Agenda Document Pack - Finance and Resources Committee - 19/11/2025
North Lanarkshire Council · 19 November 2025
Back to Finance and Resources Committee — 19 November 2025 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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Clerk Name: Karen Swan Clerk Telephone: 07919 730272 Clerk Email: committee@northlan.gov.uk 10 November 2025 Members of the Finance and Resources Committee Chief Executive’s Office Rachel Blair Chief Officer (Legal & Democratic) Civic Centre, Windmillhill Street, Motherwell ML1 1AB www.northlanarkshire.gov.uk Notice is given that a Meeting of the Finance and Resources Committee is to be held in the Council Chamber, Civic Centre, Windmillhill Street, Motherwell, ML1 1AB on Wednesday, 19 November 2025 at 10:00 AM which you are requested to attend. The agenda of business is attached. Rachel Blair Chief Officer (Legal & Democratic) Members : B McCulloch, P McDade, A Ballinger, A Beveridge, M Boyd, G Brennan, T Carragher, C Costello, S Coyle, K Duffy, T Fisher, J Hume, D Johnston, T Johnston, P Kelly, A Khan, K Larson, G Lennon, J Logue, H Loughran, F MacGregor, A Masterton, R McKendrick, J McLaren, C McManus, M McPake, J McPhilemy, L Nolan, P Patton, C Quigley, L Roarty, G Robinson, W Shields, A Smith, L Stubbs, R Sullivan, A Thomas, S Watson, C Williams, G Woods. Page 1 of 332
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Agenda 1 Declarations of Interest In Terms of the Ethical Standards In Public Life Etc. (Scotland) Act 2000 Operational 2 Taxi and Private Hire Licensing - Policy Review and Service Improvement Submit report by the Chief Officer (Legal and Democratic) seeking approval to initiate a comprehensive review of taxi and private hire licensing across North Lanarkshire. 7 - 90 3 Freedom of Information (FOI) and Environmental Information (EIR) Annual Freedom Report Financial Year 2024-25 Submit report by the Chief Officer (Legal and Democratic) providing an overview of Freedom of Information (FOI) and Environmental Information (EIR) requests received by North Lanarkshire Council during the 2024/25 financial year. 91 - 104 4 Land Reallocation - Former St Brigid's School, Newton Drive, Newmains Submit report by the Chief Officer (Assets and Procurement) seeking approval for the transfer at land of a site on Newton Drive, Newmains. 105 - 110 5 Land Reallocation - Laburnum Road, Viewpark, G71 5AB Submit report by the Chief Officer (Assets and Procurement) seeking approval for the transfer of land at a site on Laburnum Road, Viewpark. 111 - 116 6 Employer Supported Volunteering Policy and Procedure Submit report by the Chief Officer (People Resources) seeking approval of the Employer Supported Volunteering Policy and Procedure. 117 - 134 Performance Page 3 of 332
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7 North Lanarkshire Properties LLP - Performance Indicators in Financial Year 2025-26 for Q1 and Financial Performance as at 18 July 2025 Submit report by the Chief Officer (Assets and Procurement) providing details of North Lanarkshire Properties LLP’s (NLP LLP) performance in financial year 2025/26 for Q1 and provides an update on significant events and service delivery highlights during the reporting period. 135 - 152 8 Latest Performance Results - Assets and Procurement Submit report by the Chief Officer (Assets and Procurement) providing an update on the suite of performance indicators used by Assets and Procurement. 153 - 166 9 Lastest Performance Results - Finance and Technology Submit report by the Chief Officer (Finance and Technology) providing an update on the suite of performance indicators used by Finance and Technology. 167 - 180 Financial 10 Revenues and Benefits Update Submit report by the Chief Officer (Finance and Technology) providing an update on the performance within the Revenues and Benefits functions of Finance and Technology as at 30 September 2025. 181 - 188 11 Revenue Monitoring Report Council Summary - 1 April 2025 to 12 September 2025 Submit report by the Chief Officer (Finance and Technology) providing an update on the overall financial position for the General Fund Account, Housing Revenue Account and Adult Health and Social Care, for the financial year to 31 March 2026. 189 - 200 12 Revenue Budget Monitoring Report - Chief Executive's Service - 01.04.25- 12.09.25 (Period 6) Submit report by the Chief Officer (Finance and Technology) providing a summary of the Chief Executive’s Service financial performance for the Period 1 April 2025 to 12 September 2025 (Period 6). 201 - 212 Page 4 of 332
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13 Capital Programme 2025/26 Monitoring Report Submit report by the Chief Officer (Finance and Technology) providing an update on the 2025/26 resources and expenditure for the Council's Strategic Capital Investment Programme. 213 - 224 14 Chief Executives Service - Capital Monitoring Report 1 April to 12 September 2025 (Period 6) Report by the Chief Officer (Finance and Technology) highlighting the financial performance and projected outturn of 2025/26 Chief Executive Service’s capital programme for the period ended 12 September 2025 (Period 6). 225 - 232 15 Treasury Management Monitoring Report for quarter ended 30 September 2025 Submit report by the Chief Officer (Finance and Technology) informing of the quarterly Treasury Management activity for the period from 1 July to 30 September 2025 together with the mandatory treasury and prudential indicators. 233 - 250 16 Review of Financial Regulations Submit report by the Chief Officer (Finance and Technology) providing the outcome of the annual review of the Financial Regulations and Scheme of Financial Delegation. 251 - 290 Contracts 17 Contract Award for Provision of ServiceNow (SNOW) Licensing, Support and Development Submit report by the Chief Officer (Finance and Technology) seeking approval to award a contract for the Provision of ServiceNow (SNOW) Licensing, Support and Development Agreement to Computacenter. 291 - 298 18 Contract Award for Multi-Functional Device Managed Print Solutions Submit report by the Chief Officer (Finance and Technology) advising of action taken to award a contract for Multi-Functional Devices (the 'Agreement') to Canon (UK) Limited. 299 - 308 Page 5 of 332
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19 Contract Award for Revenue, Benefits and Workflow System Submit report by the Chief Officer (Finance and Technology) advising of action taken to award a contract for a Revenue, Benefits & Workflow System to Civica (UK) Limited. 309 - 316 20 Contract awarded below Committee approval threshold Submit report by the Chief Officer (Assets and Procurement) notifying of the Contracts Awarded since the last meeting of the Committee with a value below the financial threshold requiring approval. 317 - 324 21 Contracts with Variations Submit report by the Chief Officer (Assets and Procurement) updating on contracts completed between 1st April 2025 and 1st October 2025, where the expenditure levels have exceeded the contract award levels by greater than 5% or £25,000. 325 - 332 EXCLUSION OF PUBLIC The Sub-Committee is asked to consider passing the following resolution: "That under Section 50A(4) of the Local Government (Scotland) Act 1973, the public be excluded from the meeting for the following items of business on the grounds that it involves the likely disclosure of exempt information as defined in paragraph 9 of Part 1 of Schedule 7A of the Act". 22 Land Sale Submit report by the Chief Officer (Assets and Procurement) regarding the sale of a property and associated land. 23 Land Acquisition Submit report by the Chief Officer (Assets and Procurement) seeking approval for the acquisition of land for the inclusion of the new build programme. Page 6 of 332
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North Lanarkshire Council Report Does this report require to be approved? ☒ Yes ☐ No Ref REB/JR Date 19/11/25 From Rachel Blair, Chief Officer (Legal and Democratic) E-mail BlairR@northlan.gov.uk Telephone 07958166105 Executive Summary This report seeks the Finance and Resources Committee’s authority to initiate a comprehensive review of taxi and private hire licensing across North Lanarkshire. The review aims to modernise existing policies and procedures to ensure a fit-for-purpose, efficient, and responsive licensing regime that meets contemporary safety standards and supports both operators and the public. The report also seeks approval to commence a structured consultation and engagement process with key stakeholders, including the taxi trade, Police Scotland, community councils, community groups, and organisations representing individuals with physical or sensory disabilities. This process will gather insights and proposals for reform, guiding the development of updated licensing policies and procedures. A key component of the review includes commissioning a demand survey to assess the current provision and utilisation of taxi and private hire services across North Lanarkshire. Findings from the survey, together with consultation feedback, will inform the preparation of draft policies, ensuring that new and revised licensing arrangements are proportionate, evidence-based, and aligned with public and industry needs. Recommendations It is recommended that Finance and Resources Committee: (1) Agrees that the Chief Officer (Legal and Democratic) undertake a comprehensive review of all existing taxi and private hire licensing policies and procedures operating within North Lanarkshire; (2) Agrees that the Chief Officer (Legal and Democratic) conducts consultation with key stakeholders, including the local trade, Police Scotland, and local communities, on current policies and procedures, seeking proposals for reform and the development of new policies where appropriate; (3) (3) Agrees that authority is delegated to the Chief Officer (Legal and Democratic) and the Business Manager (Fleet) to approve new vehicles use as taxis and private hire cars, and to include such vehicles on the Council’s approved list of vehicles, Finance and Resources Taxi and Private Hire Licensing: Policy Review and Service Improvement Item 2 Page 7 of 332
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including purpose-built or purpose-adapted vehicles, as specified in the Taxi and Private Hire Vehicle Specifications; (4) Agrees that the Chief Officer (Legal and Democratic) commissions a demand survey to evaluate the provision and usage of taxi and private hire vehicle services across North Lanarkshire; (5) Agrees that the Chief Officer (Legal and Democratic) prepares draft new and revised taxi and private hire licensing policy and procedure documents, taking into account consultation feedback and survey findings; and (6) Approves the submission of all taxi and private hire licensing applications, objections, representations, and notifications of a change of licence by electronic means, in accordance with the requirements of the Civic Government (Scotland) Act 1982. The Plan for North Lanarkshire Priority Improve economic opportunities and outcomes Ambition statement (5) Grow and improve the sustainability and diversity of North Lanarkshire's economy Programme of Work Statutory / corporate / service requirement 1. Background 1.1 Taxi and private hire licensing in North Lanarkshire is regulated under the Civic Government (Scotland) Act 1982 (“the 1982 Act”). 1.2 That legislation is now over 40 years old and the current governance and processing arrangements in relation to taxi and private hire licensing require to be reviewed and updated in order to support a modern, fit for purpose and effective licensing regime. Taxi and private hire licensing is an important regulatory function carried out by the Council, and one which provides vital public safety assurances. In addition, an effective and well licensed trade contributes to the social and economic wellbeing of the area. 2. Report 2.1 The trade has faced significant challenges in recent years such as the COVID-19 pandemic and the emergence of app-based booking platforms. People's leisure habits have changed and given the shifting landscape, it is appropriate that the Committee reviews the existing policies and procedures of the licensing service. There is a growing view that existing processes are presently unable to respond quickly enough to the growing needs of the trade and public and that new policies and procedures are also required in order to deal with emerging new technology. 2.2 Consideration will be given to what changes and new policies are necessary to support a modern, fit-for-purpose licensing service as well as ensuring that all new policies are both necessary and proportionate. In order to do that, it is proposed to consult with all internal and external stakeholders including community protection, Police Scotland, community councils, other interested community groups, stakeholder organisations representing members of the community with physical and sensory disabilities and, of course, the local trade. Gathering the widest possible range of views will help the Page 8 of 332
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Committee to ensure that the policies and procedures that are ultimately approved strike the right balance for both operators and passengers. 2.3 A comprehensive review of all taxi and private hire licensing policies and processes is proposed, initially focusing on the following areas: • Vehicle specifications for taxis and private hire vehicles; • Commissioning of a demand survey to assess unmet demand and overprovision; • Electronic communication and application processes; • CCTV use within vehicles; and • Licensing applications and fee structures. 2.4 Additional areas for review may be identified as the process progresses, with updates reported to Finance and Resources Committee. Taxi and Private Hire Vehicle Specification 2.5 The Council’s current specifications for taxi and private hire vehicles were most recently approved by on 28 May 2020 and are set out at Appendices 1 and 2 to this report. These specifications took account of the standard of vehicles available at that time, and it has since been argued that there is a need for the specifications to be updated. Modern vehicles continue to develop and are built to increasingly higher safety and quality standards. Suppliers of taxis are regularly in touch with officers to ascertain if new vehicles would be acceptable to the Council and cases of non-compliant vehicles seeking an extension of the specified age limit or approval on other matters are regularly coming before the Council’s Regulatory Committee. 2.6 The specified age limit for taxis and private hire vehicles is a particularly high-profile issue and officers have prepared a note for Members setting out how the Council’s current policy on age limits compares with other local authorities. This note is attached at Appendix 3 to this report. Members will note that preliminary engagement with the trade has revealed concerns over the financial impact of the current vehicle age limits. Many respondents noted that the rising cost of living, combined with the expense of purchasing a suitable used vehicle, creates a significant burden, especially for older drivers who may struggle to secure a car on finance. 2.7 Following on from initial engagement with the trade, authority is now sought to undertake a full consultation on this issue (as well as the other issues identified by the wholesale review into licensing policy and processes). A number of different proposals for consultation are set out in part 5 of Appendix 3. It is proposed to utilise all methods of consultation, with the exception of exhibitions and roadshows which would not be possible to organise in a short time-scale. Public meetings would however still be recommended as an opportunity for stakeholders to come together and put forward proposals for discussion. Approval of New Vehicles 2.8 Appendix 1 to this report sets out the taxi specification, including a list of approved purpose-built and purpose-adapted vehicles (commonly referred to as “black hackney cabs”) at paragraph one. The specification at paragraph three applies to saloon vehicles only and as a result, only the purpose-built and purpose-adapted vehicles referred to in paragraph one are capable of being licensed by officers at this time. Similarly, in the private hire specification set out at Appendix 2 there is a list of approved Page 9 of 332
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wheelchair accessible vehicles. Only the wheelchair accessible vehicles specified on that list are capable of being licensed by officers at this time. 2.9 The vehicle industry is constantly evolving, and officers consider that there are additional makes and models being produced that are safe and suitable for use as taxis or private hire vehicles. Recently, several licence holders have submitted vehicles for testing that are not on the current approved list; however, officers are of the view that these vehicles are safe and appropriate for licensing. 2.10 On 28 May 2020, authority was delegated to the Head of Legal and Democratic Solutions, now the Chief Officer (Legal and Democratic), to update the specifications to include any additional wheelchair-accessible vehicles recommended for approval by the Council’s Fleet Resource Manager, now the Business Manager (Fleet). Despite this, there remains no clear process, outside of a full review of the taxi specification, for adding new purpose-built or purpose-adapted vehicles to the approved list. 2.11 In practice, specific vehicle applications have been referred to the Regulatory Committee for decisions on approval. This approach is unsatisfactory, as the Committee can only consider cases individually, meaning that multiple applications involving the same vehicle may repeatedly come before the Committee. 2.12 To address this, it is recommended that authority be delegated to the Chief Officer (Legal and Democratic) and the Business Manager (Fleet)to approve new vehicles for use as taxis or private hire vehicles. These vehicles would then be added to the Council’s approved list of purpose-built or purpose-adapted vehicles contained in the Taxi Specification. This delegation will enable a more responsive licensing service and reduce the need for repetitive Regulatory Committee consideration. Demand Survey 2.13 North Lanarkshire Council currently operates a policy limiting the number of taxi licences issued within its three licensing zones, under the authority granted by Section 10(3) of the Civic Government (Scotland) Act 1982. This power may only be exercised where the Council is satisfied that there is no ‘significant unmet demand’ for taxis. Similarly, Section 10(3A) of the 1982 Act provides the Council with the authority to restrict the number of private hire car licences. Introduced in 2017, this power can only be used where there is overprovision of private hire services in the locality. To date, the Council has not adopted any policy restricting private hire licences. All such policies and positions must be subject to regular review. 2.14 North Lanarkshire Council last formally reviewed its taxi licensing position in August 2010. The current maximum number of taxi licences permitted in each area is: • 55 licences in the North Area; • 238 licences in the Central Area; and • 182 licences in the South Area. 2.15 The number of taxi licences currently issued is: • 48 licences in the North Area; • 203 licences in the Central Area; and • 128 licences in the South Area. 2.16 The policy of restricting the number of taxi licences within an area attracts considerable debate. One view, generally held by taxi licence holders, is strongly in favour of Page 10 of 332
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retaining the restriction on licence numbers, on the grounds that overprovision would harm the viability of the trade. There are other groups which strongly argue that the policy is a restraint on trade and seek the removal of the restriction. Typically, these include people who do not currently have a taxi licence, but wish to obtain one, or licensed taxi drivers who wish to operate their own taxi as opposed to driving shifts in taxis licensed by others. In addition, academic and social research has highlighted that anxieties over securing a late taxi or private hire car can deter people from accessing night-time economy in town centres. There is an argument therefore that the removal of a restriction on the number of taxi licences would help alleviate that concern and potentially stimulate the night-time economy and improve public confidence and safety. 2.17 Any restriction or limitation policy can be challenged. This will typically take the form of an appeal to the Sheriff against decisions of the Regulatory Committee to refuse applications for taxi licences based on the Committee’s assessment that there is no significant unmet demand or that there is overprovision. 2.18 The Scottish Government has issued guidance (Appendix 4) for licensing authorities which operate a limitation policy. The guidance provides that the level of unmet demand must be kept under regular review. The guidance also requires that authorities should consider any evidence of ‘peak demand’ and consider the impact of this when considering if there is ‘significant unmet demand’. Examples of ‘peak demand’ may be after pubs and clubs close at weekends. The guidance further provides that peak demand should not be considered in isolation but balanced against the full range of data. 2.19 As a result, members are asked to agree that the Chief Officer (Legal and Democratic) commission a suitable company to undertake a comprehensive survey of demand in North Lanarkshire. It is proposed that this demand survey should cover the demand for private hire vehicles as well as taxis. It is also proposed that this survey be asked to provide a preliminary view on the benefit of continuing to maintain the three separate licensing zones within North Lanarkshire. This will ensure that an up-to-date position is established for the whole Council area and enable the Committee to consider proposals that would provide benefit for the whole of the authority. Advertising Plates 2.20 Taxi plates are a limited resource, and it is important to ensure that a clear and consistent process is in place for their allocation when additional plates become available. Formalising this process will provide transparency for all applicants and ensure fairness in the management of restricted areas. Benchmarking with other authorities may also provide useful insights into best practice approaches. It is recommended that a formal policy and procedure be developed, providing a clear framework for the allocation of taxi plates. Electronic Communication 2.21 Paragraph 16A of Schedule 1 and paragraph 22A of Schedule 2 of the Civic Government (Scotland) Act 1982 provides that a local authority may accept applications, objections, representations, and notifications of a change of licence by means of electronic communication. Any determination must specify the form of electronic communication, the electronic address to be used, the means of authentication, and the electronic signature required. 2.22 As part of the modernisation of the Council’s licensing processes, it is proposed to allow all applications, objections, representations, and notifications of a change of licence to Page 11 of 332
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be submitted electronically, whether via the Council’s website or by email. This approach will streamline the licensing process and provide a convenient and accessible method for all applicants and stakeholders. 2.23 The 1982 Act establishes requirements for a valid objection or representation, including the need for the submission to be signed and to include the name and address of the individual making it. An electronic objection or representation is considered valid if it includes an electronic signature, which the Act defines as “anything in electronic form… incorporated into or logically associated with any electronic communication and purporting to be used by the individual creating it to sign.” This broad definition allows, for example, a typed name to constitute a valid electronic signature. Guidance explaining this process will be provided to the public. CCTV in Vehicles 2.24 Requests have been made by taxi and private hire operators to install CCTV cameras in vehicles to enhance the safety of both drivers and passengers. While Police Scotland provides guidance on CCTV use, there is currently no formal Council policy governing its installation or operation within licensed vehicles. 2.25 It is proposed to consult relevant stakeholders, including the Information Commissioner’s Office, Police Scotland, operators, and community groups, to determine the requirements for establishing a Council policy on CCTV in taxis and private hire vehicles. Consultation will also consider the legal obligations under UK GDPR, including data protection, storage, and use of recorded images, as well as the responsibilities of data controllers. 2.26 Any policy will ensure compliance with the Information Commissioner’s Code of Practice and set clear standards for the installation, operation, and management of CCTV systems, balancing safety and privacy considerations for passengers and drivers. Licence Fee and Application Review 2.27 Under the 1982 Act, licence holders may apply to the Council for the grant, renewal, variation, or consent to alter a licence. A review of all application processes is proposed to ensure consistency, clarity, and efficiency across all types of licences. 2.28 The level of work involved in processing applications can vary significantly. It is therefore proposed to conduct a full review and analysis of current processes and fees to ensure that charges are proportionate and accurately reflect the administrative effort required. For example, major changes to a licence, such as a change of location or any alteration affecting the nature of the licence, may be treated as a new application rather than a variation to ensure the process is appropriate. Conclusion and Next Steps 2.29 The review of taxi and private hire licensing in North Lanarkshire represents a significant opportunity to modernise the Council’s approach, ensuring it is both fit-for- purpose and responsive to the needs of operators, passengers, and the wider community. By examining existing policies, procedures, and vehicle specifications, and by engaging comprehensively with stakeholders, the Council will ensure that its licensing regime meets contemporary safety standards, supports economic activity, and addresses emerging technological and societal trends. Page 12 of 332
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2.30 Next steps in the review process are as follows: 2.30.1 Stakeholder Consultation: Commence structured engagement with the taxi trade, Police Scotland, community councils, disability organisations, and other relevant stakeholders to gather feedback and proposals for reform; 2.30.2 Commission Demand Survey: Engage a specialise provider to undertake a comprehensive demand survey assessing taxi and private hire provision, unmet demand and the potential benefit of maintaining separate licensing zones; 2.30.3 Vehicle Specification Review: Assess and update vehicle specifications to reflect modern standards, safety requirements, and stakeholder feedback, including the approval of new purpose-built and purpose-adapted vehicles; 2.30.4 Policy Development: Prepare draft updated policies and procedures covering licensing applications, fee structures, CCTV use, electronic communications, and taxi plate allocation; 2.30.5 Legal and Regulatory Alignment: Ensure all proposals comply with the Civic Government (Scotland) Act 1982, GDPR, and other relevant legislation; and 2.30.6 Reporting and Approval: resent draft policies, survey findings, and consultation outcomes to the Finance and Resources Committee for review and final approval. 2.31 This phased approach will enable a measured, evidence-based, and inclusive modernisation of taxi and private hire licensing in North Lanarkshire, balancing the interests of operators, passengers, and the wider community. 3. Measures of success 3.1 The success of the taxi and private hire licensing review will be evaluated through the following criteria: Stakeholder Engagement: 3.1.1 Number and diversity of stakeholders consulted, including operators, community groups, and organisations representing people with disabilities; and 3.1.2 Feedback demonstrates broad participation and meaningful contribution to policy development. Evidence-Based Policy: 3.1.3 Completion of a comprehensive demand survey providing up-to-date information on provision, usage, and unmet demand; and 3.1.4 Draft policies reflect survey findings and stakeholder feedback. Process Efficiency: 3.1.5 Implementation of electronic application, objection, and notification systems that reduce processing time and improve accessibility; and 3.1.6 Delegation of vehicle approval reduces repeated Regulatory Committee consideration and accelerates licensing decisions. Page 13 of 332
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Policy Modernisation and Compliance: 3.1.7 Updated vehicle specifications meet contemporary safety, accessibility, and environmental standards; and 3.1.8 Clear, transparent policies for taxi plate allocation, CCTV installation, and licence fees ensure legal compliance and fairness. Operational Impact: 3.1.9 Reduced administrative burden on Council officers and trade operators; and 3.1.10 Positive feedback from operators and passengers regarding service responsiveness and safety. Review and Monitoring: 3.1.11 Periodic reassessment of licensing policies ensures they remain fit-for- purpose, proportionate, and responsive to emerging trends; and 3.1.12 Measurable improvements in public confidence and satisfaction with taxi and private hire services. 4. Supporting documentation 4.1 Appendix 1 – Taxi Specification dated 28 May 2020 4.2 Appendix 2 – Private Hire Specification dated 28 May 2020 4.3 Appendix 3 – Briefing Note on Age Limits and Consultation 4.4 Appendix 4 - Taxi and Private Hire Car Licensing - Best Practice for Licensing Authorities and Taxi and Private Hire Car Operators Rachel Blair Chief Officer (Legal and Democratic) Page 14 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☐ No ☒ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☒ No ☐ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The consultation and review process for taxi and private hire licensing will be conducted in full compliance with the Civic Government (Scotland) Act 1982 and other relevant legislation. This includes statutory requirements for: • Licensing of taxis and private hire vehicles, including the grant, renewal, variation, and transfer of licences. • Limitations on licence numbers under Sections 10(3) and 10(3A) of the 1982 Act. • Submission of electronic applications, objections, representations, and notifications in accordance with Schedule 1, paragraph 16A, and Schedule 2, paragraph 22A. The Council will also ensure compliance with other applicable legislation, including: • Equality Act 2010, ensuring licensing policies are inclusive and consider accessibility for all passengers. • UK GDPR and Data Protection Act 2018, in relation to the collection, storage, and use of personal data, including any CCTV installed in licensed vehicles. Page 15 of 332
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• Health, safety, and environmental legislation relevant to vehicle standards and licensing. 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ 5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☐ No ☒ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. Page 16 of 332
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5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 17 of 332
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Appendix 1 Taxi Specification Effective from 29 May 2020 Page 18 of 332
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Introduction Vehicles operated under Taxi Operator’s Licences issued by North Lanarkshire Council must comply with the undernoted specification and must be maintained in accordance with this specification throughout the currency of the Taxi Operator’s Licence. Please note that this specification sets minimum standards that taxis must meet. However, even if a vehicle meets these standards the Council will still assess whether the vehicle is suitable overall for use as a taxi. The Council will give general consideration to the type, size and design of the vehicle. Any new models will be subject to inspection by North Lanarkshire Council. If you are considering a vehicle of a type not already licensed by the Council (this includes new models of existing approved vehicles), it is in your interest to contact the Council as to the suitability of the vehicle PRIOR to making a purchase - Tel: 01698 506241 Please ensure that the vehicle presented for test meets the minimum requirements as any vehicle that does not meet the standards will be rejected. 1. COUNCIL APPROVED WHEELCHAIR ACCESSIBLE VEHICLES PERMITTED TO OPERATE IN THE NORTH, CENTRAL AND SOUTH AREAS:- Purpose Built Vehicles: (1) Metrocab (2) LTI – TX1 (3) LTI – TX2 (4) LTI – TX4 (5) LEVC TX Side Access Purpose Adapted Vehicles: (6) Peugeot Euro 7 (7) Peugeot E7 (including Series 2) (8) Peugeot Eurotaxi (9) Peugeot Expert Teepee – Eurotaxi (10) Fiat TW200 (11) Fiat Scudo Urban 7 Eurocab (Jubilee) (12) Mercedes Vito 111 CDI (13) Citroen Eurotaxi (14) Ford Transit Tourneo Custom Rear Access Purpose Adapted Vehicles: (15) Peugeot Premier (rear door wheelchair entry) - Allied Vehicles (16) VW Kudos (rear door wheelchair entry) - Allied vehicles Page 19 of 332
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All vehicles to have Whole Vehicle European Type Approval Please note that purpose built/purpose adapted vehicles will only be permitted to carry a maximum of 6 passengers who must be in the rear of the Vehicle. No passenger to be seated to the left of the driver (this requirement does not apply to 2 rear access purpose adapted vehicles listed). All purpose built/ purpose adapted vehicles should have adequate heating and lighting in the rear of the vehicle for passenger comfort. Vehicles must be fitted with motion sensor locks. Occupied wheelchairs may only be transported facing forward or rearwards. The wheelchair must be secured independently of the occupant. The wheelchair occupant must be secured completely independently of the wheelchair. 2. AGE LIMITS (1) Purpose Built Vehicles: Vehicles shall be no more than 12 years old calculated from date of first registration to date of grant of a licence, date of renewal of licence or date of substitution of vehicle. Vehicles over 12 years will be subject to twice yearly inspection. This age limit is in effect from 5 February 2015 (2) Purpose Adapted Vehicles: Vehicles shall be no more than 9 years old calculated from date of first registration to date of grant of a licence, date of renewal of a licence or date of substitution of vehicle. Vehicles over 9 years will be subject to twice yearly inspections. This age limit is in effect from 5 February 2015 (3) Non-wheelchair accessible vehicles permitted to trade in the South and Central Areas: Vehicles shall be no more than 5 years old calculated from date of first registration to date of grant of a licence, date of renewal of a licence or date of substitution of a vehicle. This age limit is in effect from 1 January 2006 3. VEHICLE REQUIREMENTS (a) shall have a minimum engine size of 1500cc with a minimum of 60kw / 80bhp for petrol engines, turbo diesel engines and non turbo diesel engines. Electric vehicles and hybrids must have a minimum of 60kw / 80bhp; (b) shall have fitted a swivel seat approved by the Council by first inspection and maintained thereafter; (c) shall have a minimum seating capacity for 4 adult passengers and a maximum seating capacity of 6 adult passengers (both excluding the driver); Page 20 of 332
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(d) shall allow for a minimum seating width of 410mm per seat per passenger or 1230mm overall, measured in accordance with the provisions of the Road Vehicles (Registration and Licensing) Regulations 2002 and any amendment thereof; (e) shall have a minimum distance between front and rear seats of 203mm; (f) shall have a minimum luggage capacity of 11.4 cubic feet (323 litres); (g) shall be a production line 4/5 door right hand drive suitable saloon, estate or hatchback vehicle (if the vehicle is a 5 door hatchback type the fixed rigid rear parcel shelf must remain in position during the duration of the hire) all seats must be forward facing; (h) shall have an approved fare structure card displayed in a visible position; (i) shall have a sealed meter securely fixed and wired through the taxi sign. The sign must not be operated through a separate switch. (j) shall not have its vehicle specification altered from manufacturer’s equipment except in relation to installation of a swivel seat; (k) shall be white in colour for South Area and black in colour for Central Area – vehicle re-sprays are permitted to a standard solely determined by the Council. All visible parts must be re-sprayed (includes door sills and door checks); (l) shall be provided with seating of uniform colour and material except in relation to the installation of a swivel seat; (m) shall be provided with carpets of uniform colour and material; (n) shall have external mirrors fitted to its nearside and offside; (o) shall have a full width taxi sign minimum 36 inches of a specification approved by the Council fixed securely to its roof with the cable securely clipped – the sign must not show red at the front or white at the back; (p) shall be fitted with a properly maintained suitable fire extinguisher with either a manufacturer’s date or an expiry date (minimum 0.5kg – maximum 1kg dry powder or foam) held in an appropriate fastener and in an approved position having regard to passenger safety and ease of access thereto; (q) shall carry a properly maintained and suitable first aid kit (1–10 people) with either a manufacturer’s date or expiry date; (r) shall comply with current legislation regards fitting of surveillance equipment/ display screens, fixed mobile telephone and charging equipment/ points can only be fitted in accordance with MOT regulations in regard to obstructing the driver’s line of vision; (s) taxi plates should be fitted to the vehicle at the rearmost position of the vehicle next to the registration plate or on the rear bumper. Taxi plates must not be fitted or placed in the rear window. Page 21 of 332
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4. DUAL FUEL CONVERSION The Council has approved in principle dual petrol and liquid gas fuel systems. Approval for such vehicles will be granted when the vehicle meets all other vehicle specifications and when the conversion has been undertaken by an approved Company. For details of approved contractors contact the Licensing Team LicensingEnquiries@northlan.gov.uk Page 22 of 332
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Appendix 2 Private Hire Specification Effective from 29 May 2020 Page 23 of 332
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Introduction Vehicles operated under Private Hire Car Licences issued by North Lanarkshire Council must comply with the undernoted specification and must be maintained in accordance with this specification throughout the currency of the Private Hire Car Licence. Please note that this specification sets minimum standards that Private Hire Cars must meet. However, even if a vehicle meets these standards the Council will still assess whether the vehicle is suitable overall for use as a Private Hire Car. The Council will give general consideration to the type, size and design of the vehicle. Any new models will be subject to inspection by North Lanarkshire Council. If you are considering a vehicle of a type not already licensed by the Council (this includes new models of existing approved vehicles) it is in your interest to contact the Council as to the suitability of the vehicle PRIOR to making a purchase Tel: 01698 506241 Please ensure that the vehicle presented for test meets the minimum requirements as any vehicle that does not meet the standards will be rejected. Vehicles operated under private hire car licences issued by North Lanarkshire Council must comply with the undernoted specification and must be maintained in accordance with this specification throughout the currency of the private hire car licence. 1. Wheelchair accessible vehicles (WAVs) (1) Peugeot Eurobus (side door wheelchair entry) – Allied Vehicles (2) Peugeot Premier (rear door wheelchair entry)- Allied Vehicles (3) VW Kudos (rear door wheelchair entry) – Allied Vehicles All vehicles to have Whole Vehicle European Type Approval 2. Age Limits (1) Age Limits for Purpose Adapted Vehicles Vehicles shall be no more than 9 years old calculated from date of first registration to date of grant of a licence, date of renewal of a licence or date of substitution of vehicle. Vehicles over 9 years will be subject to twice yearly Inspection. This age limit is in effect from 5 February 2015 (2) Age Limits for non-wheelchair accessible vehicles: Vehicles shall be no more than 5 years old calculated from date of first registration to date of grant of a licence, date of renewal of a licence or date of substitution of a vehicle. This age limit is in effect from 13 January 2005 Page 24 of 332
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3. Vehicle Requirements (a) shall have a minimum engine size of 1500 cc with a minimum of 60Kw / 80bhp for petrol engines, turbo diesel engines and non turbo diesel engines. Electric vehicles and hybrids must have a minimum of 60kw / 80bhp; (b) shall be a production line 4/5 door right hand drive suitable saloon, estate or hatchback vehicle (if vehicle is a 5 door hatchback type the fixed rigid rear parcel shelf must remain in position during the duration of the hire), if not such a vehicle, a vehicle falling within paragraph (c) below. All seats must be forward facing; (c) if it is a multi-person vehicle (MPV) or people carrier type vehicle a maximum of 6 passengers will be permitted (that is for avoidance of doubt excluding the driver). It should be noted that a vehicle will be classed by the Council for the purpose of this specification as an MPV or people carrier, regardless of any manufacturer description, if it has three rows (including front driver’s row) of individual seats for passengers. All seats must be forward facing; (d) shall have a minimum seating capacity for 4 adult passengers and a maximum seating capacity of 6 adult passengers (both excluding the driver); (e) shall allow for a minimum seating width of 410mm per seat per passenger or 1230mm overall measured in accordance with the provisions of the Road Vehicles (Registration and Licensing ) Regulations 2002 and any amendment thereof; (f) shall have a minimum distance between front and rear seats of 203mm; (g) shall not have its vehicle specification altered from manufacturer’s equipment. There are limited exceptions to this condition. Please contact the Council on the number provided for further information; (h) shall remain painted in the original manufacturer’s colours unless resprayed to a standard to be solely determined by the Council. All visible parts must be resprayed (including door sills and door check). In the South licensing area the vehicle must not be white. In the Central licensing area the vehicle must not be black; (i) shall be provided with seating of uniform colour and material; (j) shall be provided with carpets of uniform colour and material; (k) shall have external mirrors fitted to its nearside and offside; (l) shall be fitted with a properly maintained suitable fire extinguisher with either a manufacturers’ date or an expiry date (minimum 0.5kg – maximum 1.0kg dry powder or foam) held in an appropriate fastener and in an approved position having regard to passenger safety and ease of access thereto; (m) shall carry a properly maintained and suitable first aid kit (1–10 people) with either a manufacturers’ date or expiry date; Page 25 of 332
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(n) ishall have a minimum distance between the seats for legroom of 220mm if it is a MPV/People Carrier; (o) where a row of seats is available between the front seats and the rear seats (middle row), the middle row must fold and tip on both sides to allow access to the rear row of the seats. Where there is a middle row of seats the rear seats must be able to stow to the side, fold forward or lie flat to provide luggage space; (p) shall comply with current legislation regards fitting of surveillance equipment/display screens. Fixed mobile telephone and charging equipment/points can only be fitted in accordance with MOT regulations in regard to obstructing the driver’s line of vision; (q) Private Hire plates should be fitted to the vehicle at the rear most position of the vehicle next to the registration plate or on the rear bumper. Private hire plates must not be fitted or placed in the rear window. 4. Dual Fuel Conversion The Council has approved in principle dual petrol and liquid gas fuel systems. Approval for such vehicles will be granted when the vehicle meets all other vehicle specifications and when the conversion has been undertaken by an approved Company. For details of approved contractors contact the Licensing Team. LicensingEnquiries@northlan.gov.uk Page 26 of 332
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APPENDIX 3 BRIEFING NOTE Subject: Consultation and Engagement – Vehicle Age Limits and Licensing Policy To: Finance and Resources Committee From: Chief Officer (Legal and Democratic) Date: 19 November 2025 1. Current Vehicle Age Limit Policy Taxi Specification (2020) • Purpose-Built Vehicles: Maximum 12 years from first registration. Vehicles exceeding this age are subject to twice-yearly inspections. • Purpose-Adapted Vehicles: Maximum 9 years from first registration. Vehicles exceeding this age are subject to twice-yearly inspections. • Non-Wheelchair Accessible Vehicles (South and Central Areas): Maximum 5 years from first registration. Private Hire Specification (2020) • Purpose-Adapted Vehicles: Maximum 9 years from first registration, with twice- yearly inspections for vehicles exceeding this limit. • Non-Wheelchair Accessible Vehicles: Maximum 5 years from first registration. 2. Operator Representations Following circulation of the specifications for review, the Council received 70–80 responses from operators. The majority supported increasing the vehicle age limit to between 7 and 12 years, citing: • Modern vehicles are manufactured to higher safety and quality standards. • Rising living costs and the expense of suitable used vehicles create financial burdens, particularly for older drivers seeking financing. • Current age limits result in numerous applications being referred to the Regulatory Committee for extensions, generating repeated queries and highlighting the need for a clearer, sustainable policy. 3. Benchmarking with Other Local Authorities Local Authority Vehicle Age Limits Aberdeen City Council WAVs under 10 years; Other vehicles under 5 years at first licensing or substitution.1 Aberdeenshire Council No information available. Angus Council No information available. Argyll and Bute Council No information available. City of Edinburgh Council Age limit extended to 14 years for Euro 6 or retrofitted Euro 5 vehicles, with compliance checks; LPG and electric vehicles receive additional allowances.2 1 https://committees.aberdeencity.gov.uk/documents/s125516/taxi and private hire vehicles and drivers policy 2021.pdf 2 https://www.edinburgh.gov.uk/downloads/file/35534/age-and-emissions-policy-effective-25-june-24 Page 27 of 332
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Clackmannanshire Council No information available. Comhairle nan Eilean Siar No information available. Dumfries and Galloway Council No information available. Dundee City Council No information available. East Ayrshire Council Purpose-built vehicles up to 10 years; Non-purpose-built vehicles up to 10 years, subject to condition and compliance.3 East Dunbartonshire Council No information available. East Lothian Council Internal Combustion Engine vehicles under 3 years to apply; Zero Emission vehicles under 4 years.4 East Renfrewshire Council Age limits removed for all vehicles.5 Falkirk Council No information available. Fife Council New vehicles under 5 years from first licensing; Standard cars licensed up to 10 years; Wheelchair-accessible vehicles, Purpose-built vehicles, and Minibuses licensed up to 12 years.6 Glasgow City Council Private hire vehicles must be under 5 years at first licensing; Taxis appear to have no age restriction.7 Inverclyde Council Vehicles under 3 years require twelve-monthly inspection; Vehicles over 3 years require six-monthly inspection.8 Midlothian Council No information available. North Ayrshire Council Vehicles under 8 years at first licensing; vehicles under 5 years require twelve-monthly inspection; vehicles over 5 years require six- monthly inspections.9 Orkney Islands Council No information available. Perth and Kinross Council Vehicles must be under 10 years old at first licensing.10 Renfrewshire Council Private hire vehicles under 7 years from first licensing; MPV and wheelchair accessible vehicles under 8 years from first licensing. Taxi vehicles under 7 years from first licensing; Wheelchair accessible vehicles under 7 years from first licensing.11 Scottish Borders Council No information available. Shetland Islands Council No information available. South Ayrshire Council Taxi vehicles under 12 years; Private hire vehicles under 8 years.12 South Lanarkshire Council Saloon vehicles maximum 12 years; Purpose-built taxis have no upper limit; Vehicles over 5 years require six-monthly inspections.13 3 https://www.east-ayrshire.gov.uk/Resources/PDF/L/LicensingTaxiPHCVehicleSpecifications.pdf 4 https://www.eastlothian.gov.uk/info/210571/licensing/12183/licences/2 5/https://www.eastrenfrewshire.gov.uk/media/11565/Item-03-Vehicle-Age-Limits/pdf/Item_03_- _Vehicle_Age_Limits.pdf?m=1748967612027 6 https://www.fife.gov.uk/__data/assets/pdf_file/0027/530775/Vehicle-Approved-List-Current.pdf 7 https://www.glasgow.gov.uk/article/6378/Private-Hire-Car-10-Year-Policy 8 C:\Users\GrahamG\Downloads\Taxi Operator Licence Conditions (V3 13062023).doc (4).pdf and C:\Users\GrahamG\Downloads\Private Hire Operator Licence Conditions (V3 13062023) (4).pdf 9.https://northayrshire.cmis.uk.com/northayrshire/Document.ashx?czJKcaeAi5tUFL1DTL2UE4zNRBcoShgo=9bI B9puSXTmwEKKq5PbTG269itU4DTRWJqXevMDB4eorlbK%2F1UEgEA%3D%3D&rUzwRPf%2BZ3zd4E7Ikn8L yw%3D%3D=pwRE6AGJFLDNlh225F5QMaQWCtPHwdhUfCZ%2FLUQzgA2uL5jNRG4jdQ%3D%3D&mCTIbCu bSFfXsDGW9IXnlg%3D%3D=hFflUdN3100%3D&kCx1AnS9%2FpWZQ40DXFvdEw%3D%3D=hFflUdN3100%3 D&uJovDxwdjMPoYv%2BAJvYtyA%3D%3D=ctNJFf55vVA%3D&FgPlIEJYlotS%2BYGoBi5olA%3D%3D=NHdU RQburHA%3D&d9Qjj0ag1Pd993jsyOJqFvmyB7X0CSQK=ctNJFf55vVA%3D&WGewmoAfeNR9xqBux0r1Q8Za6 0lavYmz=ctNJFf55vVA%3D&WGewmoAfeNQ16B2MHuCpMRKZMwaG1PaO=ctNJFf55vVA%3D 10 https://www.pkc.gov.uk/article/15631/Taxi-private-hire-car-operators 11.https://www1.renfrewshire.gov.uk/media/1896/PrivateHireCarLicencePack/pdf/Private_Hire_Operator_Pack_2 024.pdf?m=1711389264037 and https://www1.renfrewshire.gov.uk/media/1784/Guidance-notes-for-a-taxi- licence-application/pdf/Taxi_Operator_Conditions_and_Notes_2024.pdf?m=1711389904973 12.https://www.south-ayrshire.gov.uk/media/3191/Operation-And-Testing-Of-Taxis-And- PrivateHireCars/pdf/Licensingtaxipolicy20240925.pdf?m=1731425632077 13.https://www.southlanarkshire.gov.uk/info/200215/business_licences/374/taxiprivatehirecaroperatorslicence/10 Page 28 of 332
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Stirling Council Vehicles under 5 years at first licensing; No upper age limit post- licensing.14 The Highland Council No information available. The Moray Council No information available. West Dunbartonshire Council Saloon/MPVs licensed up to 14 years; Purpose-built/adapted WAVs have no age restriction.15 West Lothian Council No information available. 4. Current Vehicle Testing Policy Taxi Specification (2020) • Minimum engine size 1500cc / 60kw (80bhp) for petrol, turbo and non-turbo diesel; electric/hybrid vehicles 60kw / 80bhp. • Swivel seats approved by Council; minimum seating for 4 adults, maximum 6. • Minimum seat width 410mm per passenger, minimum distance between front and rear seats 203mm, luggage capacity 323 litres. • Production line 4/5 door right-hand drive saloon, estate or hatchback; external mirrors, taxi sign, meter, first aid kit, fire extinguisher required. • Vehicle colour and interior specifications outlined per licensing area. Private Hire Specification (2020) • Minimum engine size 1500cc / 60kw (80bhp) for petrol, turbo and non-turbo diesel; electric/hybrid vehicles 60kw / 80bhp. • Production line 4/5 door saloon, estate, hatchback, MPV or people carrier with seating for 4–6 adults; minimum seat width 410mm. • Vehicles remain in manufacturer colours or resprayed to Council standards; mirrors, fire extinguisher, first aid kit, plates, and compliant modifications required. • MPV/people carriers require foldable or stowable seats to allow luggage access; compliance with legislation on surveillance equipment required. 5. Methods for Consultation and Engagement The following methods will be utilised to ensure comprehensive engagement with stakeholders: • Exhibitions, Roadshows, Public Meetings: Explain proposals to large groups with immediate feedback; limited by attendance bias and potential single-issue focus. • Attendance at Established Group Meetings: Present proposals to targeted audiences; maintain consultation focus. • Online Exhibitions and Web-Based Surveys: Accessible and cost-effective; allow for broad participation and structured feedback. • Face-to-Face and Telephone Surveys: Detailed qualitative feedback; higher resource requirements. • Community Forums or Champions Groups: Two-way engagement on specific topics; requires clear aims and objectives. • Workshops and Focus Groups: Structured discussion with delivery partners or community groups; suitable for in-depth qualitative feedback. • Dedicated Mailbox and Letters to Stakeholders: Centralised channels for responses; customised communication ensures clarity and formal engagement. 6. Internal Engagement Internal consultation with key Council services will assess implications of any policy change, including: • Sustainability and Climate Change, Fleet Management, Environmental Health. • Legal, Procurement, and Financial considerations. • Risk assessment, sustainable development outcomes, and Equality Impact Assessment to ensure inclusive decision-making. 14.https://www.stirling.gov.uk/business-and-licences/licences-permits-and-permissions/taxi-licences/ 15 https://www.west-dunbarton.gov.uk/media/4316108/age-and-vehicle-specifications-december-2018.pdf Page 29 of 332
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Taxi and Private Hire Car Licensing - Best Practice for Licensing Authorities and Taxi and Private Hire Car Operators (3rd Edition) May 2023 Page 30 of 332
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Contents Foreword from Minister for Victims and Community Safety Introduction Chapter 1 Scope of best practice Chapter 2 The role of licensing Chapter 3 Enforcement Civic Licensing Standards Officer Council taxi and private hire enforcement officers Cross border hiring Chapter 4 Accessibility requirements Introduction The Accessible Travel Framework: Going Further The Legislation and Law Legal Duties for Drivers and Operators Legal Duties for Local Licensing Authorities Enforcement and Penalties Best Practice Guidance Provision of wheelchair accessible vehicles Booking Accessibility Affordability Disability Awareness Training Hate Crime Charter Best Practice Checklist Chapter 5 Vehicles Vehicle specification Imported vehicles: type approval Vehicle testing Security Vehicle identification Environmental considerations Exemptions from licensing Licensing of stretch limousines and other special event vehicles Quantity restrictions of taxi licenses Quantity restrictions of private hire car licences Return of plates – section 10(6) Chapter 6 Taxi fares Chapter 7 Licensing of booking offices Page 31 of 332
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HMRC tax check HMRC’s strategy for tackling the hidden economy Scottish Government - Impact of Modern Technology Consultation Chapter 8 Drivers Duration of Licences Criminal Record Checks Protecting Vulnerable Groups (PVG) Scheme. Criminal Record Checks from out with the UK Evidence of right to live and work in the UK Immigration Status Age Limits Medical Fitness Driving Experience Driving Proficiency Training Topographical Knowledge Chapter 9 Flexible transport services Chapter 10 Complaints procedures Chapter 11 Local transport strategies Annex A Best practice example - Glasgow City Council - installation and use Of CCTV systems in taxis and private hire cars Annex B Assessing quantity controls of taxi licenses Annex C Partition screens in taxis and private hire cars - Non-statutory Guidance July 2021 Page 32 of 332
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Ministerial foreword Whether in our towns and cities, or in our rural communities, taxis and private hire cars are a vital part of transport networks for citizens, businesses, and visitors across Scotland. As Minister for Victims and Community Safety I have portfolio responsibility for the licensing regime for taxis and private hire cars. The aim of the licensing regime, as set out in the Civic Government (Scotland) Act 1982, continues to be to ensure that taxi and private hire car customers have a safe, reliable and accessible service. The day to day administration of the licensing regime rest with independent local licensing authorities – in effect the 32 Scottish local authorities – who are best placed to take local circumstances into account in the decision making process to ensure that they provide safe and appropriate services for members of the public. Requirements may of course differ across local authorities and vary considerably between our urban and more rural communities. I am pleased to issue this updated best practice guidance document. Those of you who have read the previous versions of the guidance will note that the Scottish Government has updated the title of the guidance document to highlight that as well as being for Licensing Authorities, this document will also be of use to taxi and private hire car operators. I would like to place on record my sincere thanks and take the opportunity to recognise the valued contribution from all the members of the working group that was established by the Scottish Government to review the previous guidance document, and inform and shape the updated guidance. I know from discussions with my officials in the Scottish Government Criminal Law, Practice and Licensing Unit that the work undertaken by all of the group members has been greatly appreciated. Looking ahead, my officials have also committed to on-going engagement with working group members to ensure that the best practice guidance remains up to date and fit for purpose. I hope you find this guidance helpful. Siobhian Brown MSP Minister for Victims and Community Safety Page 33 of 332
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Introduction First published in December 2007, with an updated second edition published in April 2012, this guidance has been prepared to offer best practice advice to licensing authorities on a range of issues relating to the licensing of taxis, private hire cars and their drivers. The guidance will also be of use to the trade. For that reason the title of the guidance has been updated to highlight that as well as being for licensing authorities, the guidance should also be read by taxi and private hire car operators. In 2022 a working group was established by the Scottish Government Criminal Law, Practice and Licensing Unit to review the guidance document. Membership of the working group consisted of representatives from the Scottish Government, Transport Scotland, various local licensing authorities, taxi and private hire car trade representatives and UNITE the Union. The working group was tasked with reviewing the guidance to ensure the material is up to date, fit for purpose, acts as a useful tool for both licensing authorities and taxi and private hire car operators, and can support a consistent approach where appropriate. This revised best practice guidance has sought to update advice offered to reflect legislative change, as well as having regard to the views of members of the working group. Page 34 of 332
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Chapter 1 – scope of best practice 1.1 The best practice document does not seek to address the whole range of possible licensing requirements but focuses primarily on those issues that have caused difficulty in the past or have been highlighted as being of particular significance. 1.2 It is intended to be an evolving document and will be subject to periodic amendment to reflect changing and developing policy and concerns. The Scottish Government will inform licensing authorities and trade representatives when it is amended. 1.3 This best practice references a number of matters for which legislative responsibility is reserved to the UK Government. We have advised within the document as to where UK Government guidance can be found. 1.4 Whilst seeking to promote best practice in relation to quality and safety the Scottish Government does not set out to offer interpretation of the legislation governing taxi and private hire car licensing. This is a matter for licensing authorities and the Courts. It is for licensing authorities to seek their own legal advice as appropriate in regard to the exercise of their licensing powers. 1.5 As well as referring to this best practice document and the governing legislation, the Civic Government (Scotland) Act 1982 (“the 1982 Act”), local licensing authorities should make use of the information in the Scottish Development Department Circular 25/1986. 1.6 Licensing authorities will also be aware of more general duties they have under the Data Protection Act 2018 and the General Data Protection Regulations when they are handling personal information. Page 35 of 332
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Chapter 2 – the role of licensing 2.1 The 1982 Act allows for local authorities, as the licensing authority, to licence taxis and private hire cars. The preamble of the 1982 Act states that it is: An Act to make provision as regards Scotland for the licensing and regulation of certain activities; for the preservation of public order and safety and the prevention of crime. 2.2 Within the 1982 Act there are specific roles for both the local licensing authority and the police in administering and enforcing the local licensing regime. The success of the regime depends on a constructive and positive relationship between them as well as effective engagement with the trade and customer groups. 2.3 A successful licensing regime will ensure that a safe, reliable and accessible service is available to the public when and where it is required at a cost that does not exceed the maximum amount that can be charged for journeys in taxis and private hire cars fitted with Taximeters. We recognise a balanced approach is beneficial when setting taxi fares between the expectations of taxi drivers/ operators to earn a living against the backdrop of a cost of living crisis and against the public expectation to be able hire a taxi of reasonable quality at a reasonable price. 2.4 This outcome requires a number a factors to be addressed within the regime including: • that the profile and size of the local customer market is known and understood to ensure the right number and type of vehicles are available at the right times; • that vehicles are of a suitable type to meet the requirements of customers and are in good working order; • that drivers are vetted and tested to ensure they are fit and proper, appropriately qualified to drive, and suitably trained to handle the variety of customer interactions; • that owners of cars and booking offices are vetted to ensure they are fit and proper; • that fare scales are reasonable and transparent and are regularly reviewed with relevant consultation. 2.5 This is not an exhaustive list, but is illustrative of the range of issues to consider. Underpinning any successful regime though is the need for robust enforcement. 2.6 It is, of course, good practice for local licensing authorities to consult on any significant proposed changes in licensing rules. Such consultation should include not only the taxi and private hire car trade but also customers, local businesses/organisations (public and private) dependent on or affected by the trade Page 36 of 332
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and organisations with a wider transport interest (e.g. Campaign for Better Transport). 2.7 Again it is particularly useful to be aware of the profile of the local market to best target consultation, ensuring groups with particular requirements, i.e. due to a disability, are represented. 2.8 Licensing authorities will also wish to consider Transport Scotland’s Accessible Travel Framework. Created in 2016 it provides a national vision and outcomes for accessible travel and a high level action plan to tackle the key issues facing disabled people. Its vision is that 'All disabled people can travel with the same freedom, choice, dignity and opportunity as other citizens.' 2.9 Information about Transport Scotland’s Accessible Travel Framework can be found in Chapter 4 (Accessibility Requirements) of this guidance document. Page 37 of 332
