Agenda Document Pack - North Ayrshire Council - 11/02/2026
North Ayrshire Council · 11 February 2026
Back to North Ayrshire Council — 11 February 2026 and its agenda
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North Ayrshire Council, Cunninghame House, Irvine KA12 8EE North Ayrshire Council A Meeting of North Ayrshire Council will be held in the Council Chambers, Ground Floor, Cunninghame House, Irvine, KA12 8EE on Wednesday, 11 February 2026 at 14:00 to consider the undernoted business. Meeting Arrangements - Hybrid Meetings This meeting will be held on a predominantly physical basis but with provision, by prior notification, for remote attendance by Elected Members in accordance with the provisions of the Local Government (Scotland) Act 2003. Where possible, the meeting will be live-streamed and available to view at https://north-ayrshire.public- i.tv/core/portal/home. 1 Apologies 2 Declarations of Interest Members are requested to give notice of any declarations of interest in respect of items of business on the Agenda. 3 Previous Minutes The accuracy of the Minutes of the Meeting of the Council held on 17 December 2025 will be confirmed and the Minutes signed in accordance with Paragraph 7(1) of the Local Government (Scotland) Act 1973 (copy enclosed). 4 Provost's Report Submit report by the Provost for the period covering 8 December 2025 to 1 February 2026 (copy enclosed). 5 Leader's Report Submit report by the Leader of the Council for the period covering 8 December 2025 to 1 February 2026 (copy enclosed). 1
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North Ayrshire Council, Cunninghame House, Irvine KA12 8EE 6 Minute Volume (issued under separate cover) Submit, for noting and for approval of any recommendations contained therein, the Minutes of Meetings of committees of the Council held in the period 13 November 2025 to to 29 January 2026. 7 Election of Leader and Depute Leader Submit report by the Head of Service (Democratic Services) on the resignations of the Leader and Depute Leader and invite Council to nominate and elect replacement Members as Leader and Depute Leader of the Council (copy enclosed). 8 Council Budget 2026-27 Engagement Findings Submit report by the Head of Service (Finance) on the findings from recent Budget Engagement to inform decisions on the 2026-27 Council Budget (copy enclosed). 9 Shared Services Proposal – Economic Development Submit report by the Executive Director (Place) on the progress in relation to the development of regional collaborative working opportunities within Economic Development (copy enclosed). 10 Ardrossan Civic Centre Submit report by the Executive Director (Place) on the allocation of £85,000 from the Ardrossan Common Good Fund to enable completion of critical improvement works (copy enclosed). 11 Housing Revenue Account (HRA) Capital Investment Programme, Revenue Budget and Rent Levels for 2026/27 Submit report by the Executive Director (Communities and Housing) on the proposed HRA capital investment programme and revenue budget for 2026/27 and consequential rent levels (copy enclosed). 12 Questions In terms of Standing Order 14, submit:- (1) a question by Councillor Stalker to the Cabinet Member for Green Environment and Economy in the following terms: “The café at Lochshore Hub has been closed since Christmas and with the new tenant expecting to take over 1st April, can I ask if the building work that was needed has started and will it be completed in time for the new tenant taking over?” (2) a question by Councillor McLean to the Cabinet Member for Health and Social Care in the following terms: "How much time and engagement has North Ayrshire Council had with the Scottish Government's Social Work Anti-Racism Oversight Group and their ongoing work, including their August 2025 action plan?” 2
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North Ayrshire Council, Cunninghame House, Irvine KA12 8EE (3) a question by Councillor Murdoch to the Cabinet Member for Finance in the following terms: “Can the Cabinet Member please provide a figure which clearly states the sum paid to PPP Contracts since 2005, a figure for 2025/26 and a projected figure for the end of the original contract in 2038? (I am not asking for a complicated, comprehensive accountants' breakdown, just three total sums)” (4) a question by Councillor McLean to the Cabinet Member for Communities, Housing and the Islands in the following terms: “What engagement has the Cabinet Member had with the Scottish Government regarding its announced intention to create a new housing agency?” (5) a question by Councillor Murdoch to the Cabinet Member for Green Environment and Economy in the following terms: "I completely appreciate and understand that the new 20 MPH Speed Limits are being financed by the Scottish Government and are being installed at no cost to NAC. However, can the Cabinet Member please provide a total figure of how much the installation, administratively, legally & logistically, will cost to install across North Ayrshire?” (6) a question by Councillor McLean to the Leader of the Council in the following terms: “For the current known, up to date position, regarding the Scottish Government's intended purchase of Ardrossan Harbour?” 13 Motions In terms of Standing Order 15, submit:- (1) a motion by Councillor Stalker, seconded by Councillor Gallacher, in the following terms: The Conservative Group has lost confidence in Councillor Foster as Chair of the Planning Committee and Local Review Body. Council is accordingly asked to remove Councillor Foster as Chair and to appoint Councillor Inglis as Chair of both the Planning Committee and Local Review Body. 3
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North Ayrshire Council, Cunninghame House, Irvine KA12 8EE (2) a motion by Councillor Gurney, seconded by Councillor Larsen, in the following terms: Subject to the election of Councillors Gurney and Larsen as Leader and Depute Leader of the Council respectively, Council is asked: 1. to note: a. that Councillors Collier and Johnson will be appointed to Cabinet, notice having been given to that effect. Councillor Collier will be the Cabinet portfolio holder for the Green Environment and Economy and Councillor Johnson the portfolio holder for Education. b. that Councillor remuneration will be amended accordingly to reflect the appointments as Senior Councillors to Cabinet in terms of the Local Governance (Scotland) Act 2004 Amendment Regulations 2025. c. that in consequence of appointment to Cabinet, Councillor Collier will resign from the Audit and Scrutiny Committee and that Councillor Macaulay will be appointed in her place, notice having been given. 2. To agree to appoint Councillor Collier as portfolio holder for the Green Environment and Economy to the COSLA Environment and Economy Board. 3. To agree to appoint Councillor Johnson as Cabinet portfolio holder for Education to the COSLA Children and Young People Board and SEEMiS Board of Management 14 Urgent Items Any other items which the Chair considers to be urgent. 4
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North Ayrshire Council, Cunninghame House, Irvine KA12 8EE Webcasting Please note: this meeting may be filmed/recorded/live-streamed to the Council's internet site and available to view at https://north-ayrshire.public- i.tv/core/portal/home, where it will be capable of repeated viewing. At the start of the meeting, the Provost/Chair will confirm if all or part of the meeting is being filmed/recorded/live-streamed. You should be aware that the Council is a Data Controller under the Data Protection Act 2018. Data collected during the webcast will be retained in accordance with the Council’s published policy, including, but not limited to, for the purpose of keeping historical records and making those records available via the Council’s internet site. Generally, the press and public will not be filmed. However, by entering the Council Chambers and using the press or public seating area, you acknowledge that you may be filmed and that any information pertaining to you contained in the video and oral recording of the meeting will be used for webcasting or training purposes and for the purpose of keeping historical records and making those records available to the public. In making this use of your information the Council is processing data which is necessary for the performance of a task carried out in the public interest. If you have any queries regarding this and, in particular, if you believe that use and/or storage of any particular information would cause, or be likely to cause, substantial damage or distress to any individual, please contact dataprotectionofficer@north-ayrshire.gov.uk 5
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North Ayrshire Council, Cunninghame House, Irvine KA12 8EE North Ayrshire Council Sederunt Nairn Angus-McDonald John Bell Marie Burns Eleanor Collier Joe Cullinane Charles Currie Scott Davidson Anthea Dickson Stewart Ferguson Todd Ferguson Robert Foster Scott Gallacher Tony Gurney Alan Hill Mary Hume Cameron Inglis Margaret Johnson Amanda Kerr Christina Larsen Shaun Macaulay Tom Marshall Jean McClung Louise McLaughlan Matthew McLean Davina McTiernan Jim Montgomerie Ian Murdoch Donald Reid Donald L Reid Chloe Robertson Ronnie Stalker Angela Stephen John Sweeney Chair: Apologies: Attending: 6
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North Ayrshire Council 17 December 2025 At a Meeting of North Ayrshire Council at 2.00 p.m. involving a combination of participation by remote electronic means and physical attendance within the Council Chambers, Irvine. Present (Physical Participation) John Bell, Marie Burns, Eleanor Collier, Joe Cullinane, Anthea Dickson, Robert Foster, Scott Gallacher, Tony Gurney, Alan Hill, Cameron Inglis, Christina Larsen, Shaun Macaulay, Tom Marshall, Jean McClung, Matthew McLean, Donald Reid, Ronnie Stalker, Angela Stephen and John Sweeney. Present (Remote Electronic Participation) Nairn Angus-McDonald, Charles Currie, Todd Ferguson, Mary Hume, Margaret Johnson, Amanda Kerr, Davina McTiernan, Ian Murdoch and Donald L. Reid. In Attendance C. Hatton, Chief Executive; S. Anson, Executive Director (Education); C. Cameron, Director (Health and Social Care Partnership); D. Hammond, Executive Director (Communities and Housing); R. McCutcheon, Executive Director (Place); M. Boyd, Head of Service (Finance); A. Craig, Head of Service (Democratic), R. Lynch, Senior Manager (Legal Services); M. McColm, Senior Manager (Communications), C. Stewart and S. Wilson, Committee Services Officers, and H. Young, Senior Committee Services Officer (Democratic) (Corporate Services). Chair Provost Dickson in the Chair. Apologies Scott Davidson, Stewart Ferguson, Louise McLaughlan, Jim Montgomerie and Chloé Robertson. 1. Provost's Remarks The Provost welcomed those present to the meeting and dealt with preliminary matters, including intimation that the meeting, which was taking place on a hybrid basis, was being recorded. 2. Apologies The Provost invited intimation of apologies for absence, which were recorded. 3. Declarations of Interest There were no declarations of interest in terms of Standing Order 11 and Section 5 of the Councillors' Code of Conduct. There were no declarations of the Party Whip. Agenda Item 3 7
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4. Previous Minutes The accuracy of the Minutes of the Council held on 5 November 2025 were confirmed and the Minutes signed in accordance with Paragraph 7(1) of Schedule 7 of the Local Government (Scotland) Act 1973. 5. Provost’s Report Submitted report by the Provost for the period from 27 October 2025 to 7 December 2025. Noted. 6. Leader’s Report Submitted report by the Leader of the Council for the period for 27 October 2025 to 7 December 2025. Noted. 7. Council Minute Volume Submitted for noting the Minutes of meetings of committees of the Council held in the period 25 September 2025 to 2 December 2025. Noted. 8. Appointments to Outside Bodies The Council was invited to consider nominations received in respect of the North Ayrshire Leisure Limited Board and the Scottish Councils' Committee on Radioactive Substances. Councillor Cullinane, seconded by Councillor Bell, moved that Councillor Hume be appointed to serve on the Board as trustee of North Ayrshire Leisure Limited. There being no other nomination, Councillor Hume was duly appointed. Councillor Burns, seconded by Councillor Macaulay, moved that Councillor Collier be appointed to serve on the Scottish Councils' Committee on Radioactive Substances. There being no other nomination, Councillor Collier was duly appointed. Accordingly, the Council agreed to appoint (i) Councillor Hume to serve as trustee of North Ayrshire Leisure Limited; and (ii) Councillor Collier to serve on the Scottish Councils' Committee on Radioactive Substances. 8
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10. Best Value – Controller of Audit Report Submitted report by the Chief Executive on the findings of the recent Best Value Controller of Audit Report. The Best Value report was set out at Appendix 1 and the Accounts Commission expectations in terms of recommendations to take forward set out at Appendix 2 to the report. Councillor Larsen, seconded by Councillor McClung, moved the approval of the recommendations set out in the officer’s report. There being no amendment, the motion was declared carried. Accordingly, the Council agreed to (i) consider, note and accept the findings of the report; (ii) note the positive nature of the report and the good progress made since the last Best Value Audit in 2020; (iii) agree the proposed action plan in taking forward Best Value in the Council; and (iv) agree that further reports on progress will be presented to the Audit and Scrutiny Committee by way of Annual Audits and Council Plan Progress Reports to enable effective scrutiny. 11. Congratulatory Motion In terms of Standing Order 15.3, submitted the undernoted motion, duly proposed and seconded, which sought to congratulate, commend or recognise an individual or group in relation to their achievement or activities within North Ayrshire: “All the elected members of the Garnock Valley (Ward 2) wish to congratulate the working group with representatives from the 3 Community Councils of the Garnock Valley, Beith Community Development Trust, Dalry Community Sports Club, Dalry Community Development Hub & the Garnock Valley Youth Forum, supported by North Ayrshire Council’s Locality Partnership team and Nick Wright Planning, for the preparation and completion of the Garnock Valley Place Plan - a plan that won the Judges' Special Award at the 2025 Scotland Loves Local Awards for its unique, collaborative approach to the towns of Beith, Dalry, and Kilbirnie, and sets out clearly the aspirations for the Garnock Valley Locality through the collective working of community groups, the third sector, businesses, local and national governments, to enhance the sense of place and improve its economy”. There being no dissent, the congratulatory motion was declared carried. 12. Questions In terms of Standing Order 14, submitted: (1) a question by Councillor Angus-McDonald to the Leader of the Council in the following terms: “At the end of November, a child was nearly hit by a car outside West Kilbride Primary School – on the road where the administration cut the school crossing patroller. Through luck, a serious accident was narrowly avoided on this occasion, but it highlights the folly of the administration risking children’s safety with their cuts. 9
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What will it take for the Council Leader to accept they’ve made the wrong decision and reverse it?” The Leader of the Council thanked the Member for his question and responded in the following terms: “I am aware of what happened in West Kilbride and I believe there’s been some correspondence around issues like parked cars so I’m not going to comment on that specific incident. What I will make clear is how seriously I, and probably every other member in this chamber, take road safety, particularly in relation to children and young people. I’m sure many of us have had scares in the past. On a personal level, I have collected a friend’s son when he was hit by a car after walking on to the road looking at his phone. That incident was in Irvine. Fortunately he wasn’t seriously hurt as the car was moving very slowly. Another incidence in Saltcoats when a young relative was playing tig with his friends and ran on to the road. Again the car was moving slowly and he wasn’t seriously hurt. I’ve also had experience as a driver, sometimes just a child looking out between parked cars but the worst being a full on emergency stop when a child ran in front of me chasing a ball. My point is, that road accidents and near misses can happen any time and anywhere, that’s why it’s really important that we work with our children and young people to make sure they understand the danger and that they know how, where and when to cross a road safely. That applies whether they are going to and from school or whether they are out with friends and family. That’s why we have started a comprehensive refresh of our road safety strategy, work that is currently underway as I clarified at the last council meeting so I won’t repeat the list of actions that I provided at that meeting. It’s also important that drivers are part of this and we can see the beginning of the roll out of the 20mph speed limit, crucial in keeping our young people safe. All of these actions will form part of the refreshed road safety strategy which will come to the Policy Advisory Panel sometime in the new year.” As a supplementary question, Councillor Angus-McDonald asked how many near- misses, terrified parents and headlines would it take for the Administration to admit it was a reckless cut and to reinstate the school crossing patrollers? The Provost invited the Councillor Angus-McDonald to apologise for any insinuation which had been made during the supplementary question. Councillor Angus- McDonald duly withdrew his comment. The Leader of the Council advised that she had set out a comprehensive strategy that was crucial in keeping our children safe and advised that accidents and near misses could happen anytime and anywhere. 10
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(2) a question by Councillor Inglis to the Cabinet Member for Green Environment and Economy in the following terms: "The High Flats in Saltcoats have two large recycling bins, one blue and one purple. The residents have continually asked for these bins to be taken away as they are not being picked up regularly due to contamination. The waste awareness team has been out twice to meet tenants, however the contamination continues and the bins are not being picked up. Councillor Gurney thanked the Member for his question and responded in the following terms: “Recycling is extremely important, contributes to a circular economy and plays an important role in responding to the climate emergency. For this reason, I can confirm the recycling facilities will not be taken away from the residents at the Saltcoats High Flats. Waste Awareness Officers have been engaging with the residents of the high flats at O’Connor Court and Lambie Court in Saltcoats for several years to encourage the correct use of their communal recycling bins to try and avoid contamination and to deter fly tipping at the bin store area. This has included attending the Tenants and Residents Association meetings, providing ‘Right Stuff Right Bin’ leaflets to residents and hosting a staffed pop-up information table within the lobby of both flats to speak to residents about recycling. Blue bags for helping residents to separate and carry recyclables down to their recycling point were also provided. Despite the support provided to residents, there are still regular reports of contamination within the recycling bins received, which impacts on the ability of the service to empty the recycling bins. It is important that we all play our part in recycling and in order to support and encourage the residents at the High Flats in Saltcoats, the Waste Awareness Team will continue to work with the Tenants and Residents Association, owner/occupiers and Housing to identify workable solutions.” As a supplementary question, Councillor Inglis asked if the Cabinet Member would meet with Ward Members and the tenants association to discuss alternative solutions? Councillor Gurney advised he would be happy to meet with Ward Members but given diary commitments he could not commit to meeting with tenants but would do his best. (3) a question by Councillor Murdoch to the Cabinet Member for Green Environment and Economy in the following terms: “Can the Cabinet Member please provide detailed examples of how the Ayrshire Growth Deal has benefited my Ward, Ward 1, North Coast and the rest of North Ayrshire?” 11
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Councillor Gurney thanked the Member for his question and responded in the following terms: “To date the Growth Deal has delivered a range of benefits across North Ayrshire. In relation to the regional revenue projects: The £3million investment in the regional Community Wealth Building programme supported 112 businesses with specialist consultancy and 83 businesses with grants across North Ayrshire. Specifically for the North Coast, the Fund supported 18 businesses with specialist consultancy support and 10 businesses with grants to help grow their business. The CWB Programme included Fair Work Ayrshire to support businesses to create Fair Work Action Plans. Across Ayrshire 270 businesses, including 203 North Ayrshire and 23 North Coast businesses, were supported to create and implement fair work practices. Working for a Healthy Economy programme provides clinical support for people seeking employment and people in employment, at risk of unemployment across Ayrshire. To date this project has supported 2,290 Ayrshire residents including 878 North Ayrshire residents. This aligns with supported delivered by Employability services and has supported 60 people in 2203/24, 117 in 2024/25 and from April to December 2025. 47 people from the North Coast area have been supported. The Ayrshire Skills Investment Fund supports training interventions aligned with priority skills areas of engineering, clean growth, digital and the visitor economy for unemployed and employed people across Ayrshire. This investment commenced in October 2023 and has supported 475 employees and 150 unemployed people across Ayrshire of which 33 were North Ayrshire businesses and 239 were North Ayrshire employees. This has included 8 employees and 2 employers in the North Coast Ward to date. A rolling programme of requests for support continues. In relation to the capital projects, noting that a number of these are in development, the following provides a summary of the benefits and opportunities achieved to date. The first phase of the i3 Flexible Space project has delivered flexible advanced manufacturing space for businesses in an area where there is market failure but low vacancies, aging commercial premises and where public sector intervention is required. The project is located at i3 Business Park in Irvine as it is a key strategic site for business and industry for North Ayrshire. The benefits for businesses and/or residents located in Ward 1 and the wider North Ayrshire area include potential contract opportunities for local suppliers and contractors, increased availability of modern premises for local business expansion within North Ayrshire and employment and training opportunities for communities emerging from construction contracts, business growth and inward investment. Digital Process Manufacturing Centre is partnership with the National Manufacturing Centre (NMIS) and Centre for Process Innovation (CPI) to operate a facility providing digital demonstrations for businesses seeking to improve their manufacturing 12
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processes. The project is located at i3 Business Park in Irvine as it is a key strategic site for business and industry for North Ayrshire. Potential benefits for businesses and/or residents located in Ward 1 and the wider North Ayrshire area include opportunities for businesses to test and improve their manufacturing processes, opportunities to engage through links to the school / college / university curriculum around digital and the creation of an industrial cluster with the Flexible Space programme. Furthermore the project has resulted in enhanced links with the University of Strathclyde as an anchor organisation in the region. The Great Harbour project is regenerating Irvine Harbourside and Beach Park with three planned phases of works. Phase 1 (Coastal Hub, including the Beach Park, Phase 2 (Maritime Mile – main route from station to coast), and Phase 3 with the Scottish Maritime Museum. The project will improve Irvine Harbourside as a regional tourist destination within improved facilities for all North Ayrshire residents to benefit from, especially the enhancement of outdoor, inclusive spaces. There will also be opportunities for North Ayrshire businesses to benefit from in terms of contract opportunities. Local harbourside businesses will benefit from increased footfall. The Marine Tourism programme is focussing on securing infrastructure that supports key components such as sailing and boating, marine leisure, and recreation including in Cumbrae. This seeks to secure the development of the Marine Tourism industry in North Ayrshire with the aim of boosting coastal economies, jobs and visitor experiences through new facilities and sustainable blue economy initiatives. The investment will showcase the potential of the Clyde coast region as an inclusive and accessible place for active leisure. The International Marine Science & Environmental (IMSE) project will develop and capture innovation in marine sciences, marine spatial planning and marine technology and ensure that the Firth of Clyde is recognised as an exemplar in marine sustainability. The project is currently being developed with partners, the Field Studies Council (Millport), COAST (Arran) and Universities across Scotland. IMSE will open the region up to opportunities which advance discovery and develop marine education and training, alongside with focussing on the regeneration of marine environments. As a supplementary question, Councillor Murdoch asked if the Cabinet Member thought that North Ayrshire Council could do better regarding the investment of the Ayrshire Growth Deal, taking into consideration the use of the Growth Deal funding in East and South Ayrshire, as very little had progressed with the Irvine Harbourside proposal and Hunterston proposal? Councillor Gurney advised the Irvine Harbourside project was currently in progress and for commercial reasons he would not be able to discuss the Hunterston project within the meeting but would be happy to meet with members to discuss progress on the project. 13
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(4) a question by Councillor Currie to the Cabinet Member for Health and Social Care in the following terms: “An application to review the Island Communities Impact Assessment in relation to cuts to Montrose House has been submitted. Can the Cabinet Member confirm how many written representations were received in respect of the review application by the notice deadline of 3rd December? And can the Cabinet Member outline the process that will now be followed in responding to the review application?” Councillor Macaulay, on behalf of Councillor Robertson, thanked the Member for his question and responded in the following terms: “Following the IJB decision in August 2025 around the provision at Montrose House Care Home on Arran, on 11th November the IJB formally received an application for a review of the Island Communities Impact Assessment which accompanied the report. A total of 89 written representations were received by the deadline of 3rd December. A summary of the process for handling the written representations and next steps is noted below :- • Copies of all representations must be sent to the applicant in full to allow them to respond and comment, given the festive break the applicant will have until Monday 13th January 2026 to respond. • Redacted copies of representations will be published on the HSCP website. • Any further comments from the applicant will also be published in redacted form. • After the applicant’s comment deadline of 13th January we may either: Proceed to determine the review if sufficient information is available, or Issue a Regulation 12 notice requesting further information/representations. Copies must be sent to all relevant parties, with deadlines specified. If multiple parties are involved, submissions must be shared with both the IJB and the other parties. A further 10 working days is then allowed for comments on each other’s submissions. Once there is sufficient information to enable a decision to be made, the matter will be brought to the IJB for determination. The Decision Notice requires to be issued within 6 months of the validation date – in this case by 11th May 2026.” (5) a question by Councillor Stalker to the Cabinet Member for Green Environment and Economy in the following terms: " Can I ask the cabinet member for an update on the B777 Kilbirnie to Beith Road? Work is due to start early in 2026 but I have been contacted by some landowners saying they have been informed of delays?” 14
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Councillor Gurney thanked the Member for his question and responded in the following terms: “North Ayrshire Council’s Roads Services do not currently have any programmed works scheduled for the B777 Kilbirnie to Beith Road.” (6) a question by Councillor Murdoch to the Cabinet Member for Green Environment and Economy in the following terms: “Can the Cabinet Member please provide details of how Community Wealth Building has made significant savings to North Ayrshire Council and the methods used to do this?” Councillor Gurney thanked the Member for his question and responded in the following terms: “The core aim of Community Wealth Building (CWB) is not about making savings for North Ayrshire Council. At the centre of North Ayrshire’s Community Wealth Building approach there are five delivery pillars. These are: 1. Procurement 2. Employment (Fair Work) 3. Land and Assets (for community use) 4. Financial Power - by harnessing the wealth that exists locally. 5. Plural Ownership models such as Cooperatives, mutually owned businesses, SMEs and municipally owned companies which enable the wealth generated in a community to stay in that locality. Community Wealth Building is a community-centred economic approach to create resilient local economies by keeping wealth in communities, focusing on local ownership, fair work, local spending, and community control of assets like land and property.” As a supplementary question, Councillor Murdoch asked if the Cabinet Member and North Ayrshire Council would take note of the example set by West Kilbride Community Council who saved around £20,000 on local contacts and suppliers regarding solar powered street lighting to be installed in the Glen in west Kilbride? Councillor Gurney advised that solar was not reliable enough for statutory lighting at the moment and would be the first to promote it when he could ensure that was the case. Councillor Gurney also advised in terms of using local suppliers, he would agree with Councillor Murdoch and that 27% of our expenditure was with local suppliers, an increase of £9million since last year. Councillor Gurney intimated that he would encourage local suppliers to get in touch to enquire about the process for supplying the Council and that there were information sessions run to explain the process. He further indicated that he would be pleased for local suppliers to take on work for the Council. 15
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(7) a question by Councillor D. Reid to the Cabinet Member for Green Environment and Economy in the following terms: “Can the Cabinet Member provide clarification on the extent of the implementation of the introduction of the 20 mph speed limit in residential areas in North Ayrshire?” On a point of order, the Monitoring Officer provided clarification in terms of Standing Order 14.4, that no further preamble would be permitted and the Member may read out the question with the contextual preamble tabled. Councillor Gurney thanked the Member for his question and responded in the following terms: “The introduction of 20mph limits has been progressed in accordance with Transport Scotland guidance. This involved a review being carried out in 2023/24 to identify the roads that would be suitable to change to 20mph within urban areas. This included the review of over 2000 roads and resulted in the creation of overview plans with proposals for each town. This was presented to the Policy Advisory Panel on 13 May 2025 and, following some refinements, to Cabinet on 3 June 2025. Several factors require to be considered when making the assessment which include matters such as, is the road near an educational setting, a community centre, place of worship, health care setting and other key buildings which attract members of the public. Consideration is also given to the number of residential and/or retail premises fronting the road. In general, a road suitable to remain at 30 mph will typically be an A or B Class Road with little frontage activity and where people walking, wheeling, and cycling do not need to share space with motor traffic. Officers have recently re-assessed some locations prior to the Temporary Traffic Regulation Orders being promoted which has resulted in a small number of locations being added to the 20mph list. An elected members Briefing Note was issued on 12 December 2025 with further information on this, including the estimated implementation date by town.” Councillor Reid thanked the team for taking on feedback from Elected Members, parents and residents. Councillor Gurney further added that officers are happy to receive feedback on the success or otherwise of the temporary traffic restrictions to inform the position going forward. (8) a question by Councillor Inglis to the Cabinet Member for Green Environment and Economy in the following terms: 16
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“As the council gets ready to implement 20mph speed limits upon residents of North Ayrshire, can the Cabinet Member tell the council why there was no local consultation to this policy before it was introduced?” Councillor Gurney thanked the Member for his question and responded in the following terms: “Transport Scotland produced a guidance document recommending that the implementation of the reduced speed limit is undertaken using Temporary Traffic Regulation Orders (TTRO) in the first instance. This will allow for progress to be made with implementation and gives the community time to experience the change. It also allows for the lower speed limit to be monitored and evaluated for a period. During this period, decisions can then be made as to whether the 20mph speed limit can be refined or modified before a final Traffic Regulation Order (TRO) is made. It is widely accepted that the best outcomes from consultation and engagement are achieved from informed and experience-based responses. It is anticipated the time afforded local communities to experience and understand the impacts of the 20mph speed limits during the Temporary Traffic Regulation Orders process will provide this enhanced feedback. Following the evaluation period, permanent TROs will be promoted for roads that are appropriate. A public consultation period of 21 days must be provided prior to any permanent TRO being established. This process was detailed in the Cabinet report of 3 June 2025 and the Briefing Note issued to the Audit & Scrutiny committee on 19 June 2025.” As a supplementary question, Councillor Inglis asked if the Cabinet Member would agree that the policy should stop being implemented and that a local consultation should take place with residents to decide the roads they believe should become 20mph? Councillor Gurney advised he did not agree with Councillor Inglis and that some communities had requested 20mph zones in some areas, such as Fergushill Road and Lochlibo Road and it was not being forced upon communities. Councillor Gurney referred to the original Cabinet paper and subsequent call-in which highlighted the statistic that people were seven times more likely to die if they were hit by a car travelling at 30mph than at 20mph. Councillor Gurney further advised he believed this was a huge move forward for road safety and that he would have difficulty not implementing the 20mph speed limit when we had the opportunity to do something that would save lives. (9) a question by Councillor Murdoch to the Leader of the Council in the following terms: “Can the Leader of the Council please provide examples of how North Ayrshire Council are working to preserve the history of Sir Thomas Makdougal Brisbane, his 17
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connection to Largs, North Ayrshire and Brisbane in Australia and the last remaining artifacts in Largs?” Councillor Hill thanked the Member for his question and responded in the following terms: “Connected Communities are working with key stakeholders to support raising awareness of the work of Sir Thomas Makdougall Brisbane and his connection to Largs. Initial discussions have taken place with the Brisbane Observatory Trust as well as Largs Development Trust who received funding to consider art installations in the town. The Provost was contacted earlier this month, by the Chairperson of the Clem Jones Foundation in Brisbane, Australia, to explore areas of potential to further strengthen connections. The Olympic Games in Brisbane in 2032 provides an ideal catalyst for events to take place or physical works to happen on the existing artefacts that remain in the town. We are happy to work with any local elected members or organisations who may wish to get involved.” As a supplementary question, Councillor Murdoch asked if the Cabinet Member would support the proposal to build a replica of Brisbane observatory on Largs shorefront, possibly near the Brisbane Centre and Mackerson Bridge, and as a matter of urgency support the restoration of the three sisters landmark? Councillor Hill advised that officers would be happy to look at any proposals brought forward to support and recognise the work that Sir Thomas Makdougall Brisbane carried out over the years. Councillor Hill further advised that the intention was to organise a meeting with the appropriate groups on the restoration of the three sisters landmark early in the new year. (10) a question by Councillor Foster to the Leader of the Council in the following terms: “NHS Ayrshire and Arran is a health board without a permanent CEO and has received the highest level of financial bailout loans from the Scottish Government, totalling £130million. The impact of this crisis is felt by people across our region, with performances in areas such as A&E waiting times being well below the national average. As the Council’s representative on the board of NHS Ayrshire and Arran, is the Council Leader concerned by the assessment of Audit Scotland that there is “no evidence that NHS Ayrshire and Arran can achieve financial sustainability”?” The Leader of the Council thanked the Member for his question and responded in the following terms: 18
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“I am concerned about the funding gap as are all members of the health board. I don’t want to get into relative performance because it’s a complex issue where demographics and levels of deprivation can be contributing factors. I can assure Councillor Foster that health board officers take this very seriously and are working with the Scottish Government, looking at how that funding gap can be reduced without compromising the quality of patient care. It’s also worth mentioning the importance of early intervention and prevention, one of the reasons why I asked officers to bid to be a pilot area for the CHES work. Improving the health of our residents and communities is a priority for us as a council and for our community planning partners. It won’t make a significant impact on NHS performance in the short term but I think we all recognise it could make a difference in easing pressure on the NHS and care system in the longer term.” 13. Motions In terms of Standing Order 15, submitted: (1) a motion by Councillor Inglis, seconded by Councillor Stalker, in the following terms: Council notes the findings in the Scottish Fiscal Commission’s 2025 Fiscal Sustainability Report and subsequent national documents including the Medium- Term Financial Strategy and Social Work Scotland’s sector response. Council recognises that North Ayrshire HSCP faces challenges in delivering sustainable health and social care due to its island geography and demographic change. Council believes that urgent, coordinated action is required to safeguard the wellbeing of our communities and ensure equitable access to social care. Council therefore resolves to: 1) Call on the Scottish Government to urgently ensure that an increase in sustainable funding is made available to local authorities for HSCPs to deliver integrated social care, deliver improved recruitment, training and retention of key workers, and support investment in early invention, family support, and community- led services to reduce demand on crisis care to prevent a Health and Social Care emergency being called in North Ayrshire. 2) Instruct the Chief Executive to write to the Cabinet Secretary for Health and Social Care to convey this motion and request a meeting between the Cabinet Secretary, the Leader of the Council and the leaders of the political parties at North Ayrshire Council to set out how it proposes to address the issues identified in the 2025 Fiscal Sustainability Report and ensure a sustainable future for the health and social care sector. There being no amendment the motion was declared carried. 19
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(2) a motion by Councillor Angus-McDonald, seconded by Councillor Cullinane, in the following terms: “Council believes that everyone should be able be spent their final days, weeks and months of their life making memories with their loved ones but for too many terminally ill, the cost-of-living makes those final days unimaginably difficult. Council agrees that, where possible, the financial burden on people living with terminal illness should be eased. Council acknowledges that a number of local authorities in England have exempted people with terminal illness from Council Tax for a period of up to 12 months, but we also acknowledge that local authorities in Scotland do not have the delegated powers to do so. This council therefore resolves to lobby the Scottish Government for these powers, either through a change to the Local Government Finance Act 1992 or new council tax exemption regulations. The Council agrees that the Chief Executive shall write to the Scottish Government to seek such powers and thereafter asks officers to bring a report to Council outlining options for implementing an exemption”. Members asked questions of clarification of the movers of the motion. The Monitoring Officer provided clarification on the competency of the motion. As an amendment Councillor Larsen, seconded by Councillor Hill, proposed the following: “Council believes that everyone should be able be to spend their final days, weeks and months of their life making memories with their loved ones but for too many terminally ill, the cost-of-living makes those final days unimaginably difficult. Council agrees that, where possible, the financial burden on people living with terminal illness should be eased. Council acknowledges that a number of local authorities in England have exempted people with terminal illness from Council Tax for a period of up to 12 months while Scotland do not yet have the delegated powers to do so. The Council agrees that the Chief Executive shall write to the Scottish Government to ask them to consider if these powers can be delegated to Councils, either through a change to the Local Government Finance Act 1992 or new council tax exemption regulations, and for this work to be undertaken following their Future of Council Tax consultation.” Members asked questions of clarification of the movers of the amendment. There followed summing up. On a division and roll call vote, there voted for the amendment, Councillors Burns, Collier, Dickson, Gallacher, Gurney, Hill, Inglis, Johnson, Larsen, Macaulay, Marshall, McClung, McTiernan and Stephen (14) and for the motion, Councillors Angus-McDonald, Bell, Cullinane, Currie, T. Ferguson, Foster, Hume, Kerr, McLean, Murdoch, D. Reid, D. L Reid, Stalker and Sweeney (14). There being an equality of 20
