RED LIGHTS FLASHING ON COUNCIL'S SHOCK OVERSPEND ON CHILDREN'S SERVICES

                            

Cllr Shreeve: 'Labour to  blame'

     

THE latest update on North East Lincolnshire Council's finances has revealed a shock statistic - a  staggering £6.7-million overspend on providing care and other services for children in difficult circumstances.

In a report, director of finance, Sharon Wroot makes a glum confession: "The 2019/20 financial year has proved to be very challenging from a number of perspectives."

The overspend on budget is particularly serious because, despite the cushion of huge Whitehall support, NELC is being financially squeezed by the pressures brought about by the Covid-19 pandemic and lockdown.

Despite the gravity of the near-catastrophic cash crunch on children's services, it was barely discussed at the latest 'virtual'  meeting of the cabinet.

Council leader Cllr Philip Jackson said (without much conviction): "We have an action plan to try to bring the situation back under control."

Meanwhile, portfolio holder for finance and resources, Cllr  Stan Shreeve, pointed the finger of blame at the council's previous Labour administration.

Said he: "I do not wish to politicise the situation, but we inherited a deteriorating position  because of inaction by our predecessors."

Why is providing children's services proving so expensive?

For a start, there are currently no fewer 576 children in "placement" outside their homes.

This has been deemed in their best interests because, for whatever reasons, their parents have been unable - or unwilling -  to cope with the responsibilities.

Some of the placements are  outside North East Lincolnshire, and the costs of transporting the youngsters by taxi have, for many years, been way up in the stratosphere.

Safeguarding legislation also imposes huge financial pressure on local authorities such as NELC.

The list of costs is endless: Foster carer payments, special guardianships, residency orders, agency fostering payments,  children's homes' running costs.

The bills keep rolling in!

Ms Wroot  puts it in a nutshell: "Demand is exceeding resources.

"This is an area of expenditure  very difficult to estimate - this  year is proving to be particularly demanding."

But then comes the depressingly familiar  councilspeak: "Various actions are being taken to bring spend back in line with budget.

"These include a robust and challenging programme of work aimed at responding to the challenges presented by the increased number of referrals into the system.

"This programme is expected to bring costs down over time whilst still ensuring the council is achieving the best outcomes for children."

The Grimsby News says: Running children's services is unbelievably demanding - not just for NELC but for most similar-sized authorities. If anything goes wrong, those responsible invariably get hung out to dry, often with the most savage treatment from the media, both local and national. Within North East Lincolnshire, there are doubtless hundreds of examples of dedication, especially among carers. Even so, on the face of it, NELC's overspend does looks horribly out of control. As a matter of urgency, the authority's administration needs to spell out - in precise detail - how it is meeting and overcoming the challenge of apparent financial drift. This is its responsibility to the council taxpayer.