The Department of Health has recently announced a £200 million saving against the overall Public Health grant allocation to Local Authorities, to be taken in the financial year 2015/16. Birmingham’s proportion of this reduction has been £7.5 million with the likelihood that this will be maintained as a reoccurring saving for future years. In addition, the way that Public Health grants are calculated and devolved to Local Authorities has been revised, which is likely to result in a further grant reduction in the region of £3.5 million.
Given the current uncertainty in the future grant, we have had to take the decision to postpone the Lifestyle Market Event on the 25th November and reconsider the next steps for procuring future lifestyle services in Birmingham; this is also likely to have an impact on the procurement timescales originally proposed for the overall project.
This decision has not been taken lightly. It is both recognised and appreciated, the amount of work that has already been undertaken by those who have influenced the proposed remodelling through various workshops and consultation in addition to those already working in partnership to tender for future service. It is also important to recognise the various organisations that continue to deliver services in what is a challenging and uncertain future.
Whilst it is not possible to provide clarity on the future commissioning intentions and proposed tendering timescales at this stage it was felt important to inform all stakeholders at the earliest opportunity. We are currently working through a number of possible options that will be discussed with Cabinet Members. Once the future budget is confirmed and agreement has been reached for the next steps we will be in contact again.
We will be arranging a briefing event up event once our commissioning intentions are confirmed.
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