1. Children and Families (C&F): Funding Sources

1. Children and Families – Financial OverviewBudget & Finance Overview & Scrutiny Committee13th September 2011

2. 1. Children and Families (C&F): Funding Sources

3. Schools Budget has to be set each year in March based on estimated DSG as DSG is not confirmed until June/July • 2011/12 DSG had a brought-forward deficit of £5.7m due to SEN pressures • Major DfE consultation ongoing at the moment looking at radically changing Schools Funding: • possibility of a national funding formula now dropped • radical changes in funding methodology inevitably leads to winners and losers • 2011/12 Settlement for Schools was “Cash-Flat” i.e. Schools in general received the same cash as 2010/11 - i.e. a real terms cut 2. Schools Budget - Issues

4. Dedicated Schools Grant (£238m) Schools Budget (£236.5m) Individual Schools Budget (£215.4m) • Central Element of Schools Budget (£21.1m): • SEN (£9.9m) • PRUs (£5.6m) • Early Years (£4.5m) • Admissions (£0.3m) • FSM, Licences etc (£0.5m) • Teachers maternity, redundancy (£0.3m) • Formula Distribution: • Pupil Nos, • Floor Area, • SEN, • Deprivation • etc 3. Schools Budget - 2011/12 School A School B School C

5. 4. 2011/12 Budget – (General Fund Only)

6. 5. 2011/12 Budget (general Fund Only)

7. 2010/11 Overspends £k Social Care Placements 1,466 Social Care Legal Fees 736 Children with Disabilities 300 School Expansion costs 398 2,900 LESS: In-Year Savings -2,524 Outturn 376 (overspend) 6. Budget pressures

8. 7. 2011/12 savings

9. 8. 2011/12 savings

10. 9. 2011/12 Forecast Outturn Schools Budget General Fund

11. 10. SEN Pressures

12. 10. SEN Pressures

13. 11. Measures to Reduce SEN Spend Past actionsaimed at reducing the number of statutory assessments and statements: • Individual Pupil Support Agreements (IPSA) - lower level needs, an alternative to statementing, September 2010. • new mainstream banding descriptors + increase in the threshold for which new statements/IPSA’s will be provided, April 2011. • Will reduce spend in the medium/long term but not in the short term. • Current Actions - SEN Project Phase 1 (April 2011 to July 2011) • Expand local specialist provision to meet immediate demand and reduce out-Borough costs : • +41 places - Village School/Queens Park Community, Granville nursery and Alperton Community School - October 2011-Sept 2012 • proposal to redesignate Vernon House Special School to accommodate children on the autistic spectrum • Develop single SEN database, improve management information and data to inform future planning • Develop strategy on commissioning and monitoring of out-borough places – data analysis completed and priorities identified for joint work with West London Alliance

14. 11. Measures to Reduce SEN Spend • Planned Actions - SEN Project Phase 2 (August 2011 – August 2012) • Review and re-launch of SEN and Inclusion Strategy • Undertake end to end review, develop and embed new ways of working) (August 2011 – August 2012) • Continue to develop in-Borough specialist provision reducing reliance on out-Borough provision. • Put in place new commissioning processes in collaboration with the West London Alliance. • Implement re-structure of SEN and Inclusion Services to better align service to support the SEN Strategy.  

15. Over recent years pressure from increasing LAC numbers has been the main cause of overspends in Children and Families. • This pressure has been widespread across most local authorities and through the Social Care Transformation Programme, Children and Families have maintained LAC numbers well below that of statistical neighbours • Over last 2 years referrals have gone up by 25% and number of children with a child protection plan has increased by 50% • Expenditure on expensive placements such as residential and IFAs has steadily been reducing as illustrated in the following graphs: 12. Children’s Social care Pressures

16. 12. Children’s Social care Pressures

17. 13. Measures to Reduce Children’s Social Care Pressures WORKSTREAMS Residential Placements-toreduce unit costs of residential units through cost and volume and advance payments reductions Semi-independent accommodation-To reduce costs by increasing Brent shared houses from 6 to 12 units. Fostering-To reduce overall costs by increasing the number of in-house foster carers (45 more by 2014) and reducing the reliance on expensive independent providers No recourse to public funds-To reduce the number of families with no recourse to funds that are supported by the department Post looked after children resources-To reduce the money paid out in support to families who are caring for children who are no longer “looked after” Crisis Intervention and Support team- To review the work of the team to ensure a renewed focus on preventing children becoming looked after.

18. 14. School Places Pressures • Currently insufficient capacity in Brent primary schools resulting in 388 pupils without a school place as at July 2011. • Latest GLA projections: upward trend in the demand for primary places is expected to continue beyond 2014-15. Potentially creating a requirement for 4,224 reception places by 2020 leading to a shortage of 692 reception places (or 23 new forms of entry) over the entire period. • Creating significant Capital and Revenue Financial Pressure Summary of Forecast Deficit of Primary School Places 2011-12 to 2014-15