Agenda item

To present the report of the Head of Profession (Human Resources) and Transformation.

The report of the Head of Profession (HR) and Transformation incorporating the Corporate Scorecard for Quarter 2 2020/21 was presented for the Committee’s consideration and scrutiny.

The Portfolio Member for Council Business introduced the report and clarified that the quarterly reports for Q4 2019/20 and Q1 2020/21 were affected by the Covid-19 pandemic where it was agreed to cancel their publication and discussion with the relevant committees. Dealing with the pandemic has been a significant challenge for the Council – not only in maintaining key frontline services and conducting normal business where possible, but also in ensuring that health and safety arrangements are in place to protect the Authority’s staff whilst providing services. The Council has had to respond to and adapt swiftly to changing circumstances. However, it is encouraging to note that the majority (88%) of the indicators monitored are continuing to perform well against targets (Green or Yellow RAG) with attendance at work (2.66 days lost to absence per FTE in the period against a target of 4.48 days) and indictors under the digital service shift representing highlights for the reporting period.

Points made and questions raised by the Committee were responded to as follows –

•           With regard to the importance of resilience and the well-being of staff in continuing to maintain good performance, the Head of Profession (HR) and Transformation agreed that the Council’s success in responding to the crisis is due in large part to the co-operation and adaptability of its workforce. The Council has in turn sought to communicate, engage with and provide support to its staff in respect of their wellbeing and remote working needs which is attested to by the positive response to the Interim Staff Survey on Home Working circulated earlier in the pandemic. Stress levels are also monitored as part of monitoring attendance at work and it is encouraging to note that there has been no increase in staff stress levels compared to the equivalent quarter for the previous year. Managing stress is important with staff being encouraged to take regular breaks reinforced in the Chief-Executive’s weekly messages and supported by service managers. It is recognised that dealing with the pandemic over the course of many months can lead to fatigue especially as the winter months approach.

•           With regard to home working possibly being a factor in the improved attendance at work levels, the Head of Profession (HR) and Transformation explained that the onset of the pandemic saw the workforce coming together and committing as a team to respond to the emergency. An analysis of the data in comparison with last year and the reasons for sickness absence shows that while the range of illnesses remains the same, occurrences have reduced but remembering also that Quarter 2 coincided with a period of fine  weather which is linked to better health regardless of whether staff are at home or  in the office. The winter months traditionally represent the most challenging period for attendance at work and it is anticipated that this will be reflected in Q3 and Q4 data. Nevertheless, Officers are confident that the strong start to 2020/21 will result in the end of year target for attendance at work being met and possibly surpassed. The improved figures are attributable to a range of factors in what is an exceptional year.

•           With regard to the projected deficit on Council Tax and projected overspend of £234k and the implications for Council services in meeting their targets, the Portfolio Member for Finance explained that the possibility of an increase in the number of people defaulting on their Council Tax payments and applying to the Council Tax Reduction Scheme because of financial difficulties resulting from the pandemic has been a concern. Whilst the extension of the Furlough scheme to the end of March, 2021 will undoubtedly help the financial situation, it is still too early to predict how the situation will unfold to year end and what the Council’s position will be at that time. 

