Sheila Scales, director of the local transformation group at the DfES'said informal pooling of cash or aligning of budgets was "a very goodfirst step" but just one on the way to fully pooled budgets or localauthorities and their partners would not reap the benefits of wholesystem change.
Speaking at a Children Now conference, Scales said pooling budgetsoffered the chance to redesign services around users' needs as well asfinancial benefits.
Responding to concerns about the potentially negative impact of the NHSre-organisation she said the DfES was talking to the Department ofHealth about greater co-terminocity, where local authorities and primarycare trusts share borders.
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