Welcome to the CIPFA Social Services Panel new e-newsletter.

The Panel is committed to providing quality events, publications, services and invaluable insights into the challenges facing CIPFA members in Social Services Finance. This newsletter is a summary of current developments at CIPFA and in Social Services Finance and it is hoped that it will be of interest to all finance professionals working in the sector.

If you have any comments or suggestions regarding future editions please submit your comments at www.cipfa.org.uk/panels/social_services/feedback.cfm.

Read the text-only version of this e-newsletter here.

CIPFA NEWS

CONFERENCES/SEMINARS

The following events have been planned for 2005:

The CIPFA Social Services Finance Conference – 23 & 24 June 2005 – Bristol Royal Marriott Hotel

This year has seen the start of a series of fundamental structural changes to the way social services are organised and delivered.

The conference offers a unique opportunity to focus on the financial consequences of changes to key activities such as children’s' services, adult services and Supporting People, while also examining current trends in funding, commissioning and budgeting.
Partnerships, financial management and the inspection and regulatory regime will also feature, as will an extensive range of breakout options, offering practical guidance and case-study opportunities.

Chaired by Richard Harbord, the CIPFA Social Services Finance Conference is a must-attend event for all social services finance managers and accountants.

Please visit the CIPFA shop for further details of the event or contact Alexandra Aarons, CIPFA, 3 Robert Street, London, WC2N 6RL (tel 020 7543 5751; e-mail alexandra.aarons@cipfa.org).

FINANCIAL MANAGEMENT

Strong and effective financial management is key to well-managed and sustainable public services.

The CIPFA Financial Management Model (FM Model) is a web-based self-assessment tool that examines financial management in the public services. It tests how an organisation measures up against 42 good practice statements and places that organisation into a spectrum of three 'styles'- Enabling Transformation, Supporting Performance and Securing Stewardship - to build a picture of how finances are working and identify areas for improvement. A key feature is the ability to survey opinion throughout the organisation.

The FM Model sits on a secure website that lets users score and evidence the good practice statements, revisit, collate and report on their scores and target questions at key people to test views and opinions. It offers organisations the opportunity to:

• Manage strategic risk through self-assessment;
• Identify strengths and areas for improvement;
• Prioritise improvement;
• Be better prepared for inspections and audit;
• Review and track its progress over time;
• Benchmark performance against other comparable organisations

For more information visit www.cipfa.org.uk.

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PUBLIC MANAGEMENT & POLICY ASSOCIATION (PMPA)

The Public Management and Policy Association (PMPA) is a national membership organisation, managed by CIPFA, dedicated to helping managers, policy makers and academics keep in touch with and understand the wider cross-cutting developments in public policy making that affect the governance, general and financial management of the public services. In addition to excellent networking and personal development opportunities across the public services, the benefits package includes:

• Priority booking for PMPA lectures
• Subscription to Public Money and Management
• Up to three PMPA reports each year
• The PMPA quarterly review

PMPA lectures in 2005 include:

• Are We Being Served Appropriately? Citizens, Clients and Customers as Service Beneficiaries: Andrew Gray. 18 October 2005.

Full details are available on the Association’s website www.pmpa.co.uk or email info.pmpa@cipfa.org asking for an information pack and sample publications.

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PUBLICATIONS

Financial implications of Delayed Discharges in Local Government

The Panel has commissioned guidance on this topical subject, which it plans to publish in May.

The guidance will examine financial and policy issues and financial mechanisms for promoting good practice with a number of case studies.

Public Money and Managment (PMM)

Public Money & Management is owned and managed by CIPFA, and is the official journal of the Public Management and Policy Association, which is published on behalf of CIPFA by Blackwell Publishing.

Public Money & Management has a multidisciplinary and international audience. It publishes articles which contribute new knowledge as a basis for policy or management improvements, or which reflect on evidence from public service management and finance in order to suggest topics for research. Readers include: officials in all types of public service organizations; academics; consultants and advisers working with the public services; politicians; journalists; and students on both academic and professional courses.

In response to a steady rise in sales and submissions, Public Money & Management increased its frequency in 2004 from quarterly to five issues per year. The number of pages in the volume was also increased: from 256 pp. a year to 320 pp. Issues in 2005 will be published in January, April, June, August, and October. Articles for consideration by the editors should be sent to micky@mickylavender.com.

Public Money & Management has a strong reputation: citations have increased steadily in the UK and abroad and its articles were prominent in submissions by academics to the Research Assessment Exercise of 2001. Blackwell Publishing's recent survey of readers has also strongly endorsed Public Money & Management's position as a bridge of academic and practitioner interests.

