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SCOTTISH EXECUTIVE EFFICIENCY TECHNICAL NOTES: MARCH 2005: page 38

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SCOTTISH EXECUTIVE EFFICIENCY TECHNICAL NOTES: MARCH 2005

1. Portfolio/Number/Name:J/C4 - Legal Aid - changes in rules and increased efficiency

2. Programme/Activity: Please include a short description

Modernising Legal Aid is an ongoing programme of modernisation of regulatory changes required:

  • To promote efficiency, fair reward and quality in the delivery of legal aid and
  • As a result of new legislation

3. Planned Savings

2005-06

2006-07

2007-08

Cash (m)

5.5

9

12

Time Releasing (m)

0

0

0

4. Accountable Officer for delivery

Robert Gordon

5. Project Manager

Andrew Dickson

6. EGDG account manager

Carolyn Girvan

7. Quality Impact

Describe any impact on the quality of service delivery. Be specific and explain if the expectation is positive, negative or neutral.

In delivery of efficiency savings, there should be no effect on the quality of service delivery since reforms resulting in efficiency savings in legal aid provisions are designed to ensure that there is greater control over the funding of cases along with more efficient cost effective administration. Legal aid is still available to all who are entitled subject to statutory tests of eligibility and probable cause.

8. Dependencies

Explain if your savings are dependant on legislation or other structural changes being achieved.

Efficiency savings to legal aid have been identified in conjunction with the Scottish Legal Aid Board (SLAB). The savings are incorporated in a number of measures-

  • A number of savings measures were identified as a package including the rationalisation of Counsels' fees in civil and criminal cases. This package of savings commenced in July 2004 by regulatory changes which are to continue through 2005 with two further stages of appropriate regulatory changes still to be implemented post April 2005.
  • Substantial reforms to civil advice and assistance are scheduled to be implemented in a number of stages throughout 2005.

A consultation exercise on the Strategic Review on the Delivery of Legal Aid, Advice and Information is being carried out. This should identify further changes to legal aid requiring primary legislation that may be implemented in spring 2006. The implementation of such measures will contribute to the projected overall savings thereafter.

9. Description of efficiency and actions to be taken

9.1 How will the saving be made? Be specific about number/size of contracts, staff, posts dates etc.

The savings are to be made from

  • changes to legislation identified in paragraph 8
  • SLAB's ongoing commitment to modernise Government by the implementation of changes to electronic systems to provide legal aid on line, improved document and case management to ensure despite no overall decrease in the volume of work that such systems operate at increased ratios of outputs to resource inputs.
  • An overall saving in the number of staff that have been employed by SLAB since April 2001 when 322 were employed where the projection for April 2006 is that 288 will be employed. No specific staff or posts have been identified as being made redundant but such savings in staff posts result from natural and managed wastage which are factored in as part of the improved administrative systems.

9.2 What action is critically needed to secure delivery of this saving? Be specific, and name the key action managers if they are outwith your immediate management chain (e.g. in an NDPB.)

The expenditure by SLAB comprises both grant-in-aid and the Legal Aid Fund.

Savings on the Grant-in-aid: The pay remit is a matter of ongoing preparation by SLAB to budget for the staffing costs in the period of 2005-8. Efficiency savings will be incorporated in the calculation of the projected increase in such remit.

Savings on the Legal Aid Fund are to be made by implementing identified legislative changes to regulations as part of the ongoing packages identified in paragraph 8. Further savings have been projected in the region of 400- 500k pa (after spend to save on Grant-in -aid of 100k) from the implementation of initiatives such as additional checking and anti fraud procedures.

Management of both the Legal Aid Fund and Grant-in-aid are supervised by the Access to Justice Division of the Civil and International Group.

The Chief Executive and Board of SLAB are accountable for the operation of SLAB.

10. Impact on Staffing to achieve the efficiency gain

If there are to be any changes in staff numbers (at activity level) to achieve the efficiency gain, please indicate how many full time equivalents and how far you expect savings to be achieved by natural wastage (show additions as + and reductions as -).

2005- 06

2006- 07

2007- 08

+

-

Net

Explanation

SLAB has not identified any specific staff changes other than the overall reduction in staff identified in paragraph 9.1

11. Benefits

In general, the benefits of the Scottish Executive Efficiency Plan are the enhanced outputs from the resources Ministers have been able to allocate in SR04. But if there is a direct connection between this efficiency saving and the enhancement of a particular service please describe it here.

