve from
baseline, and not expected to earn reward grant (Influencing Decision
Making). It is disappointing that Cumbria has not achieved the negotiated
stretch target in this area, however over the timeframe of the LAA we
have maintained a top quartile position nationally.
Page 161
5.0
PROCESS FOR AGREEING USE OF PERFORMANCE REWARD
GRANT
5.1
Following submission of a grant claim and accompanying audit certificate by
the Chief Executive, the County Council, as the Accountable Body will
receive all Performance Reward Grant payable to Cumbria.
5.2
In the meantime, a Steering Group of representatives from partner
organisations and partnerships across Cumbria has developed a set of
principles for the use of the reward grant. This group will meet early in 2011
to gauge progress prior to discussion on use of the grant by the Cumbria
Leadership Board.
5.3
Final proposals for use of the reward grant will be presented to Cabinet for
approval.
6.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1
Appendix 2 provides details of the expected Performance Reward Grant. A
maximum PRG of £7.5m is available and based on final and audited
performance a total of £6.7m will be achieved. £629,228 in reward grant can
be achieved in respect of each target.
6.2
There are no significant resource implications to carrying out performance
management and review of the Local Area Agreement as this activity is
currently carried out within existing resources of Cumbria County Council
and partner organisations.
6.3
The maximum reward grant payable if all stretch targets are achieved is
£7,550,730, representing 1.25% of the combined 2006-07 budgets for
Cumbria County Council and six Cumbria Districts. This reflects the principle
that achievement of targets is dependent on effective working with partners.
Prior to the recent announcement by government on changes to the
performance reward grant scheme, half of the grant would be paid as
revenue, and half as capital. This was to be payable in 2 equal instalments in
February 2011 and February 2012.
6.4
It has recently been confirmed by GONW that the impact of changes will
mean that Cumbria will receive no less than we would have been expecting
in early 2011 (as result of the original first instalment claim).
7.0
LEGAL IMPLICATIONS
7.1
There are no legal implications resulting from this report.
Jill Stannard
Chief Executive
17th December 2010
Page 162
APPENDICES
Appendix 1: Detailed Performance - LAA Legacy Stretch Targets
Appendix 2: LAA 2007-2010: Calculation of Reward Grant based on
Performance at 31st March 2010.
Electoral Division(s):
*
* Please remove whichever option is not applicable
Executive Decision
No*
Key Decision
No*
If a Key Decision, is the proposal published in the current Forward Plan?
Is the decision exempt from call-in on grounds of urgency?
N/A*
No*
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
N/A*
No*
Has an environmental or sustainability impact assessment been
undertaken?
N/A*
Has an equality impact assessment been undertaken?
N/A*
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Head of Member Services and Scrutiny has
obtained the necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
[including Local Committees]
No previous relevant decisions.
CONSIDERATION BY OVERVIEW AND SCRUTINY
Not considered by Overview and Scrutiny”.
BACKGROUND PAPERS
No background papers
Page 163
RESPONSIBLE CABINET MEMBER
Eddie Martin – Leader of the Council .
REPORT AUTHOR
Contact: Duncan McQueen Senior Manager – Performance & Intelligence.
226293. [email protected]
Page 164
Appendix 1: Detailed Performance - LAA Legacy Stretch Targets
Performance against PRG
Alert
GREEN
Definition
Has met or exceeded stretch target & receive 100% Reward
Grant
AMBER
Will receive some but not all 100% Reward Grant
RED
Will receive no Reward Grant
Page 165
End of
Amount of
Performance
Stretch Target
agreement
against Stretch Reward Grant
2010
Stretch Target
Actual
Target
Forecast
Target 1 - Post 16 Achievement
SI 02 % 16 to 18 year olds who are not in
4.60
4.80
£629,228
education, training and employment (NEET)
Target 2- Independence for Older People
SI 03 SP service users (16+) who are supported to
4644.00
4520.00
establish & maintain independent living
SI 04 Average length of waiting time for major
adaptations
£377,537
10.90
29.00
£251,691
Target 3 - Health
3553.00
2940.00
£629,228
Target 4 - Health
25.50
24.90
£629,228
200.00
£629,228
Target 6 - Domestic Violence
SI 07 Number of domestic violence incidents
5590.00
4485.00
reported annually to the police
£213,938
SI 05 Number of people stopped smoking for 4
weeks
SI 06 % adult pop taking part in moderate intensity
sport & active recreation
Target 5 - Economic Activity
SI 01 Number of people moving from incapacity
265.00
benefit into sustained employment
SI 08 Percentage of convictions for domestic
violence related offences
78.00
65.00
£207,645
SI 09 Percentage of repeat victims of domestic
violence
37.00
32.00
£0
Target 7 - Crime
82.50
20.00
£629,228
Target 8 - Crime
786.00
1011.00
£629,228
SI 10 % reduction in number of prolific and priority
offenders who reoffend within 12 months
SI 11 Number of first time entrants to the Youth
Justice System
Target 9 - Communities
51.00
57.00
£0
Target 10 - Fire
74.00
77.00
£629,228
Target 11 - Roads
64.00
85.00
£629,228
Target 12 - Waste
SI 15 % of municipal waste recycled and composted
43.68
40.00
£629,228
SI 12 Influence decision making
SI 13 Number of fire related deaths and injuries
arising from accidental fires in dwellings
SI 14 Total number of KSI's in which a driver aged
16-20 was involved
Page 166
Appendix 2: LAA 2007-2010: Calculation of Reward Grant based on Performance at 31st March 2010.
Page 167
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Page 168
Agenda Item 13
CABINET
Meeting date:
From:
6 January 2011
Cabinet Member for Organisational
Development
Corporate Director – Organisational
Development
EMPLOYEE RELATIONS FRAMEWORK
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1
This report provides an update to Cabinet on the implementation of the
new employee relations framework (ER framework). This is being
introduced to provide consistent arrangements across the Council, at
both corporate and directorate levels, for negotiation and collective
disputes resolution as well as consultation and information
procedures.
1.2
In particular this report concerns the establishment of a member led
County Council Joint Consultative Group (County Council JCG) and
the deletion of the Staff Employer Sub Group (SESC), which only
covers 3 trade unions, in order to provide appropriate access to
members for all 9 of the Council’s recognised trade unions.
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1
This report links to the Council Plan key theme of Better, having a
workforce with the right skills, working in modern and efficient ways
for now and for the future.
2.2
The proposal to establish the County Council JCG will ensure that all
staff groups have equal access via their Trade Unions to elected
members.
3.0
RECOMMENDATION
•
Following extensive consultation with the 9 trade unions and
feedback from elected members, Cabinet are asked to consider
and comment on progress to date and to confirm that they are in
agreement with the creation of a member led County Council JCG
Page 169
and deletion of the SESC, in order to provide appropriate access
to members for all the Council’s recognised trade unions.
Elizabeth Mallinson, Cabinet Member for Organisational Development
PART B – ADVICE OF CORPORATE DIRECTOR – ORGANISATIONAL DEVELOPMENT
4.0
BACKGROUND
4.1
The November 2008 meeting of the SESC agreed to management led
proposals to develop a new employee relations framework for the Council.
4.2
Starting in February 2009 a number of meetings were held with each of the
recognised trade unions to discuss the proposed new framework. This was
outlined in a previous report to CMT on 15 April 2009.
4.3
Significant progress has been made to date, with the establishment of a new
Staffing Committee; a Corporate JCG chaired by the Chief Executive; a new
HR JCG chaired by the Assistant Director – People Management; and the
harmonisation of arrangements for directorate JCG’s. Other work underway
is summarised and attached as Appendix B.
4.4
The current terms of reference for SESC state that:
4.5
•
membership is restricted to the ‘Green Book’ Trade Unions (GMB,
UNISON, UNITE.)
•
It is the highest level forum for consultation within the council.
•
SESC does not participate in any negotiations
•
issues relating to a single Directorate will only be considered by the sub
committee after all other internal procedures have been exhausted
•
questions of individual grievance, discipline, promotion or efficiency are
outwith the scope of the sub committee
The proposed changes are required in order to:
•
allow the same access to members for all the council’s recognised
trade unions
•
to more accurately reflect the position of the proposed County Council
JCG within the overall ER framework
A copy of the draft Terms of Reference for the County Council JCG is
attached as Appendix A.
4.6
Cabinet are recommended to:
Page 170
•
agree to the establishment of a member led County Council Joint
Consultative Group
•
agree to the deletion of the Staff Employers Sub Committee
5
OPTIONS
5.5
There are options to consider as follows:
•
To adopt the recommendation for the creation of the County Council
JCG and the deletion of SESC as set out above.
•
To retain the existing SESC and supporting procedures, whereby
access to members is restricted to ‘Green Book’ representatives only
•
To commission HR to identify and recommend alternative provisions.
6
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.5
The recommendations do not have any direct resource implications; there
are no specific member allowances for this work. There could be some
incidental travel costs covered from within the existing member Allowances
budget.
7
LEGAL IMPLICATIONS
7.5
The Council and the Trade Unions are at liberty to agree voluntarily the
recognition and bargaining arrangements. Any terms should be clear and
expressed in writing.
7.6
If agreement cannot be reached then a statutory recognition procedure can
be followed by the Trade Unions.
7.7
The group is a working group and is not a sub-committee of Council or
Cabinet. However it will have agreed powers to resolve disputes where
possible.
8
CONCLUSION
8.5
To conclude, the proposed creation of the County Council JCG and deletion
of the Staff Employer Sub Committee should ensure:
•
Consistent arrangements for all recognised staff groups to have equal
access via their Trade Unions to elected members.
Jim Savege
Corporate Director – Organisational Development
8 November 2011
Page 171
APPENDICES
Appendix A – County Council JCG Constitution and Terms of Reference
Appendix B – Employee Relations Framework, summary of progress
Electoral Division(s):
All*
* Please remove whichever option is not applicable
Executive Decision
Yes*
Key Decision
No*
If a Key Decision, is the proposal published in the current Forward Plan?
Is the decision exempt from call-in on grounds of urgency?
N/A*
No*
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
N/A*
No*
Has an environmental or sustainability impact assessment been
undertaken?
N/A*
Has an equality impact assessment been undertaken?
N/A*
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Corporate Director has obtained the
necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
[including Local Committees]
“No previous relevant decisions”.
CONSIDERATION BY OVERVIEW AND SCRUTINY
Not considered by Overview and Scrutiny
BACKGROUND PAPERS
Page 172
No background papers
RESPONSIBLE CABINET MEMBER
Elizabeth Mallinson, Cabinet Member for Organisational Development
REPORT AUTHOR
Contact: Beverly Graham, HR Corporate Development Manager, Workforce
Engagement
01228 226634
[email protected]
Page 173
Appendix A
COUNTY COUNCIL JOINT CONSULTATIVE GROUP
CONSTITUTION AND TERMS OF REFERENCE
1
Name
The group shall be known as the County Council Joint Consultative Group
(County Council JCG). The group is a working group and is not a subcommittee of Council or Cabinet. However it will have agreed powers to
resolve disputes where possible
2
Scope
2.1
County Council JCG is the highest level within the Employee Relations
Framework within which the Council may carry out it’s obligation to consult
and inform all recognised trade unions on matters of strategic and corporate
importance affecting the workforce.
2.2
The County Council JCG will also have the responsibility, where the need
arises, to meet to resolve collective disputes.
2.3
The County Council JCG will have responsibility for consultation and
information provision to all employees of Cumbria County Council who are
covered by the following negotiating bodies:
Joint National Council for Chief Executives of Local Authorities
Joint National Council for Chief Officers of Local Authorities
National Joint Council for Local Government Services
Joint National Council for Local Authority Craft & Associated Employees
National Joint Council for Local Authority Fire & Rescue Services
The Soulbury Committee
School Teachers Review Body
Joint National Council for Youth & Community Workers
3
Purpose
3.1
The principal purpose of the County Council JCG is to encourage good
employment relations, through positive and meaningful communication and
consultation.
3.2
The County Council JCG will secure the widest possible joint consultation
regarding issues for Cumbria County Council employees represented by the
Council’s recognised trade unions, including:
i
matters likely to impact on all employees arising from the Council
Plan, budget and other corporate strategies;
Page 174
ii
development of Workforce Strategy, including the
implementation of policies, procedures, and best practice;
effective
iii
matters promoting the collective interests of the Council’s
employees during their employment;
iv
matters relating to staff in terms of organisation and performance
review;
4
Functions
4.1
The County Council JCG will not participate in any negotiations.
4.2
Issues relating to a single Directorate will only be considered by the JCG
after all other arrangements within the Employee Relations Framework have
been exhausted.
4.3
Questions of individual grievance, discipline, promotion or efficiency
will be outside the scope of the group.
4.4
The County Council JCG will also have the additional function of considering
matters in accordance with the Council’s Resolution of Collective Disputes
Procedure, except where national agreements explicitly provide for local
procedures, to hear and determine any dispute, and to act as the final
internal stage for the resolution of collective disputes, but only after the
matter has been fully discussed at all appropriate officer levels.
5
Outcomes
5.1
While the objective of both the County Council and the recognised
trade unions should be to consult with a view to reaching agreement, it
is recognised that at times there will be disagreement on issues.
5.2
In cases of such disagreement, either party shall reserve the right to
seek further advice to determine an outcome or otherwise come to an
agreement about the matter under dispute.
5.3
Voting will not take place at the meeting. Where agreement cannot be
reached the lack of such an agreement will be recorded.
6
Composition & Membership
6.1
The group shall comprise three members of the Council’s Cabinet, including
the Chair. Other Cabinet members may attend as substitutes if an
appointed member is not able to attend.
6.2
The Chair of the group shall be the Leader of the Council or the Portfolio
holder.
Page 175
6.3
Trade Union membership of the JCG will be made up from one Convenor or
Representative from each of the recognised Trade Unions listed in 2.3.
6.4
The County Council may be represented at the JCG by such
officers as it considers appropriate for the purposes of information
sharing and consultation. This shall normally include the Corporate Director
– Organisational Development and the Assistant Director – People
Management.
6.5
By exception, the Trade Unions may invite paid officials of the Union, by
prior agreement at the lay officers’ pre-Agenda setting meeting, to attend the
formal meeting in respect of specific items on the agenda. Attendance will
be with the agreement of the Chair and will not normally be withheld and
providing that the invitation has been submitted to the pre-Agenda meeting.
6.6
The status of the paid Trade Union Officials is as an invitee for the
purposes specified in 7.5 above and will operate in addition to the
allocated number of Trade Union seats. Paid Trade Union Officials will
not substitute for lay officials.
6.7
An individual Trade Union will be able to substitute a lay official with
another lay official where the nominated lay official is not able to attend.
6.8
The recognised Trade Unions will jointly appoint a Secretary to act as a point
of reference and communication with the Council on administrative matters
affecting the arrangement and conduct of JCG meetings. The Trade Union
Side Secretary position will be rotated among the constituent Trade Unions
on an annual basis.
7
Secretarial Support
7.1
The County Council will provide secretarial support from the Organisational
Development Directorate. A copy of the minutes of the group’s proceedings
will be prepared and circulated to each respective party within 7 days of the
meeting. Approval of minutes will be by agreement at the next scheduled
meeting.
8
Meetings
8.1
Ordinary meetings of the group will take place three times a year on
dates to be agreed in advance. With the agreement of the Chair
extraordinary meetings may take place at the request of the County
Council or the Trade Unions at any time to consider matters that cannot
be deferred to the next ordinary meeting, by reason of urgency.
9
Business Limited to Agenda
9.1
Business will normally be limited to the items set out on the published
agenda unless the Chair is satisfied that an item is of such urgency that
it should be considered under “Urgent Matters”.
Page 176
9.2
A pre-agenda meeting will be held two weeks prior to the scheduled
formal meeting to construct an agenda. Papers will then be circulated to
all members at least five working days before the date of the group’s
meeting.
10
Quorum
The quorum of the group shall be not less than two elected
members and two members from the Recognised Trade Unions.
Page 177
APPENDIX B
Employee Relations Framework, summary of progress
Key Feature of Framework
Recognition of Trade Unions
Progress to Date
Revised arrangements are being written
up as part of the framework, to be
completed in January 2011. This will
clarify which union is recognised and for
what purpose.
Recognition of Trade Union
Representatives
Based on the recognition arrangements
above this obliges unions to inform us
who their accredited representatives
are. CCC will then consider whether to
recognise them and allow the agreed
facilities. This arrangement is to be
revised by the end of January 2011 to
enable consistent provision of facilities
for all recognised trade unions and
better management of paid time off
costs.
Negotiation
This refers to any arrangements for local
bargaining required as an exception to
national arrangements e.g. an
agreement on single status. Principles
have been agreed with the trade unions
and are being written up as part of the
framework, to be completed by the end
of January 2011. This will provide for a
clear separation of negotiation as
opposed to consultation, information and
communication. Agreement on this has
assisted development of a collective
dispute resolution procedure.
Resolution of Collective Disputes
The introduction of this is supported by
the trade unions and it is a key
readiness for change measure. The
procedure provides a means to seek to
resolve disputes that may arise in
relation to groups of employees, fairly
and at the earliest opportunity. The last
internal stage of this procedure will
provide for escalation to Elected
Members (see 4.4). This procedure is
currently being consulted on with the
Trade Unions.
Consultation and Communication
This is being addressed by a hierarchy
of arrangements as outlined below.
Page 178
These range from local directorates, to a
corporate level chaired by the Chief
Executive and with a member led body
at the highest level.
•
Appeals and Staffing Committee
The HR Joint Consultative
Group (JCG) chaired by the
Assistant Director – People
Management. This group is
now meeting on a regular
basis.
•
A further roll-out of work has
begun in respect of the
Directorate JCG’s, to
include generic terms of
reference at this level.
•
The Corporate JCG chaired
by the Chief Executive has
commenced and has met on
several occasions. The
number of meetings has
been higher than anticipated
due to consultation on the
revised redundancy policy
and the implications of CSR.
•
The establishment of a
County Council JCG (to
replace SESC) has been
agreed with the trade unions
(See .4.4)
The original proposal from officers was
to harmonise arrangements for appeals
by discontinuing all appeals to members
in favour of an officer led approach. The
Trade Unions’ position on appeals is as
follows:
•
‘Green Book’ trade unions
wish all appeals to be
harmonised such that they
are heard by members.
•
The Fire & Rescue unions
wish to remove the right of
appeal to Officers and have
members only to hear
appeals.
•
The Teaching Unions are
content with current
arrangements for where
appeals are heard.
In response to feedback from Trade
Unions and elected members, and in
Page 179
Staffing Committee
light of the pressing need to finalise this
framework due to the current economic
and financial situation, the above
proposal from officers has been dropped
and it has been agreed that members
will be the final internal appeal body
except for Teachers and the Fire and
Rescue Service where current
arrangements will remain. (see below)
Following a report which was taken to
Council on 18 November 2010 by the
Constitutional Review Group, Personnel
Cases Committee has now been
renamed Staffing Committee to more
accurately reflect the focus on staffing
issues
The constitution has been amended so
that the Staffing Committee will hear and
determine any appeal, where the
Council’s procedures so provide, against
dismissal arising from the decision of a
Corporate Director.
These arrangements will cover all
council employees except Chief
Officers, Statutory Officers, Schools and
Fire and Rescue Service staff, where
other local or national arrangements
provide for an appeal process.
Page 180
Agenda Item 14
CABINET
Meeting date:
From:
6 January 2011
Cabinet Member for Adult Social Care and
Corporate Director – Adult and Local Services
ANNUAL PERFORMANCE ASSESSMENT OF
ADULT SOCIAL CARE IN CUMBRIA – 2009-2010
1.0
EXECUTIVE SUMMARY
1.1
The purpose of this report is to formally present to Cabinet the Annual
Performance Assessment of Adult Social Care in Cumbria (SOCIAL
CARE SERVICES FOR ADULTS IN CUMBRIA) from the Care Quality
Commission (CQC).
1.2
The report also includes the grading for all the White Paper1
Outcomes2. All gradings are published for Adult Social Care in England
on 24 November 2010.
1.3
Cumbria has been once again judged as “Performing Well” overall, but
has received an improved grading this year, having been graded as
“Performing Excellently” in two out of seven outcomes compared to
just one last year. The Council had previously also been rated as
“Performing Excellently” in Leadership when this outcome was judged
separately.
It was subsequently merged into the overall CPA
judgement for the Council but the Directorate considers that the
Leadership outcome would still be rated as “Performing Excellently” if
judged separately.
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1
Adult Social Care in Cumbria delivers on the Healthier Theme of the
Council Plan - Improving the health and well-being of adults, and this
grading evidences the improvement in services in this theme.
1
Department of Health White Paper, Our Health, Our Care, Our Say
2
We are judged by the 7 outcomes from the White Paper as well as Use of Resources and Leadership by our regulator –
Care Quality Commission (CQC)
Page 181
2.2
The Directorate also leads on some of the “Healthy Communities and
Older People” outcomes of the Community Strategy and related Local
Area Agreements (LAA).
2.3
The recommendations included in the assessment report will form part
of the Adult and Local Services Service Directorate Service Plan 20112012.
2.4
There is no direct equality impact assessment resulting from this
report.The judgement includes a view on how the directorate has
evidenced progress with equality and diversity. Cumbria was judged to
have remained level 3 for this outcome, said to be “Performing Well”.
3.0
RECOMMENDATION
3.1
Cabinet are asked to note that Adult Social Care has been judged to be
performing Excellently in an additional outcome. This is an
improvement on last year’s assessment, and shows continuous
improvement year-on-year.
3.2
Cabinet are advised that improvements as recommended in the
assessment report from CQC will be incorporated into the Directorate’s
Service Plan. The full CQC judgement letter is included in Appendix 1.
4.0
BACKGROUND
4.1
CQC has a responsibility to monitor the performance of councils in providing
social care services to adults. The way they do this is through their Annual
Performance Assessment (APA).
4.2
In 2005 the Government set out a new vision for social care called
‘Independence, wellbeing and choice’. The objectives outlined in this vision
are now used as the basis for the performance assessment of local
authorities.
4.3
Grading on performance is measured by exploring how well a Council is
achieving specific outcomes for communities and individuals, delivering
services though partnership, as well as the management of the directorate
and its use of resources through commissioning.
4.4
In order to make a judgement against the PAF, CQC uses a variety of
different sources of evidence. These included a Self Assessment, statistical
information including Performance Indicator outturns, outcome evidence
presented to CQC at Routine Business Meetings (RBM), as well as
judgements and findings from Service Inspections.
4.5
The final Performance Grading for Adult Social Care in Cumbria 2009-2010
is PERFORMING WELL. Below is a table that details our grading for all the
outcomes.
Page 182
CUMBRIA ADULT SOCIAL CARE PERFORMANCE GRADINGS FOR 2009-2010
Delivering Outcomes Assessment
2009-2010 Grade
awarded
Improved health and emotional well–being
Performing Well
Improved quality of life
Performing Excellently
Making a positive contribution
Performing Excellently
Increased choice and control
Performing Well
Freedom from discrimination and harassment
Performing Well
Economic well-being
Performing Well
Maintaining personal dignity and respect
Performing Well
Capacity to Improve (Combined judgment)
NO LONGER
GRADED
Leadership
Commissioning and use of resources
Overall Performance Rating
Performing Well
4.6
The council is expected to take this report to an Executive meeting of the
Council within two months of the publication of the ratings (i.e. by 31st
January 2011) and to make available to the public, preferably with an easy
read format available.
5.0
OPTIONS
5.1
Cabinet are asked to note the information contained in this report, therefore
there are no options to consider.
6.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1
Adult and Local Services will ensure that its budget for 2011/12 aligns to the
Directorate Service Plan to support continued performance improvement.
7.0 LEGAL IMPLICATIONS
7.1
The powers and duties of the Care Quality Commission were introduced by
the Health and Social Care Act 2008.
8.0
CONCLUSION
8.1
Adult Social Care in Cumbria has been judged as “Performing Well” by the
Care Quality Commission for the year 2009-2010 with two outcomes judged
to be “Performing Excellently” compared to one outcome in 2008-2009.
Richard Parry
Corporate Director - Adult and Local Services
23 November 2010
Page 183
APPENDICES
Appendix 1 – CQCI judgement letter
Executive Decision
*
No*
Key Decision
No
If a Key Decision, is the proposal published in the current Forward Plan?
*
N/A
Is the decision exempt from call-in on grounds of urgency?
*
No*
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
*
*
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
*
No*
Has an environmental or sustainability impact assessment been
undertaken?
*
*
N/A*
Has an equality impact assessment been undertaken?
*
*
N/A*
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Head of Member Services and Scrutiny has
obtained the necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
No previous relevant decisions
CONSIDERATION BY OVERVIEW AND SCRUTINY
Not considered by Overview and Scrutiny
BACKGROUND PAPERS
No background papers
RESPONSIBLE CABINET MEMBER
Councillor James Airey, Cabinet Member for Adult Social Care
REPORT AUTHOR
Contact: Fiona Musgrave, County Manager – Performance. 01228 227141
Page 184
N/A*
Care Quality Commission
Citygate
Gallowgate
Newcastle upon Tyne
NE 1 4PA
Telephone: 03000 616161
Fax: 03000 616172
www.cqc.org.uk/findcareservices.cfm
Mr Richard Parry
Corporate Director – Adult and Cultural Services
Adult and Cultural Services Directorate
Cumbria County Council
15 Portland Square
Carlisle
CA1 1QQ
4th October 2010
EMBARGOED UNTIL 25 NOVEMBER 2010
Dear Mr Parry
Assessment of Commissioning for Cumbria council 2009/10: Results
The enclosed Assessment of Performance (AP) report outlines the findings of the
2009/10 commissioner assessment process for your council. Thank you for the
information you provided to support this process, and for the time made available
by yourself and your colleagues to discuss relevant issues.
The grades outlined in the AP report are an overall grade for delivering outcomes
and a separate grade for each of seven outcomes. There is a commentary on the
two domains of Leadership, and Use of resources and commissioning.
Also attached are
• The Quality Assurance & Moderation summary for your council, which
provides a record of the process of consideration by CQC.
• The form recording your council’s factual accuracy comments and CQC’s
response.
We expect you, as The Director of Adult Social Services, to present the AP report
to an open meeting of the relevant executive committee of the council by 31
January 2011 and to inform us of the date this will take place. Your council should
make the AP report available to members of the public at the same time, and must
copy this grading letter and report to the council’s appointed auditor.
Registered office: Finsbury Tower, 103-105 Bunhill Row, London EC1Y 8TG
Page 185
The grades we use are:
ADULT SOCIAL SERVICES
ASSESSMENT OF PERFORMANCE
Descriptor
2009/10 :Tameside
Grade 4: (Performing excellently)
A service that overall delivers well above
People who use services find that
minimum requirements for people, is highly
services deliver well above minimum
cost-effective and fully contributes to the
requirements
achievement of wider outcomes for the
community.
Grade 3: (Performing well)
A service that consistently delivers above
People who use services find that
minimum requirements for people is cost-
services consistently deliver above
effective and makes contributions to wider
minimum requirements
outcomes for the community.
Grade 2: (Performing adequately)
A service that delivers only minimum
People who use services find that
requirements for people, but is not
services deliver only minimum
consistently cost-effective nor contributes
requirements
significantly to wider outcomes for the
community.
Grade 1: (Performing poorly)
A service that does not deliver minimum
People who use services find that
requirements for people, is not cost-effective
services do not deliver minimum
and makes little or no contribution to wider
(performing adequately) requirements
outcomes for the community.
Registered office: Finsbury Tower, 103-105 Bunhill Row, London EC1Y 8TG
Page 186
ADULT SOCIAL CARE PERFORMANCE JUDGMENTS FOR
2009/10
Overall Grade Awarded for Delivery
Well
of Outcomes
Grade
Delivering Outcomes
Awarded
Improved health and emotional well–being
Well
Improved quality of life
Excellent
Making a positive contribution
Excellent
Increased choice and control
Well
Freedom from discrimination or harassment
Well
Economic well-being
Well
Maintaining personal dignity and respect
Well
The AP report sets out progress on areas of good performance, areas of improvement
over the last year and areas which are priorities for improvement. Where appropriate it
also identified any follow up action CQC will take.
CQC will publish your council grading and AP report at
http://www.cqc.org.uk/findcareservices.cfm on Thursday 25 November 2010.
Yours sincerely
Sue McMillan
Regional Director
Care Quality Commission, North West
C.c. Jill Stannard, Chief Executive
Registered office: Finsbury Tower, 103-105 Bunhill Row, London EC1Y 8TG
Page 187
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Page 188
Agenda Item 15
CABINET
Meeting date:
From:
6th January
Cabinet Member for Communities
Chief Executive
ANTI POVERTY STRATEGY UPDATE AND REFRESH FOR 2011
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1
This report summarises the results of the Anti Poverty initiatives that
delivered the Cumbria County Council Anti Poverty Strategy in 2009/10.
1.2
The report also presents a refreshed Strategy which will form part of
the policy framework for the county council and encompasses new
Anti Poverty initiatives – the ‘pillars’, compromising: Fuel Poverty,
Worklessness and Financial Exclusion & Child Poverty,
1.3
The report closely aligns with the council principles and priorities
currently undergoing consultation. The Council’s Anti Poverty Vision
as expressed in the Council Plan is to: “Challenge poverty in all its
forms ensuring that the most vulnerable people in our communities
receive the support they need and Improve the chances in life of the
most disadvantaged in Cumbria”
1.4
Within each of the four ‘pillars’ that comprise the new Anti Poverty
Strategy, the County Council holds a critical position in terms of
delivery. It takes the lead role in the Financial Inclusion Forum, the
Children’s Trust Board and the Fuel Poverty Task Group and is a key
partner in the Employment and Skills Board. As well as being essential
to putting strategies and action plans in place the Council’s most
important role is driving delivery on the ground ensuring that these
plans make a real and measurable difference to some of the most
vulnerable people in the County.
Page 189
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1
New council principles and priorities being consulted upon. The draft
concepts detail a need for a clear focus on poverty reduction
measures.
2.2
Big Society and new thinking about service delivery models may
require a more targeted approach. The refreshed Anti Poverty Strategy
will promote and inform targeted activity and provide a means to
monitor and report against agree priorities.
2.3
The Council has a statutory duty to produce a Child Poverty Needs
Assessment and a Child Poverty Strategy which are integrated into the
delivery structure for the refreshed Anti Poverty Strategy alongside
Fuel Poverty, Work & Skills & Financial Exclusion (each have their own
partnership developed Strategy and action plan, the draft Child Poverty
Strategy is also to be considered at this meeting of CMT).
3.0
RECOMMENDATION
3.1
Cabinet to note the report on delivery of the Anti Poverty Strategy in
2009 .
3.2
Cabinet to approve the refreshed Anti Poverty Strategy and the
approach to delivery
3.3
Cabinet to receive a further report within a year detailing progress of
the Strategy and positive benefits to the people of Cumbria through its
implementation.
Oliver Pearson, Cabinet Member for Communities
PART B – ADVICE OF CHIEF EXECUTIVE
4.0
BACKGROUND
4.1
This is the second County Council Anti Poverty Strategy. The first Anti
Poverty Strategy in 2009 addressed poverty and low income through the
services the County Council provides. The global economic recession was
adding to problems for households in Cumbria, as elsewhere, and the
strategy was a response to this challenge and to underlying issues
experienced across the county. The Action Plan for the Strategy gathered
Page 190
activity from across Directorates to provide a co-ordinated approach. There
were six themes in the strategy with fifty five associated actions, the vast
majority of which have been achieved.
Highlights of the effective delivery of the first Anti Poverty Strategy are:
•
•
•
•
•
•
•
•
•
4.2
Financial Inclusion Forum successfully launched.
Affordable Warmth Coordinator in place
Successful bid for DWP Futures Fund to create 219 jobs between
2010-11 totalling £1.42 million.
£700,000 package for intensive support for business start ups.
Money Advice Contract delivering good value for investment. at
118% over target. 1421 people have been assisted with debts of over
£9 million. Significant members’ interest gained through discussions
at Local Committees.
7,344 School Uniform grants given
265 people on long term incapacity benefit have been assisted back
into work on the Return to Work programme together with around 400
claimants receiving vocational training
There is a website on the Cumbria Observatory providing details on
the scale and nature of poverty in the county. This information assists
service provision and targeting of activity.
There is targeted support to the Third Sector through re-designating
the Infrastructure Contract with Cumbria CVS to support groups and
volunteers working in poverty reduction
The council undertakes as part of this refreshed Anti-Poverty Strategy, to
lead partnership action on the following areas to address poverty related
issues:
•
•
•
•
Fuel Poverty / Affordable Warmth
Child Poverty
Financial Exclusion
Work & Skills
Each ’pillar’ above, has a strategy document and Action Plan for delivery.
County Council delivery within these partnership ‘pillars’ sits within the
County Council Anti Poverty Strategy alongside the challenge to address
poverty of opportunity, and of ambition. There are strong links to the
principles which underpin the ‘Big Society’ agenda through the delivery of
the Strategy. The priorities and actions within the four pillars refer to
communities being supported, encouraged and given the tools to help shape
the solutions themselves. This approach is intended to address the specific
problems faced but also to contribute towards a culture of aspiration.
4.3
There is a continuing need to address poverty in the County as evidenced in
the needs assessment information.
Overall Cumbria is the 84th (out of 149) most deprived county across the
country. However, there are pockets of severe deprivation in many parts of
Cumbria which much not be forgotten. Barrow is in the most deprived 10%
Page 191
in England for overall deprivation, health and disability, living environment
and indoors living environment. Within some of our districts there are areas
(lower super output areas) which are some of the most deprived places in
England
• 44% of Barrow’s lower super output areas are in the most deprived
fifth of English areas
• 24.5% of Copeland’s areas are in the most deprived fifth of English
areas
• 24.5 of Allerdale’s areas are in the most deprived fifth of English
areas
• 23.5% of Carlisle’s areas are in the most deprived fifth of English
areas
Rural issues should not be forgotten - Eden is the most deprived district in
England for ‘geographical barriers.’ People living in Eden find it particularly
challenging to access services and to get around the county.
4.4
We must not forget the impact that the global recession has had on
Cumbria’s economy and the lives of the people who live and work here
through increases in the numbers in unemployment and on out of work
benefits Although evidence suggests that the impact in Cumbria has been
less severe and although there are signs of economic recovery for Cumbria
and the rest of the country, uncertainty about recovery and economic growth
remains high. Cuts in Government spending and other economic factors
are expected to be very challenging and damaging to Cumbria’s public
sector workforce, its supply chain and its key industries reliant on
Government contracts. Whilst the aim of the Government’s major Welfare
Reform is to break the cycle of dependency and make work pay, it is set
against a climate of a deficit reduction of £18billion in the Welfare Budget.
The impact of migrating people off incapacity benefit onto the lower JSA
rates and changes to housing benefit also remains unknown but is likely to
reduce the living standards of those on benefit.
4.5
The Anti Poverty Officers group, managed by the Chief Executives Office
and with representatives from: Children’s Services, Environment and Adults
will monitor and report on progress across the Strategy. As well as
assessing the findings & recommendations of the Frank Fields ‘Independent
Review on Poverty and Life Chances’ and the implications of other changes
such as the move to universal credit on the people of Cumbria. The group
will also promote initiatives leading to a culture of aspiration, particularly
working with stronger communities and community engagement initiatives.
5.0
OPTIONS
5.1
Members may wish to amend the strategy if it does not reflect their
aspirations with regards to poverty.
5.2
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1
No specific resource implications have been determined at this stage.
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6.2
Specific resource issues for the areas of activity highlighted are addressed
as part of the Councils budget setting process.
7.0
LEGAL IMPLICATIONS
7.1
No specific legal implications have been identified at this stage.
8.0
CONCLUSION
8.1
Anti poverty initiatives are emerging as a key activity for the council. The
refreshed Anti Poverty Strategy is a tool to coordinate activity to make a
measurable difference to some of the most vulnerable people in the county.
APPENDICES
1.
Draft Anti Poverty Strategy
Electoral Division(s): All in Cumbria
Executive Decision
Yes
Key Decision ?