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votes, the Provost exercised her casting vote in terms of Standing Order 19.6 in favour of the amendment, which was declared carried. Accordingly, the Council agreed as follows: “Council believes that everyone should be able be to spend their final days, weeks and months of their life making memories with their loved ones but for too many terminally ill, the cost-of-living makes those final days unimaginably difficult. Council agrees that, where possible, the financial burden on people living with terminal illness should be eased. Council acknowledges that a number of local authorities in England have exempted people with terminal illness from Council Tax for a period of up to 12 months while Scotland do not yet have the delegated powers to do so. The Council agrees that the Chief Executive shall write to the Scottish Government to ask them to consider if these powers can be delegated to Councils, either through a change to the Local Government Finance Act 1992 or new council tax exemption regulations, and for this work to be undertaken following their Future of Council Tax consultation.” (3) a motion by Councillor D. Reid, seconded by Councillor Sweeney, in the following terms: “North Ayrshire Council agrees to admit the Royal Regiment of Scotland as an Honorary Freeman of North Ayrshire.” Members asked questions of clarification of the movers of the motion. At the invitation of the Provost, the Chief Executive provided clarification that there were no financial implications beyond awarding a certificate or a commemorative note. The Monitoring Officer provided clarification that the Freeman of North Ayrshire was Honorary position with no special privileges or rights to land. Following various points of order, the Monitoring Officer provided clarification on the motion to admit the Royal Regiment of Scotland as an Honorary Freeman of North Ayrshire and further advised there was provision within Standing Orders that the presentation of a certificate at a meeting of Council would be acceptable. Thereafter, Councillor T Ferguson, seconded by Councillor McLean, moved an amendment as follows: “North Ayrshire Council agrees to admit the Royal Regiment of Scotland as an Honorary Freeman of North Ayrshire and invite to a future Council meeting to be presented with a certificate.” 21
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Thereafter, Councillor Gurney, seconded by Councillor Larsen, moved an amendment to not proceed with the motion and request a report outlining the criteria for the Honorary Freeman of North Ayrshire award. At the invitation of the Provost, the Chief Executive provided clarification that officers work with members on the competency of motions only, which did not give approval or support to particular motions. In terms of Standing Order 16.5, and with the agreement of his seconder, Councillor Reid agreed to amend his motion in accordance with the first amendment which became the substantive motion. There followed debate and summing up. On a division and roll call vote, there voted for the amendment, Councillors Burns, Collier, Gurney, Hill, Johnson, Larsen, Macaulay, McClung and McTiernan (9) and for the motion, Councillors Angus-McDonald, Bell, Cullinane, Currie, T. Ferguson, Foster, Hume, Kerr, McLean, Murdoch, D. Reid, D. L Reid, Stalker and Sweeney (14), Councillors Dickson, Gallacher, Inglis, Marshall and Stephen abstaining The Monitoring Officer provided clarification that the threshold of two-thirds of members present and voting had not been met for Council to proceed with the motion. Accordingly, the Council agreed not to proceed with the motion. In terms of Standing Order 6.8, the Provost agreed that the meeting be adjourned at 4.09 p.m. for a short comfort break, reconvening at 4.25 p.m. with the same Members and officers present and in attendance, with the exception of Councillors Hume and Marshall. (4) a motion by Councillor D. Reid, seconded by Councillor Cullinane, in the following terms: “North Ayrshire Council agrees to admit Mr Steve Clarke of Saltcoats as an Honorary Freeman of North Ayrshire following his ongoing success as Scotland Manager”. In terms of Standing Orders 15.1 and 16.5, Councillor D. Reid, as the mover of the motion and with the agreement of his seconder, agreed to withdraw his motion to allow for further discussion on the process to admit an honorary freeman of North Ayrshire. The meeting ended at 4:35 p.m. 22
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OFFICIAL INFORMATION OFFICIAL INFORMATION PROVOST’S REPORT For the period covering: 8 December 2025 – 1 February 2026 The attached report gives a summary and brief details to Council, of meetings and events attended by the Provost of North Ayrshire Council, Councillor Anthea Dickson. Agenda Item 4 23
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PROVOST’S REPORT • • • 1 OFFICIAL INFORMATION OFFICIAL INFORMATION PROVOST’S REPORT For the period covering: 8 December 2025 – 1 February 2026 Since the last meeting of the Council, I have taken part in many events, including: North Ayrshire Women’s Aid Poetry Competition, Saltcoats, 9 December On 9 December, I attended a very special evening at North Ayrshire Women’s Aid in Saltcoats, where the winners of their poetry competition came to receive their awards. We heard poems and stories, all beautifully written powerful pieces. It was also a great opportunity for me to congratulate the winners and the organisers. North Ayrshire Music Service Winter Concert, Dalry Primary School, 17 December On 17 December, I attended North Ayrshire Music Service’s winter concert in Dalry Primary School. It was a wonderful night of festive entertainment performed by very accomplished string ensembles and concert bands. The event highlighted the exceptional talents of the young musicians we have in our schools. Ayrshire Fiddle Orchestra Christmas Concert, Ayr Town Hall, 20 December I attended Ayrshire Fiddle Orchestra’s Christmas Concert, held in Ayr Town Hall, on 20 December. The concert was excellent and gave the young musicians the opportunity to show their level of accomplishment to a very appreciative audience. Unveiling of Plaque, Barrmill Community Centre, Barrmill, 11 January On 11 January, I was delighted to attend the unveiling of a plaque at Barrmill Community Centre, by Jean Gilbert MBE. The plaque will serve as a lasting reminder of Jean’s dedication to her local community. She is inspirational and continues to bring people together, she works tirelessly in support of local and wider initiatives, as well as being a powerful advocate for disability rights. 24
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PROVOST’S REPORT • • • 2 OFFICIAL INFORMATION OFFICIAL INFORMATION Eglinton Burns Club Annual Celebration, Riverside Lodge Hotel, Irvine, 16 January On 16 January, I attended Eglinton Burns Club Annual Celebration in the Riverside Lodge Hotel in Irvine. This traditional event celebrated the life and times of Robert Burns with an enjoyable evening of celebration with great speakers, outstanding performances and excellent company. ASIF IGNITE, Welding Skill’s Launch, J&D Pierce, Beith, 19 January On 19 January, I was delighted to launch the “IGNITE” welding academy at J&D Pierce. The course provides a unique opportunity for six unemployed people to be trained to the international welding standard. The course is being delivered by industry leaders J&D Pierce and has been funded through the Ayrshire Skills Investment Fund as part of the Ayrshire Growth Deal. Police Scotland Divisional Awards Ceremony, Ayr Town Hall, 20 January On 20 January, I attended Police Scotland’s Divisional Awards Ceremony in Ayr Town Hall. It was great to hear about the excellent work that has been carried out by officers in Ayrshire. I was delighted to present the “Serving our Communities Award” to PC Guy Jenner for his excellent partnership working in North Ayrshire to reduce the supply of illegal vapes and tobacco and his personal initiative which has led to increased intelligence being gathered. His educational presentation has also been well received pan-Ayrshire and there is national interest in an animated presentation to raise awareness of the dangers of vape usage. Beat the Street Celebration Event and Prizegiving, Irvine Townhouse, 23 January The Beat the Street 6-week programme was celebrated on 23 January in Irvine Townhouse. There were some great overall performances and congratulations go to Glebe Primary School, Dreghorn Primary School and Lawthorn Primary School for their fantastic efforts. Irvine Burns Club Annual Celebration, Volunteer Rooms, Irvine, 24 January On 24 January, I attended Irvine Burns Club’s 200th annual celebration in the Volunteer Rooms, Irvine. It was a truly fitting occasion, with great food, wonderful company, inspiring speakers and exceptional performers. The event highlighted the incredible work carried out by volunteers and the strength of our community. 25
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PROVOST’S REPORT • • • 3 OFFICIAL INFORMATION OFFICIAL INFORMATION Kirking of Irvine Burns Club President Elect, Irvine Old Parish Church, 25 January On 25 January, I along with a number of local civic organisations gathered at Irvine Townhouse, before parading to Irvine Old Parish Church for the Kirking of Irvine Burns Club President elect. Later that afternoon, I, along with others, laid a wreath at the Burns Statue on Irvine Moor to commemorate the birth of Robert Burns. Afterwards, in Wellwood, Peter Latham was officially installed as President of Irvine Burns Club and Rosemary Murdoch the Vice- President. St. Palladius Primary School Burns Supper, Dalry, 29 January On 29 January, I attended the St. Palladius Primary School Burns Supper. It was a delight to witness the pupils’ enthusiasm for Scottish culture and history as they celebrated the birth Robert Burns. Dreghorn Primary School Burns Supper, Dreghorn, 30 January Dreghorn Primary School held their Burns celebration on 30 January. I was delighted to be invited to join the pupils for what proved to be a thoroughly enjoyable event, featuring excellent performances, all strongly supported by the staff. Councillor Anthea Dickson Provost North Ayrshire Council 26
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Official Information Official Information LEADER’S REPORT For the period covering: 8 December 2025 – 1 February 2026 The attached report gives a summary and brief details to Council, of meetings and events attended by the Leader of North Ayrshire Council, Councillor Marie Burns. Agenda Item 5 27
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LEADER’S REPORT • • • 1 Official Information Official Information LEADER’S REPORT For the period covering: 8 December 2025 – 1 February 2026 NHS BOARD MEETING, 8 December On 8 December, I attended an NHS Ayrshire and Arran Board meeting where financial issues and budgets for the new financial year were the main topics for discussion. This follows on from a letter received from the Scottish Government on finance and expectations for the year ahead. The Board were also asked to endorse outcomes from the Board Workshop held on 1 December about transformation of services and sub-national planning. LOCAL DEVELOPMENT PLAN COMMITTEE, 9 December On 9 December, I attended a Local Development Plan Committee meeting held at the Council Chambers in Cunninghame House. PAN AYRSHIRE MINISTERIAL MEETING, 9 December Later on 9 December, I attended a meeting at East Ayrshire Council Offices in Kilmarnock to discuss progress on the Ayrshire Growth Deal. The meeting was attended by Scottish and UK Government officials including Richard Lochhead MSP (Minister for Business and Employment) and Kirsty McNeill MP (UK Government Minister). The meeting was also attended by Council Leaders from East Ayrshire and South Ayrshire Councils, Councillor Douglas Reid and Councillor Brian Connolly, together with senior Council officers and representatives from local businesses. Unfortunately, due to bad weather we were unable to attend the groundbreaking ceremony at Moorfield Industrial Estate in Kilmarnock, however, useful discussions were held by attendees identifying key areas of work which should be prioritised. AYRSHIRE ECONOMIC JOINT COMMITTEE, SUB COMMITTEE OF THE AYRSHIRE SKILLS INVESTMENT FUND (ASIF), 10 December On 10 December, I attended a meeting of the Ayrshire Skills Investment Fund (ASIF), a sub committee of the Ayrshire Economic Joint Committee (AEJC). The sub committee discussed and approved several grant funding requests. ASIF launched in October 2023 with £3.5 28
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LEADER’S REPORT • • • 2 Official Information Official Information million provided to address skills gaps, aiming to upskill 1,000 residents by 2028 in engineering, digital, visitor economy and clean growth. It focuses on priority groups; females, young people, people in low-paid employment, people with long-term disabilities and health conditions. There was also an update on progress so far with the EKOS Skills Research Recommendations. ELECTED MEMBER DEVELOPMENT SESSION, “CONSIDERING STATUTORY IMPACT DUTIES”, 10 December On 10 December, I attended an elected member development session in Cunninghame House, for a session entitled “Considering Statutory Impact Duties” delivered by the Council’s Legal Team. NHS AYRSHIRE AND ARRAN HEALTHCARE GOVERNANCE COMMITTEE, 12 January On 12 January, I attended an NHS Ayrshire and Arran Healthcare Governance Committee (HGC) where attendees received reports on patient safety and patient experiences. Several Quality Improvement and assurance reports were discussed including the following: • Quality and Safety Walkrounds • Care Home Governance • COVID 19 Inquiry • Pressure Ulcers The Committee also noted and approved the minutes from various other Committees from the last quarter period and agreed HGC meeting dates for 2026-27. MODERN APPRENTICE MEET AND GREET, 12 January Also on 12 January, together with North Ayrshire Council’s Chief Executive, Craig Hatton, I met with some of our Modern Apprentices to hear about their journey into the workplace. North Ayrshire Council's Modern Apprentice programme is aimed at 16 to 19 year-olds living in North Ayrshire and it is designed to give young people the opportunity to learn key skills through work and training to kick-start their career and progress in meaningful jobs and positive pathways. This is part of the council’s wider Working North Ayrshire programme and the council offers opportunities across a range of services including Early Year, Business 29
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LEADER’S REPORT • • • 3 Official Information Official Information Administration, Civil Engineering, Horticulture, Housing, Health and Social Care and Youth Work. Thanks to our Employability team for the help and support provided to our Modern Apprentices and for helping them to gain invaluable experience. I wish all our Modern Apprentices the best for the future and in securing full-time employment at the end of their time here at North Ayrshire Council. NHS AYRSHIRE AND ARRAN ENDOWMENT TRUSTEES MEETING, 13 January On 13 January, I attended a meeting of the NHS Ayrshire and Arran Endowment Trustees. The Committee received an investment update from the company Evelyn & Partners. Trustees also received various reports on expenditure on certain funds including the General Fund and the Restricted Fund Plan. SPECIAL COSLA LEADERS’, 15 January On 15 January, I attended a Special COSLA Leaders meeting to discuss the Scottish Budget and Local Government Settlement. MEETING WITH MPs, 16 January On 16 January, together with other Ayrshire council leaders and senior council officers, I attended a meeting with several Members of Parliament (MP) representing Ayrshire, including Alan Gemmell MP, Irene Campbell MP and Lilian Jones MP. The meeting was to discuss the Ayrshire Growth Deal (AGD) and progress to date on several projects. This follows on for a meeting held in December with UK and Scottish Ministers and Ayrshire council leaders to discuss the AGD. THE PROMISE CONFERENCE, 20 January On 20 January, I attended “The Promise” conference held at Saltcoats Town Hall. The event began with an update on the strategic priorities for The Promise Scotland and detailed leadership accountability. This was followed by a powerful session where attendees heard directly from young people and their experiences. 30
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LEADER’S REPORT • • • 4 Official Information Official Information The event finished with an update on how North Ayrshire Council is performing and highlighted some of its key initiatives. It was a useful and thought-provoking event and I would like to thank the young people for sharing their stories with us. NHS BOARD FINANCIAL PLANNING WORKSHOP, 22 January On 22 January, I attended an NHS Ayrshire and Arran Board financial planning workshop. Attendees discussed the 2026/27 budget settlement, cost pressures and efficiency improvements. NHS AYRSHIRE AND ARRAN AUDIT AND RISK COMMITTEE, 22 January Later on 22 January, I attended an NHS Audit and Risk Committee (ARC) meeting where attendees discussed various Internal and External Audit papers. The Committee also received a Counter Fraud Update report. The Committee also reviewed and agreed the ARC Terms of Reference before submission to the Board for final approval. VISIT TO MILLPORT, 28 January On 28 January, together with North Ayrshire Council’s Chief Executive, Craig Hatton and North Ayrshire Council Head of Service, Louise Kirk, I visited Millport to attend a meeting with Juli Dempsey from the Isle of Cumbrae Distillers to discuss the operation of the proposed Ayrshire Growth Deal (AGD) step-ashore facilities in Millport. The AGD Marine Tourism Programme is a 10-year Scottish Government-funded regeneration initiative designed to grow the marine tourism economy in North Ayrshire and looks to deliver new marine infrastructure on the islands of Cumbrae and Arran to attract more visitors and increase boat visits to the islands. Step-ashore facilities enable boats to land and berth safely, enabling passengers to embark/disembark directly onto land by foot. These typically include floating pontoons secured by moorings, anchors, or steel piles, connected to shore via a gated linkspan bridge, steps, or ladders. This ensures dry-foot access in varying tidal conditions. COSLA LEADERS’, 31 January On 31 January, I joined a meeting of COSLA Leaders to discuss a packed agenda including the following items: 31
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LEADER’S REPORT • • • 5 Official Information Official Information • Scottish Budget and Local Government Finance Update • Council Tax – Consultation Response • Historical Child Abuse Redress (Non-financial) • Coming Home Action Plan • Free School Meals Expansion • Reducing Class Contact Time • IJB Voting Rights and NCS Advisory Board • Culture Partnership Agreement – Statement of Intent • Regional Economies • Flood Risk Management Affordability FINALLY Since this is my last report as Leader of the Council, I just wanted to say a few words of thanks. It has been an absolute privilege to be the leader of North Ayrshire Council, following on from a term as Cabinet member for Economic Development and a second term as Leader of the Opposition. I am proud of what this council has achieved in very difficult times. That's about setting the right policy direction but couldn't be achieved without the hard work of our officers working alongside us. We have some outstanding officers in this council, too many to name but hopefully I've made clear my respect and gratitude for your support along the way. I also want to thank our community planning partners and particularly colleagues in the third sector for the journey we've shared. Lastly, I want to thank our local communities for their support, passion and commitment in making North Ayrshire a better place for all of us. I will of course remain an elected member for Irvine East and will offer support in any way I can to our new leadership team as they take the council forward. 32
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LEADER’S REPORT • • • 6 Official Information Official Information Councillor Marie Burns Leader of North Ayrshire Council 33
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NORTH AYRSHIRE COUNCIL 11 February 2026 North Ayrshire Council Title: Election of Leader and Depute Leader Purpose: To intimate the resignations of the Leader and Depute Leader and invite Council to nominate and elect replacement Members as Leader and Depute Leader of the Council. Recommendation: That Council: a) notes the resignations of Councillors Burns and Macaulay from their respective positions as Leader and Depute Leader of the Council and associated Committees and Outside Bodies; b) seeks nominations and elects a new Leader of the Council and appoints them to relevant Committees and Outside Bodies detailed at paragraph 2.3 of the report; c) seeks nominations and elects a new Depute Leader of the Council and appoints them to relevant Committees and Outside Bodies detailed in paragraph 2.5 of the report; and d) notes that appropriate changes will be made to Elected Member remuneration in accordance with the Local Governance (Scotland) Act 2004 Amendment Regulations 2025. 1. Executive Summary 1.1. This report requests Council to elect a new Leader and Depute Leader of the Council following the resignations of Councillors Burns and Macaulay. 1.2. Consequential vacancies have also arisen on Cabinet and Outside Bodies. Council should note that on the election of a new Leader and Depute Leader, they will be appointed to Cabinet in accordance with the Scheme of Administration. Council will also be asked to appoint the new Leader and Depute to relevant Outside Bodies detailed in this report. 1.3. The new Leader and Depute will be remunerated in accordance with the Local Governance (Scotland) Act 2004 Amendment Regulations 2025. The salaries of the outgoing Leader and Depute Leader will also be adjusted to appropriate levels in accordance with those regulations. 2. Background 2.1. The Leader and Depute Leader of the Council intimated their resignations from their roles as Leader and Depute to the Chief Executive with effect from 12 Agenda Item 7 35
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noon on 11th February 2026. They also intimated that they would in consequence resign from Cabinet and a number of Committees and Outside Bodies as detailed in this report. 2.2. Councillors Burns and Macaulay will in consequence of their resignations no longer be Chair and Vice Chair respectively of Cabinet and the Staffing and Recruitment Committee and those positions will be filled by the newly elected Leader and Depute in accordance with the Scheme of Administration. 2.3. Councillor Burns has intimated that she will step down from the following positions which are held in her capacity as Leader of the Council and to which the new Leader should be appointed: Joint Committees Chair - Community Planning Partnership Board Ayrshire Economic Joint Committee – Rotational Chair Ayrshire Economic Partnership Board Ayrshire Shared Services Committee - Rotational Chair 1st Tier Joint Consultative Committee (JCC) Outside Bodies COSLA Leaders and Convention Convention of Highlands and Islands (COHI) Ardrossan Task Force – Joint Chair 2.4. Councillor Burns has also intimated her resignation from the Scottish Older People’s Assembly. 2.5. Councillor Macaulay has intimated that he will step down from the Community Planning Partnership Board, COSLA Convention and the JCC which are held in his capacity as Depute Leader of the Council and to which the new Depute Leader should be appointed. 2.6. Councillor Macaulay has also resigned from the following Outside Bodies and it is recommended that Council appoints the relevant new Cabinet Portfolio Holder for Education to those positions, once confirmed: COSLA Children and Young People Board SEEMiS Board of Management. 2.7. Elected Member remuneration will be amended to reflect the resignations and new appointments as Leader and Depute Leader of the Council in accordance with the Local Governance (Scotland) Act 2004 Amendment Regulations 2025. 2.8. At the time of writing the report, the SNP Group have indicated that they wish to continue with the administration of the Council and nominations have been received for the appointment of Councillors Gurney and Larsen as Leader and Depute Leader of the Council respectively. 36
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3. Proposals That Council: a) notes the resignations of Councillors Burns and Macaulay from their respective positions as Leader and Depute Leader of the Council and associated Committees and Outside Bodies; b) seeks nominations and elects a new Leader and Depute Leader of the Council and appoints them to relevant Committees and Outside Bodies as detailed in paragraphs 2.3 and 2.5 respectively; and c) notes that appropriate changes will be made to Elected Member remuneration in accordance with the Local Governance (Scotland) Act 2004 Amendment Regulations 2025. 4. Implications/Socio-economic Duty Financial 4.1. None. Human Resources 4.2. None. Legal 4.3. The election of a new Leader and Depute Leader of the Council will fulfil compliance requirements with the Council’s Standing Orders and governance processes. Equality/Socio-economic 4.4. None Climate Change and Carbon 4.5. None. Key Priorities 4.6. Ensuring robust governance processes are in place including Elected Member appointments to key strategic roles is an essential element of the Council’s operations and complies with the Key Priority of being A Sustainable Council. Community Wealth Building 4.7. None. Islands Communities Impact Assessment (ICIA) 4.8. None. United Nations Rights of the Child (UNCRC) 4.9. None. Consumer Duty 4.10. None 5. Consultation 5.1. None required for this report. 37
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Aileen Craig Head of Service (Democratic) For further information please contact Aileen Craig, Head of Service (Democratic), acraig@north-ayrshire.gov.uk. Background Papers None. 38
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NORTH AYRSHIRE COUNCIL 11 February 2026 Council Title: Council Budget 2026-27 Engagement Findings Purpose: To consider the findings from recent Budget Engagement to inform decisions on the 2026-27 Council Budget. Recommendation: Council agrees: (i) To consider the findings from recent budget engagement to inform the 2026-27 budget. 1 Executive Summary 1.1 North Ayrshire Council is due to consider budget proposals for 2026-27 on 25 February 2026. We have statutory duties under legislation to consider the impact of proposed decisions on people who use our services. In addition, engagement supports Our Council Plan 2023-28 priorities “Wellbeing” “Communities and Local Democracy” and “A Sustainable Council” through involving our residents early in decision making processes. 1.2 An extensive programme of engagement took place between 6 November and 19 December 2025 including surveys across two main themes as well as through focus groups. The approach was designed to support our residents to contribute their views, make the surveys more accessible and avoid digital exclusion. 1.3 The two main themes each included a number of proposals and are: • Children and Young People • Other Council Services 1.4 This has resulted in 1,225 responses across the two themes, detailed feedback on proposals and considerable engagement with community groups across North Ayrshire. 1.5 This information has been examined by Officers to develop proposals for consideration by Elected Members in setting the budget on 25 February. In parallel, it is used to inform the Equality and Children’s Rights Impact Assessments (ECRIAs) at each stage to ensure we fully consider the impact of proposals on our residents. Agenda Item 8 39
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2 Background 2.1 Engagement took place between 6 November and 19 December 2025. This approach enabled respondents to provide informed responses and gave greater opportunity for findings to be considered by Elected Members prior to Council considering its 2026-27 budget on 25 February 2026. 2.2 We have a statutory duty to consider the impact our policies, including budget proposals, may have on those with protected characteristics (Equality Act 2010), our island communities (Islands (Scotland) Act 2018) as well as the socio- economic impact on our residents (Fairer Scotland Duty (2018), the Consumer (Scotland) Act 2020) and the possible impact on the rights of children (United Nations Convention on the Rights of the Child (Scotland) Act 2024. 2.3 Following Council’s decision in December 2023 to treat care experienced as a protected characteristic in North Ayrshire Council, we also consider the potential impact on those who are care experienced. 2.4 These areas were included within the question set of both surveys and the responses given are being considered during the development of budget proposals. 2.5 Services from across our council contributed to the development of the approach. The engagement supports our Council Plan priorities of “Wellbeing”, “Communities and Local Democracy” and “A Sustainable Council”. 3 Approach 3.1 The aim of our approach was to ensure we gained a high number of informative responses from across our diverse communities in North Ayrshire. This was achieved through online and paper surveys and in person engagement with the option to join some forums online. Following an improved response to the engagement last year, we have continued to use a cross-service collaborative approach to develop the surveys and engage our communities. 3.2 The consultation was publicised through our website, press releases and on social media. There were 50 posts on social media, with 112,534 impressions, 216 reactions, 140 comments and 140 shares. 3.3 Posters were displayed in front facing locations such as libraries. These featured a QR code for residents with smart phones to scan with their camera in order to complete the survey. Paper copies of surveys were also made available. 3.4 In addition to community discussions, 1,225 responses were received, with 887 responses for “Schools and related services for children and young people” and 338 for “Other Council services”. 3.5 A more detailed overview of responses to each of the areas is included within the appendices. The numerical data was analysed using Power BI analytical software. Open field questions produced an extensive amount of information. To manage this level of data, this section only was examined using AI followed by a manual analysis to develop summaries for each question. 40
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3.6 Examples of responses are quoted for each question to ensure the voices of our communities are directly visible. It may have been necessary to partially redact some quotes to ensure personally identifiable information isn’t inadvertently shared, in line with data protection legislation. 3.7 Demographic information was captured including locality and equalities information. It is important to note that the 1,225 responses do not equate to the same number of respondents, as more than one survey is likely to have been completed by several individuals. 3.8 The surveys were divided into two themes to improve the quality and range of responses. Specifically, this was to: • Minimise survey fatigue as respondents could select the areas they wanted to respond to quickly. • Improve accessibility, as it was easier to support paper and telephone responses through our frontline services and Customer Contact Centre. • Ensure a more balanced range of responses across each survey and a higher completion rate. (A single survey may have led to the initial questions being answered fully with less detailed or partial responses for later questions.) 4 Community Groups 4.1 We consulted with a range of community groups across North Ayrshire, some on multiple occasions and at various locations. We reached as broad a range of communities as possible. Most of the community engagement was in person, however there were opportunities for video calling to ensure as many people as possible could contribute their views. The feedback from these groups is included under each theme in the appendices. 5 Children and Young People 5.1 A young person friendly version of the consultation questions was co-produced with young people. This version of the questions was used to carry out targeted consultation with children and young people at face-to-face engagement sessions with school pupils, young people with disabilities, at the North Coast Youth Forum, annual North Ayrshire Youth Conference, and North Ayrshire Joint Champions Board Conference. Feedback from these sessions is summarised in the Budget Engagement Findings reports under the “Engagement Group and Trade Union Feedback” sections. 6 Trade Union Feedback 6.1 Feedback from trade unions and external associations has been included in full. Rather than segment the feedback into the different areas, Appendix 1 cross references to the full responses as received to ensure context is maintained. 7 Results 7.1 Information gathered from the engagement process is available within the appendices, which includes information for each area consulted on as well as a 41
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broad selection of comments received. 7.2 Our approach to consultation continues to receive a high level of engagement. Ensuring specific options were consulted on, rather than generic areas, elicits a higher level of engagement from our communities. As a result, the information received is more targeted to the possible budget options and more informative. 7.3 The timing of this consultation has provided more time for Officers and Elected Members to: Consider and refine the budget proposals for consideration by Council on 25 February; Inform our ECRIA screenings and full assessments as required for each proposal; and inform future approaches to consultation to continually improve how we consult with all groups across North Ayrshire. As a result, we are confident the approach, analysis and use of this information ensure the views of our residents and visitors will inform our Council’s 2026-27 budget process. 8 Proposals 8.1 Council agrees: (i) To consider the findings from recent budget engagement to inform the 2026-2027 budget. 9 Implications/Socio-economic Duty Financial 9.1 The budget engagement with our communities informs the Council’s budget setting process for 2026-27. Human Resources 9.2 There are no human resource implications arising from this report. Legal 9.3 We have statutory duty to consider the impact our policies, including budget proposals, may have on those with protected characteristics (Equality Act 2010), our island communities (Islands (Scotland) Act 2018) as well as the socio- economic impact on our residents (Fairer Scotland Duty (2018) and Consumer (Scotland) Act 2020). 9.4 Assessing the impact of proposals on children’s rights helps to support good decision making and practice and ensure that decisions are necessary and proportionate when balanced against any impact on children’s rights. Equality/Socio-economic 9.5 The consultation takes account of our legal obligations stated under 9.3 and 9.4. Climate Change and Carbon 9.6 There are no climate change and carbon implications arising from this report. 42
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Key Priorities 9.7 The consultation supports the Council Plan priorities of “Wellbeing”, “Communities and Local Democracy” and “A Sustainable Council” in addition to the wider delivery of the Council Plan. Community Wealth Building 9.8 There are no Community Wealth Building implications arising from this report. Islands Communities Impact Assessment (ICIA) 9.9 The consultation takes account of our legal obligations stated under 9.3 and 9.4. United Nations Rights of the Child (UNCRC) 9.10 The consultation takes account of our legal obligations stated under 9.3 and 9.4. Consumer Duty 9.11 The consultation takes account of our legal obligations stated under 9.3 and 9.4. Consultation 9.12 Engagement undertaken with communities in North Ayrshire has informed this report and appendices. Mark Boyd Head of Service (Finance) For further information please contact Isla Cruickshanks, Senior Manager (Policy, Performance and Democracy), on 01294 324035 or email IslaCruickshanks@north-ayrshire.gov.uk 43
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 0 of 58 2026 to 2027 Budget Engagement Findings Schools and Related Services for Children and Young People 1 44
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 1 of 58 Contents 1 About this Document / Method ......................................................................................................................................................... 2 2 Demographic Breakdown of Respondents ......................................................................................................................................... 3 3 Survey Findings ............................................................................................................................................................................... 5 3.1 Proposal to realign the level of teaching resource across North Ayrshire schools ......................................................................... 5 3.1.1 Engagement Group and Trade Union Feedback ................................................................................................................................. 12 3.1.2 Equalities – Overview of Survey Responses by Protected Characteristic of Respondent ...................................................................... 27 3.2 Proposal to align Pupil Support Assistant hours to reflect reduced pupil rolls across mainstream schools ................................... 31 3.2.1 Engagement Group Feedback .......................................................................................................................................................... 38 3.2.2 Equalities – Overview of Survey Responses by Protected Characteristic of Respondent ...................................................................... 41 3.3 Proposal to increase charges at Arran Outdoor Education Centre .............................................................................................. 46 3.3.1 Engagement Group Feedback .......................................................................................................................................................... 52 3.3.2 Equalities – Overview of Survey Responses by Protected Characteristic of Respondent ...................................................................... 55 45
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 2 of 58 1 About this Document / Method This document contains the summarised feedback from the 2026 to 2027 Council Budget Engagement undertaken between 6th November and 19th December 2025. It contains survey findings, engagement group feedback and where relevant, comments from trade unions. Two surveys were issued in parallel: 1. Schools and Related Services for Children and Young People (887 responses) 2. Other Council Services (338 responses) Results of our Schools and Related Services for Children and Young People survey are contained within this report and included the following proposals: a) Realign the level of teaching resource across North Ayrshire Schools b) Reduce pupil support assistant hours to align with pupil rolls in mainstream schools c) Increase charges at Arran Outdoor Education Centre This consolidated approach to engagement and reporting is more comprehensive and enables quicker distribution to Elected Members and Officers for consideration. Please note: As proposals were divided by theme and issued in two surveys, if there is a need to combine findings across the engagement exercise (such as stating the total number of responses received across both surveys) caution should be used to ensure reference is made to the number of responses, rather than number of respondents. Though completely anonymous, individuals may have completed both surveys. Also note that respondents may not have completed all questions within the survey, therefore the total number of responses to each question may not equal the total number of responses to the survey. Open field questions produced an extensive amount of information. To manage this level of data, the Communications Team examined this section only initially using AI followed by a manual analysis to develop summaries for each question. As well as the summary, examples of responses are then quoted for each question to ensure the voices of our communities are directly visible. It may have been necessary to partially redact some quotes to ensure personally identifiable information isn’t inadvertently shared, in line with data protection legislation. Demographic information including equalities data has been provided by respondents. This is used to inform Equality and Children’s Rights Impact Assessments (ECRIAs) on proposals. Though not a protected characteristic under the Equality Act 2010, North Ayrshire Council treats “care experienced” as a protected characteristic and includes it in these results. For further information contact the Corporate Policy and Performance Team via northayrshireperforms@north-ayrshire.gov.uk. 46
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 3 of 58 2 Demographic Breakdown of Respondents 887 Responses 47
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 4 of 58 48
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 5 of 58 3 Survey Findings 3.1 Proposal to realign the level of teaching resource across North Ayrshire schools North Ayrshire’s pupil/teacher ratio in 2024 was 12.4 pupils to each teacher. This is close to our lowest level on record, and is significantly below the figure ten years ago, which was 13.7 pupils to each teacher. Our ratio is also significantly lower than the current national average pupil/teacher ratio of 13.3. The number of pupils across North Ayrshire over the last few years has been falling and is projected to fall further (both in absolute terms and relative to the position across many other parts of Scotland). This has impacted on North Ayrshire Council’s share of national funding through the annual revenue grant from Scottish Government. This proposal is to reduce the budget for teachers by 1% in 2026/27 and 1% in 2027/28. This is based on a projected 1% reduction in pupil roll in each academic session and the anticipated consequential reductions in Grant Aided Expenditure allocation from Scottish Government for financial years 2026/27 and 2027/28. The saving will be achieved through the realignment of teaching resource across the primary sector to reflect the pupil population distribution and through an amendment to the secondary sector staffing allocation formula. A 1% budget reduction equates to a reduction of 14 teaching posts in each year. Any reduction in posts would be achieved through normal workforce planning arrangements, including not filling vacancies. 1. Given the information above, what kind of impact do you think this proposal would have on your community? 49
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 6 of 58 2. Have you any additional comments you wish to make on the proposals to align the pupil-teacher ratio? Additional Support Needs (ASN): A dominant theme across the responses is that classroom needs – particularly around ASN - have grown significantly, even if pupil numbers are projected to fall. Many responses suggest there has been an increase in children with ASN, neurodivergence, behavioural challenges, trauma and mental-health needs - needs that require more adults in each classroom, not fewer. Respondents stress that the current ratio does not consider the reality of classrooms where teachers are managing several pupils requiring additional support. Reducing the number of staff, they argue, would make it impossible to “get it right for every child” and would disproportionately harm the most vulnerable. Demands on teachers and support staff: A number of comments describe school teams as already ‘struggling’ with teachers experiencing high stress, burnout, sickness absence and disruption due to insufficient staffing. Many responses from parents and school employees describe situations where classes run at or above maximum capacity. They say cover is inconsistent and behaviour issues are escalating. Reducing teacher numbers is seen as worsening an already fragile system, reducing time for quality teaching, increasing safety concerns and accelerating staff retention problems. “My son attends a Supported Learning base and I have witnessed the negative impact not filling vacancies has had. Children with additional support needs require consistency and familiarity. Placing a different supply teacher in his class each day has seriously unsettled him and resulted in aggressive behaviour towards the staff and other pupils. This is heart breaking to hear as a parent.” “This is not going to align the pupil teacher ratio as there are many, many children with ASN in mainstream schools who will no longer be supported. 14 teachers are required to support, getting rid of them will widen the attainment gap for all children in North Ayrshire.” “Given budget pressures and rising costs, the risk is that more disadvantaged groups may be disproportionately affected (for example, households struggling with cost of living, families of children requiring support, areas of higher deprivation). North Ayrshire has higher levels of child poverty in Scotland. Scottish Schools are benefiting from the national “Pupil Equity Funding” (PEF), which helps target support for children from disadvantaged backgrounds. In North Ayrshire, schools are required to work with their communities to decide how to spend this funding. Can this not be used to ensure adequate support?” “Within schools throughout the authority and Scotland the level of stress being felt by teaching staff is at an all time high due to the demands being placed on them due to various reasons, the last thing needed is to reduce any teaching or teaching support staff every member of staff is needed plus more.” “The ratio may be down per pupil to teacher but in mainstream there is increasingly more ASN pupils per classroom. The pupil role may be anticipated to drop slightly however the number of children requiring ASN and pastoral support is increasing. Therefore an INCREASE in teaching staff is actually required to meet learner needs and maintain education standards. “Whilst pupil numbers have been dropping, the rise in pupils with some form of additional need have increased significantly. Irvine Royal Academy has over 60% of pupils with some sort of additional need, it’s impossible for teachers to teach a class with this high a level of support required and not see attainment fall. As a parent of a pupil who is academic I have seen my child not reach their full potential because teachers cannot give the time needed to challenge them in class as they are so stretched meeting the needs of those who need support. So both academic and those who struggle needs are not being met.” 50