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Chapter 3 – enforcement 3.1 A successful licensing regime is appropriately and adequately enforced. Well- directed enforcement activity by licensing authorities benefits not only the public but also the responsible people in the taxi and private hire car trade. The resources devoted by licensing authorities to enforcement will vary according to local circumstances and frequent liaison between licensing authorities and the police in the shape of information/intelligence sharing will help authorities gauge the level and type of enforcement activity required. 3.2 As enforcement activity is part of the licensing regime, it is recoverable through fees charged for licences. It is therefore within the interests of the trade for them to be involved in any information gathering on enforcement needs in their area. The Scottish Government is aware that some authorities have successfully carried out joint operations with the police for example targeting known problem spots where instances of breaches of licensing have been reported. 3.3 A visible enforcement presence will prove a useful deterrent against breaches of licence, for example illegally plying for trade. It is recommended as best practice that enforcement activity is at least partly directed to the late-night period, when such breaches tend most often to arise. 3.4 The operation of unlicensed taxis and private hire cars and drivers is a police matter. Civic Licensing Standards Officer 3.5 The Air Weapons and Licensing (Scotland) Act 2015 (“the 2015 Act”) introduced a statutory requirement for a licensing authority to appoint an individual or individuals as a ‘Civic Licensing Standards Officer’. 3.6 Civic Licensing Standards Officers have the same powers and duties as an ‘authorised officer’ within the 1982 Act but also have specific functions in relation to providing information and guidance, checking compliance, providing mediation and taking appropriate action on perceived breaches of conditions to a licence provided under the 1982 Act. Council taxi and private hire enforcement officers 3.7 Some councils employ taxi and private hire enforcement officers in addition to a Civic Licensing Standards Officer. For example, in Glasgow it is the taxi and private hire enforcement officers, as authorised officers of the Licensing Authority, that investigate matters. The Civic Licensing Standards Officer does not deal with enforcement matters regarding taxi and private hire in Glasgow. 3.8 The following is the process Glasgow’s taxi and private hire enforcement officers follow when investigating a complaint. In summary the process is: • Officers assess whether there is justification and sufficient information for investigating the complaint. Page 38 of 332
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• Depending on the nature of the complaint, officers will attempt to contact any witnesses, booking offices for additional information. • Identify the driver if details were not provided by contacting the vehicle operator. • Once identified, the driver will be contacted by officers with a view to providing driver’s recollection of the incident or information that would allow officers to eliminate the driver from the investigation. • Having gathered the available information and reviewed the driver/licence holder’s complaint history, depending on the nature of the complaint, officers will either remind the licence holder of their licence responsibilities or refer the complaint to the licencing and regulatory committee. • If referred to Committee, report will be prepared by officers for Committee to consider what action, if any to take against the licence holder. Licence holder will be provided with copy of report and cited to Committee hearing. Cross border hiring 3.9 It is an offence to deliberately ply for trade in another licensing area in Scotland. 3.10 The 1982 Act provides that it is an offence to operate or permit the operation of a taxi in an area where taxi licensing is in force if neither the vehicle nor the driver is licensed. It is an offence for a person to pick up passengers, or permit passengers to be picked up by, a private hire care within an area within which neither the vehicle nor the driver has a licence. However, this does not apply to the operation of a taxi or private hire car within an area in which the vehicle or its driver is not licensed if the request for its hiring is (i) received by the driver whilst in the area in which they are licensed, (ii) the driver is engaged in a legitimate hire outside their area which began or will end in their area, or (iii) the driver is returning to their own area following completion of a journey on hire. 3.11 This makes it possible, for example, for a passenger to phone for a taxi or private hire car from their home area to take them to or pick them up at an airport out with that area provided that the request is received by the driver while they are operating in the area for which they are licensed or while they are on a legitimate hire out with that area. 3.12 The Scottish Government is aware of concerns that have been expressed about ongoing issues with taxi and private hire car vehicles from other areas travelling into cities to ply for trade. As an example of best practice, the Scottish Government would highlight the following ‘Information Sheet’ issued by Aberdeenshire Council to taxi and private hire car drivers regarding operations outside the local authority area. 3.13 Local licensing authorities may wish to consider adopting a similar style of document. Page 39 of 332
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Civic Government (Scotland) Act 1982 Information Sheet - Taxi and Private Hire Car Operations Outside Aberdeenshire 1. Aberdeenshire Council licences taxi and private hire car drivers and vehicles to operate within the area of Aberdeenshire. Likewise the City of Aberdeen Council licences drivers and vehicles to operate within the area of Aberdeen City. 2. Licences are issued under the Civic Government (Scotland) Act 1982. The practical effect of Section 21 (1) of the Act in relation to an Aberdeenshire licensed operator and driver working in Aberdeen, is as follows- If any person - (a) operates or permits the operation of a taxi within Aberdeen, or (b) picks up passengers in, or permits passengers to be picked up by, a private hire car in Aberdeen, that person shall be guilty of a criminal offence. 3. However, Section 21 (2) goes on to state that the above section will not amount to a criminal offence if the request for the vehicle hiring was received by its driver - (a) whilst the taxi or private hire car was in Aberdeenshire, or (b) whilst the taxi or private hire is engaged on hire in Aberdeen on a journey which began in Aberdeenshire or will end there, or (c) whilst the taxi or private hire was in Aberdeen returning to Aberdeenshire following completion of another journey The above exception therefore does allow an Aberdeenshire taxi or private hire car to respond to a telephone or radio request from a passenger in Aberdeen to come and pick him / her up and take him / her on a journey which ends in Aberdeen or Aberdeenshire. 4. Section 21 (2) states that the exemption does not permit an Aberdeenshire taxi or private hire car, in any circumstances, to ply for hire in Aberdeen or pick up a passenger who has flagged him down on the street in Aberdeen. 5. Accordingly, whilst a booking can be accepted for a journey in Aberdeen, the restrictions detailed above have to be complied with and a vehicle and driver cannot remain in Aberdeen hoping to obtain another hire. The vehicle should return to Aberdeenshire. 6. Should the Police detect operation within Aberdeen City contrary to these provisions, this would render an individual liable to face criminal prosecution. Page 40 of 332
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Chapter 4 – accessibility requirements Introduction 4.1 Local licensing authorities as well as taxi and private hire car drivers are required, by law, to meet certain accessibility related duties in order to ensure disabled people can access taxi services with the same freedom, choice, dignity and ease as others. 4.2 Disabled people make twice as many journeys by taxi and private hire car compared to non-disabled people and rely on these services for essential journeys more than most. With one fifth of Scotland’s population identifying themselves as disabled, which represents almost one million people, it is essential that licensing authorities and drivers adhere to their accessibility duties and where possible, go beyond the minimum requirements. 4.3 The aim of this chapter is to provide an overview of the legislation that licensing authorities and drivers need to adhere to, as well as to provide best practice guidance on how taxi providers can and should improve the accessibility of their service. Local licensing authorities may wish to consider providing operators/drivers with a copy of this guidance document when licences are granted. Or alternatively, they could provide a link to the guidance on the licensing webpage of the council website. The Accessible Travel Framework: Going Further 4.4 In 2016 Transport Scotland engaged with disabled people, their representatives and transport providers to identify and discuss barriers to accessible travel. The exercise resulted in the creation of the Accessible Travel Framework which runs until 2026. 4.5 The Framework identifies 48 key issues and suggested solutions, which were impacting disabled peoples access to travel. Nine of these issues relate directly to the taxi industry: • Seek commitments to improve the effectiveness of equality training to taxi drivers to be able to assist disabled people. • Accommodate the different needs for an accessible taxi. • Funders such as the Scottish Government could offer grants to help taxi firms improve their fleet to include accessible taxis. • Local authorities should collect information on numbers and types of accessible taxis in their area to help them identify where improvements are needed. • Require taxis to provide evidence (for example a certificate) of their exemption from taking passengers in a wheelchair or with an assistance dog. • Using taxi licensing to ensure 20% of taxis at any one time are accessible to wheelchair users in each local authority area. • Make booking of accessible taxis more accessible. Page 41 of 332
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• Taxis should be contactable by SMS, not just a phone number. • Pilot an accessible taxi share scheme- like car clubs- for local areas were no taxi firms have wheelchair accessible vehicles. 4.6 In 2021 Transport Scotland conducted a survey of all licensing authorities to better understand the offering of accessible vehicles at a local level. Responses were received from 31 authorities. However, despite the number of responses only 20 authorities were able to provide numerical data on what wheelchair accessible vehicles were available in their area. The other 11 did not record this information. 4.7 Of the 31 authorities who responded only 9 advised that they provided, or required drivers of taxis and private hire cars to undertake any form of disability awareness training. The training, in the main, usually involved classroom / online and practical training elements and is required to take place within a set period of time (e.g. 6 months) after the license has been awarded. 4.8 Transport Scotland then wrote to Local Authority chief executives recommending that authorities consider revising their licence commitments to make attendance by taxi and private hire car drivers at disability awareness training a compulsory requirement. 4.9 Transport Scotland have committed to repeat this survey in 2024 and this guidance document should be used by authorities to review and inform their policies and procedures. The Legislation and Law 4.10 In addition to the 1982 Act, the two key pieces of primary legislation which set out the accessibility related requirements of licensing authorities and drivers are: 4.11 Equality Act 2010: The Equality Act 2010 (“the 2010 Act”) contains a number of important provisions for the protection of disabled people from discrimination when using taxis and private hire cars. In June 2022, the Act was amended by the Taxis and Private Hire Cars (Disabled Persons) Act 2022 (“the 2022 Act”) to make a number of important improvements. 4.12 Taxis and Private Hire Cars (Disabled Persons) Act 2022 (“the 2022 Act”): The 2022 Act aims to further reduce discrimination against disabled people by extending some of the existing 2010 Act duties to apply to more disabled people and more taxi operators. The amendments include: • Extending the protections currently afforded to place duties on the driver of a taxi or private hire that has been hired to transport a disabled person who is able and wants to travel in a non-wheelchair accessible vehicle. This will benefit wheelchair users whose wheelchairs can be folded and stowed while travelling in a non-designated taxi or private hire car. • Wheelchair users whose wheelchairs cannot be folded and stowed while travelling will further benefit from the new requirement on licensing authorities Page 42 of 332
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to publish a list of wheelchair accessible vehicles in their area – making it easier for them to identify services they can use. • Extending the protections currently afforded to wheelchair users using a designated wheelchair accessible taxi or private hire car and/or assistance dog users to all disabled passengers regardless of the vehicle they travel in. Legal Duties for Drivers and Operators 4.13 The duties outlined below are compulsory by law. Non-compliance with the duties outlined below is an offence under section 164A (9) of the 2010 Act and drivers/operators who fail to comply are liable on a summary conviction to a fine of up to £1,000. They may also be subject to other penalties implemented by their local licensing authority. The duties are- a) to carry the passenger; b) If the passenger is in or has with them a wheelchair, to carry the wheelchair; c) If the passenger has with them any mobility aids, to carry the mobility aids; d) To take such steps as are reasonable to ensure that the passenger is carried in safety and reasonable comfort; e) To give the passenger such mobility assistance as is reasonably required; f) Not to make, or propose to make, any additional charge for complying with any of the aforementioned duties. 4.14 This means that drivers can’t refuse to take a booking from/pick up a passenger with a mobility aid or wheelchair, providing they have a suitably sized vehicle or the wheelchair can be stowed. Drivers should assist the passenger to load their wheelchair or mobility aid and any luggage into or out of the vehicle. However, drivers who hold an exemption certificate issued under section 166 of the 2010 Act are exempt from the duty to give the passenger “mobility assistance” under section 164A(5)(e) and 165(4)(e). 4.15 "Mobility aids” is defined under section 164A(6) of the 2010 Act and means any item the passenger uses to assist with their mobility but does not include a wheelchair or an assistance dog. 4.16 “Mobility assistance” is defined under section 164A(7) of the 2010 Act as: • to enable the passenger to get into or out of the vehicle • to load the passengers luggage, wheelchair or mobility aids into or out of the vehicle 4.17 Section 168 places duties on drivers of taxis who have been hired by or for a disabled person accompanied by an assistance dog, or by another person who wishes to be accompanied by a disabled person with an assistance dog. Those duties are to carry the disabled person’s dog and allow it to remain with that person and not to make any additional charge for doing so. It is an offence to fail to comply Page 43 of 332
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with these duties and a person guilty of such an offence is liable on summary conviction to a fine of up to £1,000. 4.18 Section 170 similarly makes it an offence for a private hire vehicle driver to fail or refuse to carry out a booking accepted by the operator if the booking is made by or on behalf of a disabled person or a person who wishes to be accompanied by a disabled person, and the reason for such failure/refusal is that the disabled person is accompanied by an assistance dog. 4.19 In cases where an operator or driver cannot carry a disabled passenger i.e. because they do not have a wheelchair accessible vehicle, they should try to sign post alternative transport. ❖ Taxi and private hire car drivers have a duty to assist disabled passengers in identifying and finding the vehicle they have booked, without additional charge, where certain conditions are met. Firstly, that the private hire vehicle or pre-booked taxi has been hired by or for a disabled person or by another person who wishes to be accompanied by a disabled person. Secondly, that the driver of the private hire vehicle or pre-booked taxi has been made aware before the start of the passenger’s journey that the passenger requires assistance to identify or find that vehicle. 4.20 This particularly relates to those with sight or cognitive impairments who may need additional assistance in identifying the correct vehicle to get into. Assistance might involve the driver getting out the vehicle to speak to the passenger. Legal Duties for Local Licensing Authorities 4.21 The duties outlined below are compulsory by law. Licensing authorities must ensure local operators and drivers are aware of their duties and are held accountable to licensing regulations. ❖ Licensing authorities are required to maintain and publish a list of wheelchair- accessible vehicles in their area. 4.22 This list became a requirement for all licensing authorities in June 2022 following amendments made to the 2010 Act by the 2022 Act. It is designed to better inform disabled people of the transport options available to them and can be used by licensing authorities to identify gaps in local wheelchair accessible vehicle provision. The City of Edinburgh Council provides information about their legal requirements as well as a PDF document containing a list of all wheelchair accessible taxis and private hire cars licensed in Edinburgh on their website: Licences and permits applications – The City of Edinburgh Council Page 44 of 332
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❖ The 2022 Act amended section 166 of the 2010 Act (Disabled passengers: exemption certificates) to the effect that Licensing authorities must provide drivers with a certificate exempting them from “mobility assistance" duties only if satisfied that it is appropriate to do so on medical grounds or on the ground that the person’s physical condition makes it impossible or unreasonably difficult for the person to comply with those duties. 4.23 Ensuring drivers have evidence of medical exemption from providing mobility assistance should reduce potential complaints from passengers. Authorities should keep a record of exemptions. See medical fitness chapter for more information. ❖ Licensing authorities should take action against drivers who fail to carry out their duties. Enforcement and Penalties 4.24 Should a disabled passenger believe that they have been discriminated against and an offence committed, they should contact their licensing authority and follow their procedures for making a complaint. 4.25 Licensing Authorities should ensure they have the necessary procedures in place to fully support the submission and handling of complaints. Subject to local licensing conditions, authorities can consider the application of sanctions including the suspension or revocation of taxi or private hire car driver licenses where deemed appropriate. 4.26 The Equality and Human Rights Commission (EHRC) is the regulatory body responsible for enforcing the Equality Act 2010. The policies and actions of licensing authorities are equally subject to the enforcement of Equality Act duties. 4.27 If a disabled taxi passenger believes they have been treated unfairly or have experienced discrimination contrary to the provisions of the Equality Act, they may seek advice through the Equality Advisory and Support Service. Licensing authorities should proactively ensure operators and drivers, as well as their own policies, are cognisant of Equality Act duties, in order to minimise cases of unintended discrimination or prosecution action. Best Practice Guidance 4.28 As things stand, there are others ways in which taxi operators can provide a more accessible service, which aren’t yet defined in law. It is therefore important that authorities, operators and drivers follow best practice where possible. The remainder of this chapter will provide best practice guidance on how the industry can take further steps to improve accessibility. Page 45 of 332
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Provision of wheelchair accessible vehicles 4.29 A key barrier faced by disabled people when accessing taxi services is the unavailability of Wheelchair Accessible Vehicles, particularly in rural locations. In 2021, excluding Edinburgh and Angus councils, there were 18,311 taxis and private hire cars operating in Scotland and only 3,661 (less than 20%) were wheelchair accessible vehicles. See table 1.4 in Chapter 01 of Transport Scotland Scottish Transport Statistics 2021. 4.30 Authorities already have powers to specify standards for vehicles in taxi and private hire car fleets, and we encourage them to ensure that the supply of wheelchair accessible vehicles is sufficient to satisfy demand from disabled passengers in their area. Transport Scotland strongly recommends that no less than 20% of licensed taxis in each local authority area is a wheelchair accessible vehicle. 4.31 Transport Scotland’s survey in 2021 found that several authorities were developing plans to increase their number of wheelchair accessible vehicles. This is something that can be monitored when the survey is repeated. 4.32 Some authorities have taken steps to encourage an increase in wheelchair accessible vehicles, including: Fife Council, in recognition of initial higher costs and to encourage purchase, permit wheelchair accessible vehicles to remain operational for 12 years from the date of first registration, rather than the 10 years applicable to other vehicles. Aberdeen City Council require all new taxi licence applications to use wheelchair accessible vehicles. Booking Accessibility 4.33 Operators have existing duties under the Equality Act 2010 to make reasonable adjustments to enable disabled people to access their services, this includes their ability to easily book a taxi/ private hire car. 4.34 Developments in technology now allow taxi and private hire car operators to offer multiple ways for passengers to pre-book a taxi/ private hire car i.e. telephone, app, internet etc. Transport Scotland strongly recommends that operators consider accessibility when developing their booking systems. 4.35 For instance, if only telephone booking is offered, this may be a barrier for those who have a hearing impairment, so SMS/App based booking should be offered as an alternative. Equally, operators should avoid only offering app based booking as this may be a barrier for those who may not have access to/can’t operate a smart phone. 4.36 As part of the information operators request when taking a booking, operators should always ask if the passenger(s) will require any assistance. This information should then be passed on to the driver to ensure they are aware of the passenger(s) accessibility needs. Page 46 of 332
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Affordability 4.37 Often disabled people may be unable to access more inexpensive modes of public transport due to their inaccessible design or geographical location. Equally in rural areas, a taxi or private hire car may be the only option available and unavoidable in circumstances like getting to and from health and social care appointments, as discussed in the 2019 Mobility and Access Committee for Scotland (MACS) Transport to Health and Social Care Report. 4.38 This means that taxis and private hire cars may be the only option for disabled passengers, automatically adding additional financial strain is disabled passengers. 4.39 Section 1 of the Equality Act states: An authority… when making decisions of a strategic nature about how to exercise its functions, have due regard to the desirability of exercising them in a way that is designed to reduce the inequalities of outcome which result from socio-economic disadvantage. 4.40 Taxi Card schemes have been funded by some Local Authorities to subsidise often unavoidable taxi journeys for disabled people. Local Authorities should consider if they can introduce a taxi card scheme or promote existing schemes. East Lothian offer a Taxi Card scheme which means eligible disabled passengers pay the first £1.50 of each trip, with the council contributing to the cost of a taxi journey to a maximum of £3.00 i.e. if a trip costs £7 the passenger will pay £4 and the council will pay £3. Disability Awareness Training 4.41 Although not a legal requirement, Transport Scotland strongly recommends that authorities require mandatory disability awareness training for drivers, as part of their licensing criteria. 4.42 Training helps provide drivers with background knowledge on why the accessibility duties are so important and assists them in building confidence and skill in delivering an accessible and inclusive service. 4.43 REAL training was developed by the Department for Transport through extensive consultation with disabled people and organisations that represent them. It is provided free of charge and has modules relating to specific transport modes. However, authorities are also encouraged to explore in-person training events/courses. Page 47 of 332
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East Ayrshire Council impose a condition on all taxi and private hire car driver licences that the licence holder attend a 2 hour, in person disability awareness training session provided by the Local Authority. Failure to undergo training will result in a referral to the Local Government Licensing Panel for consideration of suspension of the licence. Hate Crime Charter 4.44 The Hate Crime Charter encourages transport providers, members of the public and other services to adopt a zero-tolerance approach to hate crime on Scotland’s transport network, including hate crime against disabled people. Transport providers including taxi and private hire car representatives and operators can pledge their support to the Hate Crime Charter, which demonstrates that they support the belief that everyone has the right to travel safely and any aggressive, bullying or harassing behavior will not be tolerated on their services. 4.45 To learn more about the Charter and how to pledge support, please visit the Accessible Travel Hub website. Best Practice Checklist 4.46 In the Transport Scotland survey completed in 2021, around half of all licensing authorities stated they had plans to review their policies around local taxi accessibility and the provision of wheelchair accessible vehicles. To assist with this work, the Mobility and Access Committee for Scotland produced a list of simple recommendations and considerations which authorities should use when reviewing their policies: Mobility and Access Committee for Scotland Recommendations Understand how taxi & private hire car services can support people in new ways • Drivers who are disability-aware can provide unique support to customers. • Understand why your customers are travelling - can you provide additional services that support this journey? (for example collecting prescriptions or shopping) • Enable people to book easily without repeating their needs • If you’re not sure how to help, just ask. Many service providers learn just as much from their own passengers as from any formal training - and often people are happy to offer advice so you can help them and others too. • Make it known to your passengers that you’re open to their advice and guidance Understand what ‘safety’ means to your passengers • Explore different ways to help customers to feel safe (for example, different ways of cashless payments, requesting particular drivers) • If you can offer the option of a female driver, make this widely known. Page 48 of 332
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• Technology that allows people to share their location and journey can make people feel safe • Consider different ways for people to pay Be Inclusive • Provide the option of a wheelchair accessible vehicle • Provide information in as many formats and languages as possible - include voiced narration, BSL interpretation and captions in videos • Help customers to book a journey in ways that are accessible to them (for example, can people use text? some people find it difficult to speak on the phone) • Provide opportunities for staff to access disability training • Advertise your disability awareness Help people to follow the rules • Reassure everyone by giving clear guidance about who is responsible in certain situations • Ensure that staff feel empowered, safe and confident - this will help them to help others follow the rules Page 49 of 332
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Chapter 5 – vehicles Vehicle Specification 5.1 The legislation gives local licensing authorities a wide range of discretion over the types of vehicle that they can licence as taxis or private hire cars. Some authorities have adopted criteria as to vehicle specification that in practice can only be met by purpose-built vehicles but the majority licence a range of vehicles. 5.2 While purpose-built vehicles are amongst those which a licensing authority could be expected to licence, licensing authorities should be cautious about specifying only purpose-built taxis, with the strict constraint on supply that this implies. 5.3 Some licensing authorities operate a policy of specifying as many different types of vehicle as possible. Indeed such authorities might also consider a policy that allowed the taxi/private hire car trade to propose vehicles of their own choice that met a range of general criteria as to specification set by the licensing authority. Such an approach could provide greater flexibility in allowing new vehicle types to be considered. 5.4 See also the section in this chapter regarding Environmental Considerations. Imported vehicles: type approval 5.5 It may be that from time to time a licensing authority will be asked to licence a taxi or private hire car that has been imported independently (by somebody other than the manufacturer). Such a vehicle might meet the licensing authority’s criteria for licensing, but the licensing authority may nonetheless be uncertain about the wider rules for foreign vehicles being used in the UK. Such vehicles will be subject to the ‘type approval’ rules. The current acceptable options for vehicle registration include EU type approval and two forms of type approval that have been introduced since Brexit: UK(NI) type approval and GB type approval, which were introduced on 1 January 2023. 5.6 For an overview on type approval please see the Vehicle Approval pages on the UK Government website. For more detailed information please refer to the website of the Vehicle Certification Agency and the Type Approval and What is Type Approval? pages in particular. Vehicle Testing 5.7 There is considerable variation between local licensing authorities on vehicle testing, including the related question of age limits. The following can be seen as best practice: • Frequency of Tests. The legal requirement for taxis requires that they should be subject to an MOT test or its equivalent one year after first registration and annually thereafter. For private hire cars annual MOT testing should commence after the vehicle is three years old. Notwithstanding MOT Page 50 of 332
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requirements, authorities generally undertake inspection of taxis and private hire cars at first licensing and annually or more frequently thereafter. This approach is considered best practice in the interests of public safety. Annual testing for licensed vehicles regardless of age is considered best practice although more frequent testing may be appropriate for older vehicles (see 'age limits' below). Licensing authorities may wish to note that a review carried out by the National Society for Cleaner Air in 2005 found that taxis were more likely than other vehicles to fail an emissions test. This finding, perhaps suggests that emissions testing should be carried out on an ad hoc basis and more frequently than the full vehicle test. • Criteria for Tests. Similarly, for mechanical matters it seems appropriate to apply the same criteria as those for the MOT test to taxis and private hire cars. The MOT test on vehicles first used after 31 March 1987 includes checking of all seat belts. However, taxis and private hire cars provide a service to the public, so it is also appropriate to set criteria for the internal condition of the vehicle, requiring for example the internal passenger accommodation, upholstery and fittings to be maintained in a serviceable condition. Further advice and details of publications about MOT testing can be found on the Driver & Vehicle Standards Agency website. • Age Limits. The setting of an age limit beyond which a licensing authority will not licence vehicles is somewhat arbitrary and disproportionate particularly as it is perfectly possible for a well-maintained older vehicle to be in good condition. A greater frequency of testing may, however, be appropriate for older vehicles - for example, twice-yearly tests for vehicles more than five years old. • Number of Testing Stations. There is sometimes criticism that local licensing authorities provide only one testing centre for their area (which may be geographically extensive). It is good practice for licensing authorities to consider having more than one testing station. There could be advantage in contracting out the testing work, and to different garages. In that way the licensing authority can benefit from competition in costs. The Driver & Vehicle Standards Agency - may be able to assist where there are local difficulties in provision of testing stations. Security 5.8 Licensing authorities should actively promote and facilitate good links between the taxi and private hire car trades and the local police force, including active participation in any crime reduction initiatives. 5.9 The owners and drivers of vehicles will often want to install security measures to protect the driver. Licensing authorities may consider that this is a matter best left to the judgement of the owners and drivers themselves. However, it is recommended practice for licensing authorities to consider sympathetically, or indeed actively encourage, their installation. Page 51 of 332
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5.10 Security measures could include a screen between driver and passengers. Partitions or safety screens provide a physical barrier between drivers and passengers in the vehicle. They are commonly installed as a safety feature to protect the driver from physical attacks. Such screens can also be used as a way of providing physical separation between drivers and passengers in order to reduce the transmission of viruses. Decisions on any requirements relating to the installation of safety screens ultimately rest with local licensing authorities. 5.11 It is recommended practice for local licensing authorities to require taxi or private hire car licence holders to advise the licensing authority of their plan to install a safety screen within the licensed vehicle. Before a screen is installed within a licensed vehicle it is recommended practice for local licensing authorities to seek proof from the taxi or private hire car licence holder that the relevant insurer has been contacted about the proposed installation and that the insurer has confirmed in writing that the necessary insurance would be unaffected by this installation. In addition, it is recommended practice for licensing authorities to seek confirmation from the taxi or private hire car licence holder that the proposed screen complies with the specification set out in Guidance on Partition Screens in Taxi and Private Hire Cars, published July 2021. That Guidance can be viewed at Annex C 5.12 In respect of partition screens only, the guidance at Annex C supersedes previous guidance published in August 2020 by the Local Authority Environmental Health and Trading Standards Expert Officers’ Group. The licensing authority may consider the installation of a screen to be a material change to the licence and require to be notified of the screen installation formally in terms of Paragraph 9 of Schedule 1 to the Civic Government (Scotland) Act 1982. It is however, recognised that local licensing authorities may have different requirements for the installation of screens within a licensed taxi or private hire car, some may require the licensed vehicle to undergo an additional inspection, so it is recommended that licensing authorities provide a note of its requirements on its webpage to ensure licence holders are aware of these. 5.13 Security measures could also include CCTV. The Information Commissioner’s Office Guidance on video surveillance (including CCTV) will be helpful for licence holders making such a decision. 5.14 Installation of CCTV in taxis and private hire cars may offer a degree of security in terms of safety of both passengers and drivers alike. It could also prove a useful tool in corroboration in cases of fare disputes, vandalism and other anti-social or criminal behaviour committed within the vehicle. Licensing authorities in assessing the suitability of CCTV equipment must be aware of any responsibilities for themselves and/or the drivers and operators of the CCTV systems under UK General Data Protection Regulation (“UK GDPR”) and the Data Protection Act 2018. 5.15 For the purposes of the installation and use of CCTV systems in taxis and private hire cars, the “data controller” will be the person who makes the decision to install CCTV, i.e. the holder of the taxi or private hire car licence and not the driver. The Information Commissioner’s Office is a helpful source of information and advice. Where CCTV systems are installed in taxis and private hire vehicle, operators should ensure that they comply with the Information Commissioner’s Office Guidance on Page 52 of 332
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video surveillance (including CCTV). Images recorded on such systems are personal data and their processing is subject to the provisions of the Data Protection Act 2018. The Scottish Government has also produced a separate CCTV Strategy for Scotland. A National Strategy for Public Space CCTV in Scotland provides a common set of principles that operators of public space CCTV systems in Scotland should be guided by. The principles aim to ensure that these systems are operated fairly and lawfully. 5.16 Care should be taken that any security measures within the vehicle do not impede a disabled passenger's ability to communicate with the driver. 5.17 Caution is also required if, for any reason, CCTV is operational continuously. It would, for example, mean a camera could be operating when the vehicle is being used privately by the driver. The Information Commissioner’s Office view on this matter is that, in most cases, this is unlikely to be fair and lawful processing of personal data. 5.18 The Information Commissioner’s Office CCTV Guidance (link above) also highlights the need to ensure that “your business has established a process to recognise and respond to individuals or organisations making requests for copies of the images on your CCTV footage”. Further information about a person’s ‘right of access’ to such information is also available on the Information Commissioner’s Office website. 5.19 As an example of best practice the Scottish Government would highlight the policy document issued by Glasgow City Council, that sets out the Licensing Authority’s policy on the installation and use of CCTV systems in licensed taxis and private hire cars. The policy document can be viewed at Annex A. 5.20 Local licensing authorities may wish to consider adopting a similar style of policy document. Vehicle Identification 5.21 Members of the public can be unaware of the fact that private hire cars and taxis operate differently, that private hire cars are not available for immediate hire and must be pre-booked. It is important, therefore, that it is easy to distinguish between the two types of vehicle. 5.22 Section 14 of the 1982 Act prohibits the display on, or in, a private hire car of any feature which could suggest that the vehicle is available for hire as a taxi. The display of rooftop signage on private hire cars may lead to confusion and we suggest as best practice the inclusion of a condition of licence for private hire cars precluding the display of any type of rooftop signage on such vehicles. Condition 14 of the model conditions set out in Annex B to Scottish Development Department Circular 25/1986 refers. 5.23 In addition to the specified local authority licence plate or disc identifying the vehicle as a private hire car some clearer identification is best practice. This is for two reasons: firstly, to ensure a more positive statement that the vehicle cannot be Page 53 of 332
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hired immediately through the driver; and secondly because it is reasonable, and in the interests of the travelling public, for a private hire car operator to be able to state on the vehicle the contact details for hiring. In this regard authorities might consider introduction of a licence condition which requires a sign on the vehicle in a specified form. This will often be a sign of a specified size and shape which identifies the operator (with a telephone number for bookings) and the local licensing authority, and which also has some words such as 'pre-booked only'. This approach identifies the vehicle as private hire, helps to avoid confusion with a taxi and gives useful information to the public wishing to make a booking. Environmental considerations 5.24 A broad range of environmental issues apply, including noise, air quality, greenhouse gas emissions, and resource efficiency. Local licensing authorities should consider how far their vehicle licensing policies can and should support both local and national environmental policies that have been adopted. This should involve closer communication between local transport and environmental committees and consideration of Scottish Net Zero targets. 5.25 As environmental impacts can cross local authority boundaries, local licensing authorities may also find it helpful to consult with licensing authorities in surrounding areas with a view to aligning environmental policies and practices where possible. 5.26 Provision of refuelling infrastructure that supports environmental objectives should be considered. In Dundee, electric rapid charge points have been deployed by the local authority in locations that are convenient for the local taxi and private hire trade to use. This has encouraged the uptake of electric vehicles in the city and reduced dependence on diesel fuel. Supporting the uptake of alternative liquid fuels such as Hydrogen, LPG and biofuels could also help to achieve environmental goals where consideration is given for key user groups such as taxi and private hire vehicles. 5.27 Authorities may also wish to consider in any review of their list of approved vehicles for licensing purposes the availability of increasing numbers of alternatively fuelled vehicles on the market. Authorities in considering approval of environmentally friendly vehicles will doubtless have due regard to their obligation to be satisfied as to a vehicle’s suitability for licensing as a taxi or private hire car in terms of type, size and design and that it is comfortable and safe for use as a taxi or private hire car (section 10 of the 1982 Act). Such considerations should form part of any wider environmental policy or strategy. 5.28 Consideration should be given where local restrictions on vehicle age apply. For some vehicles using a cleaner fuel vehicle could require greater capital investment. Age limits could undermine this business case, and exemptions should be considered. This has been adopted by City of Edinburgh Council where up to an additional 4 years can be applied beyond the usual licensing age limit for alternatively fuelled vehicles such as LPG and electric taxis. 5.29 Aligning polices with the broader range of fuel types could help to enable choice in the market. Historically, minimum engine capacity (in cc) has been used to Page 54 of 332
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set vehicle standards. An alternative method is to use a ‘power to weight’ ratio which can normalise sufficient power across different fuel types. 5.30 Local authorities may also wish to consider promotion of cleaner fuels and/or training for drivers in environmentally friendly driving as a means to reduce both environmental impacts and driver costs. Hosting local infrastructure, and looking for opportunities to share infrastructure with e.g. local authority fleets or depots is recommended. Local authorities can also support and raise awareness of incentives or grants that are available. 5.31 An increasing number of Scottish local authorities are adopting environmental policies with regard to taxi and private hire car licensing in their areas. Glasgow, Edinburgh, Dundee and Aberdeen have introduced Low Emission Zones which set an emission standard for vehicle entry of Euro 4 or better for petrol/gas vehicles and Euro 6 or better for diesel vehicles to reduce emissions. Authorities should consider giving sufficient notice for any adoption of emission standards and consideration for what is achievable with the rate of turnover within the existing fleet. Good dialogue with the trade is recommended to understand the context of any proposed environmental initiative. Exemptions from licensing 5.32 Section 22 of the 1982 Act currently provides that the licensing requirements do not apply to vehicles used for bringing passengers or goods within and taking them out of an area in respect of which the vehicle is not licensed as a taxi or a private hire car in pursuance of a contract for the hire of the vehicle made outside the area if the vehicle is not made available for hire within the area, vehicles being used in connection with a funeral or wedding, nor does it apply to any vehicle while it is being used for carrying passengers for its exclusive hire for a period of not less than 24 hours. This is often referred to as the contract exemption. 5.33 This exemption therefore allows drivers and vehicles being used exclusively for contract work to fall out with the licensing regime. 5.34 This is on the assumption that the person/ body contracting the work will be responsible for the scrutiny of the person/ company fulfilling the contract. The Scottish Government would recommend to the person/ body contracting the work that the use of unlicensed individuals or firms to provide transport services, particularly to vulnerable groups, should be carefully considered. Any tendering process and final contract must clearly be compliant with relevant legislation (i.e. registration with Protecting Vulnerable Groups scheme where appropriate) but should also build in time and capacity to effectively establish the safety and suitability of the drivers and vehicles. Considering the wide range of factors that this covers (road worthiness, accessibility requirements, criminal records checks, driver training etc), the use of licensed drivers and vehicles may be more efficient. 5.35 In response to concerns that had been raised by stakeholders that the existence of the contract exemption was leading to abuse by people undertaking private hire type activities, but claiming that these came within the contract exemption, the 2015 Act made provisions for the removal of the current exemption Page 55 of 332
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provided for at section 22(1)(c) of the 1982 Act, for a vehicle while it is being used for carrying passengers for its exclusive hire for a period of not less than 24 hours. The Act does not amend the current exemption in relation to funerals or weddings. 5.36 When brought into force, this will bring vehicles being used in such a manner into the licensing regime for taxis and private hire cars. Please note however that the contract exemption remains in place at present. 5.37 The policy objective for the removal of the contract exemption is to preserve and improve the safety of the travelling public by widening the scope and tightening the regulation of the licensing regime. In particular, by addressing concerns that legitimate trade is being unfairly challenged by some businesses circumventing or abusing the licensing regime, and also improving compliance within the regime. 5.38 The Scottish Government recognises that there are a wide variety of businesses and activities that might inadvertently be brought into taxis and private hire car licensing by removing the contract exemption, and that preparatory work is required and underway through engagement with licensing stakeholders. 5.39 The Scottish Government will undertake additional work to better understand existing business operations, for example through stakeholder engagement as alluded to above and formal consultation before removing the existing contract exemption. Licensing of stretch limousines and other special events vehicles 5.40 Special events vehicles (stretch limousines, decommissioned emergency service vehicles etc.) typically booked for party occasions have appeared on our roads in increasing numbers over recent years. Demonstrating a clear public demand for the special service that they provide. 5.41 Concern has been expressed that some such vehicles may be operating out with any specific licensing regime. These vehicles and their drivers may not therefore have been subject to appropriate scrutiny either under the private hire car or public service vehicle licensing arrangements (the latter applies primarily to vehicles that have more than 8 passenger seats. Responsibility for this legislation is reserved to the UK Government). 5.42 Section 23 of the 1982 Act defines ‘hire car’ in the following terms: "hire car" means a motor vehicle with a driver (other than a vehicle being a public service vehicle within the meaning of section 1(1)(a) of the Public Passenger Vehicles Act 1981) (the 1981 Act) which is, with a view to profit, available for hire by the public for personal conveyance. 5.43 Section 7 of the 1982 Act provides that any person who, without reasonable excuse does anything for which a licence is required under Part II of the Act (which includes sections 10-23) without having such a licence, shall be guilty of an offence. Page 56 of 332
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5.44 In terms of section 10 of the 1982 Act, licensing authorities have discretion over the types of vehicles that they licence as private hire cars. We understand that some authorities licence limousines, that some do not and that few if any authorities licence other special events vehicles. In some instances, therefore, it is currently not possible for an operator of a special events vehicle to secure a private hire car licence. The view the licensing authority takes in relation to the licensing of special events vehicles is a separate issue from whether a licence is required to operate or drive such a vehicle. 5.45 The Scottish Government takes the view that a blanket policy to refuse to licence these vehicles simply as a matter of principle presents an unacceptable safety risk to the travelling public. Public safety considerations are best served by the adoption of policies that ensure through the licensing process for the vetting of operators and drivers and inspection of vehicles. 5.46 In the light of the above, we would encourage licensing authorities: • to consider applications on their individual merits having regard to the above advice. • to adopt, in liaison with the police, a proactive approach, to the question of the operation of vehicles without a licence required under the 1982 Act. 5.47 Licensing authorities in considering any variance in regard to its technical specification of vehicle for licensing as a private hire car, perhaps in recognition of the particular nature of the service provided by special event type vehicles, will wish to ensure that the principles of section 10(3A) are not compromised in any way. 5.48 It should be emphasised that the above advice applies to vehicles with capacity up to 8 passenger seats. Vehicles with greater seating capacity may fall to be considered under public service vehicle legislation. 5.49 In the exercise of their discretion as to the suitability of a particular vehicle for licensing as a private hire car, authorities might wish to consider whether policies for example setting age limits on vehicles and/or excluding left hand drive are not unduly restrictive. 5.50 In the past imported stretched limousines were checked for compliance with British regulations under the Single Vehicle Approval inspection regime, prior to registration. This was replaced by the Individual Vehicle Approval (IVA) scheme. The IVA test verifies that the converted vehicle is built to certain safety and environmental standards. A licensing authority may wish to request sight of the IVA certificate to ensure that the vehicle was tested by the Driver & Vehicle Standards Agency before being registered and licensed (taxed). This can be done, either by checking the Registration Certificate (V5C) of the vehicle, which may refer to IVA under the ‘Special Note’ section, or by writing to the Driver & Vehicle Standards Agency providing details of the vehicle make/model, registration number and VIN number. 5.51 Some licensing authorities have reported difficulty due to the size of some vehicles precluding them being properly tested in conventional MOT garages. If there is not a suitable MOT testing station in the area we understand that it may be Page 57 of 332
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possible to arrange to test the vehicle at one of the Driver & Vehicle Standards Agency approved test stations. Quantity restrictions of taxi licences 5.52 The legal provision on quantity restrictions for taxis is set out in section 10(3) of the 1982 Act. This provides that: …the grant of a taxi licence may be refused by a licensing authority for the purpose of limiting the number of taxis in respect of which licences are granted by them if, but only if, they are satisfied that there is no significant demand for the services of taxis in their area which is unmet. 5.53 Local licensing authorities will be aware that, in the event of a challenge to a decision to refuse a licence, the licensing authority concerned would be required to establish to the satisfaction of the court that it had first satisfied itself that there was no such significant unmet demand. 5.54 The Scottish Government is of the view that decisions as to the case for limiting taxi licences should remain a matter for licensing authorities in the light of local circumstances. Licensing authorities that presently restrict numbers of taxi licences are, however, encouraged to periodically review this policy and to examine the wider policy direction. 5.55 Licensing authorities in reviewing their policy with regard to quantity restrictions on taxi licences should consider whether any restriction presently in place should continue. The matter should be approached in terms of the interests of taxi users. What benefit is achieved for them by the continuation of controls and how might they benefit if the controls were removed? Is there evidence that removal of the controls would result in a clear and unambiguous deterioration in the amount or quality of taxi service provision? Authorities in assessing the case for quantity restrictions will wish also to have regard to the availability of an appropriate supply of accessible vehicles within the hire car fleet such as to meet the needs of passengers with a disability. 5.56 Authorities may find the information in Annex B helpful. That Annex sets out a number of questions which may be helpful to licensing authorities in any review of policy in regard to the quantity control of taxi licences. 5.57 The Scottish Government agrees that the question of the restriction of licences should be left to the discretion of licensing authorities. However, there is a need for review of the frequency and component parts of the surveys used by licensing authorities to measure unmet demand. In regard to frequency, licensing authorities should carry out a survey sufficiently frequently to be able to respond to any challenge to the satisfaction of a court. 5.58 Some key points which authorities should consider are: • The length of time that would-be customers have to wait at ranks. However, this alone is an inadequate indicator of demand. Page 58 of 332
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• Waiting times for street hailing’s and for telephone bookings. But waiting times at ranks or elsewhere do not in themselves satisfactorily resolve the question of unmet demand. • Latent demand, for example people who have responded to long waiting times by not even trying to travel by taxi. This can be assessed by surveys of people who do not use taxis, perhaps using stated preference survey techniques. • Peaked demand. It is sometimes argued that delays associated only with peaks in demand (such as morning and evening rush hours, or pub closing times) are not 'significant'. The Scottish Government does not share that view. Since the peaks in demand are by definition the most popular times for consumers to use taxis, unmet demand at these times should not be ignored. Local authorities should consider when the peaks occur and who is being disadvantaged through restrictions on provision of taxi services. • Consultation. As well as statistical surveys, assessment of quantity restrictions should include consultation with all those concerned, including user groups, the police, local businesses (e.g. hotels, pubs and clubs and visitor attractions) and providers of other transport modes (such as train operators who want taxis available to take passengers to and from stations). • Publication. All the evidence gathered in a survey should be published, together with an explanation of what conclusions have been drawn from it and why. If quantity restrictions are to be continued, their benefits to consumers and the reason for the particular level at which the number is set should be explained. • Financing of surveys. It is not good practice for surveys to be paid for by the local taxi trade (except through general revenues from licence fees). To do so can call into question the impartiality and objectivity of the survey process. Quantity restrictions of private hire car licences 5.59 The legal provisions on quantity restrictions for private hire cars are set out in sections 10(3A), 10(3B) and 10(3C) of the 1982 Act. These provisions provide that: 10(3A)without prejudice to paragraph 5 of schedule 1 [to this Act] the grant of a private hire car licence may be refused by a licensing authority if, but only if, they are satisfied that there is (or, as a result of granting the licence, would be) overprovision of private hire car services in the locality (or localities) in their area in which the private hire car is to operate. 10(3B) It is for the licensing authority to determine the localities within the area for the purposes of subsection (3A) and in doing so the authority may determine that the whole of their area is a locality. 10(3C) In satisfying themselves as to whether there would be overprovision for the purposes of subsection (3A) in any locality, the licensing authority must have regard to – (a) The number of private hire cars operating in the locality, and (b) The demand for private hire car services in the locality. Page 59 of 332
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5.60 The 2015 Act introduced these provisions into the 1982 Act which gave licensing authorities the discretionary power to refuse to grant private hire car licences on the grounds of overprovision. This power came in to force on 1 May 2017 and only applies to grant applications. It does not apply to the renewal of existing private hire car licences. 5.61 Licensing authorities, in considering whether to use this ground of refusal, should take into account the Scottish Government Private Hire Car Licensing: Guidance on Power to Refuse on Grounds on Overprovision, dated 24 September 2019. 5.62 As noted in the above guidance, it is for individual licensing authorities to decide whether they wish to undertake an overprovision assessment of private hire cars. In considering this matter licensing authorities may wish to take into account factors such as: • whether they already restrict taxi vehicle numbers • views from the trade, both taxis and private hire car businesses • overall trends in vehicle numbers, are private hire car vehicle numbers increasing? • churn, with licence holders failing to renew vehicle licences. 5.63 The Scottish Government recommends that licensing authorities who decide that they wish to use the overprovision power should develop and consult on a formal overprovision policy. 5.64 As an example, the Scottish Government would highlight the overprovision policy for the grant of private hire car licences introduced by Glasgow City Council in April 2019. Return of Plates - Section 10(6) 5.65 The Scottish Government is aware that some licensing authorities have experienced difficulties over compliance with the return of taxi and private hire car licence plates required under terms of Section 10(6) of the 1982 Act. 5.66 In order to address concerns over non-compliance licensing authorities can use their powers under Schedule 1 to insert an expiry date on licence plates at time of issue. 5.67 The Scottish Government would encourage licensing authorities to consider the inclusion of an expiry date or car registration number on licence plates at time of issue to discourage non-compliance and assist enforcement personnel in identifying any cases of inappropriate use. Page 60 of 332
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Chapter 6 – taxi fares 6.1 Local licensing authorities have a duty under section 17 of the 1982 Act to fix the scales for fares and all other charges in connection with the hire of taxis in their area and have a duty to review the resultant fare scales within 18 months of the scales coming into effect. 6.2 In the conduct of a tariff review, authorities are advised as best practice to pay particular regard to advice contained in paragraphs 2.34 - 2.37 of Scottish Development Department Circular 25/1986. The Circular advises on the frequency of reviews, need for consultation, relevant considerations and the right of appeal. 6.3 The Criminal Justice and Licensing (Scotland) Act 2010 made changes that affect sections 17 and 18 of the 1982 Act with regard to taxi fares’ appeals and procedures although they do not cover all amendments. The main changes being: • Section 17 clarifies that ‘the licensing authority must fix scales for the fares and other charges… within 18 months, beginning with the date on which the scales came into effect’. The period of time a licensing authority has to give notice of a new fare scale is extended to 7 days after the scales are fixed. • Section 18 allows representative bodies (as well as individual taxi operators) to appeal to the Traffic Commissioner against fare scales. 6.4 Licensing authorities will also wish to be aware of advice contained in paragraphs 2.38 - 2.42 of Circular 25/1986 and the procedural rules set out in ‘The Licensing and Regulation of Taxis (Appeals in Respect of Taxi Fares) (Scotland) Order 1985’. The procedural rules were amended by ‘The Licensing and Regulation of Taxis (Appeals in Respect of Taxi Fares) (Scotland) Amendment Order 2011’ to reflect the legislative amendment within section 174 of the 2010 Act. 6.5 Taxi fares are a maximum, and in principle are open to downward negotiation between passenger and driver. It is not good practice, however, to encourage such negotiations at rank, or for on-street hailings as there would be risks of confusion and security problems. 6.6 However, licensing authorities can usefully make it clear that published fares are a maximum, especially in the context of telephone bookings, where the customer benefits from competition. There is more likely to be a choice of taxi operators for telephone bookings, and there is scope for differentiation of services to the customer's advantage (for example, lower fares off-peak or for older people). 6.7 There may be a case for allowing any taxi operators who wish to do so to make it clear - perhaps by advertising on the vehicle - that they charge less than the maximum fare. Page 61 of 332
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Chapter 7 – licensing of booking offices 7.1 The Civic Government (Scotland) Act 1982 (Licensing of Booking Offices) Order 2009 (“the 2009 Order”) requires licensing authorities to licence the use of premises used for the taking of bookings for taxis and private hire cars in the interests of public safety and crime prevention. 7.2 The 2009 Order provides that booking offices (those which take bookings for 4 or more relevant vehicles i.e. taxis or private hire cars licensed under Section 10 of the 1982 Act) must hold a booking office licence issued by the local authority in which area the premises are located. 7.3 The 2009 Order created a new licensable activity under the 1982 Act namely "the use of premises for the carrying on of a business which consists to any extent of the taking of bookings, by any means of communication, from members of the public for the hire of a relevant vehicle". (A relevant vehicle is defined as a vehicle in relation to which a taxi or private hire car licence has been granted in terms of the 1982 Act). 7.4 The 2009 Order prescribes several licensing conditions which authorities are required to attach to the grant or renewal of a booking office licence. These conditions require that a record is kept of all bookings taken and that that record should include the registration number of the vehicle and the name of the driver fulfilling the hire. The licence holder is also required to take all reasonable steps to ensure that any vehicle and driver used to fulfil a hire is appropriately licensed under the 1982 Act. 7.5 The legislation does not set out to be overly prescriptive as to conditions that might be applied to licences. Authorities, however, may in terms of paragraph 5 to Schedule 1 of the 1982 Act attach such other reasonable licensing conditions as they consider appropriate having regard to local circumstances and their own legal advice. 7.6 The 2009 Order applies Part 1 of the 1982 Act (including Schedule 1) with certain modifications. This ensures that licensing authorities will send a copy of any application to the Chief Constable. The result is that those responsible for the operation of booking offices (the licence holder) are subject to police criminal record checks. Local licensing authorities are also required to refuse an application where the applicant is not a fit and proper person to be a holder of the licence. In the case where a licence for that activity is in force or has been applied for the 2009 Order also affords enforcement personnel and police with access to inspect premises and records to check whether the terms of a licence are being complied with. The 2009 Order also, subject to the obtaining of a warrant, provides powers to enforcement personnel and police to enter and search unlicensed premises. HMRC tax check 7.7 HMRC is introducing a simple tax check from October 2023 that will take place when a person renews their booking office licence. This tax check is also being introduced when a person renews their taxi or private hire car driver licence. Page 62 of 332
