BUDGET
2011/2012 to 2014/2015
Ref. FN51412114
Comprehensive Spending
Review
(20th October 2010)
• 25% reduction in the Fire Service
formula grant over the next four years
(2011/12 to 2014/15).
• ‘Back-loaded’ onto the last two years
of the four year period.
-8%
-10%
-12%
-14%
-6%
-2%
-4%
0%
Staffordshire
Hereford & Worcester
Total England
West Yorkshire
Greater Manchester
West Midlands
South Yorkshire
Tyne & Wear
Merseyside
Shropshire
National Cumulative Grant
Adjustments
4%
2%
Service Changes 2011-13
• Introduction of Late pumps – a reduction of 13 fire
engines at night
• Changes to crewing models, e.g Dual Crewing
• Recruitment Freeze since 2009
• Top to bottom management review
• 22% reduction in traditional ‘back office’ costs by
2013
• Merging Halesowen & Cradley Heath Stations
West Midlands Fire Service
Grant Reductions
Grant reduction:
2011/2012
9.5%(£7.7m)
2012/2013
3.4%(£2.5m)
Funding of Expenditure 2011/12
£’m
Formula Grant
Council Tax
S31 Grant (Council Tax Freeze)
73.100
38.300
1.000
112.400
Grant Reductions
2011/12
£’m
2012/13
£’m
7.7
2.5
2013/14 2014/15
£’m
£’m
?
?
Years 3 & 4 Grant Figures
CLG Position (Sept 2011)
Individual Authority settlement
announcements November/December 2012
Indicative national reductions:
Year 3
8.5%
Year 4
5.0%
Grant Reduction Planning Options
National Years 1 and 2
WMFS
= 6.5%
= 12.5%
National Years 3 and 4
WMFS
= 13.5%
= 26.0%
Estimated Position assuming
13.5 % National Grant Reduction
(with 2012/13 C’Tax Grant)
Base budget
Service Savings
Grant
Council Tax
Shortfall
2013/14
£m
108
- 3
105
64
40
1
2014/15
£m
106
- 3
103
60
41
2
Estimated Position assuming
2 x 13.5% National Grant Reduction
(with 2012/13 C’Tax Grant)
Base budget
Service Savings
Grant
Council Tax
Shortfall
2013/14
£m
108
- 3
105
57
40
8
2014/15
£m
106
- 3
103
49
41
13
Council Tax Freeze Grant
2012/2013
•
3% for Fire Authorities
•
One year only - £1.2M
Council Tax Threshold
2012/2013
•
4% for the Fire Service
•
Increase for Band D £1.91 per
annum
•
Increase of £1.5 m in base funding
Impact of potential
budget shortfall
• 300 firefighters – 12 fire engines
• A number of station closures
• Increased response times
• Less prevention work
BUDGET
2011/2012 to 2014/2015