MPS proposal for 2001/2 budget implementation

Report: 10
Date: 19 June 2001
By: Commissioner

Summary

This paper describes progress made by the MPS in implementing its budget for 2001/2002 following agreement, subject to certain conditions, at the GLA Assembly on 14 February 2001 to the Mayor's budget. Following agreement at the Finance, Planning and Best Value Committee on 17 April that the first full report would be produced in June 2001, it reports progress on the three budget priorities: police recruitment, civil staff pay measures and IT expenditure. Members are asked to confirm if the information supplied is sufficient.

A. Recommendation

Members are asked to agree the proposals for reporting progress.

B. Supporting information

Background

1. Following agreement at the GLA Assembly on 14 February 2001 of the MPA's budget, the Chairman of the MPA spelt out how the Authority would take a more proactive role in monitoring and scrutinising the management of the budget for 2001/2002. Subsequently, two progress reports have been submitted to FPBV committee meetings in March and April outlining how the MPS intends to report progress. In April 2001 it was agreed that the first full report on the Budget Implementation would be produced in June 2001.

2. Ten strands of activity were identified which would contribute to the MPA's monitoring and scrutinising role. Some of these ten strands of activity will require on-going monitoring throughout the current financial year. Others represent discrete tasks. This report on the budget Implementation is intended to report progress on those strands of activity which require on-going monitoring, in particular the three budget priorities.

3. The Budget Implementation Project team has now handed over responsibility for reporting progress to the Finance Department, where it will be incorporated into routine financial monitoring and reporting.

Progress on the budget priorities

4. Budget Monitoring:
With effect from the next committee meeting the additional information on the three budget priorities will be appended to the Budget Monitoring Report to form the Budget Implementation Report.

5. Police Officer Recruitment and Retention:
Detailed reports on recruitment and retention issues are routinely submitted to the Human Resources Committee.

6. Police strength at 30 April 2001 was 25,473, which is 1,177 (or 4.42 per cent) below the year end target of 26,650. In April, wastage continued to be high with the loss of 148 officers, of whom 42 transferred to other forces and 20 resigned. The remaining 47 per cent retired either on ordinary or medical pensions. In May 2001 233 officers joined the MPS, one of the highest ever intakes, comprising 223 recruits and 10 transferees/rejoiners. Police strength on Boroughs has exceeded the initial projection for May.

7. It is proposed that with effect from the next committee report, progress with police recruitment will be indicated by a simple table (as illustrated below), showing monthly figures for officers recruited, wastage, net change to overall police strength and actual police strength, together with a graph (see Appendix 1) showing actual and projected strength on Boroughs.

Table 1: Monthly figures on police recruitment and wastage

8. Civil Staff Pay Measures:
Considerable progress has been made with civil staff pay measures. The Authority has approved a move to two bands of Location Allowance with significant increases in both levels, which will benefit the overwhelming majority of staff. Of the £22.2m approved in the budget, the Location Allowance uplift is estimated to cost £9.7m (including ERNIC) in 2001/2002 assuming the MPS achieves its full budgeted workforce target. These measures are effective from 1 April 2001 and have been paid with May salaries. Further work continues by Hay Management Consultants on civil staff pay and grading with the evaluation of 250 civil staff roles. Detailed reports on this work are submitted to the MPA Human Resources Committee.

9. An intended side-benefit of improving civil staff pay is that additional civil staff will be recruited and retained thus obviating the need to backfill civil staff positions with police officers. It is too early to measure an effect on overall civil staff numbers due to the improved London Allowance. A system has been established, however, to monitor the number of police officers in posts designated for civil staff on Boroughs. Information to date is as follows:

Table 2: Monthly figures showing police officers in designated civil staff roles on boroughs

10. It is proposed that in future a simple table showing the number of police officers occupying designated civil staff posts on Boroughs be included as part of the Budget Implementation Report.

11. Information Technology Programme:
The list of projects that the MPA agreed as part of the original Directorate of Information budget submission see Appendix 2 (Table 3a), together with some adjustments which have come to light since that submission was made. The adjustments are required for three reasons:

• as a result of expenditure being brought forward into 2000/2001; or
• because of a reassessment of the scope, and therefore the cost, of the project; or
• because of project slippage from 2000/01 into 2001/02.

12. Table 3b of Appendix 2 lists those projects which were agreed by the MPS to be of high priority for 2000/2001 but which, for a number of valid reasons, have slipped into the current financial year. The MPA have been made aware of the projects marked (*) by means of the Directorate of Information's medium term capital forecast in March: the remainder reflects further slippage since that time.

13. It is proposed that in the next FPBV Budget Implementation report information on actual expenditure for the first quarter will be reported.

C. Financial implications

There are no financial implications directly associated with the contents of this report. The above programme for monitoring and scrutiny will provide regular opportunities for reviewing progress with budget (and performance) objectives.

D. Background papers

None.

E. Contact details

The author of this report is Keith Luck, Director of Resources.

For information contact:

MPA general: 020 7202 0202
Media enquiries: 020 7202 0217/18

Send an e-mail linking to this page

Feedback