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7.8 This will be a small addition to the requirements already put in place by licensing authorities, for example checks to ensure that licensees are fit and proper persons. This will be a straightforward online process, taking a few minutes, typically once every 3 years. The tax check will simply confirm that applicants are registered for tax if they need to be. 7.9 The process will be slightly different depending on whether someone is renewing their licence or applying for the first time. If they are renewing their licence, they’ll need a tax check reference number which they can get by submitting their details into the HMRC online service. The licensing authority will use this to confirm with HMRC that the applicant has completed a tax check. The licensing authority will then reach a decision on the licence in the usual way. The HMRC Website contains guidance on the renewal process for applicants, and also guidance on the renewal process for licensing authorities. 7.10 First-time applicants will not have to complete the check. Instead, licensing authorities will make sure they have access to HMRC guidance, showing them what they need to do in order to be properly registered for tax in the future. As decisions on applications for these licences are conditional on the tax check (in addition to the licensing authorities requirements) this is known as ‘tax conditionality’. The HMRC Website contains guidance for first-time applicants, and also guidance for licensing authorities on first-time applicants. HMRC’s strategy for tackling the hidden economy 7.11 HMRC is clear the majority in these sectors already pay the tax that is legally due. HMRC is committed to levelling the playing field for compliant businesses so those who meet their tax obligations aren’t disadvantaged, or undercut, by those who don’t. Tax conditionality is just one element of the HMRC strategy to tackle the hidden economy, which is made up of the minority of individuals and businesses who have sources of taxable income that are entirely hidden from HMRC. 7.12 The most recent tax gap estimates the UK lost around £3.2 billion of tax revenues to the hidden economy in 2020 to 2021 – depriving vital public services of funding. Conditionality is a proportionate and cost-effective way of moving people – some of whom simply don’t understand their obligations – out of the hidden economy. It complements existing licensing rules, and recognises that third parties play a vital role in helping people pay the right tax. Scottish Government – Impact of Modern Technology Consultation 7.13 During the passage of the Air Weapons and Licensing (Scotland) Bill in 2015, concerns were raised about the impact of modern technology such as smartphone apps on the licensing regime for taxis and private hire cars. The then Cabinet Secretary for Justice made a commitment to undertake further work to address these issues. Page 63 of 332
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7.14 The Scottish Government subsequently consulted on the impact of modern technology on the licensing of taxis and private hire cars, and published a Summary of Consultation Responses in late 2019. 7.15 As a consequence of the pandemic work in relation to this consultation was paused. While no commitment or timescale has been made as to what work will be taken forward as a result of the consultation, the responses will inform the development of Scottish Government policy. 7.16 The Scottish Government recognises that legislation in relation to the licensing of booking offices may require to be updated to take account of modern practices, such as the use of app-based bookings. 7.17 Stakeholders can be assured that any future legislative changes that are a made in relation to the licensing of booking offices will be reflected in updated best practice guidance. Page 64 of 332
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Chapter 8 – drivers Duration of Licences 8.1 The process of renewing licences, as with granting new licences, is an important element of ensuring public safety and preventing criminality in the trade. While a three year licence is the legal maximum, licensing authorities should consider carefully whether this length of time between renewal provides an appropriate level of scrutiny. There is a balance to be struck between a policy which is not an undue burden on drivers and licensing authorities alike and one which provides reassurance to the travelling public. 8.2 While a three year licence can be good practice for licence holders that present no cause for concern, licensing authorities may wish to consider annual licences for new applicants or where they feel a more frequent level of scrutiny is required. 8.3 An annual licence may also be preferred by some drivers. That may be because they have plans to move to a different job or a different area, or because they cannot easily pay the fee for a three-year licence, if it is larger than the fee for an annual one. 8.4 It can therefore be good practice for licensing authorities to offer drivers the choice of an annual licence or a three year licence. Criminal Record Checks 8.5 Applications for grant or renewal of taxi and private hire car and driver licences are required in terms of section 4 and paragraph 2(1) of schedule 1 of the 1982 Act to be copied to the Chief Constable. 8.6 Generally applicants should: • Be able to live and work legally in the UK; • Be medically fit to drive; • Have held, for a continuous period of one year prior to the date their application is lodged, a Driving Licence that entitles them to drive in the UK • From October 2023, have completed the tax check and provided a unique HMRC reference number (see Chapter 7 for full details); and 8.7 A licensing authority shall refuse an application for the grant or renewal of a licence if the applicant is disqualified or is not a fit and proper person to be a holder of the licence. 8.8 The weight to be attached to convictions in the consideration as to the suitability of an applicant is a matter for the determination of the relevant licensing authority. In considering an individual's criminal record, local licensing authorities will want to consider each case on its own merits, but they will doubtless take a particularly cautious view of any offences involving violence, and especially sexual in Page 65 of 332
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nature. In order to achieve consistency, and thus reduce the risk of successful legal challenge, local authorities will ideally want to have a clear policy for the consideration of criminal records. Protecting Vulnerable Groups (PVG) Scheme. 8.9 The Scottish Government introduced the Protecting Vulnerable Groups (PVG) Scheme in 2011. Disclosure Scotland manages the PVG scheme on behalf of the Scottish Government. This is a membership scheme for people who work with children or protected adults. It helps ensure that people who are unsuitable to work with these groups cannot do this type of work. Disclosure Scotland keeps a list of people who are barred from working with children and protected adults. The Disclosure (Scotland) Act 2020 aims to make the disclosure process in Scotland simpler and easier to understand 8.10 The PVG Scheme can include taxi/private hire car drivers contracted to undertake regulated work in relation to the provision of transport to vulnerable groups. Detailed information and guidance on the PVG scheme can be accessed on the mygov.scot website. Criminal Record Checks from out with the UK 8.11 Where appropriate, local licensing authorities will want to consider a policy on applicants from other countries. One approach is to require applicants to provide details of any countries outside the UK that they have lived in for a period of 6 months or more since they were born. For each country they have lived in since the age of 16, they must produce a criminal record check for that country. This is required to evidence whether you have been convicted of any offences whilst living in that country. 8.12 Guidance in relation to ‘Criminal records checks for overseas applicants’ can be found on the GOV.UK website. Evidence of right to live and work in the UK 8.13 From 1 December 2016 Local Authorities have a statutory duty under the Immigration Act 2016 to check and verify that every applicant has the right to live in the UK and work as a Taxi Driver or Private Hire Car Driver. 8.14 Applicants must provide certain original documents to evidence your right to live and work in the UK. If they cannot provide the required evidence the application cannot be granted. The types of documents that can be accepted as evidence have been prescribed by the Home Office. The Home Office issued Guidance in December 2021 for licensing authorities to prevent illegal working in the taxi and private hire car sector in Scotland. The Guidance on the GOV.UK website ‘Licensing authority guide to right to work checks’ was further updated in August 2022, and is now presented as one document covering all of the UK. Page 66 of 332
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Immigration Status 8.15 The Guidance referenced in paragraph 8.14 sets out that licensing authorities are under a duty not to issue licences to people who are disqualified from holding them by their immigration status. 8.16 In determining whether someone is disqualified, licensing authorities are under a statutory duty to have regard to the Home Office guidance. 8.17 The requirement to check the immigration status of licence applicants does not amend or replace the existing ‘fit and proper’ person test that licensing authorities must perform; this includes obtaining a Certificate of Good Conduct for applicants who have resided abroad for a period of time. 8.18 A person is disqualified from holding a private hire car and taxi driver licence, and a booking office licence by reason of their immigration status if: • the person requires permission to enter or remain in the UK and has not been granted it; or • the person’s permission to enter or remain in the UK o is invalid, o has ceased to have effect (whether by reason of curtailment, revocation, cancellation, passage of time, or otherwise), or o is subject to a condition preventing the person from doing work of that kind. 8.19 A person is also disqualified from holding a licence if they are subject to a condition on their permission to be in the UK preventing them from holding a licence, for example, they are subject to an immigration restriction that does not permit them to work or undertake work as private hire car, taxi driver or booking officer. Age Limits 8.20 It does not seem necessary to set a maximum age limit for drivers provided that regular medical checks are made. Nor do minimum age limits, beyond the statutory periods for holding a full driver licence, seem appropriate. Applicants should be assessed on their individual merits. Medical Fitness 8.21 The DVLA has two standards Group 1 and Group 2, which relate to the types of vehicle which are being driven. Group 1 generally covers cars and motorbikes and Group 2 generally covers HGV (category C) large lorries and buses. 8.22 The medical standards for both of these groups are set out in the DVLA’s Guidance for medical practitioners ‘Assessing fitness to drive – a guide for medical professionals’. 8.23 The DVLA states that the medical standards for Group 2 drivers are substantially higher than for Group 1 drivers. They explain that this is not only due to the size and weight of the vehicle but also because of the length of time an occupational driver typically spends at the wheel. Page 67 of 332
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8.24 The DVLA Guidance (as updated) sets out that the responsibility for determining medical standards against which applicants and licence holders will be assessed rests with the licensing authority: ‘Responsibility for determining any higher standards and medical requirements for taxi drivers, over and above the driver licensing requirements, rests with Transport for London in the Metropolitan area, or the local council in all other areas.’ 8.25 The DVLA Guidance also provides the following information for employers: ‘Decisions taken by employers on the use and application of the GB standards on fitness to drive in particular circumstances and as they relate to employees are for the employer to make. Any responsibility for determining higher medical standards, over and above these licensing requirements, rests with the individual force, service or other relevant body.’ 8.26 As taxi and private hire car drivers are occupational drivers who spend a considerable length of time at the wheel, licensing authorities may consider that the DVLA Group 2 medical standard is appropriate but this is for each licensing authority to determine. 8.27 Although the Group 2 medical standard precludes the licensing of drivers with insulin treated diabetes, exceptional arrangements exist for drivers with insulin treated diabetes, that can meet specified medical criteria, to obtain a licence to drive category C1 vehicles (i.e. 3500-7500 kgs lorries). 8.28 It is therefore recommended that best practice is to apply the C1 standards to taxi and private hire car drivers with insulin treated diabetes. Driving Experience 8.29 An applicant for a taxi or private hire car driver’s licence under Section 13 of the 1982 Act must have held a DVLA issued driving licence for the 12 month period immediately prior to the date of their application. 8.30 This applies to first applications and renewals. This is to ensure that an applicant has recent driving experience prior to applying for a licence. Driving Proficiency 8.31 Many licensing authorities rely on the standard car driving licence as evidence of driving proficiency in regard to applications for taxi driver licences. Others require some further driving test to be taken. 8.32 Local licensing authorities will want to consider carefully whether this produces benefits which are commensurate with the costs involved for would-be drivers, the costs being in terms of both money and broader obstacles to entry to the Page 68 of 332
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trade. However, they will note that the Driving Standards Agency provides a driving assessment specifically designed for taxis. Training 8.33 It is good practice for licensing authorities to have minimum training requirements for taxi drivers which require to be met at first grant of a licence or at renewal. 8.34 Such training will typically cover matters such as customer care, disability awareness, managing conflict, road safety etc. 8.35 The Scottish Government commends as best practice the importance of such vocational training for drivers and would encourage authorities to adopt a positive approach to vocational training. While the 1982 Act does not provide that private hire car driver applicants must satisfy an authority as to their competence in the above matters prior to obtaining a licence, authorities may wish to require as a condition of licence that these drivers undergo appropriate training. The Scottish Government would commend as best practice any conditions of licence that seek to raise the standards within the taxi and private hire car trades. 8.36 Go Skills is the Sector Skills Council for passenger transport and can offer authorities professional advice and support on best practice in regard to vocational training for the taxi and private hire trades through its regional network of Business Advisers. Training can cover customer care (including how best to meet the needs of people with disabilities and other sections of the community, how to defuse difficult situations and manage conflict.), relevant legislation, road safety, eco-friendly driving, the use of maps and GPS and the handling of emergencies. Topographical Knowledge 8.37 Taxi and private hire car drivers should have a good working knowledge of the area for which they are licensed. Many licensing authorities require prospective taxi and private hire car drivers to pass a test of local topographical knowledge as a condition of first grant of a licence. 8.38 If a licensing authority does require prospective taxi and private hire car drivers to take such a test, the stringency of the test should reflect the complexity or otherwise of the local geography, on the principle of ensuring that barriers to entry are not unnecessarily high. Page 69 of 332
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Chapter 9 – flexible transport services 9.1 It is possible for taxis and private hire cars to provide flexible transport services in a number of different ways. Such services can play a valuable role in meeting a range of transport needs, especially in rural areas - though potentially in many other places as well. 9.2 Local licensing authorities are encouraged, as a matter of best practice, to play their part in promoting flexible services, so as to increase the availability of transport to the travelling public. This can be done partly by drawing the possibilities to the attention of the taxi and private hire car trade. 9.3 The main legal provisions under which flexible services can be operated are: • Taxibuses (section 12, Transport Act 1985): Owners of licensed taxis can apply to the Area Traffic Commissioner for a special restricted public service vehicle operator licence. The taxi owner can then use the vehicle to run a bus service for up to eight passengers. The route must be registered with the Traffic Commissioner. Further information about public service vehicle operator licences is available on the GOV.UK website. • Private Hire Cars - local bus services (Section 53, Local Transport Act 2008): Owners of licensed private hire cars may apply to the Area Traffic Commissioner for a ‘special restricted licence’ to run a local bus service for up to eight passengers. Further information about public service vehicle operator licences is available on the GOV.UK website. • Shared Taxis/private hire cars (Section 14, Transport Act 1985 ): Powers under this section relate to the carriage of passengers in taxis and private hire cars at separate fares. Further guidance on such arrangements is contained in paragraph 9 and Annex C of Scottish Development Department Circular 25/1986. Page 70 of 332
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Chapter 10 – complaints procedures 10.1 It is inevitable in the provision of taxi and private hire car services that passengers will on occasion have reason to complain about the standard of service provided. Complaints from passengers are likely in the first instance to be directed at the driver or, particularly in cases where a vehicle has been pre-booked or supplied on contract, to the company/agent who accepted the booking. 10.2 Where having initially made a complaint a passenger remains unsatisfied they may decide to take up their complaint formally with the licensing authority. Complaints regarding criminal activity should be brought to the attention of the police. 10.3 Licensing authorities will have established procedures for dealing with complaints from members of the public aggrieved at the service they have received or the manner in which they were treated. 10.4 A number of licensing authorities publish on their web pages details of their procedures for handling complaints from members of the public. This approach is commended as good practice. 10.5 Such advice should highlight information which a complainant should provide to assist an authority in dealing with their complaint e.g. taxi/private hire car registration and/or plate number, date and time of journey, name of taxi/ private hire car company where known etc. It may also advise as to what steps the authority take to investigate complaints. 10.6 It is also good practice for relevant advice to be published on the council’s website in accessible format to assist in informing those with hearing or visual impairment. Page 71 of 332
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Chapter 11 – local transport strategies 11.1 The Transport (Scotland) Act 2001 enables the Scottish Ministers to issue guidance to local transport authorities on the preparation of local transport strategies. 11.2 Taxis and private hire cars are an important link to the public transport chain, filling gaps in overall transport provision not least for those who do not have access to a car. Local licensing authorities are asked to consider the role that taxis and private hire cars play in public transport and ensure that the licensing system in place is appropriate to local needs and circumstances, including those of disabled people. In acknowledgement of the importance of taxis and private hire cars to the transport infrastructure, licensing authorities are encouraged as best practice to engage with operators and representative bodies including disability interests in any review of their transport strategies. 11.3 Taxis and private hire cars sit within the broader transport context: the National Transport Strategy identified that poor integration is a barrier to people choosing sustainable modes (active, public, or shared transport). 11.4 As set out in the second NTS Delivery Plan and Climate Change Plan update Monitoring Report, the Scottish Government is currently updating the guidance for discretionary local transport strategies to align with national and regional strategies. Local transport strategies will allow authorities to detail how they intend to deliver on national objectives at a local level, and provide an action plan for meeting local challenges and objectives. Page 72 of 332
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Annex A Best practice example – Glasgow City Council – installation and use of CCTV systems in taxis and private hire cars Introduction The aim of this Policy is to allow for the safe installation and use of CCTV systems in taxis and private hire cars licensed by Glasgow City Council’s Licensing Authority where there is a legitimate purpose for the operation of CCTV. The Policy seeks to ensure that the installation and use of CCTV systems does not (a) unreasonably interfere with the rights and freedoms of members of the public; and (b) compromise the safety of drivers and passengers. If you install CCTV in your taxi or private hire car then you will be responsible for the equipment and the images captured by that equipment. In relation to the personal data that will be processed, you will be a “data controller”. Data protection law defines a “data controller” as the person or body who, under the UK data protection legislation, determines the purposes and means of the processing of personal data. For the purposes of the installation and use of CCTV systems in taxis and private hire cars installed and operated in accordance with this policy, the “data controller” will be the holder of the taxi or private hire car licence and not the driver. As data controller you will be responsible for ensuring you comply with: 1. UK data protection legislation; 2. Information Commissioner’s CCTV Code of Practice; and 3. This Policy. As data controller you will be responsible for the use of all images obtained through CCTV, any breaches of UK data protection legislation and any fines imposed for breaches of UK data protection legislation. Installation of CCTV for legitimate purposes The Licensing Authority has determined that CCTV systems can be installed and used in taxis and private hire cars for the following legitimate purposes: • preventing and detecting crime; • reducing the fear of crime; • enhancing the safety of taxi and private hire car drivers, as well as their passengers; and • assisting insurance companies in investigating motor vehicle incidents and/or to evidence fault in relation to accidents or other related incidents. For the purposes of this Policy, a CCTV system will include any electronic recording device attached to the inside of a taxi or private hire car having the technical capability to capture and retain visual images from inside or external to the vehicle. Page 73 of 332
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This Policy does not place a mandatory requirement on the licensed operators of taxis and private hire cars to install CCTV systems in their vehicles. Any CCTV system to be fitted in a taxi or private hire car must, as a minimum, meet the requirements of this Policy. Only CCTV systems meeting these requirements can be installed into licensed taxis and private hire cars. Where a taxi or private hire car licence holder wishes to install and use a CCTV system, it will be a condition of the taxi or private hire car licence that the requirements of this Policy are complied with. Failure to comply with the requirements of this Policy could lead to a complaint being made to the Licensing and Regulatory Committee in order to consider the possible suspension of the licence. If the CCTV is being used in a way which the Licensing Authority considers to be in breach of data protection legislation, it may also refer the matter to the Information Commissioner. General requirements – installation and operation The licence holder must comply with the following requirements: • All equipment must comply with any legislative requirements in respect of Motor Vehicle Construction and Use Regulations; • All equipment must be designed, constructed and installed in such a way and in such materials as to present no danger to passengers or to the driver, including impact with the equipment in the event of a collision or danger from the electrical integrity being breached through vandalism, misuse, or wear and tear. In particular, the camera(s) must be fitted safely and securely in such a way that it does not adversely encroach into the passenger area and must not impact on the safety of the driver, passenger or other road users; • All equipment must be installed as prescribed by the equipment and/or vehicle manufacturer installation instructions by a qualified auto-electrician; • The CCTV system must not weaken the structure or any component part of the vehicle or interfere with the integrity of the vehicle manufacturer's original equipment; • All equipment must be installed in such a manner so as not to increase the risk of injury and/or discomfort to the driver and/or passengers. For example, temporary fixing methods such as suction cups will not be permitted, or lighting, such as infra-red, which emits at such a level that may cause distraction or nuisance to the driver and/or passengers; • All equipment must be protected from the elements, secure from tampering and located such as to have the minimum intrusion into any passenger or driver area or impact on the luggage carrying capacity of the vehicle; • Equipment must not obscure or interfere with the operation of any of the vehicle’s standard and/or mandatory equipment, i.e. not mounted on or adjacent to air Page 74 of 332
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bags/air curtains or within proximity of other supplementary safety systems which may cause degradation in performance or functionality of such safety systems; • There must not be viewing screens within the vehicle for the purposes of viewing captured images; • All wiring must be fused as set out in the manufacture’s technical specification and be appropriately routed; • The location of the camera(s) installed within the vehicle must be for the purpose of providing a safer environment for the benefit of the taxi or private hire car driver and passengers, and not for any other purpose; • All equipment must be checked regularly and maintained to operational standards, including any repairs after damage; • All system components requiring calibration in situ should be easily accessible; • CCTV equipment must not interfere with any other safety, control, electrical, computer, navigation, satellite, or radio system in the vehicle. Any electrical equipment such as an in-vehicle CCTV system fitted after the vehicle has been manufactured and registered, must meet with requirements specified in the United Nations Economic Commission for Europe (“UNECE”); • The signage requirements set out below must be adhered to; • Where CCTV equipment is capable of audio recording, the audio recording should be disabled by default and only activated in the event of an incident occurring causing a threat to driver or passenger safety. Where the audio recording facility is utilised, a reset function must be installed which automatically disables the audio recording and returns the system to normal default operation after a specified time period has elapsed. The time period that audio recording may be active should be the minimum possible and should be declared at the time for approval of equipment; • CCTV equipment should be e-marked or CE-marked. If CE marked confirmation by the equipment manufacturer as being non-immunity related and suitable for use in motor vehicles is required; and CCTV systems will be inspected as part of the annual and intermediate inspections carried out by the Taxi and Private Hire Car Inspection Centre. Use and retention of information recorded using CCTV Any images and any audio recording should only be used for the purposes described in this policy. Footage should only be accessed in the event that some sort of incident is drawn to the attention of the licence holder and should not be viewed simply as a matter of course or out of curiosity. The licence holder must document the length of time they intend to hold CCTV footage for. This documented retention period should be exhibited to the Taxi and Private Hire Car Inspection Centre when the vehicle is being inspected. The licence Page 75 of 332
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holder is responsible for ensuring that CCTV footage is securely deleted once it has exceeded this stated retention period. Signage In addition to any signage and privacy statement requirements set out in the Information Commissioner’s CCTV Code of Practice, the following requirements apply in relation to signage: All taxis and private hire cars with CCTV must display signage within the vehicle to indicate that CCTV is in operation and display the privacy statement as required by UK data protection laws. The licence holder shall ensure that any driver of the licensed vehicle must also verbally bring to the attention of the passengers that CCTV equipment is in operation and the purpose for which of the CCTV is being used. The signage and privacy statement must be displayed in such positions so as to minimise obstruction of vision and to make it as visible as possible to passengers, before and after entering the vehicle. In the limited circumstance where audio recording is justified, signs must make it very clear that audio recording is being or may be carried out and this must also be verbally brought to the attention of the passengers by the driver at the point where audio recording is activated. The licence holder must ensure that drivers of the vehicle are aware of this requirement. Contact details The name and the contact telephone number of the licence holder, as data controller must be included on the sign and privacy statement. Recording incidents outside the vehicle When the CCTV is used to record images in response to an incident outside the vehicle the licence holder must ensure that they comply with the requirements of the Information Commissioner’s office. Page 76 of 332
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Annex B Assessing quantity controls of taxi licenses The following are some useful questions for licensing authorities when assessing quantity controls of taxi licences Questions relating to the policy of controlling numbers • Have you recently reviewed the need for your policy of quantity controls? • What form did the review of your policy of quantity controls take? • Who was involved in the review? • What decision was reached about retaining or removing quantity controls? • Are you satisfied that your policy justifies restricting entry to the trade? • Are you satisfied that quantity controls do not: o reduce the availability of taxis; o increase waiting times for consumers; o reduce choice and safety for consumers? • What special circumstances justify retention of quantity controls? • How does your policy benefit consumers, particularly in remote rural areas? • How does your policy benefit the trade? • If you have a local accessibility policy, how does this fit with restricting taxi licences? Questions relating to setting the number of taxi licences • When last did you assess unmet demand? • How is your taxi limit assessed? • Have you considered latent demand, i.e. potential consumers who would use taxis if more were available, but currently do not? • Are you satisfied that your limit is set at the correct level? • How does the need for adequate taxi ranks affect your policy of quantity controls? Questions relating to consultation and other public transport service provision • When consulting, have you included etc. o all those working in the market; Page 77 of 332
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o consumer and passenger (including disabled) groups; o groups which represent those passengers with special needs; o local interest groups, e.g. hospitals or visitor attractions; o the police; o a wide range of transport stakeholders e.g. rail/bus/coach providers and traffic managers? • Do you receive representations about taxi availability? • What is the level of service currently available to consumers (including other public transport modes)? Page 78 of 332
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Annex C Non-statutory guidance – partition screens in taxis and private hire cars – July 2021 update Overview This non-statutory guidance provides advice for drivers, operators and owners of taxis or private hire cars who choose to fit a screen or barrier to their vehicle(s) to reduce the spread of coronavirus (COVID-19). In respect of partition screens only, this guidance supersedes previous guidance published in August 2020 by the Local Authority Environmental Health and Trading Standards Expert Officers’ Group. Please note therefore the rest of the guidance published in August 2020 remains in place. Fitting a screen can help to reduce the risk of virus transmission and should be one of a number of measures you consider. The decision on whether to use a screen rests with you and the local licensing authority. This is because licensing of taxis and private hire cars is a local government responsibility. Before installing any screen you should check with your licensing authority if you need permission. Licensing authorities are able to, if they so wish, specify requirements that are different and/or go beyond the content of this non-statutory guidance. However, if a licensing authority decides to specify requirements in respect of screens, they are encouraged to consider this guidance in developing their licensing requirements for the fitment of interior screens in a manner that is safe for the operation of vehicles and helps prevent the spread of coronavirus. For the avoidance of doubt, the ultimate decision as to whether to specify requirements either different to and/or over and above those in this guidance rests with a licensing authority and this guidance does not in any way supersede the powers of licensing authorities in this area. This guidance covers screens that are fitted to vehicles not originally designed to have a screen. It does not cover screens that are included in the vehicle as part of their original design. 1. Choosing a screen There is a broad range of screens available, most of which are suitable for a variety of makes and models of vehicle. Any screen fitted to a vehicle must be made of suitable materials, manufactured to an acceptable standard of finish and installed by a competent person. Page 79 of 332
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The choice of screen should be considered for each vehicle individually, because vehicle designs and specifications vary. Wherever possible, choose a screen offered or approved by the vehicle manufacturer to help ensure its suitability for your vehicle. Contact the vehicle manufacturer through a dealership or their website for advice on screen choice that is specific to your vehicle. You should consider the following: • if you’re choosing a screen, you’ll need to comply with any requirements set by your licensing authority • ensure the screen is transparent and will not interfere with your vision while driving by obscuring rearward view in the internal mirror, or causing excessive reflection or distortion in that mirror or onto the windscreen • the screen must not interfere with vehicle safety systems (for example, the airbags). Consider a screen that is flexible or has flexible borders that won’t interfere with the deployment of side or curtain airbags • the screen must not interfere with other vehicle safety systems, such as the seatbelts and their fixing points, seat back and head restraint operation • check that screens and their fixings have no sharp edges or protrusions that might cause injury • screens must be made of materials that do not have sharp edges if they break • it’s important to minimise the gap between the screen and the vehicle sides. Screens that fit the shape of the interior of the vehicle will be best at preventing transmission of coronavirus • choose a screen that can be cleaned easily between passenger journeys. It should be rigid enough that it does not move much when cleaned • check with the screen manufacturer to ensure the material used is neither toxic nor flammable 2. Fitting a screen Screens may be fitted by a variety of automotive providers including vehicle manufacturer dealerships, specialist screen installers or you, if you have the skills and equipment to do so safely. Page 80 of 332
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Whether you are getting a company to fit the screen, or are doing so yourself, the installation should be carried out in accordance with this guidance. As shown in figure 1, you should consider the: airbags; rear view mirror; head restraints; seat adjustments; and seatbelts and their fixing points Figure 1: items to consider when fitting a screen Ensure that the installation complies with the screen manufacturer’s instructions. Check that fixings do not interfere with a driver’s rearward vision and, where there is flexibility to do so, ensure the screen is mounted to minimise reflections. A small change in the angle of the screen may help to avoid reflections, as shown in figure 2. Page 81 of 332
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Figure 2: internal reflections caused by a screen Ensure that any fittings to the vehicle do not compromise the safety and electrical systems on the vehicle. Hybrid and plug-in hybrid vehicles will have high voltage cables that may be hidden. Do not drill holes or make fixings to vehicle trim if you do not know what is behind a panel. Screens must be fitted so that they do not interfere with the operation of seats and head restraints as shown in figures 3a and 3b. Page 82 of 332
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Figure 3a: avoid rigid fixings to head restraints Page 83 of 332
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Figure 3b: avoid rigid fixings to head restraints Page 84 of 332
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Ensure that seats can be adjusted to give a comfortable driving position, as shown in figures 4 and 5. Head restraints should not be removed. Figure 4: seat forwards and backwards adjustment Page 85 of 332
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Figure 5: seat recline position Page 86 of 332
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The fitting of the screen must not prevent the correct operation of seatbelts. The seatbelt webbing should not chafe against the screen or the fixing points, or adversely affect the operation of seatbelt pretensioners. The screen must not prevent the correct operation of active safety systems, such as airbags. This may be easier to achieve with a more flexible screen design. Avoid the use of rigid fixings around airbags. Airbags may be identified through markings or labels on any of the following, as shown in figure 6: the steering wheel; front dashboard; seats; head restraints; trim panels; roof You can also check the vehicle user manual or ask the vehicle manufacturer. Figure 6: possible airbag locations The screen must be fixed securely in the vehicle so that it will remain in place when the vehicle is driven with the windows open. Page 87 of 332
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Entry and exit from the vehicle should not be made significantly more difficult due to the fitting of a screen. When fitting a screen, ensure that grab handles remain available for use by passengers and that doors are not obstructed. The mobile app Euro Rescue contains centralised vehicle manufacturers’ rescue sheets that provide information on the position of high voltage cables, airbags, seat belt pre-tensioners, for example, which may be helpful in carrying out a safe installation. It can be downloaded free of charge. 3. Communicating with passengers Ensure you can talk with your passengers when a screen is fitted and consider the following: • communication might be affected by the use of a screen • think about how you communicate with disabled passengers • passengers will be wearing a face covering, which will affect communication • fitting an intercom system might be helpful if the screen would otherwise prevent adequate communication • if stickers or notices are used to give information to passengers, these should not reduce the driver’s view through front windows and windscreen, or their view of mirrors 4. Inform your insurance provider Before you fit a screen to your vehicle, consider the following: • inform your insurance provider. Failure to do so risks invalidating your policy • the Association of British Insurers (ABI) encourages drivers and operators to seek guidance from their insurer to ensure compliance with the terms of their insurance policy • check with your insurer whether, following a collision, screen repairs or a replacement screen would be included in your insurance cover 5. When a screen has been fitted If a screen is fitted to your vehicle, consider the following: • follow the manufacturer’s instructions on maintenance of the screen • check the screen regularly for cracks, deterioration and security of installation • follow relevant guidance on cleaning the screen Page 88 of 332
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• if the screen has an opening for payment, it should be closed or sealed during normal driving and only opened during the payment process 6. Definitions In this guidance, ‘you’ or ‘your’ includes anyone who may be involved in choosing or fitting a screen in taxis and private hire cars. ‘Screen’ refers to a division or partition behind the front row seats to separate the driver from the passengers in the rear of the vehicle. 7. Legislation The body of legislation governing road traffic law including the approval and use of vehicles is set out in the Road Traffic Act 1988, the Road Vehicle Approval Regulations 2020 and the Road Vehicles (Construction and Use) Regulations 1986. All vehicles before being registered for use on roads in Great Britain need to be approved and any screen or partition fitted at the point of registration should be covered by the original vehicle approval. Once the vehicle has been registered, the relevant legal requirements are Construction & Use (C&U). These regulations contain provisions that apply to all vehicles and components including requirements for the driver’s view, materials for partitions and the general safety of drivers and passengers, all of which are relevant to the choice and installation of screens in taxis and private hire cars. The guidance provides advice on the considerations you need to make to comply with these aspects of C&U. It remains the responsibility of those operating a vehicle or those providing vehicles or components to the market to ensure compliance with legislation. The Equality Act 2010 places duties on drivers and operators of taxis and private hire cars with respect to disabled passengers and continues to apply where vehicles are fitted with screens or partitions. This document is for guidance only. It’s your responsibility to ensure your vehicle continues to comply with all appropriate road traffic legislation. In cases of doubt, you should seek your own legal advice. Page 89 of 332
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© Crown copyright 2023 This publication is licensed under the terms of the Open Government Licence v3.0 except where otherwise stated. To view this licence, visit nationalarchives.gov.uk/doc/open- government-licence/version/3 or write to the Information Policy Team, The National Archives, Kew, London TW9 4DU, or email: psi@nationalarchives.gsi.gov.uk. Where we have identified any third party copyright information you will need to obtain permission from the copyright holders concerned. This publication is available at www.gov.scot Any enquiries regarding this publication should be sent to us at The Scottish Government St Andrew’s House Edinburgh EH1 3DG ISBN: 978-1-80525-907-7 (web only) Published by The Scottish Government, May 2023 Produced for The Scottish Government by APS Group Scotland, 21 Tennant Street, Edinburgh EH6 5NA PPDAS1299302 (05/23) w w w . g o v . s c o t Page 90 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref REB/NMcK Date 19/11/25 Freedom of Information (FOI) and Environmental Information (EIR) Annual Freedom Report Financial Year 2024/25 From Rachel Blair, Chief Officer (Legal and Democratic) E-mail BlairR@northlanarkshire.gov.uk Telephone Executive Summary This report provides a comprehensive overview of Freedom of Information (FOI) and Environmental Information (EIR) requests received by North Lanarkshire Council during the 2024/25 financial year. It analyses request volumes, response performance, outcomes, reviews, and appeals, with year-on-year comparisons to identify key trends. In 2024/25, the Council received 1,757 information requests (1,407 FOI and 350 EIR), representing the second-highest volume on record. Despite this sustained demand, the Council achieved a 99% compliance rate in meeting the statutory 20-working-day response deadline – maintaining an “excellent” performance standard as defined by the Scottish Information Commissioner (SIC) for the third consecutive year. Requests continued to cover a wide spectrum of subjects, reflecting public interest in areas such as school transport changes, pavement parking enforcement, XL Bully legislation, and electric vehicle charging provision. Requests came from a diverse range of applicants including businesses, journalists, campaigners, and members of the public. Key highlights from 2024/25 include: • High compliance performance: 1,710 responses issued on time, with only 19 late responses. • Transparency and disclosure: 707 requests (41%) resulted in full disclosure of information, with a further 582 (34%) partially disclosed. • Growing review requests: 43 internal reviews were requested (2.4% of total), up from 25 in 2023/24, although still below the national average of 3%. • Continuous learning: North Lanarkshire Council was not subject to any practice recommendations or enforcement actions from the SIC, and continues to benchmark well against other Scottish local authorities. The report also sets out improvement activity, including closer collaboration with Services, training, and proactive publication of frequently requested information to reduce request volumes. A proposed comprehensive review of FOI and EIR processes will seek to further strengthen response quality, reduce review volumes, and improve coordination across the organisation. Item 3 Page 91 of 332
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1. Background 1.1 The Freedom of Information (Scotland) Act 2002 (FOISA) and the Environmental Information (Scotland) Regulations 2004 (EIRS), provide rights to the public to ask for and be provided with recorded information held by public authorities. The EIRS legislation governs access to environmental information such as planning matters. contaminated land, emissions etc. Once a FOI or EIR request is received, North Lanarkshire Council has, in most cases, 20 working days to provide the information asked for, or explain why it cannot be released. 1.2 If dissatisfied, requestors may seek an internal review. Where dissatisfaction continues, an appeal may be lodged with the Scottish Information Commissioner (SIC), who has statutory powers to investigate. 1.3 North Lanarkshire Council’s FOI Team, within Legal and Democratic Services, manages all requests, supports services, and ensures compliance with legislative requirements. 2. Report Information Request Volumes and Trends 2.1 In financial year 2024/25 the Council received a total of 1,757 information requests: 1,407 under FOISA and 350 under EIRs. While this represents a slight decrease from 2023/24 (1,778 requests), volumes remain historically high and well above the 1,610 recorded in 2022/23. The financial year 2023/24 total was the highest total of requests received by the Council in a financial year and the total for financial year 2024/25 is the second highest total. The chart below illustrates the trend in total requests received over the last three financial years: Collectively, this report highlights a strong track record of compliance and transparency, while recognising areas for further improvement, particularly around the quality of initial responses and the need to build resilience for peak periods of request activity. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledge the contents of this report, including performance levels and trends in FOI and EIR requests; (2) Acknowledge the proposed review of FOI and EIR processes to enhance efficiency and service quality; and (3) Acknowledge the ongoing monitoring of legislative reform proposals, with updates to be provided to future Committee meetings. The Plan for North Lanarkshire Priority Enhance participation, capacity, and empowerment across our communities Ambition statement (20) Improve the involvement of communities in the decisions, and development of services and supports, that affect them Programme of Work Statutory / corporate / service requirement Page 92 of 332
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2.2 Despite this high volume, 99% of all requests were responded to on time, matching the Council’s strong performance in the previous two years. Only 19 responses were late: 2.2.1 17 due to delays in receiving information; and 2.2.2 Two due to requests not being initially recognised as FOI/EIR. Types of Requests and Requestor Profiles 2.3 Information requests cover a broad spectrum of subjects, reflecting the diverse interests of applicants. Under the legislation, requestors are not required to state a reason for seeking information, nor must they be resident in Scotland or the UK. To make a valid request, only a name and contact address (including email) is needed. These provisions are designed to ensure an “applicant- and purpose-blind” process, meaning that access to information cannot be granted or denied based on who the applicant is or the reasons for their request. 2.4 Common types of requests received by the Council and the categories of requestors making them are: 2.4.1 Businesses and organisations looking for information on contracts or tenders; 2.4.2 Individuals looking for information to support a complaint or ongoing query with the Council; and 2.4.3 Political researchers and journalists seeking to compare data across public authorities. 0 200 400 600 800 1000 1200 1400 1600 2022/23 2023/24 2024/25 Total Number of Requests Received in last three Financial Years FOI Received EIR Received Page 93 of 332
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2.5 Information requests often reflect the wider media agenda, with the Council regularly receiving submissions linked to current local or national news stories. In 2024/25, for example, notable themes included school transport, the ban on pavement parking, XL Bully dogs, and the provision of electric vehicle charging infrastructure. 2.6 Request volumes also fluctuate across the year, often influenced by emerging local and national issues. The chart below illustrates the number of requests received by the Council each quarter during 2024/25: Response Outcomes: Full, Partial, and Refused Requests 2.7 Of the 1,710 requests responded to in financial year 2024/25, 707 requests (41%) were met in full, with all requested information disclosed. A further 582 requests (34%) received partial responses, where some but not all information was released. In contrast, 222 requests (13%) were refused in full, and in 192 cases (11%) the Council did not hold any of the information sought. These outcomes are illustrated in the pie chart below, which shows the proportion of requests resulting in full disclosure, partial disclosure, refusal, or confirmation that no information was held: 0 50 100 150 200 250 300 350 400 450 Q1 24/25 Q2 24/25 Q3 24/24 Q4 24/25 Number of Requests Received in 2024/2025 by Quarter FOI Received EIR Received Page 94 of 332
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2.8 Where requests were either refused in full or only partially fulfilled, exemptions under the Freedom of Information (Scotland) Act 2002 (FOISA) or exceptions under the Environmental Information (Scotland) Regulations 2004 (EIRs) were applied. The table below summarises the exemptions and exceptions most frequently relied upon in 2024/25: FOISA Exemption Number of times applied EIR Exception Number of times applied s.39(2) – Environmental information 342 Refused – cost 23 s.12 – Excessive cost of compliance 93 Regulation 10 (8) – Neither confirm nor deny 2 s.25 – Otherwise accessible 170 Regulation 10 (4) (e) – Internal communications 3 s.26 – Disclosure prohibited by enactment 1 Regulation 10 (5) (a–c) – Substantial prejudice to international relations, public safety, etc. 1 s.27 – Repeated request 1 Regulation 10 (5) (b) – Substantial prejudice to course of justice 2 s.18 – Neither confirm nor deny 5 Regulation 10(5)(d) – Substantial prejudice to confidentiality of proceedings 2 s.30 – Prejudice to effective conduct of public affairs 5 Regulation 10(5)(g) – Substantial prejudice to protection of the environment 1 s.33 – Prejudice to commercial interests 10 Regulation 11(2) – Third- party personal data 78 s.34 – Criminal investigations 1 s.36 – Confidentiality of communications 2 s.36 – Breach of confidence 1 FOI/EIR Responses for 2024/2025 24/25 Full Response Refusal Partial Response None Held Page 95 of 332
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s.38(1)(a) – Personal data of applicant 18 s.38(1)(b) – Third-party personal data 154 2.9 The most frequently applied provision was Section 39(2) of FOISA, cited 342 times. This exemption does not prevent disclosure but ensures that requests for environmental information are redirected to the EIRs regime, which is specifically designed for such matters. 2.10 Under FOISA, exemptions fall into two categories: 2.10.1 Absolute exemptions, which apply automatically once information meets the relevant criteria. These include “otherwise accessible” (s.25), “disclosure prohibited by enactment” (s.26), and “personal data” (s.38). Refusals on cost grounds (s.12), while not formally exemptions, are similarly not subject to a public interest test; and 2.10.2 Qualified exemptions, which require a balancing exercise to determine whether the public interest in withholding the information outweighs the public interest in disclosure. All EIR exceptions are subject to a public interest test, except where personal data is concerned. Review and Appeal Activity 2.11 In financial year 2024/25, the Council received 43 requests for an internal review of an original decision. This represents a notable increase from the 25 reviews in 2023/24 and 24 in 2022/23. Despite this rise, the overall proportion of requests progressing to review remained relatively low at 2.4% of all requests received in 2024/25, which is below the sector-wide average of 3% reported by the Scottish Information Commissioner. 2.12 A total of 45 review responses were issued during the year, reflecting the fact that some reviews carried over from the previous period. Of these, 36 (80%) fully or partially upheld the Council’s original decision, while seven (16%) resulted in the original decision being overturned. In a further two cases (4%), a review was conducted because an initial response had not been issued. The chart below illustrates the outcomes of internal reviews for 2024/25, showing the proportion of reviews that upheld, partially upheld, or overturned the original decision: Page 96 of 332
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2.13 During the year, five cases were escalated to the SIC for appeal. Of these, three were withdrawn by the requestor and one was deemed invalid. In the remaining case, the SIC required the Council to issue a fresh review decision under the Environmental Information (Scotland) Regulations 2004 (EIRs) rather than under FOISA. This case, which concerned school transport, led the Council to amend its processes to ensure that future requests of this nature are handled under the correct legislative framework. 2.14 In addition, the SIC issued a decision during 2024/25 relating to a case originally received in 2023/24. The Commissioner found that the Council had misinterpreted the scope of the request and directed that a further review decision be issued. 2.15 Overall, the relatively low proportion of reviews and appeals, coupled with the high rate of original decisions being upheld, indicates that the Council’s initial decision-making processes are generally robust and aligned with legislative requirements. Analysis of FOI/EIR Performance 2.16 The high volume of information requests received by the Council in recent years mirrors the national picture, with the Scottish Information Commissioner also reporting consistently high demand across Scotland. Despite these pressures, the Council has maintained a compliance rate of 99% over the past three financial years. According to the SIC’s self-assessment toolkit for public authorities, a response rate of 96–100% is categorised as excellent. North Lanarkshire Council has consistently achieved and sustained performance at this highest benchmark, demonstrating resilience and strong operational capacity in managing statutory obligations. 2.17 The increase in internal review requests in 2024/25 is, however, notable. While the proportion of requests progressing to review (2.4%) remains below the national benchmark of 3%, the year-on-year rise represents a significant upward trend compared to previous periods. This suggests that while overall compliance remains strong, the quality or clarity of some initial responses could be further strengthened. FOI/EIR Review Response Outcomes for 2024/2025 24/25 Upheld (Wholly or Partially) Overturned Review Decision (no response to request) Page 97 of 332
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2.18 A contributing factor to this increase was a higher proportion of individual requestors submitting multiple review requests. Nonetheless, analysis of review outcomes indicates that many responses at the review stage involved providing additional information or clarification that could have been included in the original response. This points to an opportunity for improvement in the quality and completeness of first instance replies. Moving forward, the central FOI team will continue to work closely with Services to enhance the robustness of initial responses, with the aim of reducing the volume of review requests and ensuring greater confidence in first-time decision making. 2.19 Sustaining excellent compliance while strengthening the quality of initial responses will be critical to maintaining public confidence and ensuring continuous improvement in the Council’s information governance. Managing High-Volume Requests and Enhancing FOI Processes 2.20 In financial year 2024/25, the Council received a notable concentration of requests relating to changes in school transport, with 59 requests submitted on this issue alone, equivalent to 3% of the total received. Of these, 42 were submitted within a concentrated two-month period between late April and the end of June. The central FOI team worked closely with the relevant Service to ensure timely responses while mitigating any impact on service delivery. A strategy that was effective was the proactive identification and publication of relevant information related to the subject generating the requests. Making this information publicly accessible not only helped manage demand by addressing common queries, but also enabled the Council to process incoming requests more efficiently. 2.21 During this period, the central FOI team, supported by solicitors from the Information Governance team, worked in close collaboration with the Customer and Information Service and the Contracts and Provisions Services within Education and Families. This joint approach ensured that statutory timescales were met and that the quality and consistency of responses were maintained. To further support transparency and reduce duplication, key information on school transport was also published on the Council’s website, providing a helpful reference point for both requestors and staff. 2.22 The Council continues to embed FOI and EIR awareness through this collaborative, case-driven approach, which acts as a practical form of training for Services. Awareness of FOI legislation and the Council’s obligations remain strong across the organisation, reflected in consistently high compliance rates. The central FOI team also makes frequent use of the SIC’s online resources, including briefings, guidance documents, and recent appeal decisions, to strengthen knowledge and practice. In June 2024, the team and colleagues from Information Governance participated in an SIC webinar on procedural changes to appeals handling, ensuring the Council remains aligned with emerging requirements. 2.23 Looking ahead, it is proposed to undertake a review of current FOI processes to further enhance service delivery. This review will focus on workflows, resourcing, training, response quality, and opportunities for improved coordination across Services. It will be aligned with the SIC’s Code of Practice and designed to address the challenges posed by increasing volumes and complexity, while identifying opportunities to improve efficiency, consistency, and the overall quality of responses. Page 98 of 332
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Engagement with the Scottish Information Commissioner and Compliance Oversight 2.24 In financial year 2024/25, North Lanarkshire Council was not subject to any practice recommendations or formal interventions by the Scottish Information Commissioner (SIC). Additionally, no new guidance or published recommendations requiring improvements were issued during this period, reflecting the Council’s continued adherence to statutory obligations and established best practice in information governance. Collaboration and Integration Across Information Governance Functions 2.25 The central FOI team works in close collaboration with the Information Governance team to ensure robust and transparent handling of information requests. In line with the Scottish Government’s Code of Practice on FOI and EIR, internal reviews are conducted by members of the Information Governance team who were not involved in the original response, maintaining impartiality and compliance with statutory requirements. Both teams also collaborate on the preparation of submissions to the SIC in cases that progress to appeal, ensuring consistency and accuracy in representations. 2.26 The FOI team also engages with Services to promote the proactive publication of information that is frequently requested under FOI and EIR legislation. During financial year 2024/25, this included the regular publication of statutory notices, such as those issued under the Environmental Protection Act 1990 and the Housing (Scotland) Acts of 1987 and 2006, on the Council’s website. Making this information publicly accessible has reduced the administrative burden associated with repeated requests, particularly from property search firms, while improving transparency and accessibility for the public. Forward-Looking Considerations and Service Review 2.27 On 2 June 2025, Katy Clark, MSP, introduced a Private Members’ Bill to the Scottish Parliament proposing reforms to Freedom of Information legislation. If enacted, these provisions could have implications for current Council FOI procedures. Key proposals include: 2.27.1 Reforming the FOISA duty to publish information; 2.27.2 Introducing a statutory requirement to appoint a designated FOI Officer; 2.27.3 Pausing, rather than resetting, the 20-day-working day response timeframe when clarification is required; and 2.27.4 Strengthening enforcement measures to enable prosecutions if information is deliberately destroyed to prevent disclosure under FOI. 2.28 The Bill is currently under consideration by the Standards, Procedures and Public Appointments Committee, which will examine and report on its provisions. 2.29 In parallel, the Scottish Government has committed to revising the Section 60 Code of Practice on FOI and EIR. The Scottish Information Commissioner (has provided input on potential improvements, and a consultation, including local authorities, is anticipated. Any changes to legislation or the Code of Practice will be reported to future meetings of the Finance and Resources Committee. 2.30 To further enhance the Council’s FOI operations, as indicated, a review of the Service is proposed. This review will address challenges associated with increasing volumes and complexity of requests and identify opportunities to improve efficiency, Page 99 of 332
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consistency, and quality. Areas for consideration will include workflows, resourcing, training, response quality, and coordination across Services. Strengthening the quality of initial responses is expected to reduce the number of review requests received. The review will continue to ensure that Council practices remain fully aligned with the SIC’s Code of Practice. 3. Measures of success 3.1 The effectiveness of the Council’s FOI and EIR processes is measured not only by timeliness but also by quality, transparency, and continuous improvement. Key measures of success are as follows: 3.1.1 Timeliness – Maintaining a response rate of 96–100% within statutory deadlines, in line with the Scottish Information Commissioner’s (SIC) “excellent” benchmark; 3.1.2 Quality – A reduction in internal reviews where original decisions are overturned or amended, demonstrating the robustness of initial responses; 3.1.3 Requestor Satisfaction – Improved feedback from applicants and a decrease in complaints or challenges, reflecting confidence in the Council’s handling of requests; 3.1.4 Learning from Reviews – Evidence that lessons from internal reviews or SIC appeal outcomes are applied to improve processes, guidance, and staff training; and 3.1.5 Proactive Publication – A reduction in repeat or duplicate requests for frequently sought information, achieved through timely and accessible publication of high- demand data on the Council’s website. 4. Supporting documentation None. Rachel Blair Chief Officer (Legal and Democratic) Page 100 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☐ No ☒ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☒ No ☐ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The report addresses statutory obligations under the Freedom of Information (Scotland) Act 2002 and the Environmental Information (Scotland) Regulations 2004. It highlights the Council’s ongoing duty to comply with response times, apply exemptions lawfully, and prepare for potential legislative reforms currently under consideration by the Scottish Parliament. 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 101 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? The key risks relate to potential non-compliance with FOISA and EIRs, including missed deadlines, incorrect application of exemptions, and increased internal reviews or appeals. These risks are recorded and managed through Legal and Democratic’s Service Risk Registers, with mitigation measures including staff training, proactive publication of high-demand information, cross-service coordination, and ongoing monitoring by the central FOI team. 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. Page 102 of 332
