Agenda item

To receive and consider the 2023/24 Revenue Monitoring Report.

Katherine Vernon presented the 2023/24 Revenue Monitoring Report.

The current financial position showed a small adverse movement from what was last report to Schools Forum.  The projected in-year deficit was now £12.5m, with the main pressure continuing to be in the High Needs Block (HNB).  Taken with the brought forward deficit of £9.2m, and expected Safety Valve funding received mid-year, a forecast cumulative deficit of £19.9m was now projected to 31 March 2024.

There was a small variance in forecast for the Schools Block due to increase in the Growth Fund of £120k and a reduction in spend on Maternity under de-delegation of £24k.

The De-delegation staff costs was £24k less than budget due to academy conversions.

The Contingency continued with £55k as no-one had withdrawn from this fund this year.

It was expected that the Growth Fund would be used for schools expansion next year, requiring around £1.6m from the Schools Block.  This would be modelled through the work of the Task and Finish Group.

The forecasting of the HNB was stabilising, as a result of the impact of the Safety Valve programme.  A Council wide piece of work was being undertaken to unlock Health funding.

A lot of work would be carried out to work out the models for the new rates for Early Years from September 2024.  This would be discussed with the Task and Finish Group.  The rates for Early Years were received last week and were as follows:

·           3-4 year olds - £6.31

·           2 year olds - £9.05

·           9 months old to 2 year olds - £12.97

 A range of rates would be shared with providers at the earliest opportunity to aid with budget planning.

The Hardship Fund contained £50k which was unspent and would be carried forward in case any school needed it.

There was no variance in the Central Schools Services Block.

In response to a comment, Emma Shrimpton, Finance Business Partner for Children’s Services explained that it was the forecast for the HNB that was stabilising, this did not mean a reduction in the demand or cost of Education Health and Care Plans (EHCPs).  The intelligence and data analysis were getting better.

Sara Attra was pleased to note that an effort was being made to unlock funding from Health.  She was interested to know how the service was gathering evidence for this piece of work.  She stated that she had not been asked to provide information, even though she worked with Health within her school.

Emm Shrimpton explained that this was a Council wide initiative, and that Commissioning Services were leading on this piece of work.  Conversations were being held at a high level at the moment, but this would filter down in due course.  A better process with Health needed to be put in place.

Ming Zhang, Assistant Director for Education and SEND confirmed that Commissioning Services were working with Health to unlock the funding for the Council.

In relation to Appendix B – Growth Fund, Derren Gray clarified that the Piggott School had taken £46, not £45 as stated in the document (this had already been pointed out at a previous meeting).  Officers agreed to amend it.

RESOLVED That the 20234/24 Revenue Monitoring Report be noted.