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 7 of 58 “Due to the inclusion policy where teachers are having to manage multiple levels of ability in one class the reduction in teaching assistants would make their job virtually impossible to provide a satisfactory level of learning to all children in the class.” “Many pupils are struggling with emotional regulation, with complex learning difficulties, with disabilities, with mental health. Teachers and PSAs are often the ones left to pick up those pieces - acting as corporate parents, social workers, nurses, trauma informed practitioners. It is not simply about the number of pupils in a classroom compared to the number of adults. It is about what the pupils need to succeed and thrive in an increasingly volatile, radicalised, isolated world.” 3. Do you think the proposal will have an impact on people with specific characteristics, including race, sex, gender, disabilities, care experienced, socio-economic factors, and others. (Answering 'yes' will allow you to choose groups you feel will be impacted). 51
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 8 of 58 4. Which groups below do you feel will be impacted. 52
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 9 of 58 5. Please provide more information about how you feel these groups would be impacted. Respondents overwhelmingly say that reducing teacher numbers will disproportionately harm vulnerable groups—particularly children with disabilities, ASN, trauma, care-experience and those from low-income households. Many note that these pupils already rely heavily on individual support, stable relationships, small-group teaching and nurturing environments and say this could be undermined by larger classes and fewer adults. Any proposal to reduce teaching levels is considered to increase the possibly of behavioural issues, widening the attainment gap and limiting early intervention. A recurring theme is that schools are already stretched beyond capacity and any reductions in teaching resource could deepen existing inequalities and jeopardise pupils’ safety, wellbeing and long-term outcomes. “Kids with additional needs and are within a mainstream school are going to feel it hard. There is already a lack of resources and classroom assistants to give them the extra help that a teacher cannot do and to reduce this will heavily impact on children. Without access to proper ASN support, the kids will suffer.” “Children from disadvantaged backgrounds are already behind in development. Cutting funding for schools will only increase the gap. Teachers are already stretched without reducing it more and EVERY child is currently affected by this so reducing it further will stretch teachers further.” “Care experienced young people are statistically more likely to achieve less than their non care experienced friends. The reduction in teaching staff can only therefore have a negative impact on this.” “A reduction in the pupil-teacher ratio would have a particularly negative impact on children who are already vulnerable, such as those with care experience, disabilities, or from low-income families. These pupils often require additional attention, stability, and tailored support to thrive in school. Larger class sizes or fewer teachers would make it even harder to meet their individual needs and could widen existing inequalities. Maintaining or improving support levels is essential to ensure that every child has a fair chance to succeed.” “This cut to service will inevitably affect our most marginalised in society and create more disadvantage to those coming from lower SIMD areas. Children from these areas already have the lowest levels of attainment, engagement, attendance and support. Large class sizes also results in less time being spent with each pupil which doesn’t align with inclusion strategies and closing the attainment gap. How can we say we are following national guidance such as GIRFEC if we are cutting vital support for our young people.” “Children from low-income families will be the ones who suffer most from these cuts. In areas of high deprivation, pupils are already at a significant disadvantage before they even walk through the school doors. They rely more heavily on consistent teacher availability, smaller class sizes, and targeted support to help close the attainment gap. Reducing teaching posts in these communities will only widen that gap further.” 53
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 10 of 58 6. Do you think the proposal is likely to have an effect on any island communities which is significantly different from its effect on other communities (including other island communities) in North Ayrshire? 7. Please provide more information about how this proposal may have an effect on island communities in North Ayrshire. Respondents living on our island communities of Arran and Cumbrae fear a disproportionately negative impact due to what is perceived as an already fragile education infrastructure. Respondents highlight challenges in recruiting and retaining staff, worsened by ferry disruptions, housing shortages and higher living costs. With small school rolls and multi-stage composite classes, even a single lost post can impact subject choices or increase workload on teaching staff. The responses suggest that islands also have limited access to specialist services and supply cover, meaning reduced staffing heightens risks of school closures, inconsistent teaching and unmet ASN needs. Many emphasise that reductions in resource could accelerate depopulation, undermine community sustainability and widen inequality between our island and mainland schools. “Island communities already have challenges in terms of accessing services across a range of sectors. There is less ability to compensate for losses and therefore smaller changes often causes a larger effect.” “Islands struggle as it is and taking away/reducing staff will have a knock on effect to the island, community and the local community. These families don't want to be travelling to the mainland for education as this will be the death to Island communities if there is no education on the island and will move away.” “Families move to our islands in order to experience lower teacher/pupil ratios. Island schools tend to have multi-stage composite making teaching more challenging. Teachers living on the island will have to move off it meaning families removing further children off the island which in turn leads to less footfall for businesses.” “It is already difficult to recruit staff to Arran. We need to hold onto them, support the current staff/pupils and recruit more to improve the chances of our children to further their goals.” “Island communities already work with small numbers of staff. Reducing these further will have a negative impact on class sizes, the attention a teacher is able to give each student along with the extra planning required to support young people fully. We are already struggling with staffing, given the issues with ferries and staff being unable to get in. Further cuts to staffing will simply mean we are unable to cover some classes, resulting in pupils being sent home and the school being closed.” “Island schools such as those on Arran and Cumbrae already operate with small rolls, limited staffing flexibility and challenges linked to recruitment, retention, and travel. A reduction in the overall teacher 54
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 11 of 58 budget could place additional pressure on these schools if posts are not carefully protected. Even small staffing changes can have a much bigger impact on islands, where a single teacher may cover multiple subjects or stages and where replacement staff are harder to source.” “A loss of teaching posts at Arran High equates to a loss of departments and therefore a loss of subject choices for young people. In primary schools, children who are already in multi year classes would be forced to have higher numbers of pupils in their classes meaning it is even more challenging to meet the needs of ASN pupils. Families who live here have no choice but to send their children to Arran schools, as attending mainland schools is impractical. Arran children would therefore be impacted more and are left significantly disadvantaged.” 8. In relation to the previous question, does your answer relate to: 55
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 12 of 58 3.1.1 Engagement Group and Trade Union Feedback Harbourside Men’s Shed • Participants did not agree with this, they stated that having a smaller ratio of children to teachers is a great position and should be encouraged to allow teachers more time to support each child. • The lower birth-rate does not necessarily mean fewer children will be registered in schools in the coming months/years due to resettlement programmes for refugees and asylum seekers. If teacher numbers are reduced now, this would have a negative impact on teachers and learners in the future when numbers of children increase. • “Do not think this is a good idea.” 13 people were in attendance, 77% believed this proposal would have a high impact and 23% were unsure. Newtown Men’s Shed • “This is a terrible idea.” • “Whilst this may be the case at present in terms of falling pupil numbers, what happens if there is a spike in births and more teachers are required? What if there aren’t teachers available to fill these posts?” • “What about people coming into Scotland who may not have been born here? Low birth rate doesn’t necessarily mean there won’t be school places needed, even at short notice?” • “We don’t believe this is a good idea.” 10 people were in attendance. All attendees believed this proposal would have a high impact. Kilwinning Discovery Award • “Looking at ratio is only one part/aspect of what goes on in schools. Needs of children are higher so more staff are needed to support the demand.” • “More support needed not taken away.” • “Young people have come from special education and are now in mainstream school making teachers/resources overstretched.” 14 people were in attendance. 71% believed this proposal would have a high impact and 29% thought it would have a low impact. Dreghorn Community Council Nine people were in attendance and all believed this proposal would have a high impact. Friends of Redburn 14 people were in attendance and all believed this proposal would have a high impact. Introduction to Watercolour • Two participants felt no impact due to the numbers in classes being a lot lower than they were years ago. • Seven participants felt the level of teaching is low enough as it is and fewer teachers would make things worse. In total, nine people were in attendance. 78% believed this proposal would have a high impact and 22% believed it would have no impact. Irvine Participatory Budgeting Four people were in attendance and all believed this proposal would have a high impact. Lanfine Age Concern • “Staff having to retire due to anxiety – not enough staff in relation to class sizes and undiagnosed needs.” • “Pupils not feeling safe due to class sizes.” 27 people were in attendance and all believed this proposal would have a high impact. 56
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 13 of 58 Redburn Grove Tenants Group • “Teachers are always being robbed.” • “Small classrooms mean children get the support they need.” • “Kids depend on their teachers’ support.” Four people were in attendance and all believed this proposal would have a high impact. Saltcoats High Flats Tenants Group • Big impacts. 11 people were in attendance and all believed this proposal would have a high impact. Parent Council Chairs’ Meeting Participants pointed out that although the current ratio is favourable compared to other areas on paper, the significant levels of deprivation and the increasing additional support needs make it more important now than ever to retain as many teachers as possible in the system. Reducing the number of teachers could lead to larger class sizes, making it more difficult for teachers to provide individual attention to pupils. There was a significant concern around effectively supporting additional support needs with reduced staffing levels and a suggestion that more of council teaching staff should be deployed to supporting needs than at present. Parents expressed strong sentiments that any reduction in teaching staff would adversely affect the quality of education. They highlighted that effective teaching depends on having sufficient staff available to cater for diverse learning needs, especially in classrooms that include pupils with additional support needs. There was a consensus that the needs of pupils today are increasingly complex. Parents noted that schools are tasked with supporting children with various challenges, including additional support needs, behavioural issues and emotional difficulties. Reductions in teaching staff would hinder the school’s capacity to adequately support these pupils, potentially leaving them without the necessary resources to achieve their potential. Many parents voiced a strong need to advocate against reductions in teaching staff. There was a sense of urgency to communicate the importance of preserving the current levels of staffing to ensure that the needs of young people are met effectively. Participants expressed a determination to ensure safeguarding of the educational experience for all learners, emphasising that any budget reductions should strive to have as little impact as possible on pupils’ learning. If approved, they state this proposed saving would have an adverse impact on a significant number of children. If we need to raise attainment, they highlighted we should not be reducing teachers. Overall, the discussion around reductions to teachers reflected deep concerns about maintaining educational standards and support systems for children, especially in areas facing socioeconomic challenges. Eight people were in attendance and all believed this proposal would have a high impact. Pupils • “We need the teachers and although there are less kids they still need support and there needs to be a variety of different teachers.” (St Winning’s PS) • “It is better there are more teachers as people in school need extra support and this would not be good for those with additional support needs.” (Beith PS) • “I think that we need more teachers as class is not the only thing that they do, like site projects like the wildlife project.” (Beith PS) • “If teachers are cut people who need help are not supported.” (Lawthorn PS) • “We would have more support if we have more teachers.” (Lawthorn PS) 57
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 14 of 58 • “Teachers help with more than class, like they help us in the playground, they help us to show respect in the playground.” (Corsehill PS) • “We need to keep all the teachers as there are a lot of people in school and we also need more class helpers.” (Largs PS) 12 of our young people took part in this discussion. All believed that the proposal would have a high impact. North Coast Youth Forum 10 of our young people took part in this discussion. All believed this proposal would have a high impact. GV Voices of Pride Six people were in attendance and all believed this proposal would have a high impact. One to one discussions with young people with Additional Support Needs Five of our young people with ASN were consulted on a one to one basis. All believed this proposal would have a high impact. North Ayrshire Youth Conference and North Ayrshire Joint Champions Board Conference • “Already hard enough to get teachers to Arran.” • “This may be fine around mainland North Ayrshire, but Arran struggles enough to fill teaching posts.” • “This means some pupils will be missing out on learning certain subjects.” • “Some pupils will miss out on vital learning.” • “Reducing the teacher budget sounds like a bad idea.” • “Teachers’ workload already too much, council asking for more and giving less.” • “It’s unfair to increase the workload on staff by removing staff, give them a raise for the extra work.” • “Reduce options of subjects that pupils could take. Could also affect the level, e.g. highers and advanced highers. SWEC could also fill the gap but depends on what teachers are kept but also that is limited spaces across four council areas.” • “There are lots of probationary teachers out there but if posts are not being filled they won’t have the opportunity to teach. Classes on Arran sometimes only have one teacher so might have a huge impact on the running of a number of classes.” • “The needs of young people [are] getting higher. Teachers already don’t have enough time to dedicate to pupils.” • “29-30 pupils to teachers.” • “We need teachers, the reason we go to school is we need an education.” 110 of our young people were in attendance across both events (86 attended the North Ayrshire Youth Conference and 24 young people attended the North Ayrshire Joint Champions Board Conference). 46% believed the proposal would have a high impact, 32% a low impact, 5% no impact and 17% were unsure. 58
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 15 of 58 3.1.1.1 Response from The Educational Institute of Scotland (EIS) North Ayrshire Local Association North Ayrshire EIS Response to Budget Proposals 2026-27 and 2027-28 Budget Proposals – Education 2026-27 and 2027-28 The EIS is deeply disappointed to hear that once again a reduction in education staff has been included in the budget proposals not only for 2026/27 but for 2027/28 as well. This is despite the commitment from Scottish Government and COSLA to honour their promise to reduce class contact time for all of Scotland’s teachers to begin to help reduce chronic levels of workload in the profession. An issue on which teachers’ trades unions are currently balloting their members. If implemented, these budget saving measures will only serve to increase the pressures currently faced in North Ayrshire’s schools by staff and pupils alike. Proposed reductions to teaching posts would disproportionately affect women’s employment opportunities, given that teaching remains a predominantly female profession. Staffing cuts increase pressure on the remaining workforce and fall hardest on those with caregiving responsibilities- again, largely women. Excessive workloads and insufficient investment in the profession create significant barriers to women entering, remaining in, and progressing within teaching. In addition, reductions in teaching posts have a particularly detrimental impact on pupils with Additional Support Needs (ASN). The EIS is deeply concerned about the equality implications of these proposals for young people with disabilities. North Ayrshire already experiences some of the highest levels of socio-economic deprivation in Scotland, and from an equality standpoint, these cuts would disproportionately harm disadvantaged communities. The EIS therefore requests that all budget proposals undergo a full Equality Impact Assessment and a Child Rights and Wellbeing Impact Assessment (CRWIA). We maintain that the decisions currently being proposed run counter to the Scottish Government’s stated commitment to closing the poverty- related attainment gap. Realign the level of teaching resource across North Ayrshire schools: North Ayrshire’s pupil : teacher ratio in 2024 was 12.4 pupils to each teacher. This is close to our lowest level on record, and is significantly below the figure ten years ago of 13.7. Our ratio is also significantly lower than the current national average pupil : teacher ratio of 13.3. The number of pupils across North Ayrshire over the last few years has been falling and is projected to fall further (both in absolute terms and relative to the position in other parts of Scotland). This has impacted on North Ayrshire’s share of national funding through the annual revenue grant from Scottish Government. This proposal is to reduce the budget for teachers by 1% in 26/27 and 1% in 27/28. This is based on a projected 1% reduction in pupil roll in each academic session and the anticipated consequential reductions in Grant Aided Expenditure allocation from Scottish Government for financial years 2026/27 and 27.28. 59
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 16 of 58 The saving will be achieved through the realignment of teaching resource across the primary sector to reflect the pupil population distribution and through an amendment to the secondary sector staffing allocation formula. A 1% budget reduction equates to a reduction of 14 teaching posts in each year. The reduction in posts would be achieved through normal workforce planning arrangements, including not filling vacancies. • We recognise that there is a falling pupil roll in schools but with the presumption to mainstreaming of ASN pupils, the needs of pupils in our schools are rising and becoming increasingly complex. ASN pupils often require further interventions and support. It is not always possible for the class teacher to provide such support whilst meeting the needs of all other learners in the class. In 2007 5.3% of the pupil roll had ASN, by 2015, ten years ago, that figure had risen to over 20% and now currently it sits at a record high of 43%. This equates to 2 in every 5 pupils having an identified additional support need. As well as planning for their classes, teachers supporting ASN learners must complete an ever-increasing volume of documentation and attend regular meetings which impacts greatly on workload. ASN related work is a huge part of the unsustainable workload problem, there is not enough staff, professional support, resources or time to respond to the complexity of need in our schools. In our 2024 Workload survey, almost 57% of EIS members in North Ayrshire said that they rarely have sufficient time in a typical working week to do everything required to support pupils with Additional Support Needs. • Teacher workload is already a significant issue and if the teaching workforce is reduced; more work will fall to those who are left. Nationally, independent research commissioned by the EIS shows that on average teachers already work more than 11 hours beyond their contracted hours every week. That’s 11 hours of work that the council get free of charge for every teacher. A reduction of 14 FTE will result in an increase in what is already an intolerable workload burden being experienced by teachers. The impact of such a situation will be significant in terms of the wellbeing of the teaching workforce. • On paper NAC may have one of the lowest pupil-teacher ratios, but we feel that the figures presented of 12.4 pupils to 1 teacher in 2024 does not give a true reflection of classes sizes across the authority. The ratios are undoubtedly skewed because of specialist provisions such as Lockhart Campus, SSRs, ESRs and ENRs. There are also teachers who do not hold responsibility for a class such as those who are centrally employed or those who hold promoted posts with no class teaching commitment. • The average class size across Scotland in 2024 was 23.3 which lags behind the OECD and EU22 average. North Ayrshire’s teachers deserve parity with OECD counterparts and so do North Ayrshire’s learners. It is essential that the current average class size is across all schools in NAC is made clear. Evidence clearly indicates that smaller classes have a positive impact on the quality of the learning experience; a narrow focus on pupil teacher ratios runs contrary to this wealth of educational research that has been conducted over many years. • Furthermore, using the pupil-teacher ratio as the main measure for ‘realigning’ the level of teaching resource disregards the needs of pupils and also the level of deprivation in our local authority. 45% of children in North Ayrshire live in postcodes in the most deprived areas of Scotland according to SIMD, 24% are living in relative poverty. This proposal risks the widening of the poverty-related attainment gap if there are fewer teachers and increased class sizes. • Many violent and aggressive incidents are as a result of pupil behaviour towards staff. Some pupil behaviours issues are related to unmet Additional Support Needs. The number of incidents reported in Quarter 2 this year was significantly higher than the number in the same period last 60
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 17 of 58 year. There is already no flexibility within the service to support pupils and staff following a violent incident. The impact of violent and aggressive incidents is a risk to both educational outcomes and the health, safety and wellbeing of all. • Staff absence has a major impact in schools and cover budgets are already under extreme pressure. The EIS requests (as we did this time last year too) detailed information on how many absences are as a result of work-related stress or as a result of a physical or psychological injury following a violent and aggressive incident. Maintain alignment of Pupil Support Assistant hours to reduced pupil rolls across mainstream schools: This proposal is to reduce the budget for Pupil Support Assistants (PSA’s) by 1% in 26/27 and 1% in 27/28. This is based on a projected 1% reduction in pupil roll in each academic session. A 1% budget reduction equates to approximately 135 hours per week PSA support in each year. The reduction in time would be achieved through normal workforce planning arrangements, including not filling vacancies. Primary and secondary schools receive an allocation of Pupil Support Assistants, with the distribution of available budget based on school roll and level of social deprivation. Pupil Support Assistants provide a range of support to children and young people to enable them to participate in education and learning. This includes supporting their emotional and behavioural needs, literacy and numeracy development and health/disability needs. The use of PSA’s acts as a preventative measure and can remove pressure not only from internal specialist provision, but also from external day education placements, both of which are significantly more expensive alternative models of service provision. • The budget proposal document states that the allocation of PSAs is based on the distribution of available budget across schools based on their school roll and level of social deprivation. The allocation formula negates to consider pupil need - even though it seems clear that this group of staff are highly valued in the work that they do with learners who have ASN. This proposal risks creating an inequity in accessing support across different areas. • If PSAs are seen as a way of preventing the need to move pupils either to specialist provision or external placements, then surely the proposal to reduce PSA hours is counterproductive. 61
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 18 of 58 3.1.1.2 Response from The Association of Headteachers and Deputes in Scotland (AHDS) PO Box 18532 Inverurie AB51 0WS 11th December 2025 North Ayrshire Councillors, Budget setting in Education: School leaders express considerable concern The Association of Headteachers and Deputes in Scotland (AHDS) is Scotland’s sole union devoted to the advocacy and support of school leaders within Primary, Early Years, and ASN sectors. We are proud to represent 102 Headteachers, Deputes, and Principal Teachers across North Ayrshire and over 2800 nationwide. I write on behalf of North Ayrshire members. We are acutely aware of the challenging decisions demanded by the present financial climate and do not underestimate the gravity of your responsibilities. Nevertheless, we believe it is imperative that you are equipped with the perspective of your school leaders as you consider potential budget changes. Having consulted with our members locally, I am writing to you to set out their views on the proposal to reduce the number of teachers in North Ayrshire over the coming two years. We do not support this proposal. As is set out in the following response, North Ayrshire faces what can only be described as a crisis in the recruitment of school leaders. Returns to our 2025 workload survey saw only 16% of Deputes and no Principal Teacher express any aspiration to pursue a Headteacher role. There are many factors contributing to this but at the core of it, there are two elements: − Resources to support pupils with ASN are insufficient to meet demand, resulting in pressure for class teachers which impacts on school leader workloads. − Deputes and PTs seeing their HTs working the longest hours in any local authority in Scotland in an effort to support their teams and pupils. This proposed cut would exacerbate the current situation when what is needed is an investment in staff numbers to better support North Ayrshire’s children. The focus of that investment needs to be in ASN which will, in turn, improve the quality of provision for all pupils. Best regards, Greg Dempster AHDS General Secretary 62
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 19 of 58 The budget proposal: “Schools and related services for Children and Young People North Ayrshire Council Realign the level of teaching resource across North Ayrshire schools: This proposal is to reduce the budget for teachers by 1% in 26/27 and 1% in 27/28. This is based on a projected 1% reduction in pupil roll in each academic session and the anticipated consequential reductions in Grant Aided Expenditure allocation from Scottish Government for financial years 2026/27 and 27/28. The saving will be achieved through the realignment of teaching resource across the primary sector to reflect the pupil population distribution and through an amendment to the secondary sector staffing allocation formula. A 1% budget reduction equates to a reduction of 14 teaching posts in each year. Any reduction in posts would be achieved through normal workforce planning arrangements, including not filling vacancies.” AHDS cannot support this proposal for the following reasons: • While pupil numbers in schools are declining, the presumption of mainstreaming for ASN (Additional Support Needs) pupils means that the complexity and intensity of learners’ needs are increasing. Many ASN pupils require additional interventions and targeted support, which cannot always be delivered by the class teacher alongside meeting the needs of all other learners. The support often falls to the SLT, particularly in managing distressed/violent behaviour. In 2007, 5.3% of the pupil population had ASN; by 2024, this had risen to 39.4%. ASN coordinators are responsible for reviewing and completing STINT documentation, arranging and attending regular meetings, taking a note of the meetings, liaising with other agencies, completing requests for assistance to other agencies which with growing numbers of ASN pupils is significantly adding to their workload and tasks cannot be completed within the working hours. The following chart is drawn from the AHDS workload survey report for North Ayrshire and shows the growing challenge faced by schools seeking to support their pupils with ASN. • The 2025 AHDS workload survey shows North Ayrshire AHDS members working significantly beyond contracted hours: Head Teachers average 57.6 hours per week, Depute Head Teachers 54.7 hours, and Principal Teachers 47 hours. For HTs, this represents 22.6 hours of unpaid overtime weekly—over 65% beyond contracted hours—and the highest reported workload in Scotland. This pattern has been consistent across AHDS surveys, with North Ayrshire HTs regularly reporting the longest hours nationally. Reducing PSA and teacher numbers by 1% over the next two years would exacerbate these pressures, further displacing leadership capacity and compromising the ability to meet pupils’ needs effectively. It seems entirely probable that this would further worsen the desirability of Headteacher roles in North 63
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 20 of 58 Ayrshire. The following chart shows the latest AHDS information about the desirability of Headship in North Ayrshire: • The workload survey findings reveal severe pressures on leadership time. Beyond providing 1:1 support for pupils, unplanned class cover consumes an average of 1.2 hours per week for Head Teachers and 3.8 hours for Depute Heads. When combined with other non-core tasks, this equates to 8.4 hours weekly for HTs, 12.2 hours for DHTs, and 5 hours for PTs—almost half a pupil week for DHTs. These demands displace essential leadership responsibilities and significantly extend working hours, with members reporting they rarely manage an uninterrupted 20-minute break during the school day. Reducing teacher and PSA numbers by 1% over the next two years will intensify these challenges, as SLT will increasingly be required to step in when pupils with ASN need support, further eroding leadership capacity and compromising the quality of provision for all learners. • While North Ayrshire appears to have one of the lowest pupil–teacher ratios, the reported figure of 12.4 pupils per teacher in 2024 does not provide an accurate picture of actual class sizes across the authority. These ratios are skewed by the inclusion of smaller schools such as Cumbrae, Gateside, the Arran primaries, Arran High, and specialist provisions including Lockhart Campus, Extended Outreach, Early Years Inclusion Service, EAL, ESRs, and SSRs. Furthermore, the calculation includes teachers who are not class-based, such as those in specialist or centrally deployed roles, which further inflates the apparent staffing levels and masks the reality of larger class sizes in mainstream settings. • Reducing teacher and PSA numbers by 1% over the next two years would have serious consequences for pupils, staff, and overall school performance. Relying on the pupil–teacher ratio as the primary measure for ‘realigning’ teaching resources fails to account for the complexity of pupil needs and the high levels of deprivation within North Ayrshire. Such an approach risks widening the poverty-related attainment gap, as fewer teachers and larger class sizes inevitably reduce the capacity for targeted support and high-quality learning experiences. There is a high concentration of children who experience social, emotional and behavioural difficulties. We have seen the benefit to learners when we have been able to create smaller class sizes. Retaining staff numbers when school roll drops would play a significant role in our school to help address inequalities. 64
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 21 of 58 3.1.1.3 Violent and aggressive incidents—many involving pupils with ASN—are already a significant and increasing challenge in primary schools. Currently, there is no flexibility within the system to provide adequate support for pupils or staff following such incidents. This not only jeopardizes educational outcomes but also poses a serious risk to the health, safety, and wellbeing of all involved. Reducing staffing levels will intensify these risks, leaving schools even less equipped to respond effectively. Additional PSAs are already being topped up in many schools using PEF budget, schools are already allocating PSAs 1-1 due to the nature of needs ASN and SEBN cuts here would impact both education and safety. • Staff absence is another critical pressure point, with cover budgets already stretched to breaking point. Absences caused by work-related stress or injuries following violent incidents, highlights the link between inadequate support and staff wellbeing. Cutting teacher and PSA numbers will compound these issues, increasing stress, reducing resilience, and ultimately undermining the stability and effectiveness of our schools. It is already challenging to cover staff absence with a further reduction in staffing there will be very little scope to cover classes over the initial 9-day absence period impacting children’ education and progress. • This is especially concerning given the current state of Scottish education. The latest national data shows ASN numbers at record levels, with around 43% of pupils now identified as having additional needs, most of them within mainstream settings. Inclusion only works when staffing keeps pace with need, and organisations across Scotland have already warned that this gap is becoming unsustainable. PSAs are central to making inclusion safe and meaningful, and reducing their hours shifts high-level need directly onto class teachers and ultimately onto school leaders, increasing risk, workload and crisis management. • Cuts to teaching and support staff also undermine national ambitions around raising attainment, attendance and wellbeing. Every reduction in staffing removes capacity for targeted interventions, behaviour support, planning, and the stability that vulnerable children rely on. When numbers drop, it is school leaders who absorb the impact – covering classes, managing escalating behaviours, addressing parental concerns and trying to maintain staff morale under growing pressure. This also limits the capacity to keep DHTs out of class, despite their essential role in responding to needs across the school. We cannot drive forward improvement with DHTs in class 0.5, and PTs only receiving 0.1 management time this currently needs review. • The proposed 1% reduction in teachers and PSAs coincides with the planned introduction of additional NCCT (non-class contact time) requirements, which will significantly increase pressure on staffing and leadership teams. Meeting these new NCCT obligations will require more class cover, and with fewer teachers and PSAs available, this responsibility will fall disproportionately on SLT. This not only adds to their already unsustainable workload but also disrupts continuity for learners, as pupils experience more frequent changes in teaching staff. Implementing both the staffing cuts and NCCT changes simultaneously risks undermining the quality of learning and leadership capacity across our schools. END. 65
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 22 of 58 3.1.1.4 Response from School Leaders Scotland Extraordinary LNCT 16.12.25 SLS Response to Budget Proposals School Leaders Scotland is concerned by the proposed reduction in teacher numbers and the cut to Pupil Support Assistant hours in the North Ayrshire budget. Our members cannot support measures that will inevitably undermine the safety, wellbeing and learning of young people. Schools across North Ayrshire are already experiencing rising levels of incidents of aggression and violence, placing increasing pressure on staff and demanding greater—not fewer—resources to maintain safe environments. Attendance continues to decline, requiring sustained relationships, targeted interventions and consistent pastoral support. At the same time, the number of pupils with additional support needs is increasing, with many requiring intensive and specialist assistance that schools are already struggling to meet. Reducing staffing at this critical time will exacerbate these challenges and place both young people and staff at greater risk. We urge decision-makers to reconsider these proposals and prioritise investment in the people who support our learners every day. 3.1.1.5 Response from Unison Unison Response to budget proposals affecting Education and Facilities Management in 2026-27 Further to being notified of a proposed reduction of 1% from Pupil Support within mainstream schools in North Ayrshire, we would raise concerns that this reduction though small, will negatively impact the children and young people in our schools. Recent Scottish Government statistics show that 43% of children in mainstream schools have an additional support need. That’s potentially almost half of the school roll with children requiring additional supports. Taking away even an hour a week from a school will result in all children, not just those with additional support needs, left unsupported in an area where there is already a pressure of increased incidents of violence and aggression, high levels of sickness absence, burnout and high levels of poor mental health. Removing 1% of support puts further pressure on existing staff and could lead to higher levels of sickness absence. Any cuts in staffing hours will adversely affect a predominantly female, part-time workforce in a demographic area which is already one of the most deprived in Scotland. 66
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 23 of 58 3.1.1.6 Response from the Scottish Secondary Teachers’ Association (SSTA) Medium-Term Financial Outlook and Approach 2026/27 to 2028/29 Local Authority Assumptions “A particular focus within Education Services is the alignment of learning resources against a backdrop of a reducing pupil roll demographic in North Ayrshire” “The reduction in pupil roll will continue to impact the Council’s grant aided expenditure levels, with a reduced relative share of funding coming through to North Ayrshire. To add further context, the current pupil: teacher ratio in North Ayrshire remains one of the lowest in the country”. “Realign the level of teaching resource across North Ayrshire schools: North Ayrshire’s pupil: teacher ratio in 2024 was 12.4 pupils to each teacher. This is close to our lowest level on record and is significantly below the figure ten years ago of 13.7. Our ratio is also significantly lower than the current national average pupil: teacher ratio of 13.3. The number of pupils across North Ayrshire over the last few years has been falling and is projected to fall further (both in absolute terms and relative to the position across many other parts of Scotland). This has impacted on North Ayrshire Council’s share of national funding through the annual revenue grant from Scottish Government”. Local Authority Proposal “Community Impact: Green Savings 26/27 £590,000 27/28 £959,000 Total £1,549,000. This proposal is to reduce the budget for teachers by 1% in 26/27 and 1% in 27/28. This is based on a projected 1% reduction in pupil roll in each academic session and the anticipated consequential reductions in Grant Aided Expenditure allocation from Scottish Government for financial years 2026/27 and 27/28. The saving will be achieved through the realignment of teaching resource across the primary sector to reflect the pupil population distribution and through an amendment to the secondary sector staffing allocation formula. A 1% budget reduction equates to a reduction of 14 teaching posts in each year. The reduction in posts would be achieved through normal workforce planning arrangements, including not filling vacancies”. SSTA Reply The numbers of pupils are projected to fall in this timeframe, is this considering factors that result from policy implementation and societal change? Are the demands being placed on the service now and in the future being fully considered? A significant quantity of large new build homes that have been built would suggest that this could increase, and this could happen more rapidly than expected. The authority seeks to attract employers to the area, if this is successful an increase in the workforce is likely, this would also to increase the number of children who need to be educated. Immigration continues to increase the population. Many immigrants bring their children, some immigrants are unaccompanied young people who need to access education services. Children who come from local authorities outside North Ayrshire and have SEBD and ASN needs also need to be accommodated in our establishments. 67
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 24 of 58 There is a need to maintain the numbers of staff in schools and a reasonable argument can be made for the need to increase staffing and resourcing not cut these back. To laud the point that this local authority has a high ratio of teaching staff compared to others and then use this as a reason to cut numbers is regrettable. Mathematical models that have been used to estimate numbers may have been based on false assumptions. • Teacher workload is at unsustainable levels. • High-quality learning and teaching requires adequate professional time. The demands being placed on teachers that are employed in the authority is causing work related stress, reducing the numbers of teachers and specialist support staff will increase strain on staff. This proposal could lead to increased staff absence, additional costs for cover and a reduction in the ability of staff who remain to meet the vast range of needs that pupil are presenting. Alignment of resources also needs to be considered against a backdrop of rising need. The scale of need within mainstream classrooms has expanded far beyond the capacity of the current system to support it. The continued escalation in ASN identification, presents a serious challenge to the delivery of high-quality learning and teaching. Teachers are facing unprecedented pressures as they strive to address increasingly complex social, emotional, behavioural, and learning needs within environments that are insufficiently resourced to meet them. The national commitment to mainstreaming has not been matched with the investment required for practical implementation. An eight-fold increase in ASN since the introduction of the current statutory framework demands a reassessment of policy expectations, support structures, and staffing levels. The reality within schools is that specialist provision, nurture support, and targeted interventions are often unavailable, inconsistently delivered, or withdrawn due to local authority resource constraints. The consequences of unmet need are reflected in attendance patterns, pupil wellbeing concerns, and the rising incidence of distressed and dysregulated behaviour. • Meeting pupils’ needs, including those with additional support needs, depends on teachers having the capacity to respond effectively 68