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5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 103 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☒ Yes ☐ No Ref IM/JR Date 19/11/25 Land Reallocation – Former St Brigid’s School, Newton Drive, Newmains ML2 9DE From James McKinstry, Chief Officer (Assets and Procurement) E-mail martini@northlan.gov.uk Telephone Ian Martin 07966 397637 1. Background 1.1 St Brigid’s Primary School was declared surplus at the Education and Families Committee on 4th August 2022 and demolition of the school was completed in September 2023. 2. Report Description 2.1 The development site comprises the former St Brigid’s Primary School which was demolished in 2023. The 2.65 acre or thereby site is located to the north of Newton Drive, Newmains. Executive Summary The purpose of this report is to seek committee approval for the transfer of land held by General Services for inclusion in the new build programme. Recommendations It is recommended that the Finance and Resources Committee: (1) Approves the land transfer of a site on Newton Drive, Newmains from General Services to Planning and Regeneration on the terms detailed in Section 2.2 of this report. (2) All other terms and conditions to be adjusted by the Chief Officer (Assets and Procurement). The Plan for North Lanarkshire Priority Improve economic opportunities and outcomes Ambition statement (1) Ensure a housing mix that supports social inclusion and economic growth Programme of Work Transforming Places Item 4 Page 105 of 332
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2.2 The site is cleared and bounded by a metal fence and comprises hard standing and vegetation. 2.3 The overall area is predominantly residential in nature with a mix of local authority and private homes. The location is close to Manse Road, the main retail throughfare of Newmains. 2.4 The proposal is to develop 33 NLC social housing units as part of the council’s overall transformation strategy. The proposed development would consist of a mix of houses, cottage flats and bungalows. 2.5 Planning permission for the site was approved on 1st September 2025 with development programmed to start in early 2026. Re-allocation 2.6 The contractor has carried out site investigation works and submitted an assessment of abnormal development costs. The costs relate to abnormal foundation solutions, gas membrane, sewer diversion and developer contributions. The New Supply team have reviewed the costs and have confirmed that they are reasonable given the extent of the works required. The amount of abnormal development costs has been assessed at £609,333. 2.7 The headline value of the land is £795,000 and therefore to competently complete this transfer, a capital sum of £188,667 is to be paid from the Housing Revenue Account to the General Services Account. The transfer sum reflects the abnormal development costs required in developing this site. 3. Measures of success 3.1 The residential development will regenerate a brownfield site and help the council meet its new supply targets contributing to meeting local housing need, while creating new residential units for social rent. 4. Supporting documentation 4.1 Appendix 1 – Location Plan James McKinstry Chief Officer (Assets and Procurement) Page 106 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The transfer of land will enable the provision of high-quality housing for rent which will help address housing need. If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☒ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Provision has been made within the council’s Housing Revenue Account to fund the purchase of the land. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 107 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The new homes will be more energy efficient contributing to the reduction in CO² emissions. 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☐ No ☒ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 108 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☒ Yes ☐ No Ref IM/JR Date 19/11/25 Land Reallocation – Laburnum Road, Viewpark, G71 5AB From James McKinstry, Chief Officer (Assets and Procurement) E-mail martini@northlan.gov.uk Telephone Ian Martin 07966 397637 Executive Summary The purpose of this report is to seek committee approval for the transfer of land held by General Services for inclusion in the new build programme. Recommendations It is recommended that the Finance and Resources Committee: (1) Approves the land transfer of a site on Laburnum Road, Viewpark from General Services to Planning and Regeneration on the terms detailed in Section 2.4 of this report. (2) All other terms and conditions to be adjusted by the Chief Officer (Assets and Procurement). The Plan for North Lanarkshire Priority Improve economic opportunities and outcomes Ambition statement (1) Ensure a housing mix that supports social inclusion and economic growth Programme of Work Transforming Places Item 5 Page 111 of 332
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1. Background The site at Laburnum Road was declared surplus at the Learning and Leisure Services Committee on 14th June 2012. 2. Report Description 2.1 The development site comprises a former sports pitch and car park. The 2.29 acre or thereby site, is located within a residential area of Viewpark, close to transport links, schools and retail and commercial uses. 2.2 The proposal is to develop 26 NLC social housing units as part of the council’s overall transformation strategy. The proposed development would consist of a mix of houses and cottage flats. 2.3 Planning permission for the site was originally approved in February 2021, with an amendment to the existing planning approved in September 2025. Development is programmed to start in late 2025. Re-allocation 2.4 The contractor has carried out site investigation works and submitted an assessment of abnormal development costs. The costs relate to specialist foundations, developer contributions, gas membrane, drainage requirements, acoustic fencing, retaining walls and service diversions. The New Supply team have reviewed the costs and have confirmed that they are reasonable given the extent of the works required. The amount of abnormal development costs has been assessed at £752,525. 2.5 The headline value of the land is £1,145,000 and therefore to competently complete this transfer, a capital sum of £392,475 is to be paid from the Housing Revenue Account to the General Services Account. The transfer sum reflects the abnormal development costs required in developing this site. 3. Measures of success 3.1 The residential development will regenerate a brownfield site and help the council meet its new supply targets contributing to meeting local housing need, while creating new residential units for social rent. 4. Supporting documentation 4.1 Appendix 1 – Location Plan James McKinstry Chief Officer (Assets and Procurement) Page 112 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The transfer of land will enable the provision of high-quality housing for rent which will help address housing need. If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☒ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Provision has been made within the council’s Housing Revenue Account to fund the purchase of the land. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 113 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The new homes will be more energy efficient contributing to the reduction in CO² emissions. 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☐ No ☒ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 114 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☒ Yes ☐ No Ref FW/LC Date 19/11/25 Employer Supported Volunteering Policy and Procedure From Fiona Whittaker, Chief Officer (People Resources) E-mail whittakerf@northlan.gov.uk Telephone 07973 728628 Executive Summary As part of our ongoing commitment to social responsibility and community engagement, the Council is progressing the introduction of an Employer Supported Volunteering (ESV) Policy. This initiative reflects our belief that supporting the communities in which we live, and work not only strengthens those communities but also enriches the personal and professional lives of our employees. By encouraging and enabling staff to volunteer their time and skills, we aim to foster a culture of compassion, collaboration, and shared purpose, while making a meaningful impact beyond the workplace. The Finance and Resources Committee is now invited to consider the policy, acknowledge the benefits it offers to both employees and the wider community, and to endorse its implementation at the earliest opportunity. Recommendations It is recommended that the Finance and Resources Committee: (1) Agree to the principles as outlined within the Employer Supported Volunteering Policy and Procedure. (2) Endorse the implementation of the Employer Supported Volunteering Policy and Procedure (3) Acknowledge the Council’s commitment to supporting employees who wish to volunteer with an appropriate organisation or charity as described within the policy and procedure. The Plan for North Lanarkshire Priority Improve North Lanarkshire's resource base Ambition statement (23) Build a workforce for the future capable of delivering on our priorities and shared ambition Programme of Work Brighter Futures Item 6 Page 117 of 332
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1. Background 1.1 Employer Supported Volunteering (ESV) policies are gaining momentum across both the public and private sectors, as senior leadership teams increasingly recognise the wide-ranging benefits they bring, not only to the organisation and its employees, but also to the communities in which they operate. 1.2 In recognition of the benefits of volunteering, North Lanarkshire Council is introducing an Employer Supported Volunteering Policy that aligns with The Plan for North Lanarkshire and specifically supports the strategic aims of the Brighter Futures Programme of Work. 1.3 Of the five key themes within Brighter Futures, the fourth focuses on offering alternative pathways for residents to contribute to and support North Lanarkshire’s economy and communities. While the Council has a well-established system for training and volunteering opportunities, these provisions do not currently extend to its own staff. 1.4 To date, a range of actions have been undertaken under the Brighter Futures Volunteering theme as detailed within the recent report to Policy and Strategy Committee on 25 September 2025. These include analysing current volunteer activity; engaging with internal services; schools, and local employers; and building partnerships with community groups and organisations such as VANL and Volunteer Scotland. The Council has developed volunteer role profiles, created promotional campaigns, and supported accreditation and qualification pathways to enhance employability. Collaborative efforts have also focused on mentoring local groups and promoting the Volunteer Friendly award. 1.5 The Employer Supported Volunteering Policy is considered a key component of the Brighter Futures Programme that will strengthen opportunities for staff to engage in meaningful volunteering, while also supporting wider community development goals. Alongside this, the Council is progressing towards achieving the Invest in Volunteering Award and accreditation as an SQA centre to deliver Volunteering Skills qualifications at levels 3, 4, and 5—further enhancing the impact and value of volunteering across the organisation and the local area. 1.6 The remainder of this report outlines the key benefits of implementing an Employer Supported Volunteering Policy, along with the core principles guiding its application and operation. 2. Report 2.1 As Employer Supported Volunteering (ESV) continues to grow across organisations, it is increasingly important to recognise the mutual benefits it brings both to the organisation and the communities in which it operates. While North Lanarkshire Council has long encouraged community engagement through volunteering, it has not yet extended this opportunity to its own workforce. Expanding ESV to employees would represent a meaningful step forward in aligning internal practices with the Council’s broader commitment to community participation and social impact. 2.2 Volunteering offers a wealth of opportunities for both personal and professional growth. It enables employees to develop a broad range of transferable skills, including effective communication, teamwork, leadership, and problem-solving. In addition, engaging in volunteer activities cultivates adaptability, resilience, and cultural awareness, while also enhancing emotional intelligence and empathy, qualities that are increasingly valued in today’s dynamic workplace. Page 118 of 332
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2.3 Volunteering, in addition to skill development, can also positively impact an employee’s wellbeing and job satisfaction, aligning with the Council’s commitment to support a motivated, skilled and socially responsible workforce. 2.4 The Employer Supported Volunteering Policy and Procedure has been developed to enable employees to participate in volunteering and community activities during their normal working hours. While the Council will actively encourage staff to engage in volunteering, it acknowledges that participation is entirely voluntary and a matter of personal choice. Key Components of the Employer Supported Volunteering Policy and Procedure. 2.5 The introduction of the Employer Supported Volunteering Policy and Procedure aims to ensure that all Council employees have equal access to consider volunteering opportunities. It sets out the entitlements, expectations, and processes required to support meaningful, well-organised volunteering activities that are aligned with the Council’s operational priorities. The main components are as follows: 2.5.1 All permanent and temporary employees of the Council who have completed one year of service are eligible to submit a volunteering application. However, applications are subject to approval by the relevant line manager and must be compatible with the operational requirements of the Service. 2.5.2 Those applicable, will be entitled to up to one full day of paid leave per calendar year (pro rate for part time employees) to volunteer with a registered charity or non-profit organisation operating within the North Lanarkshire Council area. This time can be taken in one full day or broken down into periods where it suits the needs of the service and voluntary organisation. 2.5.3 Volunteering applications can be on an individual or team basis. Some organisations use team volunteering as both a team bonding and development opportunity. 2.5.4 The Employer Supported Volunteering Policy and Procedure also outlines the support available to employees and clearly defines their roles and responsibilities when participating in volunteering activities. 2.5.5 The implementation of this policy will be regularly monitored and reviewed to ensure it continues to deliver meaningful benefits for both employees and the wider community. Where appropriate, updates or improvements will be recommended to enhance its effectiveness and alignment with organisational priorities. Next Steps 2.6 If approved by the Finance and Resources Committee, the Employer Supported Volunteering Policy and Procedure will be implemented at the earliest opportunity. Staff will be informed of the policy and its benefits through Council-wide communications, ensuring awareness and encouraging participation across the organisation. 2.6.1 iTrent will be updated to enable the recording of up to one day of paid time off for volunteering activities, ensuring accurate tracking and alignment with the Employer Supported Volunteering Policy. Page 119 of 332
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2.6.2 A set of Frequently Asked Questions (FAQs) and other supporting materials will be developed to help both managers and employees understand the policy, its procedures, and the underlying aims of Employer Supported Volunteering. 3. Measures of success 3.1 Employees demonstrate a strong willingness to engage in volunteering activities that deliver meaningful, positive outcomes and create value for all involved. 3.2 The community recognises that the Employer Supported Volunteering Policy generates tangible benefits and lasting impact. 3.3 Employees feel that volunteering helps them develop new skills, contributing to both their personal growth and professional development. 3.4 Volunteering becomes embedded in the Council’s culture, with employees actively encouraged to explore how it can enrich their work and lives. 4. Supporting documentation 4.1 Appendix 1 – Employer Supported Volunteering Policy and Procedure Fiona Whittaker Chief Officer (People Resources) Page 120 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☐ No ☒ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☒ No ☐ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Policy has been created to ensure consistent application across all services, however due to operational issues within some services, it may not be possible to approve applications in all areas of the Council. Managers will be encouraged to support applications whenever possible. 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☒ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 121 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☒ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Staff will need to be communicated with to ensure that they are aware of the policy and procedure. 5.9 Risk impact Is there a risk impact? Yes ☐ No ☒ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 122 of 332
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Employer Supported Volunteering Policy and Procedure Version 1 October 2025 Page 123 of 332
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2 Document control Title Employer Volunteering Policy and Procedure Owner Fiona Whittaker, Chief Officer (People Resources) Contact whittakerf@northlan.gov.uk Governance Group Business Management Team (BMT) and Finance and Resources Committee Author Linda Cullen Contact CullenLi@northlan.gov.uk Revision History Number Originator Date Review Commenced Revision description/record of change Version 1 Linda Cullen 13 October 2025 First draft of Policy and procedure for consideration Document Approvals Number Governance Group Date approval granted Date approval to be requested (if document still draft) 1 CMT 24 October 2025 Approved 1 F&R Committee 19 November 2025 Consultation Record (for most recent update) Status of document consulted upon First Version Stakeholders consulted/date CMT Trade unions Equality Forum Finance and Resources Strategic Alignment All priorities and programmes of work that encourage employee engagement with the community in which they work Next review date Review Date One year from implementation and then as and when deemed necessary to ensure remains fit for purpose and aligned to organisational values. Page 124 of 332
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Employee Volunteering Policy & Procedure Contents 1. Introduction ............................................................................................................ 4 2. Purpose ................................................................................................................... 4 3. Benefits ................................................................................................................... 4 4. Scope ....................................................................................................................... 4 5. Eligibility .................................................................................................................. 5 6. Activities .................................................................................................................. 5 7. Liability .................................................................................................................... 6 8. Clothing and Equipment....................................................................................... 6 9. Protection of Vulnerable Groups (PVG) Disclosure Check .............................. 7 10. Public Duties ........................................................................................................... 7 11. Applying for a Volunteering Opportunity .......................................................... 7 12. Monitoring & Review of Policy ............................................................................. 9 Appendix 1 Employee Application Form ..................................................................... 10 Page 125 of 332
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Employer Supported Volunteering Policy and Procedure 1. Introduction As part of the Council’s ongoing commitment to community engagement and corporate social responsibility, employees are encouraged to contribute their time and professional skills in support of local charitable and non-profit organisations. To support this initiative, employees are entitled to up to one full day of paid leave per calendar year (pro-rata for part-time employees) to volunteer with a registered charity or non-profit organisation operating within the North Lanarkshire Council area. 2. Purpose The purpose of the Employer Supported Volunteering Policy and Procedure is to establish a clear framework that supports and encourages employee participation in volunteer activities. It reflects the Council’s commitment to community engagement and corporate social responsibility by enabling staff to contribute their time and skills to charitable and non-profit organisations. The policy outlines entitlements, expectations and procedures ensuring that volunteering efforts are meaningful, well-coordinated and aligned with operational needs. Additionally, it promotes personal development, strengthens community ties and enhances the organisations public image through active social contribution. 3. Benefits Volunteering provides employees with valuable opportunities for personal and professional development. Through engagement with charitable and non-profit organisations, individuals can enhance a range of transferable skills, including communication, teamwork, leadership and problem-solving. Participation in volunteer activities also fosters adaptability, resilience and cultural awareness while promoting emotional intelligence and empathy. These experiences contribute to improved confidence, broadened perspectives and strengthen interpersonal relationships. In addition to skill development, volunteering can positively impact employee wellbeing and job satisfaction, aligning with the Council’s commitment to supporting a motivated, skilled and socially responsible workforce. 4. Scope This policy is applicable to all employees of the Council, irrespective of gender, sexual orientation, occupational level, functional area, seniority, employment status or any other protected characteristic as defined by law. Page 126 of 332
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Employer Supported Volunteering Policy and Procedure 5. Eligibility All permanent and temporary employees who have completed one year of service from their start date with the Council are eligible to submit a volunteering application including those on Teacher’s terms and conditions of employment. However, all requests made under this policy are subject to approval by the relevant line manager and must be compatible with the operational requirements of the service. As the work of teachers is governed by national terms and conditions, discussion must be undertaken with the relevant Chief Officer as to how teachers can utilise this policy effectively. 6. Activities Eligible volunteering activities may include a wide range of roles that support the operations and mission of registered charities or non-profit organisations. Examples include assisting with community events, supporting food banks or shelters, mentoring young people, participating in environmental clean-up initiatives, helping with fundraising efforts, providing administrative or technical support. Activities should contribute meaningfully to the organisations objectives and be carried out within the North Lanarkshire Council area, in alignment with this policy’s intent and approval requirements. Team Activities Team volunteering can be a meaningful way to foster collaboration, strengthen team dynamics and contribute positively to the community. Employees may participate in approved team volunteering activities that align with the Council’s values and social responsibility goals. Participation is voluntary and will be supported through paid time off, subject to operational requirements and managerial approval. Activities may include environmental initiatives, mentoring programs, charity events, or other community- based efforts. Teams are expected to coordinate with designated staff to ensure proper planning, safety, and representation of the organisation. It should also be recognised that team activities may not suit everyone, and the make-up of the team will need to be taken into consideration when arranging such events. Feedback and outcomes from team volunteering efforts are welcomed and may be recognised through internal communications or employee engagement initiatives. Requests for Team volunteering activities should be in writing to the service Chief Officer for their consideration and approval. Page 127 of 332
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Employer Supported Volunteering Policy and Procedure Area The volunteering activity must be within the North Lanarkshire Council area and must be for a local charity or non-profitable organisation. Organisations such as Volunteer Scotland (https://www.volunteerscotland.net) and Volunteering Action North Lanarkshire VANL (https://voluntaryactionnorthlanarkshire.org) provide details of organisations who accept volunteers and the type of activities they cover. Employee Conduct During Volunteering Activities Upholding professional standards of behaviour is essential to maintaining the trust, reputation, and integrity of the Council. Whether in the workplace or representing the organisation in external capacities, employees are expected to demonstrate conduct that reflects our core values. Accordingly, the Employee Code of Conduct remains in full effect for all employees engaged in volunteer activities. This Code sets out principles that uphold the highest standards of integrity and personal conduct expected of all staff members. Misconduct during volunteer activities such as inappropriate behaviour, failure to represent the Council responsibly or compromising the safety or dignity of others will be investigated under the Council’s disciplinary policy and procedures. 7. Liability North Lanarkshire Council acts as a facilitator in connecting volunteers with partner organisations. While reasonable steps are taken to ensure that our partner organisations provide safe and supportive environments, the Council is not responsible for day-to-day management, supervision or safety of volunteers once placed. Volunteers are advised that any liability for injury, loss or damage during their placement rests with the host organisation. Volunteers should familiarise themselves with the host organisation’s policies, including health and safety and insurance coverage before commencing. 8. Clothing and Equipment If the volunteering activity requires specialist clothing or equipment, this will need to be supplied by the host organisation. If employees are involved in community transport volunteering using their own car, they will need to check that their own motor insurance is suitable. Page 128 of 332
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Employer Supported Volunteering Policy and Procedure 9. Protection of Vulnerable Groups (PVG) Disclosure Check Where employees are permitted to undertake volunteering activities with external organisations, it is the responsibility of the host organisation to ensure that appropriate safeguarding measures are in place. This includes determining whether a PVG check is required for the role and if so, ensuring that the individual is appropriately vetted through Disclosure Scotland. The Council will not assume any responsibility for PVG membership or checks related to external volunteering roles but does encourage employees to engage only with organisations that uphold robust safeguarding standards. 10. Public Duties Activities such as school governance, serving as a magistrate, participation in electoral duties (including support at polling stations) and trade union responsibilities are recognised as distinct from general volunteering. These are covered under separate organisational policies and are subject to difference procedures and entitlements. 11. Applying for a Volunteering Opportunity Employees can apply to undertake a volunteering activity by completing the application form provided at Appendix 1. All sections should be fully completed and submitted to the line manager for authorisation. Employees may be granted permission to undertake volunteering activities with external organisations, provided the following criteria are met: • The volunteering does not incur additional costs to the Council • The activity does not disrupt or adversely impact individual performance or team operations. • There is no conflict of interest between the volunteering role and the employee’s duties within the Council. • The host organisation is a registered charity or non-profit operating within the boundaries of North Lanarkshire Council. Employee must provide evidence of this. • Volunteering activities must not be used to replace or replicate roles that are the responsibility of Council employees Page 129 of 332
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Employer Supported Volunteering Policy and Procedure When considering an application for volunteering the employees’ level of attendance should also be taken into account. Managers should discuss any concern around the employee’s attendance with a member of the Employment and Policy team. Employees may take this leave as: • One full working day • Two half days, or • Hourly increments, up to a maximum of: 7 hours for employees working 35 hours per week, 7.4 hours for employees working 37 hours per week • Pro-rata for part-time employees. This leave is paid and subject to approval. Line managers may authorise time off after considering the operational needs of the business and any cover arrangements required If the employee’s working day is longer than the standard 7 hours, the leave for volunteering will be based on your normal contractual working hours in a day. Equally for those who work part-time, the volunteering leave will be calculated on a pro-rata basis i.e. if an employee works 50% of full-time hours, they will get 50% of a working day as volunteer leave. If the manager is unable to accommodate a request, the employee will be provided with an explanation and if appropriate provided with an alternative period that is more suitable to the operation of the service. There will be no right of appeal where an application has been refused. Recording Paid Volunteering Leave To ensure accurate monitoring and review, all instances of paid volunteering leave taken by Council employees must be properly recorded. Employees should log this on iTrent by selecting Leave (Other) and choosing the ‘Volunteering Paid’ option from the dropdown menu. The corresponding number of hours taken should be entered to reflect the actual duration of the leave. Training Requirements The organisation for which you volunteer is responsible for providing any necessary training required to undertake the volunteering activity safely and correctly. Employees should ensure that they fully participate in any induction or training offered by the organisation, however this may require to be undertaken in the employee’s own time. Page 130 of 332
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Employer Supported Volunteering Policy and Procedure Subsistence and Travel Expenses Any expenses occurred because of volunteering activities should be claimed through the organisation in line with their policies, procedures and volunteering agreement with the employee. The Council will not be liable for any expenses incurred during a period of volunteering activity. 12. Monitoring & Review of Policy The Employer Supported Volunteering Policy and Procedure will be implemented in accordance with general provisions contained within this document and through application of the relevant processes. The policy will be reviewed on a regular basis to ensure it remains fit for purpose and is benefiting the Council, its employees and the community in which it operates. This policy shall be subject to review as deemed necessary, including but not limited to instances of legislative change, the introduction of new internal or external strategies or plans, or to ensure continued alignment with recognised best practice. Outcomes of such reviews will be formally reported to management teams, relevant governance bodies, working groups, committees, and scrutiny panels, as appropriate. Page 131 of 332
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Employer Supported Volunteering Policy and Procedure Appendix 1 EMPLOYEE APPLICATION FORM VOLUNTEERING ACTIVITY The following form should be completed by employees who wish to volunteer for a registered charity or non-profitable organisation either based or operating within the area of North Lanarkshire Council. EMPLOYEE DETAILS Name Job Title Employee Number Location Hours worked per week Line Manager Name VOLUNTEERING DETAILS Name of Organisation Type of Organisation (Charity, non-profit or other – please advise) Brief Description of organisations purpose and aims Nature of Volunteering Activity Location of Volunteering Activity Dates and times requested for Volunteering activity Page 132 of 332
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Employer Supported Volunteering Policy and Procedure JUSTIFICATION AND IMPACT Explain why you want to volunteer for this organisation? How does volunteering with this organisation align with the Council’s values and objectives including The Plan for North Lanarkshire Council Signed by Employee Date APPROVAL Status of Application (Approved, Declined, Further information required) Managers Comments Signed by Manager Date Please advise employee of outcome within 14 days of submission and ensure that any period of leave is recorded on iTrent. Please note that there is no appeals process for applications that have been rejected. Page 133 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref NLP/IM/JMcK Date 19/11/25 North Lanarkshire Properties LLP – Performance Indicators in Financial Year 2025/26 for Q1 and Financial Performance as at 18th July 2025 From James McKinstry, Chief Officer (Assets and Procurement) E-mail martini@northlan.gov.uk Telephone Ian Martin Tel: 07966 397637 1. Background 1.1 NLP LLP is a limited liability partnership established in 2013 between the Council and its wholly owned company, North Lanarkshire Property Investments Ltd. It undertakes the marketing, leasing and management of the Council’s commercial property portfolio (shop units, office accommodation, business centres, industrial yards and storage Executive Summary This report provides details of North Lanarkshire Properties LLP’s (NLP LLP) performance in financial year 2025/26 for Q1 and provides an update on significant events and service delivery highlights during the reporting period. The report also provides details of the financial performance for the period from 1st April 2025 to 18th July 2025. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledges NLP LLP’s operational performance against its 2025/26 targets for Q1; (2) Acknowledges NLP LLP’s financial performance during the period from 1 April 2025 to 18th July 2025. (3) Acknowledges the Service delivery highlights detailed within the report. The Plan for North Lanarkshire Priority Improve economic opportunities and outcomes Ambition statement (3) Maximise the use of our marketable land and assets through improved development in business and industrial infrastructure Programme of Work Transforming Places Item 7 Page 135 of 332
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units) and, on behalf of the Council, manages legacy properties which remain in the Council’s investment property portfolio. It also delivers services in relation to externally owned properties that the Council leases for its own operational use and provides general advice on lease transactions. 1.2 Governance, strategic direction and oversight of the limited liability partnership is provided by the Management Committee which comprises four elected members and one senior Council officer appointed by the Council and one member appointed by the limited company, NL Property Investments Ltd. Members to the Board of Directors of the limited company, NL Property Investments Ltd, are also appointed by the Council with five elected members and one senior officer appointed. The Management Committee meets quarterly and is responsible for ensuring NLP LLP’s services are delivered in accordance with the approved Service Level Agreement and company objectives. 1.3 NLP LLP has been comprehensively reviewed in 2019 and 2024 with the latest review being reported to the Policy and Strategy Committee on 13 March 2025. The Management Committee has approved an action plan to address the 17 areas of opportunity and future development identified as part of the 2024 review. 2. Report Performance Indicators 2.1 2025/26 Performance indicators are listed at appendix 1 along with actual performance in Q1, which fulfil the reporting requirements agreed between the organisation and the council and further demonstrate where NLP LLP is contributing to the council’s strategic priorities. 2.2 During the reporting period a total of 7 properties were let, renewed or assigned (0 Office; 0 Retail and 7 Industrial) and there were 8 lease terminations over the corresponding period. 2.3 Performance Indicator 13 highlights that, on average, 70% of NLP’s currently vacant properties have remained unoccupied for over 365 days. This points to a requirement for NLP LLP to undertake a strategic review of its property portfolio, with a view to identifying assets for reinvestment or disposal. Tackling this issue will help alleviate the long-term impact of sustained vacancies and will form an important part of the organisation’s medium- to long-term strategic planning. 2.4 Properties may remain vacant for extended periods due to a range of factors, including being uneconomical to repair, limited market demand, particularly in sectors such as retail, and the scale of investment required to bring them back into use. 2.5 NLP is undertaking an analysis of vacancy data as part of its investment planning process to determine which properties warrant reinvestment and which should be considered for disposal. Service Delivery Highlights 2.6 NLP’s collaboration with the NLP Growth Team to redevelop the existing Braidhurst Industrial Site in Motherwell is nearing completion. The project will deliver a modern industrial development comprising 10 newly constructed premises, alongside the Page 136 of 332
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refurbishment of 6 existing units on site, which have now been handed over to NLP for letting. 2.7 NLP is actively supporting the Council’s Ambition Plan for Town Centre regeneration. This has taken the form of identifying properties which could be converted to residential use in Motherwell and Airdrie and which can be sold to the Council to further its plans. Financial Impact Public Accountability Obligations – Financial year 2025/26 2.8 To satisfy the Council’s duty to ensure the organisation delivering property management services on its behalf is financially sound, the Council’s Section 95 Officer maintains appropriate and proportionate processes and procedures for scrutinising NLP LLP’s financial performance. 2.9 The Council’s Legal Agreements with NLP LLP specify the financial information which NLP must submit to the Council including an annual business plan, quarterly management accounts, audited financial statements etc., to enable Financial Solutions to assess and report any financial risk likely to arise as a result of the Council using NLP LLP to deliver these services. 2.10 The Council expends revenue resources annually with NLP LLP to deliver services which assist the Council in achieving its priority outcomes. The Council has a duty to continue to ensure this money is being properly used to deliver both the Council’s and NLP LLP’s key objectives. 2.11 For financial year 2025/26 the Council’s approved revenue spend includes property management services (£0.198m) and rental charges for properties utilised by the Council. Financial Outturn to 31 March 2025 2.12 The 2024/25 Annual Financial Statements approved by the Board at the AGM on 22 September 2025 reported an Accounting Profit for the year of £1.442m, which included increased costs within Property Costs and Financing Costs partially offset by an over- recovery in income relating to bank interest coupled with revaluation of the investment portfolio and underspends within Employee and Admin Costs. Further details on financial trading performance are given on Appendix 2. 2.13 Appendix 3 provides Balance Sheet balances at the 31 March 2025 along with the previous year’s comparative figures and commentary. Council representatives are asked to note net assets totalling £50.346m are predominately due to improved timing in payment of invoices, revaluation of the investment portfolio and receipt of income. Therefore, Council representatives should be assured that the company is in a healthy position. Financial Performance 1 April 2025 to 18 July 2025 2.14 Based on the financial performance 18 July 2025 a projected transfer into reserves of £0.737m (following loan repayments) is reported to 31 March 2026 which is a favourable position against budget. The position reflects increased income relating to rental income, bank interest, offset by projected building management costs. As at period 4 the Actual Debt Service Covenant (ADSC) is 1.27:1 which is in excess of the Page 137 of 332
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revised ratio agreed with Barclays of 1.1:1. Further details on financial performance are given in Appendix 4. 2.15 Appendix 5 provides Balance Sheet balances as at 18 July 2025 along with the comparative figures as at 31 March 2025. The company has net assets of £51.816m predominately due to realisation of year end prepaid income in the accounts and improved timing in payment of invoices and receipt of bank interest offset by Trade Debtors. This is a favourable movement of £1.470m on the year-end position. Members should be assured that the company has sufficient resources to meet its current obligations. Projected Cashflow to July 2026 2.16 Appendix 6 provides the projected cashflow to July 2026. The minimum balance of cash projected to be held was £4.749m in April 2026. This demonstrates that NLP will continue to hold sufficient levels of cash. 2.17 NLC continue to monitor NLP financial performance closely with updates provided to the Corporate Management Team. 3. Measures of success 3.1 The financial position of the company is being monitored closely to ensure that NLP LLP will continue to meet its loan obligations. 3.2 The re-development of Braidhurst Industrial Estate will provide new and refurbished industrial units for let, supporting new and expanding business and contributing to the overall vision for the area. 4. Supporting documentation 4.1 Appendix 1 4.2 Appendix 2 4.3 Appendix 3 4.4 Appendix 4 4.5 Appendix 5 4.6 Appendix 6 Performance Update – Q1 of Financial Year 2025/26 Outturn to 31 March 2025 Overall Financial Standing – Balance Sheet as at 31st March 2025 Financial Performance to 18th July 2025 Overall Financial Standing – Balance Sheet as at 18th July 2025 Cashflow Forecast to July 2026 James McKinstry Chief Officer (Assets and Procurement) Page 138 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The financial performance of NLP is closely monitored by the council’s Section 95 Officer and the financial performance along with other key financial information is detailed within the report. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 139 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☐ No ☒ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 140 of 332
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North Lanarkshire Properties LLP Appendix 2 Outturn to 31 March 2025 Income & expenditure 2024/25 2024/25 2024/25 Commentary Annual Budget Actual Outturn Variance £m £m £m Rental, SLA income and Insurance Income 6,407 6,445 38 Favourable variance due to rental reviews implemented for new leases Investment and other income 5 405 400 Predominately due to interest received and Business Centres for use of additional facilities, supplies etc. Total Income 6,412 6,850 438 Expenditure; Employee costs (769) (674) 95 Vacancies offset by Agency Costs. Property Costs (2,019) (2,443) (424) Variance is a managed overspend within repairs, additional buidling management costs, water rates and provision for demolition costs. Supplies & Services & Admin Costs (713) (653) 60 Variance is a result of increased ICT costs and partial release of contribution to Braidhurst project offset by lower than anticipated bad debt provision. Financing Costs (1,991) (2,054) (63) Adverse variance due to differential on SONIA interest rate calculation at budget setting and actuals. Total Expenditure (5,492) (5,824) (332) Trading Profit 920 1,026 106 Year end Accounting adjustments not included in budget (No Covenant impact): Grant Income 0 0 0 FRS102 pension costs 0 (74) (74) Revaluation of pension asset Unrealised gain/(loss) on investment portfolio 0 490 490 Revaluation of property portfolio Accounting Profit 920 1,442 522 Loan Principal Repayments (500) (500) 0 Profit Transferred to/(out) Reserves 420 942 522 Page 147 of 332
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North Lanarkshire Properties LLP Appendix 3 Overall Financial Standing - Balance Sheet as at 31 March 2025 Balances/ Indicator As At 31 March 2025 £m As At 31 March 2024 £m Variance £m Commentary . 74.436 73.946 0.490 Revaluation of properties by BNP Parabis Ltd Current Assets: Trade Debtors 1.704 0.901 0.803 Accounting treatment of contribution to Braidhurst project and year end accruals. Bad Debt Provision (0.147) (0.241) 0.094 Increased activity during 2024/25 to reduce bad debt levels. Prepayment and Other Debtors 0.000 0.000 0.000 Bank and short term investments 5.986 7.088 (1.102) Improved timing re release of payments. 7.543 7.748 (0.204) Current Liabilities: Creditors (1.294) (2.049) 0.755 Timing re processing of invoices and creditors payment run Other Creditors inc. VAT & other taxes (1.173) (1.005) (0.168) Prepaid income and loan interest Loan payments due in <1 yr (0.500) (0.500) 0.000 (2.967) (3.554) 0.587 Net current Assets/(liabilities) 4.577 4.194 0.383 Loan repayments due in > 1 yr (28.740) (29.235) 0.495 Loan Repayment Schedule agreed with bank Defined scheme pensions liabilities 0.074 0.000 0.074 Revaluation of pension asset Net Asset / (Liabilities) 50.346 48.905 1.442 Page 148 of 332
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North Lanarkshire Properties LLP Appendix 4 Year to date 18 July 2025 Income & expenditure 2025/26 2025/26 Year to date 2025/26 2025/26 Commentary:- Annual Budget v Projected Outturn Annual Budget Budget Actual Variance Projected Outturn Variance £m £m £m £m £m £m Rental, SLA income and Insurance Income 6.404 2.148 2.286 0.138 6.585 0.181 Forecast rental income Investment and other income 0.075 0.019 0.057 0.038 0.259 0.184 Bank interest Total Income 6.479 2.167 2.343 0.176 6.844 0.365 Expenditure; Employee costs (0.800) (0.144) (0.144) 0.000 (0.769) 0.031 Underspend due to vacancies Property Costs (2.041) (0.405) (0.405) (0.000) (2.091) (0.050) Additional Building Management Contract Supplies & Services & Admin Costs (0.713) (0.138) (0.138) (0.000) (0.713) 0.000 On target Financing Costs (2.037) (0.186) (0.186) (0.000) (2.034) 0.004 Minor Total Expenditure (5.591) (0.873) (0.873) 0.000 (5.607) (0.015) Trading Profit 0.888 1.294 1.470 0.176 1.237 0.350 Loan Principal Repayments (0.500) (0.500) (0.500) 0.000 (0.500) 0.000 On target Profit Transferred to/(out) Reserves 0.388 0.794 0.970 0.176 0.737 0.350 Page 149 of 332
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North Lanarkshire Properties LLP Appendix 5 Overall Financial Standing - Balance Sheet as at 18 July 2025 Balances/ Indicator As at 18 July 2025 As At 31 March 2025 Variance Commentary £m £m £m Fixed Assets 74.436 74.436 0.000 Current Assets: Trade Debtors 0.941 1.704 (0.763) Improved timing re payments received Bad Debt Provision (0.147) (0.147) 0.000 Prepayment and Other Debtors 0.000 0.000 0.000 Bank and short term investments 6.516 5.986 0.530 Timing of payments and increased bank interest 7.310 7.543 (0.233) Current Liabilities: Creditors (0.441) (1.294) 0.853 Release of accrued payments Other Creditors inc. VAT & other taxes (0.373) (1.173) 0.799 Year end prepaid income adjustments now realised in the accounts and movement in VAT Loan payments due in <1 yr (0.500) (0.500) 0.000 Per loan repayment schedule (1.314) (2.967) 1.652 Net current Assets/(liabilities) 5.995 4.577 1.419 Loan repayments due in > 1 yr (28.615) (28.740) 0.125 Per loan repayment schedule Defined scheme pensions liabilities 0.000 0.074 (0.074) Year end adjustment Net Asset / (Liabilities) 51.816 50.346 1.470 Page 150 of 332
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Appendix 6 0.0 1,000.0 2,000.0 3,000.0 4,000.0 5,000.0 6,000.0 7,000.0 Aug-25 Sep-25 Oct-25 Nov-25 Dec-25 Jan-26 Feb-26 Mar-26 Apr-26 May-26 Jun-26 Jul-26 Balance -£m NLP Cash Flow Forecast to July 2026 Page 151 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☒ Yes ☐ No Ref JMcK Date 19/11/25 Strategic Performance Framework - latest performance results for Assets and Procurement From James McKinstry, Chief Officer (Assets and Procurement) E-mail mckinstryj@northlan.gov.uk Telephone Executive Summary Assets and Procurement sit within the Enterprise and Communities service area of the council and comprises the following areas - asset management, estates management, enterprise project, forward planning and specification, town and community hub development programme, technical and design, procurement and support, and corporate property. The teams play a key role in leading and developing on a number of key areas that support the delivery of the place based ambition set out in The Plan for North Lanarkshire. This includes asset rationalisation and development, the corporate asset management plan, the hub development and delivery programme, net zero, and improving procurement capability and capacity. The work carried out by the teams also supports the delivery of a number of other key areas across the council such as the new supply programme, economic regeneration delivery plan, planning and place making, city deal, the early learning and childcare expansion programme, additional support needs provision, and the leadership and operating model for the hubs. Performance is measured across many of the above service areas and is monitored by the service’s management team as well as within operational teams. This report provides an update of current performance reflecting the service’s key areas of activity. Recommendations It is recommended that the Finance and Resources Committee: (1) Review the high-level performance overview presented in Appendix 1 and identify where further information is required to understand or investigate performance further. The Plan for North Lanarkshire Priority All priorities Ambition statement All ambition statements Item 8 Page 153 of 332
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1. Background 1.1 There are six inter-related strategic frameworks which are key to evaluating the success of The Plan for North Lanarkshire and assessing delivery towards achieving the overall vision by ensuring each stage is appropriately aligned, planned, guided, implemented, monitored, and governed. 1.2 The six frameworks focus on ensuring a corporate one council approach in respect of Policy, Governance, Performance, Self-Evaluation, Project Management, and Demonstrating Improved Outcomes for Communities. 1.3 The Strategic Performance Framework comprises performance measurement at three levels (as per the diagram on the right). This aims to collectively provide an overview of performance to help understand the impact of council activities on improving services and outcomes for the people and communities of North Lanarkshire. The measures in this Framework allow for day-to-day activities, and progress towards achieving the long-term vision set out in The Plan for North Lanarkshire, to be regularly monitored, reported, assessed, and scrutinised. 1.4 The Strategic Performance Framework is aligned to the Accounts Commission’ Statutory Direction which places a requirement on councils to report a range of information in terms of (1) improving local services and outcomes, and (2) demonstrating Best Value. Key points of note in this respect are that the Accounts Commission also expect to see: (a) A balance in terms of reporting that captures highlights of good performance as well as areas of performance requiring improvement. (b) Reporting that is undertaken in a timely manner. (c) Easy access to performance information for all citizens and communities. (d) Comparisons of performance (i) over time (e.g. compared to previous years), and (ii) with others (e.g. other local authorities or the national average (where available and appropriate). The council’s comparative performance in Local Government Benchmarking Framework (LGBF) indicators can be viewed through the Improvement Service’s online dashboard: https://www.improvementservice.org.uk/benchmarking/explore-the-data 1.5 A Performance Reporting Schedule supports the timely submission of a range of performance information to ensure fully informed review, reporting, scrutiny, and decision-making processes by Elected Members and senior management. This Schedule, endorsed by the Audit and Scrutiny Panel each year, includes Chief Officer’s individual Performance Reviews at Service Committees in line with the Strategic Performance Framework. 1.6 This report therefore presents the Finance and Resources Committee with the latest performance results for Assets and Procurement for Members’ further review and scrutiny. 2. Strategic Performance Framework Programme of Work Statutory / corporate / service requirement Page 154 of 332
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Finance and Resources Committee responsibilities 2.1 In line with the terms of reference outlined in the Scheme of Administration, the Finance and Resources Committee is responsible for monitoring and reviewing performance information for the following Ambition Statements from The Plan for North Lanarkshire. 21. Continue to identify and access opportunities to leverage additional resources to support our ambitions. 22. Facilitate a North Lanarkshire wide approach to asset rationalisation, including with communities and partners. 2.2 The high-level performance overview in Appendix 1 presents Members with a summary of the latest results for performance indicators relating to the services that sit within the remit of the Chief Officer (Assets and Procurement). 2.3 The information in Appendix 1 comprises the undernoted. Appendix 2 provides additional context in respect of the council’s approach to the measurement of indicators and setting of targets. • An ideal direction arrow - this indicates whether a higher or lower figure is the preferred direction of travel. • Measurement unit - for example whether the result is a %, a number, a unit cost (in £), or a ratio. • Performance results for the most recent financial years (depending on availability of data) along with the latest year’s target and corresponding RAG status (for indicators where it is appropriate to set targets). • The most recent quarterly results, along with the corresponding target and RAG status. Note the inclusion of this information is dependent on the measurement frequency of the indicator and availability of data as at the time of reporting. • A trend graph - this captures the direction of travel achieved over the years and includes the most recent monthly or quarterly results where available. • Comments - narrative summarising the current position and providing an explanation for any significant variations in performance. Where applicable, this narrative also highlights any internal or external factors impacting on service delivery as well as any residual effects of the pandemic, e.g. any increase or decrease in the volume of transactions or enquiries processed. Current context 2.4 The performance information presented in Appendix One should be considered within the context of the following: • Assets and Procurement continue to support management teams as they transition to adopt more agile and hybrid modes of operation. While continuing to deliver at pace, the hub programme experiences significant cost increases linked to global and national influences and given the size and scale of spend linked to this programme - any increases are significant. The service continues to lead on the council response to its net zero duties. A higher figure is better A lower figure is better Key to RAG status Green Performance is on target and/or within acceptable thresholds Red Performance does not meet target and is outwith acceptable thresholds Blue Performance surpasses the target and exceeds expectations Page 155 of 332
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• The council have a largely decentralised procurement model, in which the corporate procurement team provide the strategic governance through General Contract Standing Orders and provide professional expertise through officers that lead or support regulated procurement activity. The team continue to be responsible for consolidating the council’s Annual Procurement report (which is a legislative requirement), managing the council’s contract register of external expenditure, and providing organisational procurement reporting. The overall procurement function of the council is assessed regularly by a third party agency through procurement capability assessments (PCIP) for which the team lead on delivering an internal procurement plan. The most recent assessment was carried out in 2024 with a positive outcome reported separately to Finance and Resources Committee. • As part of the council’s Programme of Work governance structure, Assets and Procurement are heavily involved in the Programmes of Work for Transforming Places, Invest in North Lanarkshire, Sustainable Futures, Digital North Lanarkshire, and One Service. Recent performance highlights 2.5 Since the last performance report to Committee, progress continues at pace to deliver five new community hubs by the end of 2026 - with the main building at Orbiston Community Hub in Bellshill opened in November 2025, creating new facilities for Sacred Heart and Lawmuir Primary Schools, a new Family Learning Centre for nursery pupils, and a new community centre to replace the older Joe Mackay centre. This hub is fully electric, contributing to our carbon reduction activity across the council. Over 500 pupils and the wider community will get decades of use out of this new bespoke community hub. In addition, construction is underway at St Kevin's Community Hub in Coatbridge, Gartcosh Community Hub in the Northern Corridor, and St Stephens Community Hub in Coatbridge with expected completion dates of February, September, and October 2026 respectively. The Chryston High extension and third sector early years creation in the Northern Corridor are also under construction, with phase one expected to be complete in November 2026. These developments will add to the Hubs already operational at Newmains and St Brigid’s, Riverbank, and Chryston (which is home to Chryston Primary School and the new Community Health Clinic for NHS Lanarkshire). 2.6 Within the area of corporate procurement, the vast majority of indicators are positive, including ensuring all qualifying contracts are awarded to those who meet fair work criteria, continuing to be proactive in engaging, encouraging local business and small- medium enterprise participation in procurement opportunities via the annual local and national meet the buyer events, and the proportion of collaborative contracts with other publicly funded bodies remains high at 41.5% although this is an area where spend can fluctuate from year to year. 2.7 Another area to highlight is that the Enterprise Project Team received a Highly Commended in the 2025/26 Scotland GO awards in the Team of the Year category. This category was open to all public sector organisations. In addition, the Enterprise Project was a finalist in the Public Procurement of the Year category. Areas of performance requiring improvement 2.8 Within procurement, three measures fall short of the expected target range: • Proportion of qualifying procurement contracts >£1m containing a community benefit requirement - Legislation requires the council to consider whether to Page 156 of 332
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incorporate community benefit requirements as part of a procurement when the estimated contract value is greater than or equal to £4 million. Community benefits are a key objective of the council's Procurement Strategy and, as such, internal arrangements require that community benefits must be considered for inclusion in all procurements with an estimated value greater than £1millon - a considerably lower financial threshold than required by legislation. The council awarded 38 contracts within the scope of this reporting metric, 35 of these incorporated community benefits and the reasons for the remaining 3 contracts are that (a) two contracts placed were urgent appointments of replacement contractors to takeover failed contracts that were abandoned, and (b) one was where the procurement was carried out by a collaborative purchasing body on our behalf. • Proportion of qualifying procurement in reporting period to local organisations - Spend in this area can fluctuate from year to year meaning actual performance can vary considerably from a static target. Only two of the previous seven years have been above or within the tolerance of the 70% target - these instances refer to the years when the council established multi-contractor multi-year frameworks for specific service areas, i.e. childcare and homecare, where both frameworks predominantly have a large number of local businesses. The service is currently reviewing the data around this area to establish whether the cyclical nature of contract awards requires to be reflected in the annual target. • Proportion of council spend with small medium enterprises - This metric is based on the council spend in the financial year, and the size of business the spend is with. The seven year average is 42.9%, so the current year of 39.8% is close to the average, but lower than the 45% target and +/- 5 tolerance. The council continue to be proactive in engaging and encouraging local business and small- medium enterprise participation in procurement opportunities via the annual local and national meet the buyer events. 2.9 Areas within corporate property are noted below: • Proportion of emergency corporate property repairs completed within timescale - Performance has decreased slightly (to 94.1%) which is lower than the target of 98%. 2.10 In relation to the proportion of properties within the commercial property portfolio occupied - The commercial portfolio continues to see a reduced demand in the retail sector off the portfolio with a number of units being vacant for longer periods however 77.7% (775 of 998) of the portfolio continues to be occupied. This is a slight increase to the 2023/24 reports. Limited capital funds within the NLP are being targeted for areas of demand within the industrial sector. Next steps 2.11 As noted in paragraph 1.5, the Strategic Performance Framework is supported by a Performance Reporting Schedule. This sets out the arrangements for service, statutory, and Strategic Performance Framework reporting to committee. In this respect the relevant Committee can expect to receive the following reports in respect of Assets and Procurement areas of work during 2026. Report Description Committee Committee cycle for next report Public Sector Duties climate change annual report The Climate Change (Duties of Public Bodies; Reporting Requirements) (Scotland) Order 2015 introduced a legal obligation for public bodies to report annually detailing their compliance with the Environment and Climate Change Committee Cycle 1 in 2026 Page 157 of 332
