Plans to immediately axe funding for dozens of third sector health and care organisations in Edinburgh have been voted down by the local integration joint board (IJB).

After listening to more than two hours of testimony from voluntary organisations, IJB members rejected the proposals and put off making any decision on the future of its health inequality grants programme until next year.

The proposal would have seen 64 third sector organisations, which provide services ranging from dementia day support to mental health education, stripped of funding with just 90 days’ notice.

IJB members also committed at today's meeting to work with the NHS and council to explore alternative proposals to better involve the city’s voluntary sector leaders in future funding decisions.

However, officials warned the decision not to make savings now will impact on the health and social care partnership’s ability to meet its legal obligations to support those most in need.

The proposals came as part of an in-year financial recovery plan, as part of the IJB’s attempts to plug some of its £26.2m overspend this year.

They were, according to Edinburgh IJB official Andrew Hall, the “best option” available following a “forensic analysis” of every service funded by the IJB.

Full implementation of this year’s recovery plan, including proposals to cut the grant programme, would mean the board still falls more than £17m short of breaking even this year.

Cuts totalling £50m have been made to local services  in the last two years, but Edinburgh IJB continues to face a looming shortfall of £26m in this year and a £50m gap in 25/26.

Officer Mr Hall said disinvestment and downsizing of services is inevitable – and the question is which services should bear the brunt:

“Realistically we are going to have to reduce service provision somewhere. We completely acknowledge that any reduction in service is going to adversely affect people and create demand elsewhere in the system. There is no way around that.”

Edinburgh IJB members have long grappled with difficult savings decisions, with officials saying the organisation has faced a structural financial deficit since its inception.

Chief Financial Officer Moira Pringle told the meeting that the IJB has no realistic way of achieving financial balance unless it receives significant extra funding.

Members of the IJB were urged by voluntary organisation representatives during the meeting to ensure additional funding for Scotland announced in the UK government’s budget is made available for Edinburgh IJB.

The voluntary organisations also called for their future inclusion in all aspects of budget decision-making.

Squaring the circle of Edinburgh IJB finances

Outgoing chief officer Pat Togher said Edinburgh IJB's current financial context risks a “retreat back to core, statutory services only”.

The decision not to accept the cost-saving recommendations will, he warned, have an impact on

the health and social care partnership workforce, which will face cuts as a result.

He said any model of closer working between the IJB and voluntary organisations must result in the third sector accepting their share of the impact of difficult financial decisions.

IJB chair, Katharina Kasper, said the day’s discussions reflect the struggles facing Edinburgh’s public and voluntary sector in providing services crucial for people’s wellbeing:

“Our system is at a point that it’s not going to take much more for it to really topple over. And I think this is what the officers are grappling with and what the third sector is grappling with, that we’re trying to wrap our heads around the fact that demand is going up but our resources are not going up the same.

“I think we’re all trying to square the same circle. And I think it’s important to put on record that when we talk about savings, that there’s real impacts on people here. The headline is that we don’t have enough money to fund health and social care full stop.

“This isn’t about the grants programme: this is about the fact that we need more money in the system, otherwise everyone in the system will suffer, or is already suffering.”

Read more: “Damage limitation” underway in Edinburgh IJB cuts; Third sector – not third in line; VHS conference: amplifying voices of change

 

Sign up to our bulletin for key health & social care updates straight to your inbox and you can follow healthandcare.scot on Google News.