伊人直播

Date: March 2025

Sponsor: Luke Heath

1. Purpose of the paper

This paper gives an overview of the UK Health Security Agency鈥檚 finances as at month 10 of financial year 2024 to 2025 (the end of January 2025).

2. Recommendations

The Advisory Board is asked to note UKHSA鈥檚 financial position.

3. Summary of 2024 to 2025 financial performance (at end of January)

The table below shows resource and capital departmental expenditure limits (RDEL and CDEL) for 2024 to 2025, split by the parts of:

• core agency costs
• non-Covid vaccines and countermeasures
• the Covid Vaccine Unit.

It shows the provisional outturn for the 12 months April 24 to March 25.

Table 1. Month 10 resource departmental expenditure limits (RDEL) and capital departmental expenditure limits (CDEL)

	Budget	Actual	Variance
Core RDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	聽 354,425聽	聽 373,401	聽 (18,976)聽
NBN RDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	6,003听	听6,003	聽 (0)聽
ODA RDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	聽 11,754	聽 11,754	聽 0
CVU RDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	聽 697,587	聽 692,403	聽 5,184
VCR RDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	听464,688	聽 464,688	聽 0
Core CDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听聽	聽 65,585	聽 46,517	聽 19,068
NBN CDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	听0听	聽 5,918	聽 (5,918)
ODA CDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	聽 0	聽 0	聽 0
CVU CDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	聽 (112,262)	聽 (138,606)	聽 26,344
VCR CDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	聽 15,294	聽 15,294	听0
UKHSA total resource聽聽聽聽聽聽聽聽聽聽聽聽聽聽聽	聽 1,534,456	聽 1,548,248	聽 (13,792)
UKHSA total capital聽	聽 (31,383)	聽 (70,877)	聽 39,344
UKHSA 迟辞迟补濒听听听听听听听听听听听听听听听听	聽 1,503,073	聽 1,477,371	聽 25,702

Table 2: Full year resource departmental expenditure limits (RDEL) and capital departmental expenditure limits (CDEL)

	聽 Budget	聽 Actual	聽 Variance
Core RDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	听听426,338听	听听432,250	听听(5,912)
NBN RDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	听听8,730听	听听8,561听	听听169
ODA RDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	听听16,332	听听16,332	聽 0
CVU RDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	听听928,000	聽 764,300聽	听听163,700
VCR RDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	听听653,893听	听听653,893	聽听0
Core CDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听聽	听听93,898	听听93,898聽	聽听0
NBN CDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	聽 8,710	聽 8,710	聽听0听
ODA CDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	听听2,885	听听2,885	聽 0
CVU CDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	聽 (118,670)	听听(145,336)	聽 26,666
VCR CDEL听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听	聽 87,937	聽 87,937	聽听0
UKHSA total resource聽聽聽聽聽聽聽聽聽聽聽聽聽聽聽	听2,033,293	聽 1,875,336	听听157,957
UKHSA total capital聽	听听74,760	聽聽 48,094	聽 26,666聽
UKHSA 迟辞迟补濒听听听听听听听听听听听听听听听听	聽 2,108,053	聽 1,923,430	聽 184,623聽

Core resource budget

The current forecast shows a pressure on budgets of 拢5.9 million. As reported at the previous meeting a 拢3.3 million pressure has emerged due to the change in fiscal rules which prevents any further switches from capital to resource budget which had been previously agreed with Department for Health and Social Care (DHSC). In addition, a 拢2.8 million pressure has emerged as we are writing off fixed assets that are held on our balance sheet which have been identified during the month nine interim audit as needing to be disposed during the current year.

The current forecast includes the expected exit costs incurred through the SCS restructure and a forecast to complete a Voluntary Exit Scheme (VES). The VES is taking steps to align our workforce with future priorities and make the agency more efficient. We remain committed to maintaining a strong, skilled workforce ensuring we are the right size and shape to deliver our remit and operate within our means. There is potential headroom emerging at a health group level to cover our current pressures and we are working with DHSC to manage our outturn position within the DHSC group position.

Core capital budget

Capital spend has an even profile in the year. While this is currently behind plan we expect, as in previous years, spend from major projects to be in the final quarter of the year and deliver to plan. Additional budget was received to deliver antimicrobial resistance systems upgrades, cyber compliance and technology network improvements and this is fully profiled in the remaining months of the year.

Covid Vaccine Unit resource and capital budget

The Covid Vaccine Unit forecast reported at the last committee meeting showed an underspend on resource budget of 拢33 million. This was based on the ministerial direction that the latest vaccine should be used for the Spring and Autumn 2025 campaigns. The review for affordability at a health group level and the earlier start date for Spring 2025 campaign reduced forecast spend by 拢131 million to the current position of 拢164 million underspent. After confirming the above forecast, we have received the initial drawdown plans from nations for the Spring campaign. These initial plans were 1.5 million doses above the current modelling assumptions. We therefore expect further costs of 拢34 million to be added to the revised forecast.

The capital credit forecast is generated by purchases from contracts agreed in the previous financial year and delivered in 2024 to 2025. Under the accounting treatment for vaccines a prepayment is made when the order is greater than 拢20 million and will be delivered after one year. Once the vaccine is delivered the prepayment is then reversed and therefore a credit scores against this budget line.

Vaccines and countermeasures resource and capital budget

This budget is wholly funded based on actual expenditure by DHSC.

4. 2025 to 2026 business planning

We have concluded the business planning round for 2025 to 2026. The core resource budget is 拢430.8 million with allocations agreed for groups. This is an increase from the 2024-to-2025 initial settlement of 拢395 million to maintain our core capabilities. However, there are risks of 拢7.1 million relating to the increase in Employers National Insurance and the additional 0.8% pay rise for staff on NHS terms and conditions. These have not been funded within the settlement from DHSC.

The core capital budget for 2025 to 2026 is 拢130.3 million. This is an increase from the 2024 to 2025 initial settlement of 拢88.9m.

5. Spending Review Phase 2

We received commissions from DHSC as part of the second phase of the Spending Review over February. We have re-established a fiscal events team comprising of representatives across the agency. We will prioritise maintaining our core capabilities and reprioritising resources freed up through our existing invest to save programmes within an envelope which will reduce in real terms over the Spending Review period. Our opportunities for growth will be pursued through cross government work and joint bids under the government鈥檚 growth agenda. Our final returns are due to be provided to DHSC in mid-March.

6. Financial Control and Improvement Programme

The reset of Financial Control and Improvement Programme (FCIP) has commenced. The new programme broadens the scope to transform the whole of the finance function to be high performing. FCIP had an original focus on the removal of the account鈥檚 disclaimer.

The objectives of the reset programme have 4 key pillars which are:

• insight and analysis
• control and compliance
• people and culture
• partnering

Luke Heath

Director, Finance, Performance, Risk and Assurance

March 2025