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duties specified in the Climate Change (Scotland) Act 2009 and its subsequent amendments. The report is produced annually for the most recently completed financial year with a submission date of 30th November each year. The annual submission requires the council to demonstrate that, as a public sector organisation, it is contributing to the nationally set climate change targets as well as adhering to its other responsibilities in terms of both adaptation and sustainability. The report ensures the council fulfils its legal obligations; it also provides an update on progress against the council’s carbon budgets set within the Climate Plan and the Energy Policy targets. • latest report in February 2025 - link Annual Procurement report The Procurement Reform (Scotland) Act 2014 requires the council to prepare an annual procurement report on its regulated procurement activities as soon as reasonably practicable after the end of each financial year. Production of the Annual Procurement report follows the end of each financial year, where spend data is collated and analysed. • latest report in September 2025 - link Finance and Resources Committee Cycle 3 in 2026 North Lanarkshire Properties NLP LLP is a limited liability partnership established in 2013 between the Council and its wholly owned company, North Lanarkshire Property Investments Ltd. It undertakes the marketing, leasing and management of the Council’s commercial property portfolio (shop units, office accommodation, business centres, industrial yards and storage units) and, on behalf of the Council, manages legacy properties which remain in the Council’s investment property portfolio. It also delivers services in relation to externally owned properties that the Council leases for its own operational use and provides general advice on lease transactions. Responsibility for oversight of service delivery by arm’s length bodies rests with the relevant service committee. The report confirms where NLP LLP is fulfilling its contractual obligations and meeting the council’s service delivery expectations, as well as providing information on financial performance and overall financial standing within the company. This information aims to help give early warning of any financial risks which may give rise to operational or reputational risks for the council. • latest report in September 2025 - link Finance and Resources Committee Cycle 2 and 4 in 2026 3. Measures of success 3.1 Measures of success include: • Regular oversight and monitoring of performance across the organisation to gain assurances in terms of governance and accountability. • Regular review and challenge processes to scrutinise the performance of the council to ensure effective use of resources and that resources are directed in accordance with agreed policy and according to priorities, while ensuring sound decision making and clear accountability for the use of resources in achieving improved outcomes for service users and the local community. • Performance monitoring, management, and reporting arrangements that support Page 158 of 332
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the demonstration of improved performance in local services and outcomes, and the delivery of Best Value. 4. Supporting documentation 4.1 Appendix 1 - High-level performance overview. 4.2 Appendix 2 - Note for information in respect of performance indicators and targets. James McKinstry Chief Officer (Assets and Procurement) 5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality-and-fairer- scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☐ No ☒ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ Page 159 of 332
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If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ 5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? Monitoring and managing service performance supports the ongoing review of the service’s risk register. 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been Page 160 of 332
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carried out? Yes ☐ No ☐ Page 161 of 332
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Appendix 1 Assets and Procurement High-level performance overview - as at October 2025 Note, for the majority of the benchmarking indicators the most up to date data that is available nationally relates to 2023/24 (https://www.improvementservice.org.uk/benchmarking/explore-the-data) Procurement spend - % through collaborative contracts with other publicly funded bodies i097 higher figure is better % 29.3 32.5 43.0 30.3 21.8 42.3 41.5 30.0 blue blue 30.0 In all reporting years, the majority of council spend is based on conducting our own competitive tenders, but there are a range of collaborative Frameworks that can be used to source many of the council requirements. The baseline is set to 30%, but the % of spend on collaborative contracts can vary significantly from year to year as demonstrated by the fluctuating range from a low of 21.8% to a high of 43%. For 2024/25 spend, this metric is above the baseline. Procurement spend - % with contracted suppliers i098 higher figure is better % 89.8 88.2 91.0 91.0 94.0 95.6 93.5 95.0 green green 95.0 The council spend continues to be within the tolerance of the target range of 95%, ensuring we are buying from contracted suppliers. Procurement contracts - % qualifying contracts >£1m containing a community benefit requirement Pi025 higher figure is better % 66.7 83.3 69.0 100.0 100.0 100.0 92.1 100.0 red red 100.0 Legislation requires the council to consider whether to incorporate Community Benefit requirements as part of a procurement when the estimated contract value is greater than or equal to £4 million. Community benefits are a key objective of the council's Procurement Strategy and, as such, internal arrangements require that community benefits must be considered for inclusion in all procurements with an estimated value greater than £1millon - a considerably lower financial threshold than required by legislation. The council awarded 38 contracts within the scope of this reporting metrix, 35 of these incorporated community benefits. There were exceptional reasons for the 3x individual contracts that did not secure community benefits direct to the council: * 2x contracts placed were urgent appointments of replacement Contractors to takeover failed contracts that were abandoned. * 1x contract was for Microsoft licenses in which the procurement was carried out by a Collaborative Purchasing Body on our behalf in the form of an aggregation exercise (which has a purpose to achieve better value through collective buying power thus securing best value pricing for all participants) - this approach however did not result in community benefits to individual participants. Procurement contracts - % qualifying contracts awarded to clients who meet fair work criteria Pi022 higher figure is better % 83.6 81.3 100.0 100.0 100.0 100.0 100.0 100.0 blue blue 100.0 All regulated procurements undertaken comply with the council's procurement toolkit, which mandates the encouragement of Fair Work Practice and it includes a scored question on Fair Work approach that contributes towards a tenderers evaluation score. Procurement assessment score - procurement and commercial improvement programme (PCIP) i091 higher figure is better % n/a 70.0 n/a n/a n/a 72.7 n/a n/a n/a n/a No PCIP in 2024/25 2021/222020/21 2022/23 2024/25 target 2025/26 target2024/25 RAG status trend comments2023/24 2024/252019/20Indicator id ideal direction unit of measurem ent 2018/19 0.0 10.0 20.0 30.0 40.0 50.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 80.0 85.0 90.0 95.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 60.0 70.0 80.0 90.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 60.0 70.0 80.0 90.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 0.0 20.0 40.0 60.0 80.0 100.0 2019/20 2023/24 Page 162 of 332
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Procurement contracts - % qualifying contracts in reporting period to local organisations Pi023 higher figure is better % 52.5 72.4 71.8 41.9 58.0 40.3 42.1 70.0 red red 70.0 On reflection, a flat baseline of 70% is not reflective of the profile of contracts due to be tendered in each given year. Most contracts or frameworks established by the council are for a period of 3 or 4 years. Only 2 of the previous 7 years have been above or within the tolerance of the 70% target; these instances refer to the year groups when the council established multi- contractor multi-year frameworks for specific service areas i.e. Childcare and Homecare, where both frameworks predominantly have a large number of local businesses which inflated those values. The other 5 reporting years have a range between 40.1% and 58%, so the conclusion is that the fluctations in the tendering intervals make it difficult to consistenctly achieve a positive metric against a flat baseline. Procurement contracts - % qualifying contracts in reporting period to small medium enterprises Pi024 higher figure is better % 80.9 86.7 87.9 83.8 86.3 81.6 84.8 80.0 green green 80.0 We have a consistent baseline that that aligns to an 80:20 pattern. Procurement spend - % awarded to local organisations i024 higher figure is better % 27.3 28.1 27.6 26.5 29.3 41.3 38.3 27.5 blue blue 27.5 This metric is based on the council spend in the financial year, and the base location of the Contrators used. The 7 year average is 31.2%, so the current year of 38.3% is above the average and target. 5 of the previous 7 years are within the tolerance of the target. The council are proactive in engaging and encouraging local business and SME participation in procurement opportunties via the annual local and national meet the buyer events. Procurement spend - % with small medium enterprises i025 higher figure is better % 45.0 46.5 40.5 49.0 35.2 44.1 39.8 45.0 red red 45.0 This metric is based on the council spend in the financial year, and the size of business we spend with. The 7 year average is 42.9%, so the current year of 39.8% is close to the average, but lower than the 45% target and +/- 5% tolerance. 5 of the previous 7 years are within the tolerance of the target. The council are proactive in engaging and encouraging local business and SME participation in procurement opportunties via the annual local and national meet the buyer events. Carbon footprint for the council - tCo2E of carbon emissions Pi129 lower figure is better number 97,900 77,113 60,361 62,770 61,909 61,773 62,278 green green 58,161 (2024/25 target) Continued slow and steady reductions achieved via project delivery, offsetting any changes to the use of the estate or other assets. (2023/24) Data for 2024/25 will be available in November in line with the annual submission deadline to the Sustainable Scotland Network/Scottish Government. Carbon footprint for the council - tCo2E of carbon emissions per FTE employee Pi130 lower figure is better number 7.9 6.2 4.9 4.7 4.6 4.6 4.9 green green 4.5 (2024/25 target) Staffing levels maintained have assisted in maintaining level of emissions per FTE staff as there has been minimal decrease in emissions (2023/24) Data for 2024/25 will be available in November in line with the annual submission deadline to the Sustainable Scotland Network/Scottish Government. 2019/20Indicator id ideal direction unit of measurem ent 2018/19 2021/222020/21 2022/23 2024/25 target 2025/26 target2024/25 RAG status trend comments2023/24 2024/25 20.0 40.0 60.0 80.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 60.0 70.0 80.0 90.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 0.0 20.0 40.0 60.0 80.0 100.0 0 20,000 40,000 60,000 80,000 100,000 18/19 19/20 20/21 21/22 22/23 23/24 0.0 2.0 4.0 6.0 8.0 10.0 18/19 19/20 20/21 21/22 22/23 23/24 0.0 20.0 40.0 60.0 80.0 100.0 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24 Page 163 of 332
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Occupancy level, primary schools - % with occupancy level above 75% Pi127 higher figure is better % 55.0 55.5 54.6 52.1 52.1 44.1 46.5 58.5 red red 58.5 While there are optimum levels of occupancy, it is preferred (from an operational perspective) for a school to have too much space than too little. The council is constantly looking at alternative uses for excess spaces - such as cluster hubs or touchdown spaces. These may help adjust the figures positively in the medium term. Occupancy level, secondary schools - % with occupancy level above 75% Pi128 higher figure is better % 52.2 69.6 65.2 60.9 60.9 56.5 69.8 63.0 blue blue 63.0 While there are optimum levels of occupancy, it is preferred (from an operational perspective) for a school to have too much space than too little. The council is constantly looking at alternative uses for excess spaces - such as cluster hubs or touchdown spaces. These may help adjust the figures positively in the medium term. Council assets - % of internal floor area of operational buildings that is in a satisfactory condition Pi124 higher figure is better % 94.0 - - - 95.0 95.0 95.0 90.0 blue blue 90.0 The operational floorspace has increased due to the reopening / maximisation of accommodation (m2), e.g. Civic Square and the reconfigeration of office space at Buchanan Centre and the Dalziel Building. Council assets - % operational buildings that are suitable for their current use Pi125 higher figure is better % 75.2 - - - 83.4 81.0 83.5 90.0 red red 90.0 The suitability (m2) of operational properties has increased due to investment and improvements of the remaining office estate (e.g. in Civic Square and some spaces within Civic Centre). Public access - % of public areas in council buildings that are suitable for and accessible to disabled people i092 higher figure is better % 83.1 - - - 86.2 85.7 85.1 90.0 green green 90.0 Improvements continue to be made to improve accessibility in council buildings, with latest figures showing 85.1% compared to the pre-pandemic survey of 83.1%. Adhoc adjustments to meet sepcific staff needs continue to be considered in line with current budget allocation. 2019/20Indicator id ideal direction unit of measurem ent 2018/19 2021/222020/21 2022/23 2024/25 target 2025/26 target2024/25 RAG status trend comments2023/24 2024/25 0.0 20.0 40.0 60.0 80.0 100.0 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24 0.0 20.0 40.0 60.0 80.0 100.0 2018/19 2019/20 2020/21 2021/22 2022/23 2023/24 80.0 85.0 90.0 95.0 100.0 2018/19 2022/23 2023/24 2024/25 70.0 80.0 90.0 100.0 2018/19 2022/23 2023/24 2024/25 80.0 85.0 90.0 95.0 100.0 18/19 22/23 23/24 24/25 Page 164 of 332
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Corporate property repairs - % emergency repairs completed within timescale i103 higher figure is better % 98.6 95.1 93.6 98.4 96.9 97.4 94.1 98.0 red red 98.0 The mobillisation of the Enterprise Contract has seen a number smaller contracts transition into the overall contract. IT and administrative arrangements have required to be updated. These continue to be streamlined to standardise the performance monitoring arrangments and ease the administrive burden to provide a timeless reflection of the large volume of works undertaken via the Enterprise arrangement. Corporate property repairs - % routine repairs completed within timescale i104 higher figure is better % 95.5 93.0 95.3 98.6 98.5 98.6 99.4 98.0 green green 98.0 The mobillisation of the Enterprise Contract has seen a number smaller contracts transition into the overall contract. IT and administrative arrangements have required to be updated. These continue to be streamlined to standardise the performance monitoring arrangments and ease the administrive burden to provide a timeless reflection of the large volume of works undertaken via the Enterprise arrangement. Properties - % properties within the commercial property portfolio occupied Pi020 higher figure is better % 88.8 89.0 90.5 89.3 88.0 75.9 77.7 91.0 red red 75.0 The commercial portfolio continues to see a reduced demand in the retail sector off the portfolio with a number of units being vacant for longer periods however 77.7% (775 of 998) of the portfolio continues to be occupied. This is a slight increase to the 2023/24 reports. Limited capital funds within the NLP are being targeted for areas of demand within the industrial sector. 2019/20Indicator id ideal direction unit of measurem ent 2018/19 2021/222020/21 2022/23 2024/25 target 2025/26 target2024/25 RAG status trend comments2023/24 2024/25 0.0 20.0 40.0 60.0 80.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 80.0 85.0 90.0 95.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 80.0 85.0 90.0 95.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 Page 165 of 332
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Appendix 2 Note for information in respect of performance indicators and targets It should be noted that the nature of particular areas of service being measured in order to assess and manage performance do not always lend themselves to a traditional approach to either measuring performance or setting targets, for example: • Some indicators (and targets) are required to monitor performance against a commitment or minimum standard the council has made in advance to achieve a stated level of performance when delivering a service. • Some indicators (and targets) are required to assess compliance with legislative requirements. • Some targets represent the level of performance that the council aims to achieve from a particular activity in either the short, medium, or long-term. • Some indicators are needed to help present a complete picture of performance in the round, as a single performance indicator used in isolation rarely tells the whole performance story and a range of indicators are required to reflect the economic, efficient, and effective aspects of demonstrating best value. • Some indicators and targets can help to support accountability to the public in terms of demonstrating best value and an efficient and effective approach to the delivery of services. • Some indicators are monitored to ensure the council complies with specific requirements, such as information governance or health and safety. • Some indicators are monitored to provide added context in order to help interpret performance results or supplement other existing measures. Information such as this can be critical to enhance knowledge and decision making in terms of demand to help determine priorities and allocate resources. • For some indicators it is not appropriate to set targets as it is the trend in the data (i.e. the direction of travel) that provides more meaningful information to allow for an assessment in relation to whether performance has improved. • Some indicators are national benchmarking indicators where their purpose is to allow for comparisons with other councils and the national average. These benchmarks are, in essence, can openers designed to focus questions on why variations in cost and performance are occurring between similar councils. • Some indicators are proxy measures, particularly in the case of measuring outcomes, as without directly measurable data for a desired outcome the only alternative is to use a proxy that is an indirect measure of the desired outcome but which is itself strongly correlated to that outcome. Page 166 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☒ Yes ☐ No Ref GT Date 19/11/25 Strategic Performance Framework - latest performance results for Finance From Greg Telfer, Chief Officer (Finance and Technology) E-mail TelferG@northlan.gov.uk Telephone 07583 010692 Executive Summary This report has been prepared in line with the council’s Strategic Performance Framework which enables progress against strategic priorities and day to day operations to be regularly reported to service committees to support Elected Members in their role of monitoring and scrutinising service performance. This also supports the identification of areas requiring further investigation or improvement. The report represents the annual performance review for Finance across a range of service specific and national benchmarking measures. The service continues to deal with demand pressures and additional workloads as a result of wider economic impacts on residents of North Lanarkshire, however performance continues to be strong across a number of areas including council tax collection and the time taken to process new benefits claims. There are, however, areas where performance is lower than expected, including with creditors and benefit processing times for changes in circumstances (although we continue to operate in line with current DWP standards). The Service plans to review its internal performance targets, as these have been in place for some time, to make sure they are still relevant. Performance in these areas is kept under continual review and remedial action taken as appropriate. The performance report to Finance and Resources Committee in May 2025 formally closed out performance reporting for Business and Digital prior to the Technology functions of Business and Digital being transferred under the remit of the Chief Officer (Finance and Technology). As the report in May 2025 already updated on the annual position for 2024/25 for Technology services, the report herewith only covers Finance services for the same time period. Moving forward reporting will be reconfigured so that reporting for both Finance and Technology services is aligned. Recommendations It is recommended that the Finance and Resources Committee: (1) Review the high-level performance overview presented in Appendix 1 and identify where further information is required to understand or investigate performance further. Item 9 Page 167 of 332
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1. Background 1.1 There are six inter-related strategic frameworks which are key to evaluating the success of The Plan for North Lanarkshire and assessing delivery towards achieving the overall vision by ensuring each stage is appropriately aligned, planned, guided, implemented, monitored, and governed. 1.2 The six frameworks focus on ensuring a corporate one council approach in respect of Policy, Governance, Performance, Self-Evaluation, Project Management, and Demonstrating Improved Outcomes for Communities. 1.3 The Strategic Performance Framework comprises performance measurement at three levels (as per the diagram on the right). This aims to collectively provide an overview of performance to help understand the impact of council activities on improving services and outcomes for the people and communities of North Lanarkshire. The measures in this Framework allow for day-to-day activities, and progress towards achieving the long-term vision set out in The Plan for North Lanarkshire, to be regularly monitored, reported, assessed, and scrutinised. 1.4 The Strategic Performance Framework is aligned to the Accounts Commission’ Statutory Direction which places a requirement on councils to report a range of information in terms of (1) improving local services and outcomes, and (2) demonstrating Best Value. Key points of note in this respect are that the Accounts Commission also expect to see: (a) A balance in terms of reporting that captures highlights of good performance as well as areas of performance requiring improvement. (b) Reporting that is undertaken in a timely manner. (c) Easy access to performance information for all citizens and communities. (d) Comparisons of performance (i) over time (e.g. compared to previous years), and (ii) with others (e.g. other local authorities or the national average (where available and appropriate). The council’s comparative performance in Local Government Benchmarking Framework (LGBF) indicators can be viewed through the Improvement Service’s online dashboard: https://www.improvementservice.org.uk/benchmarking/explore-the-data 1.5 A Performance Reporting Schedule supports the timely submission of a range of performance information to ensure fully informed review, reporting, scrutiny, and decision-making processes by Elected Members and senior management. This Schedule, endorsed by the Audit and Scrutiny Panel each year, includes Chief Officer’s individual Performance Reviews at Service Committees in line with the Strategic Performance Framework. The Plan for North Lanarkshire Priority All priorities Ambition statement All ambition statements Programme of Work Statutory / corporate / service requirement Page 168 of 332
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1.6 This report therefore presents the Finance and Resources Committee with the latest performance results for Finance for Members’ further review and scrutiny. 2. Strategic Performance Framework Finance and Resources Committee responsibilities 2.1 In line with the terms of reference outlined in the Scheme of Administration, the Finance and Resources Committee is responsible for monitoring and reviewing performance information for the following Ambition Statements from The Plan for North Lanarkshire. 21. Continue to identify and access opportunities to leverage additional resources to support our ambitions. 22. Facilitate a North Lanarkshire wide approach to asset rationalisation, including with communities and partners. 2.2 The high-level performance overview in Appendix 1 presents Members with a summary of the latest results for performance indicators relating to the Finance services that sit within the remit of the Chief Officer (Finance and Technology). 2.3 The information in Appendix 1 comprises the undernoted. Appendix 2 provides additional context in respect of the council’s approach to the measurement of indicators and setting of targets. • An ideal direction arrow - this indicates whether a higher or lower figure is the preferred direction of travel. • Measurement unit - for example whether the result is a %, a number, a unit cost (in £), or a ratio. • Performance results for the most recent financial years (depending on availability of data) along with the latest year’s target and corresponding RAG status (for indicators where it is appropriate to set targets). • The most recent quarterly results, along with the corresponding target and RAG status. Note the inclusion of this information is dependent on the measurement frequency of the indicator and availability of data as at the time of reporting. • A trend graph - this captures the direction of travel achieved over the years and includes the most recent monthly or quarterly results where available. • Comments - narrative summarising the current position and providing an explanation for any significant variations in performance. Where applicable, this narrative also highlights any internal or external factors impacting on service delivery as well as any residual effects of the pandemic, e.g. any increase or decrease in the volume of transactions or enquiries processed. Current context 2.4 The performance information presented in Appendix One should be considered within the context of the following: A higher figure is better A lower figure is better Key to RAG status Green Performance is on target and/or within acceptable thresholds Red Performance does not meet target and is outwith acceptable thresholds Blue Performance surpasses the target and exceeds expectations Page 169 of 332
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• The Finance restructure implemented from April 2022 aimed to support greater resilience and effectiveness which has helped the service improve performance across a number of areas. However, throughout 2024/25 the service continued to experience significant demand for services such as Scottish Welfare Fund and other benefit applications (particularly for changes in circumstances) as the higher cost of living impact and migration to universal credit continues. • In recognition of some of these challenges, the Service has evolved its structure to incorporate new Service Improvement Officer roles tasked with reviewing and improving customer contact, performance monitoring, digitising processes and improving the uptake of online platforms. Recent performance highlights 2.5 The service continues to demonstrate positive trends across cost measures including improvements in the cost per case for processing housing benefits. These improvements are largely as a result of the service’s ability to absorb additional demand. Council tax collection rates remain steady and shows an increase as at the 2024/25 year end (94.52%) compared to the previous year (94.05%). The total council tax collected increased - from £137.7m in 2023/24 to £139.5m in 2024/25. The latest collection rates for North Lanarkshire (94.52%) are now higher than the national average (95.45%) and the average of the family group of similar councils (93.46%). The proportion of residents choosing to pay their council tax by direct debit continues to increase (60.7% in 2023/24 to 61.9% in 2024/25). This represents an increase in the number of payers from 97,507 to 100,082 over the year as people are continuing to be encouraged to switch to direct debit as their method of payment. This is an important measure as the council looks to increase council tax collection rates and reduce the costs of administering it. The collection rate for non-domestic rates show improvement in 2024/25 to 94.81% for the fourth year in a row following a significant dip in performance linked to the economic impact of the pandemic. Areas of performance requiring improvement 2.6 Costs per dwelling for collecting council tax have increased in 2024/25 compared to previous years. This is the result of an increase in expenditure, largely from pay awards, alongside a proportionately lower increase in the number of dwellings on the council tax roll (from 160,906 in 2023/24 to 161,814 in 2024/25). The service continues to progress initiatives to improve council tax collection which includes incentivising payment by direct debit, improving uptake of the online portal and (alongside the Sheriff Officers and colleagues in Legal and Democratic) reviewing long- standing council tax debts. The volume of claims for change of circumstances in housing benefit processed saw a slight reduction of 3% in 2023/24 compared to the previous financial year. However, claim volumes for changes in circumstances has since increased by 20% from 2023/24 to 2024/25 which has impacted on an increase in average processing times. Although average processing times (8.1 days) are still within the DWP processing target of 16 days. While the number of invoices processed within 30 days is still performing below target, Page 170 of 332
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significant work by the service during 2023/24 both with internal efficiency and improving the performance of other services has seen the measure improve from 76.0% in 2022/23 to 92.0% in 2023/24, with the latest performance remaining at 91.9% in 2024/25. This is a result of a number of information and reporting campaigns on late submissions, aligned with greater capacity within the payment processing team. Next steps 2.7 As noted in paragraph 1.5, the Strategic Performance Framework is supported by a Performance Reporting Schedule. This sets out the arrangements for service, statutory, and Strategic Performance Framework reporting to committee. In this respect the relevant Committee can expect to receive the following reports in respect of the Finance services within the remit of the Chief Officer (Finance and Technology) areas of work during 2026. Report Description Committee Committee cycle for next report Revenues and benefits update This report provides an update on the payment performance for council tax and non-domestic rates and the administration of welfare benefits and Council Tax Reduction Scheme. • latest report in September 2025 - link Finance and Resources Committee Cycle 4 of 2025 Treasury Management annual activity This report fulfils the key requirements of the council’s reporting procedures for Treasury Management in accordance with the CIPFA Code of Practice on Treasury Management and the CIPFA Prudential Code for Capital Finance in Local Authorities and reports on the council’s performance in complying with the mandatory prudential indicators. • latest report in September 2025 - link Finance and Resources Committee Cycle 3 of 2026 Treasury Management quarterly monitoring This report fulfils the key requirements of the council’s quarterly reporting procedures for Treasury Management in accordance with the CIPFA Code of Practice on Treasury Management and the CIPFA Prudential Code for Capital Finance in Local Authorities and reports on the council’s performance in complying with the mandatory prudential indicators. • latest report in September 2025 - link Finance and Resources Committee Cycle 4 of 2025 Financial monitoring - council summary (revenue) This report presents the council’s revenue monitoring position for the General Fund Account, Housing Revenue Account, and Adult Health and Social Care. • latest report in September 2025 - link Finance and Resources Committee Cycle 4 of 2025 Financial monitoring - council summary (capital) This report presents the council’s capital monitoring position for the council’s capital programmes, including general services, housing revenue account, City Deal, etc. • latest report in September 2025 - link Finance and Resources Committee Cycle 4 of 2025 Financial monitoring - savings This report provides an update on the achievement of the three-year financial savings targets and progress in implementing one-off investment priorities. • latest report in September 2025 - link Finance and Resources Committee Cycle 1 of 2026 Annual accounts The Local Authority Accounts (Scotland) Regulations 2014 require the council to prepare an annual Statement of Accounts in accordance with proper accounting practices. These regulations also required that, as a committee of the authority whose remit includes audit or governance functions, the Audit and Scrutiny Audit and Scrutiny Panel Cycle 3 of 2026 (audited accounts) Cycle 2 in 2026 (unaudited Page 171 of 332
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Report Description Committee Committee cycle for next report Panel meet to consider the audited annual accounts with the aim to approve these for signature no later than 30th September, and to publish these by 31st October immediately following the financial year to which they relate. Note, statutory Annual Accounts timescales means that a special meeting of the Audit and Scrutiny Panel often requires to be set. • latest report in September 2025 - link accounts) 3. Measures of success 3.1 Measures of success include: • Regular oversight and monitoring of performance across the organisation to gain assurances in terms of governance and accountability. • Regular review and challenge processes to scrutinise the performance of the council to ensure effective use of resources and that resources are directed in accordance with agreed policy and according to priorities, while ensuring sound decision making and clear accountability for the use of resources in achieving improved outcomes for service users and the local community. • Performance monitoring, management, and reporting arrangements that support the demonstration of improved performance in local services and outcomes, and the delivery of Best Value. 4. Supporting documentation 4.1 Appendix 1 - High-level performance overview. 4.2 Appendix 2 - Note for information in respect of performance indicators and targets. Greg Telfer Chief Officer (Finance and Technology) 5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Page 172 of 332
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Does the report contain any financial impacts? Yes ☐ No ☒ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ 5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Page 173 of 332
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Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? Monitoring and managing service performance supports the ongoing review of the service’s risk register. 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 174 of 332
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Appendix 1 Finance High-level performance overview - as at October 2025 Note, for the majority of the benchmarking indicators the most up to date data that is available nationally relates to 2023/24 (https://www.improvementservice.org.uk/benchmarking/explore-the-data) Statutory financial reports - % completed by deadline date i099 higher figure is better % 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 green green 100.0 Treasury - % of prudential indicators complied with i100 higher figure is better % 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 green green 100.0 Accounts - cost of closure of accounts as a % of gross expenditure i095 lower figure is better % 0.021 0.019 0.019 0.016 0.012 0.011 0.012 0.030 blue blue 0.030 Accounts - % variation between forecast outturn and actual outturn i096 ideal direction is as close to zero as possible % -0.837 -0.157 0.029 -0.776 0.446 -6.454 -3.144 0.000 blue blue 0.000 Council tax - % of income due from council tax collected in the year Pi119 higher figure is better % 94.08 94.08 93.32 94.61 94.95 94.05 94.52 95.0 green green 95.0 Council tax collection rates as at the end of 2024/25 (94.52%) show an increase from the previous year (94.05%). Total council tax collected has also increased - from £137.7m in 2023/24 to £139.5m in 2024/25. The latest collection rates for NL (94.52%) are now higher than the national average (95.45%) and the average of the family group of similar councils (93.46%). It should be noted that this figure does not reflect the overall collection rate of council tax as collection processes continue after each year end to collect prior year arrears. This latter measure has a greater bearing on the council’s finances and is reflected in the regular budget monitoring reports to Committee. Council tax collection - cost of collecting council tax per dwelling i093 lower figure is better £ 6.37 6.65 8.65 7.90 7.88 7.06 9.09 9.50 green green 9.50 The cost of collecting council tax increased during 2024/25 to £9.09 per dwelling (from £7.06 in the previous year). The number of dwellings on the council tax roll also increased from 160,906 in the previous year to 161,814 in 2024/25. 2019/20Indicator id ideal direction unit of measurem ent 2018/19 2020/21 2021/22 2022/23 2024/25 target 2025/26 target2023/24 2024/25 comments2024/25 RAG status trend 95.0 96.0 97.0 98.0 99.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 95.0 96.0 97.0 98.0 99.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 0.00 0.01 0.02 0.03 18/19 19/20 20/21 21/22 22/23 23/24 24/25 -7.00 -6.00 -5.00 -4.00 -3.00 -2.00 -1.00 0.00 1.00 18/19 19/20 20/21 21/22 22/23 23/24 24/25 80.0 85.0 90.0 95.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 4.0 6.0 8.0 10.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 Page 175 of 332
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Council tax - % payers opting to pay by direct debit i115 higher figure is better % 55.3 55.9 57.5 59.2 59.0 60.7 61.9 59.0 blue blue 59.0 The proportion of council tax payers paying by direct debit increased from 60.7% in 2023/24 to 61.9% in 2024/25. This represents an increase in the number of payers from 97,507 to 100,082 over the year as people are being encouraged to switch to direct debit as their method of payment. Non domestic rates - % collected in the year Pi120 higher figure is better % 96.30 96.12 92.65 93.68 94.43 94.62 94.81 95.8 green green 95.8 Non domestic rates collection rates as at the end of 2024/25 (94.81%) show an increase from the previous year (94.62%), and the two years prior to that. This follows a significant dip during the pandemic and the economic impact at that time. Payment of invoices, council wide - % paid within 30 calendar days of receipt i094 higher figure is better % 89.9 84.2 82.5 84.2 76.0 92.0 91.9 96.0 red red 96.0 There has been an improvement in overall performance in the past two years with the % of invoices paid increasing from 76% in 2022/23 to 92% in 2023/24 and remaining at 91.9% in 2024/25. This is a result of a number of information and reporting campaigns on late submissions, aligned with greater capacity within the payment processing team. Benefits administration - gross cost per case for housing benefits and council tax reduction i039 lower figure is better £ 30.54 12.48 18.09 23.42 20.83 27.04 24.02 25.00 green green 25.00 Recent costs of processing claims has seen a decrease to £24.02 in 2024/25 (from £27.04 in the previous year). This reflects a decrease in expenditure over the year as well as a decrease in caseload. Benefits administration - average days to process new claims Pi062 lower figure is better number 24.6 16.8 15.0 13.2 14.6 14.7 14.4 19.0 blue blue 19.0 On average new claims were processed within 14.4 days during 2024/25, a reduction from the previous year of 14.7 days. The service continues to process new claims to meet DWP targets aligned to the statutory requirements for the speed of processing new claims. The DWP target for new claims is within 30 days. Benefits administration - average days to process claims for changes of circumstances Pi063 lower figure is better number 7.4 4.7 4.3 4.1 5.0 5.6 8.1 6.0 red red 6.0 The volume of claims for change of circumstances in housing benefit processed in 2024/25 saw a slight reduction of 3% from the previous financial year. However, claim volume for changes in circumstances has since increased by 20% from 2023/24 to 2024/25 which has impacted on average processing time. The service continues to process new claims to meet DWP targets aligned to the statutory requirements for the speed of processing claims with changes of circumstances. The DWP target for claims with changes of circumstances is within 16 days. 2019/20Indicator id ideal direction unit of measurem ent 2018/19 2020/21 2021/22 2022/23 2024/25 target 2025/26 target2023/24 2024/25 comments2024/25 RAG status trend 80.0 85.0 90.0 95.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 60.0 70.0 80.0 90.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 40.0 60.0 80.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 0.0 10.0 20.0 30.0 40.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 0.0 5.0 10.0 15.0 20.0 25.0 30.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 0.0 5.0 10.0 15.0 20.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 Page 176 of 332
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Scottish Welfare Fund crisis grants - % decisions made within one day CORP9 higher figure is better % 97.5 99.7 94.8 92.8 85.8 89.9 89.8 n/a n/a This is one of four measures have newly been introduced into the Local Government Benchmarking Framework (LGBF) by the Improvement Service as they aim to provide useful and timely insight on policy critical issues such as vulnerability, poverty, and inequality and which will be increasingly important considering the impact of the cost of living. The statutory timeframe for deciding Crisis Grant applications is within two working days. However, this performance indicator measures a more ambitious target - decisions made within one working day. While the service remains committed to meeting the statutory requirement, performance against the one-day target provides a valuable measure of responsiveness. Current results demonstrate strong performance in delivering timely support to those in urgent need. Scottish Welfare Fund community care grants - % decisions made within 15 days CORP10 higher figure is better % 95.1 98.9 88.1 90.3 88.5 91.2 90.9 n/a n/a This is one of four measures have newly been introduced into the Local Government Benchmarking Framework (LGBF) by the Improvement Service as they aim to provide useful and timely insight on policy critical issues such as vulnerability, poverty, and inequality and which will be increasingly important considering the impact of the cost of living. A slight decrease in claims processed aims to process applications within the statutory fifteen working day limit. Scottish Welfare Fund - % of budget spent CORP11 higher figure is better % 100.7 102.0 66.1 103.2 161.2 193.6 119.2 n/a n/a This is one of four measures have newly been introduced into the Local Government Benchmarking Framework (LGBF) by the Improvement Service as they aim to provide useful and timely insight on policy critical issues such as vulnerability, poverty, and inequality and which will be increasingly important considering the impact of the cost of living. The year end overspend is reflective of the continued high demand for both Crisis and Community Care Grants. Discretionary housing payments - % of funding spent CORP12 higher figure is better % 110.0 111.7 111.2 104.2 100.3 106.8 99.0 n/a n/a This is one of four measures have newly been introduced into the Local Government Benchmarking Framework (LGBF) by the Improvement Service as they aim to provide useful and timely insight on policy critical issues such as vulnerability, poverty, and inequality and which will be increasingly important considering the impact of the cost of living. Scottish Welfare Fund community care grant - number of applications received i120a number 4,213 4,696 6,417 6,538 6,522 5,814 n/a n/a The volume of claims received for Community Care Grants decreased by 10.9% from 2023/24 to 2024/25. This reduction in demand should be considered in the context of historically high application numbers experienced during 2023/24. Scottish Welfare Fund community care grant - council spend i120b £ 1,630,684 1,782,166 2,833,341 2,967,653 3,590,316 1,888,348 n/a n/a In the 2023/24 financial year, the fund was maintained at a Medium priority level in response to the cost of living crisis, ensuring support reached as many residents as possible. Additional expenditure was absorbed within the broader Chief Executive’s service. However, in recognition of the budget allocation from Scottish Government for 2024/25, the fund was elevated to High priority. The reduction in spend from last year should be considered in the context of this change. 2019/20Indicator id ideal direction unit of measurem ent 2018/19 2020/21 2021/22 2022/23 2024/25 target 2025/26 target2023/24 2024/25 comments2024/25 RAG status trend 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 19/20 20/21 21/22 22/23 23/24 24/25 60.0 70.0 80.0 90.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 40.0 60.0 80.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 60.0 110.0 160.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 60.0 80.0 100.0 120.0 18/19 19/20 20/21 21/22 22/23 23/24 24/25 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 19/20 20/21 21/22 22/23 23/24 24/25 Page 177 of 332
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Scottish Welfare Fund crisis grant - number of applications received i121a number 15,795 15,965 18,233 21,015 21,985 20,494 n/a n/a The volume of claims received for Crisis Grants decreased by 6.8% from 2023/24 to 2024/25. This reduction in demand should be considered in the context of historically high application numbers experienced during 2023/24. Scottish Welfare Fund crisis grant - council spend i121b £ 983,240 1,036,228 1,380,299 1,733,578 1,901,590 1,557,652 n/a n/a The reduction in spend from last year is reflective of a change in how applications were assessed. This year this has been on the basis of high priority as opporsed to the Medium prioirty basis applied during the previous financial year. The move to high priority was in recognistion of the Scottish Government budget allocation for 2024/25. Discretionary housing payments - number of applications i122a number 9,735 10,122 10,804 10,861 10,561 10,615 11,652 n/a n/a Following increases in the number of applications during the pandemic (from 2018/19 and 2019/20 to 2020/21), the service has seen the volume of applications largely stabilise since, with a marginal reduction of around 0.5% during 2023/24 in this demand led area. The volume has since increased by 10% from 10,615 in 2023/24 to 11,652 in 2024/25. Discretionary housing payments - value of awards i122b £ 4,495,281 5,071,258 6,008,692 6,192,883 6,149,719 6,591,127 6,702,733 n/a n/a Council spend in this respect mirrors the volume of applications. 2019/20Indicator id ideal direction unit of measurem ent 2018/19 2020/21 2021/22 2022/23 2024/25 target 2025/26 target2023/24 2024/25 comments2024/25 RAG status trend 0 5,000 10,000 15,000 20,000 25,000 19/20 20/21 21/22 22/23 23/24 24/25 0 500,000 1,000,000 1,500,000 19/20 20/21 21/22 22/23 23/24 24/25 0 2,000 4,000 6,000 8,000 10,000 12,000 18/19 19/20 20/21 21/22 22/23 23/24 24/25 0 2,000,000 4,000,000 6,000,000 8,000,000 18/19 19/20 20/21 21/22 22/23 23/24 24/25 Page 178 of 332
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Reserves - total useable reserves as a % of council annual budgeted net revenue FINSUS1 higher figure is better % 11.9 12.2 22.4 33.2 36.7 35.0 n/a n/a This is one of five financial sustainability measures newly introduced into the Local Government Benchmarking Framework (LGBF) by the Improvement Service. 2023/24 is the most recent data which has been published. Reserves - uncommitted General Fund Balance as a % of council annual budgeted net revenue FINSUS2 higher figure is better % 1.1 1.0 2.8 3.4 4.4 3.1 n/a n/a This is one of five financial sustainability measures newly introduced into the Local Government Benchmarking Framework (LGBF) by the Improvement Service. 2023/24 is the most recent data which has been published. Affordability - ratio of Financing Costs to Net Revenue Stream FINSUS3 lower figure is better number 7.3 7.5 5.0 5.0 4.3 6.1 n/a n/a This is one of five financial sustainability measures newly introduced into the Local Government Benchmarking Framework (LGBF) by the Improvement Service. 2023/24 is the most recent data which has been published. Affordability - ratio of Financing Costs to Net Revenue Stream, Housing Revenue Account FINSUS4 lower figure is better number 12.6 12.9 12.1 12.8 7.6 19.6 n/a n/a This is one of five financial sustainability measures newly introduced into the Local Government Benchmarking Framework (LGBF) by the Improvement Service. 2023/24 is the most recent data which has been published. Annual budget - actual outturn as a percentage of budgeted expenditure FINSUS5 higher figure is better % 97.6 99.0 97.9 99.9 95.4 93.3 n/a n/a This is one of five financial sustainability measures newly introduced into the Local Government Benchmarking Framework (LGBF) by the Improvement Service. 2023/24 is the most recent data which has been published. 2019/20Indicator id ideal direction unit of measurem ent 2018/19 2020/21 2021/22 2022/23 2024/25 target 2025/26 target2023/24 2024/25 comments2024/25 RAG status trend 0.0 10.0 20.0 30.0 40.0 50.0 18/19 19/20 20/21 21/22 22/23 23/24 0.0 2.0 4.0 6.0 8.0 10.0 18/19 19/20 20/21 21/22 22/23 23/24 0.0 2.0 4.0 6.0 8.0 10.0 18/19 19/20 20/21 21/22 22/23 23/24 0.0 5.0 10.0 15.0 20.0 25.0 18/19 19/20 20/21 21/22 22/23 23/24 0.0 20.0 40.0 60.0 80.0 100.0 18/19 19/20 20/21 21/22 22/23 23/24 Page 179 of 332
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Appendix 2 Note for information in respect of performance indicators and targets It should be noted that the nature of particular areas of service being measured in order to assess and manage performance do not always lend themselves to a traditional approach to either measuring performance or setting targets, for example: • Some indicators (and targets) are required to monitor performance against a commitment or minimum standard the council has made in advance to achieve a stated level of performance when delivering a service. • Some indicators (and targets) are required to assess compliance with legislative requirements. • Some targets represent the level of performance that the council aims to achieve from a particular activity in either the short, medium, or long-term. • Some indicators are needed to help present a complete picture of performance in the round, as a single performance indicator used in isolation rarely tells the whole performance story and a range of indicators are required to reflect the economic, efficient, and effective aspects of demonstrating best value. • Some indicators and targets can help to support accountability to the public in terms of demonstrating best value and an efficient and effective approach to the delivery of services. • Some indicators are monitored to ensure the council complies with specific requirements, such as information governance or health and safety. • Some indicators are monitored to provide added context in order to help interpret performance results or supplement other existing measures. Information such as this can be critical to enhance knowledge and decision making in terms of demand to help determine priorities and allocate resources. • For some indicators it is not appropriate to set targets as it is the trend in the data (i.e. the direction of travel) that provides more meaningful information to allow for an assessment in relation to whether performance has improved. • Some indicators are national benchmarking indicators where their purpose is to allow for comparisons with other councils and the national average. These benchmarks are, in essence, can openers designed to focus questions on why variations in cost and performance are occurring between similar councils. • Some indicators are proxy measures, particularly in the case of measuring outcomes, as without directly measurable data for a desired outcome the only alternative is to use a proxy that is an indirect measure of the desired outcome but which is itself strongly correlated to that outcome. Page 180 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref GT / PH Date 19/11/25 Revenues and Benefits Update From Greg Telfer, Chief Officer (Finance and Technology) E-mail telferg@northlan.gov.uk Telephone 07583 010692 Executive Summary This report provides an update on the performance within the Revenues and Benefits functions of Finance and Technology as at 30 September 2025. Key points to note include: • As at 30 September 2025, 55.41% of Council Tax due for 2025/26 had been collected. This is a marginal decrease from the same period last financial year (0.18%). • Non-Domestic Rates collection at 30 September 2025 42.58% of the total annual charge which is slightly lower that the previous financial year (42.91%). • The Service continues to meet statutory timescales for administering benefits applications and changes of circumstance. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledge the content of the report. The Plan for North Lanarkshire Priority Improve North Lanarkshire's resource base Ambition statement (21) Continue to identify and access opportunities to leverage additional resources to support our ambitions Programme of Work Statutory / corporate / service requirement Item 10 Page 181 of 332
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1. Background 1.1 The Finance & Technology Service is responsible for the administration and collection of all local taxation in North Lanarkshire in the form of Council Tax and Non Domestic Rates. 1.2 In addition, the Service administers a number of benefits for residents of North Lanarkshire including Housing Benefit, Council Tax Reduction, Scottish Welfare Fund, Discretionary Housing Payment, Free School Meals, Clothing Grants and Blue Badges. 2. Report Council Tax 2.1 The graph below shows the cash collected at 30 September for each financial year. It is worth noting that cash is allocated to specific Council Tax years so the graph represents cash received against the initial billing year (i.e. billed and received in 2025/26) and does not include cash collected in subsequent years (i.e. billed in 2024/25 but received in 2025/26). This ensures a like for like comparison. 2.2 The collection figure to 30 September in the 2025/26 financial year of 55.41% is 0.18% lower than the same period last financial year. 2.3 It should be noted that in-year collection of Council Tax is a Statutory Performance Indicator. However, it does not reflect the overall collection rate of Council Tax which includes collection of prior year arrears. This latter measure has a greater bearing on the Council’s finances and is reflected in the regular budget monitoring reports to Committee. 50.00 55.00 60.00 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 Percentage of annual billing collected (%) Financial Year Council Tax Collection Rate at 30 September Page 182 of 332
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Non-Domestic Rates 2.4 The following graph shows the cash collected at 30 September for each financial year: 2.5 The collection figure to 30 September in the 2025/26 financial year is 42.58%. This represents an increase of 0.33% compared to the same time period in 2024/25. Housing Benefits 2.6 The data below highlights the Statutory Performance Indicators measuring the speed of processing for new Housing Benefit claims and for changes in circumstances. The table below shows the cumulative figures for the 2025/26 financial year. Days to Process 2024/25 2025/26 DWP Processing Target New Claims 14 15 < 30 days Change of Circumstances 10 10 < 16 days 2.7 The Service continues to meet DWP targets aligned to the statutory requirements for the speed of processing of both new claims and changes of circumstances. Council Tax Reduction Scheme 2.8 As at 30 September 2025 a total of £29.093m in Council Tax Reduction has been awarded for the 2025/26 financial year. This compares to £26.333m to the same period during 2024/25, representing an increase of £2.760m (10.48%). 2.9 The Service received 3,208 applications between 1 April and 30 September 2025 compared with 3,445 during 2024/25, representing a decrease of 6.88%. 2.10 The Service continues to see an upward trend in the volume of changes in circumstances requests. From 1 April to 30 September 2025 a total of 92,742 changes were processed compared to 75,264 for the previous financial year; an increase of 23.22%. 30 32 34 36 38 40 42 44 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26Percentage of annual billing collected (%) Financial Year Non Domestic Rates Collection Rate at 30 September Page 183 of 332
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Discretionary Housing Payments (DHP) 2.11 From 1 April 2017 funding for DHP has been devolved to Scottish Government. This funding supports both the Scottish Government’s commitment to fully fund the implications of the Bedroom Tax and an additional sum available for other reasons such as the Benefit cap and the restrictions on Local Housing Allowance rates. 2.12 From 1 January 2023 the Scottish Government is fully funding the implications of mitigating the benefit cap. This was announced as part of the tackling child poverty delivery plan ‘Best Start, Bright Futures’ in March 2022. Local authority Leaders have agreed to fuller benefit cap mitigation through the DHP scheme from 1st January 2023. For 2025/26 the Scottish Government has provided ring-fenced funding of £0.469m to mitigate the benefit cap. As at 30 September, the amount paid and committed in respect of the benefit cap was £0.045m (9.60%). 2.13 As at 30 September 2025 the total paid and committed in respect of Bedroom Tax was £5.472m. In comparison, this sum was £5.723m at the same point during 2024/25. 2.14 In addition the Council also receives £0.467m in respect of non-bedroom tax related issues. As at 30 September 2025 £0.252m (53.89%) has been paid or committed from the fund. 2.15 As in previous years, the Service will continue to liaise with colleagues in Housing and Housing Associations to encourage applications to the fund. In addition, the Service will also liaise with Universal Credit claimants affected by the benefit cap who could possibly be eligible for the mitigation. Scottish Welfare Fund 2.16 The Council has administered the Scottish Government’s Scottish Welfare Fund (SWF) since 1 April 2016. 2.17 The Scottish Government provides an annual award budget of £2.760m to North Lanarkshire Council. 2.18 As indicated in the last update to Committee, the Council has continued to assess applications at High priority. This means that applications will only be considered where there is immediate and severe need, applicants are highly vulnerable, where there will be significantly adverse impacts to health and wellbeing with a no grant award, and where the effect of the grant is immediate and substantial. Staff assessing Scottish Welfare Fund applications are highly trained in making these judgements in accordance with the statutory guidance and where an application is unsuccessful they will signpost the applicant to other community-based supports. 2.19 There are two grant schemes and their relative performance during 2025/26 and prior year comparison is as follows: 2025/26 Applications Assessed Awards Unsuccessful Applications Acceptance Rate Crisis Grants 9,190 7,108 2,082 77.3% Community Care Grants (CCG) 1,819 1,192 627 65.5% Total 11,009 8,300 2,709 75.4% Page 184 of 332
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2024/25 Applications Assessed Awards Unsuccessful Applications Acceptance Rate Crisis Grants 10,079 7,249 2,830 71.9% Community Care Grants (CCG) 2,565 1,838 737 71.6% Total 12,644 9,087 3,557 71.8% 2.20 As at 30 September 2025, the total financial value of grants paid from the Scottish Welfare Fund amounted to £1.378m. This represents 41% of the total budget (including the carry forward from 2024/25). It is expected that the allocated budget will be fully spent this financial year taking account of an anticipated increase in crisis applications in the winter months, as well as the assessment of a number of CCG applications that are awaiting assessment. 2.21 During 2025/26, the Scottish Welfare Fund has seen a decrease in demand for Crisis applications of 8.8% and a decrease in demand for Community Care Grant (CCG) applications of 29.1%. Although this appears a significant reduction in CCG applications, after taking account of the current outstanding CCG applications still to be assessed, the decrease in demand is actually 9.90%. The decline in SWF application volumes during 2025/26 appears to be influenced by a combination of policy, awareness, accessibility, and broader socioeconomic factors. The continued application of High priority criteria will likely maintain this trend. 2.22 The Service strives to assess applications within the timescales outlined within Scottish Government guidance. Throughout the period the Service has largely continued to assess Crisis applications within the two working day time limit. It has been more challenging to meet the 15 working day time limit for Community Care Grants with the Service currently assessing applications outwith that timeframe, however, the service fastracks applications linked to homelessness to support the wider Rapid Rehousing and Homes First strategies. Clothing Grants and Free School Meals 2.23 The Finance Service administers Clothing Grant payments and applications for Free School Meals on behalf of the Council for families meeting low-income eligibility criteria. 2.24 Up to 30 September 2025 the Service administered and paid out 11,027 Clothing Grants compared to 11,512 by the end of September 2024. 2.25 The Service also awarded 9,978 Free School Meal applications in this period compared to 9,876 for the same period in 2024. Blue Badges 2.26 The Finance Service administers the Blue Badge scheme in accordance with Scottish Government guidance. The eligibility criteria means that some are automatically entitled to a Blue Badge. In other cases, the Council assesses an individual’s eligibility which may include the requirement for a mobility assessment and meeting a healthcare professional. Page 185 of 332
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2.27 As at 30 September 2025, the Service administered 5,973 Blue Badge applications with 4,987 awarded (83.5% award rate). Over the same period in the 2024/25 financial year the Service administered 6,246 applications with 4,720 awarded (75.6% award rate). 2.28 Scottish Government guidance states that applicants should receive a decision on their application in around 12 weeks. The Council is currently reaching a decision within 4 weeks. 3. Measures of success 3.1 Continuous improvement in processing and collection rates. 4. Supporting documentation None Greg Telfer Chief Officer (Finance and Technology) Page 186 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☐ No ☒ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 187 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? The Service has been liaising with Business and Digital on the Landlord Portal and RPA developments and these will be managed in line with Business and Digital’s available resources. Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☒ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☐ No ☒ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 188 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref GT/KS/FC/DC Date 19/11/25 Revenue Monitoring Report Council Summary 1 April 2025 to 12 September 2025 From Greg Telfer, Chief Officer (Finance and Technology) E-mail telferG@northlan.gov.uk Telephone 07583 010692 1. Background 1.1 The Council’s approved Financial Regulations require services to remain within their approved budgetary provision, and to report all significant deviations - defined as the higher of £100,000 or 5% - within their budget monitoring reports. Where significant deviations are identified, services must provide explanatory commentary, outline the action required to rectify such deviations and where relevant, must also highlight the impact this has on other budget headings. Executive Summary This report updates on the overall financial position for the General Fund Account, Housing Revenue Account and Adult Health and Social Care, for the financial year to 31 March 2026. The report consolidates the budget monitoring position of all Services, highlighting and explaining major variances as per the Council’s approved Financial Regulations. The Council approved its General Fund Revenue Budget on 20 February 2025. Following confirmation of funding from Scottish Government, at the time of reporting, the overall budget is now £1,089.000m. At this stage in the year, a surplus of £3.500m is currently projected. The 2025/26 budget incorporates £6.628m of net savings. It is projected that £5.894m of the savings (89%) will be delivered within the financial year, with replacement savings of £0.734m identified to fully address the shortfall. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledge the financial position of the 2025/26 revenue budget; and (2) Otherwise endorse the contents of this report. The Plan for North Lanarkshire Priority All priorities Ambition statement (25) Ensure intelligent use of data and information to support fully evidence based decision making and future planning Programme of Work Statutory / corporate / service requirement Item 11 Page 189 of 332
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2. Report 2.1 At its meeting of 20 February 2025, the Council approved a General Fund Revenue Budget of £1,095.241m including expenditure budgets which will be offset by ring fenced grant resources of £15.296m, resulting in a net expenditure position for monitoring purposes of £1,079.945m. Following confirmation of Scottish Government funding for financial year 2025/26, and after reflecting, for monitoring purposes, the reversal of use of balances in respect of previously approved savings now applied, the overall total budget is now £1,089.000m. 2.2 Following the budget setting in February 2025 the Council has an approved savings target of £6.628m for 2025/26. Further detail can be found in Section 2.9 below. 2.3 Table 1 below summarises the projected income and expenditure position, which illustrates a projected surplus of £3.500m, which will be available to support future budget challenges in accordance with the approved reserves policy, and any budget strategy recommended by the S95 Officer. Annual Budget (£m) Projected Outturn (£m) P6 Variance (£m) P4 Variance (£m) P4 to P6 Movement (£m) Expenditure Total Expenditure 1,089.000 1,085.500 3.500 0.487 3.013 Income Aggregate External Finance 895.941 895.941 - - - Local Tax Collection 187.769 187.769 - - - Use of Balance 5.289 5.289 - - - Total Income 1,089.000 1,089.000 - - - Forecast surplus/ (deficit): to support future budgets - 3.500 3.500 0.487 3.013 Table 1 Page 190 of 332
