There’s just over a week to go to take part in KCC’s budget consultation, which closes on 6 September. We are currently developing our budget plans for the next financial year (2024-25) and the consultation is central to that.
At the same time, there are significant financial pressures in year (2023-24). A report to our Cabinet meeting on 17 August set out a projected overspend (before any corective management action) of £43.7m. The main pressures are to be seen in adult social care (including the effects of hospital discharge on demand for costly short term beds), SEND transport and the rising cost of placements in children’s services. Management action - notably in adult social care and financing costs - narrows the projected gap by £17m, but there is still a lot to be done.
By a further Cabinet meeting (5 October) further detailed measures to close the in year gap will be brought forward, along with a longer-term plan (Securing Kent’s Future) to address the underlying pressures. Many if not all of these pressures are to be found across much of local government, which is reflected in the increasing number of councils reporting severe financial distress. We are therefore both analysing which areas of pressure are distinct to Kent, and what actions we need to take; the pressure to act is the more intense because our historic levels of reserves are at the lower end of the range for County Councils.
The Cabinet report, which sets out in some detail the budget pressures and our response, can be found here .
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