Meeting to be held Monday 29 June 2026
(Appendix A refers)
Contact for further information:
Steven Brown - Director of Corporate Services – Telephone Number 01772 826804
Executive SummaryThis report presents the Authority’s Productivity and Efficiency Plan for 2026-27, attached at Appendix A. The format and content of the plan are prescribed nationally by Ministry of Housing, Communities and Local Government (MHCLG), so the attached document follows that required structure. This covering report provides members with a short introduction, explains the national context and highlights the main points the Committee may wish to note from the 2026-27 plan. The plan shows that the national approach has changed for 2026-27. There is no longer a single national percentage target for productivity improvement. Instead, MHCLG requires fire and rescue authorities to provide stronger evidence on how productivity is being improved, broader reporting that now includes on-call activity, clearer narrative on efficiencies achieved, and financial information extending through to 2028-29. The plan also sets out a number of material headlines for Lancashire, including non-pay efficiency savings delivered in 2025-26, the continued benefits of dynamic resource management and dynamic cover approaches, a pipeline of future efficiency opportunities, and a wider range of productivity initiatives covering operational, digital, training and workforce activity. RecommendationThe Committee is asked to note the report and the attached Productivity and Efficiency Plan 2026-27. |
Productivity and Efficiency Plans have been produced annually since 2024-25 and form part of the national framework for fire and rescue authorities in England. For 2026-27, responsibility for the plan has moved to MHCLG and the format of the plan is prescribed nationally. As a result, the attached plan is presented in the structure required by MHCLG rather than in a locally designed format.
The national requirements for 2026-27 are broader than in previous years. The plan now requires: multi-year financial information through to 2028-29; an efficiency narrative showing how savings have been achieved; a productivity narrative supported by stronger evidence where possible; reporting for both wholetime and on-call activity; and a new section on service changes and achievements. Direct employee savings can still be described in the wider financial strategy, but they no longer count towards the headline efficiency total in the same way as under the previous approach.
The key elements of the plan include:
· Strong delivery in 2025-26, including significant non-pay efficiencies and operational improvements linked to dynamic resource management and reduced standby activity.
· A pipeline of future opportunities from 2026-27 onwards, including fleet, ICT, estates, charging and operating model changes, with delivery subject to the normal approval, assurance and consultation arrangements where required.
· A broader set of productivity initiatives, such as digitisation of operational processes, improvements in training delivery, on-call development changes and better capture of workforce activity, which are intended to release capacity for front-line and support priorities.
· Finally, the plan highlights the Service’s collaboration activity, income generation work and Modern Ways of Working arrangements as part of a wider approach to continuous improvement.
The attached Appendix A is the Authority’s Productivity and Efficiency Plan for 2026-27 in the format required by MHCLG. Where the plan refers to future opportunities or forecast savings, these are included to reflect the Authority’s current planning assumptions and pipeline of work; they do not replace the need for separate approval, assurance, consultation or decision-making where those are required.
The financial information contained in the attached plan is drawn from the Authority’s approved budget, Medium Term Financial Strategy, capital planning assumptions and identified savings plans. The report itself does not seek approval to implement any individual future efficiency proposal. Where specific proposals require separate decision-making, consultation or further assurance, these will be brought forward through the appropriate governance route in the normal way.
There are no specific legal implications arising from noting the report itself. Individual proposals referred to in the attached plan will be subject to the appropriate legal, consultation and governance processes where required.
The report itself is for noting, but delivery of future proposals referenced in the plan will continue to require operational assurance, financial monitoring and governance oversight.
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Local Government (Access to Information) Act 1985
List of background papers
Paper:
Date:
Contact:
Reason for inclusion in Part 2 if appropriate: N/a
Appendix A: Productivity and Efficiency Plan 2026-27