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Analysis of Significant Variations 2.4 Table 2 below illustrates the projected outturn financial position of services: Service P6 Outturn (£m) P4 Outturn (£m) P4 to P6 Movement (£m) Education and Families - On Budget - On Budget - Enterprise and Communities - On Budget - On Budget - Chief Executives and Other Corporate Services 0.500 Underspend 0.487 Underspend 0.013 Social Work (Non-Integrated) - On Budget - On Budget - Executive Services Total 0.500 Underspend 0.487 Underspend 0.013 Financing Costs 3.000 Underspend - On Budget 3.000 Forecast surplus/ (deficit): to support future budgets 3.500 Underspend 0.487 Underspend 3.013 Table 2 2.5 Education, Children and Families are reporting an overall breakeven position. However, it should be noted that there are a number of compensating variances within this position. Underspends are projected within employee costs of £0.467m primarily due to phasing of external funding and timing of recruitment to reflect operational requirements. Further underspends are forecast in relation to payments to other bodies of £0.135m partly due to demand for family placements being lower than resources available, and in other expenditure of £0.150m primarily linked to external grant synergies aligned to music provision. These underspends are offset by overspends in supplies and services of £0.158m and administration costs £0.145m due to various variances across the service, and in transfer payments of £0.226m as result of care plan payments within children & families and, In addition, income is projected to be under-recovered by £0.188m due to reduction in Scottish Attainment Challenge grant. 2.6 Enterprise and Communities is reporting a projected breakeven position, with a number of compensatory variances contributing to this overall position. Employee costs are forecast to underspend by £2.750m as a result of vacancy savings partially offset by increased overtime and turnover, with further underspends in Administration costs of £0.177m linked to increased professional fees due to vacancies and in other expenditure of £0.244m. These underspends are offset by overspends in property costs of £1.423m due to increased costs of stair and close lighting and repairs as well as waste tonnage expenses, in payments to other bodies of £0.665m, primarily as a result of increased agency costs within Waste and Fleet to cover key staff vacancies, and in supplies and services of £0.459m primarily due to increased ICT costs and. In addition, income is projected to under-recover by £0.709m due to reduced recharges to capital as result of staff vacancies, an underrecovery in parking charges, reduced special uplift income and waste disposal income due to contamination issues, partly offset by increased Leisure pay as you go income and increased income from the sale of garden waste permits. 2.7 Chief Executives and Other Corporate Services is reporting a projected underspend of £0.500m, primarily as a result of employee cost savings across the service totalling £0.195m due to vacancies, an underspend within Administration costs of £0.060m mainly in respect of reduced training costs, and an over-recovery in income of £0.190m Page 191 of 332
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relating to the NLP Financial Guarantee, and interest on repayments of VAT from HMRC. 2.8 In respect of loan charges and interest earned on revenue balances, due to significant uncertainty and volatility within market conditions, and other variables, there is a risk of movement in the level of net financing costs expected in the current financial year. Following further consideration and updating of a number of factors, including latest projections on profiled capital expenditure, further refining of interest on revenue balances modelling and interest rates observed, £3.000m of the overall forecast net over recovery on budget is reported. Members should note that some of the factors contributing to the overall financing costs position are purely timing, therefore, it is prudent to ensure the funding to manage these elements is earmarked in line with the overall longer term funding strategy for loan charges and interest on revenue balances. The final position in this respect will be kept under review and reported as part of the year end process. 2.9 Committee are also advised that the budget for both council tax income and council tax reduction (CTR) are monitored on an ongoing basis. This includes consideration of council tax collection, CTR uptake and household numbers. In addition, an assessment of expected credit losses will be required. At this point in the financial year the Council Tax product is expected to be on budget and an update on this position will be reported further into the financial year. 2.10 As previously advised the 2025/26 pay awards for non-Teachers has been settled with an uplift of 4% for 2025/26 and a further 3.5% for 2026/27 agreed. However, negotiations in relation Teachers pay award are still ongoing. Therefore, there is no further confirmation on the additional funding that Scottish Government has committed to provide to support. Until such funding is clarified at Council level, the full cost and budgetary implications cannot be finalised. It is still anticipated that the provision made within the 2025/26 budget in relation to pay awards, together with the additional funding, will be sufficient to meet the costs, therefore there is no financial impact reflected in this report. 2.11 In line with recent years Scottish Government’s funding for pay includes £39.000m to be made through capital funding for 2025/26. Although not yet confirmed, North Lanarkshire Council has been asked to absorb a proportion of this in lieu of revenue funding. As a result, the reported net budget illustrated in appendix 1 is expected to be reduced, with a corresponding increase in General Capital Grant. As in previous years, it is expected that a Local Government Finance Circular will be issued providing a temporary amendment to the statutory accounting requirements for capital grant which allows the necessary flexibilities in accounting such that the grant can be used to offset the revenue pressures linked to pay award, thus ensuring this transfer does not have a negative impact on the Council's overall revenue position. 2025/26 Budget Savings 2.12 As outlined in paragraph 2.2 above, the Council has approved net savings of £6.628m for 2025/26. Each Service reports on the achievement of their savings within the relevant service monitoring report. It is projected that £5.894m of savings (89%) will be achieved in the current year, with replacement savings of £0.734m identified to fully address the shortfall. Page 192 of 332
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Earmarked Reserves and Change Management Fund 2.13 The Council’s unaudited annual accounts highlight a General Fund reserve balance of £281.970m. This balance includes £8.000m for the Contingency Fund, with a further £242.079m earmarked for specific future commitments including £12.563m allocated to the Change Management Fund to support one off costs of approved savings and to ensure the Council has a resilient and sustainable financial plan. The remaining £31.891m of funds have been earmarked to support future budget pressures. 2.14 A total of £143.297m of earmarked reserves is profiled for use in 2025/26 with a further £98.782m profiled for use in future years. It is currently projected that £142.925m will be spent during this financial year with £98.782m anticipated to be required in future years and £0.372m no longer required. A summary position is shown in Appendix 2. Taking into account the projected forecast surplus of £3.500m and £0.372m of earmarked reserves no longer required, it is expected that at the end of the financial year the General Fund will include funds set aside for future budget pressures of £35.763m as detailed in Appendix 3. These balances are to support future budget challenges in accordance with the approved reserves policy, and any budget strategy recommended by the S95 Officer. Risks and Uncertainty 2.15 All activities undertaken by the Council are subject to risk, and in acknowledging the Council’s approved Risk Management Strategy, Services manage these as part of their overall corporate and service planning processes. The current economic climate and pay and non-pay inflation continuing at historically high levels, are some of the key factors that have the potential to impact upon the Council’s ability to provide quality services within approved budget levels. Housing Revenue Account 2.16 The Housing Revenue Account is currently projecting a £0.100m underspend position for the financial year due to an underspend in close cleaning which is partially offset by an overspend in relation to wheeled bins. It is anticipated that £1.050m of savings (100%) will be delivered by year end. Adult Health and Social Care 2.17 Council Adult Health and Social Care provision to the Integration Joint Board (IJB) is projecting an overspend of £4.974m mainly as a result of overspends in payments to other bodies and transfer payments of £6.333m primarily in relation to increased demand in relation to Care at Home and Independent Care homes. These overspends are partially offset underspends in employee costs of £0.919m as a result of slippage in relation to recruitment across the service, in supplies and services of £0.261m due to reduced spend in the equipment and adaptations budget, and in transport and plant of £0.166m due to lower than anticipated costs in relation to staff mileage and vehicle contract hire costs. The net overspend for the year will be fully funded from IJB reserves. Arms Length External Organisations 2.18 The Council holds an interest in a number of Arms Length External Organisations (ALEOs). These organisations have their own governance arrangements, and report on their financial performance to the appropriate Boards/ Management Committee in line with their own reporting timetables. Summary information on the financial Page 193 of 332
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performance of North Lanarkshire Properties, Fusion Assets and Routes to Work as at end of Quarter 1 is detailed in paragraphs 2.19 to 2.21 below. 2.19 North Lanarkshire Properties LLP is projecting a net profit of £1.237m before loan repayments of £0.500m, resulting in an anticipated transfer into reserves of £0.737m largely attributable to receipt of bank interest, an over-recovery in rental income coupled with an underspend within employee costs partially offset by increased building management costs. 2.20 Fusion Assets Limited is currently projecting a net profit within their operating budget of £0.071m as at 31 March 2026. This is due the over-recovery in income relating to bank interest coupled with the delay in the recruitment of a Project Manager. Project expenditure is reported from inception of Fusion Assets Limited. As at 30 June 2025, the company is projecting a surplus of £2.973m primarily in relation to increased projected investment returns from Condor Park and Lanarkshire Enterprise Park being partially offset by increased expenditure at Gartcosh Phase 2 and Newhouse A1 project. 2.21 Routes to Work Limited is currently projecting a net profit of £0.072m as at 31 March 2026. This is primarily due the timing associated with receipt of UK Shared Prosperity Fund income. 3. Measures of success 3.1 The Council continues to operate within approved budgeted resources. 4. Supporting documentation 4.1 Appendix 1 Summary by Division 4.2 Appendix 2 Anticipated Commitments – Earmarked Reserves 4.3 Appendix 3 Availability of One-Off Funds – Change Management Fund Greg Telfer Chief Officer (Finance & Technology) Page 194 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☐ No ☒ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ 5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Page 195 of 332
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Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☐ No ☒ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 196 of 332
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LINE SERVICE ACCOUNT ANNUAL PROVISIONAL NO. BUDGET OUTTURN (1) (2) (3) (4) £ £ £ 1 Education, Children & Families 529,426,532 529,426,532 - 2 Early Years 32,273,807 32,273,807 - 3 Primary Schools 145,457,055 145,457,055 - 4 Secondary Schools 141,926,321 141,926,321 - 5 Special Schools 28,598,699 28,598,699 - 6 Education Service Delivery 128,072,388 128,619,461 (547,073 ) 7 Children & Families 43,194,502 42,647,429 547,073 8 Justice Services 93,996 93,996 - 10 Employability 2,870,623 2,870,623 - 11 Community Learning 4,773,239 4,773,239 - 12 Tackling Poverty 2,165,902 2,165,902 - 13 Enterprise & Communities 231,760,951 231,760,951 - 14 Assets & Procurement 41,404,659 41,418,684 (14,025 ) 15 Trading Accounts (462,202 ) (29,247 ) (432,955 ) 16 Community Operations 175,478,291 175,546,992 (68,701 ) 17 Housing Management 6,148,018 5,907,783 240,235 18 Place 9,192,185 8,916,739 275,446 19 Chief Executives & Other Corporate Services 114,657,904 114,158,358 499,546 20 Directorate & Support 1,287,897 1,286,525 1,372 21 Finance & Technology 71,901,091 71,693,510 207,581 22 Audit & Risk 495,586 475,594 19,992 23 Legal & Democratic 2,999,478 2,911,699 87,779 24 People Resources 9,754,789 9,712,617 42,172 25 Strategy & Communications 7,287,985 7,287,985 0 26 Other Corporate Services 7,946,920 7,806,271 140,649 27 Joint Boards 12,984,158 12,984,158 - 28 Social Work (non Integrated) 220,834,072 220,834,072 - 29 GENERAL FUND SERVICES 1,096,679,459 1,096,179,913 499,546 30 FINANCING COSTS (29,305,800 ) (32,305,800 ) 3,000,000 31 Reversal of Capital Charge (87,955,196 ) (87,955,196 ) - 32 Loan Charges and Interest on Revenue Balances 58,649,396 55,649,396 3,000,000 33 OTHER BUDGETARY ISSUES 21,625,806 21,625,806 - 34 Assumptions not yet Realised 21,625,806 21,625,806 - 37 Transfer from capital grant (Pay Award) - - 38 TOTAL EXPENDITURE 1,088,999,465 1,085,499,919 3,499,546 39 SOURCES OF FUNDING 1,088,999,465 1,088,999,465 - 40 Aggregate External Finance 895,941,000 895,941,000 - 41 Council Tax 187,769,465 187,769,465 - 42 Use of balances 5,289,000 5,289,000 - 43 FORECAST (SURPLUS)/DEFICIT: TO SUPPORT FUTURE BUDGETS - (3,499,546 ) 3,499,546 44 HOUSING REVENUE ACCOUNT (SURPLUS) / DEFICIT - (100,000 ) 100,000 45 ADULT HEALTH AND SOCIAL CARE (SURPLUS) /DEFICIT - 4,973,886 (4,973,886 ) Appendix 1 NORTH LANARKSHIRE COUNCIL SUMMARY BY DIVISION FOR PERIOD ENDING 12 September 2025 (PERIOD 6) PROVISIONAL VARIANCES Page 197 of 332
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Appendix 2 Total 2025/26 Future Years Total Opening Reserve Balances In-Year Adjustment Revised Reserve Balance 2025/26 Revised Earmarked Reserve 25/26 Projected Spend Anticipated Year End Balance Anticipated Future Year Use No Longer Required Profiled for Future Years Anticipated Future Year Use No Longer Required No Longer Required £000 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000 Check Future Years Change Management Fund 12,563 - 12,563 2,099 2,099 - - - 10,464 10,464 - - Other Earmarked & One Off Resources Schools Future Contractual Obligations 66,330 - 66,330 - - - - - 66,330 66,330 - - Strategic Capital Investment Programme 44,800 - 44,800 44,800 44,800 - - - - - - - Loans Charges 26,614 - 26,614 26,614 26,614 - - - - - - - Strategic Workforce Planning 17,709 (133) 17,576 17,576 17,576 - - - - - - - Temporary Accommodation 8,038 - 8,038 8,038 8,038 - - - - - - - Refugee Resettlement Programmes 6,887 - 6,887 2,912 2,912 - - - 3,975 3,975 - - Whole Family Wellbeing 5,313 - 5,313 600 600 - - - 4,713 4,713 - - Budget One-off Investment 5,289 - 5,289 5,289 5,289 - - - - - - - One Workforce Grading Pressures 5,000 - 5,000 5,000 5,000 - - - - - - - Unmanaged burdens within Education, Children & Families 4,507 - 4,507 2,821 2,821 - - - 1,686 1,686 - - School ICT Upgrades linked with Windows 11 2,675 - 2,675 820 820 - - - 1,855 1,855 - - Balances held by Schools under Devolved School Management 2,395 - 2,395 2,393 2,393 - - - 2 2 - - Pupil Equity Fund 1,941 - 1,941 1,943 1,943 - - - (2) (2) - - Early Years & Childcare Expansion 1,881 - 1,881 1,826 1,826 - - - 55 55 - - Winter Reserve 1,500 - 1,500 1,500 1,500 - - - - - - - Support of Restructure Realignment of Home to School Transport 1,500 - 1,500 1,500 1,500 - - - - - - - Economic Recovery 1,400 - 1,400 341 341 - - - 1,059 1,059 - - Owner Occupier Grants 1,233 - 1,233 - - - - - 1,233 1,233 - - Cumbernauld Town Centre Regeneration 1,042 - 1,042 - - - - - 1,042 1,042 - - Unmanaged burdens within Enterprise & Communities 1,000 - 1,000 1,000 1,000 - - - - - - - Property Repairs 1,000 - 1,000 1,000 1,000 - - - - - - - Other Earmarked Funds 21,462 133 21,595 15,225 14,853 372 - 372 6,370 6,370 - 372 Other Earmarked & One Off Resources Total 229,516 - 229,516 141,198 140,826 372 - 372 88,318 88,318 - 372 Total Reserves 242,079 - 242,079 143,297 142,925 372 - 372 98,782 98,782 - 372 Contingency Reserve 8,000 Earmarked Reserve to support future budget challenges 31,891 General Fund Surplus at 31 March 2025 281,970 COMMITMENTS AGAINST RESERVES AS AT 12 September 2025 (PERIOD 6) NORTH LANARKSHIRE COUNCIL Page 198 of 332
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Appendix 3 £000 £000 Total Balance B/f per 2024/25 Annual Accounts 12,563 31,891 Period 6 reported variance 3,500 Earmarked Reserves no longer required 372 Total Balance 2025/26 before commitments 12,563 35,763 Revised one - off costs of approved savings (2,099) Draw down from Capital Fund 0 Total Balance 2025/26; to support future budget challenges 10,464 35,763 Known Commitments :- Revised one - off costs of approved savings (1,147) Forecast Balance; to support future budget challenges 9,317 35,763 NORTH LANARKSHIRE COUNCIL AVAILABILE GENERAL FUND BALANCES AS AT 12 September 2025 (PERIOD 6) EMR; Change Management Fund EMR; Future Budget Pressures Page 199 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref GT/PH/PF Date 19/11/25 Revenue Budget Monitoring Report; Chief Executive’s Service 01.04.25 – 12.09.25 (Period 6) From Greg Telfer, Chief Officer (Finance and Technology) E-mail TelferG@northlan.gov.uk Telephone 01698 302408 Executive Summary This report provides a summary of the Chief Executive’s Service financial performance for the Period 1 April 2025 to 12 September 2025 (Period 6). The report illustrates the provisional outturn as at 31 March 2026, with major outturn variances highlighted and explained per the Council’s approved Financial Regulations. The Council approved its General Fund Revenue Budget on 20 February 2025, of which £114.658m currently represents the net revenue budget for the Chief Executive’s Service. Incorporated within the revenue budget are approved service savings totalling £0.793m. The Service is currently projecting a year-end underspend of £0.500m for the financial year predominately as a result of employee vacancies, reduced training costs and over- recoveries of income relating to VAT interest and the NLP Financial Guarantee. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledge the financial position of the 2025/26 Chief Executive’s Service revenue budget. The Plan for North Lanarkshire Priority Improve North Lanarkshire's resource base Ambition statement (25) Ensure intelligent use of data and information to support fully evidence based decision making and future planning Programme of Work Statutory / corporate / service requirement Item 12 Page 201 of 332
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1. Background 1.1 The Council’s approved Financial Regulations require the Chief Executive to remain within the approved budgetary provision, and to report all significant deviations - defined as the higher of £100,000 or 5% - within budget monitoring reports. Where significant deviations are identified, the Chief Executive must provide explanatory commentary, outline the action required to rectify such deviations and where relevant, must also highlight the impact this has on other budget headings. 2. Report Summary of Financial Position 2.1 The Council approved its General Fund Revenue Budget on 20 February 2025, of which £113.897m (10.93%) represented the approved Revenue Budget for the Chief Executive’s Service. Additional funding for the Improvement Service and in-year transfers to Enterprise & Communities results in a revised budget of £114.658m. 2.2 The overall projected outturn position of the Service is a year-end underspend of £0.500m. Appendices one to five provide further information in respect of this position. 2.3 As at Period 6 the position on Council Tax Reduction Scheme remains under review along with other elements of the Council Tax Product including household numbers and Council Tax collection for the year. The Council Tax Product will then be assessed for expected credit losses as part of the year end process. It is currently anticipated there will be no material variance overall. 2.4 The 2025/26 budget incorporates £0.793m of service savings which have been fully delivered at Period 6. Further information regarding savings is included in Appendix 5. Analysis of Significant Variances 2.5 The service currently anticipates a projected underspend of £0.195m within Employee costs as a result of actual and projected vacancies. 2.6 The service is projecting a year-end underspend of £0.040m within Supplies & Services due to lower than anticipated ICT costs. 2.7 The service is currently anticipating an underspend of £0.060m within Administration Costs predominately due to underspends within training and other administration costs. 2.8 The service is currently projecting an underspend of £0.016m within Payments to Other bodies due to the prioritisation of UKSPF funding partially offset by costs for short-term contracted agency staff. 2.9 The projected outturn for income is an over-recovery of £0.190m predominately attributable to VAT interest and the impact of the NLP Financial Guarantee. 2.10 There are various minor variances across other budget areas resulting in the Service forecasting an underspend of £0.500m as at 31 March 2026. Earmarked and One-off Reserves 2.11 In finalising the Council’s draft accounts to 31 March 2025, the service was given approval to earmark £3.045m of resources to fund key projects and initiatives profiled Page 202 of 332
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over a number of years. It is anticipated that £1.812m of the reserves balances will be utilised in 2025/26, a balance of £0.119m to be returned to reserves and the remaining balance required for future years. Details of the Service’s earmarked funds are provided in Appendix 4. 2.12 The Service has also been given approval to utilise £2.439m of funds from the Corporate Strategic Workforce Planning Reserve over a number of years. It is anticipated £1.282m of this reserve will be utilised in 2025/26 with actual costs of £0.085m incurred as at Period 6. These funds are not included in the Service position. 2.13 The Service was further given approval to utilise £0.253m of funds from the Change Management Fund over several years. It is anticipated that £0.099m will be utilised in 2025/26 with actual costs of £0.042m incurred as at Period 6. These funds are not included in the Service outturn position. 2.14 The Service has incurred £0.214m of severance costs relating to previous approved savings/restructures. Therefore, there is a requirement to utilise the Corporate Change Management fund at this time. Any further costs arising will be reported in future reports as they are incurred. These costs are not included in the Service outturn position. 2025/26 Budget Savings 2.15 The Council approved service savings of £0.793m savings have been fully delivered as at Period 5. Further information regarding savings is included in Appendix 5. Management Actions 2.16 The Service is being pro-active to ensure expenditure is contained within its approved 2025/26 budget. 3. Measures of success 3.1 The Service continues to operate within approved budget resources. 4. Supporting documentation 4.1 Appendix 1 Objective Summary 4.2 Appendix 2 Subjective Summary 4.3 Appendix 3 Payments to Other Bodies 4.4 Appendix 4 Earmarked Reserves 4.5 Appendix 5 Budget Savings Greg Telfer Chief Officer (Finance and Technology) Page 203 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? As stated in the main body of the report. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 204 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? All activities undertaken by the Council are subject to risk, and in acknowledging the Council’s approved Risk Management Strategy, Services manage these as part of their overall corporate and service planning processes. The current economic climate, in particular, has the potential to impact upon the Council’s ability to provide quality services within approved budget levels. To minimise risk, this report has been prepared by service based Finance personnel in consultation with budget managers, in accordance with the Financial Regulations. 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. Page 205 of 332
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5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 206 of 332
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APPENDIX 1 [1] [2] [3] [5] [6] [7] DIRECTORATE & SUPPORT 1,287,897 1,286,525 1,372 FAV 0.1% 0 Minor FINANCE & TECHNOLOGY 71,901,091 71,693,510 207,581 FAV 0.3% 12,680 Underspend in employee costs as a result of vacancies, over- recovery of income within government grants, offset by overspends in relation to Insurance premiums and postages. AUDIT & RISK 495,586 475,594 19,992 FAV 4.0% (210) Underspend within employee costs as a result of vacancies. LEGAL & DEMOCRATIC 2,999,478 2,911,699 87,779 FAV 2.9% 0 Underspend within employee costs as a result of vacancies. PEOPLE RESOURCES 9,754,789 9,712,617 42,172 FAV 0.4% 0 Underspend within employee costs as a result of vacancies plus projected underspends in training. STRATEGY & COMMUNICATIONS 7,287,985 7,287,985 0 0.0% 0 On target OTHER COPORATE SERVICES 7,946,920 7,806,271 140,649 FAV 1.8% 0 Over-recovery of income relating to VAT Repayment interest and the NLP Financial Guarantee plus underspends in pensions. JOINT BOARDS 12,984,158 12,984,158 0 0.0% 0 On target NET EXPENDITURE 114,657,904 114,158,358 499,545 FAV 0.4% 12,470 [4] ANALYSIS NORTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report - Objective Analysis Period 06 (01 April 2025 - 12 September 2025) A - Chief Executives Service DIVISION OF SERVICE ANNUAL BUDGET PROJECTED OUTTURN PROJECTED OUTTURN VARIANCE % PERIOD MOVEMENT Page 207 of 332
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APPENDIX 2 [1] [2] [3] [5] [6] [7] EMPLOYEE COSTS 45,972,683 45,778,033 194,649 FAV 0.4% 5,459 Underspends due to vacancies. PROPERTY COSTS 2,052,677 2,063,985 (11,308) ADV (0.6%) (3,070) Unbudgeted building repair costs. SUPPLIES & SERVICES 10,740,848 10,700,395 40,453 FAV 0.4% 17,831 Underspends within ICT. TRANSPORT & PLANT 974,747 968,932 5,815 FAV 0.6% 815 Minor. ADMINISTRATION COSTS 7,915,756 7,855,858 59,898 FAV 0.8% (22,123) Underspends within training and other admin costs. PAYMENTS TO OTHER BODIES 15,745,177 15,728,875 16,302 FAV 0.1% (2) Underspend due to prioritisation of UKSPF funding. TRANSFER PAYMENTS 112,598,087 112,598,087 0 0.0% 0 On target. CAPITAL FINANCING COSTS 6,873,574 6,873,574 0 0.0% 0 On target. REVENUE FINANCING COSTS 0 0 0 0.0% 0 On target. OTHER EXPENDITURE 5,201,600 5,198,140 3,460 FAV 0.1% (540) Minor. TOTAL EXPENDITURE 208,075,149 207,765,879 309,269 FAV 0.2% (1,630) INCOME (93,417,245) (93,607,522) 190,276 FAV (0.2%) 14,100 Over-recovery of income relating to VAT Repayment interest and the NLP Financial Guarantee. NET EXPENDITURE 114,657,904 114,158,358 499,545 FAV 0.4% 12,470 [4] ANALYSIS NORTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report - Subjective Analysis Period 06 (01 April 2025 - 12 September 2025) A - Chief Executives Service CATEGORY ANNUAL BUDGET PROJECTED OUTTURN PROJECTED OUTTURN VARIANCE % PERIOD MOVEMENT Page 208 of 332
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APPENDIX 3 [1] [2] [3] [5] [6] [7] PAYMENTS TO OTHER BODIES GENERAL 417,413 417,413 0 0.0% 0 MEDICAL FEES 11,185 16,828 (5,387) ADV (48.2%) 0 Increased costs in relation to medical fees. AGENCY FEES 167,686 182,741 (15,310) ADV (9.1%) 0 Agency staff for fixed term within L&D, being offset by vacancies within Employee costs. TOWN TWINNING 0 0 0 0.0% 0 CHILDRENS PANEL 25,035 25,035 0 0.0% 0 COSLA ANNUAL LEVY 207,942 207,942 0 0.0% 0 COMMUNITY COUNCIL GRANTS 125,222 125,222 0 0.0% 0 GRANTS TO ORGANISATIONS 773,242 773,242 0 0.0% 0 EXTERNAL AUDIT FEE 644,389 644,389 0 0.0% 0 ELECTION PROVISION 0 0 0 0.0% 0 TOURISM - VISIT NORTH LANARKSHIRE 77,000 40,000 37,000 FAV 48.1% 0 Prioritisation of UKSPF funding SCOTTISH WELFARE FUND 3,375,940 3,375,940 0 0.0% 0 SUB-CONTRACTOR PAYMENTS 1,869 1,869 0 0.0% 0 LOCAL TAX PAYPOINT COMMISSION 35,000 35,000 0 0.0% 0 COSLA MIGRATION SCOTLAND 150,000 150,000 0 0.0% 0 LANDS VALUATION CONTRIBUTION 1,541,000 1,541,000 0 0.0% 0 SPT CONTRIBUTION 5,554,325 5,554,325 0 0.0% 0 SPT CONCESSIONARY FARES CONTRIBUTION 582,318 582,318 0 0.0% 0 CUSTOMER FIRST CONTRIBUTION 2,700,000 2,700,000 0 0.0% 0 TOTAL EXPENDITURE 16,389,566 16,373,264 16,303 FAV 0.1% 0 [4] PROJECTED OUT-TURN VARIANCE PROJECTED OUT- TURN % ANALYSIS NORTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report - Payments to Other Bodies Period 06 (01 April 2025 - 12 September 2025) A - Chief Executives Service CATEGORY ANNUAL BUDGET PERIOD MOVEMENT Page 209 of 332
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APPENDIX 4 Value % Service Specific Earmarked Reserves: Workforce Strategy Modern Apprentices 53,813 0 53,813 20,556 22,056 41.0% 0 31,757 22,056 No longer required due postholders successfully gaining employment prior to the end of their placement. Redundancy costs for staff (includes additional) 250,000 0 250,000 0 178,000 71.2% 0 72,000 178,000 Proposal taken to Oct WSCG with a release date of 06/04/26. Balance no longer required. Brighter Futures 342,335 (57,498) 284,837 39,464 284,837 100.0% 0 0 284,837 Training 12,000 0 12,000 0 12,000 100.0% 0 0 12,000 Scottish Welfare Fund SWF Grant (Core and Admin) 616,096 0 616,096 0 616,096 100.0% 0 0 616,096 Digital Improvements Civica Procurement Implementation 500,000 (500,000) 0 0 0 0.0% 0 0 0 Investment model replacement of funds 380,033 (0) 380,032 67,151 380,032 100.0% 0 0 380,032 Backfill for EUC Infrastructure Team (Windows 11) 26,552 0 26,552 26,552 26,552 100.0% 0 0 26,552 Equipment 15,000 0 15,000 0 15,000 100.0% 0 15,000 0 Reserve no longer required. Customer Service Hub - Single Number 470,968 (463,835) 7,133 7,133 7,133 100.0% 0 0 7,133 Community Grants SC&E - Grant Award Programme 265,787 (54,000) 211,787 131,787 211,787 100.0% 0 0 211,787 SC&E - Cumbernauld Community Grant 112,345 (53,322) 59,023 59,023 59,023 100.0% 0 0 59,023 TOTAL 3,044,928 (1,128,655) 1,916,273 351,666 1,812,516 94.6% 0 118,757 1,797,516 Reserves Required In Year Commentary Regards UsageDESCRIPTION OF EARMARKED RESOURCE Reserve Allocation Profiled in Future Years Approved Reserve Total Spend to Date Projected Spend Reprofile to Future Years No Longer Required NORTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report - Status of Earmarked Reserves Period 06 (01 April 2025 - 12 September 2025) A - Chief Executives Service FINANCIAL YEAR - 2025/26 Page 210 of 332
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APPENDIX 5 £000 £000 £000 27CEX - a Chief Officer Review AA 140 140 0 04CEX Finance (5%) AB1 71 71 0 Trend in recovery of rent allowances / rent rebates AB2 200 200 0 12CEX Business & Digital - Technology Solutions - restructure and review of contracts AB3 290 290 0 13CEX Business & Digital - Business Strategy AB3 35 35 0 08CEX Registrars AD2 57 57 0 TOTAL 793 793 0 NORTH LANARKSHIRE COUNCIL Revenue Budget Monitoring Report - Savings Period 06 (01 April 2025 - 12 September 2025) A - Chief Executives Service APPROVED SAVINGS Ref. DESCRIPTION OF APPROVED SAVING DIVISION Target Value Value Deliverable Savings Gap Reasons for Savings Gap Page 211 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref GT/VR/RM Date 19/11/25 Capital Programme 2025/26 Monitoring Report From Greg Telfer, Chief Officer (Finance and Technology) E-mail telferg@northlan.gov.uk Telephone 07583 010692 Executive Summary The purpose of the report is to provide an update on the 2025/26 resources and expenditure for the Council's Strategic Capital Investment Programme. The report shows the 2025/26 projected outturn position and the resultant variances. It is currently anticipated that the General Fund programme will have a projected programme expenditure variance of £1.057m, primarily due to Enterprise & Communities within the roads and street lighting asset management theme. With the HRA programme, the projected outturn also anticipates that expenditure will be in line with the programme budget at this stage of the financial year. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledges the projected outturn financial position of the Council’s Strategic Capital Investment Programme as at 12 September 2025. The Plan for North Lanarkshire Priority Improve North Lanarkshire's resource base Ambition statement (25) Ensure intelligent use of data and information to support fully evidence based decision making and future planning Programme of Work Statutory / corporate / service requirement Item 13 Page 213 of 332
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1. Background 1.1 The Strategic Capital Investment Programme 2024/25 to 2028/29 was approved at Policy and Strategy Committee in March 2025 and represents the total Community Investment Programme incorporating the General Services Capital Programme and HRA Capital Programmes. The programme was developed in conjunction with Services and led by the Strategic Capital Delivery Group (SCDG) using the principles established by the Council’s Capital Strategy. 1.2 The General Services Capital Programme supported by General Services resources demonstrates to communities that the place making visions for towns remains a priority and that the approved 5-year capital investment plan supports delivery of The Plan for North Lanarkshire. The programme includes additional investment in Town and Community Hubs, the City Deal programme, and external grant funding. 1.3 In addition, the Housing Revenue Account (HRA) resources support several HRA Capital Investment Programmes including the Mainstream programme for investment in the Council’s existing estate and delivery of the ambition for 5,000 additional supply through the New Build and Council Buy Back programmes. 1.4 The 2025/2026 General Services Capital Programme is currently £188.731m with a £140.146m investment programme in relation to the Housing Revenue Account. This reflects the approved budget in March 2025 at Policy and Strategy Committee, and subsequent decisions made at the Strategic Capital Delivery Group (SCDG) in accordance with the SCDG terms of reference, and where appropriate either by the individual service committees, Finance and Resources Committee or the Policy and Strategy Committee per the Scheme of Administration. Appendix 1 provides a breakdown of the overall 2025/26 budget by Service Programme and associated approved budget movements. 2. Report Overall Council Strategic Capital Investment Programme 2.1. The overall Council Strategic Capital Investment programme for 2025/26 and the provisional outturn to 31 March 2026 is summarised in Table 1 as follows: Page 214 of 332
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2.2 On a budgeted programme of £328.877m expenditure is anticipated to be £1.057m lower than current programme at this stage of the financial year. Further financial performance information regarding each of the programmes is discussed below. General Services Capital Programme and Projected Outturn by Service / Programme 2.3 The forecast financial performance of the overall General Services Investment programme at 31 March 2026 is detailed in Appendix 2 and summarised below. Community Capital Investment Programme Summary 2025/26 Current Programme £000s Provisional Outturn £000s Outturn Variance £000s Enterprise & Communities 177,384 176,327 1,057 Chief Executives 8,983 8,983 0 Adult Health & Social Care 2,364 2,364 0 General Services: Total Capital Investment 188,731 187,674 1,057 General Services Resources: General Fund External Grants & Contributions 2025/26 - GCG 27,637 27,637 0 External Grants & Contributions 2025/26 - Other Grants 11,929 11,929 0 External Grants & Contributions b/f 2024/25 - Other Grants 7,924 7,924 0 External Grants & Contributions Unapplied cfwd to 2026/27 (1,294) (1,294) 0 Net External Grants & Contributions 46,196 46,196 0 City Deal Grant 3,738 3,738 0 Capital Receipts 3,375 2,208 (1,167) CFCR 26,991 26,991 0 General Services: Total Resources 80,300 79,133 (1,167) General Services : Borrowing Requirement 108,431 108,541 110 HRA : Total Capital Investment 140,146 140,146 0 HRA Resources: Net External Grants & Contributions 23,754 23,754 0 Capital Receipts 0 9 9 CFCR 20,089 23,155 3,066 HRA : Total Resources 43,843 46,918 3,075 HRA : Borrowing Requirement 96,303 93,228 (3,075) Summary Total Council : Capital Investment 328,877 327,820 1,057 Total Council : Resources 124,143 126,051 1,908 Total Council : Borrowing Requirement 204,734 201,769 (2,965) Page 215 of 332
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General Services Total Resources 2.4 The revised programme approved by the SCDG is £188.731m with total resources available to meet the current programme forecast to be £80.300m, resulting in a borrowing requirement of £108.431m. 2.5 In 2025/26 net external grants and contributions of £49.934m will be utilised. This capital resource primarily includes the Scottish Government (SG) General Capital Grants receivable of £31.023m including General Capital Grant (GCG) of £27.637m and additional specific grant allocations for Active Travel of £1.490m and Vacant and Derelict Land Fund (VDLF) of £1.896m. In addition, other specific SG grants receivable of £3.873m and contributions from other sources such as City Deal Grant of £3.738m, Shared Prosperity Fund (SPF) of £1.406m, developer contributions of £2.549m, and other grants of £0.704m. 2.6 Capital grants received in 2024/25 have been added to the programme to match expenditure in 2025/26 of £7.924m including £2.224m for VDLF, £0.949m for PBIP, £1.142m for Regeneration Capital Grant Fund (RCGF), £3.212m for Live Labs, £0.060m for Levelling Up Fund (LUF), £0.164m for Active Travel, £0.044m for Parking Prohibition, £0.038m for Community Bus Fund , £0.055m for Environmental Key Fund and £0.026m for Scottish Wildlife Trust. This has been offset by £1.294m of external grant for VDLF which will not be applied in 2025/26 for projects which will now not be completed until 2026/27. 2.7 Receipts from the sale of assets are currently projected to be £2.208m, which is £1.167m less than the budget of £3.375m. This results in a corresponding increase in the borrowing requirement for 2025/26. These receipts will continue to be closely monitored throughout the remainder of the financial year. General Services Total Expenditure 2.8 As indicated in Table 1 the General Services investment programme is £188.731m. At Period 6, the provisional outturn spend is £1.057m lower than current programme. Further analysis by service/programme is outlined below and summarised within Appendix 2. 2.9 Enterprise and Communities is projecting outturn expenditure of £176.327m, which is a £1.057m variance from current programme. 2.10 Within Community Operations, there is an in-year variance of £1.020m primarily resulting from the Roads and Streetlighting theme (£1.047m) mainly as a result of delays due to additional work required for LED lighting designs and the prioritising of works recently approved for School walking routes. There is a variance within Parks Masterplan theme (£0.295m) associated with the Bothwellhaugh Cottage project primarily due to lead-in times and the ongoing finalisation of the project timeline with £0.288m carrying over into the next financial year. Within the Greenspace and Cemeteries theme, there is a variance of £0.214m additional costs partly attributable to additional costs related to the new Pather Cemetery development (£0.563m) due to difficult ground conditions requiring complex civil engineering works and design changes affecting both the visitors building and landscaping plus issues with the sourcing of materials. Other cemetery development projects (£0.549m) are also being accelerated to scope future projects to address the burial space needs. These variances have been partly offset by variances within Tree Asset Management (£0.421m) due to internal resourcing issues and Bothwellhaugh Cottage project (£0.461m) with the delivery of the new unit now expected to take place in the new Page 216 of 332
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financial year. The Vehicle Replacement Programme within the Operational and Infrastructure Development theme is projecting acceleration (£0.238m) to alleviate revenue budget pressures on external hires. 2.11 Within Place, there is an in-year minor variance of £0.048m due to delays to planned works arising from ecological mitigation requirements. 2.12 Within Assets and Procurement, there is an in-year variance of £0.055m due to the Maintaining Existing Assets theme is projecting an in-year variance of £0.222m, primarily due to the Aitkenhead rewiring project (£0.263m) which spans financial years. This variance is partly offset by the Rationalisation including ASN & Social Work theme where the ASN Carnbroe project is projecting to be £0.229m less than anticipated. 2.13 Committed expenditure of £145.625m is currently reported, which represents 82.59% of the targeted expenditure, and actual expenditure is £55.412m which represents 31.43% of targeted expenditure. 2.14 Chief Executives is projecting outturn expenditure of £8.983m, which is on budget. Committed expenditure of £3.389m is currently reported, which represents 37.73% of the targeted expenditure. Actual expenditure is £0.344m, which is 2.67% of targeted expenditure. 2.15 Adult Health & Social Care is projecting outturn expenditure of £2.364m, which is on budget. Committed expenditure of £0.601m is currently reported, which represents 25.42% of the targeted expenditure, and actual expenditure is £0.481m which is 20.35% of targeted expenditure. 2.16 At this stage in the financial year, the Service currently anticipates a balanced position. There remain uncertainties in respect of demand and complexity of need and therefore this budget will continue to be monitored closely, and any forecast movements will be highlighted in future reports. HRA Capital Investment 2.17 The financial performance of the HRA Capital Programme is reported in detail to the Housing Committee. A summary of performance as at 12 September 2025 is provided at Appendix 3. 2.18 Total expenditure of £140.146m is forecast for 2025/26 which is on budget. Committed expenditure of £133.613m is currently reported, which represents 95.34% of the targeted expenditure, and actual expenditure is £42.161m which is 30.08% of targeted expenditure. 3. Measures of success 3.1 N/A 4. Supporting documentation 4.1 Appendix 1: Strategic Capital Investment Programme 2025/26 budget movements 4.2 Appendix 2: General Services Capital Investment Programme Summary 2025/26 4.3 Appendix 3: HRA Capital Investment Programme Summary 2025/26 Page 217 of 332
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Greg Telfer Chief Officer (Finance and Technology) Page 218 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? The financial impact is outlined within the report 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 219 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? Despite the updated programme approved at Policy and Strategy Committee in March 2024 the capital programme continues to face challenges in relation to the wider economic climate, linked to availability of materials, contractors and inflationary pressures. These are currently being managed by services and Project Boards associated with specific programme delivery and will continue to be monitored throughout the year in accordance with the SCDG Terms of Reference 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. Page 220 of 332
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5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 221 of 332
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2025/26 Strategic Capital Investment Programme – budget movements Appendix 1 Enterprise & Communities Chief Executives Adult Health &Social Care Corporate Total General Services Investment Programme Total HRA Investment Programme Total Community Investment Programme £000s £000s £000s £000s £000s £000s £000s 25/26 Opening programme approved Policy& Strategy Committee March 25 159,022 7,809 2,200 1,104 170,135 140,146 310,281 24/25 Overs/Unders Carry Forward 16,049 1,921 164 0 18,134 0 18,134 25/26 Budget adjustments approved by SCDG 230 0 0 0 230 0 230 Increase/(Decrease) in Externally Funded Projects 6,457 10 0 0 6,467 0 6,467 Increase/(Decrease) in Council Funded Projects 0 0 0 0 0 0 0 Increase/(Decrease) in CFCR 734 59 0 0 793 0 793 25/26 Budget adjustments to be approved by SCDG (937) 969 0 3,500 3,532 0 3,532 25/26 Acceleration of projects from future years approved by SCDG 6,844 0 0 0 6,844 0 6,844 25/26 Re-profiling of projects to future years approved by SCDG (11,015) (1,785) 0 (4,604) (17,404) 0 (17,404) 25/26 Re-profiling of projects to future years to be approved by SCDG 0 0 0 0 0 0 0 Revised Capital Programme 2025/26 177,384 8,983 2,364 0 188,731 140,146 328,877 Page 222 of 332
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General Services Capital Investment Programme Summary 2025/26 - as at 31 March 2026 Appendix 2 Investment Current Programme 2025/26 £000s Projected Outturn 2025/26 £000s Outturn Variance 2025/26 £000s Committed Expenditure @ P6 £000s Committed Expenditure % of Projected Outturn Actual Expenditure @ P6 £000s Actual Expenditure % of Projected Outturn Enterprise & Communities 177,384 176,327 1,057 145,625 82.59% 55,412 31.43% Chief Executives 8,983 8,983 0 3,389 37.73% 344 3.83% Adult Health & Social Care 2,364 2,364 0 601 25.42% 481 20.35% Total General Services Investment 188,731 187,674 1,057 149,615 79.72% 56,237 29.97% General Services Resources; External Grants & Contributions 2025/26 - GCG 27,637 27,637 0 External Grants & Contributions 2025/26 - Other Grants 11,929 11,929 0 External Grants & Contributions b/f 2024/25 - Other Grants 7,924 7,924 0 External Grants & Contributions Unapplied cfwd to 2026/27 (1,294) (1,294) 0 Net External Grants & Contributions 46,196 46,196 0 City Deal Grant 3,738 3,738 0 CFCR 26,991 26,991 0 Capital Receipts 3,375 2,208 (1,167) Total Resources 80,300 79,133 (1,167) Borrowing Requirement: General Services 108,431 108,541 110 Total General Services Borrowing Requirement 108,431 108,541 110 Total Resources incl Borrowing Requirement 188,731 187,674 (1,057) Page 223 of 332
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HRA Capital Investment Programme Summary 2025/26 - as at 31 March 2026 Appendix 3 Investment Current Programme 2025/26 £000s Projected Outturn 2025/26 £000s Outturn Variance 2025/26 £000s Committed Expenditure @ P6 £000s Committed Expenditure % of Projected Outturn Actual Expenditure @ P6 £000s Actual Expenditure % of Projected Outturn Mainstream Programme 86,230 86,230 0 82,428 95.59% 28,942 33.56% New Build Programme 41,919 41,919 0 41,919 100.00% 6,215 14.83% Council Buy Back Scheme 11,997 11,997 0 9,266 77.24% 7,004 58.38% Total HRA Investment 140,146 140,146 0 133,613 95.34% 42,161 30.08% HRA Capital Resources; External Grants & Contributions 23,754 23,754 0 External Grants & Contributions Unapplied 0 0 0 Net External Grants & Contributions 23,754 23,754 0 CFCR 20,089 23,155 3,066 Capital Receipts 0 9 9 Total Resources 43,843 46,918 3,075 Borrowing Requirement: HRA - Mainstream 70,811 67,736 (3,075) HRA - New Build 18,537 18,537 0 HRA - Buyback Scheme 6,955 6,955 0 Total Borrowing Requirement 96,303 93,228 (3,075) Total Resources incl Borrowing Requirement 140,146 140,146 0 Page 224 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref GT/PH/PF Date 19/11/25 Chief Executive Service – Capital Monitoring Report 1 April to 12 September 2025 (Period 6) From Greg Telfer, Chief Officer (Finance and Technology) E-mail TelferG@northlan.gov.uk Telephone 07583 010692 Executive Summary This report highlights the financial performance and projected outturn of 2025/26 Chief Executive Service’s capital programme for the period ended 12 September 2025 (Period 6). In summary the service has a total capital budget of £8.983m, comprising of £5.364m within Finance & Technology and £3.619m within Strategy & Engagement. This budget reflects the budget approved by the Policy and Strategy Committee in March 2025, additional Scottish Government Play Area funding, external funding, balances carried forward from previous years and subsequent decisions made at the Strategic Capital Delivery Group (SCDG) in relation to reprofiling. The Service is currently projecting a break-even position at this stage of the financial year. Further explanation of management action taken by the Service is included within the main report and attached appendices. Recommendations It is recommended that the Finance and Resources Committee: (1) Considers the financial position of the 2025/26 Chief Executive Service capital programme. The Plan for North Lanarkshire Priority Improve North Lanarkshire's resource base Ambition statement (25) Ensure intelligent use of data and information to support fully evidence based decision making and future planning Programme of Work Statutory / corporate / service requirement Item 14 Page 225 of 332
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1. Background 1.1 This report provides a summary of the Chief Executive Service financial performance for the period 1 April 2025 to 12 September 2025 (Period 6), with major outturn variances highlighted and explained per the Council’s approved Financial Regulations. 1.2 The Council approved its Capital programme at Policy and Strategy Committee on 13 March 2025 with an allocated budget of £7.809m for the current year. In addition, carry forwards from the previous year, Scottish Government funding for Play Areas, external funding from community groups and decisions made at SCDG in relation to reprofiling have resulted in a revised Capital Programme of £8.983m for the 2025/26 Financial Year as detailed in Appendix 1 of this report. 1.3 The Council’s approved Financial Regulations required the Chief Executive to remain within his approved budgetary provision, and to report all significant deviations – defined as the higher of £0.100m or 5% - within their budget monitoring reports. Where significant deviations are identified, Chief Officers must provide explanatory commentary, outline the action required to rectify such deviations and where relevant, must also highlight the impact this has on other budget headings. 2. Report Summary of Financial Position 2.1 The Service is projecting a break-even position for the financial year 2025/26. Capital budgets and expenditure are summarised in Appendix 1. Analysis of Significant Variances 2.2 An explanation of variances within Finance & Technology is detailed below: • Digitisation & Innovation The service is projecting a break-even position following approval at SCDG to reprofile £0.170m within the Digital Experience and Scanning projects offset by increased costs associated with community alarms due to the imminent switch-off for analogue telephony by providers. • Line of Business (LOB) Similarly following approval to reprofile £0.905m relating to records management, Datacentres, Revenues/Benefits upgrade, iTrent and MDM development coupled with a virement request realigning budget to Digitisation and Innovation to support spend associated with community alarms the service is now reporting a break-even position. • End User Devices (EUD) Subsequent to approval to reprofile £0.230m due to the move to a quarterly order cycle to ensure that the device warranty is maximised when in use, the service is again projecting a break-even position. • Capacity Approval from SCDG to reprofile £0.067m to future years, due to vacancies, has result projecting a break-even position. Page 226 of 332
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2.3 Strategy & Engagement are currently projecting a break-even position following approval at SCDG to reprofile £0.413m to future years, due to unallocated budgets, timing of committed works for Glenmore Road Outdoor Gym and timing of the approval and subsequent transfer of assets as part of the Community Asset Transfer process. Management Action 2.4 The Service closely monitors all activities to ensure available budgets are maximised whilst monitoring and actively managing the ongoing external challenges in delivery of projects. The Service continues to review the programme with updates being provided to the SCDG and Committee. 3. Measures of success 3.1 The Service aim is to operate within approved budget resources over the term of the capital programme. 4. Supporting documentation 4.1 Appendix 1 Summary Expenditure by Project / Theme Greg Telfer Chief Officer (Finance and Technology) Page 227 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? As stated within the main body of the report. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 228 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? 5.9.1 All activities undertaken by the Council are subject to risk, and in acknowledging the Council’s approved Risk Management Strategy. Services manage these as part of their overall corporate and service planning processes. The current economic climate, in particular, has the potential to impact upon the Council’s ability to provide quality services within approved budget levels. 5.9.2 To minimise risk this report was prepared by Finance personnel in consultation with budget managers, in accordance with the Financial Regulations. 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. Page 229 of 332
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5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 230 of 332
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Appendix 1 Theme Budget £ Actual £ Committed £ Uncommitted £ Projected Outturn £ Outturn variance £ Digitisation & Innovation 1,933,201 19,845 818,262 1,114,939 1,933,201 - Line of Business (LOB) System Portfolio 1,934,326 43,800 764,313 1,170,013 1,934,326 - End User Device (Eud) Refresh 845,656 3,190 6,917 838,739 845,656 - Cyber 115,000 - - 115,000 115,000 - Capacity 286,000 103,209 253,178 32,821 286,000 - Innovation 250,000 - - 250,000 250,000 - TOTAL FINANCE & TECHNOLOGY 5,364,183 170,044 1,842,670 3,521,513 5,364,183 - Community Board Project Investment Fund 3,448,856 169,969 1,546,732 1,902,124 3,448,856 - Community Asset Transfers 170,000 4,250 - 170,000 170,000 - TOTAL STRATEGY & ENGAGEMENT 3,618,856 174,219 1,546,732 2,072,124 3,618,856 - TOTAL CHIEF EXECUTIVES SERVICE 8,983,039 344,263 3,389,402 5,593,637 8,983,039 - Chief Executives Capital Programme 2025/26 Summary Expenditure by Thematic Categories Period 06 (01 April 2025 - 12 September 2025) YTD OUTTURN Page 231 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref GT/KS/RM Date 19/11/25 Treasury Management Monitoring Report for quarter ended 30 September 2025 From Greg Telfer, Chief Officer (Finance and Technology) E-mail telferg@northlan.gov.uk Telephone Ryan McNamee, Finance Manager Executive Summary This report fulfils the key requirements of the Council’s reporting procedures for Treasury Management in accordance with the CIPFA Code of Practice on Treasury Management and the CIPFA Prudential Code for Capital Finance in Local Authorities. It informs on the quarterly Treasury Management activity for the period 1 July 2025 to 30 September 2025 and compliance with the mandatory treasury and prudential indicators. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledge the Treasury Management activity for the quarter ended 30 September 2025 including the performance against the key treasury and prudential indicators. The Plan for North Lanarkshire Priority Improve North Lanarkshire's resource base Ambition statement (25) Ensure intelligent use of data and information to support fully evidence based decision making and future planning Programme of Work Statutory / corporate / service requirement Item 15 Page 233 of 332
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1. Background 1.1 The Council manages its treasury activities in line with the CIPFA Code ‘Treasury Management in the Public Services’. The Code requires the Council to produce reports on its Treasury Management policies, practices and activities on a regular and ongoing basis. The Council fulfils these obligations, in part, by the preparation of this Treasury Management Monitoring report produced on a quarterly basis, encompassing a review of performance. 1.2 The Council’s “Treasury Management Strategy 2025/2026 and Treasury and Prudential Indicators 2025/2026 to 2029/2030” was approved by Committee at its meeting on 26 February 2025. The Treasury activity undertaken in the first quarter of 2025/26 reflects the key requirements of the Council’s 2025/26 Treasury Management Strategy, with the Public Works Loan Board (PWLB) and Long-term Money Market being the prime source of long-term funds. In terms of investment activity, this is conducted in accordance with the approved 2025/26 investment strategy. 2. Report Summary Position 2.1. As a result of the implementation of IFRS 16 Leases within approved 2024/25 annual accounts, opening total long-term liabilities increased by £3.6m resulting in revised final position at 30 June 2025 of £1,197.4m, from £1,193.8m in previous report. 2.2. The net overall borrowing position to 30 September 2025 is £1,194.7m, which is a reduction of £2.7m from the final position at 30 June 2025. A detailed breakdown of the net cash movement is shown in column (6) within Appendix 1 and is discussed below. Borrowing 2.3. At the end of the quarter, total external debt amounted to £1,263.7m, a decrease of £22.5m. This was primarily due to the repayment of existing PWLB debt of £21.2m. 2.4. During the quarter, no additional PWLB lending was undertaken. 2.5. In addition, there was an increase in net temporary borrowing of £2.0m, due to £68.0m falling due for repayment being offset by £70.0m of new borrowing. There was also a £3.3m reduction in long term liabilities due to existing finance lease and Service Concession obligations falling due for repayment. 2.6. The Council’s approach to borrowing is in line with the approved strategy which aims to source long-term borrowing and take advantage of temporary (short-term) borrowing at attractive rates, and where possible, using internal cash balances, to meet the principal repayments, daily revenue account requirements and the capital financing requirement, in lieu of borrowing for capital purposes. The strategy adopted considers interest rate forecasts, the management of carrying costs and the retention of cash balances at appropriate levels, whilst managing the associated investment, interest, and liquidity risk. 2.7. The Council made a successful application to the PWLB to access the certainty rate which allows a 20-basis point (bps) (0.20%) discount on loans from the PWLB under the prudential borrowing regime. This will continue to provide the Council with an opportunity to borrow from the PWLB at more beneficial rates until 31 March 2026. Page 234 of 332
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2.8. A new PWLB HRA rate, which is 0.40% below the certainty rate, has been available from 15th June 2023, which has been extended until March 2026 in the UK Budget in October 2024, to support local authorities borrowing for Housing capital purposes or refinancing existing loans. In conjunction with our treasury advisors, we continue to review borrowing requirements and assess borrowing opportunities for the Council during 2025/26. 2.9. The CIPFA Prudential Code is clear that local authorities must not borrow to invest primarily for financial return and that it is not prudent for local authorities to make any investment or spending decision that will increase the capital financing requirement and so may lead to new borrowing, unless directly and primarily related to the functions of the Council. The Council is compliant with this requirement. Members should note also that PWLB loans are no longer available to local authorities planning to buy investment assets primarily for yield. 2.10. Members will be aware interest rates have risen significantly over the past 2 years, increasing materially the cost of both short and long-term borrowing. In this quarter, the Bank of England reduced the base rate to 4.00% in August. It should be noted that the Council’s cost of short-term borrowing reduced slightly during the quarter. The cost of new short-term borrowing from other local authorities has been similar to base rate during the period at 4.10% to 4.25%. The Council’s short-term borrowing cost has reduced slightly over the period in line with base rate and short-dated market rates. The average rate on the Council’s current short-term loans portfolio of £216.5m at 30th September 2025 was 4.55%, this compares with 4.72% on £214.5m loans in the previous quarter. 2.11. After substantial rises in interest rates since 2021 many central banks have now begun to reduce their policy rates, albeit slowly. Gilt yields however have increased over the period amid concerns about inflation, the UK government’s fiscal position and general economic uncertainty. 2.12. The PWLB certainty rate for 10-year maturity loans was 5.22% at the beginning of the period and 5.53% at the end. The lowest available 10-year maturity rate was 5.21% and the highest was 5.62%. Rates for 20-year maturity loans ranged from 5.82% to 6.30% during the period, and 50-year maturity loans ranged from 5.65% to 6.14%. Debt Restructuring 2.13. In conjunction with our Treasury advisors, we monitored the economic climate in relation to our financial targets and Treasury Management Strategy, for the quarter under review. The interest rates prevailing throughout the period resulted in no beneficial opportunities for debt restructuring/rescheduling of the existing PWLB debt portfolio arising. 2.14. The Council continues to hold £3.0m of LOBO (Lender’s Option Borrower’s Option) loans where the lender has the option to propose an increase in the interest rate at set dates, following which the Authority has the option to either accept the new rate or to repay the loan at no additional cost. As market interest rates have risen, there was increased probability of call options on the LOBOs being exercised by lenders, however, no lender exercised their option during the quarter. 2.15. Further reports regarding future activity will be presented to Committee as appropriate. Page 235 of 332
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Investments 2.16. Treasury management investments arise from cash flows or treasury risk management activity, that results in balances being invested, until the cash is required for use in the course of business. 2.17. At the end of the second quarter of 2025/26, the Council held total investments of £68.9m, which is a net decrease of £19.8m in cash and cash equivalents, primarily due to a £26.4m decrease in short-term investments held, reflecting maturing temporary investments of approximately £410.6m, and undertaking new short-term investments of £383.9m, and a favourable movement in uncleared balances due to timing differences including cash in transit of £6.6m. See summary at Appendix 1, column 6. 2.18. At quarter end the uncleared balances including cash in transit was £3.1m which is a net deficit position, a favourable increase of £6.6m compared to the position reported at the end of the previous quarter of a net deficit position of £9.7m. This primarily reflects the timing of significant BACS receipts and payments. The balance at 30 September 2025 comprises £2.9m of net BACS debits outstanding due for clearance within 3 days of the quarter end date and cheques unpresented of £0.2m. 2.19. In line with the approved strategy to manage liquidity, the Council aims to maintain a minimum balance of £30.0m available on an overnight basis (instant access), ensuring a prudent level of funds is maintained to meet all service requirements. 2.20. During the quarter, the Bank of England’s (BoE) Monetary Policy Committee (MPC) voted to reduce the base rate by 0.25% to 4.00%, which resulted in short-dated cash rates also reducing, with rates ranging between 4.23% in early July to 3.91% in mid- September, a reduction of 0.33% for overnight/7-day maturities. There is little noticeable difference between the 7 day and 1-month SONIA (Sterling Overnight Rate) bid rates and generally available investment rates offered by financial institutions and money market funds. Despite this, the Council will endeavour to achieve good performance levels in investment activity. 2.21. Overall, the Treasury Management team continues to take a prudent approach to investing surplus funds in line with the approved 2025/26 Investment Strategy. Security of investment and ensuring sufficient liquidity are key investment criteria governing Council investment decisions. This approach is aligned to the prudent management of current commitments and future cash demands based on latest robust cashflow projections. During the quarter, the rates on Debt Management Account Deposit Facility (DMADF) deposits ranged between 3.95% and 4.21% and money market rates between 4.00% and 4.36%. 2.22 However, as demonstrated by the liability benchmark reported at (xi) below and Appendix 3 attached, it is anticipated the Council will be a long-term borrower and therefore new treasury investments are primarily made to manage day-to-day cash flows using short-term low risk instruments. The existing portfolio of strategic pooled funds will be maintained to diversify risk into different sectors and boost investment income. Non-Treasury Management Investments 2.23. During the quarter, no repayments were made in respect of third-party advances in connection with the Cumbernauld Academy DBFM and Greenfaulds DBFM. Page 236 of 332
