Archived decisions

Efficiency improvements 2008/09 to 2011/12


2008/09		Adult Services £'000	Children's Services £'000	Environment £'000	Policy and Resources £'000	Recreation and Heritage £'000	All Services £'000	Total £'000
Cashable efficiency improvements:
a	Producing a budget saving and meeting the Government's definition of efficiency:
	Identified savings	7,600	850	2,593	-	860	-	11,903
b	Producing a budget saving but not meeting the Government's definition of efficiency:	400	-	20	50	-	-	470
c	Not producing a budget saving:
	Salary increments absorbed	475	355	369	603	230	-	2,032
	SAP benefits realisation	-	-	-	220	-	-	220
	Capital receipts	-	-	-	-	-	50	50
	Corporate procurement	-	-	-	-	-	761	761
	Other improvements	-	17	900	1,250	-	-	2,167
	Total c	475	372	1,269	2,073	230	811	5,230
Total of all efficiency improvements (a+b+c)		8,475	1,222	3,882	2,123	1,090	811	17,603
Total budget savings (a+b)		8,000	850	2,613	50	860	-	12,373
Total savings meeting the Government's efficiency definition (a+c)		8,075	1,222	3,862	2,073	1,090	811	17,133


2009/10		Adult Services £'000	Children's Services £'000	Environment £'000	Policy and Resources £'000	Recreation and Heritage £'000	All Services £'000	Total £'000
Cashable efficiency improvements:
a	Producing a budget saving and meeting the Government's definition of efficiency:
	Identified savings	8,299	1,309	1,066	-	430	-	11,104
	Further efficiencies planned to meet budget limit	-	1,562	-	-	-	-	1,562
	Waste management contract	-	-	2,146	-	-	-	2,146
	Total a	8,299	2,871	3,212	-	430	-	14,812
b	Producing a budget saving but not meeting the Government's definition of efficiency:	7	-	25	350	-	-	382
c	Not producing a budget saving:
	Salary increments absorbed	504	328	224	1,006	517	-	2,579
	SAP benefits realisation	-	-	-	60	-	-	60
	Capital receipts	-	-	-	-	-	-	-
	Corporate procurement	-	-	-	-	-	500	500
	Other improvements	-	17	1,003	435	-	-	1,455
	Waste management contract	-	-	1,100	-	-	-	1,100
	Total c	504	345	2,327	1,501	517	500	5,694
Total of all efficiency improvements (a+b+c)		8,810	3,216	5,564	1,851	947	500	20,888
Total budget savings (a+b)		8,306	2,871	3,237	350	430	-	15,194
Total savings meeting the Government's efficiency definition (a+c)		8,803	3,216	5,539	1,501	947	500	20,506


2010/11		Adult Services £'000	Children's Services £'000	Environment £'000	Policy and Resources £'000	Recreation and Heritage £'000	All Services £'000	Total £'000
Cashable efficiency improvements:
a	Producing a budget saving and meeting the Government's definition of efficiency:
	Identified savings	1,179	800	68	-	-	-	2,047
	Further efficiencies planned to meet budget limit	3,455	734	-	-	-	-	4,189
	Total a	4,634	1,534	68	-	-	-	6,236
b	Producing a budget saving but not meeting the Government's definition of efficiency:	-	-	-	-	-	-	-
c	Not producing a budget saving:
	Salary increments absorbed	-	336	297	821	417	-	1,871
	Capital receipts	-	-	-	-	-	-	-
	Corporate procurement	-	-	-	-	-	500	500
	Other improvements	-	17	659	420	-	-	1,096
	Total c	-	353	956	1,241	417	500	3,467

Total of all efficiency improvements (a+b+c)		4,634	1,887	1,024	1,241	417	500	9,703
Total budget savings (a+b)		4,634	1,534	68	-	-	-	6,236
Total savings meeting the Government's efficiency definition (a+c)		4,634	1,887	1,024	1,241	417	500	9,703


2011/12		Adult Services £'000	Children's Services £'000	Environment £'000	Policy and Resources £'000	Recreation and Heritage £'000	All Services £'000	Total £'000
Cashable efficiency improvements:
a	Producing a budget saving and meeting the Government's definition of efficiency:
	Identified savings	904	1,000	50	-	-	-	1,954
	Further efficiencies planned to meet budget limit	4,461	-	-	-	-	-	4,461
	Total a	5,365	1,000	50	-	-	-	6,415
b	Producing a budget saving but not meeting the Government's definition of efficiency:	-	-	-	-	-	-	-
c	Not producing a budget saving:
	Salary increments absorbed	-	345	290	721	317	-	1,679
	Capital receipts	-	-	-	-	-	-	-
	Corporate procurement	-	-	-	-	-	500	500
	Other improvements	-	-	469	420	-	-	889
	Total c	-	345	759	1,141	317	500	3,062

Total of all efficiency improvements (a+b+c)		5,365	1,345	809	1,141	317	500	9,477
Total budget savings (a+b)		5,365	1,000	50	-	-	-	6,415
Total savings meeting the Government's efficiency definition (a+c)		5,365	1,345	809	1,141	317	500	9,477

Notes

Cashable efficiency improvements occur when:

- inputs (money, people, assets etc) are reduced but outputs remain unchanged

- the price of inputs (procurement, labour costs etc) are reduced but outputs remain unchanged.

a) Cashable efficiency improvements producing budget savings and meeting the Government's definition of efficiency include general procurement savings against the budget provision of a 2.5% increase in prices.

b) Cashable efficiency improvements producing budget savings but not meeting the Government's definition of efficiency include introducing new charges for services and fortuitous savings.

c) Cashable efficiency improvements not producing budget savings arise because the efficiency is avoiding unbudgeted cost e.g. staff reductions made to absorb increments, procurement efficiencies where costs are still exceeding 2.5%, capital receipts or developer contributions applied to avoid unplanned additional borrowing. In addition, the Government includes within its definition of a cash-releasing efficiency improvement, costs avoided where increased demand for services is accommodated without a corresponding increase in the cost of inputs

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