2. The national funding environment
The Government has now confirmed the grant funding that will be allocated to this authority for 2019/20 and it was in line with what we were expecting. However, Government funding beyond that timeframe is still under review and currently remains uncertain, consequently our plans for the future are based on our best estimates. The Government has indicated that during 2019 it is planning a Spending Review (to determine the total funding available to the Fire Sector) and a Fair Funding Review which determines the method by which this total funding is distributed to the Fire Sector, however the timing of the outcome could be affected by the ongoing Brexit discussions. In addition, the Government is also proposing to fully introduce the 75% Business Rate Retention Scheme from 2020/21. More specifically for the Fire Sector is the issue of funding the significant increase in Employers pension contributions for the firefighter’s pension schemes from 2020/21. Nationally the cost is significant and for this authority alone the annual cost increase is estimated at £4m.
The Government continues to emphasise the need for reductions in public sector spending. Although we have saved more than £18m over the past six years, we are expecting a need to generate a further £8.5m of savings between 2019/20 and 2022/23. The challenge for us is to ensure that we cannot only meet our financial commitments, but that we are able to generate savings to help us reinvest in achieving better and more efficient and effective ways to help our customers. Both of these we will strive to do whilst still continuing to deliver a high-quality service to the
public we serve. To ensure what we save is sustainable in the longer term, we continuously monitor the way our front line and back office work whilst also keeping our assets, equipment and technology up-to-date.
Despite the continuation of an obviously challenging financial climate, a reduction in funding has never equated to a reduction in either our commitment to provide the best service possible or our ambition to continually improve this level of service.