Agenda item

Presentation by Chief Financial Officer followed by a facilitated discussion.

3.1       The Chairman welcomed David Robertson, SBC Chief Financial Officer, who gave a presentation on the Scottish Borders Council Budget for 2019/2024.   The 5 year plan 2013/14 to 2017/18 had delivered permanent recurrent savings of over £35m and further in year savings of £8.8m.  The existing planned savings in 2019/20 included contract efficiencies, energy efficiency measures, procurement savings and service reviews e.g. day services, waste and teacher allocations.  The easy reductions had already been made and future savings would rely on greater use of technology to reduce costs and redesign services.  The Council could not continue to deliver everything they did now in the same way and might need to reduce the scope and scale of service delivery.  2019/20 was the second year of the 5 year plan agreed in 2018/19 which required savings of £32m to balance the books.  The Council had planned for reductions over the longer term, invested in transformation, and avoided the need for the levels of cuts seen elsewhere but there was lots still to do with greater challenges ahead.  The Council had to remain financially sustainable and over the next 5 years it was estimated that £21m would need to be saved from the current forecasted spend of £1.3 billion.  Meeting this challenge was not about making cuts but about investments for the future delivery of services and required forward thinking, innovative and focus on delivering an ambitious change programme.  The Council also had a 10 year capital allocation of £294m. There were a number of challenges facing the Council.  There was less money to fund public services and income was not keeping pace with real increases in prices and meanwhile demands on services were growing – e.g. increasing numbers of older people - with the population over the age of 75 in the Borders at a higher percentage than in the rest of Scotland.  The infrastructure of the region required significant investment.  There were still significant pockets of deprivation across the region and hidden poverty in communities and the Council needed to increase opportunity and reduce inequality for all in the Borders.  Mr Robertson outlined where the Council’s funding came from and how it was allocated across Council services in terms of both capital and revenue.  In order to modernise, the Council needed to make significant savings in what the Council bought; invest in new digital technology to reduce costs; ensure that assets were used as efficiently as possible; ensure that the Council had a capable, motivated workforce that adopted new ways of working and that was flexible enough to deliver savings when and where they were required 7 days a week, 365 days a year; invest in prevention strategies; grow the economy of the Borders; and support all people to live well.  Over the next five years the Council planned to implement the following:-

·           Design and deliver as many Council services online as possible to maximise the use of digital technology and build the digital skills of Borders communities and staff;

·           Develop customer advice and support;

·           Drive out waste and inefficiency, cutting red tape and providing better value for money;

·           Explore different models of service delivery;

·           Reduce the amount of property the Council owned and operated;

·           Invest in the roads infrastructure in a planned, sustainable way; and

·           Redesign waste services

Mr Robertson also outlined the plans to support the aims of independent achieving people, a thriving economy with opportunities for everyone, to promote future employment opportunities and empowered vibrant communities.  He concluded by outlining the ways to provide feedback into the budget process, either online to https://scotborders.dialogue-app.com by email to budgetteam@scotborders.gov.uk, on social media #bordersbudget  or by post or telephone.

3.2       A number of questions were asked and Mr David Robertson provided appriopriate responses:

·           Reopening Reston Station – it was confirmed that the Council was fully committed to this with funding contained within the capital programme

·           Statutory Services – the Council targeted non-statutory services and while there was clarity on what was a statutory function the level of provision could vary; the fundamental aim was to protect core services

·           Community Council Funding – a request was made for an increase in this funding which may not be possible

·           Distribution of the Budget to Berwickshire – the Council needed to ensure it was investing in all areas of the Borders but also had to prioritise where there was greatest need while at the same time having finite resources; not all projects could be undertaken at the same time. Investments in new primary and high schools had been made in Berwickshire with 50 new extra care housing and plans around Eyemouth town centre regeneration – with people to get involved in the Borderlands Initiative. 

·           Broadband – reference was made to a recent review by the Audit and Scrutiny Committee of the Digital Scotland Superfast Broadband Programme and Councillor Rowley gave an explanation of how this report would be used for future broadband infrastructure projects.

MEMBERS

Councillors Laing and Hamilton joined the meeting during consideration of the above item.

3.3       Following the presentation, officers joined Elected Members, partners and the public at their tables for a discussion on the budget and spending priorities.  Sheets with additional information on Council services and a short series of questions had been provided on the tables to aid the debate.  A summary of the output of the discussion is provided as an Appendix to this Minute.  The Chairman thanked Mr Robertson for attending the meeting.