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 25 of 58 Local Authority Assumptions “Maintain alignment of Pupil Support Assistant hours to reduced pupil rolls across mainstream schools: This proposal is to reduce the budget for Pupil Support Assistants (PSA’s) by 1% in 26/27 and 1% in 27/28. This is based on a projected 1% reduction in pupil roll in each academic session. A 1% budget reduction equates to approximately 135 hours per week PSA support in each year. The reduction in time would be achieved through normal workforce planning arrangements, including not filling vacancies. Primary and secondary schools receive an allocation of Pupil Support Assistants, with the distribution of available budget based on school roll and level of social deprivation. Pupil Support Assistants provide a range of support to children and young people to enable them to participate in education and learning. This includes supporting their emotional and behavioural needs, literacy and numeracy development and health/disability needs. Local Authority Proposal Community Impact Green Savings: 2025/26 £48,000, 2026/27 £77,000 Total £125,000 The use of PSA’s acts as a preventative measure and can remove pressure not only from internal specialist provision, but also from external day education placements, both of which are significantly more expensive alternative models of service provision”. SSTA Reply Teachers cannot deliver the inclusive education North Ayrshire aspires to without the tools, time, and personnel necessary to do so safely and effectively. Secondary class contact time remains among the highest in Europe, and specialist ASN staffing continues to decline. At the same time, classroom teachers are expected to manage escalating complexity with limited professional learning opportunities and insufficient numbers of support staff. We urge the local authority to commit to a long-term programme of investment that enables schools to deliver meaningful intervention, early support, and consistent pathways for children and young people who require additional help. Teachers in North Ayrshire are committed to inclusive education, but inclusion cannot be achieved through aspiration alone. It requires resources and a system designed to meet the needs of every learner. Local Authority Proposals in Context of Industrial Relations Dispute The SSTA note that North Ayrshire is working through the lens of COSLA’s recognition of the importance of reducing class contact time (RCCT) and its commitment to continued engagement through the SNCT. We must be clear that RCCT is a national commitment made by the Scottish Government and fully endorsed through the national negotiating machinery. Teachers should not be placed in the middle of disagreements about funding or responsibility between national and local government. 69
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 26 of 58 The financial pressures facing local authorities are real, but these proposals could stall or dilute a commitment that is essential to protect time for preparation and planning of high-quality lessons, maintain the health & wellbeing of teaching staff and improve support for children and young people. RCCT is not an optional policy; it is a contractual requirement in development, and one that must be properly resourced. The SSTA therefore supports North Ayrshire in pressing the Scottish Government to provide the funding necessary to bring about RCCT but equally stresses that the local authority has a duty to participate constructively in planning for implementation rather than presenting obstacles like those proposed in this budget 70
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 27 of 58 3.1.2 Equalities – Overview of Survey Responses by Protected Characteristic of Respondent This section explores the views of respondents who completed the equality information in the survey. It is a method of comparing responses of those with and without particular protected characteristics. Though quantitative rather than qualitative, this information is a partial insight into real lived experience and is one of many sources which inform our Equality and Childrens Rights Impact Assessments (ECRIAs). For example, in the Disability chart below, 587 respondents stated they did not have a disability (pink) and believed the proposal was high impact to their community. 102 respondents with a disability (blue) also said it was high impact to their community and this ratio of pink and blue is repeated across the other answers. Had the proportion of blue been significantly higher in one answer, that would suggest an area that needed further investigation and would be highlighted through ECRIAs. What kind of impact do you think realigning the level of teaching resource across North Ayrshire schools would have on your community? 71
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 28 of 58 72
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 30 of 58 0 200 400 600 800 74
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 31 of 58 3.2 Proposal to align Pupil Support Assistant hours to reflect reduced pupil rolls across mainstream schools This proposal is to reduce the budget for Pupil Support Assistants (PSAs) by 1% in 2026/27 and 1% in 2027/28. This is based on a projected 1% reduction in pupil roll in each academic session. A 1% budget reduction equates to approximately 135 hours per week PSA support annually. The reduction in time would be achieved through normal workforce planning arrangements, including not filling vacancies. Primary and secondary schools receive an allocation of Pupil Support Assistants, with the distribution of available budget based on school roll and level of social deprivation. The role of Pupil Support Assistants is to provide a range of support to children and young people to enable them to participate in education and learning. This includes supporting their emotional and behavioural needs, literacy and numeracy development and health/disability needs. 1. Given the information above, what kind of impact do you think this proposal would have on your community? 2. Have you any additional comments you wish to make on the proposed 1% reduction in the budget for Pupil Support Assistants to reflect the reduction in pupil roll?F COMMENTS: Rising ASN Needs – A significant number of responses expressed the view that the number of children with Additional Support Needs (ASN) is increasing. Respondents state that classrooms now contain more pupils requiring one-to-one or intensive support, often with complex behavioural, communication or emotional needs. Many emphasise that Pupil Support Assistants (PSAs) are already stretched beyond capacity and any reduction would leave vulnerable children unable to cope, access learning or remain safely included in mainstream settings. Impact on Learning - Participants describe PSA support as essential to maintaining safe, calm and productive classrooms. Without enough PSAs, teachers must manage a wide range of classroom issues which can often disrupt learning for all pupils. Many warn of increased accidents, escalations of violence, reduced supervision and less time for interventions such as literacy and numeracy. Many comments suggest that any possible reduction in PSA hours could undermine inclusion, wellbeing and attainment. 75
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 32 of 58 Pressure on Teachers - Another major theme emerging from the comments is the workload teachers already face, particularly in large, high-need classes. Respondents state that PSAs are vital partners who enable teachers to teach, regulate pupils and meet diverse needs. Reducing PSA hours may, in turn, increase teacher burnout, sickness absence and reliance on costly supply cover - ultimately costing more than is saved. Many describe schools as “struggling” with staff “at breaking point,” warning that decreasing PSAs could destabilise an already fragile system. "As a parent of a child with autism who attends a mainstream school, I am deeply concerned about the proposed reduction in Pupil Support Assistant (PSA) hours. While pupil rolls may be decreasing overall, this does not reflect the reality within classrooms. The number of children with Additional Support Needs in mainstream education is increasing, and their needs are often complex and require consistent, skilled support throughout the school day.” “My son is an emerging but inconsistent speaker who also struggles with emotional regulation and focus. He relies on his PSA not just for learning support, but for help with communication, emotional regulation, and personal care. The PSA’s presence enables him to access education in a meaningful way and ensures he can remain included and safe in a mainstream environment.” “Pupil support is key to supporting children in education settings. Are we not seeing more children requiring supports within North Ayrshire? A teacher simply cannot give proper 1-1 support to all the kids within the class.” “The reduction of support will directly affect those who need the support. North Ayrshire really need to look at the needs in each school and understand the increased strain/pressure that is on teaching staff and support staff to get it right for every child in their class. Teachers need more and more support to deal with the needs of children.” “As a teacher I have varied needs within my class. If I did not have a PSA for one child in particular I would be unable to teach the rest of the class due to their disruptive and sometimes violent behaviour. Last year, I spent a lot of time radioing for a PSA to come and change a child and deal with their toileting needs as he had no dedicated PSA time. The amount of teaching time wasted on this was significant.” “Pupil Support Assistants are the backbone of schools. They are already severely underpaid for the incredible service they offer to Scotland's children. Schools would crumble without them. Schools, their staff and the pupils will suffer if staffing numbers are reduced … Attainment gaps are widening. Reducing the number of support staff will only exacerbate these issues.” “PSAs provide both educational and emotional support. They are people that children and young people trust and with teaching staff, allow children to feel they are in a safe space and ready to learn. Most of the children they support have additional support needs and/or come from disadvantaged backgrounds. These are the children’s safe people, not to give them that support would be detrimental to their wellbeing.” “In high-deprivation communities like ours, families cannot replace this support privately. Cutting PSA hours will therefore widen inequalities, increase behavioural and emotional incidents in schools, reduce attainment, and place additional pressure on teachers and school staff. The proposal is based on roll numbers rather than actual support needs, and will have significant negative consequences for pupils and the wider community." “The PSA's in my school are invaluable and are at the heart of what makes our school operate successfully for the best interests of all the children. They are now a direct link between learning, teaching and raising attainment.” 76
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 33 of 58 3. Do you think the proposal will have an impact on people with specific characteristics, including race, sex, gender, disabilities, care experienced, socio-economic factors, and others. (Answering 'yes' will allow you to choose groups you feel will be impacted). 77
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 34 of 58 4. Which groups below do you feel will be impacted. 78
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 35 of 58 5. Please provide more information about how you feel these groups would be impacted. The comments show concern that reducing Pupil Support Assistant hours would disproportionately harm pupils with disabilities, additional support needs, care-experienced young people and those from low-income backgrounds. Respondents highlight that these young people rely on PSAs for essential support with learning, behaviour, wellbeing, communication and personal care. Many responses fear any reduction in hours could widen attainment gaps, reduce inclusion, increase disruption in classrooms and place greater pressure on teachers. Comments also emphasise safeguarding risks, as well as the importance of trusted relationships PSAs build with vulnerable children. “For many children with additional needs, consistent PSA support is not an optional extra — it is the reasonable adjustment that allows them to learn, engage, and be included safely in a mainstream setting." “Many children who are care experienced or have a disability often require one to one support from a PSA. If there is no PSA, how can those that require personal care attend school as teachers should be teaching all children in class and not providing personal care. If PSA numbers are reduced who will provide personal care for the many children that require it?” “Young people from SIMD 1 & 2 are at an already significant academic disadvantage. This would put them further back and increase the gap between them and their peers not from this background.” “ASN pupils and care experienced pupils require connections and this is achieved by having enough staff to build these relationships. Pupils are no longer getting access to CAMHS and the role of education staff is now the only support open to ASN and care experienced pupils. PSA can give pupils time as most Class Teachers are committed to the learning and teaching role. PSA connect with pupils on a 1-1 or small groups. It is essential that we retain and increase PSA support.” “For children with disabilities, the impact of any further cuts would be particularly serious. These pupils often rely on consistent, one-to-one or small-group support to access learning, communicate effectively, and feel safe and included in school life.” “Schools with higher deprivation receive proportionally more PSA resource because pupils facing poverty-related challenges often require increased support with learning, wellbeing, and behaviour. A reduction in available PSA hours could limit targeted interventions that help close the attainment gap and reduce the ability of schools in deprived areas to respond flexibly to need." “Increasing pupil-teacher ratios and reducing support is likely to disproportionately impact children with protected or vulnerable characteristics. Learners with disabilities or additional support needs may receive less targeted help, widening attainment and wellbeing gaps. Care-experienced pupils and those from lower socio-economic backgrounds often rely more heavily on strong relationships and consistent adult support, which larger classes make harder to maintain. Reducing capacity also risks limiting early intervention, which is crucial for pupils who already face barriers linked to race, gender, or other characteristics. These proposals therefore carry a significant risk of deepening existing inequalities.” 79
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 36 of 58 6. Do you think the proposal is likely to have an effect on any island communities which is significantly different from its effect on other communities (including other island communities) in North Ayrshire? 7. Please provide more information about how this proposal may have an effect on island communities in North Ayrshire. Responses regarding the impact on island communities suggest that any reduction in PSA hours will be felt keenly on Arran and Cumbrae. This is mainly due to already limited staffing, recruitment challenges and fewer alternative services. Respondents emphasise that island schools often have high proportions of pupils with additional support needs, but far fewer resources or specialist provisions compared with the mainland. It was felt that small schools are vulnerable to losing whole posts through minor reductions, worsening pressure on teachers and composite classes. Travel and ferry issues make staffing fragile and families rely heavily on PSAs for learning, wellbeing, medication and personal care. Overall, any reduction in service - no matter how small - is seen as disproportionately harmful to island communities. “Arran is attractive to parents due to its safe nature but this has increased the number of students with additional needs. Whether these are ADHD, dyslexia, medical or other needs, the young people need support to be able to access the work but also the right support to be able to give medication as teaching staff are not able to do this.” “For smaller schools on Arran and Cumbrae, even a minor reduction in hours can mean the loss of one part-time PSA post, which has a bigger proportional impact due to small staff teams." “We are restricted with staffing due to the disruption caused by ferries, so more cuts would simply make the matter worse.” “Island schools already operate with limited staffing flexibility and challenges in recruitment and cover. Even a small reduction in PSA hours can create more pronounced difficulties, as PSAs often provide wide-ranging, multi-role support within small school environments. Reduced PSA time could impact the ability to support pupils with additional needs, manage composite classes, and maintain inclusive learning. Given their geographical isolation and limited alternative services, island communities may feel a greater relative impact unless staffing models protect essential support roles.” “Island communities already face unique challenges such as limited staffing flexibility, travel constraints, and smaller school rolls. Reducing support or adjusting ratios may have a greater impact in these settings because replacing staff, sharing resources, or accessing specialist support is far more difficult than on the mainland. Even small changes could significantly affect the stability and quality of education in island schools.” 80
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 37 of 58 “Arran does not have the same access to resources for children with ASN due to being an island community. Every school on the island has increasing numbers of pupils with ASN and any reduction in PSA numbers would have a significant impact due to no alternative support or educational provision available on a day to day basis. Falling school roles is irrelevant if additional support needs are increasing and in small island schools, many with multilevel classes, PSAs are essential to ensure all pupils needs are met.” “PSAs are vital to ensure cover at beginning and end of day. Many island children travel on buses and assistance is required when waiting for buses to arrive at end of day and they can often be late as our service buses are not dedicated school buses. Other children travel by taxi or minibus and again PSA are there to assist. PSA are often the First Aider and if not in school then there is no support. They may be required to support medication, hygiene, toileting or accidents.” 8. In relation to the previous question, does your answer relate to: 81
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 38 of 58 3.2.1 Engagement Group Feedback Harbourside Men’s Shed • “This does not make sense, especially if you are lowering the number of teachers.” • “They aren’t paid much and do a great job.” • “Employ more to support the teachers who are struggling to get through the work they have.” • “Would be best to leave Education alone. Surely there are other places money could be taken from?” 13 people were in attendance. 77% believed the proposal would have a high impact and 23% were unsure. Newtown Men’s Shed • “Makes no sense!” • “Pupil support assistants are invaluable.” • “Low paid so cutting numbers won’t hugely impact the budget.” • “Behaviour in schools is getting worse, pupils with additional needs. How can they be supported if there are less teachers and less assistants?” 10 people were in attendance and all believed the proposal would have a high impact. Kilwinning Discovery Award • “What we have in schools now isn’t enough to support the children. Further cuts will affect children’s education.” • “PSA - Remit has changed. PSA are expected to do regular personal care. Adds ultimate pressure. Without them how will support be given to young people in need?” • “Needs are so great there needs to be more support.” 14 people were in attendance. 79% believed the proposal would have a high impact and 21% were unsure. Dreghorn Community Council Nine people were in attendance and all believed the proposal would have a low impact. Friends of Redburn 14 people were in attendance and all believed the proposal would have a high impact. Introduction to Watercolour Nine people were in attendance. 78% believed the proposal would have a high impact, however 11% believed it would have no impact and similarly 11% believed it would have low impact. Irvine Participatory Budgeting Four people were in attendance and all believed the proposal would have a high impact. Lanfine Age Concern 27 people were in attendance and all believed the proposal would have a high impact. Redburn Grove Tenants Group Four people were in attendance and all believed the proposal would have a high impact. Saltcoats High Flats Tenants Group 11 people were in attendance and all believed the proposal would have a high impact. Parent Council Chairs’ Meeting Eight people were in attendance and all believed the proposal would have a high impact. Pupils 12 pupils took part in this discussion and all believed the proposal would have a high impact. North Coast Youth Forum 10 of our young people were in attendance and all believed the proposal would have a high impact. GV Voices of Pride Six people were in attendance and all believed the proposal would have a high impact. 82
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 39 of 58 One to one discussions with young people with Additional Support Needs Five of our young people with ASN were consulted on a one to one basis. All believed the proposal would have a high impact. North Ayrshire Youth Conference and North Ayrshire Joint Champions Board Conference • “Pupil Support are very important in my school.” • “It’s not fair on them.” • Result in teachers being hurt. • Result in stress at work which leads to absence. • Complaints from parents. • “Too much for teacher.” • ASN requires a lot of support. • Requires support throughout the full day. • Children will be very unsettled. • Children will miss out on school. • Toileting needs. • [Some children] need support to eat. • Support for learning. • Support to take medication. • “PSA makes me feel safe.” • Support for extracurricular activities • “With not enough provisions for young people with additional support needs this would only get worse.” • “The students will extend so we will probs need more of them.” • “Some students need more PSA than they would get with this cut.” • “Some pupils need additional support and they should be entitled to that.” • “That with the 1% reduction students with additional support needs have a hard time if PSAs weren't in as much.” • “More pupils emerging with ASN.” • “A lot of my peers rely on PSAs removing them is vile and cheap.” • “Don’t students of disabilities need their support.” • “Depends on the pupil they support/ don't support.” • “According to MSYP manifesto - young people with additional support needs are not receiving the support they require already, therefore the Scottish Government recommend local authorities spend more money to support them in school and other education settings. Already lost librarians in schools, now possibly teachers and pupil support, young people often struggle to get the support they require from schools already and this would only worsen the situation. There are so many different behaviours happening in school and it is often difficult for teachers to deal with this and continue to deliver classes, less support assistants would make this more difficult.” • “Please don’t. Just don’t. I don’t know how schools would survive without them.” • “Pupil support assistants are vital for supporting all young people. They are essential in schools and are not getting the wage they deserve.” • “Do more budgeting for pupil support assistant.” • “This is a silly idea.” 83
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 40 of 58 • “Cutting the MCR pathways.” • “Cutting MCR PATHWAYS STAFF” 110 of our young people were in attendance across both events (86 attended the North Ayrshire Youth Conference and 24 young people attended the North Ayrshire Joint Champions Board Conference). 60% believed this proposal would have a high impact, 23% low impact, 3% no impact and 15% were unsure. 3.2.1.1 Responses from Trade Unions See section 3.2.1.1 above. 84
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 41 of 58 3.2.2 Equalities – Overview of Survey Responses by Protected Characteristic of Respondent This section explores the views of respondents who completed the equality information in the survey. It is a method of comparing responses of those with and without particular protected characteristics. Though quantitative rather than qualitative, this information is a partial insight into real lived experience and is one of many sources which inform our Equality and Childrens Rights Impact Assessments (ECRIAs). What kind of impact do you think aligning Pupil Support Assistant hours to reflect reduced pupil rolls across mainstream schools would have on your community? 85
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 46 of 58 3.3 Proposal to increase charges at Arran Outdoor Education Centre Arran Outdoor Education Centre (AOEC) delivers high-quality outdoor learning experiences to approximately 1,200 North Ayrshire pupils each year. Occupancy for 2025/26 is already at 90% during term time, showing strong and consistent demand. The cost of operating the centre is £298,000 greater than the income we receive. As part of a benchmarking exercise to review similar outdoor education facilities at a variety of locations in Scotland, it has been established that AOEC's offering is competitive. While North Ayrshire Council has a commitment to tackling child poverty, with several school catchment areas experiencing high levels of deprivation, there is scope to consider proportionate increases to current prices and still remain affordable. The proposal would keep the pricing structure of the centre in line with similar facilities, while still allowing for subsidised access for local schools at competitive rates. The proposal reflects a £4.00 per person, per night increase. 1. Given the information above, what kind of impact do you think this proposal would have on your community? 2. Have you any additional comments you wish to make on the proposed increase of charges at Arran Outdoor Education Centre? Affordability: A significant recurring concern among the responses was that even a relatively small fee increase would exclude children from low-income families, many of whom are already struggling with the cost of living. For these pupils, AOEC trips may be their only holiday or opportunity for outdoor learning. Respondents highlight that North Ayrshire has high levels of deprivation and any extra cost risks deepening inequality, increasing stigma and preventing the children who benefit most from attending. Development and Wellbeing: Many comments emphasise that AOEC provides life-changing experiences - building confidence, resilience, teamwork, independence and social skills. For some children who may rarely leave their local area, the residential trip is a milestone event that cannot be replicated in school. Respondents stress the importance of preserving access to outdoor learning due to its positive impact on mental health, wellbeing and inclusion. The centre is widely seen as a vital, unique resource that enriches education beyond the classroom. 90
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 47 of 58 Financial Sustainability: There was recognition that AOEC must remain financially viable if it is to keep operating in future years. Some respondents accept that a modest increase is reasonable if it prevents closure and keeps the centre running. However, many urge the council to consider alternative funding models - such as fundraising, grants, corporate sponsorship, targeted subsidies, increased off-season use, or means-testing - to avoid placing the burden directly on families. The overall sentiment is that sustainability matters, but not at the expense of access for all, regardless of their financial background. “I would be happy to pay a bit more to ensure this facility stays and is able to keep running as they offer a very valuable experience to kids, perhaps the schools using the facilities could be more proactive in fund raising to reduce the cost to parents.” “Schools need to rely on more fundraising to support all families to afford this. Schools could seek external funding e.g. parent councils, grants etc to support this additional element. The centre is a highly valued experience amongst schools in North Ayrshire and a small price increase will not affect the demand for it. The centre provides everything for the week along with specialised kit and all food, so I think an increase is fair.” “If you increase the charges then children that are living in high level of poverty would not be able to access these experiences this would therefore increase feelings of exclusion and shame for children. This is an important milestone for children and the benefit of attending this at the end of p7 is life changing for some children who may never get the chance to participate in such opportunities in any other way other than at a reduced cost through the school.” “I think if the price has to be increased by £4, it is a small price to pay to keep the facility open.” “Less families will be able to attend this and currently many young people may only have this one experience in their school life as a holiday, a break away. One forever lifetime memorable experience which could be now outwith their reach altogether. By all means adopt other means to bring in revenue to keep the centre open. Open the building and charge commercial rates to visitors to the island.” “Arran Outdoor Education Centre is absolutely vital in providing outdoor learning and experiences for children whom may otherwise never experience this. It’s a reasonable price increase to keep the centre open but will still have a significant impact on schools/families especially low income families.” “Could the increase be applied in a means tested way or by using pupil decile information to protect our most vulnerable pupils from further financial pressure?” “Arran Outdoor Centre is a wonderful resource that has served the children of our area very well over the years. It would be a great shame to lose it. However, the price against the reduction in days and time spent at the centre for pupils is becoming a concern. Schools already cover the cost of deprived pupils, so this burden falls directly onto them, or onto the school community via fundraising endeavours.” "I have concerns regarding the proposed increase of charges at Arran Outdoor Education Centre. While I understand the need for financial sustainability, I worry about the potential impact on accessibility and equity for children across North Ayrshire.” 91
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 48 of 58 3. Do you think the proposal will have an impact on people with specific characteristics, including race, sex, gender, disabilities, care experienced, socio-economic factors, and others. (Answering 'yes' will allow you to choose groups you feel will be impacted). 92
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 50 of 58 5. Please provide more information about how you feel these groups would be impacted. Respondents consistently highlight that an increase in charges at AOEC fees could disproportionately affect low-income families, care-experienced young people, and pupils with additional support needs. Many fear that even small increases could make residential trips unaffordable, leading to some children missing out on what is often a unique, confidence-building and life-enhancing experience. The comments emphasise that pupils in areas of deprivation already face significant barriers to improving their wellbeing. Concerns also include widening inequalities, increased financial pressure on schools to subsidise places, and the loss of opportunities for children who benefit most from outdoor learning. “Greater costs would impact poorer families however the increase is minimal and it was already a huge cost so a little more shouldn’t make a huge difference. It is up to schools to help their poorest families and find ways to fundraise or subsidise costs in some way. Also making sure payment plans are available for families.” “Our most disadvantaged will be affected again as they have the least amount of money to pay for such experiences and services. They are also the least likely to experience these opportunities outwith education. Small businesses will also be affected with a reduction in visitor numbers, they are already suffering because of ferry disruptions etc. this will further compound the issues.” “Cost should not be a barrier to pupils enjoying a break away. I have been to the Arran Outdoor Education Centre myself when I was at school and I enjoy it a lot. Young people are suffering enough due to economic incompetence of certain people which they did not cause but are disproportionately, in my opinion paying a heavy price for. Young carers and care-experienced may need a break away and an outdoor experience to act as respite and enhance social inclusion. Some individuals within these categories may not have access to the income required to take part in these activities if a cost was attached.” “Those from low income families may find the extra costs too high and struggle to allow their children to attend the Outdoor Centre. These groups cannot afford this facility now. So any future changes will put this out of reach of people classed in that group.” “The proposed price increase at Arran Outdoor Education Centre is likely to primarily affect pupils from low-income or deprived families, as well as local schools with limited budgets, although subsidised rates should help maintain access. Pupils of all ages benefit from the centre, but younger students may feel the impact more if trips are reduced. Teachers and school staff may need to manage budgets more carefully.” “The proposed price increase at AOEC risks reducing access for the very children who benefit most from high-quality outdoor learning. Young children—especially those from low-income families—may miss out if schools or parents cannot absorb even small additional costs. Care-experienced pupils, who often rely on enriched experiences to build confidence, resilience, and relationships, may face fewer opportunities if budgets tighten. Children with disabilities, who often require additional support or resources to participate, are particularly vulnerable to cuts in school trip funding; any cost rise makes it more likely that schools reduce places or prioritise lower-cost activities. In a high-deprivation area like North Ayrshire, even modest increases can unintentionally deepen inequalities by limiting access to outdoor learning for the children who need it most.” 94
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 51 of 58 6. Do you think the proposal is likely to have an effect on any island communities which is significantly different from its effect on other communities (including other island communities) in North Ayrshire? 7. Please provide more information about how this proposal may have an effect on island communities in North Ayrshire. The responses highlight that increased charges could significantly reduce school visits to Arran, potentially damaging the economic and social fabric of the island community. It was suggested that an increase in charges could lead to fewer bookings, putting the future of the centre at risk and potentially reducing income for local businesses. Many comments expressed the view that any decrease in usage at AOEC could jeopardise its long-term viability, removing a vital employer and an important educational resource for local pupils. Overall, increased fees were seen as potentially harmful to Arran’s economy, opportunities and community wellbeing, although many responses did indicate that a small increase would be justified to ensure the ongoing viability of the centre. "Arran’s economy depends heavily on tourism, hospitality and seasonal trade. Educational groups, like school trips, contribute to this ecosystem even though they’re not ‘traditional tourists’.” “If the cost is increased, some schools may not be able to attend the centre which will impact the foot fall in Arran and could lead to the closure of the centre which will have an even bigger impact on the island.” “While the impact is not expected to be prohibitive, island communities may experience a relatively greater financial and logistical burden compared with other parts of North Ayrshire.” “Arran has hidden poverty. There are families on Arran who could not afford a weeks' residential. Some of these families do not qualify for extra support in terms of school grants etc but face high costs of living on Arran (hidden costs such as an increase in price of food, public transport).” “If the price increases reduce the occupancy levels of the centre, it could then have an impact on the number of people employed there. Also reduced occupancy will mean less catering required from local suppliers.” “Living on an island means in some ways, especially related to funding and accessibility, that we are already at a disadvantage, so proposals like these only compound this situation.” “Arran primaries currently use the Outdoor Centre for teaching collaborations but also for their P7 annual residential trip. The schools and families already have additional costs due to living on an island, so may make this an unattainable resource.” 95
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 52 of 58 8. In relation to the previous question, does your answer relate to: 3.3.1 Engagement Group Feedback Harbourside Men’s Shed • “This would seem fair, especially if it helps the centre to stay open. Just concerned about parents/carers who might not be able to afford the extra cost.” • “On a side note, would it be possible (it may already exist?) to have a small fund available to cover the cost for young people who might not be able to afford to go. We have heard so many positive things about the experience young people get here and it would be sad to think anyone would miss out).” 13 people were in attendance and all believed this proposal would have a high impact. Newtown Men’s Shed • “£16 doesn’t sound like a lot, but for people in poverty, it could be the difference between their child being able to have a holiday or not.” • “Could those in work who can afford it pay the extra, and those on benefits not be expected to pay the extra?” • “NAC must find a way to keep this facility open. It is a great asset for young people in North Ayrshire.” 10 people were in attendance and all believed this proposal would have no impact. Kilwinning Discovery Award • “Arran is a wonderful experience for young people. That may stop young people accessing/utilising the centre that is in their local authority.” • “Doesn’t support the cost of living.” 96
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 53 of 58 • “Is there a way for the centre to generate income through hiring it out or allowing families to book it?” 14 people attended. 57% believed this proposal would have a high impact, 29% low impact and 14% were unsure. Dreghorn Community Council Nine people were in attendance and all believed this proposal would have a low impact. Friends of Redburn 14 people were in attendance and all believed this proposal would have a low impact. Introduction to Watercolour Nine people were in attendance. 67% believed this proposal would have a high impact, 22% low impact and 11% no impact. Irvine Participatory Budgeting Four people were in attendance and all believed this proposal would have a low impact. Lanfine Age Concern 27 people were in attendance and all believed this proposal would have a high impact. Redburn Grove Tenants Group Four people were in attendance and all believed this proposal would have a low impact. Saltcoats High Flats Tenants Group 11 people were in attendance and all believed this proposal would have a high impact. Parent Council Chairs’ Meeting Eight people were in attendance and all were unsure if this would have an impact. Pupils 12 pupils took part in this discussion and all believed this proposal would have a high impact. North Coast Youth Forum 10 of our young people took part in this discussion and all believed it would have a low impact. GV Voices of Pride Six people attended. 67% believed this proposal would have a high impact and 33% felt it would have a low impact. One to one discussions with young people with Additional Support Needs Five of our young people with ASN were consulted on a one to one basis. 20% believed this proposal would have a high impact, 20% felt it would have a low impact and 60% were unsure. North Ayrshire Youth Conference and North Ayrshire Joint Champions Board Conference • “£4PPPN [per pupil per night] isn't exactly completely unaffordable for most families but the centre provides such a valuable experience.” • “It’s more money for less time.” • “The centre could sell snacks or souvenirs.” • “Still Fair.” • “Very fair, love the centre.” • “£4 isn’t a huge increase and would still be affordable for most people. Price increase would be preferred to losing the centre. Good that local schools will get support to keep costs low especially if they consider the families suffering most by the cost of living.” • “Maybe less regular.” 97
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 54 of 58 • “Do more activities and walking with the outdoor centre.” • “This widens the gap for those who cannot afford.” 110 of our young people were in attendance across both events (86 attended the North Ayrshire Youth Conference and 24 young people attended the North Ayrshire Joint Champions Board Conference). 48% believed this proposal would have a high impact, 23% low impact, 11% no impact and 18% were unsure. 98
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Budget Engagement 2026/27 Findings – Schools and Related Services for Children and Young People Page 55 of 58 3.3.2 Equalities – Overview of Survey Responses by Protected Characteristic of Respondent This section explores the views of respondents who completed the equality information in the survey. It is a method of comparing responses of those with and without particular protected characteristics. Though quantitative rather than qualitative, this information is a partial insight into real lived experience and is one of many sources which inform our Equality and Childrens Rights Impact Assessments (ECRIAs). What kind of impact do you think an increase to charges at Arran Outdoor Education Centre would have on your community? 99
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Budget Engagement 2026/27 Findings –– Other Council Services Page 1 of 52 Contents 1 About this Document / Method ......................................................................................................................................................... 2 2 Demographic Breakdown of Respondents ......................................................................................................................................... 3 3 Survey Findings ............................................................................................................................................................................... 5 3.1 Proposal to Streamline the Participatory Budgeting (PB) Process ................................................................................................. 5 3.1.1 Engagement Group Feedback .......................................................................................................................................................... 10 3.1.2 Equalities – Overview of Survey Responses by Protected Characteristic of Respondent ...................................................................... 13 3.2 Proposal to Increase Temporary Accommodation Rents ........................................................................................................... 17 3.2.1 Engagement Group Feedback .......................................................................................................................................................... 22 3.2.2 Equalities – Overview of Survey Responses by Protected Characteristic ............................................................................................. 24 3.3 Proposal to Review the Waste Collection Frequency for Purple and Blue Bins on the Mainland and Cumbrae ............................... 28 3.3.1 Engagement Group Feedback .......................................................................................................................................................... 35 3.3.2 Equalities – Overview of Survey Responses by Protected Characteristic ............................................................................................. 37 3.4 Proposal Regarding Opportunities for Regional Collaboration ................................................................................................... 41 3.4.1 Engagement Group Feedback .......................................................................................................................................................... 47 3.4.2 Equalities – Overview of Survey Responses by Protected Characteristic of Respondent ...................................................................... 49 104
