Rewiring?......or short-circuiting Public Services?

Why we need to ‘switch on’ communities and

the private sector

The 10 LGA ‘Rewiring’ key propositions –

• 1. Give people a meaningful vote on local tax and spending .• 2. Cut red tape: bring local services, decisions together in 1 place.• 3. Merge 6 government departments, create an England Office.• 4. Replace the Barnett formula with needs-based funding model.• 5. Take financial distribution out of ministers' hands.• 6. Strengthen local say: reduce minister power to intervene in LG.• 7. End tick box, bureaucratic inspections: local user champs.• 8. Boost infrastructure investment: municipal bonds.• 9. A multi-year funding settlement tied to the life of a Parliament.• 10. Protect local democracy: protect local government settlement.

Thank you LGA for fighting with a positive vision and change

agenda.

• Relationship with government in bad place.• Negative propaganda dominates, negative spin

– fundamentally, a breakdown in trust, respect.• Perception by residents of little impact of cuts:

the majority view of minority services.• Damage to a generation of LG employees +

talent we need to attract for next generation. – Why would a qualified young person choose a

career in LG?.....and the associated professions. – Who would choose a career in Children’s Services?– Adult Social Care?

Herefordshire: long-term performance challenges and pressures.

• In Children’s Services, Safeguarding ‘Inadequate’.• In Schools, GCSE 5A*-C attainment is lowest

improver nationally over last 5 years.• In Adult Social Care, growth in demand has

accelerated, with significant under-performance.• Economy: average wages £6,000 below national.• Health: County hospital with £9mill pa black

hole.• Social Care Bill – further substantial pressure.

• We are building new business models for each of our re-focussed directorates, to be capable of delivering tough twin track:

–Radically improve performance.–and….

–Manage with 40% less Govt grant (34% of gross).

• We must avoid ‘internalising’.

• We need to transform our local public services, transform our economy – and we have the determined, talented, focussed team to do it.

• Clear political focus, cross-party engagement.

• And…..we lack the funds to get the job done.

• So, we have had to be much more focussed. • And we have had to get out and sell the message.

5-point strategy:»Re-defined priorities:• ASC• CS• Economic Devt.

»Shared Services/Service Support»Integrate with Health»Local communities take on services/

assets»The private sector – uplifted role as

economic driver

The Impact of the cuts

We’ve taken out 18% of net spend.

Today, Children’s + Adults, at £86 mill ……….65% of net spend.

Of the remaining 35%, we need to take out a further 23% (£33 mill).

Integrating with Health: a Journey• Engaging with Health: one of our biggest

challenges.• Starting point: mutual misunderstanding,

different metrics of performance.• By unremitting effort, establishing good joint-

working arrangements, emergent joint-teamwork and pooled budgets.

• Using winter as the testing ground.• Essential: keep close to CEx/senior team.

Engage our Communities• Strength:

•1 in 3 people in Herefordshire volunteers.

• Growing Gaps:•Adults Living Independently•Community Services

• Opportunity:• Engage, convince, transfer, co-

ordinate.

Engage the Private Sector

• Strengthen support for the LEP.• 15 year Economic Master-plan.• Major new link to education and skills.• Build business case for New University.

Status• 2013/14: narrowing over-spend gap by 70%.• 2014/15:–Cross-party engagement in prioritising.–Coalition offered, in consideration.–Draft budget developed, in consultation.

• 2015-17:Medium term financial plan in draft form.• 2015/16 - The Cliff-Edge.

How are you approaching financial sustainability?.......