Council’s Social Work Budget Heading For £8.4m Overspend

Social Work spending in Fife is heading for an £8.4 million overspend by the end of the financial year before any cost-saving steps are taken, despite the budget for 2007/8 being boosted by £11.5 million.

That was the grim news given to members of the social work and health committee this week, when they were told that even if containment measures estimated at £4.6 million work, the budget will still be £3.8 million in the red.

The shock figures have been given in a detailed report by social work head Stephen Moore and his finance and resources counterpart, Brian Lawrie, who said increases in anticipated child, family and adult placements are largely to blame.

Last year, the budget was overspent to the tune of £6.6 million largely due to measures outwith the service’s control and in their assessment of situation this year, the report authors stated, “The 2007/8 projected out-turn reflects an increasing volume of client need and rising expectations of users.

“The current level of commitments in response to client need is in excess of that budgeted for, even after allowing for the additional funding of £11.5 million provided by the council in light of the volume of client need experienced in 2006/7.”

The two executive directors said that in order for the containment measures to deliver the financial savings, it is essential that the action plan which has been developed is implemented timeously. And they warn, “In the event the options identified do not generate the estimated level of savings, the service will require to identify further measures.”

A projected overspend of more than £2.8 million adult placements is forecast due to 90 more being required than the 595 budgeted for.

“It is evident the service faces an ongoing pressure in respect of adult placements, arising from the impact of growing numbers of people with learning disabilities in conjunction with the requirement to support such individuals in the communities of Fife,” stated the report, adding that not only are people in this category living longer, but that an increase in population would also mean an increase of people with learning disabilities.

The rise in demand for family placements for children is the result of increased demand arising from alcohol and substance misuse. This has seen the 435 placements budgeted for soar to an anticipated 686, leading to an overspend of £1.7 million in this sector.

And the projected overspend in child placements is estimated at £1.5 million due to the number of children whose residential or foster care is purchased from voluntary or private providers.

“It should be noted that this is a volatile budget and the projection is based on a reasonable estimate of future demand,” said Moore and Lawrie.

Savings measures include reviewing adult placements (£1 million); returning up to 20 young people accommodated in residential schools to their homes or foster carers in Fife (£750,000); and reviewing home care (£600,000).

Committee chairman Tim Brett said, “It’s quite clear that there is an increasing demand from people needing a social work service. This is not just happening in Fife but across Scotland.

“Social work are doing everything they can to make savings without jeopardising frontline services, but councillors need to agree what the priorities are. As the 21st Social Work Review has concluded, the current approach to the delivery of social work services in Scotland is unsustainable.”