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Budget Engagement 2026/27 Findings –– Other Council Services Page 2 of 52 1 About this Document / Method This document contains the summarised feedback from the 2026 to 2027 Council Budget Engagement undertaken between 6th November and 19th December 2025. It contains survey findings, engagement group feedback and where relevant, comments from trade unions. Two surveys were issued in parallel: 1. Schools and Related Services for Children and Young People (887 responses) 2. Other Council Services (338 responses) Results of our Other Council Services survey are contained within this report and included the following proposals: a) Streamlining the participatory budgeting process b) Increasing temporary accommodation rents c) Review of the waste collection frequency for purple and blue on the mainland and Cumbrae This consolidated approach to engagement and reporting is more comprehensive and enables quicker distribution to Elected Members and Officers for consideration. Please note: As proposals were divided by theme and issued in two surveys, if there is a need to combine findings across the engagement exercise (such as stating the total number of responses received across both surveys) caution should be used to ensure reference is made to the number of responses, rather than number of respondents. Though completely anonymous, individuals may have completed both surveys. Also note that respondents may not have completed all questions within the survey, therefore the total number of responses to each question may not equal the total number of responses to the survey. Open field questions produced an extensive amount of information. To manage this level of data, the Communications Team examined this section only initially using AI followed by a manual analysis to develop summaries for each question. As well as the summary, examples of responses are then quoted for each question to ensure the voices of our communities are directly visible. It may have been necessary to partially redact some quotes to ensure personally identifiable information isn’t inadvertently shared, in line with data protection legislation. Demographic information including equalities data has been provided by respondents. This is used to inform Equality and Children’s Rights Impact Assessments (ECRIAs) on proposals. Though not a protected characteristic under the Equality Act 2010, North Ayrshire Council treats “care experienced” as a protected characteristic and includes it in these results. For further information contact the Corporate Policy and Performance Team via northayrshireperforms@north-ayrshire.gov.uk. 105
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Budget Engagement 2026/27 Findings –– Other Council Services Page 3 of 52 2 Demographic Breakdown of Respondents 338 Responses 106
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Budget Engagement 2026/27 Findings –– Other Council Services Page 5 of 52 3 Survey Findings 3.1 Proposal to Streamline the Participatory Budgeting (PB) Process We propose to streamline the Participatory Budgeting small community grants processes into one community process, creating a more engaging process for communities. Following any changes, there would still be a substantial amount available for distribution each year through the Participatory Budgeting voting process (around £90,000 per annum plus any additional funding which was identified year to year) as well as support to access other small grants programmes. At the same time, the changes will help us renew our focus on mainstreaming Participatory Budgeting as part of community participation in overall Council service design and delivery. Overall, the proposal would result in a reduction in small grants funding available for community groups. 1. Given the information above, what kind of impact do you think this proposal would have on your community? 2. Have you any additional comments you wish to make on the proposals to amend the participatory budgeting processes? Concern for small community groups: Many responses indicated a concern that a shift towards more competitive, vote-led PB could disadvantage small, local or specialist groups. Respondents worry that moving, for example, to a single annual process or reducing overall funds may threaten the survival of groups supporting older people, rural communities, or those living in smaller communities or in high-deprivation areas. Potential to favour better-known groups: In addition, there was concern that while smaller groups may lose out, some viewed PB as a “popularity contest” which could favour high-profile organisations with strong digital reach, larger memberships or better PR. Bringing all funding rounds together or increasing the reliance on community voting could intensify this. Groups lacking an online presence or supporting vulnerable people who cannot easily vote (e.g. older adults or rural residents) may be at a disadvantage. Respondents say funding should reflect need and impact, not campaigning ability. Concern at potential reduction in funding: There is support for streamlining, reducing administrative burden and simplifying application and voting processes, which some see as overly complex. However, 108
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Budget Engagement 2026/27 Findings –– Other Council Services Page 6 of 52 many object that the proposed streamlining is linked with a reduction in funding, which they feel undermines the purpose of PB. Other responses suggest the process needs more clarity, transparency and improved accessibility - especially online voting. “I'm not sure this is the fairest way - some projects are high profile and can mobilise support, while others quietly get on with things without all the PR and would be disadvantaged by this approach. Funding shouldn’t really be a popularity contest.” “This makes sense both for the council and for the groups seeking funding. As it is, groups have to make multiple applications to multiple funds and this takes up the time of the employed workers and the volunteers - time which would be better spent actually getting on with running the groups.” “Looking at this PB change, I think it's necessary, trading a small reduction in grant money for a much more efficient process is a smart financial move. I see the long-term benefit being the renewed focus on mainstreaming Participatory Budgeting—giving our communities a proper strategic voice in how council services are delivered and this I think is a bigger win than just securing small grants.” “Any action which results in a reduction in funding available to community groups is bad. Streamlining the process should result in efficiencies in administering the funds and identifying points where funding is duplicated or overallocated to one sector. Community groups as a whole provide learning, activities, support to specific varied demographic groups and are much used and enjoyed by their communities. They should be supported as much as possible to ensure they can be used by as many as possible with cost to access not being a factor.” “This may make it more difficult for smaller community groups to be sustainable in having to compete with the bigger more established groups.” “This will also weight the process quite strongly to better known organisations who have a bigger presence on social media etc which will make it harder for smaller ideas and groups to access any money. It will make it more like a popularity contest than it already is.” “Streamlining the process is positive and as long as there is clear concise and accurate information available to all relevant parties and communities, I think this is a good proposal.” 109
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Budget Engagement 2026/27 Findings –– Other Council Services Page 7 of 52 3. Do you think the proposal will have an impact on people with specific characteristics, including race, sex, gender, disabilities, care experienced, socio-economic factors and others. (Answering 'Yes' will allow you to choose groups you feel will be impacted). 110
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Budget Engagement 2026/27 Findings –– Other Council Services Page 8 of 52 4. Which groups below do you feel will be impacted. 111
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Budget Engagement 2026/27 Findings –– Other Council Services Page 9 of 52 5. Please provide more information about how you feel these groups would be impacted. Respondents fear that changes to PB could disadvantage people with disabilities, older adults and low-income families. Concerns centre on reduced access to funding, especially if the process becomes more digital and competitive. Many highlight that PB funding often sustains vital local services - social support, activities, mental-health support, disability groups - and losing it could increase isolation, stress and inequality. The comments indicate a fear that any changes may reduce fairness and transparency and risk the closure of small community groups relied upon by vulnerable residents. “Depending on the exact changes made, it has the potential to make it more difficult for elderly and disabled people to participate and also people experiencing deprivation might find it harder to participate if the new process is more digital-based or fewer physical meetings are harder to get to on public transport.” “This will make things EASIER for the groups seeking funding.” “Groups for socially isolated older people are less likely to receive funding through PB than through the existing system.” “Every group, club, cafe, centres etc has a direct positive impact on people from various groups who rely on support networks etc. Without funding they may be forced to close or withdraw from the local community. All sections of the community will be impacted as PB will not prescribe who can apply.” “Small charity groups in my community make good use of the annual PB funding to improve the welfare, particularly of elderly and disabled people. The services they provide support low income families and they organise activities for our young people who have very little access to NAC resources due to ferry time restrictions.” “This style of giving out budgets means that only the most popular or well known groups will be given funding, leaving those will [leave] less known marginalised groups without the funding they need.” 6. Do you think the proposal is likely to have an effect on any island communities which is significantly different from its effect on other communities (including other island communities) in North Ayrshire? 7. Please provide more information about how this proposal may have an effect on island communities in North Ayrshire. A number of responses suggest that Arran and Cumbrae are more vulnerable to reductions or changes in participatory budgeting because they rely heavily on small, local groups to provide essential services and social activities. With smaller populations, island projects are seen as being disadvantaged in any voting-based system which could be dominated by larger mainland groups. Comments emphasise 112
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Budget Engagement 2026/27 Findings –– Other Council Services Page 10 of 52 limited access to council services, higher costs, unreliable transport, and digital exclusion, all of which make PB funding especially important. Some felt that altering PB could increase isolation – particularly in more isolated island communities – as well as weaken community resilience. “Islanders don’t have the same access to council funded activities, support or facilities. We depend on our own resilience and NAC can see from the history of strong successful PB applications from Cumbrae that local groups use the PB grants to improve the well-being of the community.” “There are limited new projects designed to aid island communities and any reduction will be noticed.” “Small island communities are obviously much more limited in what facilities/services they can offer from within the community so may have additional costs to bring expertise/volunteers from the mainland.” “The digitally excluded find it harder to access paper voting on island communities, where the distance to travel to the one paper voting centre can be 15 miles or more and the public transport from the more remote places is once every three hours.” “If [an] all-Ayrshire voting system is applied, care must be taken to ensure that groups on the islands are not disadvantaged versus those in denser populated localities." “Island communities may rely more on small local community groups.” 8. In relation to the previous question, does your answer relate to 3.1.1 Engagement Group Feedback Harbourside Men’s Shed • “Very good idea. Feel the current process is a bit confusing so anything to help with this would be very welcome.” 13 people were in attendance and all felt the proposal would have a high impact. Newton Men’s Shed • “It is quite complicated so any improvements to the process would be welcome.” 10 people were in attendance and all felt the proposal would have a high impact. 113
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Budget Engagement 2026/27 Findings –– Other Council Services Page 11 of 52 Kilwinning Discovery Award • “We utilise this fund. It will have an impact on small grass root community groups.” • “Small groups may rely on the grant to run.” • “What would streamlining the fund look like, would it take away from community members being involved in the process?” 14 people were in attendance and all felt the proposal would have a high impact. Dreghorn Community Council • “PB make it an easy process” • “Inform library staff on voting process” • “PB amount being cut? – [Name removed] going to find out exactly how much/percentage is being cut.” Nine people were in attendance and all were unsure if the proposal would have an impact. Friends of Redburn • “In order to keep groups and encourage new groups. Reducing the funding and streamlining PB will affect the communities who throughout the year attend groups. Social isolation will rise due to the lack of free community groups and services.” 14 people were in attendance and all felt the proposal would have a high impact. Introduction to Watercolour • “Need more money for community groups not less, these groups are fabulous and very well attended showing there is a need in the community for them.” • “As a group we would be willing to pay each week or contribute to the costs of materials needed." Nine people were in attendance. 67% believed the proposal would have a high impact, 22% low impact and 11% were unsure. Irvine Participatory Budgeting • “Reducing and Streamlining PB will cause a reduction in community participation. Currently we have many groups across North Ayrshire benefiting from PB funding. The process allows many communities and individuals to get involved. Streamlining the process will reduce this and leave communities disengaged.” • “Community groups use PB for various provision that reduce our locality priorities. Examples of this could be free food provision (Lunch Clubs), free youth provision, free family trips and activities which allow families to attend with no cost. These free services provided by PB and community groups give outlets for people within our communities. Streamlining the PB fund would negatively affect all groups across North Ayrshire.” Four people attended and all believe the proposal would have a high impact. Lanfine Aged Concern • “Groups depend on PB funding, there will be a rise in groups folding as they will struggle to continue to provide necessary services to the community. Examples of this could be free food 114
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Budget Engagement 2026/27 Findings –– Other Council Services Page 12 of 52 provision, children’s groups, mental health groups. Reducing these free community services will create a rise in the localities priorities. Volunteer burnout will rise as they will feel fed up.” 27 people were in attendance and all believed the proposal would have a high impact. Redburn Grove Tenants Group Four people were in attendance and all believed the proposal would have a high impact. Saltcoats High Flats Tenants Group 11 people were in attendance and all believed the proposal would have a high impact. Parent Council Chairs Meeting No feedback received. Pupils No feedback received. North Coast Youth Forum 10 of our young people were in attendance and all believed this proposal would have a high impact. GV Voices of Pride No feedback received. One to one discussions with young people with Additional Support Needs • “It’s not a very good idea for communities to be making these cuts when communities rely on the funding.” • “The youth community and people with additional support needs require funding opportunities. Reducing funding and bringing it all together could take away their safe space and opportunities.” Four of our young people responded to this question. 75% believed the proposal would have a high impact and 25% were unsure. North Ayrshire Youth Conference and North Ayrshire Joint Champions Board Conference • “Many local groups who receive money through PB may be affected by this, as older adults may not feel strongly or understand the impact youth groups have. They would be de- prioritised.” • “If the budget was cut this would mean the council won’t build a lot of stuff.” • “Because they'll be less money for local businesses.” • “Tell council its needed.” • “Good that there is more visibility.” • “No I think it’s good to make funding accessible.” • “One pot of funding will make the process and applications less confusing. It could make the PB vote process much bigger and encourage more community involvement.” 110 of our young people were in attendance across both events (86 attended the North Ayrshire Youth Conference and 24 young people attended the North Ayrshire Joint Champions Board Conference). 66% believed the proposal would have a high impact, 12% low impact, 2% no impact and 20% were unsure. 115
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Budget Engagement 2026/27 Findings –– Other Council Services Page 13 of 52 3.1.2 Equalities – Overview of Survey Responses by Protected Characteristic of Respondent This section explores the views of respondents who completed the equality information in the survey. It is a method of comparing responses of those with and without particular protected characteristics. Though quantitative rather than qualitative, this information is a partial insight into real lived experience and is one of many sources which inform our Equality and Childrens Rights Impact Assessments (ECRIAs). For example, in the Disability chart below, 76 respondents stated they did not have a disability (pink) and believed the proposal was high impact to their community. 24 respondents with a disability (blue) also said it was high impact to their community and this ratio of blue to pink is slightly higher in the high impact responses given, suggesting this may have an impact on those with a disability and any issues alongside potential mitigations should be considered through ECRIAs. What kind of impact do you think Streamlining the participatory budgeting process would have on your community? 116
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Budget Engagement 2026/27 Findings –– Other Council Services Page 17 of 52 3.2 Proposal to Increase Temporary Accommodation Rents This is a proposal to increase Temporary Accommodation rents by 3.84% next year. Temporary accommodation is offered to anyone who has nowhere to live and is eligible to apply for homeless assistance. The proposed temporary accommodation increase of 3.84% on 2025/26 levels would come into effect on 1 April 2026 and would be applied to around 250 temporary accommodation properties. This rise would reflect the previously approved increase of 3.84% in council house rents for 2025/26. Separate engagement will be undertaken with tenants on rent levels for 2026/27. 1. Given the information above, what kind of impact do you think this proposal would have on your community? 2. Have you any additional comments you wish to make on the proposal to increase temporary accommodation rents by 3.84% annually? Impact on vulnerable households: A significant theme among the responses is the increase would further burden people already in crisis, such as those experiencing homelessness, fleeing domestic violence or living on low incomes. Many comments highlight that temporary accommodation rents are already considered high and that raising them risks worsening debt and instability. Respondents said that people in temporary accommodation are at one of the most difficult times in their lives and should not face additional financial pressure. Benefits: A number of comments focus on whether the increase will be absorbed by benefits (Housing Benefit or the housing element of Universal Credit) directly to individuals. Some highlight that the rise will have no direct impact on some users of temporary accommodation as it may be covered by welfare payments. However, others stress that working households in temporary accommodation will be unlikely to qualify for full benefit support, meaning they face additional costs and could be penalised for being employed. Fairness: Many respondents question if the proposed increase is fair. Concerns include a perceived lack of clarity on why 3.84% was chosen and the principle of increasing costs for people in crisis. Some argue that rent rises should align with mainstream council rent policy, while others say temporary accommodation should cost less, not more. Several comments suggest that the council should find savings elsewhere rather than raising rents for vulnerable residents. 120
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Budget Engagement 2026/27 Findings –– Other Council Services Page 18 of 52 “Temporary accommodation should be treated the same as any other Council property and rent raised in line with these properties.” “People seeking temporary accommodation are already facing hardship - asking for higher rent will further impact those seeking shelter.” “Where does the 3.84% increase number come from? What increased costs are needed to be offset by this increase in rent?” “The key factor is whether the Local Housing Allowance (LHA) rate or the housing element of Universal Credit (UC) paid to these tenants will rise by the same 3.84%.” “This would have far reaching consequences for people on low incomes, coupled with increased food costs gas and electricity costs and fuel costs. This could potentially put those living with a low income into a poverty situation.” “Care should be taken when applying rent increases, particularly to temporary accommodation. These rents are extremely high already. I know from my career in housing that homeless families not on benefits cannot afford to go into temporary accommodation due to the costs involved.” “It [the proposed increase] is fair and proportionate - if council house rents are to increase then temporary accommodation rents should do the same.” “It’s a smaller increase than many private tenants face. It’s a necessary evil I’m afraid.” “It would have a high impact on some of those residents in temporary accommodation, but many would be able to apply for benefits to help cover these costs … The only way council housing and temporary accommodation will survive is if money is ploughed back into them.” 3. Do you think the proposal will have an impact on people with specific characteristics, including race, sex, gender, disabilities, care experienced, socio-economic factors, and others. (Answering 'yes' will allow you to choose groups you feel will be impacted). 121
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Budget Engagement 2026/27 Findings –– Other Council Services Page 20 of 52 5. Please provide more information about how you feel these groups would be impacted. Respondents emphasise that a rent increase may affect people already facing hardship - particularly low-income households, people with disabilities, older adults, people fleeing domestic abuse, and those with mental or physical health challenges. Many note that individuals in temporary accommodation may often be already financially insecure, with some unable to claim full benefits or earning just above eligibility thresholds. Concerns centre on increased financial strain, risk of deeper poverty, reduced ability to afford essentials, and potential barriers to moving on from homelessness. “People experiencing low income and deprivation are more likely to access temporary accommodation.” “Areas within North Ayrshire are already poorly deprived. This rise could potentially make it worse. People are struggling to put food on the table, this increase will be worse on them.” “We need to consider the demographic of those who find themselves in temporary accommodation. Are people with mental and physical health conditions overrepresented in temporary accommodation? Those in temporary accommodation who are in need of housing support and financial advice may be least equipped to deal with an increase. People with disabilities may already be disadvantaged by spending long periods in temporary accommodation while waiting for a suitable mainstream property.” “I don't think [the proposal] would affect those receiving housing benefit, however those working in lower income jobs may be disproportionately affected.” “Those seeking temporary accommodation are likely to be among the most disadvantaged and vulnerable in our society.” 6. Do you think the proposal is likely to have an effect on any island communities which is significantly different from its effect on other communities (including other island communities) in North Ayrshire? 123
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Budget Engagement 2026/27 Findings –– Other Council Services Page 21 of 52 7. Please provide more information about how this proposal may have an effect on island communities in North Ayrshire. The number of comments received to this question were limited, potentially indicating perceptions among respondents that temporary accommodation is less of an issue for islands communities. However, of those who responded, many explain island communities already face limited housing supply, higher living costs, and fewer temporary accommodation options. Concerns focus on affordability, especially for people who must travel between island and mainland for work, where transport costs compound financial strain. “[There is] limited accommodation everywhere, but especially on the islands, which can be even more costly places to live.” “Island communities are struggling for housing as it is.” “Not aware of any temporary accommodation available on the island. If people had to commute back to the island for work the cost of travel, combined with increased rent, it could prove unaffordable.” “May affect the ability of individuals to stay within their community due to a lack of available housing options.” 8. In relation to the previous question, does your answer relate to: 124
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Budget Engagement 2026/27 Findings –– Other Council Services Page 22 of 52 3.2.1 Engagement Group Feedback Harbourside Men’s Shed • “Temporary accommodation rents should be lowered, not increased.” • “Already very expensive and often being used by people who have nothing and are struggling. Don’t put extra pressure on these people.” 13 people were in attendance and all believed the proposal would have a low impact. Newton Men’s Shed • “What is the point in this?” • “Is it NAC who pay the rent of those on benefits anyway?” • “We are unsure how this will benefit NAC.” • “Could be bad for people who work and have to pay extra. It could push them into severe poverty.” • “Means test rents possibly?” 10 people were in attendance and all believed the proposal would have no impact. Kilwinning Discovery Award • “It is going to impact people who may be in a vulnerable situation with housing through no fault of their own.” • “People may not have an option when it comes to going into temp accommodation and be left with no choice but to pay the higher rate.” 14 people were in attendance and all believed the proposal would have a high impact. Dreghorn Community Council Nine people were in attendance and all believed the proposal would have a low impact. Friends of Redburn • “If people are paying more for rent they’ll be out of pocket and struggle even more so if working.” 14 people were in attendance and all believed the proposal would have a high impact. Introduction to Watercolour • “Does this ever get paid anyway??” • “Why are all these cuts focused on the most vulnerable people in our community?” • “Why not look at the disproportionate wages the top tier council staff are earning and reduce the amount of staffing at that level.” Nine people were in attendance. 78% believed the proposal would have a high impact and 22% were unsure. 125
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Budget Engagement 2026/27 Findings –– Other Council Services Page 23 of 52 Irvine Participatory Budgeting Four people were in attendance and all believed the proposal would have a high impact. Lanfine Age Concern 27 people were in attendance and all were unsure if the proposal would have an impact. Redburn Grove Tenants Group Four people were in attendance and all believed the proposal would have a high impact. Saltcoats High Flats Tenants Group • “Why make it higher for people who can’t afford it anyways.” 11 people were in attendance and all believed the proposals would have a high impact. Parent Council Chairs Meeting No feedback received. Pupils No feedback received. North Coast Youth Forum No feedback received. GV Voices of Pride No feedback received. One to one discussions with young people with Additional Support Needs No feedback received. North Ayrshire Youth Conference and North Ayrshire Joint Champions Board Conference No feedback received. 126
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Budget Engagement 2026/27 Findings –– Other Council Services Page 24 of 52 3.2.2 Equalities – Overview of Survey Responses by Protected Characteristic This section explores the views of respondents who completed the equality information in the survey. It is a method of comparing responses of those with and without particular protected characteristics. Though quantitative rather than qualitative, this information is a partial insight into real lived experience and is one of many sources which inform our Equality and Childrens Rights Impact Assessments (ECRIAs). What kind of impact do you think Increasing Temporary Accommodation Rents would have on your community? 127
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Budget Engagement 2026/27 Findings –– Other Council Services Page 28 of 52 3.3 Proposal to Review the Waste Collection Frequency for Purple and Blue Bins on the Mainland and Cumbrae The proposal is to move from a 3-weekly collection cycle to 4-weekly for purple and blue bins (excluding Arran) which will better reflect demand, based on current presentation levels and tonnage levels. Purple Bin (glass, cans and plastics) Presentation rates range from the highest level of 69.3% bins presented for collection every 3 weeks to the lowest level of 50.9% of bins presented for collection every 3 weeks. The yield/weight (kg per bin) ranges from 10.22 kg per bin average (lowest) to 11.15 kg per bin average (highest). This indicates that there is sufficient capacity in the bins to move from every three weeks to every four weeks. Blue Bin (paper and card) The highest presentation rate is 77.3% bins presented for collection every 3 weeks. The lowest presentation rate is 55.5% of bins presented for collection every 3 weeks. The yield/weight (kg per bin) ranges from 5.59 kg per bin average (lowest) to 7.19 kg per bin average (highest). Again, this indicates there is sufficient capacity in the bins to move from a 3 weekly to 4 weekly cycle. Further information • From current bin presentation rates, it is clear that many people are not putting out their bins for recycling every collection cycle. This indicates that the frequency of collections could change from a 3 weekly cycle to a 4 weekly cycle with minimal impact on residents. • It is also worth bearing in mind that the Deposit Return Scheme is planned to commence October 2027 and this is expected to have a significant impact on the purple bin. • To encourage recycling, any household with bin capacity issues could be offered an additional bin or a larger bin on a case-by-case basis. • The main impact of this change is on the Waste scheduling team. Less frequent collections will result in higher yields/weight per bin which requires detailed scheduling in respect of tip times and bin lorry capacity. • Arran is unaffected as waste from only blue and grey bins are collected on the island. 131
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Budget Engagement 2026/27 Findings –– Other Council Services Page 29 of 52 1. What kind of impact do you think this proposal would have on your community? 2. Have you any additional comments you wish to make on the proposed changes to the frequency of collection for purple and blue bins? Overflowing bins: A major theme is residents’ concern that moving to four-weekly collections would cause overflowing bins, especially for families, households with children, or those who recycle heavily. Many already fill blue and purple bins within the current three-week cycle. While some comments said an additional bin may solve the capacity issue, they lack the space to store them. Respondents fear they would be forced to use grey bins instead, reducing recycling rates. Larger households highlight that capacity, not willingness to recycle, is the issue. Fly-tipping: Many comments warn that reducing collection frequency could worsen fly-tipping, overflowing kerbside bins, contamination of recycling and problems with vermin. Others say that when collections are less frequent, people inevitably put recycling into grey bins or dispose of it illegally. Waste and recycling: A number of comments express dissatisfaction with the current frequency, particularly if there are missed collections and or difficulties accessing recycling centres. Many comments received say the proposal contradicts efforts to increase recycling, especially given growing cardboard and packaging waste from online shopping. Some suggest waiting until national deposit return schemes launch. Others say waste-reduction measures should focus on improving recycling education and expanding accepted materials. “We fill both our blue and purple recycling bins before three weeks are up, crushing all rubbish as we go - and we have them out for every collection. Any further extension to collections will mean we start to put recycling in the grey bin. We do not wish to have extra bins cluttering up our garden. We already have so many bins to store.” “I would need a bigger or second purple bin (6 adult household) but are not keen on having more bins to store in my garden. I would like to be able to bring recyclables to the waste management sites. I can bring any waste that would go into a grey bin, as well as cardboard, but I cannot bring recyclables like plastic bottles or other plastic recyclables. Why not?” “I agree with the assessment about how often or full these bins are, for our two person household. I would imagine larger households would struggle a bit more, but if they had more bins, say two of each colour, then that would remove I'm sure any impact.” “Increasing to 4 weeks will only lead to confusion as to which bin goes out and encourage flytipping. Providing extra bins is only an option if you have space for it which most houses don’t.” 132
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Budget Engagement 2026/27 Findings –– Other Council Services Page 30 of 52 “My bins are always full by the time collection arrives. I bother to recycle as much as possible. If it went to four weekly, what am I supposed to do with all the recycling that won't fit in the bin? If we are supposed to be encouraging recycling, it seems this can't be working if people are able to go to four weekly without issue.” “Whilst I see the logic, I think we should be encouraging residents to recycle more. My recycling bins are presented on every available collection day because they have to be - my non recycling bins would be overflowing otherwise.” “This penalises people who do present bins. My purple bin is full within two weeks for example. As long as it is those who need it get an additional bin, this should be ok. But I fear it’ll cause cross contamination of other bins and fly tipping will increase.” “Change to four weekly cycles would be acceptable provided there is adequate scope to dispose of excess recycling at a local recycling centre.” “In my own street every house puts out their purple and blue bins and almost every cycle the bins are overflowing (in adverse weather conditions it also results in waste being blown out of neighbours bins and into our garden). If this is further reduced to every 4 weeks rather than 3 it will result in even more recycled rubbish overflowing out of bins into neighbours’ gardens or being put in the grey bin as an alternative which defeats the purpose of recycling.” “It would be better if more education was given to the community on what and how to recycle, rather than reducing collections. We are a household of three who recycle as much as we can, our blue and purple bins are frequently so full at the three week stage we are worried about closing them properly. We could not go four weeks in a lot of cases.” “Proposed changes to the frequency for the collection of purple and blue bins is a positive one - as long as residents are fully informed of the new collection dates. There has been a large amount of work collating the current presentation rates which does evidence that this proposal should be agreed. With the new booking system for the re-cycling centres I think residents are planning their personal household waste disposal much more effectively and efficiently and in the rare event their purple and blue bins are full they can book a time slot at their nearest re-cycling centre if needed.” 133
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Budget Engagement 2026/27 Findings –– Other Council Services Page 31 of 52 3. Do you think the proposal will have an impact on people with specific characteristics, including race, sex, gender, disabilities, care experienced, socio-economic factors, and others. (Answering 'Yes' will allow you to choose groups you feel will be impacted). 134
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Budget Engagement 2026/27 Findings –– Other Council Services Page 33 of 52 5. Please provide more information about how you feel these groups would be impacted. Respondents felt the change would affect everyone but particularly larger households, low-income families, people with disabilities, older residents, and people without cars. Concerns focus on bins filling more quickly leading to overflowing waste, heavier bins that are harder for some to move and increased difficulty accessing recycling centres. Many comments suggested that changes to recycling schedules could cause confusion, while a number of comments called for mitigations such as larger or additional bins and assisted collection support. "It’s going to impact everyone. Large households will be particularly affected as they fill up their bins faster. Often people living in flats share bins between two or more flats and cannot add to the number of bins due to space storage issues, meaning the bins fill up quickly. People will put rubbish in the wrong bin when they become full or dump bags outside.” “Greater capacity needs could be met by providing bigger bins.” “If people's purple and blue bins are emptied less often the householders will be forced to take cardboard etc to the recycling centres, which could affect those who don't drive (and may disproportionately affect older residents, disabled residents and those on low incomes who may be less likely to own a car).” “The bins would be full therefore heavier for people to move around. It would be important to make sure people who had difficulty with this knew that assistance is available to move bins to the front of homes on collection day.” “Low income households don't always have the means to dispose of their rubbish by going to the local dump.” 6. Do you think the proposal is likely to have an effect on any island communities which is significantly different from its effect on other communities (including other island communities) in North Ayrshire? 136
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Budget Engagement 2026/27 Findings –– Other Council Services Page 34 of 52 7. Please provide more information about how this proposal may have an effect on island communities in North Ayrshire. As Arran would be unaffected by the proposed changes to the purple and blue bin collection frequency, comments received were largely limited to how it may impact those living on Cumbrae. Respondents highlight that island communities face additional challenges compared with the mainland, including reliance on ferries, which can be disrupted by bad weather, leading to waste build-up and associated issues such as odour or vermin. It was suggested that a lack of recycling options on Cumbrae, which does not have a recycling centre, could force residents to use general waste bins instead. Concerns were also raised about increased fly-tipping and difficulties for older residents or those with disabilities managing fuller, heavier bins. " If ferries are off due to adverse weather, this would impact the waste being removed from the island for recycling and could build up over a period of time. Not pleasant and could cause smell, vermin etc.” “Online shopping which generates a lot of packaging waste is effectively essential, especially for older people on Cumbrae. Blue bins can struggle with capacity.” “Cumbrae does not have a recycling centre, so if you make the purple and blue bins 4 weekly, how will they be able to get rid of any additional recycling waste? This will end up in the grey bins.” “[There will be] extra costs from taking extra to mainland HWRC site.” 8. In relation to the previous question, does your answer relate to: 137
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Budget Engagement 2026/27 Findings –– Other Council Services Page 35 of 52 3.3.1 Engagement Group Feedback Harbourside Men’s Shed • “Not a good idea. Often bins are overflowing by 3rd week.” • “Leave as is for now and wait until the Deposit Return Scheme has been running for a few months, then you will have a better idea on the impact this will have on the recycling people produce.” • “Could lead to fly tipping or reduction in recycling as people may just throw their recycling in the grey bin.” • “Give this one some time and reassess in a couple of years.” 13 people were in attendance and all believed this proposal would have a high impact. Newton Men’s Shed • “If you want people to accept this, you might need to provide larger bins.” • “Many of us already struggle to fit all our recycling in over 3 weeks, so this could be an issue for us.” 10 people were in attendance and all believed this proposal would have a high impact. Kilwinning Discovery Award • “Depending on household size will depend on individual effect. Could the Council / supply implement for example crush cans / bins to utilise more space.” 14 people were in attendance. 50% believed the proposal would have a high impact, 43% low impact, 7% no impact. Dreghorn Community Council Nine people were in attendance and all believed this proposal would have a high impact. Friends of Redburn • “More littering and fly tipping across the communities. Our bins are full currently at the 3 weeks.” 14 people were in attendance and all believed the proposal would have a high impact. Introduction to Watercolour • “We all either live alone or as couple so this wouldn’t affect us however if in a larger family this has the potential to have high impact.” Nine people were in attendance and all believed the proposal would have a low impact. Irvine Participatory Budgeting Four people were in attendance and all believed the proposal would have a high impact. Lanfine Age Concern • “Depending on sizes of families.” 138
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Budget Engagement 2026/27 Findings –– Other Council Services Page 36 of 52 27 people were in attendance. 93% believed the proposal would have a high impact and 7% were unsure. Redburn Grove Tenants Group • “We don’t get blue or purple bins.” Four people were in attendance and all believed the proposal would have no impact. Saltcoats High Flats Tenants Group • “Don’t agree but needs to be done.” • “This only impacts people who take the time to recycle.” 11 people were in attendance and all believed the proposal would have no impact. Parent Council Chairs Meeting No feedback received. Pupils No feedback received. North Coast Youth Forum No feedback received. GV Voices of Pride No feedback received. One to one discussions with young people with Additional Support Needs No feedback received. North Ayrshire Youth Conference and North Ayrshire Joint Champions Board Conference No feedback received. 139
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Budget Engagement 2026/27 Findings –– Other Council Services Page 37 of 52 3.3.2 Equalities – Overview of Survey Responses by Protected Characteristic This section explores the views of respondents who completed the equality information in the survey. It is a method of comparing responses of those with and without particular protected characteristics. Though quantitative rather than qualitative, this information is a partial insight into real lived experience and is one of many sources which inform our Equality and Childrens Rights Impact Assessments (ECRIAs). What kind of impact do you think reviewing the waste collection frequency for purple and blue bins on the mainland and Cumbrae would have on your community? 140
