1. Financial Context for City Council Keith Darragh – Assistant Director (Resources)

2. Budget Cycle – Planning to Settlement Continuous monitoring of demand, expenditure and resources available. City Council formal business planning and budget cycle –Timescale is October 10 – March 11 –Headlines on funding announced in Spending Review October 20 th –Detailed Local Government Settlement – first week December –Consultation and clarification on funding resources available between Local Authorities and Central Government – December / January –Budget Options evaluated by early February –Budget set end of February through Council We are here

3. Spending Review - Headlines Cuts in funding affecting vast majority of Government over the next 4 years –a 28% cut to local government funding –a 20% cut to police funding –a 25% cut to fire funding An additional £1bn of adult social care grant by 2014/15 (cost of Adult Social Care nationally £15Bn) Context of loss of funding to Local Authorities of approx £6.5Bn

4. Managing Salford’s Budget for Adult Social Care In the last 9 years we have contained expenditure within budget resources for Adult Social Care This has been achieved by –Managing demand – Prevention and Re-enablement, supporting people in the community for as long as possible, developing services with Salford NHS around crisis response and intermediate care –Managing costs – placement costs, fee structures, developing more economic local services

5. Managing Budget Reductions Salford has proactively managed budget reductions through negotiations and tenders These apply to a range of services over the last 3 years including Efficiency savings –Learning Disability Supported Accommodation £400k on £4.9m spend - 8.9%

6. Managing Budget Reductions Efficiencies Continued –Community Support Services £130k on £1.7m spend – 7.7% –Supported Employment £20k on £284k spend – 7% –Home care tender summer 2010 £210k on £7.5m spend– 2.8% De-commissioning and Reshaping Services –Practical Domestic Tasks Contract £120k – 100% –Older Persons Day Centre £100k on £1.3m spend – 7.7%

7. Managing Budget Reductions Current Negotiations –Mental Health Supported Accommodation Negotiating Efficiencies (price) / Reshaping services –Out of Borough Placements Negotiating Efficiencies (Price) Tenders plan leading to efficiencies in 2011/12 –Extra Care Sheltered Housing –Physical Disability Supported Accommodation

8. Managing Salford’s Budget for Residential and Nursing Care Total expenditure on Adult Social Care £95m Residential and Nursing Care £28m – 29% of total spend Need to consider –How to reduce our £28m expenditure –Meet statutory requirements –Meet need appropriately

9. Summary Funding will be tight for the foreseeable future Spending review is taking out approx £6.5Bn of funding from Local Authorities and adding back £1Bn for Adult Social Care Adult Social Care costs approx £15Bn nationally and is interwoven with Council funding – therefore £1Bn is helpful but it is not the whole answer

10. Summary Need to reduce expenditure for services to be affordable. Efficiencies, De-commisioning and Service reshaping How do we together keep residential and nursing home services meeting need, delivering on quality, operating to standards and affordable

11. Discussion Groups and Actions.

12. Discussion Groups - Actions Q How do we reduce our overall Residential and Nursing Home expenditure from £28m ? QHow do we move forward from today to jointly work on solutions ?