St.Helens Council

Sent to: All Stakeholders Office of the Leader of the Council Town Hall Square St.Helens WA10 1HP

DX 19484 ST.HELENS

Contact: Ian Roberts Tel: (01744) 676104 Fax: (01744) 25592 E-mail: ianroberts@ sthelens.gov.uk

Our Ref: January 2017 Your Ref:

Dear

Consultation on the Council’s Budget Proposals for 2017-20

I am writing to you, as a key stakeholder within the Borough, to seek your views on our proposals for the next three years’ budgets.

The Government continues its reduction in public spending to support its austerity plan, with Councils again being expected to bear a significant proportion of the national reductions.

St. Helens Council has once again experienced significant grant reductions. The grant reductions announced total a further £16m, bringing the overall annual reduction in revenue grants to £90m since 2010-11.

The Council continues to experience significant care demand pressures and other inflationary costs.

The in-year impact of this reduction has been mitigated by additional Local Tax revenues generated from the local growth in the Council’s tax base, both in terms of the number of homes within the Borough and the business base of the Town.

The Government introduced the Care Precept, which it expects Councils to raise and use the funding to support Social Care services. This is an additional 6% increase on Council Tax over the next three years. This is in addition to the general 2% increase before requiring a local referendum. The Council is seeking to phase the Care Precept increase over the three years.

Plans are in place to meet the remaining challenges imposed on the Council by the Government for 2017-20 by further efficiency savings, including savings by changes to how we deliver services, how we purchase services and look to maximise value for money in all areas. However, the scale of the cumulative grant reductions will inevitably lead to service reductions across the whole of the services provided by the Council. www.sthelens.gov.uk H:\Roberts\Correspondence\2017\StakeholderBudgetConsLtrJan17,1 - 2 -

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We are commencing work on the review of services, which will involve specific consultations on options for service reductions.

The Government is intent on the complete localisation of Business Rates to Councils and St. Helens will be an early adopter of this in 2017. However, this is not intended to provide additional net funding increases and other grants will be reduced to reflect the additional retained Business Rates. What this will do is transfer the funding opportunities and risks of economic activity within the Borough wholly to the Council and emphasising further the relationship between Business and the Council.

The detailed report is attached, however I have set out below the key issues contained in the report.

Key Issues affecting the Budget

A reduction of £16m (16%) in Government Grant.

A total reduction in grant since 2010-11 of £90m, which equates to a 74% overall reduction in Central Government support to the Council.

A freeze on general funding for schools.

The removal of Education Services Grant which supports the Local Education Authority functions and responsibilities.

Additional pressures from inflation projections.

A proposed overall 3.99% increase in Council Tax each year to invest in Social Care in line with the Government’s expectations.

If you would like to comment on any aspect of our proposals, could you please ensure they are received by the Council before 10 February 2017.

Yours sincerely,

Deputy Leader of the Council Sent to:

Ms. Sally Yeoman, Chief Executive, Halton & St. Helens Voluntary and Community Action, 4th Floor, Tontine House, 24 Street, St. Helens, WA10 1BD

Ms. Sarah O’Brien, St. Helens Clinical Commissioning Group, St. Helens Chamber Building, Salisbury Street, off Chalon Way, St. Helens, WA10 1FY

Mr. Geoffrey Appleton, Chair, St. Helens Clinical Commissioning Group, St. Helens Chamber Building, Salisbury Street, off Chalon Way, St. Helens, WA10 1FY

Mr. Rob Young, Group Chief Executive, Torus, Helena Central, 4 Corporation Street, St. Helens, WA9 1LD

Ms. Kath Boullen, Chief Executive, St. Helens Chamber Limited, Salisbury Street, off Chalon Way, St. Helens, WA10 1FY

Chief Superintendent Louise Harrison, Area Commander for St. Helens, , St. Helens Police Station, College Street, St. Helens, WA10 1TG

Mr. Simon Barber, Chief Executive, 5 Boroughs Partnership NHS Trust, Hollins House, Hollins Lane, Winwick, Warrington, WA2 8WA

Ms. Ann Marr, Chief Executive, St. Helens & Knowsley Hospitals NHS Trust, Whiston Hospital, Warrington Road, , Merseyside, L35 5DR

Cllr. Dave Hanratty, Chair, Merseyside Fire & Rescue Service, Headquarters, Bridle Road, Bootle, Merseyside, L30 4YD

Fire Service District Manager for St. Helens, Merseyside Fire & Rescue Service, Headquarters, Bridle Road, Bootle, Merseyside, L30 4YD (fao Dan Stephens)

Dr. Jette Burford, Principal, St. Helens College, Town Centre Campus, Water Street, St. Helens, WA10 1PP

Ms. Jane Kennedy, Police and Crime Commissioner for Merseyside, Allerton Police Station, Rose Lane, , L18 6JE

Mr. Tom Hughes, Chair, St. Helens Health Watch, Tontine House, 24 Church Street, St. Helens, WA10 1BD

Reverend Phillip Fell, SHINE, St. Helens Parish Church, Church Square, St. Helens, WA10 1AF