No
If a Key Decision, is the proposal published in the current Forward Plan?
No
Is the decision exempt from call-in on grounds of urgency?
No*
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
N.B.
N/A*
Yes
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Head of Member Services and Scrutiny has
obtained the necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
Council Decision November 2008
Cabinet Decision January 2009
Cabinet Decision April 2009
CONSIDERATION BY OVERVIEW AND SCRUTINY
Progress on the Fuel Poverty Action Plan is reported regularly to the Health &
Well Being Scrutiny Committee. The Children & Young People Scrutiny
Page 193
N/A*
Advisory Board will be reviewing the draft of the Child Poverty Strategy &
Needs Assessment
BACKGROUND PAPERS
None
RESPONSIBLE CABINET MEMBER
Oliver Pearson, Cabinet Member for Communities
REPORT AUTHOR
Lorrainne Smyth Community Programmes and Performance Manager
[email protected]
David Stephens, Inclusion Programme Manager
[email protected]
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Anti Poverty Strategy
2011
Page 195
Anti Poverty Strategy 2011
Contents
1. Foreword
2. Introduction
3. What we know about Poverty in Cumbria
4. The national, regional and local context
5. Our vision, outcomes, priorities
6. Delivering the strategy
7. Performance managing
managing and reviewing the strategy
8. Shaping the strategy
9. Glossary and appendices
Page 196
1. Foreword
Poverty is affecting the lives of people across all parts of Cumbria. Low incomes limit opportunities
and prospects for children and young people, damage the quality of life for families and ultimately
harm the long-term health and life expectancy for too many Cumbrians.
Poverty isn’t just an economic issue – it has a direct impact on health and well being and on quality
of life. It doesn’t just affect the here and now - it has effects which outlast single generations and
families, reaching into the future to affect the lives of those not yet born. Children growing up in
poverty in Cumbria are more likely to suffer poor health, do less well in school and become the
next generation of adults at risk of unemployment and long-term poverty.
Approximately 15,000 children under 16 live in income deprived households in Cumbria. A child
born and growing up in Moss Bay (Allerdale) can expect to live nearly 20 years less than someone in
Greystoke (Eden), a community which is just 30 miles away but where average incomes are much
higher. According to Age Concern, almost one in four pensioners live in poverty nationally, with
particularly high incidence amongst the older pensioner population.
Whilst the county as a whole appears relatively affluent, this masks high levels of deprivation
affecting specific neighbourhoods and communities, in particular, very significant parts of West
Cumbria, Furness and Carlisle. Averaging out of figures across the county also disguises the specific
experience of poverty for families and individuals living in all parts of Cumbria. People living on low
incomes in many of our communities find it hard to access advice, facilities and afford opportunities
and services that others take for granted.
Poverty is part of life for many of those both in and out of work in Cumbria with low pay, limited
job security and the necessity of taking multiple part-time jobs being a feature of some of the
county’s economic sectors including tourism (particularly hotel and catering) and agriculture
(particularly upland farming), retail and social care. In communities with higher proportions of
manufacturing and public service jobs, average wage rates are closer to the regional average.
The current economic climate is now making this situation more acute with dramatically increasing
numbers of people facing uncertain or already bleak job prospects. The county has already seen
redundancies for some, and reduced hours and thus wages for many more people working in both
the public and private sectors. This is causing financial hardship and worries about the future
evidenced by increasing demands for advice on re-training, benefits and other support.
The county council has both an obligation and an opportunity to protect the interests of those in
greatest need and to champion the cause of those who are most at risk. People who experience
poverty are all too often those who have the least say or direct influence on decisions which we and
others take, affecting their lives. They are less likely to give us feedback on our services, are less
well represented in conventional consultation and are less able to influence the market through
their limited spending power.
3
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Anti Poverty Strategy 2011
2. Introduction
Much of the council’s core business is already targeting issues associated with the impact of the
economy – be it ensuring young people have an education which enables them to explore their full
potential, or helping vulnerable adults and young people live independent lives, able to access the
support they need.
Wherever possible we will prioritise action which helps to lift people out of poverty and improve
lives for those on low incomes. Our Council Plan for 2011 includes the following three priorities:
•
•
•
Challenging poverty in all its forms;
Ensuring that the most vulnerable people in our communities receive the support they
need; and,
Improving the chances in life of the most disadvantaged in Cumbria
Crucially, this Anti Poverty Strategy will form part of the policy framework for the county council
and therefore be part of the basis for all future decision making about budgets and priorities. This
will ensure that all future choices by the council about services, and about our leadership role, have
to take account of their impact on the lowest paid people in our communities.
This is the second Anti Poverty Strategy the County Council produced it’s first Anti Poverty
Strategy in 2009 to address poverty and low income through the services it provides. The global
economic recession was adding to problems for households in Cumbria, as elsewhere, and the
strategy was a response to this challenge and to underlying issues experienced across the county.
The Action Plan for the Strategy gathered activity from across Directorates to provide a coordinated approach. There were six themes in the strategy with fifty five associated actions all of
which have been achieved or are being progressed effectively.
Highlights of the effective delivery of the first Anti Poverty Strategy are:
•
•
•
•
•
•
•
•
•
Financial Inclusion Forum successfully launched.
Affordable Warmth Coordinator in place
Successful bid for DWP Futures Fund to create 219 jobs between 2010-11 totalling £1.42
million.
£700,000 package for intensive support for business start ups.
Money Advice Contract delivering good value for investment. at 118% over target. 1421
people have been assisted with debts of over £9 million. Significant members’ interest
gained through discussions at Local Committees.
7,344 School Uniform grants given
265 people on long term incapacity benefit have been assisted back into work on the
Return to Work programme together with around 400 claimants receiving vocational
training
There is a website on the Cumbria Observatory providing details on the scale and nature
of poverty in the county. This information assists service provision and targeting of
activity.
There is targeted support to the Third Sector through re-designating the Infrastructure
Contract with Cumbria CVS to support groups and volunteers working in poverty
reduction
Page 198
The council undertakes as part of this Anti-Poverty Strategy, to lead partnership action on the
following areas to address poverty related issues:
•
•
•
•
Fuel Poverty / Affordable Warmth
Child Poverty
Financial Exclusion
Work & Skills
Each of these ‘pillars’ of the Council’s approach to addressing poverty are supported by detailed
plans already in place or being developed by partnerships driven by the Council.
The Council is very clear that poverty is not just financial; there is also poverty of opportunity, and
of ambition, and those elements point to solutions as well as to problems. These are important
considerations and they are built into the delivery of actions. There are strong links to the principles
which underpin the ‘Big Society’ agenda through the delivery of the Strategy. The priorities and
actions within the four pillars refer to communities being supported, encouraged and given the tools
to help shape the solutions themselves. This approach is intended to address the specific problems
faced but also to contribute towards a culture of aspiration.
5
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Anti Poverty Strategy 2011
3. What we know about Poverty in Cumbria
General Deprivation
Information about levels of poverty, and its impact on people’s lives comes from a range of sources
and places – covering issues like health, employment, income and well-being. An important aspect of
poverty in Cumbria is the extent to which it restricts people’s access to services, employment and
training. For the 17.2% of Cumbrians (82,572 people) who don’t have a car and are reliant on public
transport, this is a particular challenge. Of those who do have a car, many, particularly in rural areas,
are unable to access it during the working day and are therefore similarly dependent on local
services and/or public transport.
Overall Cumbria is the 84th (out of 149) most deprived county across the country. However, there
are pockets of severe deprivation in many parts of Cumbria which much not be forgotten. Barrow
is in the most deprived 10% in England for overall deprivation, health and disability, living
environment and indoors living environment. Within some of our districts there are areas (lower
super output areas) which are some of the most deprived places in England
• 44% of Barrow’s lower super output areas are in the most deprived fifth of English areas
• 24.5% of Copeland’s areas are in the most deprived fifth of English areas
• 24.5 of Allerdale’s areas are in the most deprived fifth of English areas
• 23.5% of Carlisle’s areas are in the most deprived fifth of English areas
Rural issues should not be forgotten - Eden is the most deprived district in England for ‘geographical
barriers.’ People living in Eden find it particularly challenging to access services and to get around
the county.
We must not forget the impact that the global recession has had on Cumbria’s economy and the
lives of the people who live and work here through increases in the numbers in unemployment and
on out of work benefits Although evidence suggests that the impact in Cumbria has been less severe
and although there are signs of economic recovery for Cumbria and the rest of the country,
uncertainty about recovery and economic growth remains high. Cuts in Government spending and
other economic factors are expected to be very challenging and damaging to Cumbria’s public
sector workforce, its supply chain and its key industries reliant on Government contracts. Whilst
the aim of the Government’s major Welfare Reform is to break the cycle of dependency and make
work pay, it is set against a climate of a deficit reduction of £18billion in the Welfare Budget. The
impact of migrating people off incapacity benefit onto the lower JSA rates and changes to housing
benefit also remains unknown but is likely to reduce the living standards of those on benefit.
Fuel Poverty
“A household is said to be in fuel poverty if it needs to spend more than 10% of its income on fuel
to maintain a satisfactory heating regime (21 degrees for the main living area, and 18 degrees for
other occupied rooms)” Source: Department of Energy & Climate Change. Based on this definition,
there are approximately 41,000 households in Cumbria that are in fuel poverty, equal to around
19% of the total number of households in the county. Fuel poverty is particularly prevalent in rural
areas of Eden and South Lakeland; and urban areas within Barrow, principally where incomes are
low.
Fuel poverty is likely to have a significant impact on the health of those people affected. One impact
of this is reflected in the excess number of winter deaths (in comparison to the number of summer
deaths). Lack of heating and warmth in the home as a result of fuel poverty is associated with
Page 200
increased vulnerability to respiratory and circulatory related winter deaths especially in older
people.
In the winter of 2007-08, there were 233 excess winter deaths in the county, an index of 13.6%,
which is below the national index of 15.7%. Excess winter deaths were greatest in Eden, a total of
50, 32%.
Child Poverty
There are 84,800 children (aged under 16years) living in Cumbria, making up 17% of Cumbria’s total
population. Numbers of children have fallen in recent years and are forecast to continue to fall in
the future. Approximately 16.4% (14,967) of these children are living in property. Levels of child
poverty in Barrow are highest in Cumbria at 23.1% and exceed the national level of 22.4%. The
highest levels of child poverty are in the urban areas of the county, however, small pockets of
poverty are evident in rural parts of the county also.
There is no one controlling factor effecting child poverty, different communities have different needs
which need to be considered when providing services.
The life chances of children living in child poverty are reduced and in terms of educational
attainment the attainment gap grows from early years through to Key Stage 4 compared to children
living in areas where child poverty is less evident. For those children eligible for free-school meals
this gap is more apparent.
11.7% of school children are eligible for free-school meals but the take-up level is below at 9.9%.
Areas with high levels of eligibility do not always have the highest levels of take-up, and in particular
the Central ward in Barrow, almost 40% of children are eligible but just 87% take-up.
Table 1: Proportions of children living in poverty by district in Cumbria1
% & Number of Children in Poverty
(Based on NI116: Proportion of children living in families in receipt of out of work
benefits or in receipt of tax credits where their reported income is less than 60%
of median income)
Under 16 (%)
Under 16 (Count)
All children (%)
All children (Count)
England
22.4%
1,175,766
21.6%
1,449,607
Cumbria
16.4%
14,967
15.6%
17,102
Allerdale
17.4%
3,063
16.7%
3,512
Barrow
23.1%
3,256
22.1%
3,744
Carlisle
16.9%
3,211
16.1%
3,709
Copeland
20.1%
2,611
19.2%
2,983
Eden
9.9%
922
9.5%
1,054
South Lakeland
9.5%
1,735
9.1%
2,000
One in five dependant children in Cumbria live in lone parent households. In the district of
Copeland – almost one in four children live in one parent families.
1
HMRC (2008) National Indicator 116: The Proportion of children in poverty
7
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Anti Poverty Strategy 2011
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Financial Exclusion
The HM Treasury states that: “Many people, particularly those living on low incomes, cannot access
mainstream financial products such as bank accounts and low cost loans. This financial exclusion
imposes real costs on individuals and their families - often the most vulnerable people in our society.
It also has costs for the communities in which they live”2.
There are many financially excluded groups in Cumbria, particularly in areas of Eden and South
Lakeland. It is important to provide financial services and support in order to improve and eradicate
poverty. Priority areas were defined as follows: access to banking; access to affordable credit; and,
access to free face to-face money advice.
There are 19,205 households in Cumbria with an annual income of less than £10,000. Many of the
urban areas across the county have high proportions of households with low incomes (in particular
throughout Barrow); as well as isolated rural parts of Eden such as Alston Moor and Appleby. All
areas have similar needs in terms of financial support but all face very diverse challenges relating to
their environment.
Wages/salaries in Cumbria are relatively low with earnings in particular areas significantly lower than
national and regional averages. The average median household income in Cumbria is £25,525,
compared to £28,445 for the rest of the UK. Barrow has the lowest household income which we
would expect as many households are struggling with an income of less than £10,000 per year.
Table 2: Household median income by district3
Cumbria
Allerdale
Barrow
Carlisle
Copeland
Eden
South Lakeland
UK
North West
£25,525
£24,923
£22,466
£25,731
£25,524
£26,737
£27,600
£28,445
£26,626
Using socio-economic data we can identify those living in the most deprived areas across the
county. 18.8% of Cumbrian households are “hard pressed”. The hard pressed category represents
the poorest areas of the county and contains people who experience some of the most difficult
social and economic conditions and who have limited opportunity to improve their circumstances.
Although the proportion of hard pressed households in Cumbria is below the national level, there
are pockets of severe deprivation - almost one third of all households in Copeland are hard pressed,
quite a stark reality.
The dispersion of financially excluded groups in Cumbria is mainly associated with the districts of
Allerdale, Barrow, Carlisle and Copeland. Financial services have been and will continue to be
2
3
http://www.hm-treasury.gov.uk/fit_index.htm
CACI, Paycheck, Streetvalue, Acorn 2010
9
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Anti Poverty Strategy 2011
Number of Households (000s)
targeted at these districts now and in the future. However, it is important not to exclude those
pockets of hidden financial exclusion within rural areas of Eden and South Lakeland; although
numbers are low there are still people in those areas that need our help.
Distric ts b y H ou seh old In c om e B a n d s: CACI P a y c h eck 2010
14
12
10
8
6
4
2
0
0-10k
10-20k
20-30k
30-40k
40k +
Allerdale Barrow-in-
Carlisle
Copeland
Eden
Furness
South
Lakeland
H ou seh old s in Cu m b ria with a n in c om e less th a n
£10,000
18.1%
Allerdale
19.4%
Barrow-in-Furness
Carlisle
Copeland
9.2%
Eden
17.6%
14.6%
21.1%
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South Lakeland
Work & Skills
Worklessness and unemployment is a real issue in parts of Cumbria with high levels of out of work
benefit claimants and job seekers allowance claimants. Those who do not work often have a family
history of unemployment, generally under-achieve educationally, have limited skills, and have low
expectations or aspirations for employment.4
Currently, there are 35,860 people in Cumbria claiming out of work benefits, a rate of 11.5.% The
greatest proportions are in urban areas of Barrow in particular Central ward at a rate of 32.8 or
1,140 people; and in Moss Bay in Allerdale at a rate of 32.2% or 875 people. Almost two thirds of
the workless population in Cumbria is claiming Incapacity Benefit/Employment Support Allowance,
higher than the regional and national average.
The current unemployment rate in Cumbria is 2.6.% And although claimant rates in Cumbria are
lower than regional and national averages, there are pockets of high unemployment across the
county. As we’d expect, rates are high in urban parts of the county and although rates are low in
rural areas this can be misleading as unemployment can often go hidden. Often unemployment is
hidden among women who would like to work but are deterred by the cost or availability of
childcare or other care commitments.
Graph: Claimants by benefit type
Claimants by Benefit Type, Feb 2010 (% of claimants)
100
3.8
3.4
90
13.8
12.7
3.3
10.8
11.4
2.7
10.3
11.5
2.8
11.2
4.5
9.4
4.2
8.8
51.9
56.1
62.4
59.9
65.0
60.3
61.6
65.0
66.1
30.44
27.83
23.60
25.24
22.01
24.88
24.33
21.08
21.02
North West
Cumbria
Allerdale
Barrow
Carlisle
Copeland
Eden
South
Lakeland
3.5
3.3
80
70
60
50
40
30
20
10
0
GB
job seeker
ESA & incapacity benefits
lone parent
others on income related benefit
Women are more likely to be economically active than men. Generally, Cumbria has a lower
proportion of residents in managerial and senior positions than the UK, and a much higher
proportion of residents working in skilled trades (manufacturing).
Cumbria has lower than average rates of people with NVQ qualifications, and in particular low
levels of those with high level skills (NVQ4+). 25.6% of Cumbria’s working age population are
qualified to NVQ4+, compared to 27% for the region and 29.8% for the UK. However, 36.8% of
people living in South Lakeland are qualified at NVQ4+ or equivalent.
4
Local Economic Assessment of Cumbria 2010
11
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Anti Poverty Strategy 2011
4. The national, regional and local context
The Council Plan sets out our commitment to improving the lives of local people and delivering
good quality services that are responsive to local needs and expectations. We will create the
conditions for Cumbria’s communities to thrive by putting people at the heart of everything we do,
and work with others to deliver excellent services for those who need us most.
We will seek to ensure that our resources are focused in the best ways possible to support the
delivery of services to the people of Cumbria. We will continue to drive out inefficiencies and
provide value-for-money services. We will look for ways we can seamlessly develop and deliver
services jointly with other organisations in order to improve outcomes for local people. It is also
important to us to listen to the voice of the rural population and make sure that people in more
isolated rural areas of the county have access to essential services.
There is a particular focus in the 2011 Council Plan on ‘Challenging poverty in all its forms’. The
Council aims to take positive actions to prevent families and individuals getting into poverty by
providing opportunities for work, minimise the harm caused by poverty for people living on low
incomes and support families and individuals to get out and stay out of poverty. Amongst these are
the increasing numbers of older people in our population. We will continue our work to enable
people to live and be supported, if required, in their own homes and for them to have more control
over the funds available from us to direct their support.
The delivery of this Anti Poverty Strategy through the four pillars will also take into consideration
the findings of the Independent Review of Poverty and Life Chances led by Frank Fields MP, this
review looked to:
•
•
•
•
Explore how a child's home environment affects their chances of being ready to take full
advantage of their schooling
Generate a broader debate about the nature and extent of poverty in the UK
Recommend potential action by government and other institutions to reduce poverty and
enhance life chances for the least advantaged, consistent with the Government's fiscal
strategy
Examine the case for reforms to the poverty measures, in particular for the inclusion of nonfinancial elements
The Equality Act (2010) brings together existing anti-discrimination law and includes a new definition
of discrimination based on the notion ‘protected characteristics’. These are aspects of a person that
can be subject to unfair treatment. For the first time all public authorities will have a responsibility
to consider the impact of decisions on socio-economic disadvantage. Section 1 of the Equality Act
outlines this responsibility: “When making decisions of a strategic nature about how to exercise its
functions, [a public body should] have due regard to the desirability of exercising them in a way that
is designed to reduce the inequalities of outcome which result from socio-economic disadvantage”
The Equality Act will also require public authorities to carry out Equality Impact Assessments of all
services and decisions that have a financial implication. Current work by the Treasury is suggesting
that reductions in public expenditure are likely to have a disproportionate impact on women and
disabled people. To address this, the Council will need to ensure that all Equality Impact
Assessments carried out by the Council consider the impact on socio-economic status.
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Fuel Poverty
To ensure the available resources are focused most effectively in tackling the problems underlying
fuel poverty, the Government intends to initiate an independent review of the fuel poverty target
and definition. Some of the key national developments include: Funding for Carbon Energy
Reduction Targets these measures which include loft and cavity wall insulation has been extended
until 30th Dec 2012, until this date Super Priority and Priority Fuel Poor Groups will be able to
access measures free of charge.
Cumbria has 18 lower super output areas that have been identified under the Community Energy
Savings Program scheme which is an Area Based Approach targeted at the most densely populated
deprived wards, and includes works to tackle hard to treat properties. This funding will also come
to an end in December 2012. DECC will fund a smaller, targeted Warm Front Program for the next
two years with a budget of £110 million in 11/12 and £100 million in 12/13.
From 2013, support for heating and insulation for the most vulnerable will be delivered through the
Green Deal for energy efficiency and a new obligation on energy companies. At the same time,
from April 2011, energy suppliers will provide greater help with the financial costs of energy bills to
more of the most vulnerable fuel poor households, through Social Price Support – with total
support of £250 million in 11/12 rising to £310 million in 14/15.
The existing rate of winter fuel payment is authorized by the Social Fund Winter Fuel Payment
(Temporary Increase) Regulations, and concerns are now being expressed that there will be
reductions in the level of payment to the amount specified in the original regulations. This would
mean age-related payments of £200 or £300 from next winter.
Child Poverty
The coalition government has renewed the commitment to end child poverty by 2020. The Child
Poverty Act, which received Royal Assent in March 2010, requires action to be taken by
government at national and local levels. A UK-wide Child Poverty Strategy, to be published in
March 2011, will set out the measures proposed to ensure that children in the UK do not
experience socio-economic disadvantage in the future. Annual reports will monitor progress and
identify actions required.
The national strategy will be revised and refreshed every three years to 2020 to ensure that the
most recent evidence and progress are taken in to account. Regionally, a series of Child Poverty
Network meetings will be held to ensure that the most up-to-date information is received by local
council officers responsible for preparing and publishing a local needs assessment and developing
and delivering a local strategy alongside relevant partners.
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Anti Poverty Strategy 2011
Financial Exclusion
The National Financial Inclusion Action Plan is overseen by the FI Taskforce and is supported by a funding
stream being delivered through the DWP’s Financial Inclusion Fund. ‘Financial exclusion and
unmanageable debts present a real challenge. People on low incomes are more likely to be at risk,
and a substantial number of people have no access to bank accounts. They are more likely to use
the alternative credit market and pay far higher levels of interest, leading to financial and social
exclusion and poverty’ (Promoting financial inclusion and tackling over-indebtedness – Department
for Works and Pensions, DWP, 2007)
As part of its process of welfare reform and review of the Social Fund the Coalition Government
has highlighted the importance of issues relating specifically credit and debt in modern society.
Work & Skills
The Government is committed to rebalancing the economy away from a reliance on the South East
region, the public sector and financial services towards an expansion of the private sector,
particularly through creating jobs in manufacturing and through export led growth. Whilst Cumbria
has an opportunity to benefit from having a higher proportion employed in the manufacturing
sector, 25% of the County’s workforce are currently in public sector jobs. An analysis of the
Coalition’s deficit reduction plans by PricewaterhouseCooper suggests the North West is likely to
lose around 3.7% of its jobs, with the Institute of Public Policy Research suggesting this will
exacerbate the North /South divide.
At a subregional level, the County Council established the Employment and Skills Board (ESB) as a
public /private sector body to ensure that training provision better reflected the needs of Cumbrian
businesses and the jobs market. The ESB recognised that in order to support the development of
employment support and skills provision relevant to local economic needs, an uptodate evidence
base was required. As such, Cumbria Vision and the County Council on behalf of the Board have
developed an integrated Economic & Skills Audit, which includes a report identifying future needs
for the local economy in terms of employment and skills.
In order to respond to the findings of the research, it was agreed to develop a Cumbria Work &
Skills Plan. Currently in draft, the Plan articulates what provision and support is required locally to
ensure that Cumbrian people are best able to take advantage of future employment opportunities,
to ensure local businesses have the opportunity to influence skills provision and to give local skills
and training providers evidence to support the development of suitable provision to support
economic growth.
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5. Our vision, outcomes, priorities
The Council’s Anti Poverty Vision as expressed in the Council Plan is to:
Challenge poverty in all its forms ensuring that the most vulnerable people in our communities
receive the support they need and Improve the chances in life of the most disadvantaged in Cumbria
Within each of the four ‘pillars’ the County Council holds a critical position in terms of delivery. It
takes the lead role in the Financial Inclusion Forum, the Children’s Trust Board and the Fuel Poverty
Task Group and is a key partner in the Employment and Skills Board. As well as being essential to
putting strategies and action plans in place the Council’s most important role is driving delivery on
the ground ensuring that these plans make a real and measurable difference to some of the most
vulnerable people in the County.
The key outcomes for the four pillars are:
•
•
To reduce the number of fuel poor households in Cumbria
To ensure that children in poverty the best start in life and that the Council and partners
take necessary steps to reduce poverty and address the impacts of poverty
• To ensure everyone in Cumbria has access to financial services and information at a level
appropriate to their needs
• For Cumbria to have one of the fastest growing economies in the UK, in an en
energ
ergised
ergised and
healthy environment with clarity on priorities for skills and employment support .
Each pillar has it’s own strategy or with associated action plans outlining their agreed priorities
either in place or in development. These can be accessed via the Council’s website through the Anti
Poverty pages.
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Anti Poverty Strategy 2011
6. Delivering the strategy
There are existing and developing partnership action plans and strategies for each of the four
themes or ‘pillars’ which underpin this Anti Poverty Strategy. These direct our work across a range
of activity with a mix of immediate actions – like making sure people have access to affordable
finance through Credit Unions, as well as longer-term commitments – like ensuring our
regeneration priorities focus on improving prospects for those on lowest incomes and strengthening
Cumbria’s economy, creating jobs and opportunities.
a. Fuel Poverty
Definition of issue
Fuel Poverty is a growing national problem with the relative cost of fuel still significantly
more expensive than over the last five years. In Cumbria there are specific local
circumstances that make this problem worse. Cumbria has a disproportionately high number
of low earners. Any increase in fuel prices has a greater impact on these people. We have
particular urban communities where a large proportion of the residents are on low wages.
We also have more older people on pensions who need to keep warm and again suffer most
from extra costs. We have older housing stock which is unlikely to be fuel efficient. Rural
communities by nature of their added distance from services, will incur higher fuel costs.
Each of these communities have particular needs for support. Fuel poverty is a huge problem
for Cumbria.
There are varying estimates of how many households are living in fuel poverty, but indicators
are that there are an estimated 4.5 million (Public Accounts Committee - July 2009), due to
the increase in energy prices and reduced incomes due to the recession. Other Agencies
estimate between 5-6 million. Cumbria is a very sparsely populated area, and in areas of high
rurality, where households do not have access to mains gas, and live in “hard to heat”
homes, (stone built, no cavity walls and no gas network) this problem is exacerbated. These
households are further compromised, in that they are often less likely to take up their full
entitlement to available benefits, further reducing their available income. Research has been
carried out, which indicates that excess winter deaths are directly attributable to cold, less
well insulated homes (Wilkinson 2001 - Rudge Gilchrist 2005). In addition, there are a higher
number of slips, trips and falls which result in hospital admissions. Condensation and
dampness in a poorly heated/fuel inefficient property contributes to a greater prevalence of
respiratory conditions such as bronchitis and asthma, and can adversely affect other
conditions such as arthritis and blood pressure.
Objectives
•
•
•
To identify vulnerable and harder to reach groups, and target actions at fuel poor
households
To raise awareness of fuel poverty and its solutions
To maximise the income of households at risk from fuel poverty
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Illustrative Action
An Affordable Warmth Strategy is to be developed through the Fuel Poverty Task Group.
An Action Plan is to sit alongside the Strategy as a working document and this will have
identified outcomes for reducing the number of fuel poor households in Cumbria. One of
the actions already discussed and agreed is to establish ‘warm zones’ across the County.
b. Child Poverty
Definition of issue
Tackling child poverty and improving children’s life chances is everybody’s business. The task
is recognised as a priority by Cumbria County Council and to this end the council is leading
on the child poverty strategy which will reduce and mitigate the effects of child poverty for
families in Cumbria. It will be a challenge that requires a co-ordinated, joined up and
consistent approach from the council and its partners to ensure that the problem is tackled
effectively.
The government made it clear that the local emphasis should not be for Cumbria to meet
the four national targets at local level – it is to develop a local strategy across the four
building blocks and drive action that makes a difference to disadvantaged communities.
The County Council will lead on tackling child poverty, working closely with partners.
Objectives
A local stand-alone child poverty strategy must be produced by April 2011. At this stage
there are two main objectives in the outline strategy:
•
•
Reducing the numbers of children and young people in poverty through work and
skills.
Reducing the impacts of poverty by encouraging children and young people to be
more economically independent.
Illustrative Action
To work with the Richard Rose Academy in Carlisle on a focused piece of project work to
examine the disconnect between free school meal eligability and uptake.
c. Financial Exclusion
Definition of issue
Financial exclusion can be defined as the inability of individuals, groups and communities to
access and use appropriate and affordable financial products and services. Financial inclusion
is about ensuring everyone has the opportunity to access the financial services products
needed to participate fully in modern day society. This includes:
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Anti Poverty Strategy 2011
•
•
•
•
•
Access to affordable and responsible credit
Access to an appropriate bank account
Access to face to face debt advice
Access to basic home contents insurance
Access to savings
The need for affordable credit is the biggest challenge for us here in Cumbria. The districts
of Carlisle, Allerdale, Copeland and Barrow fall within the top 50 most excluded areas in the
UK, in terms of the mismatch between the need for and availability of affordable credit. Debt
affects individuals, families and whole communities, blighting lives and stifling personal
opportunity to live a healthy and fulfilling life. In addition, this lack of affordable credit
directly impacts on the Cumbrain economy. Lancaster University Business School found that
at anyone time around 3 million is out on loan to doorstep lenders in the county. Ultimately
millions of pounds are flowing out of Cumbria, often from our most deprived wards, in to
the pockets of door step lenders and at worse loan sharks.
Objectives
The purpose of the Financial Inclusion Action Plan is to develop a strategic approach to
Financial Inclusion across Cumbria by
•
•
•
Embedding financial inclusion in the work of key strategic agencies and decision
makers
Engaging partners in developing and directing a joint programme of work within the
county
Achieving a lasting legacy for Cumbria through the consolidation and growth of the
Credit Union Movement
The Cumbria Financial Inclusion Forum’s vision is that “Everyone in Cumbria has access to
financial services and information at a level appropriate to their needs”. This strategy
establishes seven key objectives to enable that vision to be achieved:
•
•
•
•
•
•
•
Strengthen our collective responsibility by embedding financial inclusion in the
strategic framework within Cumbria
Increase access to and take up of basic bank accounts
Improve access to advice and information and raise financial capability
Encourage people to save, particularly from low income groups
Increase the take up of Home Contents Insurance products, particularly amongst
social landlords tenants
Increase access to affordable credit
Consolidate and expand the Credit Union movement across the county
The strategy will be developed, directed and the impact monitored by CFIF. Financial
Inclusion will be embedded in core documents and strategies county wide. This will be done
through the Cumbria Strategic Partnership and LSP structures at district level and via key
stakeholders such as social landlord and Third Sector partners.
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Illustrative Action
Utilising match funding from DWP to employ dedicated staff to work alongside the credit
unions were needed to support them in their development plans, encouraging and practically
supporting the Credit Unions through the merger process and expansion of common bond
areas. Seeking and securing funding and in kind support from partner agencies to develop the
infrastructure of the existing credit unions. Increasing the membership of the movement
county wide through marketing and by partner agencies and large employers encouraging
their staff to join and make use of payroll deductions facilities. Developing innovative
outreach and IT solutions and utilising existing services and resources already operating in
rural areas. Strengthening the governance arrangements within individual credit unions and
where appropriate, facilitating new board members with particular skills and knowledge on
to the Boards. Providing access to training and knowledge through links with groups such as
ABCUL and partner agencies. Improving the numbers and skills within the volunteer base
through professional volunteering schemes and by working with CVS, ACT, Cumbria
Community Foundation and partner agencies. Developing interested community groups and
by stimulating and supporting their formation where none exist
d. Work & Skills
Definition
Definition of issue
In the current economic climate, with ever reducing resources, it is more important than
ever that Cumbrian partners are clear on their priorities for increasing workforce skills and
improving employment support. These priorities must ensure the development of suitable
provision that meet the needs of businesses and individuals to create a vibrant and
productive workforce which helps drives up the County’s Gross value Added .
Objectives
The Work & Skills Plan provides an excellent opportunity to link employment support and
skills provision to regeneration plans across the County ,as well as supporting local provider
discussions with key funding bodies such as the Skills Funding Agency when developing and
expanding provision. This will lead to:
•
•
•
young people being better informed about employment opportunities within the
county and possessing improved employability skills;
businesses and employers being more engaged with the skills agenda and having the
opportunity to input into developing provision; and
crucially, providing the support and training for those that are workless to move into
sustainable employment in growth sectors.
Illustrative Action
The Action Plans are structured around three themes:
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Anti Poverty Strategy 2011
•
•
•
Information, Advice and Guidance – looking at the support required for young people
to ensure that they are aware of the economic, employment and skills opportunities
that will be available in Cumbria. This work has been led by Connexions Cumbria.
Employment Support – being developed by the County Council and focussed on
strategic interventions required to reduce worklessness in the County and ensure
that unemployed people are supported to find work in emerging sectors and able to
access the necessary training support to facilitate this.
Sectoral Support – developed around the four Cumbrian Regeneration Delivery
Areas and focussing on outlining the provision that needs to be expanded, developed
or altered to meet business needs, the requirements arising out of major projects
and the economic aspirations of the County. These action plans have been led by the
College Principals in collaboration with other local learning providers, local
businesses and other key partners.
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7. Performance managing and reviewing the strategy
The Anti Poverty Strategy is a key policy document for the County Council linked closely to the
Council Plan. It is produced, reviewed and performance managed through the Chief Executive’s
office. There will be annual reviews of the Strategy between January and April to inform the
Council’s service planning cycle. Annual reports being provided to Cabinet on progress made in
delivering against the four ‘pillars’ and any changes made to the overarching Strategy to reflect
circumstances.
a. Fuel Poverty
Tackling Fuel Poverty is coordinated through the Healthy Communities and Older People
Thematic Partnership. A Fuel Poverty Task Group was set up at the end of 2009 to provide
for a coordinated multi-agency approach by partners in Cumbria. Community engagement is
seen as essential element of this coordinated approach which will include energy saving,
being prepared for winter conditions and actively managing fuel bills. The Fuel Poverty Task
Group reports to the HCOP Steering Group.
b. Child Poverty
The Chief Executive’s Office are leading the project team working on the assessment and coordinating the development of the Strategy, with input from Children’s Services. The Needs
Assessment and Strategy will be taken through Cabinet, the Childrens’ Trust Board and the
Cumbria Strategic Partnership for consultation and approval.
c. Financial Exclusion
The strategy will be developed, directed and the impact monitored by Cumbria Financial
Inclusion Forum, which is facilitated and chaired by the County Council. Financial Inclusion
will be embedded in core documents and strategies county wide. This will be done through
the Cumbria Strategic Partnership and LSP structures at district level and via key
stakeholders such as social landlord and Third Sector partners.
d. Work & Skills
The Work & Skills Plan has been developed through the leadership of the Employment &
Skills Board. However, since the election of the new Coalition Government and the changes
taking place in the regeneration architecture, key local stakeholders have been reviewing
current structures in preparation for the new Local Enterprise Partnership (LEP). A single
LEP for Cumbria has now been agreed by Government and the County Council is working
with partners to establish the private /public sector board. Once this has been set up and its
detailed role determined, it is expected the LEP will take over the governance and
monitoring of the Work & Skills Plan. The Work and Skills Plan will form just one element of
the LEP’s coordinated strategy to ensure Cumbria maximises its future opportunities for
economic growth.
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Anti Poverty Strategy 2011
8. Shaping the strategy
•
•
•
•
•
•
The strategy has been shaped using Cumbria Council guidance and through a working group
of relevant officers from different directorates.
This process had taken place over a six months in the autumn and winter of 2010.
This process has included a review of activity in the first council Anti Poverty Strategy for
2008/09.
Each of the four pillars have their own mechanisms in place for engaging a wide range of
partners as well as encouraging direct participation from communities through targeted
action such as focus groups, surveys and engagement through existing channels such as
Neighbourhood Forums.