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Interest Rate Movements & Other Economic Updates 2.24. As outlined by our treasury management advisors, the first quarter of the year was dominated by the fallout from the US trade tariffs and their impact on equity and bond markets. The second quarter, still rife with uncertainty, saw equity markets making gains and a divergence in US and UK government bond yields, which had been moving relatively closely together. From late June, amid a UK backdrop of economic uncertainty, concerns around the government’s fiscal position and speculation around the autumn Budget, yields on medium and longer term gilts pushed higher, including the 30-year which hit its highest level for almost 30 years. 2.25. UK headline consumer price inflation (CPI) increased over the quarter, rising from an annual rate of 3.6% in June to 3.8% in August, still well above the Bank of England’s 2% target. Core inflation fell slightly, from 3.7% to 3.6% over the same period, albeit the August reading was down 0.1% from 3.8% in July. Services inflation also fell from July to August, to 4.7% from 5.0%. 2.26. Data released during the period showed the UK economy expanded by 0.3% in the second quarter of the calendar year, following 0.7% growth in the first quarter. In the final version of the Q2 2025 GDP report, annual growth was revised upwards to 1.4% year-on-year (yoy). However, monthly figures showed zero growth in July, in line with expectations, indicating a sluggish start to Q3. 2.27. Labour market data continued to soften throughout the period, with the unemployment rate rising and earnings growth easing, but probably not to an extent that would make the more hawkish MPC members comfortable with further rate cuts. In addition, the employment rate rose while the economic inactivity rate and number of vacancies fell. Regular earnings (excluding bonuses) was 4.7% 3mth/yoy for Jun to Aug which is a decrease from last quarter whilst total earnings was 5.0% which remained static from last quarter. 2.28. The BoE’s Monetary Policy Committee (MPC) cut Bank Rate from 4.5% to 4.25% in May and to 4.0% in August after an unprecedented second round of voting. The final 5-4 vote was for a 25bps cut, with the minority wanting no change. In September, seven MPC members voted to hold rates while two preferred a 25bps cut. The Committee’s views still differ on whether the upside risks from inflation expectations and wage setting outweigh downside risks from weaker demand and growth. 2.29. The August BoE Monetary Policy Report highlighted that after peaking in Q3 2025, inflation is projected to fall back to target by mid-2027, helped by increasing spare capacity in the economy and the ongoing effects from past tighter policy rates. GDP is expected to remain weak in the near-term while over the medium term outlook will be influenced by domestic and global developments. 2.30. Our treasury management advisors maintain its central view that base rate would be cut further as the BoE focused on weak GDP growth more than higher inflation. One more cut is currently expected during 2025/26, taking Bank Rate to 3.75%. The risks to the forecast are balanced in the near-term but weighted to the downside further out as weak consumer sentiment and business confidence and investment continue to constrain growth. There is also considerable uncertainty around the autumn Budget and the impact this will have on the outlook. 2.31. Against a backdrop of uncertain US trade policy and pressure from President Trump, the US Federal Reserve held interest rates steady for most of the period, before cutting the Fed Funds Rate to 4.00%-4.25% in September. Fed policymakers also published Page 237 of 332
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their new economic projections at the same time. These pointed to a 0.50% lower Fed Funds Rate by the end of 2025 and 0.25% lower in 2026, alongside GDP growth of 1.6% in 2025, inflation of 3%, and an unemployment rate of 4.5%. The European Central Bank cut rates in June, reducing its main refinancing rate from 2.25% to 2.0%, before keeping it on hold through to the end of the period. New ECB projections predicted inflation averaging 2.1% in 2025, before falling below target in 2026, alongside improving GDP growth, for which the risks are deemed more balanced and the disinflationary process over. 2.32. After the sharp declines seen early in the period, sentiment in financial markets improved, but risky assets have generally remained volatile. Early in the period bond yields fell, but ongoing uncertainty, particularly in the UK, has seen medium and longer yields rise with bond investors requiring an increasingly higher return against the perceived elevated risk of UK plc. Since the sell-off in April, equity markets have gained back the previous declines, with investors continuing to remain bullish in the face of ongoing uncertainty. 2.33. Over the period, the 10-year UK benchmark gilt yield started at 4.49% and ended at 4.70%. However, these three months saw significant volatility with the 10-year yield hitting a low of 4.46% in early July and a high of 4.82% in September. It was a broadly similar picture for the 20-year gilt which started at 5.16% and ended at 5.39% with a low and high of 5.12% and 5.55% respectively. The Sterling Overnight Rate (SONIA) averaged 4.07% over the three months to 30th September. 2.34. Due to the cut in the base rate during the period, short-term borrowing interest rates reduced with the short term 7-day offer rate ranging between 4.06% and 4.39% over the period. Taking account of the decrease in borrowing rates and advice from our treasury management advisors, it continues to be considered more cost effective in the near term to use a combination of internal resources or to borrow rolling temporary / short-term loans at lower interest rates where possible rather than long term borrowing. This will result in increased temporary borrowing costs for the Council partially offset by increased investment income earned on surplus balances. 2.35. The Treasury Management team will continue to monitor financial and economic policy and their impact upon the Council’s investment and borrowing activity. The Prudential Code for Capital Finance in Local Authorities 2.36. The Local Government in Scotland Act 2003 requires the Council to undertake its Treasury activities in line with the Prudential Code for Capital Finance in Local Authorities. 2.37. Committee, at its meeting on 26 February 2025, approved a report titled, “Treasury Management Strategy 2025/2026 and Treasury and Prudential Indicators 2025/2026 to 2029/2030”. This report detailed a variety of mandatory and local indicators aimed at assisting members to determine that proposed capital investment levels and treasury management decisions satisfied the key requirements of affordability, prudence and sustainability. Performance against key prudential indicators for 2025/26 to date is detailed within Appendix 2. (i) Indicator 1(a) illustrates planned investment on capital expenditure is forecast to be higher than initially anticipated by £28.2m in 2025/26. This reflects increases of £13.9m in the General Fund capital investment and £14.3m for the HRA Mainstream and New Build programmes partly offset by a decrease in Credit Arrangements of £0.4m reflecting updated estimates of IFRS16 on service Page 238 of 332
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concession contracts. This is based on the updated ‘Strategic Capital Investment Programme 2024-2025 to 2028-2029’ approved at Policy & Strategy Committee on 13 March 2025 and the ‘Housing Outline HRA Capital Programme 2025/26’ approved at Housing Committee on 12 February 2025 and also incorporating any subsequent profiling updates e.g. carry-forwards from final outturn 2024/25 programmes. For further information, this is monitored in detail as part of the Council's capital programme reporting mechanisms which will provide spend details including any revisions to the estimates approved for 2025/26. (ii) The mix of resources required to finance the capital expenditure in 2025/26 reflects the updates on forecast capital investment. Therefore, the level of in-year borrowing is anticipated to be higher by £12.3m due to increases in General Fund programme requirements of £4.5m and £7.8m for HRA programme. This forecast level of borrowing also reflects a net increase in capital grants and external contributions of £14.2m with increased funds available to General Fund of £7.5m and HRA programmes of £6.7m. A net increase of £3.3m in CFCR is also anticipated (General Fund increase of £3.5m offset by decrease in HRA of £0.2m) and a decrease in capital receipts of £1.2m within General Fund. (iii) IFRS 16 Leases was implemented in 2024/25. As a result of annual remeasurement of PPP liabilities and Service Concessions, the accounting impact is an estimated increased capital investment of £14.0m (increase to capital financing requirement) to be recognised in 2025/26, which is a minor decrease of £0.4m that initial estimates. It should be noted that this is an accounting adjustment and does not represent cash expenditure, which is offset by an equal and opposite recognition of associated credit arrangements financing. (iv) Indicator 1(b) – The Council’s cumulative outstanding amount of debt finance is measured by the capital financing requirement (CFR). The CFR is essentially a measure of Council’s underlying borrowing need i.e. capital expenditure not resourced by capital grants, receipts or CFCR, with any new borrowing increasing the CFR. The CFR is projected to rise to £1,714.2m within financial year 2025/26. (v) The Prudential Code requires the Council’s capital investment to be prudent and affordable. To demonstrate this, a Prudential Margin (the need to borrow versus actual borrowing) is calculated. Indicator 1(c) demonstrates a healthy prudential margin of £255.4m estimated as at 30 September 2025. The timing and profile of external borrowing to replenish cash reserves and balances are being managed, giving full consideration to liquidity, interest rate and refinancing risk, whilst minimising the potential carrying costs. (vi) Indicator 1(d) illustrates that both the overall Authorised Limit and Operational Boundary limits for borrowing and long-term liabilities have not been exceeded, with the maximum borrowing undertaken within the period being well below the approved boundaries. (vii) Indicator 1(e) illustrates the financing costs forecasts as at 30 September 2025 for both general fund and HRA as a proportion of net revenue stream. Although capital expenditure is not charged directly to revenue, interest payable on loans, and loan fund and long-term liability repayments are. The net annual charge is known as financing costs; this is compared to the net revenue stream i.e. the amount funded from Council Tax, NDR and government grants. Page 239 of 332
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(viii) Indicator 2(a) highlights the proportion of external interest payable by the Council which is fixed and variable over the term of the borrowing, and therefore the exposure to the effects of interest rate changes. As at 30 September 2025, the level of borrowing subject to variability is deemed to be within acceptable levels. (ix) Indicator 2(b) highlights a projected decrease in loan charges of £0.2m compared to the initial Treasury Management Strategy estimates for 2025/26. This projection takes into account treasury management activity, internal Interest on Revenue Balances (IORB) recharges due to increased market interest rates, the loans fund holiday flexibility adopted in 2022/23 and decisions of the Policy and Strategy Committee and the Strategic Capital Delivery Group to approve and reprofile the current capital programme for the period 2024/25 to 2028/29 based on current programme delivery plans. This current loan charge variance is made up of: • A net treasury management interest and expenses spend on budget is projected (General Fund £1.1m increased spend, HRA £1.1m decreased spend), which is a primarily a reflection of increased internal IORB charges, and incorporates cashflow management techniques adopted, e.g. directing the timing of new borrowing, managing investment security, liquidity and interest rate risk. • In 2025/26 it is anticipated there will be a minor decrease in anticipated loans fund advance repayments of £0.2m (£0.1m General Fund, HRA £0.1m). This is primarily due to lower capital borrowing incurred in 2024/25 and revised average loan pool rates from previously forecast. (x) Indicator 2(c) relates to the level of fixed debt due to mature within time periods. The level of debt maturing remains within the upper limits set for each category at the beginning of the financial year. (xi) The Liability Benchmark at Appendix 3. The Treasury Management Code states that organisations should evaluate the amount, timing and maturities needed for new borrowing in relation to planned borrowing needs, in order to avoid borrowing too much, too little, too long or too short. The liability benchmark is an important tool to help establish whether the Council is likely to be a long-term borrower or long-term investor in the future and so shapes its strategic focus and decision making. Essentially this benchmark identifies the projection of external debt/borrowing required over the long term to fund approved revenue & capital budgets, while keeping treasury investments at the minimum level required to manage day-to-day cash. (xii) This represents the comparison of the Council’s actual borrowing against an alternative strategy. This utilises the forecasts for Capital Financing Requirement, long-term liabilities, current external borrowing, balance sheet resources i.e. reserves, and that cash and investment balances are kept to a minimum of £30.0m at each year-end to maintain sufficient liquidity but minimise credit risk. Page 240 of 332
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(xiii) The Loans CFR (solid light blue) represents the total cost of the capital expenditure plans based on the estimated current profile of the 5-year Capital Programme 2024-2025 to 2028-2029 as approved by Policy & Strategy Committee on 13th March 2025. This reduces over time as scheduled principal repayments are made to the loans fund. The Net Loans Requirement (dotted red line) represents the minimum external borrowing required to fund the current capital expenditure plans assuming all cash reserves and balances are utilised to offset borrowing requirements. The Liability Benchmark (solid red line) represents the estimated borrowing required, taken account of liquidity allowance required of £30.0m to be held to maintain liquidity and to manage day-to-day cashflows. (xiv) The solid grey section shows the maturity profile of current borrowing. The gap between the grey section and the liability benchmark line represents the estimated additional borrowing that is forecast will be required to fund the current capital expenditure plans, via long-term and short-term borrowing options. 3. Measures of success 3.1 Overall the approach adopted by the Council’s Treasury Management team during the quarter under review met the key requirements of the 2025/26 Treasury Management Strategy. Prudential indicators have remained in accordance with those approved by Committee on 26 February 2025. The projected final outturn illustrates a healthy prudential margin and borrowing levels that are below sustainable limits, ensuring that the projected capital investment levels remain affordable and sustainable. However, the current financial volatility and increased borrowing costs has resulted in an assessment being undertaken of the potential impact on future years of the current capital programme. This will continue to be monitored to determine if any further review of the programme is required to ensure that it remains sustainably affordable. 4. Supporting documentation 4.1 Appendix 1: Loans, Long term Liabilities & Investments as at 30 September 2025 4.2 Appendix 2: Summary of Treasury and Prudential Indicators as at quarter ended 30 September 2025 4.3 Appendix 3: Liability Benchmark as at quarter ended 30 September 2025 Greg Telfer Chief Officer (Finance and Technology) 31/3/25 Actual £m 31/3/26 Forecast £m 31/3/27 Forecast £m 31/3/28 Forecast £m 31/3/29 Forecast £m 31/3/30 Forecast £m Loans CFR 1,263.2 1,418.7 1,707.7 1,916.1 2,215.0 2,406.7 less Balance Sheet Resources (357.1) (361.0) (344.7) (308.8) (290.5) (303.7) Net Loans Requirement 906.1 1,057.7 1,363.0 1,607.3 1,924.5 2,102.9 plus: Liquidity Allowance 30.0 30.0 30.0 30.0 30.0 30.0 Liability Benchmark 936.1 1,087.7 1,393.0 1,637.3 1,954.5 2,132.9 Existing Borrowing 987.6 829.4 645.6 589.7 537.9 486.6 New Borrowing Required 0.0 258.3 747.4 1,047.6 1,416.6 1,646.3 Page 241 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Financial impacts are outlined within the report. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 242 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? As the Council borrows and invests significant sums of money it is exposed to financial risks including the loss of invested funds and the revenue effect of changing interest rates. Therefore, successful identification, monitoring and control of risk remains central to the Council’s treasury management strategy. Treasury Management activity by its very nature has a number of inherent risks including interest rate, liquidity and refinancing risks. To minimise risk for its treasury management activities the Council adopts and operates in accordance with the guidelines for best practice prescribed within the CIPFA “Treasury Management in the Public Services” Code of Practice and the CIPFA Prudential Code for Capital Finance in Local Authorities. 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. Page 243 of 332
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5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 244 of 332
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LOANS, LONG TERM LIABILITIES & INVESTMENTS AS AT 30 SEPTEMBER 2025 Appendix 1 DEBT RESTRUCTURING BALANCE 1-July-25 EARLY REDEMPTION REFINANCING NEW BORROWING / LONG-TERM LIABILITIES PRINCIPAL REPAYMENTS NET CASH MOVEMENTS BALANCE 30-September-25 (1) (2) (3) (4) (5) (6) (7) LONG-TERM LOANS PWLB 720,932,415 0 0 0 (21,209,396) (21,209,396) 699,723,019 MONEY MARKET LOANS 54,000,000 0 0 0 0 0 54,000,000 LOBO 3,000,000 0 0 0 0 0 3,000,000 ENERGY EFFICIENCY LOAN 383,513 0 0 0 0 0 383,513 778,315,927 0 0 0 (21,209,396) (21,209,396) 757,106,532 SHORT-TERM LOANS TEMPORARY 214,500,000 0 0 70,000,000 (68,000,000) 2,000,000 216,500,000 INTERNAL LOANS 6,280 0 0 0 0 0 6,280 214,506,280 0 0 70,000,000 (68,000,000) 2,000,000 216,506,280 LONG -TERM LIABILITIES FINANCE LEASE OBLIGATIONS 805,990 0 0 0 0 0 805,990 IFRS16 RIGHT-OF-USE LIABILITY 3,639,729 0 0 0 0 0 3,639,729 LONG TERM LIABILITY 288,903,520 0 0 0 (3,297,084) (3,297,084) 285,606,436 293,349,239 0 0 0 (3,297,084) (3,297,084) 290,052,155 TOTAL EXTERNAL DEBT 1,286,171,446 0 0 70,000,000 (92,506,479) (22,506,479) 1,263,664,967 INVESTMENTS THIRD PARTY ADVANCES 1,123,026 0 0 0 0 0 1,123,026 BANKS & OTHER FINANCIAL INSTITUTIONS 97,259,635 0 0 0 0 (26,379,253) 70,880,382 UNCLEARED BALANCES INCL CASH IN TRANSIT (9,683,975) 0 0 0 0 6,599,568 (3,084,407) CASH & CASH EQUIVALENTS 88,698,686 0 0 0 0 (19,779,685) 68,919,001 NET BORROWING 1,197,472,761 0 0 70,000,000 92,506,479 (2,726,795) 1,194,745,966 Page 245 of 332
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Appendix 2 Summary of Treasury and Prudential Indicators as at quarter ended 30 September 2025 1. Prudential Indicators (a) Capital Expenditure Initial Estimate 2025/2026 (£m) Projected Outturn 2025/2026 (£m) Variance 2025/2026 (£m) Forecast 2026/2027 (£m) Forecast 2027/2028 (£m) Forecast 2028/2029 (£m) Forecast 2029/2030 (£m) Capital Expenditure: General Services 153.4 167.7 14.3 176.8 129.7 258.2 104.6 Capital Expenditure: HRA 125.8 140.1 14.3 220.3 189.5 157.6 179.4 Total spend : Capital Expenditure 279.2 307.8 28.6 397.1 319.2 415.8 284.0 Total spend : Credit Arrangement 14.4 14.0 (0.4) 15.9 16.2 15.5 15.5 Total Capital Investment 293.6 321.8 28.2 413.0 335.4 431.3 299.5 Financed By: Capital Grants & Other External Contributions 59.5 73.7 14.2 55.6 54.4 56.4 30.0 Capital from Current Revenue 46.8 50.1 3.3 20.1 20.1 20.1 20.1 Capital receipts 3.4 2.2 (1.2) 3.4 3.4 3.4 0.0 Capital receipts transfer to Capital Fund 0.0 0.0 0.0 0.0 0.0 0.0 0.0 CFR : Borrowing - General Services 84.1 88.6 4.5 134.7 88.8 215.4 91.6 CFR : Borrowing - HRA 85.4 93.2 7.8 183.2 152.4 120.5 142.3 Credit Arrangements 14.4 14.0 (0.4) 15.9 16.2 15.5 15.5 check 0.0 0.0 0.0 (0.1) (0.1) 0.0 0.0 (b) Capital Financing Requirement (CFR) Initial Estimate 2025/2026 (£m) Projected Outturn 2025/2026 (£m) Variance 2025/2026 (£m) Forecast 2026/2027 (£m) Forecast 2027/2028 (£m) Forecast 2028/2029 (£m) Forecast 2029/2030 (£m) General Services 1,080.8 1,073.6 (7.2) 1,194.3 1,267.7 1,463.9 1,534.1 HRA 640.6 640.6 0.0 807.9 942.3 1,042.3 1,161.8 Total CFR 1,721.4 1,714.2 (7.2) 2,002.2 2,210.0 2,506.2 2,695.9 Movement in CFR 143.8 154.1 288.0 207.8 296.2 189.7 (c) Gross Debt and the Capital Financing Requirement Initial Estimate 2025/2026 (£m) Projected Outturn 2025/2026 (£m) Variance 2025/2026 (£m) Forecast 2026/2027 (£m) Forecast 2027/2028 (£m) Forecast 2028/2029 (£m) Forecast 2029/2030 (£m) Gross Borrowing : Loan Debt 1,186.8 1,163.4 (23.4) 1,468.1 1,712.7 2,029.9 2,215.7 Long-term Liabilites 294.0 295.4 1.4 294.5 294.0 291.2 289.2 Gross Debt 1,480.8 1,458.8 (22.0) 1,762.6 2,006.7 2,321.1 2,504.9 Capital Financing Requirement 1,721.4 1,714.2 (7.2) 2,002.2 2,210.0 2,506.2 2,695.9 Prudential Margin 240.6 255.4 14.8 239.6 203.3 185.1 191.0 Page 246 of 332
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Appendix 2 (cont) Summary of Treasury and Prudential Indicators as at quarter ended 30 September 2025 1. Prudential Indicators (d) Authorised Limit and Operational Boundary Initial Authorised Limit 2025/2026 (£m) Initial Operational Boundary 2025/2026 (£m) Maximum Borrowing Level Q2 2025/2026 (£m) Borrowing 1,505.0 1,455.0 1,002.8 Other Long-term Liabilities 325.0 325.0 290.1 Total Debt 1,830.0 1,780.0 1,292.9 (e) Proportion of Financing Costs to Net Revenue Stream Initial Estimate 2025/2026 (£m) Projected Outturn 2025/2026 (£m) Variance 2025/2026 (£m) Forecast 2026/2027 (£m) Forecast 2027/2028 (£m) Forecast 2028/2029 (£m) Forecast 2029/2030 (£m) General Fund Loan Charges 46.6 47.6 1.0 53.5 62.6 71.2 84.4 General Fund Finance Lease/PPP Costs 15.3 17.0 1.7 15.5 14.8 14.5 14.0 General Fund : Capital Financing Costs 61.9 64.6 2.7 69.0 77.4 85.7 98.4 General Fund : Net Revenue Stream 1,068.8 1,068.8 0.0 1,068.8 1,068.8 1,068.8 1,068.8 Proportion of Financing Costs to Net Revenue Stream - GF 5.8% 6.0% 0.3% 6.5% 7.2% 8.0% 9.2% Proportion of Financing Costs to Net Revenue Stream Initial Estimate 2025/2026 (£m) Projected Outturn 2025/2026 (£m) Variance 2025/2026 (£m) Forecast 2026/2027 (£m) Forecast 2027/2028 (£m) Forecast 2028/2029 (£m) Forecast 2029/2030 (£m) HRA Loan Charges 43.3 42.2 (1.1) 48.2 59.3 71.8 79.9 HRA Finance Lease/PPP Costs 0.3 0.3 0.0 0.3 0.3 0.3 0.0 HRA : Capital Financing Costs 43.6 42.5 (1.1) 48.5 59.6 72.1 79.9 HRA : Net Revenue Stream 171.9 171.9 0.0 175.3 188.6 201.6 209.2 Proportion of Financing Costs to Net Revenue Stream - HRA 25.4% 24.7% (0.6%) 27.7% 31.6% 35.8% 38.2% Page 247 of 332
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Appendix 2 (cont) Summary of Treasury and Prudential Indicators as at quarter ended 30 September 2025 2. Treasury Management Indicators a) Interest Rate Exposures on External Interest Payments Position as at 30/09/2025 (£m) % External Interest Payable on Fixed Rate Loan Debt 44.6 99.4% External Interest Payable on Variable Rate Loan Debt 0.3 0.6% b) Loans Fund Revenue Account Initial Estimate 2025/2026 (£m) Projected Outturn 2025/2026 (£m) Variance 2025/2026 (£m) %age Loans Fund Interest Payments 64.6 65.6 (1.0) (1.5%) Loans Fund Expenses 0.4 0.4 0.0 0.0% Total Loans Interest Payments & Expenses 65.0 66.0 (1.0) (1.5%) Loans Funds Investment Income (1.5) (2.5) 1.0 (66.7%) Total Loans Fund Interest Payments Investment Income & Expenses 63.5 63.5 0.0 0.0% Allocated as follows : Loans Fund Interest Payments Investment Income & Expenses:General Fund 34.4 35.6 (1.2) (3.5%) Loans Fund Interest Payments Investment Income & Expenses:HRA 29.1 28.0 1.1 3.8% Capital Advances Repayments - General Fund 12.2 12.1 0.1 0.8% Capital Advances Repayments - HRA 14.2 14.1 0.1 0.7% Total Capital Advances 26.4 26.2 0.2 0.8% Total Loan Charges 89.9 89.7 0.2 0.2% c) Maturity Structure of Borrowing <12months 12 months to 2 years 2 to 5 years 5 to 10 years 10 to 20 years 20 to 40 years >40 years Upper Limit maturing :Fixed & Variable Rate Debt 15.0% 15.0% 25.0% 30.0% 35.0% 45.0% 30.0% Lower Limit maturing :Fixed & Variable Rate Debt 0.0% 0.0% 5.0% 5.0% 5.0% 10.0% 10.0% Maturity structure at the start of Q2 10.5% 7.9% 20.4% 27.9% 10.0% 20.0% 3.3% Maturity structure at the end of Q2 11.5% 7.4% 20.1% 27.2% 9.8% 20.6% 3.4% Page 248 of 332
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Appendix 3 0 500 1,000 1,500 2,000 2,500 3,000 2025 2027 2029 2031 2033 2035 2037 2039 2041 2043 2045 2047 2049 2051 2053 2055 £m Liability Benchmark - North Lanarkshire Fixed rate loans LOBO loans Loans CFR Liability benchmark Net loans requirement Page 249 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref GT/KS Date 19/11/25 Review of Financial Regulations From Greg Telfer, Chief Officer (Finance and Technology) E-mail TelferG@northlan.gov.uk Telephone 07583 010692 Executive Summary This report provides Committee with the outcome of the annual review of the Financial Regulations and Scheme of Financial Delegation. Full consideration continues to be given to the collective responsibility for the long-term financial sustainability of the Council and how the Council’s financial governance arrangements including the Financial Regulations, and Scheme of Financial Delegation, can further support this. A number of minor amendments have been made, with the main changes summarised at Appendix 1, and a full amended version of the documents is provided at Appendix 2 and 3. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledge the revisions made to the Council’s Financial Regulations and Scheme of Financial Delegation. The Plan for North Lanarkshire Priority All priorities Ambition statement (25) Ensure intelligent use of data and information to support fully evidence based decision making and future planning Programme of Work Statutory / corporate / service requirement Item 16 Page 251 of 332
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1. Background 1.1 This report advises Committee of the outcome of the annual review of the Council’s Financial Regulations and Scheme of Financial Delegation, noting the main amendments 2. Report 2.1 The annual review ensures that both the Financial Regulations and Scheme of Financial Delegation remain appropriate for the effective stewardship of the Council’s financial resources. 2.2 A number of minor amendments were made to the Financial Regulations and the Scheme of Financial Delegation. These are highlighted in yellow on Appendix 2 and 3, with the main changes highlighted in Appendix 1. 3. Measures of success 3.1 The Council continues to operate within approved budgeted resources. 4. Supporting documentation 4.1 Appendix 1 2025 Financial Regulations and Scheme of Financial Delegation Amendments 4.2 Appendix 2 Financial Regulations 4.3 Appendix 3 Finance Scheme of Delegation Greg Telfer Chief Officer (Finance and Technology) Page 252 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☐ No ☒ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 253 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☐ No ☒ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 254 of 332
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Appendix 1 Rationale Section Section Various Chief Officer (Finance) Various Chief Officer (Finance and Technology) To reflect most recent title 2.6 At the time of update, consultation is ongoing in respect of Social Care reforms over the implementation of recommendations made by the Independent Review of Adult Social Care and the establishment of a National Care Service. The impact arising from the outcome of the consultation exercise and any subsequent reforms implemented will be considered as part of future reviews of the Financial Regulations however until such time paragraph 2.5 remains relevant 2.6 Removed paragraph Scottish Government announced in January 2025 that the National Care Service was not being progressed 4.5 N/A 4.5 To ensure adherence to the relevant corporate governance approaches that support the management of finances including project management, change management and options appraisals and the need to consider these processes when considering service redesign and delivery of savings Wording added to reference Chief Officers responsibility to follow other corporate policies that support good financial management 8.4b 14th March 2024 8.4b 13th March 2025 Committee date updated 10.5 with an annual report to the Finance and Resources Committee for information 10.5 Removed wording Rationale being the Chief Officer and Section 95 Officer are aware of financial position of services and provision is always made for write- offs as part of year end process so no additional financial implications requiring to be considered by Finance & Resources Committee 10.5 and the Finance and Resources Committee 10.5 Removed wording Rationale being service committees are aware of financial position of services and provision is always made for write-offs as part of year end process so no additional financial implications requiring to be considered by Finance & Resources Committee 12.3 manual cheques may be signed by other responsible persons, per the Councils bank mandate, specified by the Section 95 Officer, on their behalf. 12.3 Removed wording Manual cheques are no longer applicable, all cheques are printed 14.4 • Contract documents are available for inspection, should they be required, which confirm relevant contract details to support the payment, including evidence supporting annual price increases and table of changes. 14.4 (d) Contract documents are available for inspection, should they be required, which confirm relevant contract details to support the payment, including evidence supporting annual price increases and table of changes. Reflects current certification statement being used for approving invoice payments 20.1 The completed form should be emailed to the "cash advances" mailbox ready for an officer to collect from their preferred First Stop Shop - Motherwell, Wishaw, Coatbridge or Kilsyth. 20.1 The completed form should be emailed to the "cash advances" mailbox ready for an officer to collect from Motherwell First Stop Shop. Reflects changes in process following First Stop Shop's cashless operations 2025 Scheme of Financial Delegation Rationale Section Section Various Chief Officer (Finance) Various Chief Officer (Finance and Technology) To reflect most recent title 2.6.2 Oversee the daily control and reconciliation of all Council income and ensure robust procedures are in place for corporate Cash Receipting and the Municipal Bank. 2.6.2 Oversee the daily control and reconciliation of all Council income and ensure robust procedures are in place for corporate Cash Receipting. Municipal Bank is closed 2024 Financial Regulations 2024 Scheme of Financial Delegation 2025 Financial Regulations Page 255 of 332
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Appendix 2 NORTH LANARKSHIRE COUNCIL FINANCIAL REGULATIONS Page 256 of 332
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APPROVED – 23 May 2018 Updated May 2019 Updated November 2020 Updated November 2021 Updated November 2022 Updated November 2023 Updated November 2024 Updated November 2025 Page 257 of 332
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NORTH LANARKSHIRE COUNCIL FINANCIAL REGULATIONS INDEX Section Topic Page 1 Introduction 2 2 Responsibilities 2 3 Definitions 3 4 Responsibility for Financial Administration 5 5 Policies and Strategies 7 6 Capital Expenditure 8 7 Revenue Expenditure 10 8 Budgetary Control 11 9 Legality of Expenditure 13 10 Income 14 11 Treasury Management 15 12 Banking 15 13 Payroll 16 14 Payment of Creditors 17 15 Contracts 19 16 Security 20 17 Stores and Inventories 20 18 Insurance 21 19 Accounting Procedures 22 20 Cash Advances – General and Imprest 23 21 Audit 24 22 Members’ Remuneration and Expenses 24 23 Financial Regulations 25 Page 258 of 332
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1. INTRODUCTION 1.1 Financial Regulations are an integral part of the Council’s framework of internal financial controls, which are designed to ensure the effective stewardship of North Lanarkshire Council funds. Compliance with these regulations will ensure that public money is safeguarded and properly accounted for, and all Council financial transactions undertaken in a manner which demonstrates openness, transparency and integrity. 1.2 The Financial Regulations forms a key part of the overarching Financial Strategy and the corporate governance arrangements of the Council. 1.3 Any breach or non-compliance with these Regulations must be reported immediately to the Chief Officer (Finance and Technology) who may consult the Chief Executive and/or the appropriate Service Chief Officer in order to determine the proper action to be taken. Failure to comply with the Financial Regulations may result in an investigation and disciplinary action under the Council’s Discipline Policy 2. RESPONSIBILITIES 2.1 Financial Regulations are the responsibility of all Council employees and should be distributed annually by the Chief Executive, Deputy Chief Executive, Chief Officers and the Chief Officer (Finance and Technology), highlighting the importance of complying with the regulations and the Council’s proper financial management. It is the responsibility of each Chief Officer to ensure all staff have read and understood the Financial Regulations. 2.2 In addition, Chief Officers have a responsibility to consult with the Section 95 officer on any matter affecting their Service which is liable to materially impact the finances of the Council before making any commitment. In fulfilling this responsibility, Chief Officers must consider spending within the context of the Council’s overall financial position. Appropriate mutual discussions and collective decisions at Corporate Management Team (CMT) level are required to manage the overall financial stewardship of the organisation, and should not focus on an individual Service, Division or Function’s financial requirements. 2.3 All officers employed by the Council must ensure that all financial transactions are Intra Vires and in line with these regulations. 2.4 Adult Health and Social Care – as a result of the Health and Social Care Integration legislation which came into force on the 1st April 2016, the Council is jointly responsible with the NHS for the Adult Health and Social Care of service users within North Lanarkshire. The legislation saw the creation of the North Lanarkshire Integration Joint Board (IJB), responsible for directing health and social care expenditure within the partnership area. North Lanarkshire Integrated Joint Board Members include North Lanarkshire councillors, senior officers in NHS Lanarkshire and stakeholder representatives from across the health and social care sector. As per the approved IJB Financial Regulations, the Council Section 95 Officer retains the duty to monitor and regulate the financial performance of the Council’s share of available Board resources. As such, the Section 95 Officer retains the right to comment and make recommendations to the Board on the suitability of the IJB’s Financial Regulations. 2.5 Priority will be given to the IJB’s Financial Regulations first and foremost however where a situation arises that is not covered within those regulations, employees/members shall refer to the Council’s Financial Regulations, or where required, obtain guidance from the Council’s Section 95 Officer to ensure proper financial management. 2.6 At the time of update, consultation is ongoing in respect of Social Care reforms over the implementation of recommendations made by the Independent Review of Adult Social Care and the establishment of a National Care Service. The impact arising from the outcome of the consultation exercise and any subsequent reforms implemented will be considered as Page 259 of 332
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part of future reviews of the Financial Regulations however until such time paragraph 2.5 remains relevant. 2.7 Arm’s Length External Organisations (ALEOs) are used as an alternative way of delivering vital council services. This delivery involves the use of public funds therefore the Council has a statutory duty to demonstrate openness, transparency and accountability regarding the monies spent through these Arms-length bodies. These financial regulations are not applicable to arms-length bodies, which are separate legal entities with responsibility for their own stewardship and governance arrangements. However, to enable the Council to satisfy its public accountability duties, services must adhere to the Corporate Guidance on Arms-length bodies, and must ensure all Council relationships with such bodies properly comply with the principles contained within the Code of Guidance on Following the Public Pound. It is expected that due cognisance is given to the Council’s approved Financial Regulations by respective ALEO Board/Management Teams, however it is their responsibility to ensure proper financial management and the development of appropriate Financial Regulations. The Section 95 Officer reserves the right to comment on the appropriateness of ALEO financial management and regulations to the respective Board/Management Team, as well as the Enterprise and Communities Committee. 2.8 Community Boards and Participatory Budgeting. A Framework for Working with Communities was approved by Policy and Strategy Committee in March 2020 which included the establishment of 9 Community Boards. It is intended that these boards will drive and support locality engagement and planning which will partly be achieved through optimising funding and resource opportunities to deliver and improve services in addition to supporting the development and implementation of Participatory Budgeting (PB). This will allow the community a voice in the decision making process of how money is spent. These financial regulations set out remain applicable in these arrangements. 2.9 Where potential ambiguity in the Financial Regulations arises, advice should be sought from the Council’s Section 95 Officer. The Chief Officer (Finance and Technology) will provide advice to ensure the aims of the guidance is met and that the Council is in full compliance with financial management requirements. 3. DEFINITIONS 3.1 The following expressions are used throughout the Regulations with the following meanings: 3.1.1 Chief Officer The Chief Executive, Deputy Chief Executive or Chief Officer, regardless of specific title. This includes the Chief Officer’s authorised substitute(s), except in cases where it is stated that substitutes may not act. A Chief Officer may have different authorised substitutes, depending on the topic. 3.1.2 As delegated Any grant of delegated powers by the Council to such persons as may be specified from time to time. 3.1.3 By the Section 95 Officer By the Section 95 Officer, or under arrangements made by/ or approved by the Section 95 Officer, a Chief Officer or an external agency. 3.1.4 Records All or any records, forms, books, documents, certificates, tickets or correspondence, whether on paper, on film, on computer file or any other medium. Page 260 of 332
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3.1.5 Authorised signatories A Chief Officer may authorise officers within their service to commit the Council to obtaining goods, services and other items in respect of which expenditure may competently be incurred. These officers are known as Authorised Signatories. The Section 95 Officer will require the Chief Officers to confirm their lists annually. The list shall include specimen signatures, and where appropriate, specimen initials, persons whose authorisation is applied by some means other than manuscript, and the manner of their personal authorisation, and also specify the items which each officer is authorised to sign, and the financial limit on any one item. Any proposed amendment of the list must be notified immediately to the Section 95 Officer. 3.1.6 Emergency An actual or potential emergency or disaster involving or likely to involve any or all of the following: i) Danger to life or health ii) Serious damage to or destruction of property iii) Major financial penalties. 3.1.7 Service In addition to each recognised Council Service, “Service” includes those limited companies or other organisations which are wholly owned or controlled by the Council, and which have adopted the Council’s financial regulations for their own use. 3.1.8 Capital Expenditure Expenditure on the acquisition, creation or enhancement of fixed assets, provided it yields benefit to the Council for more than one year (reference CIPFA/LASAAC Code of Practice on Local Authority Accounting and Scottish Government Finance Circular No. 3/2018). It is the responsibility of officers to ensure expenditure in the capital programme is ‘capital’ as per proper accounting practices required by the Local Government Scotland Act 2003. The Council has set a de-minimis, for materiality, whereby no individual item of less than £10,000 will be regarded as Capital. However due notice should be given to groups of items which fall below the de-minimis as a single unit but should collectively be capitalised i.e. laptop refresh programme. It should be noted that items above the de-minimis are not necessarily capital and officers should refer to relevant Finance staff for guidance. 3.1.9 Revenue Expenditure All expenditure which is not Capital. 3.1.10 Virement A transfer of money between budget headings. Authorisation levels are outlined in the Financial Regulations. Virements shall not be used to: • Mask overspend and underspend issues; • Apply underspends and over-recoveries of income without approval by the SCDG and Committee in line with authorisation levels; or • Reverse any decision made by the Council during its budget process unless subsequently approved by Council. Page 261 of 332
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3.1.11 Contracts As defined within the General Contract Standing Orders (effective from 1 January 2020) 3.1.12 Statutory Officer Officers designated for particular statutory purposes as set out in legislation: • Section 95 Officer, Chief Officer (Finance and Technology) • Chief Social Worker, Chief Social Work Officer (Children, Families, Justice and Integrated Practice); and • Monitoring Officer, Chief Officer (Legal and Democratic) 3.1.13 Recovery Plan Robust, affordable and sustainable plans to mitigate known financials burdens either, on a one-off or a recurring basis, presented to and agree by Corporate Management Team. 4. RESPONSIBILITY FOR FINANCIAL ADMINISTRATION 4.1 Council Ultimate authority over decision-making. 4.2 Finance and Resources Committee responsible for financial decision-making. 4.3 Enterprise and Fair Work Committee, Environment and Climate Change Committee, Housing Committee, Regulatory Committee, and Finance and Resources Committee Responsibility depending on service nature for the monitoring of specific ALEOs’ financial, service and operational performance including risk management and to ensure effective governance is in place within the ALEOs. 4.4 Section 95 Officer (Chief Officer (Finance and Technology) To administer the financial affairs of the authority, as the proper officer for the purposes of Section 95 of the Local Government (Scotland) Act 1973, and in accordance with part 7 of the Local Government in Scotland Act 2003. To ensure the Council has put in place suitable arrangements to ensure compliance with the CIPFA Statement on the role of the Chief Financial Officer (CFO) in Local Government. To ensure the Council’s financial management arrangements are in line with the Council’s strategic policies, plans and objectives. To ensure all staff involved in financial management across the Council maintain professional accounting standards and comply with expected standards of conduct and integrity. To provide financial advice to the Council and its Committees, and monitor overall compliance with these Regulations. To obtain assurance regarding the financial governance arrangements of subsidiary companies, associate companies and partnerships which the Council is able to control or influence. Page 262 of 332
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4.5 Chief Officers To assist the Council and the Chief Executive at all times in achieving Best Value in the conduct of their service activities. Chief Officers are fully accountable for the financial performance of their service area, and must manage, monitor and control Service budgets in line with the Code of Practice on Local Authority Accounting and agreed timescales, ensuring compliance with Contract Standing Orders and Financial Regulations regarding their service activities. Except in an emergency, or as Delegated, to consult with the Section 95 Officer or relevant Business Finance Manager on any matter affecting their services which is liable to affect materially the finances of the Council before making any commitment, and before reporting thereon to a Committee. To maintain effective stewardship of their Services’ funds, ensuring that all financial transactions undertaken are within their powers. To ensure appropriate management of risks associated with the delivery of effective financial management inherent in providing their service activities. To ensure the relevant Business Finance Manager (or their assigned deputy) is part of the Service’s Senior Management Team (SMT) and provide them with the opportunity to attend all meetings. To liaise with the Chief Officer (Finance and Technology) or the nominated representative, regarding any appointments to or changes to the financial management establishment supporting their service activity. 4.6 Statutory Officers The Financial Regulations should be strictly adhered to ensuring all expenditure incurred is within approved budgets. These regulations still apply when making professional judgements while carrying out a role. However in the instance that a statutory officer’s judgement may lead to a breach in the Financial Regulations, the Section 95 Officer must be notified in the first instance and the level of breach reported to CMT thereafter with a Service Recovery plan to manage the additional spend. Page 263 of 332
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4.7 Partner Organisations Reflecting the nature of partnership arrangements and the drive towards Shared Services and possibly pooled budgets, elements of Council budgets may be delegated or shared with external organisations. Following approval from the Chief Officer (Finance and Technology), the Chief Executive or Chief Officer can delegate budget to an external organisation, providing the Section 95 Officer is satisfied that governance arrangements and responsibilities are clearly defined and that appropriate management controls regarding usage and monitoring of budget are in place. Chief Officers must ensure that all relevant staff are aware of and adhere to the Corporate Guidance on Arms-length, thereby ensuring the Council’s relationships with ALEOs comply with the principles contained within the Code of Guidance on Following the Public Pound. This responsibility includes ensuring that the Council is clear as to the purpose of any financial support provided, that the funding is used in a manner consistent with good governance principles and that the Council can demonstrate that the organisation’s achievements provide best value for that funding support. 4.8 All Officers and employees All officers employed by the Council, or by an organisation associated with the Council, whether or not their financial statements are consolidated in the Group Accounts of North Lanarkshire Council, must ensure that all financial transactions are Intra Vires and are in line with Financial Regulations. 5. POLICY AND STRATEGIES There are some areas that require more detailed guidance or procedures. Although the specific detail is not included within these Financial Regulations, the expectation is that officers and Elected Members adhere to the requirements of these additional documents. 5.1 Financial Strategy 5.1 Financial Strategy sets out the overarching framework for financial governance, planning and management. The aim is to ensure robust, affordable, sustainable and best value financial plans are developed to support decision making and prioritise the use of available resources. 5.2 Revenue Resources Budget Strategy The key principles of the Revenue Resources Budget Strategy were approved by Policy and Strategy Committee in June 2019 and have been subject to annual review. The strategy sets out the Council’s approach to budgeting and the identification of future saving ensuring the financial sustainability of the Council and the safeguarding of public funds. The strategy is underpinned by the financial regulations and its principles should be considered in conjunction with these where appropriate. Page 264 of 332
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5.3 Reserves Policy In January 2020, Policy and Strategy Committee approved the Council’s Reserves Policy which sets out the types of reserves held by the Council and their purpose; establishes procedures for governance of the reserves; outlines the circumstances for the utilisation of reserve balances; and outlines the approach taken to determine the appropriate reserve levels held by the Council. 5.4 Capital Strategy The Prudential Code for Capital Finance in Local Authorities and good financial management practice requires Councils to produce a Capital Strategy. The Capital Strategy ensures the Council takes capital expenditure and investment decisions in line with the Council’s priorities, service objectives and properly takes account of stewardship, value for money, prudence, sustainability and affordability. 5.5 Treasury Management Strategy The Treasury Management in the Public Services Code of Practice requires the Council to produce and report Treasury Management policies, practices and activities on a regular and ongoing basis. This encompasses the preparation and approval of an Annual Treasury Management Strategy, which defines the arrangements for managing the Treasury Management function. The Strategy covers the Council’s debt and investment projections; expected movement in interest rates; borrowing and investment strategies; Treasury Management performance indicators; and sets specific limits for treasury management activities. 6. CAPITAL EXPENDITURE 6.1 Capital Programmes The Chief Officer (Finance and Technology) and the Chief Officer (Enterprise and Communities) will co-ordinate the Composite and Housing Capital Programmes respectively in accordance with any Government requirements as to timescale and the format, for presentation to the Policy and Strategy Committee, and Council thereafter for approval. 6.2 Capital Estimates Once the programmes are approved, and provided that ministers do not use the powers available to them under s36 of the Local Government in Scotland Act 2003 to control capital expenditure limits, the figures for the first year of the Programmes become the official Capital Estimates for that year, reflecting committed projects and approved new projects. They will also include any preliminary expenses, design costs and land purchases, which are necessary prerequisites to projects included in year two of the Programmes. Page 265 of 332
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6.3 Preparation With respect to the Composite Programme, the Strategic Capital Delivery Group (SCDG) shall provide all the information, in accordance with a timetable set by, and in a form determined by, the Chief Officer (Finance and Technology) when developing the Council’s Capital Programme. Development of the programme is devolved to the Strategic Capital Delivery Group, in line with its Terms of Reference. Approval of the programme is required from the Council’s Section 95 Officer prior to consideration by Council. 6.4 Right to proceed After Council approval, subject to any further consents required, and subject to all other requirements of the Financial Regulations and Contract Standing Orders, Chief Officers may proceed with projects contained in the Estimates, unless: (i) the tender cost or revised estimate exceeds the provision in the estimate, or (ii) the nature of the project has changed substantially from that originally envisaged. In either case, approval must be sought from the SCDG, and will be granted only if the expenditure can be contained within the overall programme. Approval for adjustments in respect of the above must be reported to individual Service Committees and the Policy & Strategy Committee, subject to the approved limits set out in the SCDG Terms of Reference. 6.5 Acceleration Projects contained within years 2-5 of the Programme can be introduced into the current year if they can be contained within the total resources only on the recommendation of the SCDG, in line with their Terms of Reference. 6.6 Additional Projects Additional projects that are over and above the allocations approved in the Council’s five year capital programme require specific consent in the first instance from the Chief Officer (Finance and Technology) and approval by the Policy and Strategy Committee. 6.6 Duty regarding Approvals The spending Chief Officer (the Budget Holder) must ensure that all necessary approvals have been obtained before commencing any project. 6.7 Revenue Effects Each Chief Officer, when making proposals on any capital project shall include a report, agreed with the Chief Officer (Finance and Technology), showing details of the revenue consequences (costs or savings) in the current and subsequent years, ensuring they are managed. Page 266 of 332
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6.8 Deviations Each Chief Officer (Budget Holder) must draw to the attention of the SCDG and the Spending Committee, in consultation with the Section 95 Officer any circumstance that may lead to a significant deviation from the approved Capital Estimates, either in expenditure or in income. In this context significant means £100,000 or 5%, whichever is the higher, of the Policy & Resources approved programme expenditure. The SCDG should authorise action designed to rectify the situation, and if they are unable to do so, the Chief Officer (Finance and Technology) must report the facts to the Spending Committee and the Finance and Resources Committee for consideration. 6.9 Agents Where an agent of any service, including a contractor, Council- controlled Company or Trust, identifies the probability of a significant deviation occurring, the agent is required to report the fact, including reasons for this deviation, to the appropriate Chief Officer (Budget Holder) immediately. 7. REVENUE EXPENDITURE 7.1 Policy Guidelines The Section 95 Officer will advise the Chief Officers of the Guidelines and timetable for preparing the annual revenue budget estimates. 7.2 Budget Estimates The Chief Officer (Finance and Technology) will co-ordinate the preparation of the annual Estimates of Income and Expenditure in accordance with the Guidelines, ensuring compliance with the Council’s priorities and targets within that planning time frame. 7.3 Preparation Chief Officers will supply all necessary information to the Chief Officer (Finance and Technology), in accordance with a timetable set by and in a form determined by the Section 95 Officer, regarding the requirements of their services. Where relevant, such information will be supported by equality impact assessments. 7.4 Authorisation The Revenue Budget Estimates will be submitted to Council for approval, together with recommendations as to the levels of Council Tax for the coming year. 7.5 Right to Proceed After the Revenue Budget Estimates are approved, Chief Officers may proceed to incur that expenditure, subject to the contractual provisions of the Standing Orders and Financial Regulations and any other legal requirements in respect of contracts, except where any item has been specifically identified as requiring further Committee consideration and approval. 7.6 Further approval Any proposals requiring Committee approval must include a report from the Chief Executive or spending Chief Officers, agreed by the Chief Officer (Finance and Technology), stating whether there is adequate provision in the Revenue Budget Estimates or not. Page 267 of 332
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7.7 Additional Items Expenditure not included in, or in excess of, the Revenue Budget Estimates, or income reduced from that included in the Revenue Budget Estimates, may be authorised in the following circumstances only:- (i) Where a Supplementary Estimate/budget has been approved by both the Spending Committee and Finance and Resources Committee, on receipt of a report from the Chief Officer (Finance and Technology) including details of any implications for policy or future years' spending; or (ii) In an emergency, where powers have been specifically delegated to officers for Building Control or Environmental Health (Food Safety) purposes, or with the approval of the Spending Committee and the Finance and Resources Committee as soon as possible thereafter, or (iii) Where adjustments to the budget have been approved in accordance with the provisions of these Regulations. 7.8 Contingency Sum Where a Contingency Sum has been included in the Revenue Estimates, draws on the Contingency must be authorised by the Finance and Resource Committee, on the recommendation of the Section 95 Officer, except in an emergency situation when they may be authorised by the Chief Officer (Finance and Technology) in consultation with the Convenor of the Finance and Resources Committee. The facts are to be reported to the Finance and Resources Committee as soon as possible thereafter. 8. BUDGETARY CONTROL 8.1 Information The Section 95 Officer will establish a reporting template which each Chief Officer shall use to compile both their Capital and Revenue Budget Monitoring reports. The reports will detail actual and projected expenditure and income against year to date and annual budgets. The contents of the report must be confirmed by the Chief Officer (Finance and Technology) and submitted to the appropriate committee at each cycle. The Section 95 Officer will also present an overall summary of the council’s budgetary position regarding Capital and Revenue expenditure to the Finance and Resources Committee. Page 268 of 332
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8.2 Control Each Chief Officer must ensure that sums provided in the budget, whether revenue or capital, are not exceeded, and that all expenditure conforms to requirements of the Standing Orders and of these Regulations. No Chief Officer or official may incur expenditure unless: (a) It is a capital expense approved in line with the SCDG Terms of Reference; (b) It is a revenue expense approved as part of the revenue budget under 5.4 of these Regulations; (c) The expense has been authorised as supplementary through one of the mechanisms outlined in paragraph 5.7 of these Regulations. Any official proposing to incur revenue or capital spending which is not included within approved budgets must seek approval for a supplementary budget before incurring such expenditure. 8.3 Deviations Each Chief Officer (Budget Holder) must draw to the attention of the Spending Committee, in consultation with the Chief Officer (Finance and Technology), any circumstance that may lead to a significant deviation from the agreed subjective headings used for budget monitoring purposes, either in expenditure or in income. In this context significant means £100,000 or 5%, whichever is the higher, at divisional summary subjective account code level. Services must clearly outline the action required to rectify significant deviations and where relevant, must also highlight the impact this has on other budget headings. The Committee must authorise action designed to rectify the matter, and if they are unable to do so the Section 95 Officer must report the facts to the Finance and Resource Committee for consideration. 8.4 Virement A Chief Officer may transfer money between approved Capital & Revenue expenditure budgets, but must ensure the nature of such transfers is clearly outlined in monitoring and committee reports, where applicable. The rules for virement of Revenue budgets apply to transfers at divisional summary subjective account code level e.g. Environment & Estates division property costs. The rules are as follows: Page 269 of 332
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8.4a Revenue Virement Must comply with the definition of a virement as per Section 3.1.10. i) Up to £50,000 in consultation & agreement with both the Chief Officer and Section 95 Officer; ii) £50,001-£100,000 following consultation & agreement with the appropriate Convenor and thereafter with the agreement of the Section 95 Officer; iii) Over £100,000 on the recommendation of the Spending Committee, and following notification to the Section 95 Officer, either in the form of a specific report to that Committee or requested within Budget Monitoring reports; iv) For Educational Establishments under Devolved School Management, the notes for virement are laid down in their schemes of delegation; v) The Chief Officer (Enterprise and Communities) may transfer either £100,000 or up to 20% (whichever is higher) of the total Repairs Budget between Repairs Budget headings without recourse to Committee; vi) Regardless of purpose, budget transfers which impact a future year or years require the approval of the Policy and Strategy Committee. 8.4b Capital Virement Capital Virements will be made in line with the SCDG Terms of Reference, in conjunction with the Chief Officer (Finance and Technology). Where this ceases to be the case, capital virements should match the requirements outlined in Section 8.4a (Revenue Virement). Virements will be classed as those reported at project level, as outlined in the Councils Composite 5 Year Capital Programme approved at Policy and Strategy Committee on the 13th March 2025 (updated for Committee annually). 8.5 Inter-Service Recharges (Revenue) Clear documentary justification should be available to the budget holder to support and substantiate any service recharges. Inter-Service Recharges should not be treated as External Income and should utilise a relevant Internal Recharge code. Where required, guidance should be sought from Finance staff. 8.6 Inter-Service Recharges (Capital) Clear documentary justification should be available to the budget holder to support and substantiate any service recharges. Chief Officers must also ensure that any recharges to capital are in line with capital guidance/code as outlined in these Financial Regulations. Where Inter-service recharges to capital do not meet the definition of capital these must be funded through revenue sources. 9. LEGALITY OF EXPENDITURE 9.1 Legality of Expenditure Chief Officer must ensure that any proposed expenditure is within the legal powers of the Council. If in doubt, the Monitoring Officer – Chief Officer (Legal and Democratic) – should be consulted. 10. INCOME Page 270 of 332
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10.1 Setting of Charges With the exception of charges imposed by Law and those which are deemed the responsibility of the Council’s Charitable Trusts, all alterations to charges require advance approval of the relevant Committee. 10.2 Review of Charges All Chief Officers shall review their service charges annually in the light of inflation and report the outcome of the review to the Chief Executive and the Section 95 Officer. In line with the principles of the Revenue Budget Strategy, where possible Chief Officers should aim for full cost recovery. 10.3 Debtors Control Each Chief Officer shall make arrangements for the issue and follow-up of accounts and the collection, control and banking of all monies due to the Council. 10.4 Notification of Income Chief Officers will provide prompt and full particulars of charges made for work, supplies, goods or services, or other sums due to the Council to, and in a form approved by, the Chief Officer (Finance and Technology), to ensure the proper recording and prompt collection by them, or under arrangements approved by them, of all monies due. 10.5 Write-offs Any proposal to write off sums due to the Council requires the following approvals: (i) For individual sums of less than £500, the relevant Chief Officers and the Chief Officer (Finance and Technology), with an annual report to the Finance and Resources Committee for information; (ii) For individual sums of £500 or over, the relevant Spending Committee and the Finance and Resources Committee. 10.6 Money Collection All monies collected in any service must be recorded and deposited, without delay, with the Section 95 Officer or in a Bank in accordance with their instructions. No deductions may be made from income without the specific authorisation of the Chief Officer (Finance and Technology). 10.7 Personal cheques Personal cheques will not be cashed out of monies held on behalf of the Council. 10.8 Grants Where appropriate, the Section 95 Officer shall be advised of all relevant information necessary to allow the submission of all applications for Grants due to the Council. Where applications are submitted directly by the Chief Executive or Chief Officers, they shall be responsible for their timeous and accurate submission. Where Chief Officers, and those with devolved responsibility, are responsible for grant submissions, they are required to advise and provide evidence to relevant Finance staff of the grant application. 10.9 Controlled Stationery All receipt forms, books, tickets and other such items shall be ordered and supplied to services by the Section 95 Officer, or by arrangements approved by them. 10.10 Transfer of Money All such transfers between staff will be evidenced in the records of the Services concerned by the signature of the receiving officer. Page 271 of 332
