Weekly Newsletter - 17.10.2024

London councils face £600M overspend and Deputy PM launches Mayoral Council

Local Government Updates

Live Event

The Solace Summit 2024 kicks off tomorrow (17th - 18th Oct), focusing on "Enabling the Public Sector to Deliver for Communities in Challenging Times." This event brings together the most influential voices in local government and public services to address the urgent and evolving needs of our communities. 

As part of this crucial conversation, Agilisys is proud to present a panel discussion on how AI is shaping the future of SEND services and the EHCP process. 

🗓️ When: October 17th, 16:00 – 16:50 BST 
👉 Where: 1864 Room, Solace Summit, Manchester  

Join industry experts and discover how Generative AI is helping SEND case workers: 

  • Save valuable time 

  • Enhance EHCP quality and consistency 

  • Clear backlogs efficiently 

  • Achieve better outcomes for children and families. 

Looking to discuss AI-driven solutions for public services? Connect with Darius Toomer at the event or reach out directly.

See you at the Solace Summit 2024! 

Financial News

London councils face severe financial challenges, with a projected overspend of over £600m this year, potentially rising to £700m next year. The crisis is exacerbated by rising homelessness, with 175,000 people in temporary accommodation, and escalating social care costs, leading to a £250m overspend on homelessness and £295m on social care.

Boroughs like Croydon and Lambeth are struggling, with Croydon having previously declared bankruptcy. Councils are implementing cost-saving measures, such as reducing street cleaning and cancelling Christmas lights, but these are insufficient. The government plans to reform funding models, yet immediate action is needed to prevent further financial collapse.

Outer London boroughs, like Bromley and Havering, are particularly vulnerable, with warnings of potential bankruptcy without increased government support. The situation demands urgent attention to ensure the sustainability of local government services.

Government News

The Deputy Prime Minister, Angela Rayner, chaired the inaugural Mayoral Council in Newcastle-upon-Tyne, focusing on devolution. This meeting aimed to shift power from Westminster to local communities, involving regional mayors in the development of the English Devolution White Paper. The paper will outline plans to expand devolution and enhance mayoral powers, crucial for economic growth.

The Council, meeting quarterly, will foster collaboration between central government and mayors, ensuring regional insights shape national policy. Future sessions will include ministers to strengthen these relationships. The meeting precedes the Council of the Nations and Regions in Scotland, where the UK Government seeks to secure long-term investment and boost growth across the UK. The White Paper will advocate for devolution, providing local leaders with necessary tools and accountability.

LinkedIn Live Broadcast

Public services are under growing pressure to modernise and improve outcomes, with only 17% of digital transformation efforts in the UK public sector deemed fully successful.

With over two decades of experience, Andrew Mindenhall has been instrumental in leading Agilisys toward innovation in public service delivery. His focus on customer success and advanced solutions has positioned Agilisys as a trusted partner for organisations striving to optimise operations and implement next-gen AI tools.

Andrew will be speaking at The Great Public Sector Makeover: AI's Answer to Systemic Challenges, where he will share how his team is shaking up the public sector through AI-driven strategies and innovative solutions.

Join Andrew and explore how AI can address deep-rooted challenges in public service delivery.

🗓️ Date: 25th November 2024 (Monday)

Time: 3:00 PM - 3:50 PM BST

Financial News

Welsh councils are grappling with a projected £540m budget shortfall by 2026-27, as reported by the Welsh Local Government Association (WLGA). This financial strain threatens essential services, with councils like Rhondda Cynon Taf, Merthyr Tydfil, and Caerphilly considering cuts to school transport funding. The WLGA urges both the UK and Welsh governments to provide necessary investment to sustain these services.

Neath Port Talbot council faces a bleak financial outlook, with a predicted deficit of nearly £160 per person by 2026-27. Despite previous efficiency measures, the council prioritises vulnerable residents, expanding welfare rights support. The Welsh government acknowledges these challenges, meeting regularly with local authorities to address the financial climate ahead of its draft budget.

Security Policy

The UK government's latest report on the National Security and Investment Act 2021 reveals a decrease in transactions called in for review, despite an increase in notifications. This suggests growing confidence in assessing national security risks. The defence sector remains the most scrutinised, with Chinese investments receiving significant attention. A quarter of called-in transactions were withdrawn, mainly involving Chinese investments in professional and R&D sectors.

Key statistics include 906 notifications, with 41 called in for further scrutiny. The government cleared most within statutory timelines, using additional review periods less frequently. The report highlights the need for accurate notification categorisation to avoid delays. The upcoming industrial strategy may influence the balance between foreign investment and national security.

Education Policy

Proposed changes to transport assistance for post-16 learners with SEND aim to address financial challenges while supporting independence. Key proposals include:

  • Limiting assistance to those living over three miles from their education setting.

  • Offering Independent Travel Training and a free bus pass for those able to travel independently.

  • Introducing a yearly flat-rate Personal Transport Allowance based on distance.

  • Providing council-organised transport for exceptional circumstances.

The changes could save over £800,000 by 2025-26. If approved, they will apply from September 2025. Current recipients will continue under existing policies unless circumstances change. Public consultation influenced these proposals, and the council plans to engage with families and partners to ensure awareness and understanding. Proposals to remove post-19 assistance and introduce charges were not recommended.