The Anti Poverty Officers Group who have conducted this work will continue to develop
the council’s work in delivering the Strategy and monitor the delivery of the Pillars and the
overarching vision, outcomes and priorities. A key area of work for the group will be to
complete an Engagement Review in line with the Community Engagement Standards of
Cumbria County Council. This review process will include work undertaken in the four
pillars.
The Group will also have responsibility for monitoring progress towards a culture of
aspiration and the challenge of addressing poverty of ambition and opportunity.
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9. Glossary and appendices
Cumbria Financial Financial Inclusion Strategy & Action Plan 2010
Draft Cumbria Work & Skills Plan 2010
Draft Cumbria Child Poverty Strategy 2011
Draft Affordable Warmth Strategy 2011
23
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Agenda Item 16
CABINET
Meeting date:
From:
6 January 2011
Cabinet Member for Children's Social Care
Chief Executive
CHILD POVERTY NEEDS ASSESSMENT & STRATEGY
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1
This report presents the Final Child Poverty Needs Assessment and
the draft of the Child Poverty Strategy.
1.2
The report also proposes that Cabinet agree the Strategy with the
proviso that full partner agreement will be needed through Cumbria
Chief Executives Group on the 4th February.
1.3
The report aligns with the council principles and priorities currently
being consulted upon.
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1
New council principles and priorities are under going consultation. The
draft concepts detail a need for a clear focus on poverty reduction
measures
2.2
The Child Poverty Act of March 2010 places a duty on the County
Council and their partners to cooperate in tackling child poverty. As
part of this, the Council is required to conduct a needs assessment to
develop a joint child poverty strategy
2.3
Addressing Child Poverty is one of the four ‘pillars’ within The Anti
Poverty Strategy. This is a key policy document for the County Council
linked closely to the Council Plan. It is produced, reviewed and
performance managed through the Chief Executive’s office.
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3.0
RECOMMENDATION
3.1
Cabinet accept the completed Child Poverty Needs Assessment, it’s
key findings and recommendations.
3.2
Cabinet approve the draft Child Poverty Strategy as the responsible
authority for preparing the Strategy.
3.3
Cabinet to agree the Strategy is presented to Cumbria Chief Executives
Group on the 4th February for agreement in principle; and to the
development and shared delivery of an action plan led by the Council.
Anne Burns, Cabinet Member for Children’s Social Care
PART B – ADVICE OF CHIEF EXECUTIVE
4.0
BACKGROUND
4.1
Child poverty is a problem in the UK today. Children and young people
living in poverty face a greater risk of poor health, more accidents, exposure
to crime and failing to reach their full potential. With the associated costs of
tackling these issues, child poverty can impact significantly on public
finances as well as having a negative effect on individuals and communities.
4.2
As part of the duty the Council was required to carry out a child poverty
needs assessment by October 2010 and undertake a review at least
annually. In Cumbria, the Chief Executive’s Office are leading on the
assessment, with input from Children’s Services.
4.3
The non-statutory guidance associated with the Child Poverty Act states
that the Child Poverty Needs Assessment should consist of 2 elements:
•
•
•
4.4
A detailed, data-driven, analysis of the poverty-related challenges faced
by children at a local level in Cumbria
Suggestions regarding how the Child Poverty Strategy should be
developed to align with other strategies, business planning processes,
commissioning channels and monitoring and performance frameworks.
The Final Needs Assessment has incorporated feedback from Children
Services Local Planning Groups, the Children & Young People Sub
Groups of the Local Committees and from the Trust Board itself. It
concludes with the following key findings and recommendations:
Needs Assessment Key Findings
•
Numbers of children in Cumbria have declined over recent years and are
forecast to continue to fall in the future while numbers have increased in
the UK overall
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•
•
•
•
•
•
•
•
•
•
•
•
4.5
Children (aged 0-15years) currently make up 17% of Cumbria’s total
population, compared to 19% in the North West region and 19% in
England.
The overall level of Child Poverty in Cumbria is lower than the national
average
16.4% (c15,000, 22.5% in England) of 0-15 year olds live in poverty in
Cumbria with 15.6% (c17,000, 21.6% in England) of 0-19 year olds in the
same situation
Five out of the six districts in Cumbria have levels of child poverty below
the national average with only Barrow exceeding the figures for England
Child Poverty is highest, in both number and concentration, in urban
parts of the county, there are however significant numbers of children in
poverty in rural Cumbria
A total of 28 wards (out of 168 in the county) have levels of child poverty
above the national average
There are pockets of high levels of child poverty spread across Cumbria.
Sandwith has the highest proportion of children in poverty at 49.2%,
followed by Central ward in Barrow at 46.9%
There is no one factor controlling child poverty and no one factor
resulting from child poverty – the relationships are more complex
Different communities are likely to have different needs depending on
extent and concentration of child poverty
Of all the indicators reviewed at a local level only one, proportion of
children eligible for Free School Meals, shows a statistical correlation to
the level of Child Poverty
There is a link between access to quality employment and child poverty
whether this be through unemployment or low wages
Although not a statistical relationship there is a tendency for a growing
attainment gap, from Early Years through to Key Stage 4, between areas
of lower and higher levels of Child Poverty
Needs Assessment Recommendations
•
•
•
•
•
•
•
Reducing the effects of child poverty is equally important as reducing the
number of children living in poverty
Tackling the effects of child poverty requires a multi-agency approach
and routes for engaging partners must be identified and acted on
The core strategies of the Council and its partners should refer to tackling
Child Poverty and its effects as a principle outcome (including the AntiPoverty Strategy)
Work to ensure 100% take-up of those eligible for Free School Meals,
undertaking further primary research to gain an insight into the barriers
experienced by families who do not claim
Undertake focussed work to understand the experience and need of
those families in poverty living in urban parts of Cumbria
Undertake focussed work to understand how the experiences differ for
families in poverty rural parts of Cumbria
Review the range and take up of services in Children’s Centres with a
view to increasing take up of families from areas with high levels of Child
Poverty
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•
Concentrate activity on areas with high Teenage Pregnancy where
intergeneration poverty may be most prevalent
Need to improve access to employment in the same areas and examine
further the availability of local vacancies.
Put in place mechanisms to monitor the impact of welfare reforms on
child poverty in Cumbria
•
•
4.6
A Child Poverty Strategy is to be produced by April 2011, based on these
key findings and recommendations. A project group led by the Chief
Executive’s Office and chaired by the Cabinet portfolio holder have
developed the initial vision and key outcomes for the Strategy which are as
follows:
4.7
Vision: To ensure that children in poverty have the best start in life and that
the Council and partners take necessary steps to reduce poverty and
address the impacts of poverty.
Outcomes: There are two main outcomes from the strategy:
•
•
Reducing the numbers of children and young people in poverty
through work and skills.
Reducing the impacts of poverty by encouraging children and young
people to be more economically independent.
To meet these outcomes we need to develop a framework that reflects the
spread of child poverty in the county. We know that there are urban areas
with very high concentrations of child poverty. There are also children in
poverty spread widely across sparse rural areas. To address this we are
proposing a funnel model:
Level 1: Countywide – better systems and increasing access to advice,
information and advocacy.
Level 2: Rural – better targeting of individuals and households
Level 3: Urban hotspots – better community led initiatives to tackle poverty
4.8
The local authority will lead on tackling child poverty, working closely with
partners.
4.9
Child poverty should be discussed at established forums and taken into
account when preparing or revising the Sustainable Communities Strategy
as well as the Childcare Sufficiency Assessment, Economic Assessment
and the Children and Young People’s Plan.
4.10
The development of a robust partnership action plan to address the
priorities and detail the specific projects outlined in this Strategy will take
place through early 2011.
4.11
This will enable the County Council and partners to incorporate pertinent
findings from the Frank Fields National Independent Review on Poverty
and Life Chances.
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4.12
There are a number of recommendations for Local Authorities in the report
of the review ‘The Foundation Years: preventing poor children becoming
poor adults’. These include: Proposals around the commissioning of
Children’s Centres, making them a hub of the local community, Establishing
a Poverty and Life Chances Commission, Pooling data with partners and
track the children most in need. Use this data as a strong evidence base for
targeting service delivery.
4.13
It is proposed that a working group of the CSP Cumbria Chief Executives
Group be established to provide oversight to the action planning this
process and ensure the involvement of all the key partners. The Child
Poverty Act names each of the following partners as a statutory partner
authority in relation to the responsible local authority (CCC):
•
•
•
•
•
District authorities
Primary Care Trusts and Strategic Health Authorities;
Jobcentre Plus;
The Police, Youth Offending Teams, and Probation Trusts; and
Transport Authorities.
5.0
OPTIONS
5.1
Cabinet may wish to suggest amendments to the draft Child Poverty
Strategy.
6.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1
The Child Poverty Unit (a joint DfE, DWP, HMT Unit) is making available
£9.5 million funding in 2010-11 to those top-tier Local Authorities who are
responsible for leading the cooperation arrangements with partners in
recognition of the costs of developing, consulting on, and publishing local
child poverty needs assessments and strategies. The allocation for Cumbria
is £61,500. The funding will be made available through payments via the
2010-11 Area-Based Grant.
6.2
This funding will be used for the development and delivery of actions in the
priority areas identified in the Needs Assessment and Strategy.
7.0 LEGAL IMPLICATIONS
7.1
The Child Poverty Act, which received Royal Assent in March 2010,
introduced a statutory requirement for responsible local authorities and their
named partners to:
• Make arrangements to cooperate to reduce and mitigate the effects of
child poverty in their local areas.
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• Prepare and publish a local child poverty needs assessment.
• Prepare a local child poverty strategy based on the needs assessment
and in consultation with children, parents, and organisations representing
children and parents.
7.2
Child Poverty Ministers confirmed in a statement to Local Authorities issued
on 18th August that they remained committed to the duties within Part 2 of
the Act but that they would not be issuing prescriptive statutory guidance and
regulations as previously planned.
8.0
CONCLUSION
8.1
Tackling child poverty and improving children’s chances for a better life is
everybody’s business. The task must be recognised as a priority and
shared by all. It will be a challenge, requiring a co-ordinated, joined up and
consistent approach from the local authority and its partners to ensure that
the problem is tackled effectively.
8.2
The Chief Executive’s Office are leading on the assessment and coordinating the development of the Strategy, with input from Children’s
Services.
8.3
The needs assessment highlights the issues relating to child poverty in
Cumbria and the Strategy outlines how the local authority and its partners
will work together to tackle these issues.
APPENDICES
1.
2.
Child Poverty Needs Assessment
Draft Child Poverty Strategy
Electoral Division(s):
All
Executive Decision
Yes*
Key Decision ?
No
If a Key Decision, is the proposal published in the current Forward Plan?
N/A*
Is the decision exempt from call-in on grounds of urgency?
No*
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
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N/A*
Yes*
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Head of Member Services and Scrutiny has
obtained the necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
“No previous relevant decisions”.
CONSIDERATION BY OVERVIEW AND SCRUTINY
The Children & Young People Scrutiny Advisory Board will be reviewing the
draft of the Child Poverty Strategy & Needs Assessment
BACKGROUND PAPERS
Child Poverty Act, March 2010
RESPONSIBLE CABINET MEMBER
Anne Burns, Cabinet Member for Children’s Social Care
REPORT AUTHOR
Contact: David Stephens, Community Inclusion Programme Manager 01539
713436 [email protected]
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Child Poverty Strategy
2011-2014
Page 227
Contents
1. Foreword
2. Introduction
3. What we know about Child Poverty in Cumbria
4. The national, regional and local context
5. Our vision, outcomes, priorities
6. Delivering the strategy
7. Performance
Performance managing and reviewing the strategy
8. Shaping the strategy
9. Glossary and appendices
Page 228
1. Foreword
We know that children do not choose their families or their economic circumstances. If they
happen to live in a poor household, their education, social and economic prospects all suffer. As a
result they risk becoming poor adults bringing up their own children in poverty.
Poverty limits access to the essentials of life, even in the 21st century. It can mean a lack of basic
necessities, such as affordable and healthy food, a warm and comfortable home. It can cause social
isolation, undermine self confidence and restrict access to advice and support.
Poverty is part of life for many who are both in and out of work in Cumbria, with low pay, limited
jobs, limited security and many having to take multiple part-time jobs, particularly in the Hotel,
Catering and Agricultural industries.
The current economic climate is now making this situation more acute with dramatically increasing
numbers of people facing uncertain job prospects.
The Statutory Authorities and key partners have both an obligation and an opportunity to protect
the interests of those in greatest need and to champion the cause of those who are most at risk.
Families who experience poverty are all too often those who have the least say or direct influence
on decisions which we and others take, affecting their lives.
As can be seen through this Strategy there is a great deal of work already being undertaken by
partners across the county but more needs to be done to tackle child poverty wherever it is
experienced.
The findings of the Needs Assessment clearly show that there is no one clear cause of child poverty
in Cumbria and no quick fix. If children and their families are to receive the services they need then
we must all work together around our shared agenda
Councillor Anne Burns
Cabinet Member for Children's Social Care
Cumbria County Council
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2. Introduction
Child poverty is a problem in Cumbria today. Children and young people living in poverty face a
greater risk of poor health, more accidents, exposure to crime and failing to reach their full
potential. With the associated costs of tackling these issues, child poverty can impact significantly
on public finances as well as having a negative effect on individuals and communities.
Tackling child poverty and improving children’s life chances is everybody’s business. The task is
recognised as a priority by Cumbria County Council and to this end the council is leading on the
production of the Needs Assessment and this Strategy which will co-ordinate action to reduce and
mitigate the effects of child poverty for families in Cumbria. It will be a challenge that requires a coordinated, joined up and consistent approach from the council and its partners to ensure that the
problem is tackled effectively.
The Child Poverty Act, which received Royal Assent in March 2010, requires action to be taken by
government at national and local levels. The Act sets out a number ways of measuring child
poverty, the definition of child poverty which has been used throughout the Needs Assessment and
this Strategy is as follows:
“The Proportion of children living in families in receipt of out of work (means
(means--tested) benefits or in
receipt
receipt of tax credits where their reported income is less than 60% of median national income.”
income.”
We acknowledge that poverty is not just financial; there is also poverty of opportunity, and of
ambition, and those elements point to solutions as well as to problems. These are important
considerations and where possible these are to be built into actions and some of the specific area
based project work referred to in the Strategy
The Cumbria Child Poverty Strategy draws upon work already undertaken to review child poverty
in West Cumbria. In November 2009 a conference was held in Whitehaven. The material from the
interactive workshops has been collated, set beside essential data and illustrated with real Case
Studies coming from agencies. This report goes on to draw conclusions, makes informed comment
and offers recommendations many of which are addressed through the priorities and outcomes
identified in this Strategy.
The Strategy will be supported by an action plan developed and agreed with key partners through
early 2011. This will enable the County Council and partners to incorporate pertinent findings from
the Frank Fields Independent Review on Poverty and Life Chances.
There is a need to ensure that this Child Poverty Strategy aligns with other key agendas and
strategies across the county. For instance, it is essential that the work on child poverty feeds into
the development of the Sustainable Communities’ Strategy, and individual partners’ corporate plans
and policies.
3. What we know about Child Poverty in Cumbria
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There are 84,800 children (aged under 16years) living in Cumbria, making up 17% of Cumbria’s total
population. Numbers of children have fallen in recent years and are forecast to continue to fall in
the future. Approximately 16.4% (14,967) of these children are living in property. Levels of child
poverty in Barrow are highest in Cumbria at 23.1% and exceed the national level of 22.4%. The
highest levels of child poverty are in the urban areas of the county, however, small pockets of
poverty are evident in rural parts of the county also.
There is no one controlling factor effecting child poverty, different communities have different needs
which need to be considered when providing services.
The life chances of children living in child poverty are reduced. In terms of educational attainment
the gap grows from early years through to year 10/11 compared to children living in areas where
child poverty is less evident. For those children eligible for free-school meals this gap is more
apparent.
11.7% of school children are eligible for free-school meals but the take-up level is below at 9.9%.
Areas with high levels of eligibility do not always have the highest levels of take-up, and in particular
the Central ward in Barrow, almost 40% of children are eligible but just 87% of those children takeup.
Table 1: Proportions of children living in poverty by district in Cumbria1
% & Number of Children in Poverty
(Based on NI116: Proportion of children living in families in receipt of out of work
benefits or in receipt of tax credits where their reported income is less than 60%
of median income)
Under 16 (%)
Under 16 (Count)
All children (%)
All children (Count)
England
22.4%
1,175,766
21.6%
1,449,607
Cumbria
16.4%
14,967
15.6%
17,102
Allerdale
17.4%
3,063
16.7%
3,512
Barrow
23.1%
3,256
22.1%
3,744
Carlisle
16.9%
3,211
16.1%
3,709
Copeland
20.1%
2,611
19.2%
2,983
Eden
9.9%
922
9.5%
1,054
South Lakeland
9.5%
1,735
9.1%
2,000
One in five dependant children in Cumbria live in lone parent households. In the district of
Copeland – almost one in four children live in one parent families.
It is possible to assess the differences in the levels of Child Poverty between rural and urban parts of
the county by applying a classification produced by the Department for Environment, Food and
Rural Affairs. The approach is based on settlement pattern and structure, splitting areas into Urban,
Town and Fringe, or Village, Hamlet and Isolated Dwellings. A further split, into Sparse or Less
Sparse dwellings is also possible. The results for Cumbria are shown in Table 4 below:
Table 5: Levels of Child Poverty by rural and urban areas in Cumbria
Area Type
% in Child Poverty
1
HMRC (2008) National Indicator 116: The Proportion of children in poverty
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No. in Child Poverty
Anti Poverty Strategy 2011-15
Urban
Town & Fringe (rural)
Village, Hamlet & Isolated Dwellings (rural)
19.1
15.6
8.6
10,721
4,060
2,582
Sparse
Less Sparse
10.5
16.9
2,611
14,571
The table demonstrates that levels of Child Poverty, whether viewed as an absolute number or as a
proportion of the child population, is higher in urban areas (19.1%). Levels of child poverty fall with
increasing rurality (15.6% in Town and Fringe, 8.6% in villages).
Although levels of Child Poverty are lower in rural areas, the challenges faced by the families of
those that are living in poverty may be more intense. Higher property prices, relatively poor access
to services and fewer families in a similar situation that may be able to provide peer support
(advising on benefit claims, for example) may all combine to create a different experience of
“poverty” than that felt by families in more urban areas.
Key findings from Needs Assessment:
Needs Assessment Key Findings
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•
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Numbers of children in Cumbria have declined over recent years and are forecast to
continue to fall in the future while numbers have increased in the UK overall
Children (aged 0-15years) currently make up 17% of Cumbria’s total population, compared
to 19% in the North West region and 19% in England.
The overall level of Child Poverty in Cumbria is lower than the national average
16.4% (c15,000, 22.5% in England) of 0-15 year olds live in poverty in Cumbria with 15.6%
(c17,000, 21.6% in England) of 0-19 year olds in the same situation
Five out of the six districts in Cumbria have levels of child poverty below the national
average with only Barrow exceeding the figures for England
Child Poverty is highest, in both number and concentration, in urban parts of the county,
there are however significant numbers of children in poverty in rural Cumbria
A total of 28 wards (out of 168 in the county) have levels of child poverty above the national
average
There are pockets of high levels of child poverty spread across Cumbria. Sandwith has the
highest proportion of children in poverty at 49.2%, followed by Central ward in Barrow at
46.9%
There is no one factor controlling child poverty and no one factor resulting from child
poverty – the relationships are more complex
Different communities are likely to have different needs depending on extent and
concentration of child poverty
Of all the indicators reviewed at a local level only one, proportion of children eligible for
Free School Meals, shows a statistical correlation to the level of Child Poverty
There is a link between access to quality employment and child poverty whether this be
through unemployment or low wages
Although not a statistical relationship there is a tendency for a growing attainment gap, from
Early Years through to Key Stage 4, between areas of lower and higher levels of Child
Poverty
Needs Assessment Recommendations
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Reducing the effects of child poverty is equally important as reducing the number of children
living in poverty
Tackling the effects of child poverty requires a multi-agency approach and routes for
engaging partners must be identified and acted on
The core strategies of the Council and its partners should refer to tackling Child Poverty and
its effects as a principle outcome (including the Anti-Poverty Strategy)
Work to ensure 100% take-up of those eligible for Free School Meals, undertaking further
primary research to gain an insight into the barriers experienced by families who do not
claim
Undertake focussed work to understand the experience and need of those families in
poverty living in urban parts of Cumbria
Undertake focussed work to understand how the experiences differ for families in poverty
rural parts of Cumbria
Review the range and take up of services in Children’s Centres with a view to increasing
take up of families from areas with high levels of Child Poverty
Concentrate activity on areas with high Teenage Pregnancy where intergeneration poverty
may be most prevalent
Need to improve access to employment in the same areas and examine further the
availability of local vacancies.
Put in place mechanisms to monitor the impact of welfare reforms on child poverty in
Cumbria
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Anti Poverty Strategy 2011-15
4. The national, regional and local context
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National context:
In 1999 the Labour Government pledged to eradicate child poverty and reduce the number
of children living in workless households by 2020. In August 2010 the coalition government
renewed this commitment. The Child Poverty Act, which received Royal Assent in March
2010, requires action to be taken by government at national and local levels. The Child
Poverty Act sets out four targets to eradicate child poverty by 2020 and beyond:
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Relative poverty – to reduce the proportion of children who live in relative low
income (families below 60% of the median) to less than 10%;
Combined low income and material deprivation – to reduce the proportion of
children who live in material deprivation and have a low income to less than 5%;
Persistent poverty – to reduce the proportion of children that experience long
periods of relative poverty, with the specific target to be set at a later date;
Absolute poverty – to reduce the proportion of children who live in absolute low
income to less than 5%.
The government will publish a national strategy every three years to 2020 to ensure that the
most recent evidence and progress are taken in to account. Annual reports will monitor
progress and identify actions required to ensure that targets will be met. The first strategy
(published March 2011) is structured around four building blocks – Family and Life Chances
(education, health, early years), Employment and Skills, Financial Support and Place
(communities, housing). The strategy proposes actions needed in each building block to
meet the targets and minimise socio-economic disadvantage, states the progress that needs
to be made by 2014 and assesses which groups are most at risk of poverty.
There are two national reviews commissioned by the government that link in to the child
poverty agenda. Frank Field’s Review of Life Chances, published in early January 2011 and
Graham Allen’s Review of Early Intervention, published in April 2011.
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Regional context:
Child Poverty Network events have been held regularly since March 2010 to ensure that the
most up-to-date information is received by local council officers responsible for preparing
and publishing their local needs assessment and developing and delivering a local strategy
alongside relevant partners. These events enable discussions around child poverty issues and
allow best practice to be shared across the North West region.
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Local context:
Tackling child poverty and improving children’s life chances is everybody’s business. The task
is recognised as a priority by Cumbria County Council and to this end the council is leading
on the child poverty strategy which will reduce and mitigate the effects of child poverty for
families in Cumbria. It will be a challenge that requires a co-ordinated, joined up and
consistent approach from the council and its partners to ensure that the problem is tackled
effectively.
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The government made it clear that the local emphasis should not be for Cumbria to meet
the four national targets at local level – it is to develop a local strategy across the four
building blocks and drive action that makes a difference to disadvantaged communities and
families.
There are nine priorities in the Cumbria Children and Young People’s Plan for 2010-2013
(listed below).
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improve the emotional well-being and resilience of children and young people
promote healthy lifestyles and healthy choices and reduce behaviours that harm
children and young people’s health and well-being
ensure that children and young people who are at risk of harm are identified at an
early stage and with their family receive a timely and appropriate response
improve, recognise and celebrate the achievements of all children and young people,
especially underachieving and vulnerable groups
promote enjoyment, positive play, recreation and leisure activities for all children and
young people
ensure that children, young people and families are able to influence services
provide opportunities for children and young people to be valued as responsible
members of their communities and to actively support each other to achieve this
raise the aspirations of children and young people in all aspects of their lives
support children, young people and their families to achieve economic well-being and
reduce the numbers living in poverty
Obviously the last priority links directly to this Child Poverty Strategy, but all nine do in
some form. Each locality area then has its own plan that lists strengths, areas for
improvements, how priorities will be achieved and what the measurement for success is for
each of the nine priorities.
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Anti Poverty Strategy 2011-15
5. Our vision, outcomes, priorities
Our Vision:
Vision: To ensure that children in poverty have the best start in life and that the Council and
partners take necessary steps to reduce poverty and address the impacts of poverty.
Outcomes: There are two main outcomes from the strategy:
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Reducing the numbers of children and young people in poverty through work and skills.
Reducing the impacts of poverty by encouraging children and young people to be more
economically independent.
To meet these outcomes we need to develop a framework that reflects the spread of child poverty
in the county. We know that there are urban areas with very high concentrations of child poverty.
There are also children in poverty spread widely across sparse rural areas. To address this we are
proposing a funnel model:
Level 1: Countywide – better systems and increasing access to advice, information and advocacy.
Level 2: Rural – better targeting of individuals and households
Level 3: Urban hotspots – better community led initiatives to tackle poverty
Reducing numbers in poverty: Priorities
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Reduce worklessness in the most disadvantaged groups in Cumbria
Develop and maintain a healthy workforce
Increase the ability of local people to access local jobs
A more holistic, coordinated and cost effective approach to the delivery of public support
services
Ensure effective engagement with employers
Reducing impact of poverty Priorities:
Priorities:
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Increase number of households with children in poverty accessing affordable credit
Increase number of households with children in poverty participation in community led cooperatives
Increase % uptake of free school meals by those eligible
Increase uptake of benefits for people eligible
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6. Delivering the strategy
This section of the strategy sets out the key activities that will be developed using the funnel model
outlined below. The basic method will be to support communities directly where possible.
COUNTY WIDE
Total of 17,102 Children in poverty
URBAN CUMBRIA
10,460
RURAL CUMBRIA
6,642
URBAN HOTSPOTS
Sandwith &
Mirehouse
1,947
1,947
Central &
Hindpool
2,809
Moss Bay
1,197
Level 1 County Wide
The following is a mapping of what's been done in the last 12 months against the four ‘building
blocks’ identified by the Child Poverty Unit. This is in no way an exhaustive list but illustrates the
wide range of work already being undertaken by a range of partners to address the issue of Child
Poverty both directly and indirectly.
Employment & Adult Skills building block
It is important that young people have access to high quality information, advice and guidance to:
•
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Support them in making decisions on the types of learning they need to undertake to
support their career ambitions,
Be fully aware of the future direction of the local economy and understand in which sectors
future employment opportunities will be.
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Anti Poverty Strategy 2011-15
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Understand the breadth and depth of employment opportunities within key sectors.
Be aware of learning progression routes, including local provision available.
The current activity planned and underway to address this as included in the Cumbria Work & Skills
Plan includes:
Holding an employer engagement event to demonstrate to employers how they can engage with and
contribute towards learning.
Building on the existing Science, Technology, Engineering and Maths (STEM) Ambassadors
programme and expand into rural areas.
Promoting programmes such as Year In Industry and Sandwich programmes to both employers and
young people.
Producing young people friendly labour market intelligence to highlight the future employment
opportunities within Cumbria alongside the courses and skills required to take advantage of these.
Producing a short film for young people about future employment opportunities in Cumbria and
linked to critical regeneration projects and aspirations.
Providing continuing professional development opportunities to the IAG workforce on updated
labour market intelligence.
Expanding the Aim higher Ambassadors mentoring programme linking secondary students with local
undergraduates.
Developing e-mentoring arrangements to link young people from disadvantaged backgrounds to
local young professionals in industry.
Looking into the possibility of employing enterprise specialists across the County to work with local
businesses and schools to organise enterprise activities and events.
Education, Health and Family building block
Education
Targeted promotion of free part-time early education entitlement by sending a letter to families
whose children are coming up to the eligibility term. Bookstart Treasure Chests also advertised on
this postcard so families know about their entitlement to this free resource.
Free school meals and clothing grants for families with an annual household income of up to
£16,190. Both grants can be claimed on one single form. Publicity ensures that eligible families are
aware of their entitlement.
Academies being developed across the county.
Four schools have been identified for possible inclusion in the National Challenge, to raise the
percentage of young people leaving school with 5 or more GCSE’s at A* - C (including Maths and
English).
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Extended Services Access Fund providing a grant of up to £300 per eligible child to enable
disadvantaged children to take part in out of school activities and trips. Available through schools.
Cumbria Healthy Schools, in partnership with Personal Finance Education Group, organised a ‘What
Money Means’ programme covering 20 primary schools. The programme is designed to give
children the best foundation for managing their money now and in the future and help teachers feel
confident in tackling money issues with children. Children looked at innovative and creative ways to
deal with money, such as taking responsibility for part of the school budget.
Schools working together in ‘behaviour partnership’ consortia to address exclusion issues and take a
proactive approach to behavioural problems. Reintegration Officers work closely with schools.
The number of permanent and fixed term exclusions in local authority maintained schools is within
target. Primary and secondary pupil absence rates also within target.
Choice Advice Service (based within the Children’s Services Admissions Team) to support families
who need advice in choosing the school for their child or need help to fill in the necessary forms.
Health
Almost all schools in Cumbria are signed up to the Healthy Schools programme and aiming to
achieve the award.
Kids Kitchen promotion launched to highlight healthy eating and activity in schools.
Healthy Weight Strategy 2009-2011 aims to reverse rising numbers of obesity in children and
ensure that everyone is able to achieve and maintain a healthy weight through diet and exercise.
The MEND Programme, a free 10 week programme for children and families, offered through
Carlisle Leisure Ltd in partnership with Carlisle City Council and supported by NHS Cumbria.
Healthy lifestyles are promoted to families through children’s centres and extended services.
Significant numbers of children are participating in sport at school.
DASH, a drug, alcohol and sexual health service for young people available through Connexions.
Vouchers to spend on fruit, vegetables and milk available to families on benefits with children under
4 through the Healthy Start Scheme.
Family
Children’s centres and extended services sites provide a range of services and activities to local
families. Staff provide help and advice to parents and carers. Leaflets and publications are displayed
and electronic parent information points link to relevant websites such as Jobcentre Plus, CFIS etc.
The Children and Families Information Service (CFIS) offer ‘brokerage’ to parents and carers
finding.. Advisers help them to organise childcare so they can work or train, and provide advice and
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Anti Poverty Strategy 2011-15
information about the following entitlements which could maximise their income: tax credits, the
free early education entitlement, care to learn scheme for teenage parents, new deal for lone
parents, entitlements for student parents, direct payments for disabled parents and/or their children,
Sure Start maternity grant, other family-related benefits
A ‘memorandum of understanding’ between Children’s Services and Jobcentre Plus ensures effective
partnership working where the aim is to remove barriers to work for local families. An excellent
link has been established with the Jobcentre Plus Childcare Manager and Supporting Children and
Families.
Free childcare for 126 disadvantaged two year olds with referrals taken from child practitioners
such as health visitors and social workers.
A recession advice section is available on the council website with links to a range of external
websites covering money advice, debt, eviction etc.
The children’s services on-line directory includes a range of services and activities, many of which
are free.
The wotson4u website for 13-19 year olds promotes positive activities and provides information
about issues such as health and budgeting. Cumbria Constabulary used the site to promote their
summer campaign to combat anti-social behaviour and police-organised positive activities for young
people are advertised on an ongoing basis.
Parenting Support Programmes being delivered in all localities; Family Intervention Pilot in Carlisle.
CFIS advise potential childminders about the registration process and book them on to prebriefings. Once registered, a childminder can open a childcare business, earning money themselves
and providing a chance for local parents to work or train due to more childcare being available.
Resource Projects team give business related advice and support to childcare settings in order to
maximise potential and long term sustainability. A ‘business health check’ identifies support needed
and actions taken may help a childcare setting to stay open when it would have otherwise had to
close.
Enhanced support grants are provided to childcare settings to help them to include children with
disabilities or additional needs, enabling their parents to work or undertake training.
Targeted youth work, for example, a multi-use mobile vehicle for West Cumbria has been funded
through a Youth Capital Fund grant. The purpose is to provide a safe shelter in which youth
services staff can meet with young people. Priority given to areas affected by the floods, young
people from isolated rural communities and those living in socio-economically deprived areas.
Increased contact time will enable youth services staff to engage with young people and will help
with the planning of programmes and activities.
Aiming High Network launched to support families with children who are disabled or have a special
need. Database used to keep families informed, Parents Forum set up and annual conference held.
Four targeted magazines for families and providers to raise awareness about services, activities and
entitlements.
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(a) Parents News - distributed to 37,000 families in Cumbria with 0-11 year olds twice a year
(July/January) via an information sharing agreement with health. Advice and information
about services, activities and entitlements. Four editions allow specific pages for locality
information (West, East, Carlisle and Furness).
(b) Provider News – distributed to childcare and early education providers, children’s centres,
parent and toddler groups, schools and partners twice a year (March/September). Advice
and information relevant to providers and the families they work with.
(c) Aiming High 4Us - distributed termly to families on the Aiming High Network (voluntary
database for families with children and young people with additional needs and disabilities),
special schools, health visitors, children’s centres, Children’s Services offices and support
agencies/organisations.
(d) Moving On - distributed annually to children making the transition from primary to
secondary school.
Addressing issues of Child Poverty will be integrated into how the Council’s Children’s Services are
looking at how services can be re-designed through the 'Better for Children Project'. The project is
using a ‘bottom up’ approach, starting from the perspective of the customer and what’s of value to
them. The project team initially visited locality areas across the whole County to look at how
services are being delivered to gain an understanding of the current system of work. Frontline staff
and managers will be involved in the re-design of services in the future with the aim of improving
outcomes for children, young people and families in Cumbria.
The role of Children’s Centres is crucial in our approach to tackling Child Poverty as such a
mapping project is being undertaken that will provide a data hub for all Children’s Centre footprints.
This will include data on the number of children, the number of children registered and attended, as
well as plotting them by poverty levels and income levels. It will also provide a large amount of
other data in conjunction with partner agencies.
Housing & Neighbourhoods building block
The Cumbrian authorities and their partners have developed the Cumbria Housing Strategy as a
framework to plan, implement and deliver housing services within the sub-region. The high quality of
the strategy is demonstrated by the fact that it was the first sub-regional strategy in the country to
be declared ‘fit for purpose’ by the Department for Communities and Local Government. It is
clearly essential for the Sub-regional strategy to show how the county will work to meeting
government and HCA investment objectives and make the best use of other funding channels to
meet priority housing needs. The vision for Cumbria is that it will have balanced housing markets
supporting the social and economic changes which the county must undergo over the next 20 years,
and in the short term how Cumbria will use all the resources available to move toward this
objective. The Cumbria Housing Strategy adopts the framework established in the North West
Regional Strategy which highlights three themes: securing an adequate quantity of housing, securing
improvements to the quality of the existing stock, and connecting people to housing.
The strategy takes account of:
•
The impact of the credit crunch on housing markets that were already facing challenges.
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Anti Poverty Strategy 2011-15
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Changing demography, including the growth of smaller households, the ageing of the
population, and increased levels of migration and mobility linked to economic change.
Identifying the best ways to establish or strengthen links between housing and economic
growth.
Ways of improving access to affordable homes whilst continuing to restructure vulnerable
markets.
Spatially prioritising market intervention to ensure that limited public resources are used in
the most effective way.
Optimising the role of housing in tackling climate change and addressing fuel poverty.
Quantity: The Cumbria Housing Strategy complements the planning framework requiring new
supply to fully complement the neighbourhood in which it sits. This means making it appropriate to
local markets and environments and to be sustainable by getting the location, type, design, size and
tenure right. The strategy also emphasises the importance of optimising the use of the existing stock
and, in particular, of bringing empty properties into use.
Quality: Most of the housing supply for the next two decades is already built. In Furness and West
Cumbria especially, investment is needed to make sure that the housing stock is fit for purpose and
of a standard that future generations will demand.
