Telford & Wrekin Council predicts £4.3 million overspend on adult social care

Telford & Wrekin Council are set to discuss the £4.3 million overspend in its next cabinet meeting on Thursday.

In a financial monitoring report to be presented to councillors, officers at the council have blamed rising costs, as well as higher demand and longer periods of care required by some adults.

The council had budgeted for more than £68 million to be spent on Adult Social Care in its last budget, but councillors are to be told that a further £4.3 million will be needed.

Some of the shortfall is expected to be made up from the council's reserves.

The report said: “The key variance is Adult Social Care (ASC), with £4.3m additional investment currently being required relating to the cost of providing care packages across all client groups.

“This includes the impact of market price increases, more complex needs, higher demand and longer periods of care being required; all of which are being analysed by the Service with the aim of refining projections and managing spend.

“This is after additional net investment of £5.9m (which is after savings of £7.7m have been reflected) into ASC in 2024/25 as part of the Medium Term Financial Strategy.”

The report authors added: “Additional investment is required due to the continued increase in demand since the budget was set and the impact of increases in market rates. The service continues to work on delivering care which maximises prevention and independence where possible.”

The council is currently in talks with partner organisations to look at an alternative funding and delivery strategy. These include Shropshire Council and Telford and Wrekin Integrated Care Board.