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Budget Engagement 2026/27 Findings –– Other Council Services Page 41 of 52 3.4 Proposal Regarding Opportunities for Regional Collaboration There are a number of areas that could benefit from a Shared Service Delivery Model, particularly on an Ayrshire-wide basis. Initially, the areas being explored across the Ayrshire councils include: • Economic Development and Growth • The Education senior phase of learning, and • The incorporation of North Ayrshire into the current Ayrshire Roads Alliance. Further exploration work will also be undertaken and developed on wider regional reform opportunities. 1. Given the information above, what kind of impact do you think this proposal would have on your community? 2. Have you any additional comments you wish to make on the potential for a more collaborative approach of services across Ayrshire? Reduced duplication: Many respondents support collaboration because of its potential to deliver economies of scale, reduce duplication across three councils and streamline some back-office functions. A shared model is viewed as a way to reduce management costs and release resources for frontline services. Several comments suggest such moves could produce financial savings and consistent service delivery across the region. Risk to local identity and priorities: Many responses expressed concern that a pan-Ayrshire approach could dilute local accountability, weaken the voice of smaller or rural communities and shift decision-making away from local needs. Some fear North Ayrshire could lose out to more affluent areas and that collaboration may centralise services at the expense of local responsiveness. Many comments expressed worries about inconsistent and potentially lower service quality rather than improvement. Roads and infrastructure: Roads and infrastructure were a significant theme of the comments. Some see shared services - especially for roads - as a potential benefit if it improves coordination and brings investment across boundaries. However, a significant number of responses have concerns over existing shared arrangements (e.g. Ayrshire Roads Alliance) and worry that expanding such models could result in a poorer service. Respondents also highlight the need for clear proposals, transparency around 144
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Budget Engagement 2026/27 Findings –– Other Council Services Page 42 of 52 potential savings, workforce implications and assurances that service delivery will not deteriorate under a shared model. “It is obvious that there are major differences in priorities throughout the Ayrshire Regions and this is likely to be detrimental rather than the opposite. All of the regions need to improve their performance…” “Small communities, outside Irvine area, are already disadvantaged in North Ayrshire. To be subsumed within pan-Ayrshire does not appeal.” “A collaborative model will bring significant value due to economies of scale. It will also provide savings. What needs to be considered is the focus on economic development. Resource should be focused on local businesses. Currently the amount of resources are skewed to those furthest from the labour market. There needs to be more alignment with business to transition to green technology and adapt to new opportunities.” “Ayrshire Roads Alliance are not value for money. The roads in other Ayrshires are a mess compared to North Ayrshire.” “There are a number of areas where services could be shared on a regional level to realise administrative savings with a minimum impact on communities. Roads is a good starting point as ARA [Ayrshire Roads Alliance] is well established and successful. Other areas could be included in ARA with immediate effect- fleet, road safety, even estates.” “I think the Council should be looking seriously at the potential for shared services for all back-office functions e.g. Payroll, Procurement, Accounts Payable, Accounts Receivable, Accountancy, Audit, HR, Customer Services, IT, Legal.” “Roads in NAC are much better then East or South Ayrshire because NAC have their own teams that respond faster.” “Coordination of these services over the whole county could provide some significant economies of scale as well as more coherent planning to avoid disruption (especially for roads). Also potential benefits to those near the borders of the 3 different councils where services could be shared more effectively and more conveniently for the user.” “Centralisation can be a good thing because it reduces or even eliminates duplication but it is important that North Ayrshire's needs are not pushed into the background by the more affluent council areas of East and South.” “Welcome collaboration where it can save time and money but not to the detriment of focussing on our own communities and local economies.” 145
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Budget Engagement 2026/27 Findings –– Other Council Services Page 43 of 52 3. Do you think this proposal will have an impact on people with specific characteristics, including race, sex, gender, disabilities, care experienced, socio-economic factors, and others. (Answering 'yes' will allow you to choose groups you feel will be impacted) 146
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Budget Engagement 2026/27 Findings –– Other Council Services Page 44 of 52 4. Which groups below do you feel will be impacted. 147
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Budget Engagement 2026/27 Findings –– Other Council Services Page 45 of 52 5. Please provide more information about how you feel these groups would be impacted. Given the lack of concrete details as to how the shared services may work, there was a degree of uncertainty about the potential impact on certain groups. However, comments expressed concern that areas of North Ayrshire already experiencing high deprivation may be disadvantaged if services are pooled regionally, potentially affecting vulnerable groups such as older people, residents with disabilities and low-income households. Some feel shared services could lead to reduced local investment while others see potential benefits, such as efficiency savings. “North Ayrshire has the highest level modern deprivation out of the three Ayrshires, to share resources will mean our most vulnerable members of society will lose out.” “Difficult to say without knowing the changes.” “It has the potential to impact anyone. The council should carefully consider the human impact before moving forward with changes.” “A pan Ayrshire approach could be beneficial to our local communities.” 6. Do you think the proposal is likely to have an effect on any island communities which is significantly different from its effect on other communities (including other island communities) in North Ayrshire? 7. Please provide more information about how this proposal may have an effect on island communities in North Ayrshire. Many respondents expressed concern that our island communities of Arran and Cumbrae would be deprioritised within an Ayrshire-wide shared service model. Many comments noted that East and South Ayrshire have no islands and may not prioritise island-specific needs. Concerns for Arran and Cumbrae include reduced local autonomy, fewer resources and reduced responsiveness to issues already exacerbated by isolation. Several respondents suggest that regional services may focus on urban centres like Irvine or Kilmarnock, leaving islands with less investment and attention than they receive now. “Regional [is] all good and well but no doubt it will focus on the towns like Irvine and Kilmarnock and urban areas where money and jobs comes. Islands are only a small part of North Ayrshire and even smaller part of the whole of Ayrshire so [will] end up with very little time or money put into them.” “Arran should not be part of Roads Alliance.” "If the roads join together how will island communities compete with rural Ayrshire?” 148
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Budget Engagement 2026/27 Findings –– Other Council Services Page 46 of 52 “The other Ayrshire councils are unlikely to place the same importance on island communities as North Ayrshire currently does.” “Islands have unique needs that North Ayrshire advisors understand.” “Ayrshire Roads Alliance have no experience of managing island road repairs, so this could impact negatively on the roads on both islands.” “The island already doesn’t get fair share of NAC resources such as pavement maintenance, this could make it worse” 8. In relation to the previous question, does your answer relate to: 149
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Budget Engagement 2026/27 Findings –– Other Council Services Page 47 of 52 3.4.1 Engagement Group Feedback Harbourside Men’s Shed • “Despite reading all literature provided, this proved quite difficult to understand, particularly the impact it would have on us as a community.” • “This seems like a decision that will be made by those in positions of power and it is very doubtful that the opinions of the public will be taken into consideration anyway.” 13 people were in attendance and all were unsure if the proposal would have an impact. Newton Men’s Shed 10 people were in attendance and all were unsure if the proposal would have an impact. Kilwinning Discovery Award • “We don’t understand what this means. We don’t think slides are as user friendly as it could be. Too much jargon used and figures that we cannot see or do not know.” 14 people were in attendance and all were unsure if the proposal would have an impact. Dreghorn Community Council Nine people were in attendance and all believed the proposal would have a low impact. Friends of Redburn 14 people were in attendance and all believed the proposal would have a low impact. Introduction to Watercolour • “Don’t know, have never known this so have no comparison to make.” No feedback on impact received. Irvine Participatory Budgeting Four people were in attendance and all believed the proposal would have a low impact. Lanfine Age Concern • “Good impact - reducing costs of seniors within council.” 27 people were in attendance. 52% believed the proposal would have a high impact and 48% were unsure. Redburn Grove Tenants Group • “It is good for councils to work together.” Four people were in attendance and all believed the proposal would have a high impact. Saltcoats High Flats Tenants Group 11 people were in attendance and all believed the proposal would have a high impact. Parent Council Chairs Meeting No feedback received. Pupils No feedback received. North Coast Youth Forum No feedback received. GV Voices of Pride No feedback received. 150
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Budget Engagement 2026/27 Findings –– Other Council Services Page 48 of 52 One to one discussions with young people with Additional Support Needs No feedback received. North Ayrshire Youth Conference and North Ayrshire Joint Champions Board Conference No feedback received. 151
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Budget Engagement 2026/27 Findings –– Other Council Services Page 49 of 52 3.4.2 Equalities – Overview of Survey Responses by Protected Characteristic of Respondent This section explores the views of respondents who completed the equality information in the survey. It is a method of comparing responses of those with and without particular protected characteristics. Though quantitative rather than qualitative, this information is a partial insight into real lived experience and is one of many sources which inform our Equality and Childrens Rights Impact Assessments (ECRIAs). What kind of impact do you think opportunities for regional collaboration would have on your community? 152
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NORTH AYRSHIRE COUNCIL 11 February 2026 Council Title: Shared Services Proposal – Economic Development Purpose: To update Members on progress in relation to the development of regional collaborative working opportunities within Economic Development and to seek approval to progress with a shared Economic Development Service, in partnership with East Ayrshire Council. Recommendation: Council is asked to: (i) Note the strategic context for public service reform, including the national commitments to economic growth. (ii) Note the work that has been undertaken to develop the case for a shared Economic Development Service. (iii) Note that there is a strong alignment across the existing policies and strategies of both North and East Ayrshire Councils, with clear and robust links to national and regional outcomes for economic growth. (iv) Agree to progress with the development of a shared Economic Development Service, in partnership with East Ayrshire Council, with a single management team and with services located within each Council. (v) Note that an officer project board will be established to take forward the proposed development and implementation of the service, with representation from professional services including Human Resources, Legal and Finance. (vi) Agree that the shared service will be led by North Ayrshire Council, with effect from 1 June 2026 and that the Ayrshire Growth Deal’s PMO will be retained with East Ayrshire Council as lead accountable body for the Ayrshire Growth Deal (AGD). (vii) Agree the creation of the post of Regional Economic Director. (viii) Agree to amend the Scheme of Administration to delegate appropriate powers to the Ayrshire Economic Joint Committee for governance of the shared Economic Development Service with effect from its commencement date. (ix) Agree to the proposals for the composition of the Staffing and Recruitment Committee when considering recruitment Agenda Item 9 157
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of Chief Officers to the shared service as outlined at para 2.47 of this report and amend the Scheme of Administration accordingly. (x) Approve the progression of the recruitment process of a Regional Economic Director and maintaining one Head of Service, both of whom will then be involved in developing the overall structure of the Shared Services team. 1. Executive Summary 1.1 At its meeting of 17 September 2025, Council considered a paper on Collaborative Working Across Ayrshire, when it was agreed further development of potential regional collaborative working opportunities would progress. In recognising the existing regional collaboration already in place within Economic Development, it was agreed this was an area for immediate focus. 1.2 This report provides an update on the work that has been undertaken to develop the case for a shared Economic Development Service which will deliver and implement the Regional Economic Strategy Delivery Action Plan, Ayrshire Growth Deal and associated strategic objectives. 1.3 It is becoming increasingly clear that both UK and Scottish Governments consider Ayrshire as an Economic Development/Growth region particularly in terms of future funding streams including, but not limited to, the recently announced Local Growth Fund and the anticipated follow on to the Ayrshire Growth Deal that concludes in 2029/30. 1.4 The Regional Economic Strategy and our Community Wealth Building approach will be at the centre of the future economic plans for Ayrshire overseen by the Regional Economic Partnership and Regional Economic Joint Committee, ensuring a joined-up approach across all partners including national agencies, local organisations and the private sector. 1.5 The three Ayrshire Chief Executives previously agreed to commission a study to consider in more detail the creation of a single regional Economic Development Service for Ayrshire to support both delivery of the Regional Economic Strategy and wider Economic Growth within Ayrshire. This review scoped out current activity and resourcing and used data to make comparisons with other areas of similar size. This work has been developed further in the short-term and has identified opportunities to create a Shared Economic Development Service. 1.6 Whilst South Ayrshire Council’s Cabinet on 28 October 2025 agreed to the further development of collaborative opportunities across Ayrshire, including identification and assessment of joint working or shared service opportunities, South Ayrshire Council’s Chief Executive has confirmed that the Council is not in a position to commit to a shared Economic Development Service at this time 1.7 Work has therefore been progressed to consider the merits and opportunities of developing a collaborative arrangement for North and East Ayrshire Councils. This has 158
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identified the opportunity to create a shared Economic Development Service between North Ayrshire Council and East Ayrshire Council. 1.8 During its meeting on 29 January 2026, East Ayrshire Council agreed to progress with the development of a shared Economic Development Service, in partnership with North Ayrshire Council. 1.9 If approved by North Ayrshire Council, arrangements will commence to implement a Shared Economic Development Service between North Ayrshire Council and East Ayrshire Council, with the first stage being the recruitment of a Regional Economic Director. 2. Background 2.1 At its meeting of 17 September 2025, Council considered a paper on Collaborative Working Across Ayrshire, which outlined the Accounts Commission’s publication - ‘Transformation in Councils’, which highlighted the need for Councils to urgently transform how they deliver services as the financial and service demand challenges continue to deepen. Council agreed to the further development of potential regional collaborative working opportunities being progressed. 2.2 The Council has a long history of successfully working with a range of partner organisations, including national agencies, third sector, communities and other Councils to deliver efficiencies, innovation, effective services and joined up interventions. In recognising the existing regional collaboration already in place within Economic Development, it was agreed this was an area for immediate focus. National landscape 2.3 It is becoming increasingly clear that both UK and Scottish Governments consider Ayrshire as an Economic Development/Growth region particularly in terms of future funding streams including, but not limited to, the Local Growth Fund, which is the next iteration of the Shared Prosperity Fund and the anticipated follow on to the Ayrshire Growth Deal that concludes in 2029/30. The Regional Economic Strategy and our Community Wealth Building approach will be at the centre of the future economic plans for Ayrshire overseen by the Regional Economic Partnership ensuring a joined- up approach across all partners including national agencies, local organisations and the private sector. 2.4 Scotland’s National Strategy for Economic Transformation was published in 2022 and sets an intention to deliver economic growth that significantly outperforms the last decade, so that the Scottish economy is “more prosperous, more productive and more internationally competitive”. The UK Government has declared that economic growth is its number one mission, noting that this will fund public services, enable investment and most importantly, raise living standards for everyone. The 10-year Modern Industrial Strategy forms an integral part of this mission and will inform future investment. 2.5 The concept of shared services is not new. There are good examples across the public sector which demonstrate that shared services implemented effectively can deliver benefits in terms of efficiency, effectiveness and resilience. A recent Summary 159
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Report by the Improvement Service on Collaborative Working in Scottish Local Government highlighted a range of benefits from collaborative working, both financial and non-financial. These include: • Economies of scale and cost savings • Delivery of improved outcomes • Access to specialist skills and expertise • Enhanced capacity and efficiency • Improved service resilience • Simplification, standardisation and single points of contact • Innovation, upskilling and best practice sharing 2.6 In June 2025, the Scottish Government published its Public Service Reform Strategy, building on the Christie approach to Public Service Reform, to deliver a system that improves lives, reduces inequality and is fiscally sustainable. There is a focus on a system that will: • Be efficient and effective with the right-size delivery landscape. • Better join up services and focus on helping people. • Prioritise prevention. • Empower people and communities to shape the services that matter to them. • Be fiscally sustainable. 2.7 While the focus is largely on Scottish Government and Public Bodies, Local Government is recognised as an essential partner. The document also confirms that Scottish Government will work with local government and public bodies to conclude the Local Governance Review and will empower local government and health partners to strengthen and streamline local decision making. There is a dedicated workstream on shared services, emphasising the importance of this approach. 2.8 The Local Government Transformation Programme is developing proposals for future operating models for councils and options for future delivery of council services. The programme is led by SOLACE Scotland and supported by the Improvement Service and builds on a report published in October 2022, which proposes a new vision for Scottish Local Government. ‘Delivering a Future for Scottish Local Authorities’ outlines the context that local government is operating within, the challenges and opportunities it faces and how councils might transition to a model of service delivery that builds on current success. 2.9 More recently, the Accounts Commission reported on how councils are responding to current workforce challenges, highlighted that while many councils have initiatives in place to address challenges with recruitment and retaining staff, urgent progress is needed to have robust workforce plans in place at every Council. The report notes that this needs to: help financial sustainability; address wellbeing; link to future skill needs and drive many more shared services and roles across the public sector. 2.10 The overall outlook for the Ayrshire councils remains challenging. The anticipated gross funding gap of North Ayrshire Council (excluding any assumptions on increases to Council tax currently and excluding any planned use of reserves for 2026/27 and 2027/28) over the next three years is £11.0m in 2026/27, £14.1m in 27/28 and £12.9m in 28/29. In total this is an anticipated gross funding gap of £38.0m over the next 3 years. It is also important to note that this forecast position does not include any 160
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additional funding requirements to the Health and Social Care Partnership. For 2026/27 the Health and Social Care Partnership projects a potential funding deficit of between £8m to £21m. 2.11 East Ayrshire’s Budget Strategy was reported to their Council on 30 October 2025 and contained details of the indicative budget gap for 2026/27 (£5m) and 2027/28 (£6m), which is based on Council Tax being set at 8% for 2026/27 and with Scottish Government financial grant settlement being allocated with annual real term growth of circa 1.4%, based on the recently published Scottish Government Medium Term Financial Plan. Benefits of Shared Services 2.12 Whilst the creation of a Shared Economic Development service will not bring any initial financial savings it will lead to greatly enhanced outcomes through: enhanced strategic leadership, shared resources, enhanced collaborative arrangements, economies of scale, greater access to specialist skills and expertise, enhanced capacity, and strengthened service resilience, together with simplification, standardisation, upskilling and best practice sharing. The Ayrshire Region 2.13 Ayrshire covers an area of some 3,400 square km and serves a population of around 370,000 people. There are approximately 10,000 businesses, the vast majority of which are small and medium sized businesses, often family owned and rooted in the local economy. There are also a small number of internationally renowned major employers. 2.14 The region offers a wealth of opportunities, but to achieve the vision we have for the economy, there are key challenges that must be addressed. These are set out within the Ayrshire Regional Economic Strategy: • Delivering a wellbeing economy: addressing high incidences of deprivation and child poverty by connecting communities to opportunities, whilst achieving a just transition to net zero. • Enhancing economic activity and productivity: addressing low economic activity rates, high unemployment rates and skills mismatch/shortages to make the most of inward investment opportunities and facilitate greater international trade. • Improving physical infrastructure: addressing poor road linkages, reduced and unreliable public transport, high levels of vacant and derelict land and island and rural specific challenges, whilst capitalising on significant blue economy/marine environment opportunities. Ayrshire Regional Economic Strategy 2.15 The Ayrshire Regional Economic Strategy was published in 2023 and reflects a desire across Ayrshire to take a different approach to regional economic development. The Strategy sets out a bold 10-year vision for the Ayrshire economy and seeks to address some of the key challenges facing our region, including deprivation and child poverty, low economic activity, high unemployment and regional infrastructure and transport issues. Community wealth building is at the heart of the Strategy. It is widely accepted 161
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that North Ayrshire has played a significant lead role at the forefront of community wealth building in Scotland, challenging traditional models of economic development and recognising that the status quo isn’t working. 2.16 The UK and Scottish Governments have a desire to engage at regional levels on delivery of their key economic development policies. It is therefore necessary to strengthen the regional strategic proposition and for local authorities to work beyond their administrative boundaries and with partners across sectors. The Strategy goes on to note that this applies not only to public sector partners, but also takes account of the perspectives of businesses, communities and residents who do not necessarily relate to, or operate within such boundaries. 2.17 Our commitment to a regional approach already helped Ayrshire to secure the Ayrshire Growth Deal, a £251.5m deal brokered by the three local authorities in 2020, along with the UK and Scottish Governments. Work continues to progress a number of projects within the Ayrshire Growth Deal. The Fair Work priority theme has supported mainstreaming of community wealth building, which is further evidenced by the recent evaluation report on the successful Ayrshire Growth Deal Community Wealth Building Programme and the continued success of the Ayrshire Skills Investment Fund and Working for a Healthy Economy initiative. Other successes include progress on digital infrastructure and digital skills, 5GIR project, Digital Process Manufacturing Centre (DPMC) and Ayrshire Innovation Business Park projects and the upskilling of business advisors to deliver the changing business support role in areas such as Digital and the Net Zero Accelerator programme. The following key achievements serve as examples of progress: • £21m invested from Scottish and UK Governments • £28m of total commitment to additional investment projected. • 3,102 jobs supported. • 5,321 residents supported through Working for a Healthy Economy. • 1,152 organisations supported by Community Wealth Building. • 286 new enterprises supported. • 9.87ha of development space unlocked. • 8 Full Business Cases completed. • 10 Outline Business Cases completed. • 2 Projects completed. • Securing significant additional funding to support and enhance delivery through the Levelling Up Fund and 5G Innovation Regions (5GIR) Programme 2.18 An update on the Ayrshire Regional Economic Strategy was presented to the Ayrshire Economic Joint Committee on 30 September 2025. The Update report noted the appointment of a Regional Economy Lead to progress the development a new three- year delivery plan, following agreement from the Regional Strategy Delivery Group that a change in approach was required. The development process for the 2026-2029 Delivery Plan has involved extensive engagement to review existing delivery mechanisms and consider the most appropriate route forward. The report sets out the process for the development of the Delivery Plan and states that work has been undertaken internally within the three local authorities to develop a measurement framework and regional baseline for tracking achievements and impact. However, it was determined that capacity and expertise was not sufficient internally to achieve this and external expertise would be sought. 162
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Regional Strategy Review 2.19 In 2024, a review of the Regional Economic Strategy was commissioned from an external professional resource - SQW, who were tasked with undertaking a high-level review of the Ayrshire Regional Economic Strategy (Phase 1). In March 2025, SQW was then commissioned by the three local authority chief executives to consider in more detail the creation of a single regional Economic Development Service for Ayrshire (Phase 2). 2.20 The Phase 1 review of the Regional Economic Strategy examined the progress made in delivering the Strategy and the effectiveness of organisational structures, as well as setting out options and recommendations on how to improve the focus and efficiency of these structures. The review included semi-structured interviews with senior individuals from the public and private sectors involved in delivering the Regional Economic Strategy and the Ayrshire Growth Deal. 2.21 The consultation led to the identification of four main opportunities for improvement: • Sharpen up the vision and streamline priorities • Improve the governance structures to enable more robust ‘check and challenge’. • Improve strategic leadership, with a full-time dedicated Director of Regional Economic Growth. • Increase regional economic development capacity to deliver against the Regional Economic Strategy objectives 2.22 The Phase 2 review provides a more detailed consideration of the creation of a single regional Economic Development Service for Ayrshire. The report reviewed and analysed relevant background documents and available data and draws on wider stakeholder consultations carried out during the Phase 1 review. 2.23 The following benefits of having a new regional economic development team have been identified, based on the consultations undertaken. • It will ensure a more strategic and consistent approach to supporting business and communities across Ayrshire. • A new regional team would help to accelerate delivery of the Regional Economic Strategy and ensure greater buy-in. • It will help to improve strategic leadership and promote the needs and opportunities for the Ayrshire economy more effectively. • A regional team will help to simplify and strengthen partner relationships. • Improved regional working through increased capacity and pooling of resources • Generating greater value from the combined resources and ensuring a more joined up approach that will help better align resources and activities and make future opportunities more likely to be shared across Ayrshire. 2.24 Whilst South Ayrshire Council’s Cabinet agreed on 28 October 2025 to the further development of collaborative opportunities across Ayrshire, including identification and assessment of joint working or shared service opportunities, South Ayrshire Council’s Chief Executive has confirmed that the Council is not in a position to commit to a shared Economic Development Service at this time. However, this does not mean that 163
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it would not be considered in future. The following sections therefore look only at East and North Ayrshire Councils. 2.25 The review and proposals recommended in this Council paper focus on the Economic Policy, Business Support and Development, Tourism, Digital Renewal and Ayrshire Growth Deal delivery elements of each service. Local employability services, together with regeneration (excluding digital renewal) and active travel are not within the scope of the proposals. North Ayrshire Council 2.26 North Ayrshire Council’s Economic Development, Growth and Regeneration Service sits within the Place Directorate. The Service is comprised of six teams, delivering a broad range of economic development functions and programmes. Members will recall this service recently underwent a comprehensive service review which identified and secured the delivery of significant savings. The Service works with a wide range of partners and stakeholders to contribute to the delivery of a community wealth building approach to a wellbeing economy. • The Economic Policy Team currently leads the Regional Economic Strategy at a regional level alongside the Council’s Community Wealth Building strategy and associated regional activities such as the CWB Commission and participation in the Highlands and Islands Regional Economic Partnership. The Team delivers the North Ayrshire Islands Programme in partnership with Scottish Government and Highlands and Islands Enterprise. They also deliver the Council’s Economic policy advisory service including Quarterly Economic Briefings, Locality Profiles and contributing to business case development. • The Business Support and Development team provides a range of support, advice and financial help for businesses at every stage of their journey in North Ayrshire. The Team also has a dedicated Inward Investment function and provides support to the work streams within the Regional Economic Partnership. • The Regeneration Team develops and delivers the Regeneration Delivery Plan including enhancing the commercial estate and maximising land and assets, Place Based Investment Programme, Repurposing Property Grant Fund and the Shared Prosperity Fund including the overall Programme management and Communities & Place Fund. The Team leads on the delivery of the Vacant and Derelict Land Strategy and Local Transport and Active Travel Strategy. Furthermore, they lead on Digital Renewal including the Ayrshire 5G Innovation Regions Programme. • The Growth and Investment Team delivers the Council’s tourism activities and is responsible for the development and delivery of the Ayrshire Growth Deal capital programme projects including the Digital Processing and Manufacturing (DPMC) and Flexible Space, Marine Tourism and Great Harbour projects. • The Employability and Skills Team deliver the Council’s all age employment support under the Your Next Move, Working North Ayrshire Service. This includes the No One Left Behind (NOLB) Delivery Plan and chairing the Local Employability Partnership (LEP). The Team also leads on the Ayrshire Growth Deal revenue programme including the Ayrshire Skills Investment Fund (ASIF), Working for a Healthy Economy (WfHE) and Fair Work Ayrshire alongside the Shared Prosperity Fund People & Skills thematic priority. 164
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2.27 The following elements of the North Ayrshire Economic Development, Growth and Regeneration Service are within the scope of this review: Economic Policy, Business Support and Development, Digital Renewal and Growth and Investment. East Ayrshire Council 2.28 In East Ayrshire, Economic Growth is part of the Communities and Economy Directorate and works with a wide range of partners and stakeholders to drive economic prosperity through support for employment, skills, businesses and improvements to local communities. • The Economic Development Team provides a range of advice and financial help for businesses through Business Gateway at every stage of the SME journey in East Ayrshire, while aligning with Scottish Enterprise on joint initiatives for account managed businesses. The Team also hosts the Ingram Enterprise Business Centre, manages inward investment enquiries and leads with partners on economic investment bids on areas such as 5GIR and the Local Innovation Partnership Fund. At a regional level the Team provides support to the work streams within the Regional Economic Partnership comprising skills, digital, visitor economy, aerospace, clean growth, with the Service leading on food and drink workstream. • The Development Planning and Regeneration Team prepares the Local Development Plan, which guides the future use of land and the appearance of our communities. The Team is also responsible for the strategic management of East Ayrshire Woodlands and the delivery of regeneration, environmental and townscape improvement projects with all Scottish and UK Government regeneration funds such as Regeneration Capital Grant Fund, Place Based Investment Fund, Neighbourhood Board and Pride in Place Impact Funding managed through the team. The team are responsible for developing and implementing the Ayrshire Growth Deal’s four capital projects. • The Ayrshire Growth Deal Project Management Office (PMO) is responsible for the overall management of the Growth Deal across the region, which is essential to satisfy the requirements of the Scottish and UK Governments in terms of authorisation, audit and recovery of project costs. As part of its responsibility to monitor progress, the PMO also provides analysis and reporting of the impact of Ayrshire Growth Deal projects as set out in project business cases. 2.29 The following elements of the East Ayrshire Economic Growth Service are within the scope of this review: Economic Development Team and Ayrshire Growth Deal Capital Projects Delivery Team. The Ayrshire Growth Deal’s PMO will be retained with East Ayrshire Council as lead accountable body for Ayrshire Growth Deal, with management responsibility resting with their Director of Finance & Digital. Shared Resources Opportunities 2.30 A review of existing Economic Development Staff Structures within North and East Ayrshire Councils has been carried out and updated recently to reflect the current position for in scope posts as at February 2026 which is detailed in the table below: 165
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Table 1: Economic Development Employee Numbers Service Area North Ayrshire East Ayrshire FTE (per m) FTE (tem p) FTE (total ) FTE (perm ) FTE (tem p) FTE (total) Head Of Service 1 0 1 1 0 1 Senior/Strategic Managers 5 0 5 2 0 2 Growth and Investment, Ayrshire Growth Deal (AGD) Delivery and Tourism 3 1 4 2 2 4 Digital / Digital Renewal 1 0 1 0 1 1 Business Support and Development 7.6 1 8.6 10 4 14 Economic Policy 4 0 4 0 0 0 Admin 1.6 0 1.6 5 0 5 Total 23.2 2 25.2 20 7 27 2.31 The table below provides a summary of the estimated budgets for each service. It should be noted that these are the budget figures for 2025/26 and do not take account of any savings that each service requires to make to ensure a balanced budget in future years. The North Ayrshire figures in the table below have recently been updated in February 2026 to reflect current in scope costs. Further refinement to the in-scope budgets will be progressed and agreed between the Councils across staffing and attributable running costs. Table 2: Economic Development Budgets 2025/26 Description East Ayrshire North Ayrshire Employee Costs 1,063,510 1,417,297 Premises Costs 65,480 0 Transport Costs 4,060 3,930 Supplies and Services 520,310 18,826 Third Party Payments 43,180 280,625 Gross Expenditure 1,696,540 1,720,678 Income (88,320) (180,000) Net Expenditure 1,608,220 1,540,678 166
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2.32 Both North and East Ayrshire Councils are ambitious for their communities, seeking to improve the lives of the people they serve. From an assessment of both Councils’ strategic plans and policies it is clear that there is strong alignment across North Ayrshire and East Ayrshire Councils. Economic Development Services in both councils are meeting the corporate aims of their council, as well as regional and national policy priorities. 2.33 Economic Development services provide local authorities with vital intelligence about the local economy and connections to local businesses and employers. They enable councils to provide economic support quickly and accurately through direct and strategic relationships, networks and business databases. They also influence the availability of employment opportunities by attracting employers to the area, supporting inward investment and helping existing employers expand. 2.34 The Ayrshire Regional Economic Strategy includes support for enterprise as a key theme and highlights the need to create a region where ‘businesses can grow both domestically and globally and entrepreneurship and creativity can flourish’. It will do so by improving digital infrastructure, enhancing business support services, improving the quantity and quality of business space provision and improving support for the third sector to deliver community wealth. 2.35 The Business Support and Development Team in North Ayrshire supports start-ups, early-stage growth and volume businesses. The Team supports businesses in the private and third sectors to set up and to work through early-stage challenges, such as understanding their target market, digitising their business, funding and finance. Businesses at all stages can access specific support via workshops and 1-2-1 surgeries with an adviser alongside grant and other specialist support. 2.36 The Business Growth Team supports businesses with identified growth potential. They offer advice and support, and referral to wider partners. A named Business Growth Manager is the dedicated single point of contact for growth businesses. The team also supports new businesses coming into North Ayrshire, through dedicated Inward Investment support. Grant and specialist support is funded through the Council’s Business Recovery and Sustainability Fund and external sources. 2.37 Collectively, the Team stimulates business growth and resilience across North Ayrshire and supports businesses to embrace the Community Wealth Building (CWB) Pillars, as well as Green and Digital adaption. 2.38 Business support services in East Ayrshire similarly support new businesses to start up, indigenous business to grow and others to relocate in the area. A report to East Ayrshire Council’s Cabinet on 4 June 2025 provided the 2024/25 Business Support Report. Activities detailed included: • Supporting the development of 242 new businesses • 28 businesses awarded community wealth building grants for a variety of purposes related to fair work, procurement and climate change. • 129 businesses supported to review their practices in line with green/climate agenda. 167
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• Specialised advice and support, funded from the Shared Prosperity Fund, was used to complement existing business and advice, with 201 new jobs created and 503 enterprises supported • BeReady, with funding via the Shared Prosperity Fund, resulted in 139 enterprises receiving grants and 215 receiving financial support other than grants. • Community wealth building project provided grant funding for 54 enterprises and a further 244 received non-financial support. 2.39 The Local Government Association published a Guide on the role and future skills needs of economic development teams in July 2023. The guide highlights the vital, cross-cutting role of local government economic development teams in attracting investment and capitalising on opportunities created by green growth, automation and new global markets, as well as existing industries which can lead to high-quality jobs for our residents. The report also notes that with the right levers and approaches, councils can also address social, regional and economic inequalities within and between places. 2.40 The Guide recommends that councils explore how closer joint working with other councils could help meet the needs of the functional economic area, make the most of scarce resources, reduce duplication and maximise economies of scale where it makes sense to do so. There is particular reference in the Guide to the challenges of the replacement of EU Structural funding with a domestic funding regime and continued pressure on budgets, which it states both strengthen the case of inter- authority collaboration on economic development services, where appropriate and the need to innovate both operations and policy. North Ayrshire and East Ayrshire Council Shared Economic Development Service 2.41 It is clear from the information gathered and reviews carried out, that the creation of a Shared Economic Development service for North and East Ayrshire Council will assist in the enhanced delivery the Regional Economic Strategy. The proposed Shared Services model is a lead authority model, with the service hosted by one Council, which will then provide all the back-office functions. Consideration will require to be given to structure and location of the team, ensuring that a local business support and economic development presence remains in each area. The proposed model will see business support and development, economic policy including community wealth building, tourism, digital renewal and the delivery of the Ayrshire Growth Deal being delivered by a Shared Economic Development Service. 2.42 At its recent Council meeting on 29 January 2026, East Ayrshire Council considered and agreed to support the introduction of a Shared Economic Development Service and further agreed to North Ayrshire Council being the lead authority. 2.43 If agreed by North Ayrshire Council, it is intended that an officer Project Board is established with the aim of overseeing progress and the development and implementation of the shared service. This will include representation from professional services including human resources, legal and finance from both Councils. Consideration will also be given to including employee or trade union representation. 168
