Health and social care chiefs in Glasgow have issued a plea for more money after an audit raised concerns over financial sustainability, with a £116m funding gap over three years.

Cllr Chris Cunningham, SNP, said auditors had raised “legitimate and understandable” concerns about the future of the city’s Integration Joint Board (IJB).

His motion, backed by a majority of board members, calls for “adequate funding” from the IJB’s two partners: Glasgow City Council and NHS Greater Glasgow and Clyde.

The board — made up of members from the council and NHS — directs community health and social services for children, adults and older people as well as homelessness and criminal justice services.

A budget deficit of £116m for the three years to 2026/27 has been reported, which included a £36m gap this year (2024/25). Cuts to deal with the shortfall were agreed in March.

An annual audit report, from accounting firm Ernst & Young, for the year ending March 31, 2024, ranked the board’s financial sustainability as ‘red’ on its red, amber, green system.

It stated the IJB’s financial strategy “outlines an increasing financial challenge” and general reserves were “significantly depleted in 2023/24, as a result of planned use of £17.2m… alongside a further operational overspend of £1.6m”.

The report added reserves have “fallen to £8.4m, or 0.5% of net expenditure, against the board’s target of 2%”. “The IJB has plans in place to rebuild reserves, but further cost and demand pressures may put this at risk.”

It went on to state that by the end of June this year, due to overspends, the reserves had fallen to £6.7m and any further use would “make achieving the statutory requirement of setting a balanced budget increasingly difficult”.

Cllr Cunningham, who chairs the board, said: “When you look at the audit report, it is a sea of positives and green in assessment terms with one exception, and that one exception is financial sustainability.

“Because of the starkness of that contrast, and because of the legitimate and understandable comments from the auditors, it struck me that it was potentially appropriate for us to express a view on what the issues are arising from that.”

Financial management, vision, leadership and governance and use of resources were all ranked green in the audit.

The motion noted with “great concern” that reserves have “fallen to an unsustainable level” and that “further service reform and reduction will be required in the coming two years”.

It called on the two partners to ensure “sufficient funding is made available so that service delivery can be maintained”. 

Letters will also be sent to both the UK and Scottish Governments to outline the “substantial risks” faced and the need for “adequate funding” to be made available.

Cllr Cunningham said there are “legal obligations on both the health board and the council to ensure the IJB is in fact in an okay financial position”.