SOARING running costs means an additional £1.8 million could be needed to continue running Reading’s children’s services.
At the moment, the council’s company, Brighter Futures for Children (BFfC) spends nearly £48 million per financial year on a range of services, including social care, early years assistance, educational services, supporting those with special educational needs and disabilities and providing school transport.
But costs are rising above expectations.
In February, BFfC was allocated £47,751,000 in the council’s Medium Term Financial Strategy 2022/23 to 2024/25. But is now forecasts net budget pressures of £1.761 million.
This includes £500,000 for pay inflation, £490,000 for transport due to fuel price inflation, £393,000 due to demand on Children’s Social Care, and £384,000 for the use of agency staff.
Although the total budget pressures are actually calculated at £2.161m, that is offset by £550,000 in savings and £400,000 of funding from the government’s Unaccompanied Asylum Seeking Children Grant.
Concerns about the mounting costs of children’s services were raised by Cllr Doug Creswell (Green, Katesgrove) who, at a meeting of the adult social care, children’s services and education committee on Wednesday, October 19, asked for an update on the financial status of BFfC and what the implications would be on services.
His question was answered by Cllr Graeme Hoskin, lead councillor for children, and Labour member for Norcot ward.
“Most of our children’s services relates to children looked after and social work and is an area under financial pressure due to our demographics, demand on services and difficulties in recruiting permanent social workers,” he said.
“In addition, high fuel costs and increasing demand for Home to School Transport is also an area of ongoing pressure.
“The Company is working tirelessly to manage these pressures.
“What this means is that Reading’s Children’s services are not insulated by the huge difficulties facing upper tier councils in England to fund services in the face of underfunding from 12 years of Conservative governments.”
He continued: “This situation is becoming more urgent as a result of the inflationary and demographic pressures mentioned above.
“There are wholly inadequate levels of funding available for Children’s Services in England and in Reading.
“We will work tirelessly to deliver the best possible services with the funding we have and work to deliver the best possible budget for the council in February.
“What is really required is the removal of our failing government – this feels like an understatement – through a general election now.”
Cllr Hoskin also quoted the president of the Association of Directors of Children’s Services, who stated: “The idea that further efficiency savings can be made is both fanciful and deeply worrying.”