Connecting with people: The Cumbria Housing Strategy looks to ensure that all households have
the opportunity to access good housing, and housing support where they require it. The aim is to
create balanced housing markets where local people can afford to find a home and a place where
people want to stay.
Presently work to update the Housing Strategy is ongoing. The new Housing Strategy will replace
the current housing strategy, and will be informed by
the Strategic Housing Market Assessments for Cumbria. It will identify key housing issues, priorities
and outcomes for Cumbria.
Financial Support building block
“Money made clear”: provides clear, impartial information about financial products and services. It
aims to help consumers help themselves to make informed decisions about their money. No selling,
no jargon, just the facts. It’s free and designed to be easy to use. The service is being run by the FSA,
the project is being piloted in the North West and North East. The money guidance service is
available across Cumbria.
“Affordable Credit”: Credit Unions offer affordable loans as a core service and have assisted
thousands of residents in Cumbria to date through their traditional activities. Work is underway to
strengthen and expand the movement across the county. In recent years the Credit Unions have
come together under the Debt Recovery and Money Advice (DRAMA) partnership and a new
service tackling the need for affordable credit was launched. Over a million pounds of inward
investment has been secure via the DWP Growth Fund monies to offer an alternative source of
credit. This is branded locally as The Handy Loans service, and is now available across the County
and being promoted widely through schools.
“Tackling Illegal Money Lending”: teams sitting within Trading Standards now operate in Cumbria.
They investigate complaints and prosecute those involved in loan sharking. The team’s role is to
remove loan sharks form the communities in which they operate and will help victims and provide
free, confidential support and guidance to help them climb out of a spiral of debt.
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“Debt, Benefit, Employment Advice”: The Cumbria Advice Network (CAN for short) is a Big
Lottery funded project firmly focused on enabling people in Cumbria to be able to access quality
advice when they most need it. The project aims through partnership working in Cumbria, to
improve referral processes between third sector advice agencies, and to facilitate the sharing of
expertise and provide shared training opportunities. The project began in 2009 and is funded by the
Big Lottery over 5 years. The initial partners (the 7 Citizen Advice Bureaux in Cumbria, Shelter
Cumbria and the Cumbria Law Centre) have entered into a partnership agreement to deliver the
project
Level 2 Rural
The Child Poverty Needs Assessment showed that there are a significant number of children in
poverty in rural areas. This group will experience a number of distinctive challenges compared to
children in poverty in urban areas including:
•
•
•
•
Difficulties in accessing mainstream support services.
Higher costs of living – housing, fuel, food and transportation
Greater isolation
Greater income gaps between neighbours
Another factor that differentiates rural children in poverty is that their family circumstances will vary
from household to household. The critical factor to success will be around targeting individual
families. To address this we will:
•
•
Engage Third Sector organisations and professionals in the Children’s workforce when
developing the action plan using the Cumbria Rural Forum in particular.
Improve advice, information and advocacy for low incomes families in rural areas.
The County Council is carrying out a review of Advocacy and User Involvement. Currently the
advocacy services that are available are tied up by serving specific user groups – i.e. people with
learning disabilities, children in care etc. The review is looking at the feasibility of developing a
generic advocacy service. This would open a level of support to families on low incomes which is
not currently available.
Level 3 Urban hotspots
One of the main drawbacks of traditional approaches to tackling poverty is to assume that topdown redistribution of resources through regeneration will be sufficient to tackle poverty. In
contrast, the approach to delivery will be to work at a grassroots level with schools, children’s
centres and communities. The section above on priorities gives an indication of measures of success,
though the proviso is that these will only work if owned from the start by people on the ground.
The aim is to engage local staff in working with children and families to develop locally owned
initiatives to maximise economic independence. Examples could include:
•
•
Developing links to credit unions in schools and children’s centres.
Setting up food growing schemes
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Anti Poverty Strategy 2011-15
•
•
Setting up co-operatives to exchange goods, skills and resources outside the money
economy, or at afford able rates.
Improving access to white goods and furniture at affordable rates.
This can build on and replicate existing examples of good practice such as the work undertaken
through the Sure Start Children’s Centre in Whitehaven which has developed a range of initiatives
through community engagement and needs analysis including: Free furniture recycling, Free clothes
recycling, Community Allotment, Outreach, home based, financial advice, advocacy and support,
Preferential job interview programs with JC+, and Apprenticeships’’
The aim will be not to decide on behalf of communities what is in their interests, but to use the
Council’s professional expertise and political leadership to facilitate and enable the development of
projects such as these or other types of projects that communities evolve.
The Child Poverty Needs Analysis clearly identifies core wards that could be targeted using such an
approach, and the plan is to develop five child poverty projects:
•
•
•
•
Barrow Central and Hindpool
Allerdale Moss Bay
Copeland Sandwith, Mirehouse
Carlisle – Richard Rose Academy
The ward based pilots reflect wards that have highest levels of child poverty in Cumbria, while the
Richard Rose Academy project has been chosen because the academy covers a number of wards
with high levels of child poverty, and provides an opportunity to trial a collaborative approach
between the local authority and an academy on free school meal uptake.
7. Performance managing and reviewing the strategy
The Chief Executive’s Office are leading the project team working on the assessment and coordinating the development of the Strategy, with input from Children’s Services. The Needs
Page 244
Assessment and Strategy has been taken through County Council Cabinet, the Children’s’ Trust
Board and the Cumbria Strategic Partnership for consultation and approval.
The Needs Assessment will be updated continuously by the Cumbria Intelligence Observatory via
the Cumbria Intelligence Observatory website and the interactive online mapping and profiling tool.
The interactive mapping provides the facility to review the spread of child poverty and associated
social challenges across the county.
The project team will be responsible for the development of the supporting action plan and the
formulation of SMART performance measures to monitor their delivery. In developing the action
plan through the spring of 2011 the project team will be expanded to increase the involvement of
partner organisations. The action plan will be shaped in direct consultation with children & families.
Addressing Child Poverty is one of the four ‘pillars’ within The Anti Poverty Strategy. This is a key
policy document for the County Council linked closely to the Council Plan. It is produced, reviewed
and performance managed through the Chief Executive’s office. There will be annual reviews of the
Strategy between January and April to inform the Council’s service planning cycle. Annual reports
being provided to Cabinet on progress made in delivering against the four ‘pillars’ and any changes
made to the overarching Strategy to reflect circumstances.
8. Shaping the strategy
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Anti Poverty Strategy 2011-15
The Needs Assessment was written through collaboration between different partner agencies
across Cumbria including Police, Primary Care Trust, District Councils, County Council, Cumbria
Vision and Connexions. These partners came under the banner of the Cumbria Intelligence
Observatory. As well as these local partners providing data to allow an informed picture of Child
Poverty to be built, they also reviewed and gave recommendations on the writing of the Needs
Assessment through Local Committees and Trust Boards.
The Needs Assessment and it’s initial recommendations for the shape of the Strategy have been
taken through the Locality Planning Groups to gather the views of practitioners and partners on the
data, the analysis and the proposed priorities. Information was also presented to the Children &
Young People Sub Groups of the Council’s Local Committees where they are in place. The feedback
received has influenced the priorities of the Strategy and reinforced the importance of developing
the action plan for the Strategy through these local mechanisms.
The development of a robust partnership action plan to address the priorities and detail the specific
projects outlined in this Strategy will take place through early 2011. This will enable the County
Council and partners to incorporate pertinent findings from the Frank Fields Independent Review
on Poverty and Life Chances. The main aims of the Review are to:
•
•
•
•
Explore how a child's home environment affects their chances of being ready to take full
advantage of their schooling
Generate a broader debate about the nature and extent of poverty in the UK
Recommend potential action by government and other institutions to reduce poverty and
enhance life chances for the least advantaged, consistent with the Government's fiscal
strategy
Examine the case for reforms to the poverty measures, in particular for the inclusion of nonfinancial elements
It is proposed that a working group of the CSP Cumbria Chief Executives Group be established to
provide oversight to the action planning this process and ensure the involvement of all the key
partners. The Child Poverty Act names each of the following partners as a statutory partner
authority in relation to the responsible local authority (CCC):
•
•
•
•
•
District authorities
Primary Care Trusts and Strategic Health Authorities;
Jobcentre Plus;
The Police, Youth Offending Teams, and Probation Trusts; and
Transport Authorities.
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9. Glossary and appendices
1. Cumbria Child Poverty Needs Assessment
2. The Child Poverty Act 2010
3. A Guide to Part 2 of the Child Poverty Act 2010: duties of local authorities and other
bodies in England
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Page 248
Child Poverty Needs Assessment 2010
Key Findings
•
Numbers of children in Cumbria have declined over recent years and are
forecast to continue to fall in the future while numbers have increased in the
UK overall
• Children (aged 0-15years) currently make up 17% of Cumbria’s total
population, compared to 19% in the North West region and 19% in England.
• The overall level of Child Poverty in Cumbria is lower than the national
average
• 16.4% (c15,000, 22.5% in England) of 0-15 year olds live in poverty in Cumbria
with 15.6% (c17,000, 21.6% in England) of 0-19 year olds in the same
situation
• Five out of the six districts in Cumbria have levels of child poverty below the
national average with only Barrow exceeding the figures for England
• Child Poverty is highest, in both number and concentration, in urban parts of
the county, there are however significant numbers of children in poverty in
rural Cumbria
• A total of 28 wards (out of 168 in the county) have levels of child poverty
above the national average
• There are pockets of high levels of child poverty spread across Cumbria.
Sandwith has the highest proportion of children in poverty at 49.2%, followed
by Central ward in Barrow at 46.9%
• There is no one factor controlling child poverty and no one factor resulting
from child poverty – the relationships are more complex
• Different communities are likely to have different needs depending on extent
and concentration of child poverty
• Of all the indicators reviewed at a local level only one, proportion of children
eligible for Free School Meals, shows a statistical correlation to the level of
Child Poverty
• There is a link between access to quaility employment and child poverty
whether this be through unemployment or low wages
• Although not a statistical relationship there is a tendency for a growing
attainment gap, from Early Years through to Key Stage 4, between areas of
lower and higher levels of Child Poverty
Recommendations
•
•
•
Reducing the effects of child poverty is equally important as reducing the
number of children living in poverty
Tackling the effects of child poverty requires a multi-agency approach and
routes for engaging partners must be identified and acted on
The core strategies of the Council and its partners should refer to tackling
Child Poverty and its effects as a principle outcome (including the AntiPoverty Strategy)
Page 249
• Work to ensure 100% take-up of those eligible for Free School Meals,
undertaking further primary research to gain an insight into the barriers
experienced by families who do not claim
• Undertake focussed work to understand the experience and need of those
families in poverty living in urban parts of Cumbria
• Undertake focussed work to understand how the experiences differ for
families in poverty rural parts of Cumbria
• Review the range and take up of services in Children’s Centres with a view to
increasing take up of families from areas with high levels of Child Poverty
• Concentrate activity on areas with high Teenage Pregnancy rates where
intergeneration poverty may be most prevalent
• Need to improve access to employment in the same areas and examine
further the availability of local vacancies.
• Put in place mechanisms to monitor the impact of welfare reforms on child
poverty in Cumbria
Page 250
Background
Child poverty is a problem in the UK today. Children and young people living in
poverty face a greater risk of poor health, more accidents, exposure to crime and
failing to reach their full potential. With the associated costs of tackling these issues,
child poverty can impact significantly on public finances as well as having a negative
effect on individuals and communities.
In 1999 the Labour Government pledged to eradicate child poverty and reduce the
number of children living in workless households by 2020. The Child Poverty Bill
became an Act of Parliament in March 2010 after support from all the major parties.
The aim of the Act is to lift as many children out of poverty as possible by getting
more families in to work and alleviating the impact that growing up in poverty can
have on children and young people’s outcomes. Statutory guidance associated with
the Act was published during summer 2010 following a formal consultation that
closed in June.
The coalition agreement between the Conservatives and Liberal Democrats pledged
to continue to eradicate child poverty, referring to the issue in the initial Programme
for Government agreement
The Act places a duty on the County Council to carry out a Child Poverty Needs
Assessment by the end of 2010 and undertake a review at least annually. The aim of
the Needs Assessment is to enable us to understand the characteristics of poor
families in Cumbria and to identify the key drivers of poverty that must be
addressed. Following the Needs Assessment a stand-alone Child Poverty Strategy
must be produced for Cumbria by April 2011, based on the outcome of the Needs
Assessment. A national Child Poverty Strategy will also be published in spring 2011.
Both the local and the national strategies must be reviewed on an ongoing basis and
refreshed at least every three years.
Preparing the Child Poverty Needs Assessment
In Cumbria the Chief Executive’s Office worked in collaboration with Children’s
Services to produce the Needs Assessment under the banner of the Cumbria
Intelligence Observatory. The Observatory project encourages information and
intelligence staff from across Cumbria to collaborate where possible with a view to
sharing data and best practice as well as maximising the research capacity available
to all partners.
The guidance associated with the Child Poverty Act states that the Child Poverty
Needs Assessment should consist of 2 elements:
1. A detailed, data-driven, analysis of the poverty-related challenges faced by
children at a local level in Cumbria
2. Suggestions regarding how the Child Poverty Strategy should be developed to
align with other strategies, business planning processes, commissioning
channels and monitoring and performance frameworks.
Page 251
The Needs Assessment has been strengthened following extensive comments from
practitioners through various consultation events. Rather than the Needs
Assessment becoming an exercise in presenting all the analysis undertaken in
relation to Child Poverty we have chosen to present here the analysis that has
informed our key findings and recommendations. To ensure the full analysis
undertaken is shared with users who are interested, however, sitting alongside this
Needs Assessment document are two supplementary resources. Firstly the
spreadsheets containing all the data we have analysed are available via the Cumbria
Intelligence Observatory website. Secondly we have an interactive online mapping
and profiling tool. The interactive mapping provides the facility to review the spread
of child poverty and associated social challenges across the county.
This Needs Analysis will examine Child Poverty in a number of ways, drilling down
from a county level view to districts and then wards, with a particular focus on parts
of the county with the highest levels of Child Poverty. In addition we assess
variations between rural and urban parts of the county.
Relationship between Child Poverty and other Council Priorities
To tackle the level and effect of poverty on children in Cumbria requires an
alignment across a range of core strategies. Principal among these is the County
Council’s Anti-Poverty Strategy. Addressing Child Poverty is one of the four ‘pillars’ of
the Anti Poverty Strategy and it links directed at assisting children in poverty with
the boarder agenda covering the whole community. The other pillars include
addressing: Financial Exclusion, Fuel Poverty, and Work & Skills. Both the current and
emerging County Council Plan includes priorities around addrssing poverty in all its
forms.
The welfare reforms announced as part of the 2010 Comprehensive Spending
Review are likely impact on some sections of society in Cumbria. The specific impact
on levels of poverty in the county remains to be determined.
Page 252
Children in Cumbria
Currently in Cumbria there are 84,800 children aged under 161 and, as shown in
Figure 1 below, this figure is gradually declining.
Figure 1: Cumbrian 0-15 population between 2005 and 20092
100000
90000
80000
70000
Count
60000
50000
40000
30000
20000
10000
0
2005
2006
2007
2008
2009
Year
Over the past 5 years the 0-15 population has reduced by 5%, from just over 89,000
in 2005 to just under 85,000 in 2009 (Figure 1). This pattern is also replicated in the
North West region, falling by 37,900 children (2.8%) in the same time period, and
also in England (falling by 4,300 children, 0.05%). As demonstrated by Table 1 below,
however, while the number of young people in England has been growing since
2007, figures for Cumbria show a continued fall.
Table 1: 0-15 year old population in Cumbria, North West and England 2005 –
20093
% chg
% chg
% chg
Cumbria since '05
North West since '05 England
since '05
2005
89,300
NA
1,335,000
NA
9,708,700
NA
2006
88,200
-1.2
1,321,700
-1.0
9,670,100
-0.4
2007
87,000
-2.6
1,308,500
-2.0
9,654,000
-0.6
2008
85,700
-4.0
1,299,700
-2.6
9,666,300
-0.4
2009
84,800
-5.0
1,297,100
-2.8
9,704,400
0.0
Within the county all districts have experienced a fall in the number of young people,
ranging from a drop of 3.4% in Eden between 2005 and 2009, to a drop of 6.1% in
Barrow.
1
2
Office of National Statistics (2010) Mid Year Population Estimates 2009.
Office of National Statistics (2010) Mid Year Population Estimates 2009-2005
Page 253
Table 2: 0-15 year old population in Cumbria’s districts 2005-2009
ALLERDALE
2005
2006
2007
2008
2009
17,200
16,943
16,760
16,565
16,409
BARROW
13,920
13,732
13,517
13,326
13,077
CARLISLE
18,517
18,324
17,941
17,795
17,721
COPELAND
12,868
12,792
12,582
12,376
12,093
EDEN
9,010
8,917
8,853
8,751
8,705
SOUTH
LAKELAND
17,780
17,493
17,300
16,918
16,818
Forecasts of the number of children in Cumbria suggest a continuation of the trend.
The number of young people is projected to fall by 6.3% by 2033, the fastest rate of
reduction for any county in England. The numbers of young people and working age
people are projected to drop across all parts of the county with the exception of
Carlisle. South Lakeland’s projected fall in the number of young people (14.2%) is the
highest for any district in England.
Table 3: Forecasted 0-15 year old population in Cumbria and its districts 2008-2033
(thousands)
Barrow-inSouth
Furness
Carlisle Copeland Eden
Cumbria
Allerdale
Lakeland
2008
85.7
16.6
13.3
17.8
12.4
8.8
16.9
2013
82.6
15.9
12.8
17.8
12.1
8.4
15.7
2018
82.8
15.8
12.8
18.6
12.2
8.3
15.2
2023
82.9
15.7
12.9
19
12.2
8.2
15
2028
81.4
15.4
12.5
19
11.9
8.0
14.6
2033
80.3
15.1
12.2
18.9
11.6
8.0
14.5
% chg '08-'33
-6.3
-9.0
-8.3
6.2
-6.5
-9.1
-14.2
Overall Levels of Child Poverty in Cumbria
There are a number ways of measuring child poverty and the Child Poverty Act
proposes assessing poverty in four different ways. These targets are:
•
•
•
•
Relative low income target;
Combined low income target and material deprivation target;
Absolute low income target; and,
Persistent poverty target
Currently data is only available for “persistent poverty target”. This is the foundation
of National Indicator 116 - Proportion of children living in families in receipt of out of
work (means-tested) benefits or in receipt of tax credits where their reported
income is less than 60% of median national income. By using this measure we can
review the proportion of children, resident in a given area, who are living in poverty.
Page 254
According to this definition 22.4% of under 16 year olds live in poverty in England,
16.4% in Cumbria; and 21.6% of all children in England compared to 15.6% in
Cumbria. The table below gives the breakdown for Cumbria and its districts.
Table 4: Proportions of children living in poverty by district in Cumbria3
% & Number Children in Poverty
Under 16 (%) Under 16 (Count) All children (%) All children (Count)
England
22.4%
1,175,766
21.6%
1,449,607
Cumbria
16.4%
14,967
15.6%
17,102
Allerdale
17.4%
3,063
16.7%
3,512
Barrow
23.1%
3,256
22.1%
3,744
Carlisle
16.9%
3,211
16.1%
3,709
Copeland
20.1%
2,611
19.2%
2,983
Eden
9.9%
922
9.5%
1,054
South Lakeland
9.5%
1,735
9.1%
2,000
At a district level five of Cumbria’s six districts have lower levels of child poverty than
the England average. The only exception is Barrow where overall levels slightly
exceed the national figures. While levels of child poverty are highest in the urban
parts of Cumbria there are around 6,500 children living in rural Cumbria that live in
poverty.
Approach
The Government’s Child Poverty Unit encourages the consideration of Child Poverty
under four “building block” themes and we repeat this structure through our
analysis:
•
•
•
•
Life Chances - Education, Health & Family
Parental Employment and Skills - Employment & Adult Skills
Financial support
Place - Housing & Neighbourhoods
Each of the blocks is supported by a series of indicators of social conditions which
are felt to relate to Child Poverty through influencing family resources available and
factors controlling access to employment. We can use these indicators, at a county
level, to guide us towards the extent of social challenges facing Cumbria. Specifically
the Child Poverty Unit proposes that we:
•
•
•
•
3
explore the links between other areas of responsibility and child poverty
understand the drivers for child poverty in Cumbria
think about how Cumbria can drive reductions in child poverty in their areas
target and prioritise resources and services
HMRC (2008) National Indicator 116: The Proportion of children in poverty
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Life Chances
The indicators under this theme focus on the education of children and narrowing
the gap between those in a position of disadvantage. Figure 2, below, compares
Cumbria to England for seven key indicators:
•
•
•
•
•
•
•
•
NI92 – Narrowing the gap between the lowest achieving 20% in the Early
Years Foundation Stage profile and the rest
NI102 (KS2) – Achievement gap between pupils eligible for free school meals
and their peers achieving the expected level at Key Stage 2
NI102 (KS4) - Achievement gap between pupils eligible for free school meals
and their peers achieving the expected level at Key Stage 4
NI82 – Inequality gap in achievement of a Level 2 qualification by the age of
19
NI106 – Young people from low income backgrounds progressing to higher
education
NI117 – 16 to 18 year olds who are no in education, training or employment
(NEET)
NI101 – Looked after children achieving 5 A*-C GCSEs (or equivalent) at Key
Stage 4 (including E&M)
NI105 – The Special Educational Needs (SEN)/non-SEN gap – achieving 5 A*-C
GCSE (including E&M)
Figure 2: Life Chances Basket of Indicators in Cumbria4
National
Life Chances
Cumbria
NI 92
National Indicators
NI 102 - KS2
NI 102 - KS4
NI 82
NI 106
NI 117
NI 101
NI 105
0
10
20
30
Percentage
40
50
60
Cumbria is performing better in two areas, NI 92 Narrowing the gap between the
lowest achieving 20% in the Early Years Foundation Stage Profile and the rest and NI
117 16 to 18 year olds who are not in education, training or employment (NEET).
Cumbria is showing a greater achievement gap between pupils eligible for free
school meals and their peers at both Key Stage 2 and 4 (NI 102) than the national
4
Department for Communities and Local Government (2010) Places Analysis Tool
Page 256
average. Nationally almost 10% of children in care achieve 5 A*-C GCSEs including
English & Maths at Key Stage 4, compared to just over 2.5% in Cumbria, a difference
of over 7%. In Cumbria just over 49% of pupils who are eligible for free school meals
at age 16 achieve Level 2 qualifications by age 19 compared to their peers.
Nationally this is almost 57%, a difference of almost 8 percentage points.
At a local level there is a strong, statistically significant, correlation between Free
School Meal Eligibility and levels of child poverty. However eligibility for Free School
Meals does not always align with levels of take up of this benefit. For example
Central ward in Barrow has the second highest percentage of children in poverty
with only 87% take up rate for free school meals. In contrast in Wetheral (Carlisle),
which has one of the lowest levels of Child Poverty in the county, FSM take up runs
at 100%.
In addition to assessing the attainment gap for those children eligible for Free School
Meals we can also review the relationship between how overall progression is
related to Child Poverty. Although not formally statistically significant it is possible to
show that the pupils in areas of high Child Poverty progress at a lower rate, from
Early Years through to Key Stage 4, than in areas where Child Poverty is less
pronounced.
Similar relationships can be seen between levels of Child Poverty and other social
statistics, for example smoking, mortality from cancer, circulatory disease, coronary
heart disease, healthy life expectancy and single parent households. While not
statistically significant the overall tendency is for child poverty to be associated with
a number of other potentially negative outcomes.
Teenage parent families, by their nature, have at least one parent under the age of
18 with responsibility for a dependent child who is likely to be under 5 years. These
families are at increased risk of the biggest causes of poverty; worklessness and low
pay, whilst under fives make up 44 per cent of all children in poverty according to
the Department for Work and Pensions. Poverty, like teenage pregnancy, follows
intergenerational cycles with children born into poverty at increased risk of teenage
pregnancy, especially for young women living in workless households when aged 1115 . The majority of teenage parents and their children live in deprived areas and
often exhibit multiple risk factors for poverty, experiencing poor health, social and
economic outcomes and inter-generational patterns of deprivation. Teenagers who
become pregnant are more likely to drop out of school, missing a key phase of their
education, leading to low educational attainment and no or low-paying, insecure
jobs without training. Young mothers are also more likely to be lone parents with
their children raised in a home with one income and often living in sub-standard
housing or temporary accommodation. All these factors mean teenage mothers and
their children need support to find a way out from what is often a low-income
community to begin with, with inter-generational families of teenage parents.
Page 257
Parental Employment and Skills
The indicators under this theme focus on the employment status of parents and
their qualification levels. Figure 3, below, compares Cumbria to England for three key
indicators:
•
•
•
NI118 – Take up of formal childcare by low-income working families
NI163 – Proportion of population aged 19-64 for males and 19-59 for females
qualified to at least Level 2 or higher
NI151 – Overall employment rate (working age)
Figure 3: Parental Employment and Skills Basket of Indicators in Cumbria5
National
Parental Employment and Skills
Cumbria
National Indicators
NI 118
NI 163
NI 151
0
10
20
30
40
Percentage
50
60
70
80
Cumbria had 16.5% of low-income families take up formal childcare, compared to
18% nationally. In terms of the labour market Cumbria does have a higher
percentage of the working age population qualified to at least Level 2 or higher than
nationally by 0.8% and the county has a higher percentage of people employed than
national picture by 3%.
At a local level, parts of Cumbria experience high proportions of the population on
out of work benefits. Central ward in Barrow has the highest rate of benefit
claimants in the county (at 36.8%), closely followed Mossbay in Allerdale at (36.3%).
High levels of worklessness is often symptomatic of inter-generational
unemployment, relatively poor levels of educational attainment, low levels of skills
and lower levels of aspiration than elsewhere.
In areas with high levels of Child Poverty there is evidence of high rates of Lone
Parent benefit claimants, particularly amongst those aged under 25. As with overall
benefits above Mossbay and Central wards see the highest level of claimants (5.7%
and 4.6% respectively).
5
Department for Communities and Local Government (2010) Places Analysis Tool
Page 258
Cumbria has a relatively low wage economy with earnings in particular areas
significantly lower than national and regional averages. There is evidence of hidden
unemployment, for example among women who would like to work but are deterred
by the cost or availability of childcare or other care commitments. Women are more
likely to be economically active than men6. Generally, Cumbria has a lower
proportion of residents in managerial and senior positions than the UK, and a much
higher proportion of residents working in skilled trades (manufacturing). Cumbria
has a higher proportion of its population qualified than the national average (70.2%
compared to 69.4%). Overall, however, Cumbria’s working age population with NVQ
level qualifications is below the national and regional average and while the
proportion of the population with no qualifications is lower than regionally and
nationally, so too is the proportion qualified to level 4 and above.
Financial support
The indicator under this theme focuses on levels of benefit claimant in
disadvantaged communities. Figure 4, below, compares Cumbria to England for the
following indicator:
•
NI153 – Working age people claiming out of work benefits in the worst
performing neighbourhoods
Figure 4: Financial Support Basket of Indicators in Cumbria10,11
National
Financial Support
National Indicators
Cum bria
NI 153
0
5
10
15
20
25
30
35
Pe rce ntage
As the official measure of child poverty is based in qualifying for particular benefits
we might expect a close relationship between levels of child poverty and the rates of
benefit claimants which, in turn, relates to skills level and rates of worklessness
within a particular community. Nationally 31.2% of working age people claimed out
of work benefits in the worst performing neighbourhoods, compared to 31.4% in
Cumbria.
The average mean income in Cumbria is £31,410. There are approximately 28,354
households in Cumbria with an income of less than £10,000 per annum indicating
that a proportion of these households may be suffering from financial includion.
6
Local Economic Assessment of Cumbria 2010
Page 259
Barrow-in-Furness has the highest proportion of households with an income of less
than £10k pa (15.6%). Sandwith ward in Copeland has the highest proportion of low
income households (23.1%) with incomes less than £10k pa.
Place
The indicators under this theme focus on employment and businesses. These are
factors indirectly and directly influence families’ abilities to enter and sustain
employment and escape poverty now and in the future. Figure 5, below, compares
Cumbria to England for the following indicators:
•
•
•
NI 146 – Adults with learning disabilities in employment
NI 176 – Working age people with access to employment by public transport
(and other specified modes)
NI 172 – VAT registered businesses in the area showing growth
Figure 5: Place Basket of Indicators in Cumbria7,8
National
Place
Cumbria
National Indicators
NI 146
NI 172
NI 176
0
10
20
30
40
50
Percentage
60
70
80
90
Cumbria has just less than 4% of adults with learning disability in employment
compared to almost 7% nationally. In England 82% of the working age population
has access to employment by public transport compared to 76% within Cumbria, a
difference of 6%. Cumbria has a higher percentage of businesses showing growth
than nationally by 0.3%.
There are many factors that affect a child’s wellbeing. The Indices of Deprivation
provide us with an opportunity to review the combined impact of multiple social
issues on a community. The most significant correlation is linked to income where
Mossbay in Allerdale is the most deprived ward followed by Sandwith in Copeland
and Central in Barrow.
7
8
National Indicator titles are all in Appendix 2
Department for Communities and Local Government (2010) Places Analysis Tool
Page 260
The quality of housing provision in Cumbria is very mixed with areas, particularly in
rural parts of South Lakeland and Eden, with high standards of housing to areas in
Barrow and Copeland with significantly lower standards of housing. Barrow has the
highest proportion (11.4%) of properties that do not meet the Government Decent
Homes Standard, followed by Copeland at 9.3%.
While standards of housing are better in rural parts of the county house prices are
also higher introducing affordability as a challenge for many families. Household
income varies considerably from approximately £20,000 in Mossbay to £46,000 in St.
Bees. House prices reflect an even greater range of variation from £58,000 in
Barrow Island to £360,000 in South Lakes, with an average of £172,000 (mean) for
Cumbria. As expected, housing affordability levels are the lowest in urban areas of
Barrow and Allerdale, and at their highest in relatively affluent wards in South
Lakeland and Eden. Approximately 10% of wards with the highest prices are in South
Lakeland. Low house prices tend to be in the densely populated urban areas in
Barrow, Carlisle, Workington, Maryport and Whitehaven.
Rural Cumbria and Urban Cumbria
It is possible to assess the differences in the levels of Child Poverty between rural
and urban parts of the county by applying a classification produced by the
Department for Environment, Food and Rural Affairs. The approach is based on
settlement pattern and structure, splitting areas into Urban, Town and Fringe, or
Village, Hamlet and Isolated Dwellings. A further split, into Sparse or Less Sparse
dwellings is also possible. The results for Cumbria are shown in Table 4 below:
Table 5: Levels of Child Poverty by rural and urban areas in Cumbria
Area Type
% in Child Poverty
No. in Child Poverty
Urban
19.1
10,721
Town & Fringe (rural)
15.6
4,060
Village, Hamlet & Isolated Dwellings (rural)
8.6
2,582
Sparse
Less Sparse
10.5
16.9
2,611
14,571
The table demonstrates that levels of Child Poverty, whether viewed as an absolute
number or as a proportion of the child population, is higher in urban areas (19.1%).
Levels of child poverty fall with increasing rurality (15.6% in Town and Fringe, 8.6% in
villages).
Although levels of Child Poverty are lower in rural areas, however, the challenges
faced by the families of those that are living in poverty may be more intense. Higher
property prices, relatively poor access to services and fewer families in a similar
situation that may be able to provide peer support (advising on benefit claims, for
example) may all combine to create a different experience of “poverty” than that felt
by families in more urban areas.
Page 261
Local analysis
To get a complete understanding of the challenge of tackling Child Poverty within
Cumbria it is necessary to look at the variation in extent of this issue within different
communities. We have chosen to concentrate on ward-level information in this
section due to the availability of a wide range of data sources at this geographical
scale. At a ward level 28 of Cumbria’s 168 wards are showing levels of child poverty
that exceed the national average.
Table 6: Proportions of children living in poverty for Cumbria wards higher than the
national average9
% Children in Poverty
DISTRICT
Ward
Under 16
Under 16 All children All children
(%)
(Count)
(%)
(Count)
Copeland
Sandwith
51.0%
551
49.2%
716
Barrow
Central
48.4%
1134
46.9%
1477
Allerdale
Moss Bay
43.9%
943
42.7%
1197
Barrow
Hindpool
39.6%
1039
38.5%
1332
Copeland
Mirehouse
36.5%
919
34.9%
1231
Carlisle
Botcherby
35.3%
1246
33.9%
1518
Barrow
Ormsgill
35.1%
1233
34.4%
1601
Allerdale
Ewanrigg
34.4%
721
33.5%
879
Carlisle
Upperby
33.9%
1141
32.7%
1443
Allerdale
Moorclose
33.5%
975
32.0%
1232
Barrow
Risedale
33.1%
1176
31.4%
1529
Barrow
Barrow Island
31.3%
417
29.8%
543
Copeland
Cleator Moor South
30.2%
525
28.6%
686
Copeland
Distington
29.4%
689
27.0%
924
Carlisle
Castle
29.2%
780
27.4%
1094
South Lakeland
Kendal Kirkland
29.0%
345
27.9%
564
South Lakeland
Kendal Underley
26.7%
484
25.7%
598
Allerdale
Ellenborough
26.6%
688
25.3%
905
South Lakeland
Ulverston East
26.5%
214
25.1%
584
Copeland
Newtown
26.1%
632
24.7%
801
Carlisle
Belle Vue
25.4%
1136
23.7%
1450
Copeland
Egremont North
25.1%
830
23.8%
1090
Carlisle
Denton Holme
25.%
995
23.9%
1302
Copeland
Frizington
24.9%
497
24.0%
638
Carlisle
Currock
24.7%
1275
24.1%
1615
Allerdale
St Michael's
24.5%
875
23.4%
1129
Allerdale
Flimby
23.5%
302
23.0%
384
Copeland
Holborn Hill
23.4%
486
23.3%
651
9
HMRC (2008) National Indicator 116: The Proportion of children in poverty
Page 262
Table 3 above shows that pockets of relatively high levels of child poverty can be
found across the county. Copeland features the highest number of wards (8)
exceeding national average levels, followed by Allerdale and Carlisle with 6, Barrow
with 5 and South Lakeland with 3. Within both Sandwith ward in Copeland and
Central ward in Barrow around half of the resident children live in poverty.
Page 263
Appendix 1:
Child Poverty – indicators reviewed and summary of statistical analysis
Intro to approach
Measure
FSM Eligibility
Educational
attainment - Early
Years
Educational
attainment - Key
Stage 1
Educational
attainment – Key
Stage 2
Educational
attainment - GCSE
Children Centres
Job Seekers
Allowance (JSA)
Smoking
Obesity
Mortality Rate Male
Mortality Rate Female
Mortality Rate –
coronary heart
disease
Life expectancy
Healthy life
expectancy
% of adults with
dependent
children in not in
couple households
Other benefit
claimants
ASBO Incidents
Domestic Violence
Criminal Damage
Incidents
% Access to cars
Direction
relationship
Positive
Negative
of Strength
relationship
0.91
0.11
of Statistically
significant
Yes
No
Negative
0.12
No
Negative
0.23
No
Negative
0.44
No
Positive
0.57
No
Positive
Positive
Positive
0.52
0.2
0.38
No
No
No
Positive
0.21
No
Positive
0.4
No
Negative
Negative
0.45
0.57
No
No
Positive
0.78
Yes
Positive
Positive
Positive
0.38
0.54
0.42
No
No
No
Negative
0.45
No
Page 264
Appendix 2:
Pen portraits of wards with highest proportions of Child Poverty in Cumbria
Central Ward (Barrow)
• The population is currently 5,412. Those aged 0-15 years make up 21% of
Central’s total population; and those aged 0-19years (all children) make up
27% of the total population. Central has a higher proportion of children than
the Barrow and county averages.
• Central has the second highest proportion of children in Cumbria living in
poverty: 46.9% of all children, and 48.4% of children under 16years,
significantly above the national average.
