By 2028, Salford council could face a reoccurring budget gap of around £19m.
This is due to ‘significant and sustained financial pressure’. Particularly, because of increased demands for adult social care, children’s and SEND services.
The Medium-Term Financial Plan sets out methods of combatting rising costs. This includes investing in ICT systems to make council operations more efficient and bringing adult social care back into the council’s control; this is called project UNITY.
The plan also sets out issue by issue how costs will be mitigated. For example, pressures in Children’s services will be eased through ‘early intervention’. The use of AI is also cited as a way to ‘speed up and simplify’ processes.
However the plan explains that the ‘financial outlook for local government remains uncertain’.
The plan states that: “many councils facing significant challenges in balancing their budgets due to fluctuating funding levels and increasing demand for services.”
Salford City Council must address rising costs in social care, homelessness prevention, and support for vulnerable residents”.
Salford Mayor Paul Dennett said that the use of reserves were needed to repatriate adult social care back into council control.
He said that he wasn’t convinced of the efficacy or the outcomes of current integrated adult care systems.
Conservative Councillor, Bob Clarke said in the budget meeting that this year’s budget stability was relying on ‘‘disproportionate short-term measures’ in the form of reserves.
Reserves are savings the council use to mitigate financial pressures.
Cllr Bob Clarke said: “‘We recognise the work that has been done but we believe it is important that we are open about the financial pressures still to come.
“Residents expect prudence, transparency and forward planning”.
There will also be a council tax increase of 4.99%, in order to raise funds.
The council has branded the budget outlined today as a ‘no-cuts’ budget, which will invest significantly in services that support vulnerable adults and children.
The budget was approved by the council today.
Main image credit: Salford city council.