For further information on PMM and details on how to subscribe, please see www.cipfa.org.uk/pt/pmm.cfm.

Spectrum

The March issue of Spectrum includes two contributions from the United States – one reviewing the US accounting standards setting scene and the other drawing on US local government’s experience of encouraging citizen participation in the finance and budgeting process.

The issue can be downloaded at www.cipfa.org.uk/pt/download/spectrum_issue08.pdf (PDF size: 147KB)

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TIS PERSONAL SOCIAL SERVICES

If you are interested in contributing, please contact Sarah Ellison, on 020 7340 1203 or sarah.ellison@ipf.co.uk.

OTHER NEWS

ENGLAND

ACCESS AND SYSTEMS CAPACITY GRANT

LAC (2005)1, published in February, highlights the arrangements for payment the Access and Systems Capacity Grant 2005/06. In 2005/06 the Access grant allocations total £584 million, which includes an extra £100 million for 2005/06 only.

For more details visit www.dh.gov.uk.

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ADULT SOCIAL CARE

A Green Paper to consult on a new vision for the future of social care for adults in England was published in March. It sets out ways to transform the lives of people who use social care by giving them more control and more choices on how their needs are met. This can be done by re-designing services, developing new ways to support people and improving the skills and status of the social care workforce. Responses can be completed via an online questionnaire.

For more details visit www.dh.gov.uk.

ASYLUM SEEKERS

The Home Office may have missed out on a £150 million saving by moving caseworkers from deciding asylum applications to work on removing asylum seekers whose claims have failed according to a report of the Public Accounts Committee.

For more details visit www.parliament.uk/index.cfm.

AUDIT COMMISSION

The Audit Commission is reducing its public service inspection costs by 50 per cent as part of its strategy to maximise the value for money of its work. It aims to drive improvement in public services, while minimising the burden of regulation
In April, the Commission issued a statement highlighting the different responsibilities of grant-paying bodies, authorities, the Audit Commission and appointed auditors in relation to claims and returns.

For more details visit www.audit-commission.gov.uk.

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CARE EFFICIENCY SERVICES PROGRAMME

To keep up to date with the Programme, a newsletter is now available at www.dh.gov.uk.

CARE HOMES INSPECTION AND REGISTRATION

Commission for Social Care Inspection fees are to rise across the board by 20 per cent from this year’s levels. Healthcare Commission registration fees will rise by 50 per cent, with increases in inspection fees ranging from 20 to 55 per cent.

The changes will see care homes’ registration fees rise from £1,584 to £1,901, and their annual inspection fees from £216 to £259.

For more details visit www.csci.org.uk.

COMMISSIONING

The Practice Led Commissioning document is available at www.dh.gov.uk.

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DELAYED DISCHARGES

LAC (2005)1, published in February, highlights the arrangements for payment the Delayed Discharges Grant 2005/06. The Delayed Discharges Grant totals £100 million, and represents additional resources introduced to accompany the Community Care (Delayed Discharges) Act 2003.

For more details visit www.dh.gov.uk.

DEPARTMENT OF HEALTH

The Department has published this year's winter report, which thanks staff and demonstrates that despite pressures and increased demand for services, the NHS delivered sustained improvements in key areas such as A&E and primary care and patients received better quality health services during the winter months.

Available at www.dh.gov.uk.

EXTRA CARE HOUSING FUND

In February, Community Care Minister Stephen Ladyman announced the winning bids for this year’s £40m Extra Care Housing Fund.

The winning bids will provide an extra 979 homes for older people and learning disabled adults across England.

Extra care housing supports independent living and increases choice by providing older people with their own homes together with care and support that meets their individual needs. Extra care housing schemes can provide 24-hour support, meals, domestic help, leisure and recreation facilities and a secure environment.

The 21 winning bids who will each receive a share of £40m for extra housing units or improvements to existing communal areas. The Housing Corporation has committed an additional £4,623,185 match funding towards three of the bids.

Further information on the successful bids can be found on the Department of Health website at www.dh.gov.uk.

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FOSTER CARE

Local authorities wishing to develop a multi-dimensional treatment foster care programme are invited to bid for a pump-priming grant, which will assist the introduction of a specific intervention for young people with anti-social behaviour and severe behavioural problems within a structured living environment. Training and on-site consultation will be provided to the multi-disciplinary team in the successful programmes. Bids should only be submitted if the criteria identified in Annex A of LASSL (20050 1 can be met. The circular is available from www.dfes.gov.uk.

