West Lothian Council Financial Outlook 2011/12 –

2013/14

Parent Council Briefing

Setting the scene

• WLC operating from a sound financial position, balanced budget agreed for 2010/11

• West Lothian Council is in as strong a position as any other Scottish council

• Council planning for uncertain future and wants to engage with community on options available

Unprecedented Financial Challenges

• Forecast UK overspend £178 bn this year and it is likely to be a slow economic recovery

• Local authorities planning for 12% real terms funding reduction for 2011/12 to 2013/14

• Unprecedented financial position, WLC may face funding gap of £45M over three year period

• Major changes are required and they will affect all services in West Lothian

Revenue Budget 2011/12 to 2013/14

£370M to

spend

£45M budget

cuts

Our Future Strategy

• Proactive and deliver innovative solutions

• Focus reduced resources on core priorities

• Maximise efficiencies, service redesign

• Reduce or discontinue services that are not cost effective or do not contribute to outcomes

• Actively pursue integrated working

Delivering Change

Charges / Subsidies £8.8M

Efficiencies £25.3M

Service Changes £10.9M

Modernisation and Business Change

• Flatter management structures• Flexible working• Enhanced use of technology • Investigating shared services• Increased partnership working• Procurement efficiencies• Building rationalisation• Targeted resources through Life Stages approach

What does it mean.. education

Continue an excellent service, prioritise resources for the most vulnerable and deprived children, but may need to consider:

• Reducing childcare funding to projects

• Replacing some teachers with nursery nurses in classes

• Increasing pupil teacher ratios in primary & secondary schools

• Reducing pupil support worker resources within schools

• Reducing the subsidy for wraparound care

and also consider…

• Phasing the removal of cluster resource funding for schools

• Removing subsidies for school milk, fruit and bread

• Reducing free school transport to the statutory minimum

• Withdrawing non statutory transport for fare paying children

• Charging for instrumental tuition

What will this mean… a primary school?

• Scale of efficiency at school level still to be determined

• For indicative purposes, each £1M reduction to primary budget

– Would equate to £70 per pupil– For a school with roll of 50, £3,500– For school with roll of 200, £14,000– For school with roll of 400, £28,000

What will this mean… a secondary school?

• Scale of efficiency at school level still to be determined

• For indicative purposes, each £1M reduction to the secondary budget

– Would equate to £90 per pupil– For a school with roll of 800, £73,000– For a school with roll of 950, £87,000– For a school with roll of 1,100, £100,000

• Virtual Senior School to be implemented from August 2011

Efficiencies – an example of innovation

Creation of a Virtual Senior School

• Allows resources to be maximised • Involves collaboration with all 11 Secondary School

Head Teachers• Will increase choice for senior school pupils• Protects minority subjects (e.g. Higher Spanish,

Advanced Higher Music, Advanced Higher Chemistry etc.)

• Requires minimum class sizes • Common afternoon timetables enables student travel

Arts, Sports and Communities

May need to consider..

• Reducing the number of community education buildings

• Rationalising service provision at community high schools

• Replacing curricular swimming with swimming vouchers for access to swimming pools

• Increasing charges for arts, sports and community facilities

• Removing subsidies for free swimming

• Reducing youth engagement and diversionary activities

Education in the Future

• Priority is to continue to provide an excellent service in schools

• Continue to prioritise resources for the most vulnerable and deprived children

• Radical service design, but there will be significant challenges ahead