• Central has the 3rd highest proportion of children living in income deprived
families with a score of 52%
• Central is the most deprived ward in the county, and ranked amongst the
worst 10% nationally
• Central has the highest unemployment rate in Cumbria at 7.7%; and the
highest number of total ‘out of work’ benefit claimants in the county
• 14.2% of households in Central have a household income of less than £10k
per annum
• The average mean income in Central is £22,936
• The average mean house price is £60,128. The housing affordability ratio is
2.6
• The average healthy life expectancy in Central is 58.9 years
• 33.5% of people living in Central smoke
Sandwith Ward (Copeland)
• The population is currently 2,537. Those aged 0-15 years make up 22% of
Sandwith’s total population; and those aged 0-19years (all children) make up
28% of the total population. Sandwith has a higher proportion of children
than the Copeland and county averages.
• Sandwith has the highest proportion of children in Cumbria living in poverty
49.2% of all children, and 51% of children under 16years, significantly above
the national average.
• Sandwith which has the highest proportion of children living in income
deprived families with a score of 57%
• The average mean income in Sandwith is £24,670
• The average mean house price is £81,065. The housing affordability ratio is
3.3
• 14.7% of households in Sandwith have a household income of less than £10k
per annum
• Sandwith has the highest unemployment rate (based on JSA claimants) in
Copeland at 6%; and significant numbers of total ‘out of work’ benefit
claimants
• The average healthy life expectancy in Sandwith is 65.5years
• Sandwith has the highest prevalence of smoking in the county at 46.5%
Page 265
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Page 266
Agenda Item 17
CABINET
Meeting date:
From:
6 January 2011
Cabinet Member for Environment and
Transport
Corporate Director – Environment
PLANNING FOR NEW ENERGY INFRASTRUCTURE: DECC
CONSULTATION ON REVISED DRAFT NATIONAL POLICY
STATEMENTS – PROPOSED RESPONSE
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1.
This second round of consultation on the suite of six Energy National
Policy Statements (NPSs) arises because of proposed changes to the
first draft NPSs and accompanying Appraisals of Sustainability for the
non nuclear NPSs, as a result of public consultation and Parliamentary
scrutiny. This report identifies the main changes and proposes a
response to consultation questions.
1.2.
The most notable change for Cumbria is the removal from the Nuclear
NPS of the sites at Kirksanton and Braystones that had been
earmarked for new nuclear build. Government doubts whether these
sites are deployable before 2025 and is concerned about visual impact
on the Lake District National Park.
1.3.
Most revisions to the NPSs and supporting Appraisals of Sustainability
and Habitats Regulations Assessments are minor and, so far as can be
determined, appear reasonable. Cabinet is recommended to respond
to the consultation supporting Government’s proposals.
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1.
County Council policy supports new nuclear build nationally, and the
nomination of land adjacent to Sellafield for new nuclear build, subject
to assurances about safety and adequate progress with the
implementation of national policy for higher activity legacy wastes.
2.2.
There are no equality implications arising from this report.
Page 267
3.0
RECOMMENDATION
3.1.
That Cabinet respond to this Consultation in the terms of Appendix C.
Tim Knowles – Cabinet Member for Environment and Transport
PART B – ADVICE OF CORPORATE DIRECTOR - ENVIRONMENT
4.0
BACKGROUND
Introduction
4.1.
Under the 2008 Planning Act, national policy will be set out in a series of 12
new National Policy Statements (NPSs). The purpose of these NPSs is to
establish national need, set out generic benefits and impacts, and provide
the primary basis for decision making on planning applications by the current
Infrastructure Planning Commission (IPC) and its successor organisation,
the Major Infrastructure Planning Unit located in the Department of
Communities and Local Government.
4.2.
At the end of 2009 Government consulted on the suite of six draft Energy
NPSs and the Ports NPS which County Cabinet considered at its meeting on
2 February 2010 where it was resolved that:
4.3.
a.)
the nomination of the Sellafield site for nuclear new build be supported
but was not convinced of the case for the nominated sites at
Braystones and Kirksanton and was minded not to support them;
b.)
Government was urged to clarify the position in relation to the MRWS
process, particularly to build confidence that Community Benefits would
be delivered;
c.)
the response to the DECC Energy National Policy Statements be
agreed, as set out in the terms attached to the report at Appendix B,
and the response to the DfT Ports National Policy Statement in the
terms attached at Appendix C to the report;
d.)
the Corporate Director, Environment, be given delegated authority to
make minor additions and amendments to the final responses if
necessary should receipt of further views be received before the
consultation deadline.
Over 3000 responses to the first NPS consultation were submitted and have
been summarised by Government in its 300 page Response to the
Consultation on the Draft NPSs for Energy Infrastructure published together
with the revised NPS consultation material. Key issues identified are
contained in Appendix A. It is worth noting the consultation responses to the
Nuclear NPS (EN-6) and the Government’s response, particularly in relation
Page 268
to the removal of Braystones and Kirksanton as sites for new nuclear power
stations; nuclear waste; the revisions to the Appraisal of Sustainability and
Habitats Regulations Assessment for the Sellafield site. More detail can be
found in Appendix A.
4.4.
Government is now consulting on proposed changes to the Energy NPSs as
a consequence of comments it has received and following Parliamentary
scrutiny.
This consultation opened on 18 October 2010 and runs to 24
January 2011. To facilitate consultation participation, DECC organised
national consultation events in BristoI (29 November), Manchester (30
November), and London (2 December). A local consultation event was
arranged by Copeland Borough Council with the support of the County
Council in the Copeland Centre, Whitehaven on 9 December. This report
takes account of feedback received from these events.
Main Changes to Draft Energy NPSs
4.5.
The main changes identified by Government to the six draft NPSs are
described at Appendix B. The main points are:
Reconsideration of alternatives: The selection and appraisal of policy
alternatives within the AoSs for EN-1 to EN-5 have been reconsidered. New
alternatives have been developed and appraised. The intention is to make
clearer the likely impacts of consenting new energy infrastructure in
accordance
with
the
policies
prescribed
in
these
NPSs.
Need for the infrastructure: This section sets out the need for new energy
infrastructure and has been updated to take account of the latest modelling
by Government of options for achieving 80% CO2 reduction by 2050. This
modelling is set out in Pathways to 2050, an options analysis published by
DECC in July 2010. The changes are reflected in EN-1.
Potentially suitable sites for nuclear power station development: The
Kirksanton and Braystones sites in West Cumbria have been removed from
the list of potentially suitable sites within EN-6. Dungeness in Kent remains
off the list. Sellafield, Hinkley, Sizewell, Hartlepool, Heysham, Oldbury,
Wylfa and Bradwell remain on the list, though at the time of writing
Hartlepool, Heysham, and Bradwell do not have a developer.
4.6.
DECC seeks comments on 3 questions based on the six revised draft
Energy NPSs as follows:
Question 1: Do you have any comments on the appraisal of policy
alternatives within the Appraisals of Sustainability for EN-1 to 5?
Question 2: Do you have any comments on the revised need case in the
overarching National Policy Statement (EN-1)?
Question 3: Do you have any other comments on the revised National Policy
Statements and accompanying documents?
the questions and proposed responses are set out at Appendix B
Page 269
Key issues for Cumbria
The Draft Overarching National Policy Statement for Energy (EN-1)
4.7.
The purpose of EN-1 is to establish need for each of the five draft
technology specific energy NPSs (EN 2-6) and set out guidance to the IPC
on generic impacts. Government concludes that in order for the UK to meet
its energy and climate change objectives, there is an urgent need for all
types of nationally significant energy infrastructure, including new nuclear
power. Transitioning to a low carbon economy will require substantially
greater electricity generating capacity than presently exists. Projections of
electricity demand doubling by 2050 are plausible.
Nuclear power
generation is a low carbon, proven technology, which can play an
increasingly important role as we move to diversify and decarbonise our
sources of electricity. Cumbria is well placed to contribute directly through
new generating capacity but also through the support services that can
potentially be developed on the Sellafield site. New nuclear power stations
will help to ensure a diverse mix of technology and fuel sources, which will
increase the resilience of the UK’s energy system and contribute to the
achievement of 80% carbon emissions reduction by 2050. Overall the
Government’s approach is considered to benefit both the economy and
environment of Cumbria.
The draft National Policy Statement for Fossil Fuel Electricity Generating
Infrastructure (EN-2)
4.8.
EN-2 covers coal fired, gas fired, integrated coal gasification cycle (ICGC),
and oil fired electricity generating infrastructure over 50MW capacity. No
significant impacts for Cumbria have been identified from the proposed
changes to the NPS.
The Draft National Policy Statement for Renewable Energy Infrastructure
(EN-3)
4.9.
Proposed amendments to EN-3 are considered by officers to general
improve the policy framework. EN-3 coverage is now more comprehensive
and provides policy guidance on all key areas that the IPC (or successor
body) would need to consider for renewable energy schemes above 50MW.
This is helpful for any proposed development in Cumbria.
4.10. Concerns about the sustainability of biomass sources is addressed through
reference to the Renewables Obligation Order that will seek information on
where timber is sourced from.
4.11. Clarification is provided on the mix of renewable waste and non renewable
waste sources in waste energy schemes.
4.12. Recognition is given to the need for Environmental Impact Assessments to
consider the impacts on routes used by construction and operations
vehicles.
Page 270
4.13. Recognition is given to the need for Environmental Impact Assessments to
consider the effects of grid connection infrastructure both onshore and
through any intertidal areas.
4.14. Although explicit reference is not made to international and national nature
conservation designations, guidance is provided on these in EN-1 and
reference is made to the need for affects to be assessed through an
Environmental Impact Assessment.
4.15. Clarification is provided on the reference to the 'temporary nature' of onshore
wind energy schemes.
4.16. Amendments have been made to ensure noise assessments are carried out
not only in line with current ETSU*-R97 Noise Assessment Guidelines , but
also to reflect the latest industry good practice advice.
(*Energy Technology Support Unit of the former Department of Trade and Industry)
The draft National Policy Statement for Gas Supply Infrastructure and Gas
and Oil Pipelines (EN-4)
4.17. New gas infrastructure will be needed to meet daily and seasonal swing
demand, as well as to manage imported gas volumes. No adverse impacts
for Cumbria have been identified from the proposed minor changes to the
draft Oil and Gas NPS.
The draft National Policy Statement for Electricity Networks Infrastructure
(EN-5)
4.18. The first draft EN-5 covers overground electricity lines of 132KV and above
including associated infrastructure (e.g. electricity sub stations).
Government has clarified that this NPS can also consider underground
cabling impacts – where undergrounding is justified.
In Cumbria
undergrounding of cabling may be considered appropriate in some sensitive
landscapes. Importantly, EN-1 continues to recognize the significant need
for new major energy transmission infrastructure.
The draft National Policy Statement for Nuclear Power Generation (EN-6)
4.19. Government has withdrawn Braystones and Kirksanton from the list of sites
for the reasons cited in Appendix A. Cabinet will recall that its February
2010 report on the first draft NPSs observed that “The cumulative impact of
up to three major industrial installations on the landscape, marine
biodiversity including Natura 2000 sites, enjoyment of the adjacent National
Park and upon communities on the coastal plain, plus the image created for
potential visitors balanced against the economic advantages that would
accrue, is considered to be the defining issue for this consultation response.”
Cabinet decided it was minded not to support development at Braystones
and Kirksanton because of the environmental impact.
The Cabinet
Members for Transport and Environment, and for Economy and Highways
therefore issued a statement on 18 October welcoming Government’s
Page 271
decision to withdraw Kirksanton and Braystones from the revised Nuclear
NPS.
4.20. Nonetheless the Braystones and Kirksanton site owners, RWE, state: “We
firmly believe that both sites are excellent options for new nuclear
development by 2025L(and)L We will now consider our response to the
(NPS) consultationL”. The Sellafield site developer, NuGeneration Ltd,
comments: “(to be completed).”
4.21. The revised NPS now clarifies that the IPC (and its successor body) can
address radioactive waste management issues; refers to the potential for
centralized spent nuclear fuel storage as well as long term storage pending
disposal of new build spent nuclear fuel on site where it arises; and reports
on a strengthened Government framework to help achieve key milestones in
geological disposal facility development including the reformation of the
Ministerially chaired Geological Disposal Implementation Board, and annual.
4.22. Proposed changes to the Nuclear NPS addresses the main concern of
Cabinet about multi site development in West Cumbria and helpfully clarifies
alternatives for spent fuel storage and the role of the IPC in relation to
radioactive waste disposal. It is therefore recommended that Cabinet
support these proposed amendments.
5.0
OPTIONS
5.1.
Cabinet could agree the report recommendation and the proposed
consultation response at Appendix C.
5.2.
Cabinet could decide to vary, or not to support, part or all of the report
recommendations and proposed consultation response at Appendix C.
6.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1.
The County Council provides officer support to facilitate new nuclear build in
Cumbria and has a regulatory role, as a local planning authority, in
responding to utilities; proposals for new nuclear power stations in West
Cumbria. The cost of this latter work could be considerable and opportunities
for external funding to offset these costs are being explored.
7.0 LEGAL IMPLICATIONS
7.1.
This report commends a second round of consultation responses (together
with possible variation thereof) to the Department of Energy and Climate
Change regarding the six draft National Policy Statements on energy
provisions. As such, there are no direct legal implications involved in the
provision of these responses, as recommended.
Page 272
8.0
CONCLUSION
8.1.
Cumbria is well placed to contribute directly to Government energy policy
through the development of new generating capacity and the potential
development of new support services to the nuclear sector on the Sellafield
site.
8.2.
The proposed revised National Policy Statements for Energy and their
supporting Appraisals of Sustainability are generally welcome and should
facilitate the implementation of Government energy policy. No adverse
impacts for Cumbria have been identified from the proposed changes.
Marie Fallon
Corporate Director - Environment
18 November 2010
APPENDICES
Appendix A – Summary Overview of Consultation Responses to the Energy
NPSs
Appendix B – Main Changes to Energy NPSs identified by DECC
Appendix C – Planning for New Energy Infrastructure: DECC Consultation on
Revised Draft NPSs – proposed consultation response.
Electoral Division(s):
All
* Please remove whichever option is not applicable
Executive Decision
Yes
Key Decision
Yes
If a Key Decision, is the proposal published in the current Forward Plan?
Yes
Is the decision exempt from call-in on grounds of urgency?
No
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
N/A
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
No
Has an environmental or sustainability impact assessment been
undertaken?
No
Has an equality impact assessment been undertaken?
Page 273
N/A
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Corporate Director has obtained the
necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
[including Local Committees]
Energy White Paper and Nuclear Issues for Cumbria, Report to Full Council
13 September 2007
The Strategic Siting Assessment Process and Siting Criteria for New Nuclear
Power Stations in the UK, Report to Cabinet, 4 November 2008
The Nomination of the Sellafield Site for New Nuclear Buidl, Report to
Cabinet, 3 February 2009
DECC & DfT Consultations on Energy & Ports National Policy Statements,
Report to Cabinet, 2 February 2010.
CONSIDERATION BY OVERVIEW AND SCRUTINY
Not considered by Overview and Scrutiny
BACKGROUND PAPERS
‘Meeting the Energy Challenge: A White Paper on Nuclear Power’ BERR,
January 2004
‘Consultation on the Strategic Siting Assessment Process and Siting Criteria
for New Nuclear Power Stations in the UK’ BERR, July 2008
‘Towards a Nuclear National Policy Statement’ DECC, January 2009
‘Infrastructure Planning Commission Implementation Route Map’ DCLG,
January 2009
‘Infrastructure Planning: How will it work? How can I have my say?’ HMG
(undated)
‘Consultation on the draft National Policy Statements for
Infrastructure’ DECC, November 2009 (and support documentation).
Energy
‘Planning for New Energy Infrastructure: Consultation on the revised draft
National Policy Statements for Energy Infrastructure’ DECC, October 2010
(and support documentation at www.energynpconsultation.decc.gov.uk)
‘Response to the Consultation on the Draft NPSs for Energy Infrastructure’
DECC, October 2010
Page 274
RESPONSIBLE CABINET MEMBER
Tim Knowles, Cabinet Member for Environment and Transport
REPORT AUTHOR
Contact: Stewart
Kemp,
Telephone
[email protected]
Page 275
Number
01539
713416
Appendix A
SUMMARY OVERVIEW OF CONSULTATION RESPONSES TO THE ENERGY
NPSs
EN 1
About half of responses to the draft Overarching Energy Policy Statement (EN-1)
considered it should not be approved – principally on the grounds that it facilitated
further fossil fuel development. Government disagreed but flags a consultation
later this year followed by a White Paper in Spring 2011 on reforms to the Energy
Market to facilitate low carbon development.
Several respondents challenged the assessment of ‘need’ but Government defends
its position saying “DECC’s analysis for pathways to 2050, published in July
alongside the Annual Energy Statement, shows the need for even greater amounts
of electricity in the run up to 2050. It shows that reductions in electricity
consumption resulting from improvements in energy efficiency will be far
outweighed by increases in electricity demand, potentially leading to a doubling of
electricity demand between now and 2050. Generation capacity will need at least to
double to meet this demand and, if a significant proportion of our electricity is
supplied from intermittent sources, such as wind, solar, or tidal, then the total
installed capacity might need to triple.” (Note: it is not correct to characterise tidal
energy as ‘intermittent’.)
EN 2
Significantly more respondents agreed that the draft NPS for Fossil Fuel Electricity
Generating Infrastructure (EN-2) should be approved than disagreed (which appears to
contradict responses to EN-1 referred to above).
EN 3
Of the respondents answering this question about whether the Renewables NPS
(EN-3) should be designated, just under half agreed that it should. Fewer
respondents did not agree that the NPS should be designated. The remainder of
respondents were unclear as to whether it should be designated.
EN 4
The majority of respondents who commented on the Oil and Gas Pipeline NPS
(EN-4) agreed that it should be formally approved.
EN 5
Asked about whether the Electricity Infrastructure Networks NPS (EN-5) adequately
addressed the impacts of undergrounding cables, the ‘Campaign for Rural England
(CPRE)’ responded ‘no’ and of the 1,100 responses to this question, the clear
majority of respondents (including all 600 CPRE individual campaigners who
responded) answered ‘no’. Government has amended EN-5 so it can now consider
the impacts of cables if undergrounding is considered justified.
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The majority of responses dealt in some way with the visual impact of overhead
lines. The main comments were that pylons spoilt the countryside and should not
be allowed especially in National Parks and areas of outstanding natural beauty,
but also in sites of special scientific interest, green belt and any other area that
local people considered important.
EN 6
The draft Nuclear NPS (EN-6) attracted a large number of responses and many
themes have been identified. These include the need for nuclear power, wider
safety and security concerns about nuclear power, concerns regarding waste from
nuclear power and responses on individual sites and their suitability. Within all the
individual site summaries, the direction given to the IPC has been clarified. Key
factual changes for the Sellafield site including revisions to the site Appraisal of
Sustainability and the Habitats Regulations Assessment are as follows:
Silecroft Range – Assessment and guidance clarified to reflect that consideration of
on and off site hazards is undertaken by the Health and Safety Executive.
November 2009 Floods – Assessment updated to reflect the flooding events and how
Sellafiedl was affected.
Coastal Processes – Updated to reflect consultation comments on the impact of
coastal defences.
Sellafield Existing Facilities- Updated to reflect consultation comments regarding
the proximity of existing facilities to any potential new build.
Nationally and Internationally sites – Updated to reflect consultation comments
on the natterjack toad, Wast Water and additional sites that are beyond 20km of the
site boundary and concerns over Church Moss SSSI and Sellafield Tarn.
Lake District National Park – Updated to reflect comments received during the
consultation on potential impacts.
Cooling – Updated to reflect consultation comments on whether there would be
impacts on the Irish Sea.
Cumulative Effects – Updated assessment reflects the relationship with the
nominated site at Heysham (Kirksanton and Braystones are not included on the
revised draft NPS).
Health – Updated to reflect 2008 radioactive monitoring findings. Also updated to
reflect health studies raised during the consultation.
Other issues – Updated to reflect consultation comments on cumulative radiation
doses and transport.
Part 3 of the draft Nuclear NPS provided that before development consents for new
nuclear power stations are granted, the Government needs to be satisfied that effective
arrangements exist, or will exist, to manage and dispose of the waste they will produce.
A significant number of respondents were broadly supportive of the Government’s
preliminary conclusion, but many respondents disagreed with the conclusion and
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raised a variety of concerns. The revised draft Nuclear NPS confirms that the
Government is satisfied that effective arrangements will exist to manage and dispose
of the waste that will be produced by new nuclear power stations in the UK, but three
significant changes to wording in the draft Nuclear NPS have been made in response
to comments received. These changes (detailed in Appendix A) are intended to:
•
demonstrate the Government’s confidence that geological disposal will be
implemented;
•
clarify the Government’s expectations in relation to the likely duration of the onsite storage of higher activity waste; and
•
clarify the role of the IPC in relation to arrangements for the management and
disposal of wastes from new nuclear power stations.
Regarding Braystones, Government says (Response to Consultation p163) “The
Government has considered evidence from, inter alia, the Spring 2009 opportunity for
public comments, the regulators, the Appraisal of Sustainability and Habitats
Regulations reports. The Government has concluded that the site should not be
included in the NPS in the list of sites that are potentially suitable for the deployment of
a new nuclear power station by 2025. This assessment has in particular taken into
account the assessment of credibility of deployment by 2025, the impact on the Lake
District National Park and the need for sites in the revised Nuclear NPS“. Government
says (p165) “the loss of a grid connection agreement is a significant factor. National
Grid has advised that work is progressing to connect 3.2GW of additional generation in
Cumbria. This would accommodate two reactors at Sellafield where there are grid
connection agreements for 3.2GW by 2025, with the first connection from October
2023.” Government continues (p170) “The key concern raised in relation to this
(landscape) criterion was the impact on the setting, tranquillity and special qualities of
the Lake District National Park.” Further (p171) “At Braystones the Government is
concerned that the development of a new nuclear power station would increase the
visual spread of the Sellafield complex and, given the significance of the existing
impact, this is highly likely to have an adverse impact on the setting of the National
Park.”
A similar conclusion is reached for Kirksanton (p205) “The Government has
considered this in conjunction with the assessment of criterion D8 (impacts) including
the potential impacts on the Lake District National Park and considered the need for
sites within the revised draft Nuclear NPS, and concluded that the site is not potentially
suitable.”
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Appendix B
Main Changes to Energy NPSs identified by DECC
EN-1 The draft Overarching National Policy Statement for Energy
What are the key changes
Clarity and repetition
Repetition of the content of EN-1 within each of the other NPSs
has been removed because EN-1 applies to all the technology
areas.
Need
Where is the change
Whilst this has not
significantly changed EN1, it has clarified and
simplified the technology
specific NPSs
Section 3.7 pages 6-8;
Section 3.9 page 1
This section sets out the need for new energy infrastructure and
has been updated to take account of the latest modelling and
1
Pathways to 2050 analysis .
Carbon Capture and Storage (CCS)
This section has been revised. It requires CCS to be demonstrated
on at least 300MW new of the proposed generating capacity. The
purpose of the CCS requirement in the NPS is to specify a
minimum requirement for the purposes of consent and to ensure
that no consent is given to proposals to build coal-fired power
stations which do not include commercial-scale demonstration of
CCS. The Government has said it will establish an emissions
performance standard (EPS) that will prevent coal-fired power
stations being built unless they are equipped with sufficient CCS to
meet the EPS. An Autumn consultation will consider further the
introduction of an EPS alongside wider reform of the electricity
market.
Air emissions
Section 3.6.5 to 3.6.7
page 25
Part 4.7, pages 42-44
Section 5.2.3, page 54
This section has been revised to include details on exhaust stacks,
moved from EN-2 and EN-3.
Historic environment
Section 5.8, page 80
This section has been updated to reflect the revised Planning
2
Policy Statement PPS5 .
Landscape and visual impact
Section 5.9, page 84
This section includes guidance on how the IPC should consider
cooling towers, which has been moved from EN-2 and EN-3.
EN-2 The draft National Policy Statement for Fossil Fuel Electricity Generating Infrastructure
What are the key changes
Where is the
change
Clarification
Throughout
Page 279
Where this NPS repeated EN-1, repetition has been removed. This NPS
should be read in conjunction with EN-1. The “need case” for new fossil fuel
electricity generating infrastructure is now in EN-1.
Transport Infrastructure
Paragraph
2.2.4, page 6
This section has been revised to clarify that transport for fuel and residues is
multi-modal but there is a preference for water-borne transport where
available. It also clarifies that sites should be located near existing transport
infrastructure where possible. The text has been further edited to be
consistent with EN-1 and EN-3.
Carbon Capture and Storage
Paragraph
2.3.6, page 9
This section has been edited to remove duplicate policy text from EN-1 and for
consistency with EN-1.
Landscape and visual impact
Paragraph
2.6.1, page 11
Impacts on landscape from cooling towers is now in EN-1. The description of
cooling towers has been deleted and a reference made to EN-1.
EN-3 The draft National Policy Statement for Renewable Energy Infrastructure
What are the key changes
Where is the
change
Clarification
Throughout
Where this NPS repeated EN-1, that repetition has been removed. This NPS
should be read in conjunction with EN-1.
The “need case” for new renewable electricity infrastructure is now in the
revised draft EN-1.
Biomass sustainability
Section 2.5
The text has been revised to take account of the latest position on Renewables
Obligation Certificates (ROCs), but may need to be further revised if the
proposed policy on ROCs referred to there, as having been subject to
consultation, is not adopted.
Green belts for Off Shore Wind
Section 2.6
New text has been substituted for the original (generic) text to explain the
circumstances in which Green Belt provisions might be applicable when
considering offshore applications.
Noise and Vibration Impacts for Biomass / Waste
Section 2.5
New section included to reflect AoS findings.
EN-4 The draft National Policy Statement for Gas Supply Infrastructure and Gas and Oil
Pipelines
Page 280
What are the key changes
Where is the
change
Clarification
Throughout
Where this NPS repeated EN-1, that repetition has been removed. This NPS
should be read in conjunction with EN-1. The “need case” for new gas supply
infrastructure and gas and oil pipelines is now in the revised draft EN-1.
C02 piplines
Section 1.7
The NPS has been amended to clarify that the NPS is only intended to cover
pipelines carrying natural gas or oil rather than covering CO2 pipelines as well.
Hazardous substances
Section 2.4
The NPS has changed to include suitable references to explain which
regulatory controls apply to ensure the safety of shipping of LNG (liquefied
natural gas).
Geological assessment for salt cavern storage
Section 2.6
More information has been included about what this assessment should
contain.
Assessment and technology-specific information
Part 2
Relevant additional advice has been included to applicants about what to
include in their applications. Various revisions have also been made to the
guidance on impacts, for example the specification of assessing the noise
impact of a pipeline within a 300m corridor has been changed. There is a new
section relating to the impact on gas emissions due to the flaring or venting of
gas.
EN-5 The draft National Policy Statement for Electricity Networks Infrastructure
What are the key changes
Where is the
change
Clarification
Throughout
Where this NPS repeated EN-1, that repetition has been removed. This NPS
should be read in conjunction with EN-1. The “need case” for new electricity
networks infrastructure is now in the revised draft EN-1.
Biodiversity - Bird strike
Section 2.7
Amended to reflect AoS findings.
Undergrounding
Section 2.8
Clarification of policy in this area
Page 281
Main changes Appraisal of Sustainability EN 1-5
What are the key changes
Where is the change
Effects of policies
Throughout, but especially
in the appraisal sections
The effect of the policy/ies have been reappraised and includes
short, medium and long term appraisal, as well as discussion on
potential cumulative effects. The “baseline” against which the
effects of implementing the NPS policies have been compared
has been that of the environment as it stands now, so that the
assessment is answering the question, “what difference would it
make to build a new generation of energy infrastructure in
accordance with the NPSs?”, rather than making a comparison
between implementing the same policies with and without an
NPS as the previous draft AoSs did.
Alternatives
The selection and appraisal of policy alternatives for each
Appraisal of Sustainability report (AoS1, 2, 3, 4 and 5) has been
reconsidered. New alternatives have been developed and
appraised, so that the appraisal considers the possible
advantages and disadvantages of different policies which could
be adopted in the NPSs as alternative ways of trying to fulfil the
overall energy policy objectives which lie behind them, rather
than different ways of drafting the NPSs, as the previous draft
AoSs did.
Section on assessment of
alternatives (separate
section in AoS1, combined
with appraisal of policies in
AoS2-5)
1
Section 5(3) of The Planning Act 2008
2
Directive 2001/42/EC of 27 June 2001 on the assessment of the effects of certain plans and programmes on the
environment
EN-6 The draft National Policy Statement for Nuclear Power Generation
What are the key changes
Where is the change?
Clarity and repetition
Repetition of the content of EN-1 has been removed. The revised draft
Nuclear NPS should be read in conjunction with EN-1.
The management and disposal of radioactive waste
There are three points on which the Government has concluded that
the wording in the draft Nuclear NPS should be revised. These
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Throughout,
including: moving the
need for nuclear text
(which formed Part 2
of the draft of EN-6)
to EN-1; and
streamlining some of
the assessment
principles in Part 2 of
the revised draft (for
example climate
change adaptation
(2.10) and good
design (2.8).
Section 2.11 and
Annex B
changes are intended to:
•
demonstrate the Government’s confidence that
geological disposal will be implemented;
•
clarify the Government’s expectations in relation to the
likely duration of the onsite storage of higher activity waste;
and
•
clarify the role of the IPC in relation to arrangements
for the management and disposal of wastes from new nuclear
power stations.
Applications for nuclear development on a site not listed in the
NPS
Section 2.3
Revised to more clearly set out how such an application would be
handled should it come forward.
The need for all of the listed sites
Paragraph 2.4.4
Clarification that the need for the sites refers to the need for the sites to
be listed in the NPS, rather than necessarily that a nuclear power
station is needed at all of the sites. Given the limited number of
potentially suitable sites, all eight are needed on the list to allow
sufficient flexibility for developers to be able to meet the need for new
nuclear power whilst recognising that the IPC may refuse consent at
any of the sites once it has considered the detailed applications in
accordance with the NPS.
The consideration of alternatives
Sections 2.3 to 2.6
This text has been revised and condensed.
Regulatory justification
Section 2.6
New text to explain the interaction with Regulatory Justification.
Relationship between the planning regime and the regulators
The text scoping the role of the IPC and that of the regulators has been
revised and condensed. The draft NPS included a table which has now
been removed. Detailed text on Nuclear Impacts or Flags for Local
Consideration are only included in the revised draft where these are
issues for the IPC to consider (rather than the regulators).
Siting considerations
Section 2.7 and Part
3
Sections 3.2 to 3.4
General siting policy has been moved from the site assessments to
Part 3 so that all of the general impacts and considerations are in one
place. Specific siting considerations are set out in the site assessments
(see below).
List of potentially suitable sites
Part 4 Annex C
Part 4 of the revised draft lists the sites determined by the Government
as being potentially suitable for the deployment of new nuclear power
stations before the end of 2025. The revised draft lists a total of eight
sites.
Site assessments have been updated since the consultation for the
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sites listed within the NPS and are now set out in Annex C of the
revised draft NPS. Details regarding Braystones, Kirksanton and
Dungeness (which are not on the list in the Revised Draft) are set out
within the Government Response. Please see below for details on the
changes to individual site assessments.
Imperative Reasons of Overriding Public Interest
Annex A
Annex A has been revised in light of the changes to the “need case” for
new infrastructure in EN-1.
1
A network of internationally important sites designated for their ecological status, comprising Sites of Community
Importance (SCI), Special Protection Areas (SPAs), Special Areas of Conservation (SACs), candidate Special Areas of
Conservation (cSACs) and European Offshore Marine Sites (EOMS). For the purposes of EN-6 this term also includes
Ramsar sites and potential SPAs.
Main changes: Appraisal of Sustainability EN 6
Significant Changes
Where is the
change
AoS main report
Chapter 7
The assessment has been updated to take account of the removal of
Kirksanton and Braystones from the Nuclear NPS. This includes an update
of the assessment of cumulative effects of sites.
For clarity existing material on the conclusion of that there are no
transboundary effects from the NPS has been consolidated in one section.
It was previously set out in several different annexes.
AoS site reports and appendices
Updated site reports and appendices have been published for the 11
nominated sites including Braystones, Kirksanton and Dungeness. They
take into account relevant comments from the public consultation which
mainly focused upon the characterisation of the area around the nominated
site and relate to factual accuracy.
Page 284
AoS site reports
for each
potentially
suitable site.
Appendix C
Planning for New Energy Infrastructure: DECC Consultation on Revised Draft
NPSs – Proposed Consultation Response
Question 1: Do you have any comments on the appraisal of policy alternatives within
the Appraisals of Sustainability for EN-1 to 5?
The County Council agrees that it is appropriate that the ‘baseline’ against which
the effects of implementing the NPS policies is compared should be the
environment as it now stands, rather than a comparison between implementing the
same policies with and without an NPS.
The County Council agrees that appraisal should consider the advantages and
disadvantages of different policies which could be adopted in the NPSs as
alternative ways of trying to meet overall energy policy objectives.
Question 2: Do you have any comments on the revised Need case in the
Overarching National Policy Statement (EN-1)?
Cumbria County Council agrees with Government that, in order for the UK to meet its
energy and climate change objectives, there is an urgent need for all types of nationally
significant energy infrastructure, including new nuclear power. Nuclear power
generation is a low carbon, proven technology, which is anticipated to play an
increasingly important role as we move to diversify and decarbonise our sources of
electricity. New nuclear power stations will help to ensure a diverse mix of technology
and fuel sources, which will increase the resilience of the UK’s energy system. The
County Council supports Government policy that new nuclear power should be able to
contribute as much as possible to the UK’s need for new non-renewable capacity.
Question 3: Do you have any other comments on the revised National Policy
Statements and accompanying documents?
The County Council supports the proposed revisions to the draft Energy NPSs,
Appraisals of Sustainability and Habitats Regulations Assessment.
The County Council welcomes the withdrawal of Kirksanton and Braystones from
the list of sites considered suitable for development before 2025 in the draft
Nuclear NPS. The County Council shares Government concern about the potential
cumulative impacts of developing more than one site in West Cumbria. The County
Council, in its response to the first consultation on the draft NPSs, identified the
cumulative impact of up to three major industrial installations on the landscape,
marine biodiversity including Natura 2000 sites, enjoyment of the adjacent National
Park and upon communities on the coastal plain, plus the image created for
potential visitors balanced against the economic advantages that would accrue, as
the defining issue when considering its response to the first Nuclear NPS
consultation.
Development on land adjacent to the Sellafield site continues to be the strong
preference of the County Council and other community leaders in West Cumbria. It
continues to be the preference of the community in West Cumbria as evidenced by
Page 285
the views expressed at the public meeting on the revised draft NPSs in Whitehaven
on 9 December.
The County Council continues to recognise that there is enough land at Sellafield to
host significantly more generating units than currently proposed by NuGeneration
Ltd, and that consolidating development adjacent to Sellafield may provide
significant CHP opportunities. The County Council welcomes the Government’s
decision not to preclude alternative arrangements for the management of spent nuclear
fuel from new build reactors, including the potential for a central storage facility, if a site
can be identified and the necessary regulatory and planning permissions obtained.
The County Council understands Government’s wish to evidence more clearly
progress towards development of a geological disposal facility for higher activity
radioactive wastes. The County Council continues to consider that the best prospects
for progress will be through sustained Government commitment to the key MRWS
principles of voluntarism, right of withdrawal and community benefits.
The County Council agrees it is appropriate for radioactive waste disposal
arrangements to be considered by the IPC (or its successor body) when deciding upon
planning applications to construct new nuclear power stations.
Page 286
Agenda Item 18
CABINET
Meeting date:
From:
6 January 2011
Cabinet Member for Environment and
Transport
Corporate Director – Environment
CUMBRIA
MINERALS
&
WASTE
DEVELOPMENT
FRAMEWORK – ADOPTION OF THE SITE ALLOCATIONS
POLICIES AND PROPOSALS MAPS
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1.
The Inspector’s Report on his Examination of the Site Allocations
Policies and Proposals Map has now been received. The report and its
recommendations are binding on the Council.
