Source · Select Committees · Public Accounts Committee

Recommendation 3

3 Accepted

Confirm Public Health Grant allocations earlier to provide long-term funding certainty for treatment services

Conclusion
Delays by the Department in finalising the allocation of the Public Health Grant, coupled with short-term funding and reductions to the public health grant, make it difficult for local authorities to plan and commission alcohol treatment services effectively. Since 2015–16, local authorities have seen the grant 6 Alcohol treatment services they receive from central government to help fund public health services fall by £630 million in real terms. This has had inevitable consequences on funding for drug and alcohol treatment services, leaving services, “on their knees” according to Dame Carol Black (author of the government’s independent review of drugs). From 2013–14 to 2020–21, the number of adults in England receiving treatment for alcohol dependency fell by 16%. The additional £533 million of funding for substance misuse services is welcome but is short-term. Numbers in treatment have not yet recovered, but they have at least started to increase. When we took evidence, only a month before the start of the new financial year, the Department had still not awarded its public health grant for 2023–24. As we have said before, for example in our July 2022 report on the rollout of the covid vaccine, departments should always set out annual budgets and funding for their key bodies and programmes in good time. Without funding certainty, local councils struggle to recruit and retain staff and to secure contracts with third party providers. This can cause gaps in local services and pushes directors of public health to take risks by commissioning services without certainty of funding. Recommendation 3: To improve certainty around funding for drug and alcohol treatment services, the Department should: • commit to an earlier date by which it will confirm allocations of the Public Health Grant for 2024–25 and subsequent financial years; and • explain how it can provide greater long-term certainty to local authorities so they can plan and deliver the right investments to make a
Government Response Summary
The government agreed and stated the recommendation is implemented, committing to provide as much notice as feasible for Public Health Grant allocations. It confirmed that indicative allocations for 2024-25 have already been published, and aims to publish the final 2024-25 allocations before the end of 2023 to support local planning.
Government Response Accepted
HM Government Accepted
The government agrees with the Committee’s recommendation. Recommendation implemented The government is committed to improving certainty around funding for drug and alcohol treatment services to local authorities and agrees that this is important to enable local authorities to effectively plan and commission services, and deliver the right investments. The department is committed to giving as much notice as is feasible of Public Health Grant allocations and any additional funding for drug and alcohol treatment services for future years. For example, the department has already published indicative Public Health Grant and drug strategy allocations for 2024-25 in order to support systems to plan ahead and will aim to publish 2024-25 allocations before the end of 2023.