The Corporate Scrutiny Committee of Nottingham City Council has released an update on the progress of its 2023/24 Transformation savings targets before a meeting next week.
The report provides a comprehensive overview of the savings and challenges faced by the council. The report focuses predominately on the savings classified as Transformation savings after Period 2.
The transformation programme, now in its second year, aims to deliver a gross saving of £15.671m in 2023/24. This is in addition to the savings target of £1.765m set in 2022/23.
The transformation-led savings are made up of five key programmes: Adults, Childrens, Homelessness, Customer Support and Corporate Landlord.
Breakdown of Savings: The £15.671m savings for 2023/24 comprises both transformation-led and service-led savings. The transformation-led savings target stands at £12.537m, while the service-led target is £3.134m.
Performance Overview: As of the second reporting period, 20.9% of the total target (£15.671m) is either delivered or on track. However, 50.1% is at risk of non-delivery. Specifically, 42% of transformation savings and 80% of service-led savings are at risk.
The table below tracks the overall in-year actual cashable benefit that each programme has either delivered (blue), is on track for delivery (green), requires further activity to realise including opportunities to convert non-cashable to cashable savings (amber) or is at risk of non-delivery (red). Red-rated savings are reported within the council’s overall financial position which also outlines further mitigations addressing the council’s overall reported overspend.
The table(s) below provides a position statement on the 2023/24 transformation savings at period 2.
The savings are all categorised as transformation savings within the MTFP, however, the table has been split to reflect the savings where transformation are currently leading and those currently led by the service. Within the £15.671m of savings, £9.672m relates to new projects, all at various stages of delivery including Outline Business Case development.
Mitigations and Future Plans:
The council says that the report emphasises the need for targeted interventions, acceleration of projects, and other mitigations to ensure the successful delivery of the transformation programme. There’s a particular focus on the ‘at risk’ areas within Adults’ and Children’s Services, which will be presented in a supplementary report. The council is also addressing challenges like increased price inflation, demand for services, and staffing reductions.