MEDIA RELEASE
Issued by:
Councillor Tom Harney
Date of Issue: July 18th 2011
Contact numbers:
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Lib Dem office: 0151 691 8544

LIB DEMS CHALLENGE LABOUR ALLEGATIONS

Speaking in relation to the Labour Administration's resolution at Cabinet (23rd June - Financial Out-turn) and NOM to Council (18 July - Budget Overspend), Lib Dem Group Leader Cllr Tom Harney said:

"Labour's motions at Cabinet and to Council are in no way supported by the evidence and must not be allowed to go unchallenged. They make serious and unsubstantiated allegations of financial mismanagement, inaction and secrecy against Chief and Senior Officers of the council and members of the previous Administration.

Throughout the past year, Chief Officers were regularly asked to provide information about projected overspends and corrective action and did so in an open, honest and pro-active way. Reporting and monitoring took place throughout the year to highlight this through financial monitoring reports and other reports to the Cabinet, Audit and Risk Management Committee and the relevant scrutiny committees.

Anyone would think from their behaviour that Labour had been out of power for 12 years, rather than 12 months. Just because Labour didn't pay attention to these reports or take any action on them whilst in Opposition, doesn't mean they weren't produced. Potential overspends were well known throughout the year and they were properly managed.

The accusations of mismanagement in relation to Social Services are particularly outrageous. For Labour to criticise the previous Administration for spending too much in Social Services is astounding when they left as their legacy the previous year:

  • a persistently overspending department, allowing a £6m overspend from 2009/10 to roll forward into the start of the 2010/11 financial year, without an indication that it was coming and;
  • the worst Social Services in the country.

It has been nothing short of a  remarkable achievement that the deficit in Adult Social Services was almost halved by the previous coalition administration in one year, after inheriting the worst Adult Social Services department in the country at a time of severe financial pressures, and whilst substantial and transformational change was taking place."

Editor's notes:

  1. Cabinet 23 June 2011 Financial Out-turn - Labour Cabinet motion:
    http://democracy.wirral.gov.uk/mgAi.aspx?ID=13577
  2. Liberal Democrat Objection to Labour 23 June Cabinet Resolution Financial Out-turn:

      (i) Minute 26 (Cabinet - 23/6/11) Financial Out-Turn 2010/11
      Proposed by: Councillor Tom Harney
      Seconded by: Councillor Phil Gilchrist

      (1)     the revenue out-turn for 2010/11 be agreed;
      (2)     the provisions and reserves be agreed;

      (3)     it be noted as an achievement that the deficit in Adult Social Services has been halved under the previous coalition administration after inheriting the worst Adult Social Services department in the country at a time of severe financial pressures and whilst  substantial and transformational change has been initiated;

      (4)     that Chief Officers are asked to continue to be open, honest and pro-active with all elected members, through financial monitoring reports and other reports to the Cabinet, Audit and Risk management Committee and relevant scrutiny committees about projected and potential overspends and the necessary corrective actions.


3.      Labour Notice of Motion to 18 July 2011 Full Council: 1. Motion: 'Budget Overspend'

4.      Liberal Democrat Amendment to Labour Notice of Motion to 18 July 2011 Full Council on 'Budget Overspend'

      (9)     BUDGET OVERSPEND

      Proposed by: Councillor Tom Harney
      Seconded by: Councillor Phil Gilchrist

      Amend paragraph (1) to read:

      (1)     Council notes the £5.3m overspend on last year's budget in Adult Social Services, Children's Services and Technical Services, as reported to the meeting of Cabinet on the 23rd June.

      Delete existing paragraphs (2) and (3) and Insert new paragraph (2):

      (2)     Council recognises the achievement that the deficit in Adult Social Services has been halved under the previous coalition administration after inheriting the worst Adult Social Services department in the country at a time of severe financial pressures and whilst substantial and transformational change has been initiated.

      Renumber existing paragraph (4) as paragraph (3) and delete “therefore”:

      ( 3 )     Council takes this opportunity to remind Chief Officers that they have a Constitutional responsibility: “to ensure that spending remains within the services overall cash limit and that individual budget heads are not overspent, by monitoring the budget and taking appropriate corrective action where significant variations from the approved budget are forecast.”

      Insert new paragraph (4):

      (4)     Council therefore asks that Chief Officers continue to be open, honest and pro-active with all elected members, through financial monitoring reports and other reports to the Cabinet, Audit and Risk management Committee and relevant scrutiny committees about projected and potential overspends and the necessary corrective actions.