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2.44 The lead authority model will be underpinned by the following principles: • Local governance is being delivered through the Ayrshire Economic Joint Committee and the Ayrshire Economic Partnership Board and, subject to refining their Terms of Reference and Delegations to reflect the Shared Service, will be retained. Standing Orders will require to be amended including granting appropriate delegation of powers to the Joint Committee. • The councils will maximise the effectiveness and efficiency of services through closer joint working. • The lead authority will be responsible for support functions. • Relevant staff will be transferred to the lead authority under TUPE regulations. • Each council will meet the costs of services delivered in their area, with common costs apportioned based on a distribution model to be agreed before the commencement of the shared service. Regional Economic Director 2.45 Strategic Leadership is vital for the new team. A Regional Economic Director post is proposed to lead the service and lead on reporting to the Ayrshire Economic Partnership Board and Ayrshire Economic Joint Committee for both Councils. It is considered that this post would benefit from being a more senior post than the existing Heads of Economic Development, reflecting the increased level of challenge and areas to be covered. The main responsibilities would include: • Promoting the Regional Economic Strategy across public, private and third sector partners, to ensure stronger buy-in. • Ensuring the Regional Economic Strategy Delivery Plan is delivered, including Ayrshire Growth Deal and other delivery programmes, through effective performance management and stakeholder management. • Promoting the economic opportunities in Ayrshire to Scottish and UK Governments. • Coordinating inward investment activity. • Coordinate bids for external funding. 2.46 It is proposed the role will be recruited in line with North Ayrshire Council’s policies and procedures and would be placed within North Ayrshire Council’s leadership structure at an appropriate grade to be determined by the Chief Executive. If agreed, the post of Regional Economic Director will be ringfenced to the two existing Heads of Service, with the unsuccessful individual being matched to the Head of Service post within the Shared Economic Development Service. It is further proposed that the new Regional Economic Director, will then be involved, together with the Head of Service, in appointing the senior team and structure. This has the advantage of giving the new Director responsibility for shaping and recruiting the new team. The remaining services within the current Economic Development Growth and Regeneration Service will be subject to further redistribution within the Council’s Chief Officer structure after review by the Chief Executive. 2.47 Proposed arrangements for the recruitment and selection of the new Regional Economic Director will require the Council to agree to amend its Scheme of Administration to allow the establishment of a joint Staffing Recruitment Committee with representation from both North and East Ayrshire Councils. It is proposed the recruitment and selection of the new Regional Economic Director and in future any 169
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Chief Officer follows a similar format previously used for appointments to the HSCP. It is proposed the joint Staffing and Recruitment Committee be established on this occasion to recruit the Regional Economic Director to the Shared Service with the following representation: • NAC Leader • NAC Deputy Leader • NAC Leader of the Main Opposition • NAC Leader of the Second Opposition • NAC Cabinet Member holding the relevant service portfolio • EAC Leader • EAC Deputy Leader • EAC Member holding the relevant service portfolio This would be supported by attendance from – NAC Chief Executive, NAC Executive Director (Place) and NAC Head of People (as HR Support). Governance 2.48 Funding for the new Economic Development Service needs to be transparent and sustainable, with contributions based on the size of the Council, rather than simply splitting the budget. Detailed financial information will require to be prepared by the finance teams of each Council and a funding strategy agreed prior to the launch of the shared service and provide a fair and equitable approach to service delivery. 2.49 For both Councils, there will be a desire to retain a local presence and connections. As part of the implementation plan and engagement with teams, consideration will require to be given to accommodation needs. There are also a number of support areas that will need to be considered during the implementation phase, including the treatment of support costs, existing systems and digital requirements and procurement arrangements. In addition, information governance and data sharing matters will require consideration. 2.50 There are currently two bodies which oversee joint working in Ayrshire: • The Ayrshire Shared Services Joint Committee is a body that oversees shared services across the three Ayrshire Councils. It is responsible for approving service plans, coordinating performance and monitoring the delivery of these shared services. The committee includes four elected members from each council. At present the following services are delegated to the Joint Committee: Ayrshire Roads Alliance and Ayrshire Civil Contingencies. The constituent authorities can determine which specific services and functions are to be delegated to the Joint Committee. • The Ayrshire Economic Joint Committee was established in 2019 as the governance structure for overseeing the delivery of the Regional Economic Strategy and Ayrshire Growth Deal and to promote the main drivers for the Ayrshire Economy. The Committee includes representation from the three Ayrshire Councils (three elected members each), with representation also from partners and business. There is also an Ayrshire Economic Partnership Board which has membership from public, private and third sectors whose 170
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role is to scrutinise economic reports before determination by the Ayrshire Economic Joint Committee. 2.51 The Regional Economic Director will be accountable to the Ayrshire Economic Joint Committee and for day-to-day operational matters will report to the Executive Director (Place) of North Ayrshire Council as lead authority. A review of the Economic Joint Committee Terms of Reference and Delegations will be required to reflect the Shared Economic Development Service model. Standing Orders will require to be amended including granting appropriate delegation of powers to the Joint Committee with effect from the commencement of any shared service. 2.52 A full risk register will require to be developed as part of the implementation phase. The following risks and possible mitigations have been highlighted thus far and will be further developed by the proposed officer Project Board to be established to implement the Shared Service: • Whilst progress has been made in moving towards a regional economic mindset there will continue to be some sensitivities and concerns about less support for local communities. It will therefore be important to ensure effective communications between the regional team and all elected members in the councils, not only those sitting on the Economic Joint Committee. • There could be some challenges around creating a single working culture. The two existing economic development teams will have their own way of working and so the new team will need to integrate and secure buy-in to the new approach. The new team will need to be aware of sensitivities about each council area getting their ‘fair share’ – this will be addressed by promoting and explaining a regional approach to allocating and prioritising investment across Ayrshire as a whole. • There will also be legal and TUPE related issues for staff transferring to a new organisation, including differences in terms and conditions. In addition, fixed term contracts and fit to TUPE will need to be reviewed person by person. 2.53 As noted earlier in the report South Ayrshire Council has confirmed that it does not wish to be part of a Shared Economic Development Service at this time, however, it is possible that this position could change over time. Given the information and findings contained within this report, it is considered that there is merit in North and East Ayrshire Councils bringing together their economic development teams, under the remit of a single Regional Economic Director. 3. Proposals 3.1 It is proposed that Council: (xi) Notes the strategic context for public service reform, including the national commitments to economic growth. (xii) Notes the work that has been undertaken to develop the case for a shared Economic Development Service. (xiii) Notes that there is a strong alignment across the existing policies and strategies of both North and East Ayrshire Councils, with clear and robust links to national and regional outcomes for economic growth. 171
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(xiv) Agrees to progress with the development of a shared Economic Development Service, in partnership with East Ayrshire Council, with a single management team and with services located within each Council. (xv) Notes that an officer project board will be established to take forward the proposed development and implementation of the service, with representation from professional services including Human Resources, Legal and Finance. (xvi) Agrees that the shared service will be led by North Ayrshire Council, with effect from 1 June 2026 and that the Ayrshire Growth Deal’s PMO will be retained with East Ayrshire Council as lead accountable body for the Ayrshire Growth Deal (AGD). (xvii) Agrees the creation of the post of Regional Economic Director. (xviii) Agrees to amend the Scheme of Administration to delegate appropriate powers to the Ayrshire Economic Joint Committee for governance of the shared Economic Development Service with effect from its commencement date. (xix) Agrees to the proposals for the composition of the Staffing and Recruitment Committee when considering recruitment of Chief Officers to the shared service as outlined at para 2.47 of this report and amend the Scheme of Administration accordingly. (xx) Approves the progression of the recruitment process of a Regional Economic Director and maintaining one Head of Service, both of whom will then be involved in developing the overall structure of the Shared Services team. 4. Implications/Socio-economic Duty Financial 4.1 There will be no initial direct financial savings from the creation of a Shared Economic Development Service. Detailed financial information will require to be prepared by the finance teams of each Council and a funding strategy agreed prior to the launch of the shared service. Human Resources 4.2 If it is agreed that staff will transfer to the lead council, there will be TUPE related issues to consider. The Regional Economic Director will be appointed in the first instance and will be responsible for developing and taking forward the new service. Trade Union and affected employees have been briefed in advance of Council. Legal 4.3 The governance implications are set out within the report. The Regional Economic Director will assume overall responsibility for the shared service and will be accountable to the Ayrshire Economic Joint Committee and for day-to-day operational matters will report to North Ayrshire Council’s Executive Director (Place). Scrutiny in respect of the Ayrshire Economic Joint Committee will also require to be undertaken by each council in accordance with their own scrutiny processes. Equality/Socio-economic 4.4 A full ECRIA was undertaken for the recent review of the Economic Development, Growth and Regeneration Service. This established that the review would have a neutral impact across the protected characteristics and that the intended outcomes 172
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would not have a different impact on our island communities. East Ayrshire Council has also separately undertaken its own ECRIA assessment. A screening assessment has been undertaken for the current Shared Services Proposal. The need for further assessment will be kept under review by the officer Project Board as the full detail for the new Shared Service is developed through further screening and wider assessment where appropriate. Climate Change and Carbon 4.5 Economic growth in Ayrshire supports and is being supported by net-zero initiatives. This includes leveraging funding through the Ayrshire Growth Deal to drive investment in clean energy, sustainable infrastructure and green skills. Programmes such as the Net Zero Accelerator are helping local businesses to transition to a low-carbon economy and strategies like Community Wealth Building aim to ensure these benefits lead to inclusive growth and resilience for the region. Key Priorities 4.6 The Council Plan’s strategic priorities will be supported and enhanced by the new Shared Economic Development Service. Community Wealth Building 4.7 Community Wealth Building is a vital part of the Ayrshire Regional Economic Strategy and Ayrshire Growth Deal. Through supporting businesses and third sector organisations across a pan-Ayrshire approach to economic development, community wealth building aims to promote benefits in economic recovery, inclusivity, equality, tackling the climate crisis and taking on other issues that Ayrshire faces. The recommendations detailed within this report are designed to further strengthen this approach. Islands Communities Impact Assessment (ICIA) 4.8 A full ECRIA was undertaken for the recent review of the Economic Development, Growth and Regeneration Service. This established that the review would have a neutral impact across the protected characteristics and that the intended outcomes would not have a different impact on our island communities. United Nations Rights of the Child (UNCRC) 4.9 None. Consumer Duty 4.10 None. 173
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5. Consultation 5.1 Engagement with senior economic development officers and chief executives during the Phase 1 and Phase 2 reviews described earlier in the report has taken place. The feedback from Phase 1 was clear that there needs to be a more formalised approach to economic development across Ayrshire, in order to address the challenges and opportunities in the regional economy. The feedback also indicated that governance and strategic leadership needs strengthened. Initial engagement with employees and Joint Trade Unions has taken place There will be continuing engagement with employees and trade unions and wider engagement with those affected by the Service. RUSSELL McCUTCHEON Executive Director (Place) For further information please contact Russell McCutcheon, Executive Director (Place), on 01294 324312. Background Papers 0 174
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NORTH AYRSHIRE COUNCIL 11 February 2026 Council Title: Ardrossan Civic Centre Purpose: Approval is sought for an allocation of £85,000 from the Ardrossan Common Good Fund to: - i. Undertake essential heating system repairs ii. Reinstate the passenger lift to ensure full accessibility throughout the building. Recommendation: It is recommended that the Council approves the allocation of £85,000 from the Ardrossan Common Good to enable completion of these critical improvement works. 1. Executive Summary 1.1 1.1Ardrossan Civic Centre is an Ardrossan Common Good asset. It is recognised as a vital community facility, supporting local groups, wellbeing services, outreach programmes, and elderly activities. The heating system has failed beyond repair, and the passenger lift has been condemned, resulting in significant accessibility and compliance challenges. Investment is required to replace both systems, ensuring the facility remains safe, inclusive, and operational. 1.2 The estimated cost of these works is £85,000. 2. Background 2.1 The Ardrossan Civic Centre is a key hub for social inclusion, learning, and health activities; particularly for vulnerable and mobility-impaired groups. 2.2 The heating system which serves all areas out-with the main hall has failed, leaving the building unsuitable for year-round use, particularly in colder months, without the use of inefficient temporary electric radiators. 2.3 The platform lift which provides access from the main entrance to the principal floor has been out of service following a safety inspection. An alternative means of accessing the centre is through the Castle Craigs entrance using an external ramp, however this route requires travel through the main hall. This can be disruptive or in some cases inaccessible when the hall is in use for functions, compromising the ability to meet the Equality Act (2010) requirements. Agenda Item 10 175
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3. Proposals 3.1 To restore the full use of the building, ensure compliance with health & safety and accessibility requirements, and to reduce the risk of emergency closures, the proposal is for the failed heating system to be replaced, and the safety recommendations identified with the passenger lift are addressed through a new lift installation. The anticipated cost to decommission and remove the faulty boiler from site, replace with a modern and efficient appliance, and allow for any additional work to the heating system will be £30,000. The condemned platform lift will be removed and replaced with a new, fully compliant passenger lift, plus alterations to the existing fabric to accommodate the installation, for an anticipated cost of £55,000. The total cost of work required for Common Good funding is £85,000. 4. Implications/Socio-economic Duty Financial 4.1 The anticipated cost to decommission and remove the faulty boiler from site, replace with a modern and efficient appliance, and allow for any additional work to the heating system will be £30,000. The condemned platform lift will be removed and replaced with a new, fully compliant passenger lift, plus alterations to the existing fabric to accommodate the installation, for an anticipated cost of £55,000. The total cost of work required for Common Good funding is £85,000. As of 31 December 2025, the Ardrossan Common Good Fund held a balance of £406,046.78. The current request represents 21% of this total and, if approved, would result in a remaining fund balance of £321,046.78. Human Resources 4.2 There are no HR implications arising as a result of this report. Legal 4.3 Ardrossan Civic Centre is an Ardrossan Common Good asset. The Council has a legal obligation to ensure the public buildings comply with the Equality Act (2010) to protect people from discrimination in the workplace and in wider society. Failure to provide an accessibly route to the building could put the Council at risk of contravening these obligations. 176
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Equality/Socio-economic 4.4 As per 4.3, there is a risk of failing to meet equality requirements for the building if the accessibility requirements are not met through the replacement of the lift. Climate Change and Carbon 4.5 Although the building isn’t suited for a conversion to a more environmentally friendly heat source (e.g. ASHP) due to the age and fabric, any replacement gas-fired boiler will be more efficient and provide a more cost-effective means of heating the centre. A fully functioning heating system will also obviate the need for inefficient portable heaters. Key Priorities 4.6 If Common Good funding is approved, the works will support the Council’s key priorities of Wellbeing and Communities and Local Democracy through the following outcomes: - Places and public spaces across North Ayrshire are well maintained and accessible. Our places encourage strong inclusive communities and respect the local environment and cultural heritage. Community Wealth Building 4.7 PMI will work with Procurement to identify any opportunities to use local contractors. Islands Communities Impact Assessment (ICIA) 4.8 None United Nations Rights of the Child (UNCRC) 4.9 None Consumer Duty 4.10 None 5. Consultation 5.1 If approved, PMI will engage with Finance to establish a project budget through the Common Good funding. Thereafter, Connected Communities will provide assistance with communications and relaying details of the work to the community groups who may initially be impacted by any disruption, but ultimately will benefit from the improvements to the building. 177
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RUSSELL McCUTCHEON Executive Director (Place) For further information please contact Laurence Cree, Head of Sustainability, Transport & Corporate Property on 01294 324519. Background Papers 0 178
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NORTH AYRSHIRE COUNCIL 11 February 2026 North Ayrshire Council Title: Housing Revenue Account (HRA) Capital Investment Programme, Revenue Budget and Rent Levels for 2026/27 Purpose: To advise Council of the proposed HRA capital investment programme and revenue budget for 2026/27 and the consequential rent levels. Recommendation: That the Council: (i) approves the updated 10-year HRA capital investment programme, as detailed in Appendix 1; (ii) approves the HRA revenue budget for 2026/27, as detailed in Appendix 2; (iii) approves a rent increase of 3.84% in 2026/27 for Council houses, garages/lock ups; (iv) approves a 5% increase to service charges; and (v) notes the indicative Council house rent increases of 3.84% for the remaining 28 years of the HRA Business Plan. 1. Executive Summary 1.1 Section 203 of the Housing (Scotland) Act 1987 includes a requirement for local authorities to maintain a Housing Revenue Account (HRA) to record all income and expenditure related to their direct provision of housing. Councils must estimate, annually, the amounts to be debited or credited to the account, through setting a budget, which is returned to the Scottish Government and published annually. 1.2 In successive annual updates on the HRA Business Plan since February 2023, Council officers have highlighted that the HRA is facing affordability challenges due to high inflation and increased borrowing rates. To mitigate the risk to the HRA Business Plan and keep rent increases below inflation, savings continue to be identified, and a transformation programme is in place. 1.3 At the Council meeting on 12 February 2025, a 3.84% rent increase was approved for 2025/26, which was in line with the previous year’s forecast. Council also noted that the indicative rent increase for 2026/27 and the remaining 29 years remained at 3.84%. 1.4 A comprehensive review of the HRA Business Plan has been carried out over the last six months, which has assessed the factors expected to impact on the HRA budget in Agenda Item 11 179
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2026/27 and beyond. 1.5 Additional funding has been allocated to reflect changes in the cost and volume of responsive and void repairs; increased timber and dampness work; increased storm damage costs to reflect weather patterns in recent years; and tenant safety works in relation to statutory testing and fire safety. Provision has also been made for enhanced environmental maintenance and investment in non-adopted roads, paths and street lighting. 1.6 Notable savings include general efficiencies across all areas of the housing budget and increased rental income following completion of major works programmes, bringing properties back into the lettable stock. 1.7 The Housing Services Transformation Programme, launched in 2023, is designed to drive change and innovation across the service. With strong governance, dedicated funding and robust support, the programme aims to deliver long‑term savings and wider benefits. To date, the programme has identified recurring revenue efficiencies totalling £0.25m for inclusion within the Business Plan, with further work underway to explore additional opportunities for improvement. 1.8 The 10‑year capital programme has been updated to reflect the latest planned expenditure for the period 2026/27 to 2035/36. The total investment of £446.07m comprises £260.60m for improvements to existing stock, £144.23m to deliver the Council house-building programme, and £41.24m for other capital works, including the Estate‑based Regeneration Programme and the refurbishment of sheltered housing units. 1.9 These changes to the Business Plan collectively enable rents for 2026/27 to be maintained at the 3.84% increase indicated in the report to Council in February 2025, whilst maintaining service delivery and continuing to build new social housing to meet current and future demand. 1.10 In summary, the review of the HRA Business Plan has resulted in proposed capital and revenue budgets which will deliver: • A £68.25m revenue budget for 2026/27 to manage and maintain our houses and estates • £1,148.85m for improvement works to our existing properties over the life of the HRA Business Plan, including £186.14m investment to tackle climate change and contribute towards net zero • £136.90m investment to increase our affordable housing stock, including construction of a further 691 new homes, refurbishment of three units and the purchase of 60 properties from the open market, all by 2031 • £35.77m further investment in our sheltered housing unit refurbishment programme, which will complete the delivery of modern accessible housing for older people across 9 units (197 homes) by 2030 • £5.47m to complete the delivery of our Estate Based Regeneration Programme. 180
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1.11 To maintain current service provision, the proposed increase to housing rents is 3.84% (average of £3.50 per week) for 2026/27. The results of the tenants’ consultation survey are detailed in paragraphs 2.35 to 2.40 in this report. 1.12 Earmarked and non-earmarked reserves have been reviewed as part of the 2026/27 budget and business plan process. A summary of movements since 31 March 2025 and the anticipated level of earmarked and unearmarked reserves at 31 March 2026 is provided at paragraph 2.65. The review of the earmarked funds has resulted in an unearmarked balance of £1.758m. This equates to 2.6% of annual revenue expenditure. 1.13 Full details of the capital and revenue budgets are contained in Appendix 1 and Appendix 2 respectively. A table with the proposed rent charges for 2026/27 is included in Appendix 3. 2. Background 2.1 Section 203 of the Housing (Scotland) Act 1987 includes a requirement for local authorities to maintain a Housing Revenue Account (HRA) to record all income and expenditure related to their direct provision of housing. Councils must estimate, annually, the amounts to be debited or credited to the account, through setting a budget, which is returned to the Scottish Government and published annually. 2.2 The Scottish Social Housing Charter sets the standards and outcomes that all social landlords should aim to achieve when performing their housing activities. When developing the HRA Business Plan, these standards and outcomes must be taken into account. 2.3 Value for money must be considered when setting tenants’ rents. An annual review of all income and expenditure is undertaken, ensuring a balance is struck between the level of services provided, the cost of these services, and affordability for current and prospective tenants and service users. 2.4 At the Council meeting on 12 February 2025, members approved a rent increase of 3.84% for 2025/26 and noted indicative rent increases of 3.84% for the remaining 29 years of the Business Plan. 2.5 The annual review of the HRA Business Plan financial model which has been undertaken over the last six months provides assurance regarding the financial sustainability of the HRA and its ability to support investment in the Council's housing stock over the remaining life of the plan. Capital Investment 2.6 The 10-year capital investment programme has been reviewed and is detailed in Appendix 1. The programme will be funded by a combination of government grants, Capital Funded from Current Revenue (CFCR), prudential borrowing, reserves, and contributions towards the new build programme from the Affordable Housing Account. 181
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Total planned capital expenditure in 2026/27 is £70.10m, and £446.07m over the next 10 years to 2036. Asset Management 2.7 The Housing Assessment Management Plan (HAMP) was reviewed during 2025 and subsequently approved by Cabinet on 2 December 2025. The HAMP has informed the review of the 30-year HRA Business Plan. The HAMP recognises the HRA affordability challenges being experienced, prioritises the need to meet statutory compliance obligations, and sets the foundations for the future approach to asset management in the context of our evolving sustainability commitments and delivery of the Scottish Government’s Housing to 2040 strategy. The Housing Asset Management Board (HAMB) monitors delivery of the HAMP and capital investment programmes. 2.8 Following the publication of the Scottish Housing Regulator’s guidance on Integrated Asset Management (IAM) in early 2023, officers in Housing and PMI carried out a joint self-assessment to evaluate the Council’s position against the five IAM principles and ensure tenants’ homes remain sustainable and fit for purpose over the short, medium and long term. This self-assessment highlighted several resourcing and data- integration gaps and informed an action plan aimed at delivering a comprehensive RAG rating for each property, drawing on data such as property condition, repair history, SIMD indicators, demand trends and tenancy information. Currently this information is held across several systems, which do not integrate at the level required to demonstrate robust asset performance. To address this issue, a bespoke IAM dashboard will be developed during 2026 to enable data from all systems to be combined and provide clearer asset performance insight. Social Housing Net Zero Standard 2.9 The Scottish Government has developed and consulted on a new Social Housing Net Zero Standard (SHNZS) in Scotland. This new standard will replace the second Energy Efficiency Standard for Social Housing (EESSH2). This new standard will likely require higher fabric performance in homes and the replacement of ‘polluting’ heating systems with ‘clean’ alternatives across the housing stock. These proposals have significant implications for how assets are managed, including the replacement of heating systems and other building elements such as windows, roofs, and insulation. 2.10 North Ayrshire Council’s response to the SHNZS consultation was approved by Cabinet in February 2024. Within this response concerns were highlighted regarding a potential major funding shortfall if the standard was implemented. At the time of the report, it was noted that the 30-year HRA Business Plan included a budget of £132m for energy efficiency upgrades within existing properties. Of this, £111m was allocated for the like for like replacement of existing heating systems, the majority of which are gas systems. It was also noted within the report that initial estimates suggested that replacing gas systems with air source heat pumps could be in the region of £370m, meaning a potential funding gap in excess of £200m. 2.11 Current projections, informed by data from the ongoing Pathfinder Project and updated market costs, continue to suggest a significant funding shortfall should the SHNZS be implemented without supplementary financial support. The revised Business Plan includes an allocation of £125 million for heating system replacements. Assuming that ASHPs will be the preferred technology, the estimated total cost for these replacements is around £303 million over the 30-year period. This results in a current projected shortfall of £178 million for heating systems alone, a figure that is expected 182
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to increase once inflation is factored in. 2.12 These projections do not account for the additional costs associated with fabric improvements required to achieve the proposed fabric efficiency ratings and to ensure the effective operation of ASHP installations. The projections also assume that ASHPs will need to be replaced on a cyclical basis, estimated at every 15 years. However, due to limited historical data, it is difficult to provide more precise forecasts. Furthermore, it is anticipated that the longevity and maintenance costs of these systems will be influenced by their location and environmental conditions, with maintenance expected to be higher than that of the Council’s current heating systems. 2.13 In August 2024 the Council commissioned a pathfinder project which aims to assess the financial, technical and customer implications associated with the emerging standard. The project focuses on the Council’s traditional housing stock constructed between 1945 and 1960, which represents approximately 75% of the overall portfolio. A representative sample of properties within this group has been selected for detailed assessment. This includes full property surveys, evaluation of a range of fabric improvement measures and replacement heating options. Engagement with tenants will provide valuable insights into the practical usability of new systems and help ensure that improvements meet the needs of residents, thereby increasing acceptance and long-term effectiveness to understand usability and experience. A total budget of £0.50m was allocated to the pathfinder project in 2024/25. Works are ongoing, with monitoring equipment now installed in several properties. Challenges in scoping the project, arising from ongoing policy uncertainty and the identification of suitable properties alongside access issues, have meant the budget has been reprofiled, with a projected spend of £0.025m in 2025/26 and the remainder of the budget carried forward into the next financial year to facilitate the implementation of improvement measures. The findings from the property assessments and tenant engagement will inform the Council’s strategy for upgrading its housing stock, with detailed reporting expected by the end of 2027. Capital Improvement Works 2.14 The planned capital programme will deliver major repairs and improvement works and assist the Council in meeting the Scottish Housing Quality Standard (SHQS). The planned improvements to the housing stock in 2026/27, include: Programme No. of properties 2026/27 Investment £m 2025/26 projected completions 2026/27 programme Bathroom replacement 166 221 1.34 Kitchen replacement 522 581 3.24 Electrical rewiring 300 199 0.69 Heating upgrades 624 859 2.57 Traditional rendering 119 166 2.50 Insulated rendering 16 31 0.60 Roofing 83 119 1.36 Solar PV 457 462 3.11 183
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Window replacement 68 140 0.85 Smoke detection 1,038 1,877 1.09 Strategic Housing Investment Plan (SHIP) 2.15 The Business Plan for 2026/27 reflects the SHIP 2026–2031 approved by Cabinet on 28 October 2025, which includes provision of £168.74m for the delivery of a further 691 new build homes, a building refurbishment to create three homes, and the purchase of 60 homes from the open market, supported by an estimated £82.80m government grant. 2.16 A total of 1,666 new homes are targeted for completion by the Council by March 2031, which is an increase of 23 homes against the 1,643 target in SHIP 2025-2030. 975 homes were completed by 31 December 2025, leaving a balance of 691 for delivery by 2031. The SHIP includes delivery of 135 homes from the Council’s shadow programme, which have been assumed to be cost neutral (i.e., no HRA funding beyond future rental income from each development). Higher than normal benchmark grant rates will be required from Scottish Government to deliver these schemes without impacting upon the Business Plan. The shadow projects are anticipated to cost £27.77m, to be offset by £17.26m government grant, compared to the ‘standard’ estimated benchmark rate of £12.39m. Estate Based Regeneration Programme (EBRP) 2.17 The Estate Based Regeneration Programme was originally approved by Cabinet in January 2019 and commenced in April 2019, with a total budget of £9.8m. The programme seeks to improve housing estates across North Ayrshire, addressing key priorities for tenants such as areas of low demand, antisocial behaviour, street parking and external appearance. 2.18 Since its introduction, the programme has successfully delivered an additional 852 new parking spaces, the demolition of low demand flatted blocks, landscaping at four sites, a significant fencing programme, and some smaller works. 2.19 Several EBRP projects have been completed during 2025/26, with work ongoing on the remaining 14. A review of the programme has been undertaken, and revised funding requirements have been confirmed. Total investment of £5.47m has been included in the Business Plan to complete the remaining projects, as detailed in the table below. Project Estimated completion Previous years £m 26/27 £m 27/28 £m 28/29 £m Project total £m Grange Court, Stevenston (Regeneration project 14) Autumn 2026 0.30 0.14 - - 0.44 Ad hoc improvements Spring 2029 0.11 0.04 0.04 0.04 0.21 Subdivisional fencing Spring 2029 0.77 0.15 0.15 0.15 1.22 Fergushill Road flats, Kilwinning Spring 2027 0.40 0.10 - - 0.50 184
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Confidential project, Irvine (Regeneration project 1) Spring 2028 - - 0.32 - 0.32 Confidential project, Saltcoats (Regeneration project 10) Spring 2029 0.15 0.20 0.10 0.35 0.80 Guthrie Road, Saltcoats (Regeneration project 11) Spring 2027 0.04 0.15 - - 0.19 Old Raise Road, Saltcoats (Regeneration project 12) Spring 2029 0.12 0.10 0.26 0.26 0.74 Hayocks Road, Stevenston (Regeneration project 15) Spring 2028 - 0.14 0.14 - 0.29 Confidential project, Irvine (Regeneration project 2) Spring 2029 - - - 0.84 0.84 Confidential project, Ardrossan (Regeneration project 8) Spring 2029 - - 0.05 0.09 0.14 Royal Avenue/Holehouse Road, Largs Spring 2027 0.03 0.25 - - 0.28 Town Centre flats (east), Kilwinning Spring 2029 - 0.20 0.30 0.36 0.86 Town Centre flats (west), Kilwinning Spring 2029 0.14 0.10 0.23 0.22 0.70 Total 2.05 1.57 1.59 2.31 7.52 Sheltered Housing Reprovisioning Programme 2.20 The Sheltered Housing Reprovisioning Programme was initiated in 2020 with the ambition of completely refurbishing 11 sheltered housing units and delivering high- quality, energy efficient homes which meet tenants’ needs and aspirations. 2.21 Barnett Court, Saltcoats (22 houses) was completed in January 2024 and Cheviot Court, Irvine (22 houses) was completed in November 2024. 2.22 The table below provides further details on the remaining nine sheltered housing units, with the programme expected to be completed in early 2029. All project budgets have been reviewed, and no additional funding requirements have been identified; the Business Plan includes £35.77m to deliver the remaining projects. Complex Units Estimated Start Estimated Completion Project budget (2026/27) £m Laigh Court, Beith 21 Spring 2026 Early 2027 3.12 Vineburgh Court, Irvine 22 Spring 2026 Spring 2027 3.77 Moorburn Park, Largs 20 Winter 2026 Winter 2027 3.28 Heathfield House, Irvine 23 Spring 2027 Summer 2028 5.38 Regal Court, Dalry 24 Spring Spring 3.15 185
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2027 2028 Bonnie Lesley Court, Stevenston 22 Summer 2027 Summer 2028 3.76 Bryce Knox Court, Irvine 21 Autumn 2027 Autumn 2029 3.32 Headrigg Gardens, West Kilbride 21 Winter 2027 Winter 2028 3.78 George Aitken Court, Ardrossan 23 Spring 2028 Early 2029 3.97 SHU sustainability works - - - 2.24 Totals 197 35.77 Redburn Grove, Irvine 2.23 Scottish Government issued design guidance relating to the provision of accommodation for gypsy/travellers in 2021.The guidance informed consultation with Redburn Grove tenants regarding their aspirations for the future of the site, and a draft redevelopment plan was subsequently prepared, alongside estimated costs to be met from Scottish Government grants and the Housing Revenue Account. 2.24 The redevelopment proposals and costs were set out in a report to Cabinet on 3 June 2025, which recommended inclusion of Redburn Grove as a new project in SHIP 2026- 31, while noting that the site is currently in General Fund ownership and its transfer to the Housing Revenue Account (HRA) would require there to be no financial burden to existing Housing Revenue Account tenants for the works or ongoing costs. 2.25 There is currently an anticipated £3.52m funding deficit to deliver the estimated £4.44m scheme, which will be sought from Scottish Government in the first instance. The Scottish Government has indicated that funding for the reprovision and redevelopment of Gypsy/Traveller sites will be available from 2026/27 through local authorities’ Resource Planning Assumptions and allocated through Strategic Housing Investment Plans. 2.26 In recognition of the current standard of accommodation and site fees, and the recently approved SHIP project, it is recommended that no increase is applied to Redburn Grove site fees for 2026/27. Revenue Expenditure 2.27 The proposed 2026/27 HRA Revenue Budget is outlined in Appendix 2. Planned expenditure of £68.25m will predominantly be funded by tenants’ rental income and charges for services. 2.28 An analysis of the revenue budget is shown in the diagram below. 186
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2.29 The revenue budget includes funding of £30.10m for property-related expenditure in 2026/27, which represents 44.10% of the total planned expenditure. This expenditure will assist the Council in maintaining its cyclical and responsive maintenance requirements. Revenue-funded property budgets for 2026/27 have increased by 15.4% compared to 2025/26, mainly due to increases in the cost and volume of responsive repairs; an increased focus on timber and dampness work in advance of the introduction of the sections of the Housing Scotland Act 2025 pertaining to Awaab’s Law; increased funding for storm damage remedial works, recognising that extreme weather patterns experienced in recent years are likely to continue; and tenant safety works in relation to statutory testing and fire safety. Provision has also been made for enhanced environmental maintenance and investment in non-adopted roads, paths and street lighting, in support of the Council Plan wellbeing priority, wider corporate regeneration investment, and anticipated priorities emerging from the forthcoming local housing plans. 2.30 The Aids and Adaptations budget was increased by £0.17m in the 2025/26 Business Plan for two years, with the aim of reducing tenants’ waiting times for assessed works. This targeted increase in funding, alongside improved joined planning between Housing and the North Ayrshire Health and Social Care Partnership, has been successful in reducing average waiting times from 57.25 days in 2024/25 to 42.98 days as of 31 December 2025. Rental Income and Stakeholder Engagement 2.31 The Business Plan includes a projected housing stock of 13,377 houses at 1 April 2026, with a further 152 new homes targeted for completion during 2026/27, which are estimated to generate gross rental income of £66.19m in 2026/27. Income from other property rents and service charges account for £2.06m, bringing the total anticipated income for 2026/27 to £68.25m. Rent increase and affordability for tenants 2.32 To meet the investment requirements of the 30-year Business Plan, including maintaining the Scottish Housing Quality Standard (SHQS) and working towards the impending Scottish Housing Net Zero Standard (SHNZS), delivering the Council house building programme and continuing to deliver customer-focused support services, it is proposed to increase housing rents by 3.84% for 2026/27. The Business Planned and cyclical £9.31m 13.65% Reponsive Repairs £8.92m 13.06% Other property costs £5.21m 7.63% Void Costs £4.58m 6.71% Aids & adaptations £1.79m 2.63% Infrastructure £0.29m 0.43% Capital Financing £24.07m 35.27% Supplies & Services £0.38m 0.55% Transport Costs £0.02m 0.03% Administration Costs £0.95m 1.40% Central Support Costs £2.38m 3.48% Internal Services £4.31m 6.31% Employee Costs £6.05m 8.86% Property costs £30.10m 187
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Plan indicates anticipated rent increases of 3.84% for each of the remaining 28 years of the Business Plan. It should be noted that, due to the current financial climate, inflation volatility and continued pressure on the HRA, this forecast may be subject to change following the next review of the Business Plan in autumn 2026. 2.33 Indicative rent figures for 2025/26 show an average weekly rent for North Ayrshire Council of £91.16 compared to the Scottish local authority average weekly rent of £94.42, as detailed in the table below. Landlord Average Rent 2025/26 (indicative) East Ayrshire Council £90.94 North Ayrshire Council £91.16 South Ayrshire Council £88.21 Scottish average: local authorities £94.52 Cairn Housing Association (formerly ANCHO) £97.43 Cunninghame Housing Association £111.19 Riverside Scotland (Irvine Housing Association) £107.60 Scottish average: registered social landlords £111.11 Scottish average: All landlords £102.18 Indicative figures for landlords/averages are calculated by applying their stated average weekly rent increase to their 2024/25 average weekly rent. 2.34 Housing Benefit and Universal Credit support for housing costs is available to households with lower incomes. Approximately 51% of tenants are currently in receipt of full benefit entitlement for housing costs, 13% are in receipt of partial benefit entitlement and therefore pay some rent, and 36% of tenants have no benefit entitlement and pay full rent. Housing staff offer advice and assistance to any tenants who are experiencing financial difficulties. Staff also signpost or refer tenants for other services such as welfare benefits advice, income maximisation, budgeting, debt advice, tenancy support and other support services. Stakeholder engagement 2.35 The Housing (Scotland) Act 2001 requires councils to consult with tenants and have regard to the views expressed prior to setting rents. 2.36 In preparing the HRA budget for 2026/27, two options for rent increases were identified by officers and presented to Elected Members, the Housing Business Plan Group and the North Ayrshire Network in December 2025. The options were subsequently included in the tenant consultation exercise which took place between 5 December 2025 and 16 January 2026, namely, to increase rents by 3.84% (an average increase of £3.50 per week), or 4.84% (an average increase of £4.41 per week). 2.37 The lower rent increase option maintains HRA service provision and the planned increase in SHIP investment. The higher rent increase option maintains HRA service provision and the planned increase in SHIP investment and provides an additional £7.5m for expansion of the Estate-based Regeneration Programme. Further information on both options is included within the Rent Level Options document at Appendix 4. 188
