Uncontrollable Social Services Overspend

8.13.00pm GMT Tue 22nd Feb 2005

Councillor David Bellotti, Chair of the Liberal Democrat Budget Group, said in the Council's Budget debate that two Conservative Members of the Council Executive could have done a better job.

Councillor Bellotti said; "The Executive Member for Resources failed to make representation to the Actuaries of our Pension Fund to spread the phasing of the pension increases beyond more than three years. This failure was despite the fact that the possibility of phasing up to 6 years was specifically mentioned by the Actuary. Not only did the Member fail to make representations on our behalf last summer but failed again when the Actuary reported their indications of cost.

There was an opportunity for the Executive Member to put forward our special circumstances and he failed to do so. Even the ODPM wrote to our Council with the possibility of phasing up to six years and the Executive Member didn't respond. The council tax payer will now pay the price because the Executive Member took the decision last September and didn't consult any of us.

It was highlighted to Council how the Executive Member for Resources told Members during the budget formulation that there would be no unallocated sums this year. However, instead of passing the benefit of an unallocated quarter of a million pounds to reduce council tax he proceeded to allocate it without consultation. £100,000 of that money is now being allocated to Revenue and Benefits, which is under his portfolio. This did not even figure in the draft budget which went to the last meeting of the Budget Working Group. This quarter of a million pounds now falls upon the council tax payer to pick up.

Cllr Bellotti argued; "The Executive Member for Social Services has presided over a massive overspend in her budget this year which amounts to over £1.4M on Care in the Community Placements alone. We have paid on average £20 to £30 per week more than was in her budget - every week for every residential placement. On top of that we have failed to meet the Mental Health budget by £160,000 this year.

"The Executive Member's response is to come cap in hand to this Council to not only tell us she cannot manage the Social Services Department within budget but will need a massive 11.3% increase this coming year. All we get are excuses."

The comparison of the Council's social services with other councils provides a worrying assessment. In neighbouring Wiltshire they are performing much better despite the same pressures. Our Social Services budget this year was £37M and will overspent by at least £1.4M whilst in Wiltshire their budget was bigger at £68M and they overspent by only £450,000. The Executive member has some very serious questions to ask herself about her performance and that of the Social Services Department. In the meantime it is the Council Tax payer who yet again is bailing her out.

Cllr Bellotti reminded the Council and the public that "Residents of Bath and North East Somerset should be warned that Conservative Councillors can do positive damage to their pockets."