1.2.
The purpose of this report is to seek Cabinet’s recommendation to Full
Council on 20 January 2011 that the changes recommended by the
Inspector should be made and that these two Development Plan
Documents should be formally adopted.
1.3.
Copies of these amended documents, together with the Inspector’s
report, will be placed in the Group offices and will be on the council’s
website. Paper copies will be provided on request.
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1.
The Council has approved a programme for the preparation of the
Minerals and Waste Development Framework, which is a statutory
requirement.
2.2.
The Minerals and Waste Development Framework is directly relevant to
the Council Plan’s ‘Greener’ theme. In particular, it should help deliver
the sites that are needed for new waste management facilities, in a
sustainable manner, and one of its main objectives is to minimise the
impacts of minerals and waste management developments on climate
change. It is also relevant to the ‘Wealthier’ theme, particularly in
relation to improving Cumbria’s infrastructure.
The community
engagement procedures for the plan are relevant to the ‘Better’ theme.
Page 287
2.3.
An initial Equality Impact Assessment formed part of the Statement of
Community Involvement and another was carried out for the Core
Strategy and Generic Development Control Policies. No equality
issues have been identified arising from the plan making process.
3.0
RECOMMENDATION
3.1.
That Cabinet forwards the amended Site Allocations Policies and
Proposals Maps Development Plan Documents to Full County Council,
with a recommendation that they should be formally adopted.
Tim Knowles, Cabinet Member for Environment and Transport
PART B – ADVICE OF CORPORATE DIRECTOR - ENVIRONMENT
4.0
BACKGROUND
4.1.
The Minerals and Waste Development Framework Core Strategy and
Generic Development Control Policies were adopted in April 2009. We are
now at the final stage of the process for the two remaining documents, the
formal adoption by full County Council of the Site Allocations Policies and
Proposals Maps.
4.2.
The Site Allocations Policies identify the sites and areas of land that the
County Council considers are needed for working and safeguarding minerals
and for managing wastes over the period to 2020, within Cumbria outside
the two National Parks. The Proposals Maps are required to include a wide
range of information, including constraints - environmental designations,
flood risk areas, consultation zones for airfield, military and technical sites as well as the Mineral Safeguarding Areas, Mineral Consultation Areas and
the proposed sites.
4.3.
These Documents were submitted to the Secretary of State in April 2010.
Their examination by the Planning Inspectorate then commenced and
included a four week Hearing in Public during September and October 2010.
The Hearing sessions were held in Kendal, Whitehaven, Kirkby Thore and
Rockcliffe, near Carlisle. People and organisations who had submitted
representations objecting to the proposals were able to make their
comments in person to the Inspector.
4.4.
As a result of discussions at the Hearing sessions, we produced a schedule
of recommended changes, which was placed on the Council’s website at the
end of the Hearing, at the request of the Inspector. This document
(reference HD36) set out changes required to ensure the Policies were
sound (schedule A) and changes required for clarification or to correct
omissions and typographic errors (schedule B). Printed copies of this
document and of the Inspector’s report will be provided on request.
Page 288
Main Changes
4.5.
The most fundamental of these changes arising from the Hearing sessions
are the following:§
An additional policy “Sequential approach to site development”;
§
In connection with the above change, reserve sites have to be as
deliverable as first preference ones. This means that Hespin Wood is
removed as a potential site for a Household Waste Recycling Centre;
Goldmire Quarry and Thackwood clay pit are upgraded to first
preference for landfill; and Roose sand quarry for sand and gravel.
Innovia at Wigton was proposed to be upgraded to first preference for
an Energy from Waste plant (but see 4.7 below);
§
Removal of a policy for Very Low Level Radioactive Waste (VLLW).
This change is needed because in the Core Strategy we said that we
were not including a policy for VLLW at this time due to the
uncertainties about this waste stream. We unsuccessfully argued for
its retention during the Examination. It is now a matter for the review of
the Core Strategy. A consequence is that the land next to Sellafield is
removed from Policy 5; it had previously been included as a new site
for managing Low Level Wastes, including Very low Level Waste. New
text is included, that states that the identification of any sites in addition
to ones already approved is premature. The revised text strengthens
the Council’s position with regard to the sequential approach. The
removal of the site from the policy should not affect this;
§
An additional Area of Search for a possible replacement of Roose sand
quarry;
§
An additional map showing the deep coalfield as a potential resource of
coal bed methane;
§
A commitment to reviewing the gypsum Mineral Safeguarding Area to
include resources that may become viable in the future.
4.6.
The Inspector’s Report of his Examination of the documents was received
on 1 December 2010. A copy of his Non-Technical Summary is included as
Appendix 2.
4.7.
The only substantive additional change, recommended by the Inspector, is
that Innovia, Wigton should be removed from Policy 3 as a site for an Energy
from Waste plant. Whilst this is disappointing, it is because the site has
been identified as being within the functional floodplain and is therefore
contrary to national policy. The Inspector accepts that there may be an
acceptable way of carrying out this development, but that this would need to
be demonstrated in a site specific flood risk assessment and considered
under the Development Control Policies.
4.8.
The Inspector’s recommendations are binding on the County Council and
there are only two options:§
accept the Inspector’s recommended changes in full, or
§
withdraw the two development plan documents - this might invite a
Direction by the Secretary of State to submit them to him for approval.
The Secretary of State would be highly unlikely to issue a direction given
Page 289
the thrust of the localism agenda, which is to leave matters in the hands
of those who are deemed to know what is best for their areas.
4.9.
The changes required by the Inspector are not considered to have significant
impacts on, or to significantly weaken, the policies that the Council is
seeking to implement. None of the changes are, therefore, considered to
involve unacceptable variation from the policies that were approved by
Cabinet for submission to the Secretary of State. As such, the Site
Allocations Policies and Proposals Maps Development Plan Documents
should be amended to incorporate the changes set out in the Inspector’s
report and recommended by Cabinet for adoption by the County Council.
4.10. Following adoption, the Town and Country Planning (Local Development)
(England) Regulations 2004, (as amended), require, among other things,
that the documents are made available for inspection and published on the
website, together with a statement about their adoption. The adoption
statement has to be sent to those people who asked to be notified. Any
person who is aggrieved by the decision to adopt has a six week period in
which to apply to the High Court for judicial review.
5.0
OPTIONS
5.1.
The County Council can decide to adopt the Site Allocations Policies and the
Proposals Maps with the changes recommended in the Inspector’s report or
decide not to adopt them.
5.2.
A decision not to adopt would, in effect, mean that the County Council
intends to restart the plan preparation process. It could lead to the Secretary
of State requiring the documents to be submitted to him for approval.
6.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1.
There are no immediate financial consequences arising from this report.
7.0 LEGAL IMPLICATIONS
7.1.
The procedures outlined in this report are compliant with the provisions of
the Planning and Compulsory Purchase Act 2004 and the Regulations
referred to in para. 4.10 above.
7.2.
There are no direct legal implications.
8.0
CONCLUSION
8.1.
The changes that are recommended in the Inspector’s report are not
considered to involve unacceptable changes to the documents that were
approved for submission to the Secretary of State or to adversely affect the
policies that the Council is seeking to implement.
It is, therefore,
recommended that the Site Allocations Policies and the Proposals Maps
should be amended in accordance with the Inspector’s recommendations
Page 290
and that Cabinet recommends they be formally adopted by the County
Council.
Marie Fallon
Corporate Director - Environment
8 December 2010
APPENDICES
Appendix 1 – Changes Proposed During the Examination of the Documents –
copies available in Group offices and on the Council’s website.
Appendix 2 –The Inspector’s Non-Technical Summary of his Report
Electoral Division(s):
All
* Please remove whichever option is not applicable
Executive Decision
Yes
Key Decision
Yes
If a Key Decision, is the proposal published in the current Forward Plan?
Yes
Is the decision exempt from call-in on grounds of urgency?
No
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
N/A
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
No
Has an environmental or sustainability impact assessment been
undertaken?
Yes
Has an equality impact assessment been undertaken?
Yes
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Corporate Director has obtained the
necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
[including Local Committees]
*List here any previous relevant decisions.
relevant decisions”
If none, state “No previous
CONSIDERATION BY OVERVIEW AND SCRUTINY
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Not considered by Overview and Scrutiny
BACKGROUND PAPERS
Submitted Site Allocations Policies, Proposals Maps and Supporting
Documents
Cumbria Minerals and Waste Development Framework, Adopted Core
Strategy, Generic Development Control Policies and Appendices, April 2009
Inspector’s Report 1 December 2010 on his Examination of the Site
Allocations Policies and Proposals Map
RESPONSIBLE CABINET MEMBER
Tim Knowles, Cabinet Member for Environment and Transport
REPORT AUTHOR
Contact: Richard Evans or Sue Brett, 01539 713425, [email protected]
Page 292
APPENDIX 2
THE NON-TECHNICAL SUMMARY OF THE INSPECTOR’S REPORT
Non-Technical Summary
This report concludes that the Site Allocations Policies and Proposals Map
Development Plan Document (together with the adopted Core Strategy and
Generic Development Control Policies Development Plan Documents) provides
an appropriate basis for the planning of Waste and Minerals development in
Cumbria over the period to 2020. The Council has sufficient evidence to
support the approach taken to site identification and can show that those
allocated have a reasonable chance of being developed to enable the Core
Strategy to be delivered.
A number of changes are needed to meet legal and statutory requirements.
These can be summarised as follows:
•
•
•
•
•
•
Deletion of Hespin Wood from policy 1 with consequential changes to
the text as the deliverability of the identified site is not certain;
Deletion of the Innovia, Wigton site from policy 3 and consequential
changes to the text and Chapter 7 site maps as the site is within the
functional floodplain and its allocation conflicts with national policy;
Reclassification of Goldmire Quarry as a First Preference site in policy 4
and consequential changes to the text to ensure consistency with the
Core Strategy objective to give priority to non-inert landfill in the south
of the County;
Removal of reference to Very Low Level Radioactive Wastes and the
land adjacent to Sellafield from policy 5, the replacement of paragraph
3.11 by a number of new paragraphs and consequential changes to the
text and Chapter 7 site maps to ensure consistency with national planmaking policy and the Core Strategy; to ensure that only sites
deliverable in the short term are allocated; and to ensure commitment
to an early review of this element of the Minerals and Waste
Development Framework;
Reclassification of Roose sand quarry as a First Preference site in policy
6 and the addition of Roosecote as an area of search in the same policy
with consequential additions and changes to the text and Chapter 7 site
maps to ensure consistency with the Core Strategy objective to give
priority to sand and gravel extraction in the south of the County;
The addition of new text at the end of paragraph 3.22 to explain the
addition of a map showing areas licensed for coalbed methane and the
extent of the deep coalfield Mineral Safeguarding Area and a new map
added to Chapter 7 to achieve consistency with national policy.
Most of the changes recommended in this report are based on proposals put
forward by the Council in response to points raised and suggestions discussed
during the public examination. The changes do not alter the thrust of the
Council’s overall strategy and, in the case of that for policy 5, reinstate the
adopted strategy for the management of Low and Very Low Level radioactive
wastes.
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Page 294
Agenda Item 19
CABINET
Meeting date:
From:
6 January 2011
Cabinet Member for Environment & Transport
Corporate Director – Environment
CUMBRIA MINERALS AND WASTE DEVELOPMENT SCHEME
& ANNUAL MONITORING REPORT
PART A - RECOMMENDATION OF CABINET MEMBER
1.0
EXECUTIVE SUMMARY
1.1.
The County Council is required to submit an Annual Monitoring Report
(AMR) at the end of each calendar year, to the Secretary of State. The
AMR is about progress with preparing the Minerals and Waste
Development Framework (MWDF) and the performance of development
plan policies.
1.2.
This year’s is the 6th Annual Monitoring Report and covers the period
1 April 2009 to 31 March 2010. It is the first one since MWDF policies
were formally adopted by the Council. It identifies the need for a timely
review of the Core Strategy; a programme for this is included in a
revised Minerals and Waste Development Scheme.
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1.
The Minerals and Waste Development Framework is directly relevant to
the Council Plan Theme – ‘Greener’. In particular, it should help deliver
the sites that are needed for new waste management facilities and one
of its main objectives is to minimise the impacts of minerals and waste
management developments on climate change and the environment.
2.2.
It is also relevant to the theme – ‘Wealthier’, particularly in securing
adequate supplies of the minerals which are essential for regeneration
and development schemes and for maintaining and improving
Cumbria’s infrastructure.
2.3.
The community engagement procedures for the plan are relevant to the
theme – ‘Better’. An initial Equality Impact Assessment formed part of
the Statement of Community Involvement.
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3.0
RECOMMENDATION
3.1.
That the revised Minerals and Waste Development Scheme is approved
for submission to the Secretary of State.
3.2.
That the revised Scheme should come into effect on 21 February 2011.
3.3.
That the sixth Annual Monitoring Report (Appendix 2 to this report) be
noted.
Tim Knowles, Cabinet Member for Environment & Transport
PART B – ADVICE OF CORPORATE DIRECTOR - ENVIRONMENT
4.0
BACKGROUND
4.1.
Section 35 of the Planning and Compulsory Purchase Act 2004 requires
each local planning authority to make an annual report to the Secretary of
State about the implementation of its Local Development Scheme and the
performance and continued relevance of development plan policies. In our
case, the Minerals and Waste Development Scheme sets out the
programme for preparing the Minerals and Waste Development Framework.
4.2.
This year’s will be the sixth Annual Monitoring Report (AMR), covering the
period 1 April 2009 to 31 March 2010. It is the first one since the MWDF
Core Strategy and Generic Development Control Policies were adopted by
the Council. At the present time, the AMRs are submitted via Government
Office for the North West. With regard to the localism agenda, the AMRs are
included in DCLG’s list of data sets that are needed for key policy decisions.
In these circumstances, it may be assumed that there will be a continuing
requirement to produce the reports.
Minerals and Waste Development Scheme
4.3.
The relevant Development Scheme came into effect on 6 March 2009 (see
Annex B of the AMR). At the beginning of this reporting year, work on the
Core Strategy and Generic Development Control Policies was coming to a
close. The Inspectors’ Report on the Examination of these documents had
been received in February 2009 and they were formally adopted by the
County Council on 23 April 2009. Cumbria was one of only four County
Councils, and the third authority in the north west, to have reached this stage
in the process.
4.4.
The main effort during the year was preparing the Site Allocations Policies
and the Proposals Map. We had postponed further work on these in 2007
on the advice of Government Office and the Planning Inspectorate.
4.5.
Within this reporting year, regulations required three rounds of consultations
to be undertaken between January and October 2009. This was because
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additional sites kept being put forward for consideration. From December
2009 to January 2010 we published and consulted about the documents that
the Council intended to submit to the Secretary of State.
4.6.
Just after the end of this reporting period, on 30 April 2010, the documents,
with all their supporting reports, were submitted to the Secretary of State.
The extended period for the repeated consultations had caused a three
month delay in the Minerals and Waste Development Scheme programme.
4.7.
With regard to next year’s AMR, this delay was reflected in the subsequent
stages, with the Hearing in Public sessions being in September/October
2010, rather than June as programmed. We have managed to catch up to
an extent and the Inspector’s Report on his Examination of the Site
Allocations Policies and Proposals Map has now been received. However,
the adoption of the documents is not now practicable before January 2011,
rather than December 2010 as had been programmed.
Planning Applications
4.8.
During the period of this AMR, seventy eight planning permissions were
granted and two were refused (see Annex C of the AMR). Of those granted
permission, forty seven may be regarded as major proposals for mineral
extraction, processing or managing wastes.
They included the two
Mechanical and Biological Treatment plants, one in the north, at Hespin
Wood, and one in the south, at Sowerby Woods.
4.9.
One of the refused applications was for increased landfill capacity at Bennett
Bank near Barrow. Waste Recycling Group appealed against this decision
and, in March 2010, were granted additional capacity of 580,000 cubic
metres; this should help to resolve the current issue of residual waste in the
south of the county being sent to Lancashire.
4.10. Twenty permissions related to minerals, which resulted in an increase of 1.1
million tonnes in the county’s sand and gravel aggregates landbank. The
permissions also included 690,000 tonnes of sports ground quality sand.
4.11. Sixty permissions related to waste management facilities. These were for
new capacity to manage tyres, plasterboard, household, commercial and
industrial, construction and demolition, green and agricultural wastes. It is
encouraging to note the interest in providing the facilities that are needed to
drive wastes up the waste hierarchy. Twenty six of the permissions were for
new or improved waste water treatment facility schemes across the county.
4.12. Taking account of these permissions, this report concludes that existing
policies have operated effectively, in that provision continued to be made for
minerals and waste management facilities.
4.13. During the examination of the Site Allocations Policies, it became clear that
an early review was needed of the Core Strategy. This point was reiterated
several times by the Inspector at the Hearing in Public sessions and is
mentioned in his Report. A decision about the timing of starting the review
will depend on a number of factors however, not least the prioritisation of
Page 297
resources and capacity within a tighter budgetary environment. There is
also the need to maintain a set of up to date and relevant planning policies,
particularly in relation to the nuclear industry and radioactive waste
management.
4.14. As a result of the Examination of the Core Strategy, we were required to
include a commitment to a timely review of its radioactive waste policies.
This was to be when the detailed implementation of national policies became
clearer. We are now in that position. Of particular relevance is the UK Low
Level Waste Strategy published by the Nuclear Decommissioning Authority.
4.15. In addition, the revocation of the NW Regional Spatial Strategy (RSS) has
left a policy vacuum, in that the Core Strategy could not repeat regional
policies. The RSS policies that will need to be considered for the content of
the review of the Core Strategy, are those relating to minerals extraction,
secondary and recycled aggregates, targets for managing different waste
streams, waste management and locational principles, provision of national,
regional and sub-regional waste facilities, apportionments of waste
management capacity and radioactive waste.
4.16. The RSS had “extended” the life of some of the Joint Structure Plan Policies.
It is now necessary to assess whether any of these should be expressed in
Core Strategy policies.
4.17. Another matter arising from the Examination of the Site Allocations Policies
is the need to reconsider the mineral safeguarding proposals for resources
of gypsum.
4.18. The conclusion of the AMR (Appendix 2 to this report) is that a review of the
Core Strategy is needed as soon as possible. A timetable for this is set out
in the revised Minerals and Waste Development Scheme (Appendix 1 to this
report). In summary, this proposes commencing consultations in March
2011, aiming for submission to the Secretary of State in February 2012 and
adoption by the County Council in April 2013.
4.19. The Government has recently announced its intentions to introduce a
simpler, speedier planning system, which would be welcomed. This may
allow the programme for the Core Strategy review to be speeded up,
although this will depend on the availability of resources and capacity within
the County Council going forward. There is no statutory timescale to
undertake a review although developers and investors in minerals and waste
sectors will be looking for certainty as quickly as possible.
5.0
OPTIONS
5.1.
The submission of the Annual Monitoring Report, by the end of the calendar
year, is a statutory requirement.
5.2.
Cabinet may decide that the Core Strategy should not be reviewed.
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6.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1.
If Government reviews the planning system, as mentioned in paragraph 4.19
above, there may be financial and resource implications for the County
Council.
7.0 LEGAL IMPLICATIONS
7.1.
As indicated earlier in this report, every local planning authority must make
an annual report to the Secretary of State containing prescribed information
as to the implementation of its local development scheme and the extent to
which policies set out in the local development documents are being
achieved. It is a requirement that this report be submitted by the end of the
period of 9 months after the expiry of the monitoring period to which it
relates. This report explains how this has been done; the necessary
revisions to the Minerals and Waste Development Scheme and how
planning applications have been dealt with during the AMR period.
7.2.
In view of the compliance with the relevant statutory requirements, there are
no direct legal implications which arise from this report.
8.0
CONCLUSION
8.1.
The Annual Monitoring Report describes progress with preparing the
Cumbria Minerals and Waste Development Framework and assesses the
performance and continued relevance of development plan policies. Even
though the Core Strategy is only two years old, the need for an early review
has been demonstrated. A programme for, and description of, this review is
included in the revised Minerals and Waste Development Scheme.
Marie Fallon
Corporate Director – Environment
8 December 2010
APPENDICES
Appendix 1 – Revised Minerals and Waste Development Scheme
Appendix 2 – The 6th Annual Monitoring Report 2009/10- copies available in
group offices and on the Council’s website.
Electoral Division(s):
All
* Please remove whichever option is not applicable
Executive Decision
Yes
Key Decision
Yes
Page 299
If a Key Decision, is the proposal published in the current Forward Plan?
Yes
Is the decision exempt from call-in on grounds of urgency?
No
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
N/A
Yes
Has an environmental or sustainability impact assessment been
undertaken?
N/A
Has an equality impact assessment been undertaken?
N/A
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Corporate Director has obtained the
necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
[including Local Committees]
5th Annual Monitoring Report – Cabinet, 8 December 2009
CONSIDERATION BY OVERVIEW AND SCRUTINY
Scrutiny Panel received an update on the MWDF at its meeting on 19th
October 2010
BACKGROUND PAPERS
Cumbria Minerals and Waste Development Scheme, March 2009
Cumbria Minerals and Waste Development Framework, Adopted Core
Strategy, April 2009
Inspector’s Report 1st December 2010 on the Examination into the Minerals
and Waste Development Framework Site Allocations Policies and Proposals
Map
RESPONSIBLE CABINET MEMBER
Tim Knowles, Cabinet Member for Environment and Transport
REPORT AUTHOR
Contact: Sue Brett, 01539 713409, [email protected]
Page 300
APPENDIX 1 to Cabinet Report 6 January 2011
CUMBRIA MINERALS AND WASTE
DEVELOPMENT SCHEME
6th
ANNUAL MONITORING REPORT
2009/10
DECEMBER 2010
P334/13
Page 301
Page 302
Executive Summary
This Annual Monitoring Report (AMR) covers the period from 1 April 2009 to
31 March 2010.
The Core Strategy and Generic Development Control Policies of the Cumbria
Minerals and Waste Development Framework (MWDF) were adopted by the
County Council on 23 April 2009. This is the first AMR to use the Core Strategy’s
matrix to monitor and record the impacts of policies and decisions.
Work on the Site Allocations Policies, held in abeyance since 2007,
recommenced in February 2009. Four separate consultations were undertaken
on this document, before submission of the final version to the Secretary of State
in April 2010.
Both the Core Strategy and Generic Development Control policies performed
adequately, in that the supply of minerals has been maintained and provision has
been made for waste management facilities. There have been no identified
significant adverse effects on social, environmental and economic objectives.
Figures for primary land won aggregate sales for 2009 are not yet available. The
2008 calendar year figures for Cumbria were 3.85 million tonnes of crushed rock
and 770,000 tonnes of sand and gravel.
The three year rolling average of sales 2006 to 2008 was 3.84 million
tonnes/year of crushed rock and 810,000 tonnes/year of sand and gravel.
In addition, 23,100 tonnes of marine dredged sand were landed in 2009 and
20,000 tonnes of Harbour Authorities dredged sand in 2008.
These figures compare with the Regional Spatial Strategy’s sub-regional
apportionment to Cumbria of 4.1 million tonnes/year of crushed rock and 700,000
tonnes/year of sand and gravel.
Additional reserves of 1.1 million tonnes of sand and gravel and 690,000 tonnes
of sports ground quality sand were permitted, maintaining the sand and gravel
landbank significantly above the minimum requirements of national policy.
Other permissions were for 250,000 tonnes of sandstone, 30,000 tonnes of
engineering clay and facilities for an additional 10,000 tonnes per year of
recycled aggregates.
The amounts of inert construction and demolition wastes and secondary
aggregates that are reused or recycled as alternative aggregates cannot be
estimated due to the lack of reliable data; a continuing problem for national,
regional and sub-regional figures.
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Permissions for waste facilities included ones for the municipal waste contract
with Shanks – one Mechanical and Biological Treatment plant in the north of the
county and one in the south. Permission was granted, on appeal, for an
additional 580,000 cubic metres of capacity at the Bennett Bank landfill near
Barrow.
Permissions were also granted for the treatment/recovery (including composting)
of over 200,000 tonnes of other wastes, for a tyre recycling operation and for the
provision or improvement of 26 waste water treatment schemes.
Municipal waste arisings were 288,336 tonnes; collected household waste per
head of population was 512 kg. Of the total household waste created, 46% was
sent to landfill, with 54% reused, composted or recycled.
During the examination of Cumbria’s Site Allocations Policies document, it
became clear that several factors were contributing to the need for an early
review of the Core Strategy:•
revocation of the NW Regional Spatial Strategy has left a policy vacuum,
because its policies could not be repeated in the Core Strategy;
•
the Nuclear Decommissioning Authority has published its UK Low Level
Radioactive Waste Strategy. The Core Strategy had been required to
include a commitment to a timely review of its radioactive waste policies,
once such implications of national policies became clearer;
•
it was agreed during the Examination of the Site Allocations Policies that
the Mineral Safeguarding Area for gypsum in Cumbria would be reviewed,
to include resources that may become economically viable in the future;
•
the national, regional and sub-regional aggregate minerals forecasts have
been revised.
The Minerals and Waste Development Scheme will be revised to include the
review of the Core Strategy.
Page 304
CONTENTS
Executive Summary ................................................................................................. 1
1 Introduction .......................................................................................................... 4
2 Progress towards a new plan ............................................................................. 8
3 Current plan progress ....................................................................................... 11
4 Key issues and changes required .................................................................... 30
Annex A: Glossary of terms .................................................................................. 32
Annex B: Local Development Scheme timetable – adopted 6 March 2009 ....... 33
Annex C: Planning Applications Approved, Refused or Withdrawn: 01-Apr2009 to 31-Mar-2010 ............................................................................................... 34
Annex D: Monitoring Matrix - Indicators and targets in the Adopted Core
Strategy, April 2009................................................................................................ 42
Annex E: Regulation 13 Statement about policies to be superseded ............... 44
Page 305
1
Introduction
Purpose and Format
1.1
This report assesses progress in minerals and waste management planning
between 1 April 2009 and 31 March 2010, in Cumbria. It includes
consideration of:
Matters to be addressed in Annual Monitoring Reports (AMR)
(i) whether the timetable and milestones for the preparation of
documents set out in the Minerals and Waste Development Scheme have
been met or progress is being made towards meeting them or, where they
are not being met or not on track to being achieved, the reasons why;
(ii) whether policies and related targets in local development documents
have been met or progress is being made towards meeting them or,
where they are not being met or not on track to being achieved, the
reasons why;
(iii) what impact the policies are having in respect of national and
regional targets and any other targets identified in local development
documents and not covered by (ii) above;
(iv) what significant effects implementation of the policies is having on
the social, environmental and economic objectives by which sustainability
is defined and whether these effects are as intended;
(v) whether the policies in the local development document need
adjusting or replacing because they are not working as intended;
(vi) whether the policies need changing to reflect changes in national or
regional policy;
(vii) the extent to which any local development order, where adopted, or
simplified planning zone is achieving its purposes and if not whether it
needs adjusting or replacing (there are none of these local development
orders proposed for Cumbria); and
(viii) if policies or proposals (including the local development order or
simplified planning zone scheme) need changing, the actions needed to
achieve this.
Page 306
1.2
The Core Strategy and the Generic Development Control Policies were
adopted in April 2009. This AMR provides the mechanism for assessing how
their policies are performing and for identifying where any updating of policies
is necessary.
1.3
The format of this 2009/10 report follows the pattern recommended in “LDF
Monitoring: A Good Practice Guide”, which focuses on emerging issues and
objectives and the actions needed to achieve them. Account is also taken of
the national Core Output Indicators for Regional Spatial Strategies and Local
Development Frameworks that were published by the Department for
Communities and Local Government in July 2008.
The Cumbria Context
1.4
Cumbria is a large county with a population of around half a million people.
More than half of these live in areas defined as rural. The economy of
Cumbria underwent a very challenging period during the 1990’s. This longterm economic decline, however, had been halted in more recent years and,
before the recession, the county had the fastest growing economy of any subregion in the northwest. It still needs to achieve such growth to catch up with
the rest of the country.
1.5
The largest complex of nuclear facilities in the UK, and most of the country’s
legacy of radioactive wastes, are in west Cumbria.
1.6
Cumbria has what is arguably the most outstanding natural environment in
England. It contains the largest National Park in the country, has its highest
mountain and its deepest lake. It is a challenge that the built environment
should match this quality, whilst the problems of climate change are tackled
and waste management is driven up the waste hierarchy, away from landfill.
1.7
The Cumbria Community Strategy 2008-2028, sets out an over-arching vision
for the future of the county. The following summary of the key spatial issues
that Cumbria faces is taken from the Cumbria Sub-Regional Spatial Strategy
2008-2028, which is one of a suite of documents which make up the
Community Strategy.
Summary Of Key Spatial Issues Facing the Cumbria Sub Region
Cumbria is geographically isolated and distant from regional, national and European
markets. This isolation is further accentuated in Cumbria’s remoter rural areas, and is a
contributing factor to the difficulties in attracting investment into the County. Put another
way, Cumbria is relatively self-contained, with some relationships with North Lancashire,
North East England and South West Scotland.
The County’s settlement pattern results in a dispersed population with distinct problems
of sparsity, with many smaller towns not being sufficiently large to provide all the facilities
Page 307
required for modern living. Facilities and services are more costly to provide and difficult
to access, and the limited size of the markets make it less attractive to invest in such
services. As a result, people need to travel longer distances to satisfy their needs, or
more innovative ways to access services and facilities may be required.
Despite the need to travel, the transport infrastructure is out of date and requires major
investment. The lack of quality networks is seen to inhibit inward investment and further
reinforces the sense of remoteness.
The location and quality of employment sites do not marry with the objective to reverse
the trend of relative poor economic growth and the need to diversify the economy and to
provide worthwhile jobs where they are needed. This is further exacerbated by the need
for more modern housing and, in much of rural Cumbria, more affordable housing to
support economic growth, to address both local needs and the loss of young people.
Within the North West, Cumbria is unique with a high proportion of the County covered
by national and international designations, which recognise and seek to protect and
enhance its landscape, biodiversity, heritage and other environmental assets. This
brings with it pressures of high demand, particularly evidenced in the housing and
tourism markets. In contrast, urban development in Cumbria has left a legacy of
relatively small and remote towns, most of them in coastal locations, often requiring
regeneration, renewal and improvement to the public realm.
The potential impacts of climate change and ensuring sustainable resource
management is an issue that has to be addressed by all strategies, not least this one.
Cumbria is increasingly experiencing severe flooding and needs to reduce its level of
carbon emissions. New facilities are needed to increase recycling and composting,
whilst reducing the amounts of waste that are sent to landfill. Energy conservation
needs to be addressed for domestic, industrial and transport related activities.
The safe and secure disposal of radioactive waste also continues to be a key issue for
Cumbria, along with the wider implications that a new generation of nuclear power
stations in the UK may bring.
Summary of key spatial issues facing Cumbria:
• An under performing economy, with high dependency on declining sectors and
under representation in growth sectors;
• Average household earnings significantly below the UK average;
• Poor health and problems of social exclusion and localised social and economic
inequalities in both urban and rural areas;
• Lack of necessary types of housing and the need for affordable housing and
housing for local needs;
• Outward migration of young people and an ageing population;
• Inadequate road and rail infrastructure and transport services;
• Climate change;
• Increasing expectations for personalisation and quality of public services.
Page 308
Minerals and Waste in Cumbria
1.8
No sector of the economy can function properly without adequate waste
management facilities, and an adequate supply of aggregates and other
minerals is essential for Cumbria’s regeneration and development schemes
and for maintaining our essential infrastructure.
1.9
The Community Strategy addresses the county’s economy at a broad policy
level; it recognises the importance of waste issues and the contribution that
the minerals and waste sectors make to Cumbria. The potential for nuclear
new build and associated infrastructure could also provide an important
market for minerals in the future.
1.10
Minerals jobs can have a high gross value added (GVA); for example, those
involved with gypsum, brick-making and high skid resistance roadstones for
national and regional markets.
1.11
There are several quarries producing local vernacular building and roofing
stones/slate. One mudstones quarry provides raw materials for a traditional
brick works, which has a national market for its products.
1.12
Gypsum is used in the manufacture of plaster and plasterboard and there are
extensive areas of raised moss peat workings. Although the deep coal mines
and opencast mines have closed, the Coal Authority seeks to safeguard coal
resources. There is also growing interest in coal bed methane.
1.13
The Core Strategy refers to the need for District Local Development
Frameworks to reflect the importance of making provision for collecting
separated waste in all new developments and to promote waste minimisation
in development schemes.
1.14
Due to the dispersed population and long distances between settlements,
general waste management facilities within the county tend to serve their local
areas. Residual waste from the south of the county is currently sent to
Lancashire because of a shortfall in landfill capacity in south Cumbria. The
planning permission for additional capacity at the Bennett Bank landfill near
Barrow should help to resolve this issue.
1.15
West Cumbria has the largest concentration of nuclear facilities in the UK,
which the Sub Regional Strategy recognises as a continuing key issue for
Cumbria. The Low Level Radioactive Waste Repository near Drigg provides
a national facility. It has no remaining capacity for disposal of waste. A new
vault (Vault 9) opened in July 2010, for temporary storage of waste for ten
years.
Page 309
2
Progress Towards a New Plan
Minerals and Waste Development Scheme
2.1
This sets out the timetable for preparing the Minerals and Waste Development
Framework (MWDF). The Scheme that was current for the AMR period came
into effect on 6 March 2009. Its programme chart is in Annex B.
Statement of Community Involvement
2.2
This describes how the County Council engages with the community about
the MWDF and planning applications. It was adopted in January 2006.
Development Plan Documents
2.3
The Cumbria Minerals and Waste Development Framework will include four
separate Development Plan Documents (DPDs); the Core Strategy, Generic
Development Control Policies, Site Allocations Policies and a Proposals Map.
Until mid-2007 all four of these were being progressed at the same time, but
on the advice of Government Office North West (GONW) and the Planning
Inspectorate, further work on the Site Allocations Policies and the Proposals
Map was suspended until after the Core Strategy had been through its
Examination process.
2.4
Following their Examination, the Core Strategy and the Generic Development
Control Policies were formally adopted on 23 April 2009.
2.5
Work on the Site Allocations Policies and Proposals Map recommenced in
February 2009. In the MWDS, these DPDs were programmed to be
published in October/November 2009 with submission in January 2010, then
a Pre-Hearing Meeting in April, Hearing in June, Inspector’s Report in
September and adoption in December 2010.
2.6
However, because new sites were put forward during consultations,
additional, unprogrammed, rounds of Regulation 25 consultations were
needed, the last in September/October 2009. These caused a delay of
around three months in the programmed timetable.
2.7
The final round of statutory consultations for the Site Allocations Policies and
Proposals Map, in accordance with Regulation 27, commenced on 11
December 2009 and ended on 8 February 2010. A total of 98 representations
were received, containing 381 comments – of these, 180 considered the
documents sound, 106 considered all or part of the documents unsound and
the remaining 95 expressed no opinion. See Table 1 for a breakdown of
responses.
Page 310
2.8
The Regulation 30 Pre-Submission Consultations Statement, explained that
the most significant issues that had been raised were: complaints from people
stating that they had not been consulted about sites near where they lived;
the inclusion of Broughton Moor for the working of coal; the removal of Haws
View Industrial Estate, as it would prejudice much needed inward investment
in Barrow; the large number of waste management sites identified in and
around Carlisle; policy for Very Low Level radioactive waste; and the extent of
the Mineral Safeguarding Area for gypsum.
DPD
Site Allocations Policies
Proposals Map
TOTALS
Sound
180
0
180
Unsound
106
0
106
Not specified
93
2
95
Total
379
2
381
Table 1: Breakdown of responses to the consultation on submitted DPDs
Programme for Complying with Section 20 (1) of the Planning and
Compulsory Purchase Act 2004
2.9
This Section of the Act requires documents to be submitted to the Secretary
of State for independent examination. This was done just outside the period
for this AMR, on 30 April 2010.
Local Development Orders
2.10
There are no Local Development Orders and none are currently anticipated to
be made.