LEARNING DISABILITIES SERVICES

Services for people with learning disabilities are set to receive over £41 million in Government funding, Stephen Ladyman, Minister with responsibility for community announced in February.

This boost in funding has been allocated to Primary Care Trusts to provide services through the Learning Disabilities Development Fund (LDDF) and is almost double the amount received last year. The LDDF is an important mechanism for ensuring that the NHS funding which would have supported residents in long stay hospitals under earlier regimes is used to achieve the objectives of Valuing People.

Priority areas earmarked for funding in previous years have been:

• Advocacy - developing and expanding services to support people to speak up,
• Person Centred Planning - a way of helping people get what they want in their life, starting with the person, their wishes and aspirations, and
• Leadership - developing and supporting leadership, including people with learning disabilities, families and others providing support.

For 2005-06 there are 3 additional priorities, which reflect the significant increases in funding. These are:

• Day services modernisation- NHS Campuses reprovision - redevelopment of the residential services developed by the NHS as a result of the contraction or closure of NHS hospitals, and
• Support for people with learning disabilities from black and minority ethnic communities.

The third annual report on the progress Government departments have made in implementing Valuing People and ensuring that people with learning disabilities are more fully included in society will be published later this year.

The white paper is available on the Department of Health website at www.dh.gov.uk/PublicationsAndStatistics/Publications/.

In addition the capital allocations for the 2005-06 Learning Disability Development Fund (LDDF) have been confirmed. Further information and individual allocations are now available at www.dh.gov.uk/PolicyAndGuidance/HealthAnd
SocialCareTopics/ LearningDisabilities/FactsAndFigures/fs/en?CONTENT_ID=
4106469&chk=1ln79L.

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LOCAL GOVERNMENT FINANCE

The Treasury needed to find £1.5 billion in the March budget to replace December's 'one-off' funding put in by Government to keep council tax down. Otherwise this will inevitably be followed by a massive hike in council tax bills in a year's time, the LGA warned in February.

With an election expected in May all the LGA group leaders have called on their respective party leaders to commit themselves to the reform of the local government finance system in the first session of a new Parliament.

'Beyond the black hole - the case for a long-term local community funding solution', the LGA's budget submission, is available at www.lga.gov.uk.

LONG TERM CARE OF OLDER PEOPLE

In March, the Health Minister Stephen issued new draft regulations for consultation, which will provide greater clarity to commissioners of long-term care in the NHS.

The regulations will end confusion over which Primary Care Trust (PCT) is responsible for commissioning patient care when an individual is placed in a care home or independent hospital outside of their area of residence.

Trusts are more likely to dispute liability where someone requires care that is either expensive or complicated. Although relatively few in number these disputes can be time consuming and clarifying the commissioning responsibilities would ensure that these disputes are much less likely to occur.

The draft regulations are restricted to services for adults over the age of 18, but the consultation is also seeking views on whether there should be changes to the commissioning responsibilities of NHS bodies for children's long-term care.

There will also be greater clarity where services are jointly commissioned by the NHS and their partners in social services as the proposed amendment will apply to joint packages of health and social care where a person requires 'planned' NHS services to meet their long-term care needs.

The consultation period will end on 29 June 2005.

A copy of the consultation document can be found at www.dh.gov.uk/Consultations/LiveConsultations.

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MENTAL HEALTH SERVICES

Young people with mental health problems are set to benefit from a £5 million funding boost, with a significant proportion being given to projects that specifically work with black and minority ethnic children and young people, the Health Minister announced in March.

Councils in Hillingdon, Rochdale, Camden, Brent and Leicestershire will receive a total of £1.5 million to fund projects aimed at black and minority ethnic children and adolescents with mental health needs.

For more details visit www.dh.gov.uk.

NATIONAL AUDIT OFFICE

The National Audit Office is conducting a report on Stroke Care. The report will focus on the key question: Are the Department of Health and the NHS providing a well managed and effective stroke care service in England? and is due to be published in November 2005.

For more details visit www.nao.org.uk/publications/workinprogress/stroke_care.htm.

NHS FUNDING

In March, details of discussions between 10 Downing Street and HM Treasury, relating to plans to increase the UK's spending on health to the European average, were released by The Prime Minister’s Office. This information is released in response to a request under the Freedom of Information Act and is available at www.cabinetoffice.gov.uk/.

In February, the Health Secretary announced how £135 billion investment in the NHS will be allocated to English Primary Care Trusts for the next two financial years 2006/07 and 2007/08.

