Council reduces budget overspend

Bradford Council has announced that its projected budget over spend for the current financial budget is to reduce by £6m, from £10.5m to £3.8m but that there will still be “significant  overspends” in two service areas.

The new position has been reported by the council’s finance chiefs in the mid-year finance and performance statement to the council’s executive.

The report said: “Despite the positive direction of travel, the council is still forecast to overspend overall with significant overspends in Health and Wellbeing (£5.4m) and Children’s Services (£4.4m).
“Current performance information identifies that performance in many key areas is improving and remains on target, although there continues to be areas where the district faces significant challenges.”
Coun Susan Hinchcliffe, Bradford Council leader, said: “It has been a huge effort since the last quarter’s figures to reduce this projected overspend down to a more manageable number. Whilst I’m pleased with the results of these efforts, clearly we still have much work to do. Unlike national Government, local Government is not allowed to go into deficit.
“However, the main concern for everyone is the increasing demand for adult and children’s social care resources at the time of drastic Government grant reductions, with the grant disappearing totally by 2020.”