This report is designed to provide assurance that progress is being made towards achievement of the agreed revenue and service delivery targets, and that the reasons for major variances or potential under-performance are understood and are being addressed to the cabinet’s satisfaction. Cabinet is asked to review projected revenue outturn for 2018/19 and consider performance for the first quarter of the year.

The cabinet member finance and corporate services introduced the report. He noted that the focus from this quarter was on the latest budget forecast position and that the commentary in the report was now aligned to the corporate priorities rather than given by directorate.

The following key points were noted from the report:

·         there was a forecast budget overspend which was predominantly due to an increase in residential placements for adults and a net increase in looked after children;

·         pressures were being experienced nationwide and in this context Herefordshire was in a good position, however there was great uncertainty regarding council funding post 2020;

·         55.6% of measures showed a positive shift in performance, two additional measures were proposed regarding housing claims which reflected an area of concern identified in the last end of year report;

·         work was progressing on achieving permanency for a number of looked after children;

·         a key milestone from the corporate delivery plan had been achieved in identifying the preferred route for the Hereford bypass;

·         the Fastershire project had recently won a national prize, recognising the progress made in delivering optimum full fibre provision.

In discussion of the report cabinet members noted that:

·         resurfacing funded by the Challenge Fund grant was progressing, with the final part to be delivered in 2019, this would help secure a benefit to the council’s economy of £143m;

·         the council had used additional funding from revenue reserves to deliver a jet-patcher, with the latest count of pot holes filled standing at over 9,000;

·         refurbishment of Hereford high town was progressing well and would be completed in 2019;

·         improvements continued to the enterprise zone with work having commenced on the cycleway along the straight mile;

·         the project to convert the recently closed Hillside community hospital into a nursing care facility had evolved as options had been identified to increase the number of beds and provide an element of future proofing, this would require additional funding and a decision would be sought on this once the feasibility study had been completed;

·         despite the increase in looked after children all other areas of children’s wellbeing services were spending according to plan;

·         the increase in looked after children was a nation issue but Herefordshire had a traditionally high level so were starting from a high point anyway, the costs of care had also increased as there were fewer placement options;

·         additional funds had been allocated to legal services to support the preparation of court documents for LAC cases, this had reduced the external spend on legal services and there was evidence of better case work due to improved engagement between legal and children’s services;

·         the Fastershire project had been successful in delivering full fibre access but there was a need for innovative solutions to connect hard to reach properties, of which Herefordshire had many, work was progressing on 10 dispersed clusters across the county using a hybrid solution called rural optic;

·         the enterprise zone continued to develop with a host of new buildings under construction or recently completed, a further 26 acres were under negotiation, the Rotherwas link road was now 10 years old and had been a success.

Group leaders were invited to express the views of their group. It was stated that:

·         there was ongoing concern about the costs in children’s wellbeing services;

·         despite successes in improving broadband connections there were areas of the county with very poor mobile phone coverage and the council should lobby for the major telecommunications companies to do more;

·         the target for reduction in the number of looked after children needed review to ensure that it was still appropriate, it was noted that decisions on children needing care would continue to be made on a case by case basis;

·         the strengths based approach from adults social care was welcomed, however it was worrying that the delayed transfer of care was below target;

·         there was a reported increase in the number of staff absent through stress and the council should look at what support was offered to staff.

It was resolved that:

a)    the projected financial outturn and performance for the first three months of 2018/19 were reviewed and cabinet determined any additional actions required to achieve improvement; and

b)    The following measures be added to the corporate delivery plan 2018/19:

·         time taken to process housing benefit change of circumstances; and

·         time taken to process housing benefit new claims.