Aberdeen City Council 2008

Staff Budget Briefing

Summerhill Centre, Aberdeen

13 November 2008

Aberdeen City Council 2008

Purpose

• To provide an overview of the council’s current financial position and the key issues associated with the 2009/10 budget

• To provide an overview of proposals for Learning

Aberdeen City Council 2008

Proposed Timetable

25/11/08 Resources Management Committee - package to December Council

17/12/08 Council to agree package for early implementation

05/02/09 Resources Management Committee - final budget and council tax recommendations

12/02/09 Full Council to agree all remaining budget items and council tax

Aberdeen City Council 2008

• Projected to achieve at least £35m of savings

• Overall projected shortfall of £9.5million– To be financed through capital fund

• Areas of likely overspend– Health & Social Care– Education, Culture & Sport– Property Maintenance

Current Financial Position

Aberdeen City Council 2008

Forecast Spend 09/10

• Need for greater realism and accuracy

• More time to plan and implement savings

• Better understanding of impact of savings

Aberdeen City Council 2008

Council Finances 2009/10

Initial Forecast Expenditure £459.3m

Anticipated Resources £434.3m

Forecast Shortfall £25m

Aberdeen City Council 2008

Action Required To Balance Budget

• 6% savings across all services - £30m• Choices across services• Choice on council tax but ….• Early implementation• Realistic• Efficiency savings first• Impact is inevitable on public/services/

performance and staff • £60m total savings over two years

Aberdeen City Council 2008

Savings Assessed Across Services Not Areas

6% = £30 million

• £1.3m - Housing

• £11.3m - Learning, Culture & Sport

• £4.5m - Environment & Infrastructure

• £8.6m - Social work

• £4.3m - Central Services

Aberdeen City Council 2008

(i) Technical Exercise

– 6% - what/how

to put options/choices on the table

(ii) Political decisions

Two streams of decision making

Aberdeen City Council 2008

Culture & Learning Implications

6%

£,000s

(i) Learning 9.749m

(ii) Sports 0.467m

(iii) Culture, Heritage & Communities 1.115m

6% saving level on gross budget

11.332m

Aberdeen City Council 2008

Learning

£,000s

6% = 9749

Options = 5885

Other Options = up to 4466(not recommended)

Aberdeen City Council 2008

Cost of pre-primary education per pupil (from 2008-09

Cipfa estimate)

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Aberdeen City Council 2008

Net expenditure on primary education per pupil

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Aberdeen City Council 2008

Net spend per secondary pupil (from 2008-09

Cipfa estimate)

34567

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Aberdeen City Council 2008

Aberdeen City Council 2008

Cost of education per pupil(2008/09 Cipfa estimate)

Pre-Primary Primary SecondaryAberdeen 27th 30th 30th

Aberdeen City Council 2008

£,000s FTE

L1 School Roll Reductions 267 10L2 School Transport 160 10L3 Pre-School Nursery - restrictive 73 net nilL4 Facilities 700 ?

Aberdeen City Council 2008

£,000s FTE

L5 Efficiency – new/combined schools 180 5L6 Central Support Staff (10%) 200 6+L7 School Estate nilL8 Out of Authority Placements 1100

Aberdeen City Council 2008

£,000s FTE

L9 Special Schools (2% efficiency) 86 1+L10 ASN (2% efficiency) 402 2L11 Education Support Provision (6%) 313 ?

Aberdeen City Council 2008

£,000s FTE

L12 Review of Breakfast Provision 600L13 Review of Additional PE Teachers 304L14 Reconfigure School Week nilL15 Pupil Support Assistants 1500 125L16 Teaching Staff nil

Aberdeen City Council 2008

£,000s

L17 School Estate Strategy 450L18 Reductions from Non-Statutory 2916

Education ServicesL19 Reduction in Teaching Staff across 1100

Primary and Secondary Schools

Additional Savings Options 09-10(not recommended)