The money will guarantee the NHS continues to deliver improved services and make further progress in tackling the big killer diseases like cancer and heart disease.
The allocation is based on the following principles:

• Increases for all. No PCT in England will receive less than an average of 8.1% per year over the two years, 2006/07 and 2007/08.
• Improving access to services. Waiting times for operations are being tackled, from long 18 month waits down to a maximum 18 weeks by 2008; Making prevention as important as cure. The cash allocations will help to fund the Public Health White Paper initiatives like school nurses, community matrons and health trainers;
• Fairness. Those in greatest need have been allocated more money. In November, John Reid announced the creation of 88 spearhead PCTs as those most in urgent need of action to tackle health deprivation and reduce inequalities in life expectancy and infant mortality. These areas have received a higher level of funding than other areas making the allocation much fairer.

Three years ago PCTs had an average of £907 per head of funding for patients. Today's announcement brings the average across England up to £1,388 per patient and around £1,710 for the areas with greatest need.

A full breakdown of the PCT allocations is available from www.dh.gov.uk.

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NURSING CARE

Allocations for 2005/06 that take account of changes to the arrangements for the funding of short-term respite care, centralised in seven PCTs, are at www.dh.gov.uk/PolicyAndGuidance/OrganisationPolicy/
IntegratedCare/NHSFundedNursingCare/fs/en.

OLDER PEOPLE'S SERVICES

Local Authorities, through Councils with Social Services Responsibilities, are invited to apply for funding with their PCT partners, from the Partnerships for Older People Projects Grant. POPP will provide 60m ring-fenced funding to local partnerships in 2006/07 and 2007/08. The aim is to devise innovative approaches for sustaining prevention work to enable improved outcomes for older people. Initial expressions of interest must reach the Department of Health by 12 May 2005.

The £60m Partnerships for Older People Projects (POPP) grant aims to encourage councils in England with their NHS, local government, voluntary and community sector partners to devise innovative approaches to establishing sustainable arrangements for supporting older people in active and healthy living.

Successful projects will reduce reliance on hospitals and other institutions by introducing new approaches which emphasize healthy and independent living, including supporting older people in their own homes, active rehabilitation and health promotion such as falls prevention. They will also take account of the ideas contained in the Green Paper on Adult Social Care, due to be published shortly.

Successful projects will be notified in September 2005.

More at www.dh.gov.uk/PolicyAndGuidance/HealthAnd
SocialCareTopics/OlderPeoplesServices

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PAYMENT BY RESULTS

The NHS Alliance, which speaks for primary care trusts and providers, said these fundamental reforms to the health service were under threat because they were badly designed.

GPs will refuse to take up practice-led commissioning because the payment by results system is riddled with errors and there is no means of rectifying mistakes according to the study, Caveat emptor – Buyer beware in February. Its findings suggest that the reforms, still in their infancy but central to the government’s NHS modernisation plans, are already failing.

The three-month study monitored all the payments going to an anonymous foundation trust from one GP surgery.

It found that the coding system being used for PBR, which so far has been implemented only by foundation trusts, is not detailed enough to reflect accurately the costs of patients’ treatments.

PBR groups procedures and diagnoses into broad categories, which each have a tariff attached. The alliance found that conditions requiring routine treatment could cost more than complex conditions because they fall in a category with a higher tariff.

For more details visit www.nhsalliance.org.

PERSONAL SOCIAL SERVICES

Personal Social Services expenditure and unit costs: England: 2003-2004 were published in February.

The main findings were as follows:

• In 2003-04, gross current expenditure by Councils with Social Services Responsibilities in England on Personal Social Services was £16.8 billion, an increase of 11% in cash terms (8% in real terms) on the previous year. Part of this increase reflects expenditure funded from the Supporting People grant. When this is excluded, expenditure rose by 7% in cash terms (4% in real terms)
• In 2003-04, expenditure on services for children and families accounted for 24% of total gross current expenditure, whilst expenditure on services for older people accounted for 44%
• In 2003-04, expenditure on residential provision accounted for 43% of total gross current expenditure, whilst expenditure on day and domiciliary provision accounted for 42%; assessment and care management accounted for 15%
• Over the 10 years from 1993-94, gross current expenditure on Personal Social Services more than doubled in real terms.

For more details visit www.dh.gov.uk.

In addition the Personal Social Services Performance Fund Grant ended on 31 March 2004. Local authorities are required to provide a completed Final Statement Form, certified by their Chief Financial Officer by 30 September 2005.

