2011/12 Hampshire Police Authority Council Tax Precept (0%)

Frequently Asked Questions

February 2011

What is the budget for Hampshire Police Authority in 2011/12?

The total budget figure in 2011/12 is £314.1 million, compared to £313.7 million in 2010/11, an increase of 0.11% £314.1 million, compared to £313.7 million in 2010/11, an increase of 0.11%.

What does this mean for the Council Tax level?

The police element of the Council Tax will be frozen.  This freeze in the police element entitles Hampshire Police Authority to a government grant, equivalent to a local council tax increase of 2.5 per cent.  This grant will equate to approximately £2.5 million.  A Band D dwelling will still cost £146.25 for 2011/12.

What is the level of the Government grants?

The funding announcement in December 2010 meant that the Government general grant paid to Hampshire Police Authority has been reduced by 5.1per cent for 2011/12 and 6.7 per cent for 2012/13 as a part of a 20 per cent cut in real terms over the next four years. The specific grants we receive from the Government for Neighbourhood Policing and Counter Terrorism will be at similar levels to last year so the reduction in total Government funding is 3.8% in 2011/12 and 6.3% in 2012/13. In Hampshire and the of Wight this means the Police Authority grant has been reduced by £9million for 2011/12.

Although the reduction of Government grant for 2011/12 is £9m, inflation and other budget pressures mean that £20million of savings need to be found to balance the budget.

Where will the £20 million savings come from?

The majority of these savings will be delivered by making efficiency improvements that allow us to reduce the number of employees needed to deliver excellent services. No reductions will be made to frontline personnel.

The Authority has planned under-spends totalling £16million in the last two financial years to build reserves to smooth the funding loss and provide for the cost of change. £4million of reserves will be used as a one-off to balance the 2011/12 budget to allow sufficient time for sustainable changes to be developed and implemented.

We have a successful history of collaboration with other forces to deliver services more efficiently and make savings. Through these close relationships we intend to identify even more opportunities to do this and continue to respond to your needs.

We have used this opportunity to adapt and restructure the way the force operates and the Authority is aiming to deliver £50 million savings over the next four-years.

Will the frontline be cut?

The budget protects frontline targeted patrol teams, safer neighbourhood teams and local crime management until at least April 2012 and both the Authority and the Constabulary have the aim of protecting them right through until April 2015.

Why has the budget increased when the Government Grant has decreased

Although the budget has been increased by 0.11% we are actually spending £6 million less in 2011/12 than we did in 2010/11.   The tables below show the breakdown.

Explanation table

	£m
Starting council tax income	101
Starting formula grant 2010/11	213
Starting specific grant 2010/11	22
Government reduction in formula grant	1
Government reduction in specific grant	8
Baseline increase requirements e.g. inflation, pay awards	11
Savings required	(20)
Council tax income 2011/12	102
Formula grant 2011/12	212
Specific grant 2011/12	14

Funding changes

	2010/11 (£m)	2011/12 (£m)	Change(£m)
Gross expenditure	246	340	-6
Service income	(8)	(8)	0
Specific grant	(22)	(14)	8
Reserves	(2)	(4)	-2
Net expenditure	314	314	0
General grant	213	212	-1
Council tax	101	102	1
Budget requirement	314	314	0

How will the budget be spent?

The majority of budget will again be spent on employees in order to continue to deliver excellent service.

Budget pressures and growth for new spending have been limited to £1.3million, of which £0.6million relates to essential IT expenditure to meet statutory and security requirements.

Officer posts have been removed from support roles and the officers returned to the frontline. Despite the funding reductions, there will be more officers, PCSOs and staff in frontline posts in 2011/12 than when the emergency budget funding reductions were first announced in June 2010.

How will this budget affect future years beyond 2011/12?

This budget includes £20m of savings. £16m of these savings are sustainable savings that can be saved year after year. This reduces the amount of savings need to be made to reach the £50m savings by 2014/15. Transformational change will be further scoped and begin to be implemented during 2011/12 with the aim of putting the Authority in a financial sustainable position from April 2012.