Progress since 31 March 2010
2.11
Following submission to the Secretary of State, the Pre-Hearing Meeting was
held on 29 July 2010, with the Hearing in Public sessions over a four-week
period 28 September to 20 October 2010. A considerable amount of
preparatory work was needed in answering questions raised by the Inspector
for the Hearing sessions.
2.12
Final adoption of the documents is currently programmed for December 2010,
though this is likely to slip to January 2011.
Changes in policy context
2.13
Changes in the policy context, during the reporting year, included an update
to the Conservation of Species and Habitats Regulations (1 March 2010) and
revised National and Regional Guidelines for Aggregate Provision in England
(2005-2020). These were both material considerations for the Examination of
the Site Allocations Policies and Proposals Maps.
Page 311
2.14
Throughout the period of this report, the Development Plan comprised the
published Regional Spatial Strategy (RSS) (2008-2021), those policies in the
Cumbria and Lake District Joint Structure Plan (2001-2016) that were
extended by the RSS, and the MWDF Core Strategy and Generic
Development Control Policies, adopted in April 2009.
2.15
The recession has caused reductions in waste arisings and substantial falls in
aggregate sales. National policy for public expenditure cuts, since the
general election, has also had a continuing negative impact on sales.
2.16
Since the general election in May 2010, the Regional Spatial Strategy has
been revoked and 4NW, the Regional Planning Body, disbanded. A
consequence of this is the need to consider whether there is now a policy
vacuum in the Core Strategy, which could not repeat regional policies.
2.17
There are other reasons for reviewing the Core Strategy and a revised
Minerals and Waste Development Scheme is being proposed.
Page 312
3
Current Plan Progress
Current objectives and targets
3.1
During the period of this AMR, 1 April 2009 to 31 March 2010, the Minerals
and Waste Development Framework Core Strategy policies, objectives and
targets were adopted. This means that performance can now be measured
against the Core Strategy’s Monitoring Matrix. A copy of this is included as
Annex D.
Objectives of current policy
3.2
The ten objectives of the Minerals and Waste Development Framework Core
Strategy (April 2009) are:
•
•
•
•
•
•
•
•
•
•
1: that minerals and waste management developments will take due
account of the issues of climate change, in particular through energy
use and transport; that any adverse impacts on the environment and
the local economy will be minimised and that potential benefits will be
maximised
2: that effective waste minimisation measures will be adopted and,
following these, that waste, including radioactive waste, will be
managed at the highest achievable level within the waste hierarchy
3: that waste will be managed as near as possible to where it is produced
without endangering people’s health and without harming the
environment
4: that the minerals from Cumbria that are required to meet local, regional
and national needs will be supplied from appropriately located and
environmentally acceptable sources
5: that the need for new mining and quarrying will be minimised by prudent
use of resources and by supplies of alternative re-used and recycled
materials
6: that mineral resources will be identified and safeguarded
7: that the economic benefits of minerals and waste management
developments will be optimised without harming the environment
8: that the overall quality of Cumbria’s environment will be protected and,
where practicable, enhanced by high standards of design and
operation in new developments and high standards of restoration once
developments have been completed
9: that the environmental impacts of minerals and waste management
developments, including traffic, will be kept to a minimum by
appropriate siting of facilities and sound working practices and that any
unavoidable harmful impacts will be mitigated
10: that there will be increased community and stakeholder involvement
and ownership on initiatives and planning for sustainable minerals and
waste developments.
Page 313
3.3
In the Monitoring Matrix (Annex D), these strategic objectives are crossreferenced with the Core Strategy (CS) and Generic Development Control
(GDC) policies. This shows which policies are intended to support and deliver
which objectives. The matrix also sets out the indicators that will be used for
each subject matter, the sources of the data, baseline data and, where
applicable, its date.
3.4
In light of the revocation of the North West Regional Spatial Strategy (RSS)
and the abolition of the Regional Planning Body (4NW), this matrix will need
updating through a review of the Core Strategy.
Targets of current policy
3.5
The last two columns of the Monitoring Matrix set out targets or milestones
and the source of the target. For example, the sand and gravel landbank will
be calculated from data contained in planning applications that have been
granted permission by the County Council. The baseline is the landbank of
13.1 years; the target is to maintain at least a 7 year landbank over the plan
period, in accordance with Mineral Policy Statement 1.
3.6
Annex C lists all waste and mineral planning applications, within the plan
area, that were approved between 1 April 2009 and 31 March 2010. The
capacity that would be created by these developments is described in the
relevant paragraphs below.
Departures from development plan policies
3.7
No applications were granted that constituted a departure from the
development plan.
CS Objective 1: Climate Change
3.8
CS Policy 1 (sustainable location and design), plus GDC Policies DC1 (traffic
and transport) and DC2 (general criteria), are used to assess the extent to
which a planning permission could impact upon climate change, and how
those impacts could be mitigated.
3.9
There was a transition at the beginning of the plan period, prior to 23 April
2009, before the Core Strategy and Generic Development Control Policies
were adopted. Therefore, several planning applications were still assessed
against the Minerals & Waste Local Plan (1996 – 2006) saved policies. Some
applications, where appropriate, were also assessed against saved policies
from the Cumbria and Lake District Joint Structure Plan (2001-2016) and
policies from the Regional Spatial Strategy (2008).
3.10
Table 2 overleaf, shows that 47 planning applications were considered
against CS Policy 1 and/or GDC Policies DC1 and DC2.
Page 314
Planning
App No.
Site Name
Proposal
Policies
2/09/9002
2/09/9003
1/08/9031
6/08/9012
3/09/9007
3/09/9008
3/09/9009
4/09/9002
6/09/9004
5/09/9002
6/08/9018
1/09/9015
1/09/9016
3/09/9016
2/09/9008
3/09/9015
1/09/9034
4/09/9006
1/08/9023
1/09/9005
1/09/9038
3/09/9020
3/09/9023
6/09/9007
6/09/9009
6/09/9010
2/09/9018
2/09/9022
3/09/9024
3/09/9022
1/09/9033
4/09/9013
4/09/9012
1/09/9014
2/09/9005
3/09/9026
3/09/9006
3/09/9021
2/09/9030
1/09/9047
1/09/9050
Overby Quarry
Overby Quarry
Hespin Wood landfill
Bennett Bank landfill
Cliburn
Great Strickland
Bradley Wood
Keekle Head
Cooper Yard
Burneside Mill
Cavendish Dock
Kirkhouse Quarry
Kirkhouse Quarry
Ling House, Cliburn
Hesket House
Low Hesket WWTW
Hazel Grove, Linstock
Wilson’s Pit Yard
Hespin Wood landfill
Hespin Wood landfill
Great Orton WWTW
Colby Hall, Appleby
Colby Hall, Appleby
Greenscoe Quarry
Barrow slag bank
Barrow slag bank
Fisher Gill Farm
New Aikton, Wigton
Thackwood
Whinfell
Low Gelt Quarry
Wilsons Pit Yard
Yeathouse Civic Site
Cardewmires Quarry
Cardewmires Quarry
Greystoke Forest
Cliburn, Penrith
Flusco Quarry landfill
Derwent Recycling
Solway Moss Peat works
Silvertop Quarry
DC1
DC1
CS1
DC2
DC2
DC2
DC2
DC2
DC1
DC2
DC1
DC1+2
DC1+2
DC2
DC2
DC1+2
DC2
DC1
CS1
DC1+2
DC2
DC2
DC2
CS1, DC1+2
DC2
DC2
DC2
DC1+2
DC2
DC2
DC1+2
DC1
DC1+2
DC1+2
DC1+2
DC1
DC2
DC2
DC1+2
DC1+2
DC1+2
2/09/9031
2/09/9033
5/09/9011
6/09/9020
3/10/9004
6/09/9021
Pearson’s Poultry
New Cowper Quarry
North Gateside Farm
Greenscoe Quarry
Thackwood
Sowerby Woods
revised phasing and plant location
revised phasing and plant location
Mechanical and Biological Treatment plant
increased capacity – refused (allowed on appeal)
new waste water pumping station
motor control kiosk
new waste water pumping station
monitoring boreholes
change of use to waste transfer station
steam raising plant using Solid Recovered Fuel
wood fuelled renewable energy plant
time extension
690,000 tonnes extension to quarry
new waste water pumping station
control building and substation
extend waste water treatment works
motor control kiosk
composting and tyre baling operations
Materials Recovery Facility
relocate secondary aggregates recycling
motor control kiosk
new waste waster pumping station
motor control kiosk
time extension, construction waste recycling
car park and associated infrastructure
restoration with enhanced public access
coal bed methane test boreholes
new waste water treatment works
extend Materials Recovery Facility
new waste water pumping station
1.1 million tonnes extension to quarry
extend plasterboard recycling storage
time extension
time extension (part falls in Carlisle)
time extension (part falls in Allerdale)
limestone for on-site use on rally track
new waste water pumping station
erection of litter cage
extension to storage area
extension to packing building
30,000 tonnes clay for flood defence works; import
of inert material to fill void
anaerobic digestion plant
time extension for processing plant
30,000 tonnes/year dry recyclables facility
recycling facility improvements
increase working hours and lorry loads
Mechanical and Biological Treatment plant
Table 2: Applications considered for their likely climate change impacts
Page 315
CS1
DC1+2
DC1+2
DC1+2
DC1+2
CS1
3.11
Typical considerations that fell within the climate change theme are:
•
CS1 - to keep to acceptable levels, the impact of lorry traffic on the
amenity of local residents and other road users, no more than 40,000
tonnes of waste shall be processed on the site in any 12 month period
•
CS1 - proportion of renewable energy requirements for new developments
•
DC2 - to ensure that the construction materials used are acceptable.
CS Objectives 2 and 3: To enable an adequate network of waste
management facilities to be provided
3.12
There were no targets in the Minerals and Waste Local Plan for the provision
of waste management facilities. Now that the Core Strategy is adopted, there
is a range of policies and indicators with capacity requirements against which
performance can be assessed.
3.13
CS Policies 8 (provision for waste), 9 (waste capacity), 10 (high and
intermediate level radioactive waste storage), 11 (high and intermediate level
radioactive waste geological disposal) and 12 (low level radioactive waste),
plus GDC Policies DC4 (criteria for waste management facilities) and DC5
(criteria for landfill), are used to assess waste management applications.
3.14
There is a range of national, regional and local indicators and targets or
milestones set out in the Monitoring Matrix (Annex D), for the full range of
wastes, except radioactive waste.
3.15
The national Core Output Indicators for waste, focus on environmental
sustainability and waste arisings (municipal waste only, see paragraph 3.20
onwards):
W1
Capacity of new waste management facilities
W2
Amount of municipal waste arising, and managed by type
The following National Indicators can be considered1 alongside W1 and W2,
in order to provide information on the implementation of waste policies:
NI 191
Residual household waste per household (kg)
NI 192
Percentage
composted
NI 193
Percentage of municipal waste landfilled.
of
household
1
waste
reused,
recycled
and
DCLG, July 2008, Regional Spatial Strategy and Local Development Framework: Core Output
Indicators Update
Page 316
Capacity of New Facilities
3.16
In 2009/10, 60 planning applications were determined for waste management
facilities. All but one were permitted; the refusal was for additional landfill
capacity.
3.17
Schemes that were approved in 2009/10, that included new capacity (Core
Output Indicator W1) can be seen in Table 3 below:
FACILITY
Wilson’s Pit Yard,
Whitehaven
a) tyre baling
b) plasterboard recycling
c) composting
Energy from Waste plant,
Cavendish Dock, Barrow
Transfer and sorting station,
Cooper Yard, Barrow
MBT plant, Hespin Wood,
Carlisle
MBT plant, Sowerby
Woods, Barrow
Materials Recovery Facility,
Hespin Wood
Steam raising plant,
Croppers paper mill, Kendal
Waste transfer station,
Gateside Farm, Kendal
Open windrow composting,
Risehow Industrial Estate
Anaerobic digester,
Pearson’s Poultry, Silloth
WASTE TYPE
CAPACITY
tyres
construction & demolition
green waste
construction and
demolition waste - wood
construction, demolition
and excavation waste
municipal waste
1,000 at any one time
2,000 tonnes per year
25,000 tonnes per year
72,000 tonnes per year
75,000 tonnes per year
municipal waste
75,000 tonnes per year
commercial & industrial
waste
municipal waste, wood,
waste paper, paper
making effluent cake –
Solid Recovered Fuel
dry recyclables
30,000 tonnes per year
30,000 tonnes per year
green waste
25,000 tonnes per year
agricultural waste
27,000 tonnes per year
1,500 tonnes per year
9,500 tonnes per year
Table 3: Approved schemes with new capacity
3.18
There were 26 permissions for new or improved waste water treatment plants
and associated pumping stations. Water quality issues are relevant for these,
and their new capacity has not been quantified.
3.19
It can, therefore, be concluded that the Cumbria planning system continues to
provide for waste management developments; there is nothing to indicate that
such developments are being held back by planning policy.
Page 317
Municipal Waste
3.20
Total municipal waste for the year 1 April 2009 to 31 March 2010 was 288,336
tonnes, a decrease (over 6%) on the previous year. Of this, 255,342 tonnes
were household waste (municipal waste includes commercial waste collected
by the waste collection authorities).
3.21
Residual waste per household (National Indicator 191) was 604kg, a
reduction of around 5% on the preceding year. Residual waste is any
collected household waste that is not sent for reuse, recycling or composting.
Recycling means the reprocessing in a production process of the waste
materials for their original or another purpose, but excludes energy recovery.
3.22
Household waste sent for reuse, recycling or composting (National Indicator
192) was just under 44%, no change to the 2008/9 figure; municipal waste
sent to landfill (National Indicator 193) was 58%, again, no change; and
collected household waste per person (Best Value Performance Indicator
84a) was 512kg, a decrease of just under 3%.
3.23
In previous years, Cumbria had recorded the highest figures of household
waste per head of population in the North West region. It seems unlikely that
the County generates more waste than other people. It is considered that
figures have been distorted by waste that is generated by tourists and
holidaymakers, who far outnumber the resident population, and by
commercial and industrial waste getting into the household waste stream.
3.24
The latest figures demonstrate the success that the Cumbria Municipal Waste
Management Partnership is having in reducing this waste stream. This is, in
large part, due to success in excluding commercial and industrial wastes from
the household waste figures. Actions have included introducing a permit
scheme for Household Waste Recycling Centres.
3.25
Core Output Indicator W2, which requires a breakdown of how municipal
waste has been managed, is more detailed than the information that the
Waste Disposal Authority provides for the BVPI2 statistics. Table 4 overleaf,
gives tonnages and percentages for the year 2009/10, but combines
“recycled” and “composted”, because that is the only data that is available.
2
Best Value Practice Indicator is compiled by the Waste Disposal Authorities to meet Government
reporting requirements
Page 318
Method of waste management
Recycled & Composted
To landfill
Incineration with EfW
Incineration without EfW
Other
Total
Municipal Waste
tonnes3
118,214
167,455
2,517
34
18
288,238
%
41%
58%
1%
100%
Source: BVPI household and municipal waste statistics for Cumbria 2009/10
Table 4: Municipal Waste Figures for 2009/10
3.26
A more detailed breakdown is available for household waste, and this is given
in Table 5 below for the year 2009/10.
Method of waste management
green recycling/reuse
dry recycling/reuse
recycling total
regular collection, not recycled
civic amenity sites, not recycled
other sources, not recycled
not recycled total
TOTAL Household waste
tonnes
49,477
62,493
118,171
17,469
7,732
255,342
tonnes
111,970
143,372
255,342
%
19.38
24.47
43.85%
46.28
6.84
3.03
56.15%
100.00%
Table 5: Household Waste Figures for 2009/10
Commercial and Industrial Waste
3.27
It is essential that an adequate network of facilities is provided for these large
waste streams. In Cumbria, industrial waste accounts for 60% or more of the
total C&I waste arisings. However, there are deficiencies in the available
information about them; this has been highlighted in the Regional Technical
Advisory Body Annual Monitoring Reports.
3.28
The Environment Agency’s 2009 regional survey of these waste streams
estimates that arisings within Cumbria were 633,900 tonnes. The estimates
of how these wastes were managed are set out in Table 6, overleaf. The
survey was of 1017 industrial and commercial business sites within the North
West region. These excluded businesses involved in agriculture, mining and
quarrying, construction and waste management.
3.29
At the regional level, the survey showed that wastes arisings were 6% less
than in the 2006 survey. The biggest reduction was in the industrial sectors,
over 14% down, whereas the commercial sector increased by 2.5%, mostly in
the retail, wholesale and public services sectors.
3
The BVPI is only available in tonnes; there is no simple conversion factor to cubic metres
Page 319
3.30
Notable figures are that only 16% of waste was recorded as landfilled and the
recycling and composting rate was just over 50%, and this excludes waste
that was recycled or reused on the same site it was produced.
3.31
With reference to paragraphs 3.29 and 3.30, performance appears to have
been far better than the target in Waste Strategy 2007 for landfilling to be
reduced to 80% of the 2004 figure. This would have been 233,200 tonnes,
more than double the survey’s estimate.
3.32
Some of the Regional Spatial Strategy Policy EM 10 targets would also
appear to have been met. These were for zero growth in commercial and
industrial waste and to recycle 35%. The target to recover value from 70% of
C&I waste (including recycling/composting) by 2020 seems achievable. This
is because the regional survey returns indicated that there was potential to
increase the waste that was recycled by around 50%. The relevant regional
figures are 2.12 M tonnes recyclable or potentially recyclable. These include
0.2 M tonnes of landfilled waste identified as recyclable and 1.12 M tonnes as
potentially recyclable.
Page 320
Page 321
Table 6
Estimated Commercial and Industrial waste arisings in Cumbria 2009, by sector and waste management method (tonnes).
Source – North West of England Commercial and Industrial Waste Survey 2009 published by the Environment Agency.
Page 322
Construction, Demolition and Excavation Wastes
3.33
These are dealt with in the section on secondary and recycled aggregates.
Hazardous Waste
3.34
The Environment Agency commercial and industrial waste survey for 2009
estimated that in the North West region, 431,800 tonnes of hazardous waste
were produced, although consignment notes showed only 83% of this (359,
837 tonnes).
3.35
This uncertainty about the amounts of hazardous waste is a recurring
problem.
3.36
The figures for 2006 had shown that the North West produced just under
730,000 tonnes of hazardous waste. Over three quarters of this was from
Greater Manchester, Lancashire and Merseyside. Approximately half of the
region’s arisings were dealt with within the region, whilst a similar quantity
was imported from outside the region and managed within it. The location of
management facilities often reflects an historical specialised industry local
need.
3.37
The previous Annual Monitoring Report referred to the two sets of figures that
had been provided by the Environment Agency. The Core Strategy used the
figures that the Agency provided to local authorities for the purposes of
Strategic Environmental Assessment. These were understood to include all
hazardous wastes that were being managed in Cumbria. These figures
showed, for 2004/5, 24,811 tonnes of waste managed of which 3,711 tonnes
were landfilled (15%).
3.38
Other figures, understood to be derived from consignment notes (i.e.
movements of hazardous waste between sites), were 19,644 tonnes, of which
11,114 tonnes were landfilled (56%). The differences between the two sets of
figures for both the amount and the proportion that were landfilled is not
properly understood. Comparisons with earlier years are also complicated by
the changes to the legal definitions which, prior to 2005, were for “Special
Waste” and since then have been for “Hazardous Waste”.
CS Objectives 4, 5 and 6: Maintaining an adequate supply of minerals
3.39
CS Policies 13 (supply of minerals), 14 (minerals safeguarding), 15 (marine
dredged aggregates), 16 (industrial limestones), 17 (building stones) and 18
(oil and gas and coal bed methane), plus GDC Policies DC6 (criteria for nonenergy minerals development), DC7 (criteria for energy minerals) and DC9
(minerals safeguarding), are used to assess minerals applications.
Page 323
3.40
There are a range of indicators and targets or milestones set out in the
Monitoring Matrix (Annex D), for the full range of minerals, except gypsum
and the energy minerals. Some indicators are central Government’s National
or Core Output Indicators, others are to be measured by, for example,
assessing the success rate of planning applications to deliver an adequate
supply of minerals, in the right place and at the right time.
3.41
The apportionment of the regional guidelines to sub-regional areas in the
North West was the responsibility of the Regional Planning Body (4NW),
taking into account advice from Mineral Planning Authorities and the North
West Regional Aggregates Working Party (RAWP). It is understood that the
RAWPs system will continue, notwithstanding the abolition of 4NW. Annex F
of the North West RAWP’s Annual Report 2009, sets out the annual
apportionment of production for Cumbria of 4.1 million tonnes of crushed rock
and 700,000 tonnes of sand and gravel.
3.42
The current position is that revised regional apportionments have been
published, which show a marginal fall in demand for the North west Region.
Despite this, the North West RAWP is recommending that Cumbria’s
apportionment for sand and gravel should increase. Cumbria County Council
is dissenting from this and a Sustainability Appraisal is to be carried out.
Primary Land Won Aggregates
3.43
Information on aggregates is collected on behalf of the North West RAWP for
Cumbria as a whole, including the Lake District National Park. The 2009
figures are not yet available; the latest published figures are those which were
included in last year’s AMR. These are for the 2008 calendar year and are
set out Table 7 below.
2006
2007
2008
2003-05
average
2006-08
average
Limestone
2.7
2.8
2.7
Sandstone & Igneous
0.27
0.53
0.4
HSA*
0.69
0.70
0.75
All Crushed rock
3.66
4.03
3.85
3.76
3.84
Compared with the sub-regional apportionment of 4.1 million tonnes/year
Sand and gravel
0.79
0.87
0.77
0.83
0.81
Compared with the sub-regional apportionment of 700,000 tonnes/year
Total land won
4.45
4.9
4.6
4.7
aggregates
* High Specification Aggregates
Table 7: Sales of primary land won aggregates (million tonnes)
Page 324
3.44
The annual sales of crushed limestone and sand and gravel fell for the first
time since 2005, whilst sales of sandstone and igneous rock, including High
Specification Aggregates continued to fluctuate, falling in 2008.
3.45
The recession is having a very negative impact on sales of aggregates. In
2008, the total national aggregates market fell below 200 million tonnes, the
lowest figure since the early 1980’s. It also appears that sales have fallen a
further 20% in 2009/2010. The national trends are likely to be reflected at the
regional level.
3.46
In 2008, crushed rock sales were 250,000 tonnes (6%) below the sub-regional
apportionment level and sand & gravel sales were 70,000 tonnes (16%)
above it. The levels of reserves with planning permission are such that they
are not considered to be a constraint on sales for either crushed rock or sand
and gravel.
3.47
The Minerals and Waste Development Framework Core Strategy Policy 13, is
to maintain landbanks for crushed rock of at least ten years and for sand and
gravel of at least seven years throughout the plan period.
3.48
At the end of 2008, Cumbria’s landbank of permitted reserves were the
equivalent of over 42 years for crushed rock and around 20 years for sand
and gravel.
3.49
Core Strategy Policy 13 states that no new areas will be identified for crushed
rock quarrying for general aggregate purposes. It is not considered that
reducing the landbank, by revoking permissions, is a practical option, other
than by voluntary agreement and without the payment of compensation. The
Sustainability Appraisal concluded that there is no significant adverse impact
of keeping the current large crushed rock landbank that would justify the
difficulties and potential costs that could arise from reducing it.
3.50
Because of the geography of Cumbria, its dispersed settlement pattern and
transport routes, Core Strategy Policy 13 states that in applying the subregional apportionment, the pattern of quarries and the areas they supply will
be taken into account. It had been anticipated that there would be a detailed
review of the quarries and their supply areas as part of the preparation of the
Site Allocations Policies. However, new planning permissions substantially
increased the reserves of sand and gravel. As a result, it was not considered
necessary or appropriate to address this matter in the Site Allocations
Policies.
3.51
Whilst sufficient provision has been made taking the county as a whole, there
remains the issue of there being only one sand and gravel quarry in the west,
Peel Place, and one in the south, Roose. In accordance with Core Strategy
Policy 13, the Site Allocations Policies propose Areas of Search and a
Preferred Area for extending or replacing these.
Page 325
Secondary and Recycled Aggregates
3.52
Secondary aggregates are those produced from mineral wastes, and recycled
aggregates are those produced from previously used materials, e.g.
construction and demolition wastes. A survey of Construction, Demolition and
Excavation (CD&E) wastes in 20064 was commissioned on behalf of the NW
Regional Technical Advisory Body (RTAB) and the North West Minerals and
Waste Planning Authorities. However, the returns from some sectors of the
industry were poor, and the risk of double counting was high. It is not
considered that much confidence can be placed in the figures provided by the
survey.
3.53
Government guidance (MPS1) and the focus on sustainable development
seek an increasing proportion of aggregate supplies to be met from these
“alternative” materials. Both the Regional Spatial Strategy and the MWDF
Core Strategy include targets for them to provide approximately 25% of
aggregates supplies.
3.54
A planning application was granted permission at Hespin Wood, near Carlisle,
to relocate the secondary aggregates production facility, in order to make
room for the new Mechanical and Biological Treatment plant, necessary as
part of the municipal waste management contract with Shanks. The new
location allowed enlargement of the facility, with a consequent higher
throughput of up to 10,000 tonnes of additional useable aggregates per
annum.
3.55
Unfortunately, no reliable figures can be given for monitoring this Core Output
Indicator. More data on C and D waste may be available in future years, now
that Site Waste Management Plans are compulsory for large construction
projects.
3.56
No information on arisings or re-use of road planings is included in the RAWP
2009 Annual Report.
Core Output Indicators
3.57
The two minerals Core Output Indicators for this AMR are:
M1
Production of primary land won aggregates = 4.7 million tonnes (see
Table 7, above)
M2
Production of secondary and recycled aggregates – no reliable data is
available
4
Survey of CD&E arisings in the North West of England for 2006
www.cheshire.gov.uk/Planning/ForwardPlanning/FP_nwrtab_study_report_2.htm
Page 326
Minerals capacity created through planning consents
3.58
Twenty minerals applications were determined between 1 April 2009 and 31
March 2010. Of these, all were granted except one, which was in relation to
Barrow Slag Bank.
3.59
Additional reserves of 1.1 million tonnes of sand and gravel were permitted at
Low Gelt Quarry, near Brampton, Carlisle, to supply a range of materials
primarily to markets in Cumbria and sand to their own concrete plants in both
Cumbria and the north east. Additional reserves of 690,000 tonnes of sand
were permitted at Kirkhouse Quarry, near Brampton, Carlisle. In addition to
sand for aggregate use, this quarry has developed a niche market for
blending imported soils with sand to produce a top dressing for golf courses
and other sports facilities.
3.60
Permission was granted for reserves of 30,000 tonnes of engineering clay at
Silvertop Quarry, near Brampton, Carlisle. This clay overburden was for use
in flood defences in locally sensitive areas. Previously, the clay was
excavated and kept within the quarry for use in restoration. A permission was
granted for inert waste recycling at the site. Residual waste arising from this
operation is intended to make up for any shortfall in restoration material
caused by the sale of clay.
3.61
At Bowscar Quarry, near Penrith, permission was granted to allow the
extraction of 800 tonnes/year of sandstone blocks.
3.62
The net effect was that, in 2009 – 2010, an adequate supply of aggregate
minerals was maintained. Sand and gravel sales remain higher than the
Regional Spatial Strategy apportionment to Cumbria. Most of the quarries are
in the north of the county and their markets are not restricted to the North
West, they extend into the North East Region and southern Scotland.
3.63
Cumbrian minerals that serve a national need, but for which there are no
targets or Core Output Indicators, include gypsum, high specification
roadstones and brick-making mudstones. Strategic locations for additional
supplies of these were identified in Core Strategy Policy 7. In accordance
with this, the Site Allocations Policies identify the Stamphill Preferred Area, for
gypsum, and Areas of Search adjacent to Ghyll Scaur Quarry, for very high
specification roadstones, Roan Edge Quarry, for high specification roadstones
and High Greenscoe Quarry, for brick-making mudstones.
CS Objectives 7 & 10: Significant effects on social and economic
objectives
3.64
CS Policies 2 (economic benefits), 3 (community benefits) 5 (afteruse and
restoration) and 6 (planning obligations), plus GDC Policies DC16 (afteruse
and restoration) and DC17 (planning obligations), are used to assess the
success of economic and community benefits in planning applications.
Page 327
3.65
There are a range of indicators and targets or milestones set out in the
Monitoring Matrix (Annex D), to assess this theme. These are slightly less
tangible than central Government’s National or Core Output Indicators, but
include targets such as providing the two MBT plants that are part of the
municipal waste contract (strategic facilities) or creating jobs.
Economic and employment benefits
3.66
Policies to support economic and employment benefits were quoted in
planning decisions and reports. This, including maintaining the minerals
supply, is a key priority of national minerals policy (MPS1). However, the
direct and indirect jobs associated with minerals and waste development are
not recorded at present
CS Objectives 8 & 9: Significant effects on the environment
3.67
CS Policies 3 (community benefits) and 4 (environmental assets), plus GDC
Policies DC1 (traffic and transport), DC2 (general criteria), DC3 (cumulative
environmental impacts), DC8 (applications for new conditions), DC10
(biodiversity and geodiversity), DC11 (historic environment), DC12
(landscape), DC13 (flood risk), DC14 (the water environment), DC15
(protection of soil resources) and DC16 (afteruse and restoration), are used to
assess the success of protecting and/or enhancing the environment in
planning applications.
3.68
There are a range of indicators and targets or milestones set out in the
Monitoring Matrix (Annex D), for the full range of environmental
considerations. Some indicators are National or Core Output Indicators,
others are to be measured by, for example, assessing the success of
planning applications to protect and/or enhance the environment.
Biodiversity
3.69
The Core Output Indicator for biodiversity is E2: Change in areas of
biodiversity importance. Its purpose is to show losses or additions to
biodiversity habitat. This indicator can be bundled with other, contextual
indicators, including those on species or quality, to illustrate impacts of new
development on sites over time. This could include National Indicator 197 on
improved local biodiversity – the proportion of local sites where positive
conservation management has been or is being implemented.
3.70
The last Regional Spatial Strategy AMR (February 2010), states that the north
west as a whole has performed relatively well under Contextual Indicator 5.1,
with 90.8% of SSSIs in favourable or recovering condition. The most
consistent improvements in the condition of SSSIs have occurred in Cumbria,
where all six local authorities have experienced an increase in the proportion
of SSSIs in such a condition. It is assessed that 88.6% of the SSSI’s in
Page 328
Cumbria overall, are in favourable or recovering condition, an increase of
3.8% since 2008.
3.71
The Cumbria Biodiversity Evidence Base continues to inform development
management decisions. The map-based wildlife data layers, species and
habitats statements, and links to further information on protection,
enhancement, mitigation and compensation, ensure integrity of mitigation and
enhancement measures. An update of the CBEB was part completed in the
final quarter of this reporting year.
Environmental Impact Assessment
3.72
It is also beneficial, in the AMR, to review adverse or beneficial impacts
expected from proposals, particularly from major applications, which are
subject to Environmental Impact Assessment (EIA).
3.73
Nine of the planning applications that were determined in 2009/10 required
EIA. Two of these related to the new Mechanical and Biological Treatment
plants required as part of the municipal waste contract with Shanks, which will
help to reduce the county’s reliance on landfill.
3.74
At Hespin Wood MBT, a scheme was required, detailing the installation of
renewable energy generation capacity of at least 2.5% of the energy use of
the development on site. The Environmental Statement highlighted the
presence of protected species (great crested newts, adders and red squirrels)
in the surrounding woodland. A method statement was required, detailing
how the operations will be carried out with regard to protected species.
3.75
At Sowerby Woods MBT, mitigation measures were required, to compensate
for the loss of habitat and woodland (comprising a substantial area of
woodland planting to the east of the site and off-site planting in the form of
hedgerows and tree planting to provide connectivity for wildlife) and to protect
European protected species. Although it was not considered viable or
efficient to generate renewable energy on site, the applicants entered into an
agreement with an energy provider to supply 10% of the Barrow facility’s
electricity requirements from a renewable source.
3.76
The permission at Cropper’s paper mill, Burneside, for a steam raising plant
using Solid Recovered Fuel, assessed air quality issues, visual impact on the
nearby Lake District National Park and protection of wildlife and
environmental amenity on the nearby River Kent. A Construction Method
Statement was required.
3.77
A permission was granted on land adjacent to Fisher Gill Farm, near Wigton,
for drilling two boreholes to test for and appraise Coal Bed Methane (CBM)
gas, and to subsequently develop and operate a hub for CBM gas production.
In the interests of visual amenity and to mitigate adverse impacts on
biodiversity in accordance with MWDF Policy DC10, conditions were imposed
Page 329
to translocate ancient hedgerow and to only remove hedgerow outside the
bird breeding season. A restoration plan and a noise management scheme
were also required.
3.78
The remaining four permissions concerned quarries. One was for an
extension to Low Gelt Quarry. The main issues were footpath diversion,
hydrology and hydrogeology, landscape and visual impact, ecology and
restoration. Plans for phased extraction, restoration of the site, diversion and
reinstatement of a footpath and screen planting were required.
3.79
Two quarry applications related to a time extension for sand and gravel
extraction at Cardewmires Quarry – two applications were required, as the
quarry falls within both Carlisle and Allerdale districts. The main issues raised
by this application were whether there was a need to release the reserves at
the site at this time and the hydrological and hydrogeological impacts of
continuing to work the site. Plans were required for phasing of extraction,
depths of extraction and site restoration.
3.80
The last quarry permission was for a time extension at Ghyll Scaur Quarry, for
high specification aggregates. A Section 106 agreement secures a financial
contribution to the maintenance of the highway, provides for woodland
management, maintenance of a pond and wetland area, the creation of a
'Rock Park' and a viewpoint.
3.81
An EIA was required for the Bennett Bank landfill extension application;
permission was refused for the development, but subsequently allowed on
appeal.
3.82
Policies designed to minimise environmental and community impacts were
frequently quoted in planning decision notices and reports, particularly in the
reasons for conditions to control noise, dust or odour during operations, and
to secure biodiversity enhancements in restoration schemes.
3.83
The task of collecting some of the information for biodiversity core indicators
falls to other agencies. It is intended that planning officers should remain
responsible for measuring changes resulting from planning decisions, to
complement overall base line or cumulative data sourced from other
agencies.
Flooding and water quality
3.84
Core Output Indicator E1 records the number of planning permissions granted
contrary to Environment Agency advice on flooding and water quality
grounds. Its purpose is to show numbers of developments which are
potentially located where (i) they would be at risk of flooding or increase the
risk of flooding elsewhere and (ii) adversely affect water quality.
Page 330
3.85
No planning permissions were granted contrary to the advice of the
Environment Agency.
Page 331
4
Key Issues and Changes Required
Emerging plan objectives
4.1
Nine planning permissions for waste facilities or minerals extraction, were
granted before the MWDF Core Strategy and Generic Development Control
policies were adopted. These were considered under saved Minerals and
Waste Local Plan and Structure Plan policies.
4.2
Annex E is a copy of the Regulation 13 Statement about which of the existing
development plan policies were superseded by Core Strategy and Generic
Development Control Policies.
Key issues
4.3
The diversion of waste from landfill, and other sustainability issues that impact
on climate change, are key issues for the MWDF. Enabling the provision of
suitable waste management facilities, and encouraging reduction, re-use and
recycling of all wastes (especially construction and demolition waste) can
assist in meeting these sustainability objectives.
4.4
In order to achieve the necessary changes in the way wastes are managed,
new facilities will need to be in place as soon as possible. For municipal
waste this is no later than 2012. As part of the municipal waste contract with
Shanks, planning permissions have been granted for an MBT plant in the
north of the county, at Hespin Wood, and one in the south, at Sowerby
Woods; and for two Transfer Stations, one in the west, at Lillyhall, and one in
the east, at Flusco.