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2.38 A total of 1,701 responses were received from the tenants’ consultation - a response rate of 13.2%. This is the highest response to a rent consultation by North Ayrshire Council to date and demonstrates increasing engagement year on year - 2024: 1,473 (11.5%) and 2023: 1,315 (10.2%). Responses received from the consultation indicated a 75% preference for ‘Option 1’, i.e., a rent increase of 3.84% for 2026/27. 2.39 Tenants were invited to respond by completing an electronic form. A letter was issued to all tenants, emails and SMS messages were sent, posts were added to social media channels, adverts were placed in the local press, posters were placed in key locations, and tenants were supported to complete the consultation when calling or visiting offices. Housing Services staff also held local drop-in events to assist tenants to complete the consultation. 2.40 During the consultation period tenants had the ability to provide their own comments on the proposed rent increase options. The most common response themes included: • Affordability and cost of living concerns • Recognition of positive service experiences • Views on repairs, maintenance and service quality • Support for investment improvements • Concerns over estate and neighbourhood maintenance • Specific requests for upgrades to individual properties • Fairness and inequality concerns (from people paying full rent) • Requests for improved transparency and communication on plans • Lack of trust / consultation scepticism Officers are currently following up on the consultation feedback with individual tenants, where appropriate, to identify any action required. Tenants communication plans are also being reviewed to ensure that sufficient, clear information is provided on how tenants’ rents are allocated to fund investment and maintenance programmes, and the standards of service we strive to deliver. Service Charges 2.41 In addition to rent charges, Housing Services apply a service charge to tenants in 25 sheltered housing units to recover the cost of heating and electricity within their individual homes. It is proposed that these service charges are increased by 5.00%, in line with similar increases in charges proposed for the General Fund for 2026/27. A review of recharges to tenants for energy usage, to ensure they are reflective of energy costs incurred, is currently being undertaken and will determine recommendations for future service charges. Risk Management 2.42 In developing the HRA Business Plan, the risk landscape was reviewed to capture major/ strategic risks and ensure effective mitigation is in place. The Council has an effective system of internal control in place, which is subject to regular review by our internal and external audit functions and regulatory authorities. The following major/strategic risks have been considered in preparing the latest Business Plan: Sustainability of the HRA Business Plan 189
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2.43 The economic climate has had a significant impact on the long-term sustainability of the HRA Business Plan. Key challenges include rental income maximisation, inflation, increased building regulations, and the risk of reductions to external capital grant funding. 2.44 The awaited Social Housing Net Zero Standard poses a significant risk due to the potential for increased costs emerging from the requirements of the finalised Standard, and uncertainty regarding availability of external grant funding. To minimise the risk to the HRA Business Plan, funding has been set aside in the capital programme to allow for some climate-related works to be undertaken in advance of the introduction of the Standard. 2.45 The Council continues to explore opportunities for operational and management efficiencies and reflect any savings identified in the HRA budget to ensure future years rent level increases are kept as low as possible. The Housing Services Transformation Programme was initiated in 2023 and includes projects that will maximise efficiency, ensure value for money and keep future rent increases as low as possible. The four key transformation projects are noted below. • Income maximisation – Maximisation of income through improved rental collection and reduced rent arrears for our current and former tenants. Review of charges to tenants for energy usage to ensure they are reflective of energy costs. • Repairs and maintenance – Assessment of increased repairs demand, review of working practices and a full review of the repairs policy, including tenant/ landlord responsibility, whilst maintaining customer satisfaction. • Void works (volume and cost) – Review of works carried out the void stage, assessing tenant/ landlord responsibility and scope of work undertaken, whilst ensuring new tenant satisfaction is maintained. • Aids and adaptations – Enhanced joint working with the Health and Social Care Partnership to ensure value for money through smarter work practices, reduced wastage and improved customer waiting times. The delivery of the Housing Transformation Programme is supported by £2.00m earmarked funds approved in the 2023 Business Plan update. This allows for investment in areas such as ICT, digitalisation and resourcing to achieve long-term efficiencies and service improvement. The Housing Transformation Board is chaired by the Head of Housing & Public Protection and meets six-weekly to review progress. Progress on Housing transformation projects is reported regularly to the Corporate Transformation Board. 2.46 Benchmarking of rent levels is undertaken annually, alongside national conversations regarding proposed increases. Rent levels are monitored to ensure that the reasons for any variations against the Scottish local authority average are investigated and understood. Housing staff offer advice and assistance to any tenants who are experiencing financial difficulties. Housing Services also invest significant resources in the Money Smart Team, within North Ayrshire Health and Social Care Partnership. The team specifically focuses on welfare/benefits and debt advice, to maximise tenants’ income and support households experiencing financial difficulties. National Housing Emergency 190
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2.47 Pressures on the housing system, nationally and locally, have been well documented. In North Ayrshire, a range of measures are being undertaken across the housing system, including increasing housing supply, managing the demand for homeless people by way of temporary and permanent accommodation, and the ongoing preparation of a Homelessness Prevention Strategy. Senior management oversight of daily demand and occupancy of temporary accommodation is in place. 2.48 Substantial progress has been made in bringing long-term voids back into use and senior officers continually review void levels within temporary accommodation and mainstream housing. The purchase of empty homes is a strategic priority. When opportunities arise to ‘buy back’ a property, consideration is given to housing supply and demand in that area. SHIP delivery - Resource Planning Assumptions 2.49 Volatility in Resource Planning Assumptions over the last two years has created a risk to the delivery of the Strategic Housing Investment Plan. Regular communication is in place with the Scottish Government’s More Homes Division to discuss funding availability and opportunities to utilise slippage in other local authority areas. The Council has an approved ‘shadow programme’ which ensures we are well placed to take advantage of any additional funding, should it become available. The Scottish budget laid in Parliament on 13 January 2026 indicated a 5% uplift in funding for the national affordable housing supply programme. Individual local authority allocations for 2026/27 and beyond are not yet known and will be reflected in the SHIP 2026-31 and Housing Business Plan, once confirmed. Tenant safety 2.50 Compliance with tenant safety is a key priority for the Council. The Council has well- established procedures to ensure compliance with statutory duties and responsibilities in relation to tenant safety. Regular assessments and assurance checks are undertaken to ensure the necessary training, skills, experience, and knowledge are in place across all relevant Council services. The table below shows performance information for each compliance area. 23/24 24/25 25/26 (to 31 Dec 2025) 25/26 projection Percentage properties meeting SHQS 76.93% 94.00% 94.43 94.43 No of times in the reporting year landlord did not meet statutory duty to complete a gas safety check 25 1 0 0 Electrical safety - no of times in the reporting year landlord did not meet the requirement to complete an EICR within five years of the last EICR N/A – new indicator N/A – new indicator 15 15 Number of homes that do not have ‘satisfactory equipment for detecting fire and giving warning in the event of fire or suspected fire’ installed at the year end. N/A – new indicator N/A – new indicator 0 0 191
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Average length of time taken to resolve cases of damp and/or mould by cause N/A – new indicator N/A – new indicator TBC TBC 2.51 The Scottish Housing Quality Standard (SHQS) sets minimum standards for social housing in Scotland, covering tolerable conditions, disrepair, energy efficiency, modern facilities, and safety. The Council remains committed to achieving full compliance through structured investment in existing stock, inspection and maintenance regimes, enhanced access processes, and regular reporting to the Housing Asset Management Board (HAMB), Council Members, and the Scottish Housing Regulator. 2.52 Gas Safety - the Gas Safety (Installation and Use) Regulations 1998 require that gas fittings and flues are maintained in a safe condition for tenants and to carry out safety checks for appliances and flues every year. North Ayrshire Council employs the services of an external contractor to carry out all gas related works, under the management of PMI. In 2024/25 we reported 100% compliance and in 2025/26 we are 100% compliant at 31 December 2025. 2.53 Electrical safety - a five-year testing programme is in place across the housing stock. Monthly performance information regarding electrical testing compliance continues to be reported to the Scottish Housing Regulator, following their concerns regarding the level of failures reported in the Annual Return on the Charter for 2023/24. Officers will continue to prioritise efforts in this area to aim for 100% compliance. 2.54 Fire detection - the Council ensures that smoke, heat and carbon monoxide alarms are tested and are working effectively, prior to letting properties to tenants, and that tenants are aware of their responsibilities to report any faulty alarms. The Council previously upgraded detection equipment across the housing stock, as part of the capital programme. The ongoing inspection and replacement programme aims to ensure compliance with current fire safety standards and legislation; progress is regularly monitored and reported. 2.55 Damp and mould - the Council is currently developing of a comprehensive Condensation, Damp, and Mould Strategy as part of its wider Housing Asset Management Plan and in advance of the introduction of the sections of the Housing Scotland Act 2025 pertaining to Awaab’s Law. This strategy sets out a proactive framework for identifying, assessing, and mitigating risks associated with condensation, dampness, and mould across the housing stock. By establishing a clear review process and implementing targeted measures, the Council aims to safeguard tenant health and wellbeing while ensuring the long‑term quality and resilience of its properties. This approach reflects an ongoing commitment to maintaining high housing standards and addressing issues that may impact the condition or performance of the housing asset base. Achieving value for money 2.56 Within the HRA Business Plan, inflation has been estimated using forecasts for the appropriate indices. In addition, service delivery costs are benchmarked periodically, and a competitive tendering process is undertaken for fixed term contracts. 192
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Income maximisation 2.57 Income collection, rent arrears and void rent loss are monitored through the Housing performance management framework, with delivery of improvement workstreams monitored within the Housing Services Transformation Programme. 2.58 Rent collected, as a percentage of rent due, was 100.98% for 2024/25, which was higher than 2023/24 (95.92%) and higher than the Scottish average of 100.17%. 2021/22 2022/23 2023/24 2024/25 Percentage of total rent due collected in the previous year North Ayrshire Council 99.00% 97.76% 95.92% 100.98% Scottish average 99.28% 99.03% 99.42% 100.17% 2.59 North Ayrshire Council, similar to other landlords, has been impacted by higher rent arrears in recent years. Gross rent arrears, as a percentage of rent due, was 8.03% for 2024/25, which was higher than 2023/24 (7.48%) and higher than the Scottish average of 6.17%. 2021/22 2022/23 2023/24 2024/25 Percentage gross rent arrears of rent due North Ayrshire Council 6.63% 7.14% 7.48% 8.03% Scottish average 6.34% 6.86% 6.74% 6.17% 2.60 The percentage of rent due but not collected through homes being empty was 0.56% for 2024/25, which is lower than 2023/24 (0.72%) and lower than the Scottish average of 1.26%. 2021/22 2022/23 2023/24 2024/25 Percentage of rent due not collected through homes being empty in the last year North Ayrshire Council 0.53% 0.56% 0.72% 0.56% Scottish average 1.42% 1.37% 1.39% 1.26% Data accuracy 2.61 Robust processes are in place to ensure the accuracy and integrity of data, supported by the Housing Innovation and Digital Improvement Team’s system expertise. The Housing Performance Management Framework is subject to ongoing review, and external validation has been procured to strengthen the quality of data submitted through the Annual Return on the Charter. Internal and external audit arrangements further support assurance. Continued improvement activity across the housing teams is enhancing overall data quality, ensuring reliable performance information and improved real time enquiry capability. Treasury management 2.62 The Council has a clear Treasury Management Strategy, reflecting risk management and the wider operating environment. Paragraph 2.64 provides information on HRA debt financing costs, which are considered prudent and affordable within the 30-year HRA Business Plan. Fraud 2.63 There are effective risk management arrangements and procedures in place to minimise the risk of fraud attempts being successful. The Council also takes part in the National Fraud Initiative, to prevent and detect fraud. 193
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Treasury Management 2.64 The Prudential Code for Capital Finance in Local Authorities requires councils to demonstrate that capital investment programmes and the levels of expenditure to be funded by borrowing are affordable, prudent, and sustainable. The Key Performance Indicator which demonstrates this is the ‘ratio of financing costs to the net revenue stream’. For 2024/25 the HRA ratio was 21.3%, compared to the Scottish average of 20.3%. The estimated indicators for the next 3 years are shown below. The rising ratio is indicative of the significant capital investment programme, as outlined in the Strategic Housing Investment Plan, and work to maintain the SHQS and achieve the Scottish Housing Net Zero Standard (SHNZS). The financing costs are considered prudent and affordable within the 30-year HRA Business Plan. Proportion of financing costs to net revenue stream 2025/26 Probable % 2026/27 Estimate % 2027/28 Estimate % 2028/29 Estimate % HRA 24.7% 28.7% 30.4% 31.4% Revenue and Capital Balances 2.65 The HRA revenue budgetary control report to 30 November 2025 presented to the Cabinet meeting on 27 January 2026 advised elected members of projected HRA reserves of £23.640m at 31 March 2026. This includes ‘unearmarked’ reserves of £1.758m, which equates to 2.6% of planned revenue expenditure for 2026/27. This is within the recommended range of 2-4% and provides a degree of security to meet any unforeseen short-term cost pressures. An analysis of the HRA balances is shown in the table below. Balance at 31 March 2025 Funding of Projects Addition/ (Use) of Earmarked Funds Re- Allocation Projected Balance at 31 March 2026 Future Years’ Commitments £m £m £m £m £m £m HRA not earmarked 1.758 - - - 1.758 - HRA earmarked Council House Building Fund 13.213 - 1.499 - 14.712 2.713 Transformation Programme 2.000 - - - 2.000 0.678 Sustainability Fund 5.000 - - - 5.000 4.596 Tenant-led budget 0.170 - - - 0.170 - Total earmarked funds 20.383 - 1.499 - 21.882 7.309 Total HRA Reserves 22.141 1.499 - 23.640 7.309 3. Proposals 3.1 That the Council: 194
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(i) approves the 10-year HRA capital investment programme, as detailed in Appendix 1 (ii) approves the HRA revenue budget for 2026/27, as detailed in Appendix 2 (iii) approves a rent increase of 3.84% in 2026/27 for council houses, garages / lock ups (iv) approves a 5% increase to service charges (v) note the indicative rent increases of 3.84% for the remaining 28 years of the Business Plan. 4. Implications/Socio-economic Duty: Financial 4.1 The proposed rent increase of 3.84% for 2026/27 will result in significant resources to invest in the Council's housing stock, with total planned revenue expenditure of £68.25m. This includes CFCR of £5.58m to support a capital programme totalling £70.10m in 2026/27. Human Resources 4.2 None Legal 4.3 The Council has consulted with tenants on the proposed rent increases in line with the legal requirement to do so. Equality/Socio-economic 4.4 The investment proposals outlined in the report will ensure the housing stock continues to support the needs of our tenants, including those with accessibility issues due to age or disability. 4.5 The investment in our properties to provide safer, warmer, and more fuel-efficient homes will support improvements in the health and wellbeing of all our tenants, including young people and families. Climate Change and Carbon 4.6 The budget proposals include substantial investment which will directly support the delivery of the Council's Environmental Sustainability and Climate Change strategy. Key Priorities 4.7 Delivery of the HRA Business Plan supports the Council Plan strategic priorities: ‘Wellbeing’; ‘Climate Change’; ‘A Sustainable Council’: and ‘Communities and Local Democracy’. It supports the ambitions of the Council’s Regeneration Delivery Plan to drive forward development on strategic regeneration sites, including town centres. There is also evidence that children and young people can benefit from improved cognitive development and a reduction in behavioural issues through living in a more attractive, warmer, and better ventilated environment and the provision of new 195
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affordable housing also supports the Council Plan priority that children and young people experience the best start in life. Ongoing investment in our Arran housing stock will also support our island communities and their economies. Examples include: Wellbeing • £1,148.85m improvements to existing homes, £35.77m towards our Sheltered Housing Reprovisioning Programme and £5.47m towards our Estate Based Regeneration Projects • £136.90m to build 691 units, refurbish 3 units and buy back 60 units by the end of the Strategic Housing Investment Plan 2026-2031 (excluding shadow programme) • Maximising tenants’ access to and uptake of benefits, entitlements and financial advice Communities and Local Democracy • Service delivery through a community-based housing model • ‘No Wrong Door’ approach • Extensive tenant and resident engagement Climate Change • £186.14m investment to tackle climate change and achieve a net-zero housing stock • Solar panels installed on new homes and retrofitting to existing homes • New homes with sustainability features including air source heat pumps, electric vehicle charging points, solar panels etc A Sustainable Council • Robust business planning processes, ensuring affordable, prudent and stable management of the Housing Revenue Account • Housing transformation projects focussing on maximising efficiencies and value for money for our tenants • Maximising value from the use of our assets and focusing our investment on priorities Community Wealth Building 4.8 Through delivery of the SHIP, contractors are required to participate in the Council’s Community Benefits Programme. Development projects aim to deliver new employment opportunities for the area, including jobs and apprenticeships. Islands Communities Impact Assessment 4.9 Tenants on our two island communities were included in the tenant consultation exercise. United Nations Rights of the Child (UNCRC) 4.10 Continued investment in our homes will help to ensure safe, adequate, and stable housing which can support a child's development. Consumer Duty 4.11 The proposed HRA capital investment programme and revenue budget for 2026/27 196
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and the consequential rent levels, will ensure continued investment in our properties; ensuring a balance is struck between the level of services provided, the cost of these services, and affordability for current and prospective tenants and service users. 5. Consultation 5.1 Housing Services carried out a six-week consultation programme with key stakeholders to gather their views of current service provision and priorities for future service delivery. This engagement included meetings with elected members, the Housing Business Plan Group, Tenants and Residents Network and consultation with all tenants. 5.2 A total of 1,701 responses were received - a response rate of 13.2%. This is the highest response to a rent consultation by North Ayrshire Council to date. Responses received from the tenants’ consultation indicated a 75% preference for ‘Option 1’, a rent increase of 3.84% for 2026/27. Tenants were invited to respond by completing an electronic form. A letter was issued to all tenants, emails and SMS messages were sent, posts were added social media channels, adverts were placed in the local press, posters were placed in key locations and tenants were supported to complete the consultation when calling or visiting offices. Housing Services staff also held local drop in events to assist tenants to complete the consultation. DAVID W.HAMMOND Executive Director (Communities & Housing) For further information please contact Yvonne Baulk, Head of Service (Housing & Public Protection), on 01294 324542. Background Papers • Housing Revenue Account (HRA) Capital Investment Report approved by North Ayrshire Council on 12 February 2025 • Strategic Housing Investment Plan 2026-2031 approved by Cabinet on 28 October 2025 • Revenue Budget 2025/26: Financial Performance to 30 November 2025 approved by Cabinet on 27 January 2026 • Capital Programme Performance to 30 November 2025 approved by Cabinet on 27 January 2026 • North Ayrshire Asset Management Strategy & Plans approved by Cabinet on 2 December 2025 197
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DRAFT HRA CAPITAL PLAN 2026/27 TO 2035/36 Appendix 1 Project Description Total Project Budget Prior Year Spend 2025/26 Projected Spend 2026/27 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/35 2035/36 10 Year Programme Total £ £ £ £ £ £ £ £ £ £ £ £ £ £ EXPENDITURE Council House Building Acquisition Houses-Open Market 1,341,270 1,380,615 1,421,130 1,441,636 0 0 0 0 0 0 5,584,651 Bourtreehill Village, Irvine (Redev 7) 10,037,524 248,855 128,176 421,308 3,371,137 5,868,048 0 0 0 0 0 0 0 9,660,493 James MacFarlane, Ardrossan (Redev 8a) 4,784,118 4,514,777 269,341 0 0 0 0 0 0 0 0 0 0 0 Garnock Academy, Kilbirnie (Redev 9) 12,233,264 6,583,095 5,650,169 0 0 0 0 0 0 0 0 0 0 0 Ayrshire Central, Irvine (Redev 12) 49,672,687 7,491,180 16,653,034 14,231,967 11,296,506 0 0 0 0 0 0 0 0 25,528,473 Montgomerie Park, Irvine 49,532,084 7,456,645 250,000 10,528,206 13,291,277 13,243,335 4,762,621 0 0 0 0 0 0 41,825,439 Stanecastle, Irvine (Redev 11a) 7,854,314 7,504,509 349,805 0 0 0 0 0 0 0 0 0 0 0 Fullarton Street, Irvine 13,302,808 63,331 70,000 1,027,925 10,567,831 1,573,721 0 0 0 0 0 0 0 13,169,477 Nursery Place, Ardrossan (Regen 1e) 1,775,219 0 25,000 729,258 1,020,961 0 0 0 0 0 0 0 0 1,750,219 Grange Court, Stevenston 1,532,642 0 25,000 628,184 879,458 0 0 0 0 0 0 0 0 1,507,642 Laburnum Ave, Beith /Newhouse Drive, Kilbirnie 2,953,447 2,696,356 257,091 0 0 0 0 0 0 0 0 0 0 0 King's Arms, Irvine (Regen 1c) 2,982,159 1,248,584 1,733,575 0 0 0 0 0 0 0 0 0 0 0 St Mary's, Largs 6,528,399 6,476,728 51,671 0 0 0 0 0 0 0 0 0 0 0 Redburn Grove 4,436,146 0 0 0 200,000 2,436,146 1,800,000 0 0 0 0 0 0 4,436,146 St Michael's Ph 3, Kilwinning 13,996,769 621,010 0 0 3,424,441 7,934,877 2,016,441 0 0 0 0 0 0 13,375,759 Guthrie Road, Saltcoats 1,859,200 0 0 0 0 0 650,000 1,209,200 0 0 0 0 0 1,859,200 Nelson Street Regeneration 1,079,858 45,630 176,772 857,456 0 0 0 0 0 0 0 0 0 857,456 Internal Management Charges 0 1,510,731 1,630,441 1,679,354 1,729,735 1,764,329 1,799,616 1,409,900 1,438,097 1,466,859 1,496,197 1,526,121 15,940,649 Contingency and Fees 12,779,640 854,719 3,186,799 2,816,575 3,552,547 2,369,000 0 0 0 0 0 0 0 8,738,122 SUB TOTAL - COUNCIL HOUSE BUILDING 197,340,278 45,805,418 30,337,164 34,212,590 50,664,127 36,575,992 12,435,027 3,008,816 1,409,900 1,438,097 1,466,859 1,496,197 1,526,121 144,233,726 Improvements to existing stock Bathroom Programme 0 Wet Room - Void 394,504 406,339 418,529 431,085 444,017 457,338 471,058 485,190 499,745 514,738 4,522,543 Bathrooms - Void 499,988 514,990 530,438 546,350 562,743 579,624 597,013 614,923 633,370 652,372 5,731,811 Wet Room - Planned 131,501 135,446 139,510 143,695 169,149 892,897 919,684 947,275 975,693 1,029,475 5,484,325 Bathrooms - Planned 304,994 314,142 323,567 333,275 332,017 1,756,261 1,808,950 1,863,217 1,919,116 1,989,735 10,945,274 Secondary Bathrooms Planned 12,518 12,893 13,280 13,679 14,089 50,791 52,314 53,884 55,500 57,165 336,113 Electrical Rewiring 687,988 695,043 715,894 737,371 759,492 1,568,505 1,615,561 1,664,027 1,713,948 1,765,367 11,923,196 Heating 2,573,780 2,650,994 2,730,524 2,812,439 2,896,813 2,959,260 3,048,038 3,139,479 3,233,664 3,330,674 29,375,665 Kitchens 2,123,198 2,186,894 2,252,501 2,320,076 2,389,679 4,502,819 4,637,903 4,777,041 4,920,351 5,067,962 35,178,424 Kitchens - Void 1,114,540 1,147,976 1,182,415 1,217,888 1,254,424 1,292,057 1,330,819 1,370,743 1,411,866 1,454,222 12,776,950 Roofing 1,362,876 1,383,666 1,478,590 1,451,184 1,693,154 1,787,285 1,840,904 1,915,055 1,972,506 2,168,653 17,053,873 Traditional rendering 2,500,362 2,527,422 2,644,606 2,765,507 2,785,328 3,583,798 3,667,468 3,802,052 3,914,909 4,382,184 32,573,636 EWI 599,236 637,123 1,668,517 675,924 696,201 1,917,462 1,777,256 1,830,574 1,885,491 1,942,056 13,629,840 Window Replacement 850,052 875,554 901,820 928,875 956,741 3,428,444 3,531,297 3,637,236 3,746,353 3,873,493 22,729,865 Smoke Detector Programme 1,091,337 1,124,078 1,157,800 1,192,534 1,228,310 589,779 607,472 625,696 644,467 663,801 8,925,274 Energy Efficiency 2,180,905 1,140,854 1,175,079 1,210,332 1,246,642 1,284,041 1,322,562 1,362,239 1,403,106 1,445,199 13,770,959 Path Finder Project 0 0 0 0 0 0 0 0 0 0 0 Solar Panels 3,112,160 3,205,525 3,301,690 3,400,741 3,487,600 3,803,076 3,917,168 4,034,683 4,155,724 4,297,974 36,716,341 HRA Slippage (1,073,280) 0 0 0 0 0 0 0 0 0 (1,073,280) SUB TOTAL - IMPROVEMENTS TO EXISTING STOCK 18,466,659 18,958,939 20,634,760 20,180,955 20,916,399 30,453,437 31,145,467 32,123,314 33,085,809 34,635,070 260,600,809 Other Capital works Estate Based Regeneration 2,700,237 1,700,018 1,068,500 0 0 0 0 0 0 5,468,755 Lift Replacement 0 0 0 0 0 0 0 0 0 0 Sheltered Housing Units 14,724,260 13,043,873 4,599,824 3,326,690 78,132 0 0 0 0 35,772,780 SUB TOTAL - OTHER CAPITAL WORKS 17,424,497 14,743,891 5,668,324 3,326,690 78,132 0 0 0 0 0 41,241,535 TOTAL EXPENDITURE 70,103,746 84,366,957 62,879,076 35,942,672 24,003,347 31,863,337 32,583,564 33,590,173 34,582,006 36,161,191 446,076,070 Income Affordable Housing Contribution (1,201,583) (1,530,283) (319,604) (753,421) (212,174) 0 0 0 0 0 (4,017,065) CFCR (5,580,084) (5,284,249) (5,447,318) (7,149,622) (7,335,145) (10,258,113) (10,580,571) (12,201,374) (13,054,058) (15,478,776) (92,369,310) Capital Grants (12,872,329) (15,887,954) (16,087,322) (5,620,770) 0 0 0 0 0 0 (50,468,375) Prudential Borrowing (48,869,522) (59,217,571) (40,473,542) (21,830,493) (15,035,424) (21,605,224) (22,002,993) (21,388,799) (21,527,948) (20,682,415) (292,633,931) Use of Reserves (1,580,228) (2,446,900) (551,290) (588,366) (1,420,605) 0 0 0 0 0 (6,587,389) TOTAL INCOME (70,103,746) (84,366,957) (62,879,076) (35,942,672) (24,003,347) (31,863,337) (32,583,564) (33,590,173) (34,582,006) (36,161,191) (446,076,070) Total Project Expenditure 0 0 0 70,103,746 84,366,957 62,879,076 35,942,672 24,003,347 31,863,337 32,583,564 33,590,173 34,582,006 36,161,191 446,076,070 Total Project Income 0 0 0 (70,103,746) (84,366,957) (62,879,076) (35,942,672) (24,003,347) (31,863,337) (32,583,564) (33,590,173) (34,582,006) (36,161,191) (446,076,070) Total Net Expenditure 0 0 0 0 0 0 0 0 0 0 0 0 0 0 198
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Draft HRA Revenue Budget 2026/27 Appendix 2 Cost Type 2026/27 (£'000s) Income Rents: Council houses (66,193) Other rents (355) Utilities credit billling / Feed-in Tariff / RHI income (165) Other Income: External recharges (872) Internal recharges (654) Health resource funding (9) Gross Income (68,248) Expenditure Employee Costs 6,045 Property Costs: Responsive repairs 8,916 Void expenditure 4,576 Planned & cyclical maintenance 9,312 Infrastructure improvements 292 Aids & adaptations 1,792 Other property costs 5,210 Supplies and Services 376 Transport Costs 18 Administration Costs 955 Central Support Costs 2,376 Payments to Other Agencies, Bodies and Persons 2 Internal Services 4,308 Capital Financing: CFCR 5,580 Principal repayments 7,346 Loans Fund interest 11,488 Loans Fund expenses 156 Revenue interest (500) Gross Expenditure 68,248 Draft HRA Revenue Budget 2026/27 199
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PROPOSED 2026/2027 WEEKLY CHARGES Appendix 3 Element/ Attribute code Description VAT (%) 2025/26 weekly (excl VAT) 2025/26 weekly (incl VAT) % increase 2026/27 weekly (excl VAT) 2026/27 weekly (incl VAT) RENT0F Rent for 0 bed flat 0% £70.66 £70.66 3.84% £73.37 £73.37 RENT0H Rent for 0 bed house 0% £70.66 £70.66 3.84% £73.37 £73.37 RENT1F Rent for 1 bed flat 0% £89.29 £89.29 3.84% £92.72 £92.72 RENT1H Rent for 1 bed house 0% £89.81 £89.81 3.84% £93.26 £93.26 RENT2F Rent for 2 bed flat 0% £90.65 £90.65 3.84% £94.13 £94.13 RENT2H Rent for 2 bed house 0% £91.21 £91.21 3.84% £94.71 £94.71 RENT3F Rent for 3 bed flat 0% £92.01 £92.01 3.84% £95.54 £95.54 RENT3H Rent for 3 bed house 0% £92.50 £92.50 3.84% £96.05 £96.05 RENT4F Rent for 4 bed flat 0% £93.27 £93.27 3.84% £96.85 £96.85 RENT4H Rent for 4 bed house 0% £93.79 £93.79 3.84% £97.39 £97.39 RENT5H Rent for 5 bed house 0% £95.18 £95.18 3.84% £98.83 £98.83 RENT6H Rent for 6 bed house 0% £96.48 £96.48 3.84% £100.18 £100.18 GARGCOUN Garage site Council 0% £3.67 £3.67 3.84% £3.81 £3.81 GARGVAT Garage site with VAT 20% £3.67 £4.40 3.84% £4.57 £5.48 LUPRENT Lockup Council 0% £7.26 £7.26 3.84% £7.54 £7.54 LUPRENTVAT Lockup with VAT 20% £7.26 £8.71 3.84% £9.04 £10.85 HEAT / H9 Heating charge (H9) 0% £15.40 £15.40 5.00% £16.17 £16.17 SHEL / S1 Amenity charge (S1) 0% £11.11 £11.11 5.00% £11.67 £11.67 SHEL / S2 Amenity charge (S2) 0% £11.77 £11.77 5.00% £12.36 £12.36 SHEL / S3 Amenity charge (S3) 0% £12.92 £12.92 5.00% £13.57 £13.57 SHEL / S4 Amenity charge (S4) 0% £13.66 £13.66 5.00% £14.34 £14.34 SHEL / S7 Amenity charge (S7) 0% £16.45 £16.45 5.00% £17.27 £17.27 SHEL / S8 Amenity charge (S8) 0% £17.09 £17.09 5.00% £17.94 £17.94 SHEL / WARD Amenity charge (Ward) 0% £33.82 £33.82 5.00% £35.51 £35.51 TRAV_SITE Traveller site rental charge 0% £105.85 £105.85 0.00% £105.85 £105.85 200
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RENT CONSULTATION 2026/2027 FORM APPENDIX 4 Rent Level Options for 2026/2027 The survey will take approximately 4 minutes to complete. This is to be completed by all North Ayrshire Council Tenants only. Introduction North Ayrshire Council consults tenants annually on proposed rent levels for the forthcoming financial year. This is your opportunity to have your say on how much rent you will pay for 2026/27. We remain fully committed to keeping your rent as affordable as possible, while continuing to deliver on our responsibilities as your landlord, your priorities as a tenant, and ensuring high levels of tenant satisfaction. Our rent levels are currently amongst the lowest in Scotland and remain the most affordable social housing option for residents in North Ayrshire.Average rents in North Ayrshire, by landlord, in 2025/26 are: • North Ayrshire Council - £91.16 • Scottish Average: Local Authorities - £94.52 • Cairn Housing Association - £97.43 • Cunninghame Housing Association - £111.19 • Riverside Scotland - £107.60 • Scottish Average: Registered Social Landlords - £111.11 • Scottish Average: all landlords: £102.18 The 2026/27 rent setting consultation period will run from 5th December 2025 to 16 January 2026. We will use your feedback to prepare a report for a meeting of the Council on 11 February 2026, when elected members will consider the housing budget and proposed rent increase for Council tenants for 2026/27. We will write to inform you what your new rent charge for 2026/27 will be, at least four weeks in advance of any changes being implemented in April 2026. If you're experiencing financial difficulties, there is a cost of living support section on the North Ayrshire Council website that you may find useful (https://www.north-ayrshire.gov.uk/cost-of- living). All information provided in this survey will be processed in line with our published Privacy Policy Statement for more information, please refer to our website (https://www.north- ayrshire.gov.uk/privacy-policy). 1) Are you a North Ayrshire Council Tenant o Yes o No Next 201
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RENT CONSULTATION 2026/2027 FORM APPENDIX 4 Challenges facing our Housing Revenue Account (HRA) We are fully committed to keeping rent increases as low and affordable as possible for our tenants. However, our Housing Revenue Account (HRA), the ring-fenced fund which uses the rent you pay to provide all of your housing services has experienced some significant challenges, such as; • rising costs to carry out repairs, maintenance and major investment works, due to higher prices for contractors and materials • borrowing costs to fund future capital projects • rising inflation affecting other running costs • increased housing quality standards • an increase of tenants who are facing financial hardship • additional budget requirements for storm damage, timber and dampness works, fire mitigation works, environmental maintenance, maintenance of non-adopted roads, paths and street lighting. These pressures have been reflected in our 30-year business plan and the proposed rent options for next year. Back Next Ensuring value for money for our tenants We realise these are financially challenging times for our tenants. We have carried out a comprehensive budget review of the HRA and implemented a number of sustainable efficiencies, such as: • changing our approach to gutter cleaning • ensuring tenants are re-charged for works that they are responsible for • making efficiencies in managing empty homes • identifying changes to ensure we maximise the amount of rent and other income we collect These efficiency measures have helped to keep the proposed rent increase for 2026/27 and future years as low as possible and minimise the financial impact on our tenants, while protecting investment in maintenance, energy efficiency projects, refurbishment and new-build Council housing. Back Next 202
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RENT CONSULTATION 2026/2027 FORM APPENDIX 4 Investment and Improvement Two rent increase options have been developed for your consideration. Both options include investment in key priorities over the life of the 30- year business plan, such as: • £1,249m Improvements to existing properties • £188m Investment to tackle climate change and achieve net-zero • £125m To build 586 homes, refurbish 3 homes and purchase 50 second-hand homes by 2031 • £36m Sheltered Housing Reprovisioning Programme over 5 years • £4m To complete the original £10m Estate Based Regeneration Programme In 2026/27 we plan to complete the following planned capital improvements: • 196 bathrooms • 299 electrical rewires • 15 external wall insulations • 624 heating systems/boilers • 545 kitchens • 139 roofs/re-rendering • 1,038 smoke detectors • 345 solar PV installations • 68 windows Our 10 year programme (2026/27 to 2035/36) includes plans to complete the following planned capital improvements: • 3,680 bathrooms • 3,747 electrical rewires • 200 external wall insulations • 8,648 heating systems/boilers • 7,167 kitchens • 1,624 roofs/re-rendering • 13,271 smoke detectors • 2.965 solar PV installations • 3,455 windows Back Next 203
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RENT CONSULTATION 2026/2027 FORM APPENDIX 4 What are the rent level options for 2026/27? The two proposed options are set out below, along with information on what each option will allow us to do. Option 1 Increase rents by 3.84% - an average increase of £3.50 per week • This maintains current service levels, investment in existing homes, and planned development of new build homes Option 2 Increase rents by 4.84% - an average increase of £4.41 per week • As option 1, plus additional £7.5m for expansion of our estate-based regeneration programme. The indicative average rent increase for each of the remaining 28 years of our 30-year plan is currently 3.84%. Back Next 204
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RENT CONSULTATION 2026/2027 FORM APPENDIX 4 Affordability and weekly rent charges It is important that we recognise the impact of rents and proposed rent increases on tenants' household income. We have to consider affordability to tenants alongside our obligations as a landlord to maintain the quality of your home. The weekly rent charge for 2026/27 for each proposed option, based on property size, would be: Option 1 - Increase rents by 3.84%, an average increase of £3.50 per week • Bedsit flat: £73.37 • Bedsit house: £73.37 • 1-bedroom flat: £92.72 • 1-bedroom house: £93.26 • 2-bedroom flat: £94.13 • 2-bedroom house: £94.71 • 3-bedroom flat: £95.54 • 3-bedroom house: £96.05 • 4-bedroom flat: £96.85 • 4-bedroom house: £97.39 • 5-bedroom house: £98.83 • 6-bedroom house: £100.18 Option 2 - Increase rents by 4.84%, an average increase of £4.41 per week (As option 1, plus additional £7.5m for expansion of our estate-based regeneration programme) • Bedsit flat: £74.08 • Bedsit house: £74.08 • 1-bedroom flat: £93.61 • 1-bedroom house: £94.16 • 2-bedroom flat: £95.04 • 2-bedroom house: £95.62 • 3-bedroom flat: £96.46 • 3-bedroom house: £96.98 • 4-bedroom flat: £97.78 • 4-bedroom house: £98.33 • 5-bedroom house: £99.79 • 6-bedroom house: £101.15 Back Next 205
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RENT CONSULTATION 2026/2027 FORM APPENDIX 4 Vote for your preferred rent increase option Please choose your preferred option below: Option 1 Increase rents by 3.84% - an average increase of £3.50 per week • This maintains current service levels, investment in existing homes, and planned development of new build homes Option 2 Increase rents by 4.84% - an average increase of £4.41 per week As option 1, plus additional £7.5m for expansion of our estate-based regeneration programme. The indicative average rent increase for each of the remaining 28 years of our 30-year plan is currently 3.84%. 2) What is your preferred rent increase for 2026/27? o Option 1 – Increase rents by 3.84%, an average increase of £3.50 per week o Option 2 - Increase rents by 4.84%, an average increase of £4.41 per week 3) Do you receive financial support for your housing costs, such as Housing Benefit, Universal Credit or Discretionary Housing Payments? o I don’t receive any support and pay all my rent myself o I receive some support and pay part of my rent myself o I receive full support and don’t pay rent 4) When making decisions about the rent you pay, what level of priority do you think should be given to each of the following: high medium low Improving the quality of your home Improving the quality of repairs and maintenance carried out in your home Improving your neighbourhood and the place where you stay Improving the tenancy support services we provide, to help you to remain in your home Improving opportunities for you to get involved in our decision making processes 5) Please share any feedback about the rent options for 2026/2027 in the box below Enter your answer Back Next 206
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RENT CONSULTATION 2026/2027 FORM APPENDIX 4 Enter the prize draw or request housing support Each tenant who takes part in this consultation has the option to enter a prize draw to win one of six £50 shopping vouchers. You can also tell us if you would like any extra support to help pay your rent or feel like you could benefit from some extra help with your tenancy. 6) Please tick the boxes that apply to you. o I would like to be entered into the prize draw for a £50 shopping voucher o I would like to join the Tenants' Panel o I would like to be involved in our Tenants' Voice (Tenants aged 16-25 Back Next 207
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RENT CONSULTATION 2026/2027 FORM APPENDIX 4 Please provide your contact details Please leave your details below so that we can contact you if we need to. 7) Name Enter your answer 8) Address Enter your answer 9) Postcode Enter your answer 10) Telephone number Enter your answer 11) Email address (optional) Enter your answer 12) Did you receive support from a Council staff member to complete this survey? o Yes o No 13) Please provide the staff member’s name Enter your answer 14) Please select the staff member's team o Dalry Housing Office o Irvine Housing Office o Kilbirnie Housing Office o Kilwinning Housing Office o Largs Housing Office o Three Towns Housing Office o Common Housing Register Team o Customer Contact Centre o Housing Support Team o Refugee Support Team o Strategy & Development Team o Tenant Participation Team o Money Smart Team Back Next 208
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RENT CONSULTATION 2026/2027 FORM APPENDIX 4 Almost done… You are about to submit your response. By clicking 'Submit' you give us permission to analyse and include your response in our results. After you click Submit, you will no longer be able to go back and change any of your answers. Assistance with Rent Account All rent enquiries should be discussed with local area housing staff. I have attached the contact details for ease of contacting the relevant office relating to your address. Housing offices Financial Assistance The Money Smart Team directly delivers welfare rights and a debt advice service to Council tenants across North Ayrshire, with the aim of improving the income and living standards of individual tenants and communities. Email: moneysmart@north-ayrshire.gov.ukTelephone: 01294 310000 option 1 Housing Support Information Housing Support aims to prevent tenants from losing their tenancies and alleviate homelessness by helping them to develop the skills they need to manage their own home. Email: housing-info-advice@north-ayrshire.gov.ukTelephone: 01294 314600 Home Contents Insurance North Ayrshire Council insure the structure of your home but the cover does not include what is inside it, such as your furniture and personal belongings. Replacing the contents of your home could prove very expensive. By purchasing Tenants Contents Insurance, this means your personal belongings are insured against events including: • Fire • Theft • Flooding/Escape of Water • Accidental damage (if selected) The Council work with the UK's largest insurer to offer home contents insurance that can be paid in weekly or monthly instalments. Unlike some insurance policies, there are no excesses so you will not have to pay anything in the event of a claim. To apply online please do so via link Home Contents Insurance (north-ayrshire.gov.uk) If you wish more information on Home Contents Insurance, please contact the Home Contents Insurance Team Email: homecontentsinsurance@north-ayrshire.gov.ukTelephone: 01294 324611 Back Submit 209
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RENT CONSULTATION 2026/2027 - RESULTS APPENDIX 5 Total number of responses: 1,701 Letters issued December 2025: 12,923 Percentage of tenant responses: 13.16% Option 1 Increase rents by 3.84% - an average increase of £3.50 per week • This maintains current service levels, investment in existing homes, and planned development of new build homes Actual responses: 1,280 Percentage of responses: 75.25% Option 2 Increase rents by 4.84% - an average increase of £4.41 per week • As option 1, plus additional £7.5m for expansion of our estate-based regeneration programme. Actual responses: 421 Percentage of responses: 24.75% 210