The Head of Function (Resources)/Section 151 Officer clarified the position with regard to the impact on Council Tax income outlining how the Council Tax base is calculated between the properties liable for standard Council Tax, and those liable for the Council Tax premium (100% premium in the case of long-term empty homes and 35% premium in the case of second homes). For the purpose of calculating the tax base a figure of 80% of the properties to which the premium applies is used in order to reflect the in year changes in the number of properties that fall within the premium and to also ensure that the target for income from the Council Tax premium is not set at too high a level. During the year a number of second homes have transferred from domestic to business rates leading to loss of council tax income as well as income from the premium. Additionally, the registration of some second homes approved for business rates valuation can be backdated meaning the Council must reimburse the council tax paid from the date of registration. Whilst the number of second homes re-registering as businesses has increased the number of homes within the second homes premium category has not changed significantly due mainly to people purchasing standard Council Tax properties as second homes which are identified as such by the Authority and upon which the premium is then levied. The upshot of these movements is a reduction in the number of standard Council Tax properties which has an impact on Council Tax revenue. Whilst the income from the premium is above target because only 80% of the eligible properties are used for the Council Tax base calculations thereby building in surplus within the budget, income from standard Council Tax is lower due to the transfer of homes into the premium category, due to properties moving out of the council tax system altogether and due to the reimbursement of second home owners for council tax paid following their registration as businesses. In terms of Council Tax collection, although the collection rate is lower than last year it has caught up well partly because of the Furlough scheme which has enabled people to continue with their payments without recourse to the Council Tax Reduction Scheme. However, the long term impact of the pandemic on those with Council Tax debt is not known and will not become clear until the debt collection process has been completed. It is anticipated that the provision for bad debt will need to increase which in turn will have an effect on the revenue budget.

In response to further questioning about the revenue derived from the premium  and whether the policy needs to be reviewed in light of the loophole, the Officer confirmed that the second homes and long-term empty homes premiums generate income of approximately £1m and £500k per annum respectively with a substantial amount of that income being allocated to the Housing Service to support local housing. Switching from second homes to business properties is not a matter of choice – the Valuation Agency Office must confirm that the necessary criteria have been met ; the issue is whether there is sufficient capacity within the Valuation Agency Office to monitor ongoing compliance with the criteria in subsequent years following original registration as a business property. A report on the operation of the Premium since its implementation in Anglesey will be presented to the Executive in December, 2020.

•           With regard to Indicator 43 (Percentage of planning appeals dismissed) which presented Red on the scorecard with a performance of 50% against a target of 65%, whether the 3 (out of 6) appeals upheld by the Planning Inspectorate were due to a Committee determination that was contrary to Officer recommendation. The Portfolio Member for Planning clarified that the 3 appeals were in relation to applications for replacement dwellings and were determined by Officers. In response to further comments about planning site visits by Committee – currently suspended due to Covid 19 - being an important component of the determination process, the Portfolio Member confirmed that site visits have been reintroduced in virtual form. The Chair suggested that the matter could be discussed further by the Group Leader meetings.

•           With regard to Indicator 27 (Percentage of referrals of children that are re-referrals within 12 months) which presented as Red on the scorecard with a performance of 38.89% against a target of 10%, the reasons for the underperformance were queried. The Leader and Portfolio Member for Social Services clarified that the indicator is a local indicator introduced to address a specific issue raised by CIW. A re-referral does not necessarily mean that the child involved meets the threshold for assessment or intervention and the indicator will be reviewed to establish whether it is still fit for purpose. The Interim Director of Social Services confirmed that the indicator refers to a relatively small number of cases in the context of the number of families with whom Social Services engage whose needs do change and evolve meaning they can be re-referred for support that meets those new needs. A review of the re-referral case files found that they were all appropriately re-referred into the service due to new reasons and situations that could not have been foreseen or prevented.

•           With regard to Indicator 35 (The average number of calendar days to let lettable units of accommodation excluding DTLs) which presented as Red on the scorecard with a performance of 78 days against a target of 26 days the reasons for the underperformance was queried. The Portfolio Member for Housing confirmed that the pandemic situation had had an impact on performance with it not being possible to let housing at the same level because of the need to comply with coronavirus legislation and social distancing requirements. However, the Service will be analysing this indicator in greater depth to obtain a better understanding of the reasons for the underperformance. The Head of Housing Services advised that the letting process has continued during the pandemic albeit at a much slower rate e.g. 131 units were let this year compared to 206 units for the same period last year. Whilst this is still an achievement given the challenging circumstances, the Service will endeavour to bring the performance closer to target over the coming months.

Having considered the report and the updates provided by Officers at the meeting, the Committee resolved to accept the report, to note the areas which the Senior Leadership Team is managing to secure improvements into the future and to recommend the mitigation measures as outlined to the Executive.

NO ADDITIONAL ACTION WAS PROPOSED