4.5
Continued provision of aggregates will be needed for developments in the
county and for the maintenance of its infrastructure. Specific developments
are the major regeneration initiatives, particularly the Area Action Plan for
Barrow Port, the Carlisle Northern Development Route and Energy Coast
initiatives in west Cumbria, as well as developments that will be associated
with nuclear decommissioning and, potentially, nuclear new build.
4.6
The Core Strategy strategic objectives, and its Policy 1’s requirement for
reducing “minerals road miles”, are intended to ensure that demand is met
from the nearest potential supply source. Although the county has adequate
reserves of aggregates with planning permission, it is recognised that there
may be issues of adequate provision being made within supply areas in
specific parts of the county.
4.7
Examples are that Peel Place is the only sand and gravel quarry in the west
and Roose the only one in the south. Core Strategy Policy 13 states says
that the sand and gravel apportionment should also take account of the
pattern of quarries, their supply areas, the county’s dispersed settlement
Page 332
pattern and transport routes. In order to be consistent with this, Areas of
Search and a Preferred Area are proposed for these quarries in the Site
Allocations Policies.
4.8
Despite the revocation of the NW Regional Spatial Strategy mid-2010, future
AMRs will need to consider requirements (originally in RSS Policy EM 18) for
new, non-residential developments above a threshold of 1,000 square metres
to secure at least 10% of their energy requirements from decentralised and
renewable or low-carbon sources.
Actions needed to achieve objectives
4.9
The Core Strategy and Generic Development Control Policies were adopted
by full Council in April 2009. The Site Allocations Policies and Proposals Map
are scheduled for adoption in early 2011.
4.10
During the examination of Cumbria’s Site Allocations Policies, it became clear
that several factors were contributing to an early review of the Core Strategy
document. Firstly, revocation of the NW Regional Spatial Strategy had left a
policy vacuum in the Core Strategy, since national and regional policies could
not be repeated.
Secondly, the Nuclear Decommissioning Authority
published its UK Low Level Waste Strategy, which requires us to revisit the
Core Strategy radioactive waste policies and text. Thirdly, the Mineral
Safeguarding Area for gypsum in Cumbria needs to be revised, with a view to
identifying the resources that may become economically viable to extract in
the future, not just those that are economically viable now.
4.11
The Minerals and Waste Development Scheme will be revised to incorporate
the review of the Core Strategy.
Page 333
Annex A: Glossary of terms
4NW
The Regional Planning Body throughout the report period
AMR
Annual Monitoring Report
AONB Area of Outstanding Natural Beauty
BVPI
Best Value Practice Indicator
Department of Communities and Local Government – previously called
DCLG
Office of the Deputy Prime Minister (ODPM)
Development Plan Documents – separate documents that make up the
DPDs
Minerals and Waste Development Framework
BAP
Biodiversity Action Plan
ha
hectares
Household Waste Recycling Centre – large bring sites for householders to
HWRC
bring bulky waste, recyclables and residual waste
Joint Structure Plan: Cumbria County Council and Lake District National Park
JSP
Authority’s joint sub-regional plan - 2001-2016, whose policies were largely
replaced by the North West Regional Spatial Strategy (2008)
Local Development Scheme – the timetable for preparation of the Minerals
LDS
and Waste Development Framework
LDNPA Lake District National Park Authority
Minerals and Waste Development Framework - the plan that will be effective
MWDF
from 2009 to 2020
MWLP Minerals and Waste Local Plan 1996-2006 – the previous plan
Municipal Waste Management Strategy – the Cumbria strategy is produced
MWMS jointly by Waste Collection Authorities and Waste Disposal Authority, in
Cumbria by County and Districts
National Policy Statements - lie at the centre of the new regime for nationally
significant infrastructure projects [NSIPs] and are the principal documents
NPS
that the Infrastructure Planning Commission (IPC) or its successor body will
use in making decisions
PPS & Planning Policy Statements and Minerals Policy Statements - national
MPS
policies on planning
PPG & Planning Policy Guidance and Minerals Policy Guidance – national planning
MPG
guidance, being replaced with PPS and MPS
Regional Spatial Strategy – regional plan, partly adopted in September 2008,
RSS
which largely replaced the JSP (see above). North West RSS prepared by
the Regional Planning Body, 4 NW.
Sustainability Appraisal/Strategic Environmental Assessment process and
SA/SEA
documents assessing plans and strategies
SEA
Strategic Environmental Assessment
SCI
Statement of Community Involvement
SPD
Supplementary Planning Document
Page 334
Annex B: Local Development Scheme timetable – came into effect 6 March 2009
Page 335
Annex C: Planning Applications Approved, Refused or Withdrawn: 01-Apr-2009 to 31-Mar-2010
Planning
App No.
1/09/9007
2/09/9002
2/09/9003
Page 336
Site Name
Proposal
Stats
Code
land south-west
of
Edenwood,
Linstock, Carlisle
Overby Quarry,
Aspatria
Erection of a motor control kiosk and
associated access track
Waste
Full
Granted
16-Apr2009
N
N
Section 73 Application to develop land at
Overby Quarry without compliance with the
conditions previously attached to 2/06/9033
Section 73 application to develop land at
Overby Quarry without compliance with the
conditions previously attached to 2/06/9035
Erection of a motor control kiosk
Mineral
Section
73
Granted
16-Apr2009
N
N
Section
73
Granted
16-Apr2009
N
Waste
Full
Granted
17-Apr2009
N
N
Overby
Aspatria
Quarry,
Mineral
App.
Type
Decision
Decision
Date
Departure require
from
EIA?
Devpt
Plan?
N
N/A
Eden
Nursery,
Linstock, Carlisle
1/09/9010
Low Bow Farm,
Carlisle
Erection of a motor control kiosk, chemical
dosing kiosk and access track
Waste
Full
Granted
20-Apr2009
N
N
3/09/9001
Culgaith WWTW,
Penrith
New Waste Water Treatment Works
Waste
Full
Granted
20-Apr2009
N
N
3/09/9002
Old Tile Works,
Culgaith, Penrith
Waste
Full
Granted
20-Apr2009
N
N
3/09/9003
south of Town
End Farm, Great
Strickland,
Penrith
Waste
Full
Granted
21-Apr2009
N
N
4/08/9014
Low Level Waste
Repository, near
Drigg
Hespin
Wood
Landfill
Site,
Carlisle
Temporary compound site for use during
construction of new Waste Water Treatment
Works
Construction of a new Wastewater Pumping
Station,
with
new
access
point,
'hammerhead' turning track, erection of
motor control kiosk, dosing kiosk and
associated hard-standing, access gate and
fence
Formation of 7 monitoring boreholes
including
temporary
construction
compounds
Waste Resource Park, including MBT plant
Waste
Full
Granted
23-Apr2009
N
N
24-Apr2009
N
Waste
Full
Granted
wastewater
network
improvement
N/A
1/09/9008
1/08/9031
Additional
Capacity
wastewater
network
improvement
wastewater
network
improvement
wastewater
network
improvement
wastewater
network
improvement
wastewater
network
improvement
N/A
Y
75,000
tonnes/year
municipal
solid waste
Planning
App No.
4/08/9013
1/09/9019
5/07/9005
6/08/9012
3/09/9007
3/09/9008
Page 337
3/09/9009
1/09/9025
2/09/9007
4/09/9002
6/09/9004
Site Name
Proposal
Stats
Code
App.
Type
Low Level Waste
Repository, near
Drigg
opposite
The
Gables,
Moorhouse
Shap
Road
Industrial Estate,
Kendal
Bennett
Bank
Landfill Site
new Wastewater
Pumping Station,
Cliburn
Village
Hall,
Great Strickland,
Penrith
field south of
Bradley
Wood,
Great Strickland,
Penrith
Control
Kiosk,
Etterby
Street,
Carlisle
Risehow
Industrial Estate,
Maryport
Keekle
Head
former opencast
coal site
Cooper
Yard,
Barrow
formation of 7 boreholes including
temporary construction compounds
Waste
erection of a motor control kiosk
Waste
Full
retrospective planning consent for the plant
and equipment installed at the site
Waste
Full
to Increase the landfill capacity and provide
for revised restoration of the site
to construct a new Wastewater Pumping
Station, access area, and erection of motor
control kiosk
erection of a motor control kiosk and tarmac
hard-standing area
Waste
Full
Refused
Waste
Full
Granted
Waste
Full
construction of a new Wastewater Pumping
Station
with
new
access
point,
'hammerhead' turning track, erection of
motor control kiosk
relocation of control kiosk to 'dry side' of
new flood defence wall
Waste
Departure require
from
EIA?
Devpt
Plan?
Additional
Capacity
N
Granted
28-Apr2009
N
N
Granted
28-Apr2009
N
N
21-May2009
03-Jun2009
N
Y
N/A
N
N
Granted
03-Jun2009
N
N
Full
Granted
03-Jun2009
N
N
wastewater
network
improvement
wastewater
network
improvement
wastewater
network
improvement
Waste
Full
Granted
18-Jun2009
N
N
open windrow composting
Waste
Full
Granted
24-Jun0909
N
N
installation of 24 monitoring boreholes
Mineral
Full
Granted
25-Jun2009
N
N
25-Jun2009
N
Waste
Change
of Use
Granted
Decision
Date
24-Apr2009
change of use from B2 Class general
industrial to a waste transfer station
Full
Decision
Granted
N
N/A
wastewater
network
improvement
N/A
wastewater
network
improvement
25,000
tonnes/year
green waste
N/A
N
1,500 tonnes
construction,
demolition,
excavation
waste/year
Planning
App No.
Site Name
Proposal
Stats
Code
5/09/9002
Burneside Paper
Mill, near Kendal
Waste
Full
Granted
26-Jun2009
N
Y
9,500 tonnes
of
solid
recovered
fuel
(SRF)
per year
6/08/9018
Cavendish Dock
Road, Barrow
Waste
Full
Granted
26-Jun2009
N
N
2/09/9011
Studsvik
UK,
Lillyhall
Studsvik
UK,
Lillyhall
Kirkhouse
Quarry,
Brampton,
Carlisle
Kirkhouse
Quarry,
Brampton,
Carlisle
Ling
House,
Cliburn, Penrith
steam raising plant powered by fuel
recovered from municipal waste, wood,
waste paper and papermaking effluent
cake; associated building and infrastructure;
existing CHP chimney height increase by 4
metres
erection of new industrial building and
installation of 9MW wood fuelled renewable
energy plant
erection of two operations support facility
buildings
erection of one operations support facility
building
Section 73 application to modify conditions
1, 2, 32 & 34 of planning permission
1/00/9019 to allow alteration to working
conditions and revised restoration scheme
extension to existing quarry
Waste
Full
Granted
N
N
Waste
Full
Granted
N
N
N/A
Mineral
Section
73
Granted
14-Jul2009
14-Jul2009
28-Jul2009
72,000
tonnes wood
waste/year
N/A
N
N
time
extension
Mineral
Full
Granted
28-Jul2009
N
N
690,000
tonnes sand
reserves total
construction of a new Wastewater Pumping
Station, access area and erection of a
motor control kiosk
Waste
Full
Granted
05-Aug2009
N
N
wastewater
network
improvement
control building and substation
Wastewater Pumping Station
for
Waste
Full
Granted
25-Aug2009
N
N
wastewater
network
improvement
erection of a vent pipe to alleviate odour
issues by improving the ventilation of
existing apparatus
erection of a vent pipe to alleviate odour
issues by improving the ventilation of
existing apparatus
construction of a new outfall for new
wastewater treatment works (planning
consent 5/08/9013) on farm land
Waste
Full
Granted
28-Aug2009
N
N
28-Aug2009
N
04-Sep2009
N
2/09/9016
Page 338
1/09/9015
1/09/9016
3/09/9016
2/09/9008
2/09/9014
2/09/9015
5/09/9009
opposite Hesket
House,
Port
Carlisle, Wigton
north of Rail Staff
Association
building
Derwent
Park
Stadium,
Workington
Crake
Valley
WwTW,
Greenodd
Waste
Waste
App.
Type
Full
Full
Decision
Granted
Granted
Decision
Date
Departure require
from
EIA?
Devpt
Plan?
Additional
Capacity
N/A
N
N/A
N
wastewater
network
improvement
Planning
App No.
Site Name
Proposal
Stats
Code
6/09/9006
Frederick Street
Pumping Station,
Barrow
Waste
3/09/9015
Low
Hesket
Waste
Water
Treatment Works
south of Hazel
Grove, Linstock,
Carlisle
Wilsons Pit Yard,
Sandwith,
Whitehaven
erection of 2 CCTV cameras to provide a
facility to view the site, which is not manned
full time, during times of heavy rain to
ensure the installation is working correctly
and will not cause flooding of local
properties
extension to the existing waste water
treatment works, new MCC kiosk and
widening of the access into the works
erection of a motor control kiosk and access
track
1/09/9034
4/09/9006
App.
Type
Page 339
Decision
Decision
Date
Departure require
from
EIA?
Devpt
Plan?
Full
Granted
09-Sep2009
N
N
wastewater
network
improvement
Waste
Full
Granted
15-Sep2009
N
N
Waste
Full
Granted
30-Sep2009
N
N
creation of composting and tyre baling
operations, and change of use of the
existing agricultural storage building to
house a plasterboard recycling operation
Waste
Full
Granted
30-Sep2009
N
N
wastewater
network
improvement
wastewater
network
improvement
25,000
tonnes green
waste/year;
2,000 tonnes
plasterboard/
year;
1,000 tyres at
any one time
30,000
tonnes
commercial &
industrial
waste/year
10,000
tonnes
recycled
aggregates
per year
wastewater
network
improvement
1/08/9023
Hespin
Wood
Landfill Site
Materials Recovery Facility at Hespin Wood
Waste Resource Park
Waste
Full
Granted
01-Oct2009
N
N
1/09/9005
Hespin
Wood
Landfill Site
material change of use to facilitate the
relocation of the secondary aggregates
production facility
Waste
Full
Granted
01-Oct2009
N
N
1/09/9038
Great
Orton
Wastewater
Treatment Works,
Carlisle
Waste
Full
Granted
08-Oct2009
N
N
3/09/9019
Bowscar Quarry,
Forest
Hill,
Penrith
erection of a control kiosk to house
electrical control equipment and wastewater
booster pump set in association with
additional works to be constructed under
permitted development
amendment to Condition 11 re position of
bituminous surfacing and removal of
conditions 9 & 10 of permission 3/98/9022
Mineral
Section
73
Granted
12-Oct2009
N
N
Additional
Capacity
800 tonnes
sandstone
per year
Planning
App No.
3/09/9020
3/09/9023
6/09/9007
6/09/9008
Page 340
Site Name
Proposal
Stats
Code
Colby
Hall,
Appleby
in
Westmorland
Colby
Hall,
Appleby
in
Westmorland
former
Greenscoe
Quarry, Askam
Barrow Slag Bank
to construct a new Wastewater Pumping
Station, access area, erection of motor
control kiosk
construction of a motor control kiosk
Waste
Full
Granted
20-Oct2009
N
N
Waste
Full
Granted
21-Oct2009
N
N
time extension of existing construction
waste recycling operation until 1 November
2024
creation of new access ramp onto the
foreshore
Waste
Section
73
Granted
28-Oct2009
N
N
Mineral
Full
Refused
28-Oct2009
Y
N
creation of new car park and associated
infrastructure
enhancement works to allow public access
to central slag banks
drilling of two further boreholes to test for
coal bed methane gas extraction
to construct a new Wastewater Treatment
Works, with new access, access track and
associated hedgerow removal
erection of a motor control kiosk
Mineral
Full
Granted
N
N
N/A
Mineral
Full
Granted
N
N
N/A
Mineral
Full
Granted
N
Y
N/A
Waste
Full
Granted
28-Oct2009
28-Oct2009
29-Oct2009
04-Nov2009
N
N
Waste
Full
Granted
12-Nov2009
N
N
extension to Materials Recycling Facility
area
construction of a new wastewater pumping
station, chemical dosing kiosk, access area
and erection of a motor control kiosk
application for a Certificate of Lawful
Development for the existing use of the site
for storing and processing scrap materials
extension to existing quarry
Waste
Full
Granted
N
N
Waste
Full
Granted
02-Dec2009
10-Dec2009
wastewater
network
improvement
wastewater
network
improvement
N/A
N
N
Waste
CLUED
Granted
14-Dec2009
N
N
15-Dec2009
N
6/09/9009
Barrow Slag Bank
6/09/9010
Barrow Slag Bank
2/09/9018
land adjacent to
Fisher Gill Farm
New
Aikton
WwTW, Wigton
2/09/9022
1/09/9040
3/09/9024
3/09/9022
2/09/9004
1/09/9033
layby off B5307,
Moorhouse,
Carlisle
Thackwood
Landfill Site
Whinfell forestry
track,
Cliburn,
Penrith
Scrapyard,
Branthwaite,
Workington
Low Gelt Quarry,
Brampton
Mineral
App.
Type
Full
Decision
Granted
Decision
Date
Departure require
from
EIA?
Devpt
Plan?
Additional
Capacity
wastewater
network
improvement
wastewater
network
improvement
time
extension
N/A
wastewater
network
improvement
N/A
Y
150,000
tonnes sand
& gravel/year
Planning
App No.
Site Name
Proposal
Stats
Code
2/09/9024
Distington Landfill
Site
Waste
2/09/9025
Distington Landfill
Site
Waste
4/09/9011
Distington Landfill
Site
4/09/9013
Wilsons Pit Yard,
Sandwith,
Whitehaven
Yeathouse Civic
Amenity
Site,
Frizington
Cardewmires
Quarry, Dalston
Section 73 application to extend life of
landfilling operations until December 2010 &
restoration until October 2011
Section 73 application for revised site
profiles allowing site to operate until
December 2010
Section 73 application for revised site
profiles allowing site to operate until
December 2010
Section 73 application to extend life of
landfilling operations until December 2010 &
restoration until October 2011
half bay extension to existing building to
create storage area for recycling of
plasterboard
variation of conditions 1 and 3 of planning
permission 4/08/9002 for extension to
operational time of HWRC site
Section 73 application to extend the
operation of Cardewmires Quarry until 2026
3/09/9026
land at Greystoke
Forest, Penrith
2/09/9005
Cardewmires
Quarry, Dalston
north-west
of
Cliburn
town
bridge
4/09/9010
Page 341
4/09/9012
1/09/9014
3/09/9006
3/09/9021
2/09/9030
2/09/9029
Distington Landfill
Site
Flusco
Quarry
Landfill Site
Derwent
Recycling
Services, Lillyhall
New
Aikton
WwTW, Wigton
Decision
Decision
Date
Section
73
Granted
15-Dec2009
N
N
Section
73
Granted
15-Dec2009
N
N
Section
73
Granted
15-Dec2009
N
Waste
Section
73
Granted
15-Dec2009
N
N
Waste
Full
Granted
15-Dec2009
N
N
Waste
App.
Type
Departure require
from
EIA?
Devpt
Plan?
Additional
Capacity
time
extension
N/A
N
N/A
time
extension
N/A
Waste
Section
73
Granted
16-Dec2009
N
N
time
extension
Mineral
Section
73
Granted
17-Dec2009
N
Y
time
extension
retrospective application for extraction of
limestone to resurface forestry roads
Mineral
Full
Granted
17-Dec2009
N
N
on-site use
Section 73 application to extend the
operation of Cardewmires Quarry until 2026
construction of a new Wastewater Pumping
Station,
with
new
access
point,
manouvering area for operations vehicles
and erection of motor control kiosk
erection of litter cage
Mineral
Granted
18-Dec2009
22-Dec2009
N
Y
Waste
Section
73
Full
N
N
time
extension
wastewater
network
improvement
Waste
Full
Granted
N
N
N/A
change of use of vacant land to form
extension to storage area
Waste
Change
of Use
Granted
23-Dec2009
14-Jan2010
N
N
construction of a new
associated access apron
Waste
Full
Granted
20-Jan2010
N
access
and
Granted
N/A
N
wastewater
network
improvement
Planning
App No.
1/09/9046
4/08/9009
1/09/9047
1/09/9050
Page 342
4/09/9014
Site Name
Proposal
Stats
Code
Brisco Brickworks
Carlisle
Ghyll
Scaur
Quarry, Millom
erection of a 70 metre high guyed
meteorological mast
variation of conditions 2 and 1 of planning
consents
4/93/9004
and
4/04/9014
respectively to allow the continuation of
mineral extraction until 31 December 2021
extension to existing packing building and
erection of hopper housing
to sell the clay overburden as an
engineering clay for flood defences to
locally sensitive areas. The shortfall of inert
material required to achieve restoration
levels will be imported to site. The rest of
the quarry will be worked in accordance
with the current planning permission
conditions.
application to vary condition 1 of planning
permission 4/04/9018 to extend the time
period for higher stacking in Vault 8 from 31
August 2010 until 31 December 2013 and
de-stacking completed by 31 December
2015
Anaerobic Digestion (AD) plant
Mineral
Mineral
Waste
Full
Granted
25-Feb2010
N
N
extension to steel-framed industrial building
to facilitate processing of household and
commercial waste products
Section 73 application to extend the time
limit of planning permission 2/08/9027 for
continued operation to 31 December 2011
change of use of barns from commercial
storage units to Waste Transfer Station for
recycling/baling of cardboard, plastic and tin
extend existing building for vehicular
access, storage of skips, wagons and recyclables, and to sort/segregate wastes
Waste
Full
Granted
26-Feb2010
N
N
Solway
Moss
Peat Works
Silvertop Quarry,
Brampton
Low Level Waste
Repository, near
Drigg
2/09/9031
Pearsons Poultry
Ltd, Silloth
2/10/9003
Derwent
Recycling
Services, Lillyhall
New
Cowper
processing plant,
Aspatria
barns at North
Gateside Farm,
Kendal
former
Greenscoe
Quarry, Askam
2/09/9033
5/09/9011
6/09/9020
App.
Type
Decision
Decision
Date
Departure require
from
EIA?
Devpt
Plan?
Full
Granted
N
N
Section
73
Granted
26-Jan2010
09-Feb2010
N
Y
Mineral
Full
Granted
18-Feb-10
N
N
Mineral
Full
Granted
24-Feb2010
N
N
Additional
Capacity
N/A
time
extension
N/A
circa
30,000
tonnes
total
Waste
Section
73
Granted
24-Feb2010
N
clay
N
N/A
27,000
tonnes/yr
agricultural
waste
N/A
Mineral
Section
73
Granted
01-Mar2010
N
N
time
extension
Waste
Change
of Use
Granted
01-Mar2010
N
N
Waste
Full
Granted
09-Mar2010
N
N
circa 30,000
tonnes/yr dry
recyclables
N/A
facility
improvement
Planning
App No.
4/10/9006
3/10/9004
4/10/9002
6/09/9021
Site Name
Proposal
Stats
Code
Arlecdon
Wastewater
Treatment Works
Thackwood, near
Carlisle
erection of control kiosk
Waste
Section 73 application for temporary
variation of conditions 6 and 22 of planning
permission 3/07/9008 to permit increased
hours of working and vehicle movements
application for the variation of conditions of
planning consent 4/06/9016 relating to the
decommissioning of PCM retrieval facilities
Waste Resource Park, including MBT plant
Mineral
Low Level Waste
Repository, near
Drigg
Sowerby Woods
Business
Park,
Barrow
Waste
Waste
App.
Type
Decision
Decision
Date
Departure require
from
EIA?
Devpt
Plan?
Full
Granted
16-Mar2010
N
N
Section
73
Granted
30-Mar2010
N
N
Section
73
Granted
31-Mar2010
N
Full
Granted
31-Mar2010
N
Additional
Capacity
wastewater
network
improvement
N/A
N
N/A
Y
75,000
tonnes
municipal
waste/year
Page 343
Annex D: Monitoring Matrix - Indicators and targets in the Adopted Core Strategy – April 2009
CCC
4NW
Page 344
CCC
CCC
Page 345
CCC
CCC
CCC
CCC
xvi A target for reducing municipal waste is not appropriate as it is possible that more commercial waste will be managed by the WPAs in future.
xvii Hazardous waste figures provided by Environment Agency to Local Planning Authorities for Strategic Environmental Assessment (The Agency produces two sets of
figures for waste managed and for waste)
xviii Construction and Demolition and Excavation waste landfilled is a proxy indicator for Core Output Indicator 5b, production of secondary and recycled aggregates which
has been impossible to ascertain with any accuracy. No annual target is appropriate as it will fluctuate with development cycles. A watching brief will be kept and any
increase in the landfill figure will be investigated. A reduction could indicate increased use of recycled aggregates.
xix The Section 106 unilateral undertaking for the LLWR near Drigg
xx This is a proxy indicator for Core Output Indicators 8a and b, which are expected to be changed. The replacement for 8a and b is not specific to sites for minerals and
waste developments and is likely to be reported by Natural England and/or in the Regional Spatial Strategy’s Annual Monitoring Report.
ANNEX E
The Town and Country Planning (Local Development) (England) Regulations 2004
CUMBRIA MINERALS AND WASTE DEVELOPMENT FRAMEWORK
Regulation 13 (5) Statement of saved development plan policies that would be superseded by the submission draft Core
Strategy and Generic Development Control policies
The Minerals and Waste Development Framework (MWDF) is a direct replacement for the Minerals and Waste Local Plan 1996 to 2006
(MWLP) which was adopted in May 2000. Most of its policies were “saved” until the adoption of the MWDF and these are set out in the
following list. The following table sets out the MWDF policies that supersede saved MWLP policies.
Page 346
The Cumbria and the Lake District Joint Structure Plan 2001 – 2016 was adopted in April 2006. Thirty five of its policies have been replaced
by North West Regional Spatial Strategy policies. The remaining Structure Plan policies have been extended and will continue to be saved
until they are replaced by a future revision of the RSS. These saved policies are ST 4 and 5; EM 13, 14 and 16; H 19, 20, and 22; T 29, 30, 31
and 33; E 35, 37 and 38; and R 44, 45, 47, 48, 49, 50 and 51.
In accordance with paragraph 15.3 of the RSS, Local Authorities are encouraged to consider whether these saved Structure Plan policies can
be expressed within the Local Development Frameworks. The most obvious Structure Plan policies that were considered with regard to
minerals and waste policies are ST 4; E 35, 37 and 38; R 47, 48, 49, 50 and 51.
Page 347
M&W
Local MWDF
Core MWDF Generic Development M&W
Local MWDF
Core MWDF Generic Development
Plan Policy
Strategy Policy
Control Policy
Plan Policy
Strategy Policy
Control Policy
Policy 1
DC1 & 3
Policy 35
CSP2, 5 &5
DC6
Policy 2
DC2 & 3
Policy 36
CSP16
DC6
Policy 3
DC3 & 3
Policy 37
DC7
Policy 4
DC2 & 3
Policy 38
CSP4
DC7
Policy 39 not
Policy 5
CSP4
DC3 & 14
saved
Policy 6
CSP4
DC2, 6, 12 & 14
Policy 40
CSP18
DC7
Policy 7
CSP4
DC2 & 12
Policy 41
CSP18
DC7
Policy 8 not
Policy 42
CSP4
saved
Policy 9
CSP4
DC2, 3 & 12
Policy 43
CSP4
Policy 10
CSP4
DC2, 3 & 12
Policy 44
CSP4 & 5
DC6 &16
Policy 11
CSP4 & 5
DC15 & 16
Policy 45
CSP4, 7, 13 &14
Policy 46 not
Policy 12
CSP4
DC11
saved
Policy 47 not
Policy 13
CSP4
DC11
saved
Policy 14
CSP4
DC11
Policy 48
CSP4 & 17
Policy 15 not
Policy 49 not
saved
saved
Policy 16 not
Policy 50 not
saved
saved
Policy 17 not
Policy 51 not
saved
saved
Policy 18 not
Policy 52
DC4
saved
Policy 19
CSP4
DC2
Policy 53
CSP13
DC4
Policy 20
CSP5
DC2 & 16
Policy 54
CSP14
DC4
Policy 21
CSP5
DC2 & 26
Policy 55
CSP9
DC4
Policy 22
Policy 23
Policy 24
Policy 25
Policy 26
CSP5
CSP2 & 3
CSP14
CSP13
DC16 & 17
DC2, 3 & 16
DC9
DC9
DC4
Policy 27
CSP4 & 13
DC6, 7, 10, 11, 12 & 13
Page 348
Policy 28
saved
Policy 29
saved
Policy 30
Policy 31
Policy 32
not
not
CSP13 & 14
CSP13 & 14
CSP13
DC6
DC6
DC6
Policy 33
CSP13
DC6
Policy 34
CSP4 & 13
DC6
Policy 56
Policy 57
Policy 58
Policy 59
Policy 60
Policy 61
saved
DC2 & 4
DC2, 3
CSP4
CSP4
DC2 & 4
DC2 & 4
Policy 62
CSP4, 8 & 9
DC3
Policy 63
Policy 64
Policy 65
Policy 66
Policy 67
Policy 68
saved
Policy 69
Policy 70
CSP4 & 5
CSP4
CSP4 & 9
CSP4
CSP4 & 5
DC2, 3 & 5
DC2, 3 & 5
CSP6
CSP5, 6, 7
DC17
DC17
not
DC2, 3 & 5
DC2, 3 & 5
not
Agenda Item 20
CABINET
Meeting date:
From:
6th January 2011
Leader of the Council and
Chief Executive
Fire Service Management
PART A - RECOMMENDATION OF LEADER OF THE COUNCIL
1.0
EXECUTIVE SUMMARY
1.1
This report invites Cabinet to agree the first stage of a project to
explore whether sharing fire service management across Cumbria and
Northumberland can deliver efficiencies and improve service across
the two Councils.
2.0
STRATEGIC PLANNING AND EQUALITY IMPLICATIONS
2.1
The strategic management arrangements of each council underpin the
delivery of all their objectives and priorities. The proposals for a shared
Chief Fire Officer for both Councils will be explored to see whether it
could be a means of improving services and service resilience,
delivering budgetary savings in line with the Comprehensive Spending
review and providing value for money services.
2.2
There are no equality implications arising from the recommendation of
this report.
3.0
RECOMMENDATIONS
3.1
Cabinet agrees that the Chief Fire Officer for the Council undertake a
rapid evaluation of the two fire services to determine whether a joint
service could deliver efficiencies and improve services across Cumbria
and Northumberland.
3.2
Cabinet agrees to receive a further report in two months to advise on
the results of this work.
Eddie Martin, Leader of the Council
Page 349
PART B – ADVICE OF CHIEF EXECUTIVE
4.0
BACKGROUND
4.1
The Comprehensive Spending Review (CSR) 2010 of the 20th October set
out a challenging financial settlement for Fire and Rescue Authorities.
4.2
In a letter introducing CSR, Bob Neill, CLG Minister for Fire and Rescue, set
out a number of areas where Government believed significant savings could
be made in Fire and Rescue Services. Amongst other areas, he suggests
that FRAs should consider sharing Chief Fire Officers and other senior
managers.
4.3
The retirement of the Chief Fire Officer of Northumberland in November
2010 provides an opportunity for that authority and Cumbria County Council
to explore different options for senior officer arrangements.
4.4
There is a significant strategic alignment between the existing fire and
rescue services;
•
Operational performance: in the view of the Audit Commission, both
services are performing at similar levels with both classed as
‘improving well’ in the most recent Direction of Travel assessment and
‘Fair’ in terms of recent Comprehensive Performance Assessment.
•
Risk profiles: both services share similar risk profiles with large,
sparsely populated rural areas coupled with smaller urban centres
with some small but significant areas of severe deprivation.
•
Working practices: both services operate a mixture of wholetime, day
crewing and retained duty systems with broadly similar operating
practices and equipment.
•
Geographical alignment: the services share a significant border with
good road and rail links between the two. Staff working in the North
of Cumbria are physically closer to Northumberland than to those staff
in the South of the County.
•
Cultural fit: each service shares a similar mix of retained and whole
time duty system staff.
4.5
It is proposed that the Chief Fire Officer for Cumbria carry out an evaluation
of possible models of shared arrangements including shared management
teams, a combined fire authority separate from both Councils and any other
models of joint working, to explore whether efficiency savings could be made
whilst improving the quality of both services.
4.6
Cumbria County Council and Northumberland Council will following this work
have the information they need to decide how to proceed.
Page 350
5.0
OPTIONS
5.1
That the status quo is maintained and the current Chief Fire Officer of
Cumbria remains in that post with responsibilities only as far as Cumbria is
concerned.
5.2
That the evaluation described about is undertaken and a further report
considered by Cabinet in two months time.
6.0
RESOURCE AND VALUE FOR MONEY IMPLICATIONS
6.1
It is anticipated that if recommendation 3.1 is implemented, the costs of the
Chief Fire Officer will be shared on a 50/50 basis with Northumberland
County Council.
6.2
Northumberland have put temporary arrangements in place to ensure that
the day to day management of the fire service is covered until both Councils
decide on more permanent arrangements.
Due to the additional
responsibility of a Chief Officer covering two counties, there will be an
increase to the levels of responsibility and salary of the current Chief Fire
Officer.
6.3
Within the Cumbria County Council strategic planning documentation (which
proposes shared management teams of which a shared Chief Fire Officer is
only part), potential savings of up to £100K in year 1 followed by ongoing
annual savings of £150K have been projected.
7.0
LEGAL IMPLICATIONS
7.1
Section 113 of the Local Government Act 1972 allows a local authority to
enter into an agreement with another local authority to place its officers at
the disposal of the other authority. Staff who are made available under such
an arrangement are able to take binding decisions on behalf of the council at
whose disposal they are placed, although they remain an employee of their
original authority for employment and superannuation purposes. This
legislation therefore allows the chief fire officer (and in due course other
senior managers) to be shared between the two councils
7.2
A formal agreement needs to be put in place under section 113 making
provision for the employer council to place its officers at the disposal of the
other and for the non-employer council to receive those services. The
agreement would set out the roles and responsibilities of the councils in
relation to the shared senior management structure. It would also contain a
procedure for resolving any conflicts of interest and/or disputes, and where
necessary the procedure for termination of the joint arrangements. The
agreement would be subject to a rolling annual review and renewal.
8.0
CONCLUSION
8.1
The proposal set out in this report is consistent with current government
expectations and takes advantage of the opportunity presented by the recent
Page 351
retirement of the Chief Fire Officer in Northumberland. The proposal is
financially beneficial to both County Councils.
Jill Stannard
Chief Executive
10 December 2010
APPENDICES
None.
Executive Decision
Yes
Key Decision
Yes
If a Key Decision, is the proposal published in the current Forward Plan?
Yes
Is the decision exempt from call-in on grounds of urgency?
No
If exempt from call-in, has the agreement of the Chair of the relevant
Overview and Scrutiny Committee been sought or obtained?
Has this matter been considered by Overview and Scrutiny?
If so, give details below.
N/A
No
Has an environmental or sustainability impact assessment been
undertaken?
N/A
Has an equality impact assessment been undertaken?
N/A
N.B.
If an executive decision is made, then a decision cannot be implemented until the
expiry of the eighth working day after the date of the meeting – unless the decision is
urgent and exempt from call-in and the Corporate Director has obtained the
necessary approvals.
PREVIOUS RELEVANT COUNCIL OR EXECUTIVE DECISIONS
none
CONSIDERATION BY OVERVIEW AND SCRUTINY
Not considered by Overview and Scrutiny
BACKGROUND PAPERS
REPORT AUTHOR
Lizzy Shaw
Contact:
01900 820270
Page 352
Agenda Item 21
By virtue of paragraph(s) 3 of Part 1 of Schedule 12A
of the Local Government Act 1972.
Document is Restricted
Page 353
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Page 364
Agenda Item 22
By virtue of paragraph(s) 3 of Part 1 of Schedule 12A
of the Local Government Act 1972.
Document is Restricted
Page 365
This page is intentionally left blank
Page 370
Agenda Item 23
By virtue of paragraph(s) 3 of Part 1 of Schedule 12A
of the Local Government Act 1972.
Document is Restricted
Page 371
This page is intentionally left blank
Page 384
Agenda Item 24
By virtue of paragraph(s) 3 of Part 1 of Schedule 12A
of the Local Government Act 1972.
Document is Restricted
Page 385
This page is intentionally left blank
Page 410