Report by Chief Finance Officer.
3
The Chief Finance Officer submitted a report relative to the revenue budget position at 30 November 2018 and the projected year-end position for the year ended 31 March 2019, as detailed in appendices 1 and 2 to the report.
The overall revenue position for the HSCP for the year-to-date and projected outturn for 2018/19 was an underspend as detailed in the report, prior to the transfer of balances to General Reserves at the financial year-end.
The key pressures were highlighted in section 4 of the report. Appendix 3 to the report detailed the adult social care budget projected year-end position as at 31 March 2019; Appendix 4 to the report detailed the health revenue budget position as at 30 November 2018; Appendix 5 to the report detailed the health revenue budget position as at 31 March 2019; Appendix 6 to the report detailed the 2018/19 adult social care financial allocation to the HSCP; Appendix 7 to the report detailed the 2018/19 health financial allocation to the HSCP and Appendix 8 to the report detailed the projected movement in reserves.
The report provided information on the set-aside budget; reserves; financial planning 2019/20 and the Living Wage increase for 2018/19.
A copy of the letter dated 12 December 2018 from the Director of Health Finance, Corporate Governance and Value, Scottish Government, to all NHS Chairs, NHS Directors of Finance and Integration Authority Chief Officers, providing details of the funding settlement for Health Boards, which included IJBs, formed Appendix 9 to the report. It was noted that included within the funding settlement for Health and Social Care Integration was an allocation of additional funding to IJBs. The letter specifically stated that in 2019/20 NHS payments to Integration Authorities for delegated health functions must deliver a real-terms uplift in baseline funding, before provision of funding for pay awards, over 2018/19 cash levels; and in addition to this, and separate from the Board funding uplift, would be two elements of funding for Social Care: £120 million would be transferred from the Health Portfolio to local authorities in-year for investment in integration, including delivery of the Living Wage and uprating free personal care, and school counselling services; and £40 million had been included directly in the Local Government settlement to support the continued implementation of the Carers (Scotland) Act 2016 and extending free personal care to under 65s, as set out in the Programme for Government.
This funding was to be additional to each council’s 2018/19 recurrent spending on social care and was not substitutional, which meant that, when taken together, local authorities social care budgets for allocation to Integration Authorities, plus those retained for non-delegated social care functions, and funding for school counselling services must be £160 million greater than 2018/19 recurring budgets.
A copy of the letter dated 12 December 2018 from the Cabinet Secretary for Finance, Economy and Fair Work, Scottish Government, to Leaders of Scottish local authorities, setting out the Scottish Government’s draft spending and tax plans for 2019/20 formed Appendix 10 to the report. Within this letter, the Cabinet Secretary confirmed that, in return for their 2019/20 settlement, local authorities would be expected to deliver certain specific commitments, including the commitment that the allocation to Integration Authorities must be £160 million greater than 2018/19 recurrent budgets. The allocation of this additional funding to the IJB would form part of the overall adult social care resource assessment currently being discussed with, and subject to agreement with, Renfrewshire Council as part of their 2019/20 budget setting process.
DECIDED:
(a) That the current in-year position as at 30 November 2018 be noted;
(b) That the projected year-end position for 2018/19 be noted; and
(c) That the current position as regards the 2019/20 draft Scottish Budget be noted.