N/A

12. Gross/Net Cash Savings

12.1 Please set out the gross recurring saving and any offsetting recurring expenditure.

For 2005/6, gross recurring savings projected at 9974.5k with offsetting costs at 4478k. Net saving is 5496.5k.

For 2006/7 gross recurring savings projected at 15819.5k with offsetting costs of 5653k. Net saving is 10166.5k.

These figures are subject to continuing review.

12.2 Against what budget does this expenditure and saving fall?

The budget of the Justice Department

12.3 Has this saving been built into your budget?

The Legal Aid Fund is demand led but projected savings have been projected and revised in light of legislative changes and trends.

12.4 If so, what is the maximum allowable expenditure against the budget data, in each year, for that saving to be delivered?

N/A

12.5 If not, how do you propose to invest the additional cash back into public services?

The savings will be absorbed into the Legal Aid Fund

12.6 What plans do you have to exceed the required saving? Explain by how much in each year

Savings are constantly under review by SLAB to identify areas for efficiency savings and other trends influencing and affecting the demands on the Legal Aid Budget.

13. Time - release savings

13.1 Please explain any time-releasing savings indicated at question 3.

N/A

13.2 Please describe the method you plan to use to calculate the cash equivalent of those time release savings.

N/A

14. Measurement and Monitoring

14.1 How are you proposing to measure the expected efficiency benefits (e.g. in terms of costs, level of output or quality of service)?

The expected efficiency benefits will be calculated in terms of costs only as the level of output will continue to increase through demands on the Legal Aid Fund with no loss in the quality of service provided. Calculations of the expected efficiency benefits will fluctuate from time to time depending on factors such as the implementation of legislative changes that can be delayed due to negotiations with a number of interested parties, the demand on the Legal Aid Fund, and other legislative changes requiring the provision of legal assistance.

To measure the expected efficiency benefits from such savings does require ongoing monitoring and evaluation. As the Legal Aid Fund will increase given its demand led structure, there are difficulties in measuring the efficiency benefits.

SLAB is currently working on the development of means to evaluate the levels of such savings.

14.2 What monitoring & reporting procedures will be put in place to measure the efficiency savings (How often will progress towards the target be monitored? Who will have lead responsibility for reporting progress and what procedures will be in place?)

Internal:

  • A report is received on performance and resources by the Executive team of SLAB on a monthly basis.
  • The Board of SLAB receive a report on performance and resources on a quarterly basis.
  • A Trends report is received indicating trends of cases and costs three times a year for assessment by the Board of SLAB and SE.
  • As identified in 14.1, ongoing discussions are taking place at SLAB about the identification and implementation for monitoring systems to measure the expected efficiency benefits.

External:

  • A Vote Monitoring Report is provided to SE monthly that includes actual and anticipated expenditure on the Grant-in-aid and the Legal Aid Fund.
  • Regular meetings with the Head of Justice SE to discuss the Legal Aid Fund and forecasting of expenditure.
  • As identified in 14.1, once such a system has been identified and implemented, it is expected that reports emanating from such will be the subject of regular periodic discussion and review between SLAB and SE.

Annual Report of SLAB is available publicly.

14.3 Monitoring Data: Sources, validation and risks

  • What data will be used to measure progress? Is all the required information quantifiable and readily available? If not what action will be taken to rectify this?

  • What measures will be in place to validate the accuracy of the data. Who will take responsibility for this?

  • Are there any issues or risks relating to how you plan to use the data? (e.g. accuracy, difficulties in collection)

    The aim is to restrain growth of the Legal Aid Fund rather than an overall reduction in its size. The demands on the Legal Aid Fund are always changing so that calculations of efficiency savings can be made only by reference to trends based on historic experience and projected for the future.

    The data that forms the basis of these calculations is maintained by SLAB based on their calculation of costs in previous years. It is collected from the case applications received by SLAB and the costs paid out in respect of such cases. This data is assessed to calculate the cost of the average case in different recurring categories. Some data can be assessed from external sources such as the Scottish Court Service or the Crown Office Procurator Fiscal Service.

    Once trends and costs are determined for previous years, SLAB provides a projection of future costs. Factored in this calculation will be their own assessment of the likely increase on applications to the fund and increases in types of cases.

    There are risks that such calculations are only a projection. External factors such as new legislation and an increase in demand in excess of a projection can and will affect the final savings. Such calculations are the subject of continual review and evaluation to allow for effective planning and identification of potential savings.

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Page updated: Thursday, March 31, 2005