HEAT TARGET E1: MEET FINANCIAL TARGETS FINANCIAL PERFORMANCE TO 28 FEBRUARY 2009

Transcription

1 HEAT TARGET E1: MEET FINANCIAL TARGETS FINANCIAL PERFORMANCE TO 28 FEBRUARY 2009 Introduction This paper sets out the overall financial position at 28 February 2009 for the Scottish Ambulance Service Board. Summary The summary outturn figures are shown in Table 1 below: TABLE 1 SUMMARY PERFORMANCE AGAINST FINANCIAL TARGETS Limit Under/(over)spend 000 Revenue Resource 18 Capital Resource 0 Cash balance 258 Revenue Resource Analysis The total revenue position is an under-spend of 18k. We have received further late allocation of 350k for delivering performance improvements. The two recent late allocations of 250k (January) and 350k (February) have been used to: enhance our flexibility within the Patient Transport Service (Ant trackers and shock boxes) to provide equipment for front line A&E vehicles to meet new safety requirements (child harnesses) to provide training equipment at stations (manikins) software licences to enable enhanced performance management information to be available ( Data Warehouse project) enhance ability to support smaller island communities (landing lights) The income position has altered to an under-recovery of 19k. The air ambulance out-of-area income is currently 70k under-recovered; there having been only one chargeable mission in February. Income from leased vehicles is still ahead of that expected and repairs and servicing is under-recovered by 101k, with the corresponding underspend on expenditure on repairs and servicing. Training income is 66k over-recovered and has exceeded its annual target by 50k.

2 The overall pay position is underspent by 361k - a 15k improvement since January. The basic pay costs now exceed overtime expenditure by 61k. Basic pay underspends relate to vacancies earlier in the year. Call outs are less than expected for the year and this is showing a net 99k underspend in the year to date. The overtime trend position for each Division is shown in Graph 1 below: Overtime Spend by Division 300, , , , ,000 50,000 0 April 2006 May 2006 June 2006 July 2006 August 2006 September 2006 October 2006 November 2006 December 2006 January 2007 February 2007 March 2007 April 2007 May 2007 June 2007 July 2007 August 2007 September 2007 Month October 2007 November 2007 December 2007 January 2008 February 2008 March 2008 April 2008 May 2008 June 2008 July 2008 August 2008 September 2008 October 2008 November 2008 December 2008 January 2009 February 2009 North East Division North & West Division East Central Division West Central Division South East Division South West Division During January, four of the divisions stabilised their overtime spend. West Central substantially increased their overtime expenditure to levels much higher than previously incurred ( 251k). This was partly due to New Year city centre initiatives and also the very high sickness levels in West Central during January. They were able to absorb these very high levels due to their year to date underspends in basic pay. Non-Pay has improved since January by 45k and is currently 300k overspent against budget. The major overspends are in the areas of: Air Ambulance - 356k due to increases in demand and flying charges; Parts and Accessories - 242k due to increases in maintenance of vehicles plus inflation; Consumables - 128k due to increased single use items for infection control purposes; and Travel 91k due to relief/overtime coverage in the remote and rural areas. Diesel, however, is currently 203k underspent due to recent reductions in fuel prices. Also, heat, light and power is 110k underspent due to the revised charges for gas and electricity obtained by National Procurement

3 Table 2 shows the high level outturn for income and expenditure

4 - 4 -

5 Table 3 shows the breakdown by Division. Four Divisions are currently underspent. East Central Division position has worsened by 51k in month with overspends in both pay and non-pay. Although still underspent, West Central has worsened in month with a 185k adverse movement, principally in supplies and the pay increase is due to additional overtime worked in January. The overspends in non-pay within National are due to overspends in vehiclerelated items, Air Ambulance and Risk and Resilience due to phase 2 staffing and additional expenditure relating to equipment. The EMDCs are also overspent due to additional staffing (call takers and dispatchers) to improve performance. Both Risk and Resilience and EMDCs are receiving additional funding from SGHD from 1 April 2009 to fund these developments

6 BALANCE SHEET Table 4 shows the balance sheet. The cash balance is 258k

7 CAPITAL Table 5 shows the capital position. The small underspends in projects that have completed under budget have been used to fund projects requiring slightly more than budget and also to purchase additional vehicles. It is expected that the capital resource limit will complete at break even or a very small underspend. There have been delays in the legal aspects of the sale of Pitlochry station and therefore the income from this sale is now not expected until early 2009/10. This has been removed from the Capital Plan for 2008/09 and additional income from vehicles has been able to be added to the plan to offset this

8 CONCLUSION The financial position is currently 18k underspent. The year-end position will achieve the Revenue resource allocation, with around a 50k underspend which should be able to be carried forward. The capital position will be break even, or very close to that. The cash target of 60k will be achieved