More at www.dh.gov.uk/PolicyAndGuidance/OrganisationPolicy/
SocialServicesPerformanceAssessment.

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PRESERVED RIGHTS AND RESIDENTIAL ALLOWANCE GRANT

LAC (2005) 8 informs local authorities of the amount of the Preserved Rights grant and the Residential Allowance grant for 2005/06.

For more details visit www.dh.gov.uk/PublicationsAndStatistics/LettersAndCirculars/
LocalAuthorityCirculars/AllLocalAuthorityCirculars/fs/en.

RESIDENTIAL ACCOMMODATION

LAC (2005) 7 announces the amendments to the Charging for Residential Accommodation Guide (CRAG) which are to come into force on 11 April 2005. The amendments include revisions to the Personal Expenses Allowance, capital limits and savings disregards and new disregards in relation to special guardianship support and Armed Forces Compensation Scheme payments. It also reminds councils of the guidance in relation to residents who lack capacity and of their powers to operate deferred payments arrangements. The residential care charging arrangements apply to all care home residents receiving help from councils to meet the cost of accommodation provided under Part 3 of the National Assistance Act 1948.

The Annex contains fuller details at www.dh.gov.uk/PublicationsAndStatistics/
LettersAndCirculars/ LocalAuthorityCirculars/AllLocalAuthorityCirculars/fs/en.

SEXUAL ASSULT REFERRAL CENTRES

Government grants of £70,000 are available to help PCTs set up new SARCs in partnership with police forces and the voluntary sector. SARCs offer an integrated service to victims of rape/sexual assault, meeting their various medical, forensic, advice and support needs quickly and sympathetically. Many SARCs are located in hospitals and a health contribution is crucial to their efficacy. SARCs can relieve pressure on health services, such as GUM, GPs, A&E and mental health that are frequently accessed by rape victims but are rarely equipped to provide the specialist care required.

Further funding information at www.homeoffice.gov.uk.

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WANLESS SOCIAL CARE REVIEW

The Kings Fund launched a major investigation in January into the long-term demand for and supply of social care for older people in England. This is led by former NatWest Group chief executive Sir Derek Wanless, and follows the two independent reviews that Sir Derek conducted for the Government on future health care spending in the United Kingdom and on public health in England.

The terms of reference for the Wanless Social Care Review are:

• to examine the demographic, economic, social, health, and other relevant trends over the next 20 years that are likely to affect the demand for and nature of social care for older people (aged 65 and over) in England
• in the light of this, to identify the financial and other resources required to ensure that older people who need social care are able to secure comprehensive, high quality care that reflects the preferences of individuals receiving care
• to consider how such social care might be funded, bearing in mind the King's Fund's commitment to social justice
• to report by Spring 2006.

For more details visit www.kingsfund.org.uk/healthpolicy/wanless.html.

NORTHERN IRELAND

SOCIAL FUND

The Department for Social Development has announced a £1.34million cash injection for the Northern Ireland Social Fund, which will provide extra support for some of the most needy people in society. Announcing the discretionary Social Fund budget for 2005/2006, the Department said that a total of £59.59million would be available for those people who need help and support. The total includes £46.17million for Social Fund loans, an increase of £0.66million over last year. The amount available for grants has also increased by £68,000.

For more details visit www.northernireland.gov.uk/press/sd/050405f-sd.htm.

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SCOTLAND

PERSONAL CARE

The Scottish executive has pledged to revisit the cost of providing free personal care in Scotland after research found that providing such care could cost the executive £130 million more than first envisaged.

In the research, authors Margaret and Jim Cuthbert claimed they were “primarily concerned” with the estimations for care in the community that the introduction of free personal care in Scotland was based on.

They went on to say that they were not content with the estimates for residential care and care provided in nursing homes, but that the figure for community-based personal care was based on a “misreading” of evidence.

As a result the research concludes that the base cost of £70 million for providing personal care in the community should be increased by £18 million.

Based on revised estimates, the research also suggests that original estimates could have been out by as much as £60 million per year and recommends increasing the longer-term cost of care for older people by around £130 million by 2022.

For more details visit www.communitycare.co.uk.

WALES

BUDGET
OLDER PEOPLES SERVICES

The Health Minister outlined in February how older people in Wales will benefit from £3million during 2005-06, as part of the Welsh Assembly Government's £10million Strategy for Older People.

The money is being allocated to local authorities and other partners to help improve services for older people and to develop policies and plans which better reflect their needs.

For more details visit www.wales.gov.uk.

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Conferences/
Seminars