92 One of the biggest challenges for LSPs is how they influence and steer the use of partners' mainstream resources. LSPs are most likely to influence ABG, and PRG. But this is a small part (less than 2 per cent in Figure 11) of mainstream public service revenue spending.I
Figure 11 Mapping area resources Partnership resources in one county are a fraction of mainstream spending |
Source: Warwickshire County Council |
93 LSPs need to develop mechanisms for influencing and steering mainstream resources. Fewer than half the coordinators, and just over a third of partners, agree that LSPs exert an influence on financial resources (Figure 12).
Figure 12 LSPs do not significantly influence financial resources Partners are less convinced than LSP coordinators |
Source: Audit Commission, 2008 |
94 The starting point for steering is knowledge about the resources available. Only 14 per cent of the single-tier and county LSPs have mapped resources in their areas. But resource mapping must be proportional and cost-effective (Figure 13). One case study LSP abandoned its first mapping exercise, as it was too ambitious: another decided not to repeat the exercise.
Figure 13 LSPs working to understand and coordinate resources Oldham's LSP used the LAA dry run to help partners map mainstream funding, European funding, LAA grant, and other money and identify opportunities for supporting LSP strategic priorities. Partners identified £45 million over three years to focus on the delivery of LAA targets. |
Derby's LSP reviewed information on partner spend and other activity that could contribute to achieving LAA targets. The review helped with LAA negotiation. It provided an outline of Derby's local public service budget and enabled more effective financial planning. Source: Audit Commission, 2008 |
95 Section 6 of the Sustainable Communities Act 2007 requires the Secretary of State to make arrangements for the production of local spending reports. These reports should help councils and their partners to understand local public service spending in their area (Ref. 36). Local spending reports should help LSPs to map the mainstream resources they could influence.
I The map does not include direct spending by government departments (Ministry of Defence, Department of the Environment, Farming, and Rural Affairs), by other national agencies (Highways Agency, Network Rail) or public sector capital spending.