The Executive, Resources and Contracts Policy Development and Scrutiny Committee of Bromley Council met on Tuesday 16 January 2024 to discuss the draft budget for 2024/25, the outcome of an Ofsted inspection of Children's Services, and various contract monitoring reports. Key decisions included the approval of the initial draft budget, with amendments to the proposed Transformation Fund and the London Boroughs Grant Committee contribution, and the recommendation to note the outstanding Ofsted report findings.

Draft Budget 2024/25 and Council's Financial Strategy

The committee reviewed the draft budget for 2024/25 and the Council's financial strategy, noting the challenges posed by the Provisional Local Government Finance Settlement 2024/25, which was a one-year settlement. Concerns were raised about the delay in the Fair Funding Review and business rates devolution, and the ongoing Dedicated Schools Grant funding deficits.

The committee recommended that the Executive approve the initial draft 2024/25 Budget and refer it to the relevant PDS Committees for consideration. They also recommended noting the financial projections for 2025/26 to 2027/28 and the remaining budget gap of an estimated £38.7m per annum by 2027/28.

A key amendment was made to recommendation 2.1.9, which would now state: Not agree the proposed contribution of £247,872 to the London Boroughs Grant Committee. This was supported by the committee.

Members expressed concerns regarding recommendation 2.1.5, which proposed a one-off Transformation Fund of £1m to resource the next phase of the Transformation Programme. To address these concerns, the recommendation was amended to include a requirement for full details of any proposals to be presented to the Executive, Resources and Contracts PDS Committee for detailed scrutiny prior to any decisions relating to spend being taken.

Councillor Simon Jeal proposed an amendment to recommendation 2.1.6 to Agree to increase rent levels for London Affordable Rents and Social (Formula) Rents by 3.85% from April 2024. This amendment was lost. The committee ultimately recommended agreeing to increase rent levels for London Affordable Rents and Social (Formula) Rents by 7.7% from April 2024.

The committee also recommended noting the outcome of the Provisional Local Government Financial Settlement 2024/25 and that any final decision by the Executive on recommended Council Tax and Adult Social Care Precept levels to Council would normally be undertaken at the next meeting of the Executive.

Outcome of Ofsted Inspection of Children's Services

The committee received a report detailing the outcome of an Ofsted inspection of children's social care services in Bromley. The inspection team awarded Outstanding judgments across all areas, including the impact of leaders on social work practice, the experiences and progress of children needing help and protection, children in care, and care leavers, as well as the overall effectiveness of children's services.

Councillor Kira Gabbert, in her capacity as Chairman of the Children, Education and Families PDS Committee, congratulated all involved. The committee extended its gratitude to the Council's Senior Leadership Team, the Portfolio Holder for Children, Education and Families, and all officers involved. The committee recognised the challenge of maintaining these outstanding services.

The committee recommended that the Executive note the findings of the Ofsted report and the outlined plan to address the recommendations identified in the report.

Academy Information System and Aspien Corporate Debt Management System Software Licence and Maintenance Arrangements

The committee considered the report on the IT systems used for Exchequer Services, specifically the Academy Information System (now known as Capita One Revenues & Benefits) and the Aspien Corporate Debt Management System. The review of these systems had been delayed due to the pandemic.

A report from Liberata recommended migrating to the NEC Revenues & Benefits system with transition costs of £1.52 million. However, discussions with Liberata regarding the system review were ongoing.

The committee resolved to recommend that the Executive approve the renewal of the agreement for the Academy Information system until 31st March 2027 at an estimated annual cost of £182k (£546k over 3 years). They also recommended approving the renewal of the agreement for the Aspien Corporate Debt Management System until 31st January 2027 at an annual cost of £9.9k (£30k over 3 years).

Scrutiny of the Portfolio Holder for Resources, Commissioning and Contracts Management

Councillor Christopher Marlow, Portfolio Holder for Resources, Commissioning and Contracts Management, attended the meeting to respond to questions. He provided an update on his portfolio, highlighting the ongoing financial challenges and the need for structural changes to ensure balanced budgets. He noted that while inflation had fallen, it had adversely affected the Council's financial position.

Councillor Marlow also discussed the potential introduction of a Council Tax premium on furnished homes not used as a sole or main residence, as permitted by the Levelling Up and Regeneration Act 2023. A report on this matter was expected to be brought to the Executive by March 2024.

Revenues Service Monitoring Report

The committee reviewed the performance of the Revenues Services provided by Liberata for the period 1 April to 30 November 2023. The report indicated a decrease in the in-year collection rate for Council Tax compared to the previous year, attributed to economic pressures, arrears accrued during the pandemic, changes to the Council Tax Support scheme, and increased Empty Home Premiums.

Liberata was introducing new measures to improve collection, including a focus on achievable debt cases, the use of an automated messaging service (Voicescape), and a specialist inspection team.

The committee resolved to recommend that the Portfolio Holder agree a temporary revision to the Council Tax Arrears Incentive Scheme for years 2024/25 and 2025/26, with a review at the beginning of 2026/27.

Benefits Service Monitoring Report

This report provided information on the performance of the Benefits Service provided by Liberata for the period 1 April to 30 November 2023. The report noted an increase in processing times for new claims and changes in circumstances, primarily due to staff turnover and the need for training new team members. However, performance was improving, and it was expected that contractual obligations would be met by the end of the year.

The committee resolved to note the report.

Exchequer Service Contract Performance Report

The committee received an update on Liberata's performance in providing Exchequer Services for the period 1 April 2023 to 30 November 2023. The report detailed performance in areas such as Sundry Debtors, Mortgages & Corporate Debt, Accounts Payable, Financial Assessment and Charging, and Appointee and Deputyship.

While the unadjusted collection rate for in-year debt was 66.74%, the adjusted rate, excluding certain unrecoverable debts, was 89.29%. The report also highlighted improvements in the Accounts Payable team's performance, with 98% of undisputed invoices paid within 30 days.

The committee resolved to note the report and the action taken to address any performance issues.

Customer Services Contract Monitoring Report

This report provided information on the performance of the Customer Service Contract provided by Liberata for the period 1 May 2023 to 30 November 2023. The Corporate Contact Centre generally performed well, meeting the target for calls answered within 60 seconds, although there were a few days where the service level dipped below 40%. The introduction of a VoiceBot to manage customer enquiries and provide signposting information was noted as a positive development.

The website team achieved 100% against all targets for updating web content. However, the Blue Badge and Discretionary Freedom Pass service underperformed due to a rise in applications and increased administrative work. A performance improvement plan was in place, and additional resources had been secured to address the backlog.

The committee resolved to note and comment on the information contained within the report.