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11. TREASURY MANAGEMENT 11.1 CIPFA Code of Practice The Section 95 Officer – Chief Officer (Finance and Technology) - to ensure the Council adopts the key clauses within Section 5 of CIPFA’s “Treasury Management in the Public Services” Code of Practice (the Code) and most up to date revisions to the Code. 11.2 Treasury Management Policy Statement and Practices The Section 95 Officer must arrange for the creation and maintenance of a Treasury Management Policy Statement and Treasury Management Practices, which identify the manner in which the Council shall manage and control its Treasury Management activities. 11.3 Prudential Code for Capital Finance in Local Authorities The Chief Officer (Finance and Technology) is responsible for establishing a control framework that complies with the requirements of the Prudential Code for Capital Finance in Local Authorities, and for regular monitoring of prudential indicators during the financial year. 11.4 Investment Strategy In accordance with the Local Government Investments (Scotland) Regulations 2010, the Section 95 Officer must arrange for the creation and maintenance of an Annual Investment Strategy and Annual Investment Report. Council funds shall be invested in accordance with the approved annual investment strategy and shall be held in the name of the Council. 11.5 Borrowing and Investment All borrowing, investment and leasing including that related to Trust and Charitable Funds, will be under the control of the Chief Officer (Finance and Technology) in accordance with the provisions of the aforementioned Code of Practice on Treasury Management, Prudential Code for Capital Finance in Local Authorities, Treasury Policy Statement and Treasury Management Practices, all of which have been adopted by the Council. 11.6 Leasing Services must obtain the approval of the Chief Officer (Finance and Technology) before entering into any leasing agreements (operational and finance) with a finance company. Leases affected must be in the Council’s name. Leases must be reviewed with Finance staff and reported to the Treasury, Capital and Controls team to ensure compliance with proper accounting practices (IFRS 16). Where guidance is required, Finance staff and the Treasury, Capitals and Controls team will provide support. 12. BANKING 12.1 Bank Accounts All arrangements with the Council's Bankers shall be made by the Chief Officer (Finance and Technology), who shall be authorised to open such bank accounts as they may consider necessary. Page 272 of 332
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12.2 Cheques All cheques required to support the banking arrangements of Council-operated Services shall be ordered only on the authority of the Section 95 Officer, who shall make proper arrangements for their safe custody. 12.3 Signatures With reference to 12.2 above, all cheques, excluding those required by Charitable Trusts, shall be signed by the Chief Officer (Finance and Technology); manual cheques may be signed by other responsible persons, per the Councils bank mandate, specified by the Section 95 Officer, on their behalf. 12.4 Petty cash There are separate arrangements for the operation of petty cash Accounts. These are described in Regulation 20. 12.5 Credit Cards Any requests for a corporate credit card must be made in accordance with the Councils Corporate Credit Card Policy with all aspects of the policy properly adhered to. Misuse of credit cards will result in action under the Council’s disciplinary procedures. 12.6 Purchase Cards Purchase cards will be issued only where there is a clear business benefit or need. Their issue will be approved by service managers and the cardholders will need to agree to the terms of their use. Restrictions on their use will normally be applied and will be coded into the card itself. Misuse of purchase cards will result in action under the Council’s disciplinary procedures. The Chief Officer (Finance and Technology) is responsible for overseeing the issue and use of cards as well as associated VAT compliance. 12.7 Direct Debits/Standing Orders All direct debit instructions and standing orders approved for payment by Services must be authorised by the Chief Officer (Finance and Technology). 12.8 Banking Contract All services provided by the bank in relation to the management of the Council’s bank accounts and the issue of cheques shall be renewed periodically by a competitive tendering process. 13. PAYROLL 13.1 Payment Payment of all wages, salaries, travelling and subsistence expenses and other Payroll items will be made by the Chief Officer (People Resources), with delegated authority from the Section 95 officer. 13.2 Information The Chief Executive, Chief Officers, or other officer where appropriate, will provide to the Section 95 officer, delegated to the Chief Officer (People Resources), in accordance with a timetable laid down by, and in a form approved by them, information regarding appointments, resignations, dismissals, promotions, increments, pay awards, hours worked, overtime, sickness, travel and subsistence and any other items affecting the remuneration of employees, or essential to maintain records regarding Tax, National Insurance and Superannuation. Page 273 of 332
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13.3 Certification All payroll information must be supplied by Authorised Signatories. Signatories are certifying that the information is accurate and that any overtime and expenses relate directly and exclusively to the Council's business. 13.4 Payment method The normal method of payment shall be by the Bankers Automated Clearing System (BACS). Where this is not possible, payment will be made by cheque or under special circumstances by prior agreement with the Treasury, Capital and Controls team using online banking payment services e.g. faster payment, CHAPS. 14. PAYMENT OF CREDITORS In conjunction with Internal Audit, a number of interim arrangements have been put in place to allow the continuation of payments to creditors whilst a large proportion of staff work from home. The key principles set out in these regulations stand however where a working from home arrangement is in place this will be displayed in italics. 14.1 Ordering Chief Officers are responsible for ordering goods and / or services for their Services, which shall be carried out in accordance with the Council’s contract standing orders, approved procurement strategy and guidance notes. 14.2 Electronic Purchase Order Processing Where available, Services shall use PECOS or other approved electronic procurement systems for all purchases. Services using electronic procurement systems must use electronic order forms for all purchases, which require to be authorised electronically by an authorised signatory. Where an urgent order is made by letter or on the telephone, an electronic order form must subsequently be sent in confirmation within a day of the request 14.3 Manual Purchase Order Processing Manual purchase orders should only be used where Services do not have access to PECOS or other approved electronic procurement systems. Official Order Forms will be used for all purchases and must be signed by Authorised Signatories. Where an urgent order is made by letter or on the telephone, an official order form must subsequently be sent in confirmation within a day of the request. Page 274 of 332
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14.4 Certification Chief Officers will arrange for the certification of invoices and other equivalent payment vouchers received from suppliers, contractors, or generated from Service systems, and remit them, physically or electronically, to the Chief Officer (Finance and Technology) for payment. In making these arrangements, Chief Officers must have regard to the need for Internal Check (19.3 below). Authorised Signatories are certifying that: • the goods or services included are as ordered, • the payment is properly due under the terms of any contract, and that the prices, all arithmetical details are correct, and all contract documents are available for inspection should they be requested. This should include sufficient evidence to justify annual price increases and tables of agreed charges where appropriate, and the expenditure has been properly incurred. In addition, they are also confirming that they have delegated authority to certify payment to the value of each individual invoice or equivalent payment voucher enclosed in the batch. The Chief Officer (Finance and Technology) is responsible for overseeing the compliance of creditors payments certification with any issues reported to the Section 95 Officer where appropriate. Arrangements have been put in place to facilitate the authorisation of invoices whilst staff work from home. This process requires dual authorisation through email with the following certification statement: Certification Statement I confirm that I am certifying payment of the enclosed invoices or other equivalent payment vouchers in accordance with North Lanarkshire Council’s current Financial Regulations and that: (a) The goods or services included are as ordered; (b) The payment is properly due under the terms of any contract and that the prices and all arithmetic details are correct; (c) The expenditure has been properly incurred; and (d) Contract documents are available for inspection, should they be required, which confirm relevant contract details to support the payment, including evidence supporting annual price increases and table of changes. I also confirm that I have delegated authority to certify payment to the value of each individual invoice or equivalent payment voucher enclosed in this batch. • Contract documents are available for inspection, should they be required, which confirm relevant contract details to support the payment, including evidence supporting annual price increases and tables of charges. Total Count of invoices or other equivalent payment vouchers being certified: ____________ Page 275 of 332
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Total Gross Value of invoices or other equivalent payment vouchers being certified: ___________ Certified by: _______________________ (print name) _______________ (date) 14.5 Certification of Cheque request forms All payment / cheque requests must be made using the Standard Template and must be authorised by two different authorised signatories (i.e. officers with the appropriate level of delegated authority per the authorised signatory list). As with invoice certification, authorisation by email is acceptable. Once the Standard Template has been completed, it should be saved as a PDF (so that it cannot be amended) and sent to the first authorised signatory, with the email subject stating ‘Request for payment / cheque’. The first authorised signatory should check the form and be satisfied that it should be processed for payment. Once satisfied that the form should be processed for payment, the first authorised signatory should forward the email to the second authorised signatory for checking and agreement. Once agreed, the second authorised signatory should then forward the email to CreditorsDPMailbox@northlan.gov.uk for processing, ensuring that the email trail clearly indicates the dual authorisation process. As this is the authorisation process, any payment / cheque requests which do not follow this process and clearly show the dual authorisation process will not be processed for payment and will be returned to the sender’s mailbox. 14.6 Payment All invoices and other equivalent payment documents, with the exception of petty cash items, may only be paid by the Section 95 Officer who may carry out such additional checks as deemed necessary. Petty cash items are covered by Regulation 18. 14.7 Alterations In the unlikely event that a voucher has to be altered, this should be done by an Authorised Signatory, clearly, by stroking out and correcting in ink. Correcting fluid must not be used. Invoices must not be altered by staff, but must be sent back to the supplier for correction. Page 276 of 332
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14.8 Payment method The normal method of payment shall be by the Bankers Automated Clearing System (BACS). Where this is not possible, payment will be made by cheque following written confirmation with the Creditors Section or under special circumstances by prior agreement with the Treasury, Capital and Controls team using online banking payment services e.g. faster payment, CHAPS. Note that arrangements for same day faster payments must be notified to the Treasury, Capital and Controls team before 10am on the required day. 14.9 Payment Timing Every effort will be made to adhere to any payment timetable stipulated in contracts (including Small, Medium Enterprises currently on 20-day terms), or otherwise within 30 days. Where special circumstances exist for a contract’s payment terms, these must be notified in writing to the Creditors Section by the appropriate authorised signatory. Chief Officers should pass certified invoices to Finance within 20 days of receipt. Finance should process properly certified invoices within 5 days of receipt. 14.10 Certification of urgent payments All invoices that are overdue and presented late to creditors should be submitted individually by email. If a service wishes these overdue invoices to be treated as urgent, the invoice certification checks and reviews should be carried out as usual, however, the authorisation for payment of these invoices must be submitted to creditors by email to ‘Data Processing Mailbox – Creditors’ by the Chief Officer responsible for that area of business directly, with the subject line ‘Urgent Payments – Invoices Overdue’. The following text must be added to the body of the email, “I authorise the attached batch containing xx invoices/documents to the value of £xx.xx to be processed for payment. These invoices are already overdue and should be treated as urgent because ………………………” 15. CONTRACTS 15.1 Register Chief Officers shall maintain records of all contracts relevant to their Services and payments made. The Chief Officer (Finance and Technology) shall have access to all such records. 15.2 Payments (re contracts) Payment Certificates to Contractors may be signed only by Authorised Signatories. 15.3 Variations Subject to the conditions of contract in each case, every variation shall be authorised in writing by the appropriate Chief Officer (Budget Holder) or private professional or consultant as appropriate, or by other officer nominated by them, or, in special circumstances, by other officer approved by the Section 95 Officer. 15.4 Significant Variations Any variations where the outturn/expected costs exceed the tendered contract price by the higher of £25,000 or 5%, or where the outputs/outcomes achieved by the expenditure differ significantly from those originally envisaged, shall be reported by the appropriate Chief Officer (Budget Holder) to the relevant Spending Committee at the earliest opportunity. Page 277 of 332
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15.5 Time Delay Where completion is delayed beyond the agreed timescale, the Chief Officer (Budget Holder) shall, in consultation with the Monitoring Officer – Chief Officer (Legal and Democratic) - take appropriate action in regard to liquidate ascertained or other damages. 16. SECURITY 16.1 Responsibility All Chief Officers are responsible for maintaining proper security over all buildings, stores, furniture, equipment, cash, etc., under their control. Chief Officers will consult the Section 95 Officer when advice may be required, concerning existing or new situations. 16.2 Cash Holdings Chief Officers will agree limits for cash holdings on their premises with the Section 95 Officer. These may not be exceeded without the prior written agreement of the Chief Officer (Finance and Technology). 16.3 Key holders Chief Officers must ensure that keys for safes and similar receptacles for cash or other valuables are securely controlled by persons specified as key holders. Each Chief Officer will keep a register of key holders. Any loss of such keys must be reported to the Chief Officer (Finance and Technology) immediately upon discovery of loss. 16.4 Controlled Stationery The Chief Officer (Finance and Technology) shall ensure that secure arrangements are in place for the custody and issue of pre- printed/ pre-signed cheques, and any other stocks of stock certificates, bonds, and any other valuable financial documents. 16.5 Retention of Documents Chief Officers are responsible for the safekeeping and control of all documents in their services. The Section 95 Officer in consultation with the Monitoring Officer will specify the retention period for documents of a financial nature, which is prescribed within the NLC Retention Schedule. 16.6 Data Protection Personal data (both manual and computerised) held by the Council may not be used for any purposes other than those which are registered by the Council under the Data Protection Act 1998. The Council has a duty to respond timeously, within 40 days, to requests for information (“Subject Access Requests”), provided that the conditions contained in the Data Protection Act 1998 are met. The Service receiving the request should deal with the subject access request and maintain a record of information provided in respect of all subject access requests, in accordance with the Council’s Data Protection Policy. The above applies with reference to subsequent amendments to the Data Protection Act 1998 to take account of General Data Protection Regulations. 17. STORES AND INVENTORIES 17.1 Storekeeping Chief Officers are responsible for the safe keeping and control of all stocks and stores in their Services and must arrange for regular stocktaking. Page 278 of 332
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17.2 Adjustments Where a Chief Officer has had to make adjustment for stock surpluses or deficiencies, a report must be submitted to the Spending Committee and the Finance and Resource Committee specifying the reasons for the adjustments and the amounts thereof. 17.3 Disposal of equipment A Chief Officer who has equipment, furniture or stock surplus to requirements (excluding ICT equipment) should first offer it to other Chief Officers. Thereafter, Chief Officers wishing to dispose of surplus items shall do so by sale advertised in the press, either by sealed offer or by public auction. Any proposals for a different method of disposal must be approved by the Section 95 Officer. Assets which are obsolete or beyond economic repair, and whose individual estimated value at the date of disposal is less than £1,500, can be disposed of by the Service without prior approval by the Section 95 Officer provided that the disposal of each item has been authorised by the relevant Chief Officer. 17.4 Disposal of ICT equipment Where a Chief Officer has ICT equipment that is surplus to requirements, obsolete or beyond economic repair, their nominee shall contact the IT Service Desk to ensure that all data is safely removed and the equipment disposed of in accordance with the Council’s IT policies. 17.5 Stock Levels Stocks and stores must not be in excess of normal requirements. Chief Officers wishing to make exceptional arrangements must seek the authority of the appropriate spending Committee. 17.6 Inventories Chief Officers must maintain inventories, in a form specified by or approved by the Chief Officer (Finance and Technology) and must have them checked annually. 17.7 Removal Council property, excluding portable devices (e.g. Laptops), may not be removed from Council premises without the written authority of the appropriate Chief Officer. Line management approval must be obtained prior to removing portable devices from Council premises. 17.8 Valuations Chief Officers shall supply to the Chief Officer (Finance and Technology) annually, certified and dated copies of stock lists and inventories required for the closing of the Accounts. 18. INSURANCE 18.1 Insurance Where insurance is the chosen option, the Chief Officer (Finance and Technology) shall effect and maintain suitable cover, and will put in place suitable arrangements for the negotiation of any claims, in consultation with other Chief Officers. 18.2 New Risks Chief Officers must immediately notify the Chief Officer (Finance and Technology) of: i) any new Service activities or practices which could have a significant effect on the potential liability of the Council to other parties so as to allow for effective insurance arrangements; or ii) any changes to the Council’s asset portfolio which will affect the level of cover required for Council owned property i.e. significant additions or deletions of premises, so that the Page 279 of 332
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Chief Officer (Finance and Technology) can change the level of cover in place. 18.3 Insurance Risk Management The Chief Officer (Finance and Technology) shall, at not less than five-yearly intervals, submit to the Finance and Resources Committee an insurance risk management and funding strategy. 18.4 Losses Chief Officers must immediately notify the Section 95 Officer of any losses or other events likely to lead to a claim, who is responsible for taking appropriate action after liaising with the relevant Chief Officer. 19. ACCOUNTING PROCEDURES 19.1 Systems and Records The Chief Officer (Finance and Technology) shall specify or approve all accounting systems and records of the Council, wherever kept. 19.2 Principles All systems will be designed in accordance with best practice, and will incorporate internal controls to ensure that, as far as possible:- (i) all income of the Council is promptly and properly recorded and collected, (ii) all expenditure of the Council is properly incurred, authorised and duly paid, (iii) all cash, stores and other assets of the Council are safely kept and controlled, (iv) due cognisance of the Section 95 Officer’s requirements in respect of reconciliations, audit trails and control, and (v) Finance should be directly involved at the tender, implementation and post-implementation review of new internal control and recording systems to ensure they comply with the above requirements. 19.3 Internal check As far as possible, segregation of duties should occur among employees so that:- (i) the calculation, recording or certification of sums due to or by the Council should not be in the hands of one person, (ii) those who calculate, record or certify sums due to or by the Council should not be involved in the eventual receipt or payment of those sums, and (iii) those who examine or check cash transactions should not be directly involved in those transactions (iv) all checking and authorisation undertaken by officers must be evidenced by initials or signature. Where segregation of duties is not possible, direct line managers should be made aware and the associated risk included on the relevant Risk Register. Page 280 of 332
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19.4 Provision of Information Chief Officers will supply to the Section 95 Officer, in accordance with their timetable, all information necessary, including that relating to ALEOs, to enable them to close the Council's Accounts by the statutory date each year. The statutory date is currently 30 June. Final Audited Accounts of Council Subsidiary Companies should also be made available to allow the Council to comply with the statutory deadline of publishing those accounts on the Council website by 31 October each year as per the Local Authority Accounts (Scotland) Regulations 2014. 19.5 Statutory Accounts Audited Annual Accounts Deadlines The Chief Officer (Finance and Technology) requires the attendance and signature of the following members and officers by the statutory completion date: Chief Officer (Finance and Technology); Chief Executive; and Council Leader. The Annual Accounts require the signature of the Leader of the Council and the Chief Executive directly following the approval at the Council’s Audit and Scrutiny Panel. Approval of the accounts for signature should be no later than 30 September unless special/temporary legislation states otherwise. 20. CASH ADVANCES – GENERAL AND IMPREST 20.1 Responsibility The Chief Officer (Finance and Technology) shall provide cash advances to those who require them for the purpose of minor items of expenditure. The Advance for Officials Expenses form should be completed by the relevant officer and signed by their authorised Service Contact and countersigned by the relevant Finance accountant. Whilst working from home, this process can be completed through email authorisation with a clear trail shown between appropriate personnel. The completed form should be emailed to the “cash advances” mailbox ready for an officer to collect from Motherwell their preferred First Stop Shop – Motherwell, Wishaw, Coatbridge or Kilsyth. All receipts to support the spend should be retained and returned with any cash remaining from the advance within 1 month of the cash advance being received. 20.2 System – Imprest The particular bookkeeping system in use for petty cash in all Services is the Imprest System, and those who have cash advances are referred to as imprest holders. 20.3 Rules – Imprest Imprest accounts will be operated to rules set by the Section 95 Officer. These will be notified to all imprest holders, and must be strictly adhered to. 20.4 Termination – Imprest Any imprest holder who leaves the Council's employment or through any other circumstances ceases to be entitled to be an Imprest Holder, must account to the Section 95 Officer for the amount of the advance. Page 281 of 332
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20.5 Payment Method – Imprest Imprest holders may make payments in cash or by cheque drawn by them on their respective Imprest Bank Accounts. 21. AUDIT 21.1 Responsibility The Section 95 Officer and Chief Officer (Audit and Risk) shall ensure the adequacy and effectiveness of the Council’s internal controls including financial and operational controls, risk management systems and key governance processes are independently reviewed on a regular basis in accordance with the Public Sector Internal Audit Standards and associated Local Government Application Note. Internal Audit will operate in a manner consistent with the Internal Audit Charter which explains in more detail its purpose, authority and responsibilities. This document is reviewed annually and is approved by the Section 95 Officer, the Chief Executive and the Audit and Scrutiny Panel. 21.2 Access Internal Audit staff have authority to:- (i) enter all Council premises or land at all reasonable times, (ii) have access to all records, (iii) require and receive any explanations necessary concerning any matter under investigation, and (iv) require any employee to produce cash, stores or other property under that employee's control. 21.3 Value for Money Internal Audit staff will contribute in an appropriate manner to the achievement of value for money in Council services. 21.4 Irregularities Chief Officers must report any evident or suspected irregularity involving cash, stores, expenditure, income, contractual powers or any other item of a financial nature, immediately, to the Audit and Risk Manager. 21.5 Reporting The Chief Officer (Audit and Risk) shall report on Audit activity to the Chief Executive, Section 95 Officer and the Audit and Scrutiny Panel. 21.6 External Audit External Audit staff must be given access by Services to all relevant records required to enable them to conduct the external audit of the Council in accordance with the Code of Practice issued by Audit Scotland. Where staff are unsure about providing access, advice should be sought from the Section 95 Officer. 22. MEMBERS’ REMUNERATION AND EXPENSES 22.1 Responsibility The Section 95 Officer shall be responsible for the administration of expenses and remuneration to members of the Council in accordance with Scottish Government Regulations. 22.2 Payment Payment to members, including co-opted members, will be made by the Chief Officer (Finance and Technology) in accordance with the Regulations, upon receipt of the prescribed form duly completed, where appropriate. All claims for a financial year are to be submitted within one month after 31st March of that financial year. Working from home arrangements require claim forms to be received electronically. Page 282 of 332
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23. FINANCIAL REGULATIONS 23.1 Authority These Regulations were approved by the Committee in May 2018 and have been subject to annual review since. 23.2 Responsibilities Chief Officers are responsible for ensuring that all appropriate members of staff, and where appropriate, external consultants, contractors and relevant partner organisations, have access to the Council’s Financial Regulations and Contract Standing Orders. 23.3 Breach Any employee discovering a possible breach of these regulations must report the matter immediately to their Chief Officer, who must in turn immediately report it to the Section 95 Officer. Failure by any employee to comply with the Regulations, or, in the case of staff with appropriate supervisory responsibilities, failure to ensure the compliance of others, can be a serious offence which may give rise to action. 23.4 Special Provisions The Education, Children and Families Committee may request amendments to these Regulations insofar as they apply to the devolved Management of Resources by educational establishments, in consultation with the Chief Officer (Finance and Technology), and reported to the Finance and Resource Committee. 23.5 Annual Review The Chief Officer (Finance and Technology) will consider these Regulations annually, and having consulted the Chief Executive, Chief Officers and Chief Accountable Officer for Health and Social Care, will present proposals for revision of the Regulations, where appropriate, to the Finance and Resource Committee for approval. 23.6 Circulation Electronic copies of these Regulations are issued directly to the Chief Officers. In addition, the document can be accessed on the Council’s Intranet, or via the Council’s Minutes, Agenda and Reporting system – Finance and Resource Committee. 23.7 Advice Any queries regarding the Regulations or their interpretation should be made in the first instance to the Chief Officer (Finance and Technology), or your relevant Finance contact who can refer any queries on to the relevant officer for review. Page 283 of 332
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Appendix 3 FINANCE SCHEME OF DELEGATION FINANCIAL MANAGEMENT RESPONSIBILITIES 1. Section 95 Officer 1.1. The Council, in terms of Section 95 of the Local Government (Scotland) Act 1973, has designated the Chief Officer (Finance and Technology) as the officer responsible for the proper administration of the Council’s financial affairs, and nothing in this Scheme alters that responsibility. However, to enable the Section 95 Officer to fulfil his/her responsibilities in the most effective manner and to ensure that there is no ambiguity in relation to accountability, it is necessary for each level of management to delegate formally, and to issue a clear statement detailing, operational responsibility. 1.2. The Chief Officer (Finance and Technology), as Section 95 Officer, has the following specific responsibilities: 1.2.1. To ensure the accurate and timeous preparation of the Council’s Revenue Estimates, Medium-term and Long-term Financial Plans as appropriate, Capital Programmes and Statutory Accounts; all in accordance with laid-down timetables and procedures. 1.2.2. To report the summary position for both revenue and capital budgets at each committee cycle, with the intervening reports being presented to the Corporate Management Team. 1.2.3. To ensure reports are prepared by Service based Finance personnel in consultation with budget managers, in accordance with the Financial Regulations and ensure they are presented to the relevant Committee of the Council. 1.2.4. To ensure that all government and other external reporting body returns (POBE, LFR’s, Whole of Government Accounts, Prudential Code Indicators, Capital Expenditure and Income Statistics etc.) and Grant claims are submitted to the appropriate body by the due dates. 1.2.5. To ensure the development of Finance’s response to Best Value as set out in the Local Government Act 2003. 1.2.6. To review government grant mechanisms, identifying areas of potential review, and research alternative methods of funding. 1.2.7. Ensure the development of financial and management systems. 1.2.8. Maintain, review and update financial policies to reflect the corporate priorities of the Council. 1.2.9. To ensure that the Council has an appropriate Treasury Management Strategy which complies with recommended best practice and accords with the CIPFA Code of Practice and Prudential Code for Capital Finance. 1.2.10. To ensure that the Council’s Loans Fund and day to day borrowing and investment arrangements are in line with the statutory Annual Investment Strategy, and to report the Council’s Treasury Management Performance to Committee as required. 1.2.11. To ensure that professional standards and staff performance are maintained by all staff delivering financial services. Page 284 of 332
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1.2.12. To ensure that appropriate access to training needs is available to enable staff to achieve their potential. 1.2.13. To ensure that a library of standard financial and accounting procedures is maintained for each Service, Trading Activity, Trust and other body such as a Private Company, in which the Council has a financial interest. 1.3. The Chief Officer (Finance and Technology) has delegated the areas of responsibility described in this Scheme of Delegation to specified officers of Finance. In fulfilling any responsibilities delegated to them, specified officers will: 1.3.1. Conform with professional guidelines and standards of competence; 1.3.2. Comply with recognised accounting codes of practice. 1.3.3. Act in a professional and competent manner. 1.3.4. Seek to ensure that members of their staff do the same. 1.4. Specified officers will not sub-delegate any of their delegated responsibilities without the written consent of the Chief Officer (Finance and Technology). Duties may be sub- delegated, but not responsibilities. 2. Specific Delegation to Officers 2.1. The items listed in Section 2 of this Scheme of Financial Delegation are not to be regarded as an exhaustive list of the responsibilities of the specified officers. The Scheme must be read in conjunction with the officer’s Contract of Employment, Job Description and Professional Codes of Conduct. 2.2. The Chief Officer (Finance and Technology) has made the following specific delegations in respect of the provision of Finance. 2.3. Business Finance Manager 2.3.1. Develop strategic business plans and manage service delivery consistent with these plans and in line with national and council policies. 2.3.2. Ensure best value in the management and delivery of services under direct control, ensuring that all relevant legislative requirement and professional standards are fulfilled and the best available assistance and advice is provided to Executive Directors within a changing economic and legislative environment. 2.3.3. Monitor along with other members of the Management Team, the external environment to ensure continued strategic fit between organisational capabilities and the changing demands upon the service. 2.3.4. Identify and develop opportunities for service improvement through collaborative projects/joint ventures with partner agencies. 2.3.5. Represent the Service and Council as necessary, including attendance at all relevant committees of the Council, working groups, conferences, seminars and meetings. 2.3.6. Provide support to national activities, including COSLA and Scottish Government as required. 2.3.7. Provide performance information and the preparation of reports for Council Committees, Sub Committees and working groups as required. 2.3.8. Promote and develop the use of options appraisal and other business and analytical techniques in support of continuous improvement. Page 285 of 332
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2.3.9. Support Executive Directors to ensure the effective and efficient deployment of financial resources within Services. 2.3.10. Ensure employees adhere to the Council’s Financial Regulations and Scheme of Financial Delegation and ensure probity in the use of financial resources. 2.3.11. Manage the accounting and audit process, ensuring adherence to council financial policies and procedures, legislative requirement and professional standards. 2.3.12. Ensure effective operational financial management of revenue and capital budgets and establish and maintain systems whereby budget managers regularly account for the budgets under their control. 2.3.13. Provide financial management information and professional advice, direction and support to delegated budget holders on all financial matters. 2.3.14. Monitor, measure and report on financial performance according to agreed performance indicators and frameworks. 2.3.15. Maintain positive working relationships with other officers, elected members (individually and collectively at Committee/Working Groups etc) and Community Planning partners. This will involve working across all service groups and with chief officers to ensure a joined up approach to the delivery of such services. 2.3.16. Oversee the Council’s monitoring and maintenance of effective controls and reconciliations of data or cash controls as appropriate. 2.3.17. Ensure that statutory returns and grant claims are completed and returned within required deadlines. 2.3.18. Identify Key financial risks and address these as appropriate, in terms of internal controls, monitoring and planning arrangements. 2.3.19. Support the Council’s pursuit of an effective health and safety culture by using the policies, procedures, risk assessments and training provided to work safely, giving due regard to yourself, others you work with and those who may use council services. 2.3.20. Deputise for the Chief Officer (Finance and Technology) as appropriate. 2.3.21. Coordinate and prepare the Council’s annual revenue and capital budgets providing advice on matter relating to financial strategy, funding resources and expenditure pressures. 2.3.22. Oversee the preparation of the Annual Accounts of the Council and associated bodies in accordance with legislative accounting requirements and professional standards. 2.3.23. Oversee the Council’s Treasury Management function ensuring the effectiveness of the Authority’s Treasury Management policy and borrowing strategy. 2.3.24. Oversee the Council’s financial monitoring and governance arrangements of our Arms Length External Organisations (ALEO’s). 2.3.25. Provide a comprehensive financial systems development, research and Taxation service. 2.3.26. Manage the rent accounting function, developing and maintaining a fair and effective differential rent structure. 2.3.27. Ensure that adequate systems are in place to collect and account for other sources of income. Page 286 of 332
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2.3.28. Consult with the Service Management Teams to assess how the existing financial management needs have been met and plan for future requirements. 2.3.29. Oversee the monitoring of the Councils Devolved School Management (DSM) scheme, ensuring adherence to the scheme and the effective use of budgets and recommending changes where appropriate. 2.3.30. Manage elements of the DSM scheme not directly within the Finance structure. 2.3.31. Consult with the Service Management Teams to assess how the existing financial management needs have been met and plan for future requirements. 2.4. Finance Manager 2.4.1. Manage all activities to ensure that appropriate professional advice and guidance is provided on all relevant financial issues within the scope of the Finance Manager’s responsibilities. 2.4.2. Ensure effective arrangements are implemented and adopted for providing prompt customer focussed service. Develop solutions to complex problems and respond to high level queries from senior managers, service managers, elected members and external bodies. 2.4.3. Ensure team members follow Council policies, procedures, legislative requirements and professional standards. 2.4.4. Provide the Finance Management Team and Council Services with professional advice on matters relating to the operation and development of the Services including: 2.4.4.1. Providing financial management, business planning and accounting services for a range of specified Council Services. 2.4.4.2. Ensuring financial support provided to Services is efficient, integrated and responsive to change. Support Services in the delivery of the transformational change by providing professional guidance and support on business planning and financial management. 2.4.4.3. Directing the activities of Accountants, Assistant Accountants and other support staff to ensure revenue and capital plans, budget monitoring and annual accounts arrangements are effectively in place across the Council. 2.4.4.4. Identifying key financial risks and addressing these as appropriate in terms of internal controls, monitoring and planning arrangements. 2.4.4.5. Reviewing and ensuring compliance with financial regulations including SORPs and CIPFA Codes of Practice and other financial controls. Act upon internal and external audit reports relevant to areas of responsibility. 2.4.4.6. Promoting best financial practice to ensure effective use of and accountability for revenue and capital resources. Develop and maintain effective procedures in line with the scheme of financial delegation. 2.4.4.7. Reviewing statutory and statistical returns and grant claims to ensure that the Council’s needs and resources are accurately identified. Ensure all grant claims and statutory returns are completed and submitted within required deadlines. 2.4.5. Manage and develop the staff in the group, ensuring the highest professional standards by setting objectives and performance standards, developing work Page 287 of 332
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plans identifying training requirements, reviewing performance and taking such remedial action as necessary to ensure that standards are maintained. 2.4.6. Develop and maintain good working arrangements with other Finance Managers, Service Managers, elected members, trusts and external organisations to ensure efficient, effective and corporate working. 2.4.7. Respond positively to changes affecting the service, advocate new practice and procedures and drive forward change processes. Ensure that the professional integrity of the service is maintained at all times. 2.4.8. Represent Finance where appropriate at e.g. national associations, professional working groups, Council meetings etc. 2.4.9. Ensure that income and expenditure are monitored against Service budgets and that variances are reported timeously. 2.4.10. Prepare reports to senior management and the Council, as required. 2.4.11. Support the Council’s pursuit of an effective health and safety culture by using the policies, procedures, risk assessments and training provided to work safely, giving due regard to yourself, others you work with and those who may use Council services. 2.4.12. Manage the preparation and production of the Council’s annual revenue and capital budgets and supporting strategies and plans. 2.4.13. Co-ordinate the preparation of the Annual Accounts and other statutory returns of the Council and associated bodies in accordance with legislative accounting requirements and professional standards. 2.4.14. Manage Council’s Treasury Management function ensuring the effectiveness of the Authority’s Treasury Management policy and Borrowing Strategy. 2.4.15. Manage the Council’s financial monitoring and governance arrangements of Arms Length Organisations (ALEO’s) 2.4.16. Assist in providing a comprehensive financial systems development, research and Taxation service. 2.4.17. Ensure effective ledger control. 2.5. Accountant 2.5.1. Manage all activities within the job remit ensuring professional advice and guidance is provided at all times. 2.5.2. Provide the Chief Officer (Finance and Technology), Business Finance Managers, Finance Managers, Council Services and ALEOs Management teams/boards with professional advice on all matters relating to the financial management of the Council including: 2.5.2.1. Taking a lead role in financial management, business planning and accounting services for a range of specified Council services/ALEOs, promoting best financial practice across the Council. 2.5.2.2. Providing financial support to service in an efficient, client-focussed and integrated manner. 2.5.2.3. Assisting senior management in the development and maintenance of effective financial controls across the Council/ALEOs, assessing potential for improvements to internal controls and monitoring processes. Page 288 of 332
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2.5.2.4. Assisting senior management on the financial implications of the implementation of policy and legislative changes. 2.5.2.5. Provide financial advice and support to transformational projects as identified by the Transformation Committee. 2.5.2.6. Ensuring compliance with the Council’s Financial Regulations and proper accounting practice, including relevant Code of Practice on Local Authority Accounting and other relevant legislation and guidance. 2.5.2.7. Contributing to the provision of best value services within a changing and challenging environment. 2.5.2.8. Compiling statutory and statistical returns and grant claims to ensure that the client needs and financial resources are accurately identified. 2.5.3. Develop and maintain good working arrangements with service managers, senior staff and outside bodies to ensure efficient and effective corporate working. 2.5.4. Provide financial support to major projects, developments and initiatives including option appraisal techniques, financial analysis, affordability levels and methods of funding, representing the client as required on multi-disciplinary teams. 2.5.5. Represent senior management where appropriate at service and corporate working groups, project teams and national associations, etc. 2.5.6. Supervise and direct the activities of assistant accountants, administrative staff and Modern Apprentices, through preparation and monitoring of annual work plans/key objectives, managing performance to deliver effective outcomes and developing individual skills and expertise. 2.5.7. Prepare corporate and committee monitoring reports in the approved format. 2.5.8. Monitor the capital programme and prepare reports on capital expenditure patterns and the performance of the capital programme against approved plans. 2.5.9. Provide advice and guidance to managers and staff on budgetary control and financial information systems, ensuring robust, well-documented procedures are in place. 2.5.10. Prepare and provide formal training and guidance to Senior Managers and budget holders. 2.5.11. Working closely with the Finance Manager, prepare the Annual Statutory Accounts of the Council and related support documentation in accordance with accounting standards and legislative requirements. Liaise with controls and reconciliations staff on the effective reconciliation of all expenditure, revenue and suspense accounts. 2.5.12. Maintain awareness of and proactively report on issues which may impact on local government finances. 2.5.13. Undertake research into government grant funding mechanisms and other external sources. Prepare briefing papers and supporting analysis for the Chief Officer (Finance and Technology), senior officers of the Council and Elected Members to support decision making. 2.5.14. Provide a VAT service to the Council ensuring the proper treatment of VAT transactions and maintenance of VAT procedures and records. 2.5.15. Provide financial management and accounting support for council tax, general revenue grant, non-domestic rates and other corporate funds managed by Finance. Page 289 of 332
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2.5.16. Maintain and update the Service’s performance management framework including preparing, collating, and reporting performance and required actions against key indicators and service objectives. 2.5.17. Ensure ALEO’s compliance with the Council’s approved financial governance arrangements in accordance with our requirement to follow the public pound, reporting periodically to the Council. 2.5.18. Support Board Director or Council representative responsibilities through reviewing strategic and financial plans to ensure consistency with Council aims, objectives, budgetary provision and to ensure external bodies have robust and sustainable business plans. 2.5.19. Ensure accuracy of ALEOs statutory accounts, necessary for satisfying the Council’s statutory responsibility regarding entities’ financial statements in accordance with relevant timescales. 2.5.20. Appraise the financial performance of companies and other bodies who work to conduct business with the Council. 2.5.21. Prepare detailed corporate capital planning and expenditure programmes in conjunction with other senior officers in the Council and the strategic capital delivery group, policy priorities and available capital resources and in accordance with the capital investment strategy. 2.5.22. Manage the effective monitoring of capital programmes and prepare reports on capital expenditure patterns and the performance of programmes against approved plans. 2.5.23. Maintain the Council’s fixed asset register and capital accounting requirements. 2.6. Controls and Reconciliations 2.6.1. Ensure the effective on-going control and reconciliation of Council bank accounts and suspense accounts, Debtors, Creditors, and Payroll Systems, and ensure all payovers (PAYE etc.) and submission of returns are made within deadlines. 2.6.2. Oversee the daily control and reconciliation of all Council income and ensure robust procedures are in place for corporate Cash Receipting and the Municipal Bank. 2.7. Rent Income Team 2.7.1. Oversee the effective control of rent income including reconciliation of the bank account and direct debit compliance. 2.7.2. Plan and action rent assessments as part of the overall control of rent. 2.8. Revenues and Benefits 2.8.1. Under the remit of the Section 95 officer the Revenue and Benefits teams have the responsibility for the effective control of administering, processing and maintaining revenue and benefit transactions and systems. This includes for example Council Tax, Non Domestic Rates, Housing Benefits, Council Tax Reduction Scheme Page 290 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☒ Yes ☐ No Ref: GT/JM/MB Date: 19 November 2025 Contract Award for Provision of ServiceNow (SNOW) Licensing, Support and Development From Greg Telfer, Chief Officer (Finance and Technology) E-mail telferg@northlan.gov.uk Telephone: 07583 010692 Executive Summary In accordance with the council’s General Contract Standing Orders (GCSOs), the Committee is asked to approve the award of a contract for Provision of ServiceNow (SNOW) Licensing, Support and Development Agreement (the ‘Agreement’) following the undertaking of a procurement procedure as detailed within this report below. Recommendations It is recommended that the Finance and Resources Committee: (1) Approves the award of the Agreement to Computacenter (the “Contractor”) at the maximum value of Two Million, Five Hundred and Six Thousand Pounds Sterling (£2,506,000) exclusive of VAT for a period of 48 months anticipated to commence on 16 January 2026. The Plan for North Lanarkshire Priority All priorities Ambition Statement (18) Ensure our digital transformation is responsive to all people's needs and enable access to the services they need Programme of Work Digital North Lanarkshire Item 17 Page 291 of 332
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1. Background 1.1 The requirement for this Procurement is to seek a strategic ServiceNow partner to deliver comprehensive support services across licensing, platform administration, and multi-tier technical support. The goal is to ensure platform stability, compliance, and optimal user experience across the following Service Now modules: • ITSM (IT Service Management) • SPM (Strategic Portfolio Management) • HRSD (Human Resources Service Delivery) • FSM (Field Service Management) 1.2 The requirements within the Agreement are currently under contract with CDW UK Ltd for the licenses and Inetum for the professional services supporting the platform. This arrangement is due to expire on 31 December 2025 for the Licenses and 16th January 2026 for the professional services and the Agreement detailed within this report due to supersede both. 1.3 Service Now has been in use across the council within IT and Human Resources for the past 3 years and is used to automate routine tasks and processes, reducing manual effort and increasing efficiency across council services. Through self-service portals, ServiceNow improves how employees and customers interact with services. 1.4 To further support Service Now there may be professional services required to the platform throughout the duration of the contract. These services are intended to offer enhanced support as and when required to through tailored solutions meeting business goals as we as implementation of new services and end to end delivery from planning to development. 1.5 To enable appropriate development and execution of the procedure required to form the Agreement, a panel of technical and procurement representatives (the “User Intelligence Group (UIG)”) was formed. 1.6 The UIG were responsible for developing the required internal contract strategy (the “Contract Strategy“) for the Agreement. The Contract Strategy sets out the parameters and approaches the council would apply within the procurement, tendering, contracting and end of life stages of the Agreement following appropriate analysis, research and investigation to ensure the council achieves maximum benefit where possible. In accordance with GCSO 4.4, the Contract Strategy for the Agreement was approved on 08 October 2025. 2. Report 2.1 The procurement procedure was undertaken as a “Direct Award”. A Direct Award is a procurement procedure where an overarching framework agreement allows the council to directly engage and contract with an appointed contractor that has already went through a full competitive procurement procedure in a more efficient manner as per the framework agreements terms and conditions. 2.2 Within the associated Contract Strategy for the Agreement, the overarching framework agreement and determination of whether Best Value was achievable via the Direct Award procurement, the recommended Contractor was identified through a benchmarking exercise against applicable direct award frameworks. 2.3 The benchmark pricing received from the recommended Contractor underwent appropriate appraisal to ensure it was complete / compliant with the council’s requirements and demonstrated Best Value. Page 292 of 332
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2.4 Appendix 1 provides a summary of the procurement procedure undertaken including the key considerations and outcomes. Financial / Budget Consideration 2.5 The pre-tender wholelife estimate budget for the Agreement was £2,506,600. The costs associated with delivery of the Agreement will be contained within the Revenue budget for the IT within Finance and Technology. Price Stability 2.6 The contract offers fixed costs for all services within the contract over the four year period. Community Benefits 2.7 The procurement did not include a community benefit requirement as Community Benefits were delivered as part of the Scottish Procurement framework creation, such as creating jobs for the long-term unemployed, providing modern apprenticeships, delivering programs for community learning, supporting digital accessibility initiatives, and partnering with organizations like SmartStems to enhance STEM education for young people. Fair Work First and Payment of the Living Wage 2.7.1 Within their tender submission to obtain appointment to the overarching framework agreement the recommended Contractor intimated that they would commit to the following areas of the Scottish Governments “Fair Work First” initiative: 2.7.2 Further information on the Living Wage status of the recommended Contractor is detailed in Appendix 1. Contract Management 2.8 Officers from IT within Finance and Technology will be responsible for managing the Agreement which will be undertaken in accordance with the contract and supplier management conditions applied within the Agreement. 3. Measures of success 3.1 The Agreement will deliver the following outcomes; • Best Value will be demonstrated as outlined in Appendix 1; • Secure a ServiceNow partner for end-to-end support, align licensing with user roles and business needs, ensure platform stability, scalability, and security and deliver efficient incident resolution via tiered support. 4. Supporting documents 4.1 Appendix 1 Summary of Procurement Procedure Greg Telfer Chief Officer (Finance and Technology) Page 293 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality-and-fairer- scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Budget approved within the contract strategy and all contained with IT budget within Finance and Technology. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e-mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 294 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Service Now Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? The risk register within the Contract Strategy contains all the risks for the procurement of contract. There were 4 risks highlighted in the risk register, 3 were scored and asses as low risk which related to 1. License Management and reviewing the process for additional requests to save wastage; 2. Contract to be inclusive of Professional Services; 3. Procurement timeline to award. Only 1 risk was scored as a medium risk relating to the HRSD licenses and the need to undertake a benefits realisation study to make sure the services are delivering against the original objectives. 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex-Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. Page 295 of 332
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5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 296 of 332
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Appendix 1 – Summary of Procurement Procedure Overview Reference NLC-SLP-25-009 Title Provision of ServiceNow (SNOW) Licensing, Support and Development Classification Supplies Responsible Chief Officer and Position Greg Teglfer, Chief Officer Finance and Technology Competition Governance by Value Overarching Framework Agreements terms and condition in accordance with the Councils General Contract Standing Orders Route to Market Direct Award from a Third-Party Framework Agreement Framework Agreement Title, Ref and Lot Info Scottish Government Software Value Added Re-Seller framework agreement (SP-21-034) Interest No. of Lot / Framework Agreement Appointments 1 Date Invitation to Tender Package Issued 12 September 2025 Tenders Received Total No. of Tenders Received 1 No. of Tenders From SME’s 0 No. Tenders from NLC Based Businesses 0 No. of Tenders from Supported Businesses 0 Direct Award Basis Best Value Assessment of Framework Contractors in Accordance with the Framework Agreement How Has “Best Value” Been Demonstrated? IT undertook a benchmarking exercise to determine which route will deliver best value to establish a contract that takes on board all service area requirements. Through this exercise, IT received pricing from 2 industry recognised frameworks. The benchmarking looked at contract term options to fix the pricing and any reductions to total contract value based on longer term commitments. The result of this exercise resulted in the aforementioned supplier offering best value based on a 4 year term contract with fixed pricing locked in. Additional Comments Page 297 of 332
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Award Details General Overview Total / Maximum Value £2,506,000 Contract Duration (Months) 48 Contractor Registered Name(s) Computacenter Uk Ltd Contractor Overview Registered Local Authority Area Contractor(s) Size Large Living Wage Paying the Living Wage Yes Living Wage Accredited Yes Overview of Community Benefits N/A Additional Comments Impacts Summary, Public Sector Equality Duty and Fairer Scotland Duty ☐ HR Policy Impact ☐ Data Protection Impact ☐ Environment / Carbon Impact ☐ Risk Impact ☒ Children’s Rights and Wellbeing Impact ☐ Financial Impact ☐ Legal Impact ☐ Technology / Digital Impact ☒ Comms impact ☐ Armed Forces Covenant Duty ☐ Page 298 of 332
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North Lanarkshire Council Report Finance and Resource Committee Does this report require to be approved? ☐ Yes ☒ No Ref: NLC-CPT-24-140 Date: 19 November 2025 Contract Award for Multi-Functional Device Managed Print Solutions From Greg Telfer, Chief Officer (Finance and Technology) E-mail TelferG@northlan.gov.uk Telephone: 07583 010692 Executive Summary The Committee is asked to acknowledge the award of a contract for Multi-Functional Devices (the ‘Agreement’) to Canon (UK) Limited. The Agreement was procured on behalf of the council by South Lanarkshire Council (SLC) in a joint collaborative arrangement. The maximum financial commitment via this agreement is Three Million, One Hundred Forty Thousand, Three Hundred and Seventeen Pounds and Forty-Five Pence Sterling (£3,140,317.45) exclusive of VAT over a period of 54 months. Approval was sought to participate in the agreement out with committee cycle, in accordance with GCSO 21.3.2. This request was necessitated by council participation in a collaborative contract led by South Lanarkshire Council. As the lead authority, South Lanarkshire Council holds responsibility for approving the award of the Agreement. Due to the nature of the collaborative procurement arrangement and not being the lead authority, it was not feasible to seek committee approval prior to entering the Agreement. Recommendations It is recommended that the Finance and Resource Committee: 1) Acknowledges the award of the Agreement by South Lanarkshire Council to Canon (UK) Limited (the “Contractor”) at the maximum value of Three Million, One Hundred Forty Thousand, Three Hundred and Seventeen Pounds and Forty-Five Pence Sterling (£3,140,317.45) exclusive of VAT. The Plan for North Lanarkshire Priority All priorities Ambition Statement (18) Ensure our digital transformation is responsive to all people's needs and enable access to the services they need Programme of Work Digital North Lanarkshire Item 18 Page 299 of 332
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1. Background 1.1 The requirements within the Agreement have been under contract with Canon (UK) Limited since 2017. This arrangement is due to expire on 26 May 2026 with the Agreement detailed within this report due to supersede it. 1.2 The Agreement will reflect the needs of both corporate and education print throughout the contract term, ensuring that the contract meets NLC’s current and future requirements. 1.3 The Agreement aims to enhance the council’s current print infrastructure by introducing higher-performing devices, supporting the implementation of a print policy focused on reducing overall print volumes, consolidating and rationalising equipment, improving document management efficiency, and replacing the ageing fleet of multifunctional devices (MFDs). 1.4 To enable appropriate development and execution of the procedure required to form the Agreement, a panel of technical and procurement representatives (the “User Intelligence Group (UIG)”) was formed. 1.5 The UIG were responsible for developing the required contract strategy (the “Contract Strategy“) for the Agreement, this was jointly developed and held by South Lanarkshire Council as lead authority. The Contract Strategy sets out the parameters and approaches the councils would apply within the procurement, tendering, contracting and end of life stages of the Agreement following appropriate analysis, research and investigation to ensure the council achieves maximum benefit where possible. 2. Report 2.1 The procurement procedure was led by South Lanarkshire Council with the council participating as a cluster organisation. It was conducted as a “Direct Award” from the Crown Commercial Services (CCS) framework for Multi-functional Print Devices (MFDs), Print Management and/or Digital Workflow Software and Associated Services RM6174 (the “Framework). 2.2 A Direct Award is a procurement procedure where an overarching framework agreement allows the council to directly engage and contract with an appointed contractor that has already went through a full competitive procurement procedure in a more efficient manner as per the framework agreements terms and conditions. 2.3 Within the associated Contract Strategy for the Agreement, South Lanarkshire Council (SLC), with input and agreement from the council, identified Canon (UK) Limited as the recommended contractor. A ‘Direct Award’ procedure was deemed justified based on the following findings: • Benchmarking analysis against the Scottish Procurement framework indicated that the CCS framework offered greater commercial advantages, with potential cost savings. • The cost of change associated with replacing our existing cloud based secure printing infrastructure. • The approach ensures continuity of service, minimises disruption, and supports the continued deployment of UniFlow Online, the software supporting MFD use across the organisation. • Pricing analysis of framework suppliers confirmed that Canon offered best value while meeting the specific requirements of the council’s print estate. This agreement is expected to deliver savings compared to the current arrangements pricing. Page 300 of 332
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2.4 The tender received from Canon (UK) Limited underwent appropriate appraisal to ensure it was complete / compliant with the council’s requirements and demonstrated Best Value. 2.5 Appendix 1 provides a summary of the procurement procedure undertaken including the key considerations and outcomes. Financial / Budget Consideration 2.6 The pre-tender whole life estimate budget for the Agreement was £3,140,317.45. The costs associated with delivery of the Agreement will be contained within the revenue budget for Finance and Technology. 2.7 Costs are met from each service areas own budget through an annual recharge. 2.8 There are demonstratable savings driven by introduction of a new print policy aimed at reducing printing clicks and paper usage and from the commercial offering. Savings will be subject to achieving buy-in on a site-by-site basis. Price Stability 2.9 Fixed pricing for duration of the agreement. Community Benefits 2.10 The procurement did not include a community benefit requirement as it is a direct award via Crown Commercial Services framework. However, Canon have agreed to engage with our community benefit requirements and have a dedicated community benefits advisor who would be willing to work alongside our team to deliver: • Work placement opportunities for 14-16 year olds. • Apprenticeships in Lanarkshire area • Graduate placements. • Business gateway new start business support via print in city software vouchers • Community printing support, particularly within business asset transfer locations • Employee benefits for other Canon products such as cameras • Educational projects with schools. • Community projects with community groups such as tree planting or helping at a food bank (Canon have an existing employee programme where employees carry this function out with buyers) Fair Work First and Payment of the Living Wage 2.11 Within their tender submission Canon (UK) Limited has committed to some key areas of the Scottish Governments “Fair Work First” initiative. Contract Management 2.12 Officers from the Contracts and Finance team within Finance and Technology will be responsible for managing the Agreement which will be undertaken in accordance with the contract and supplier management conditions applied within the Agreement. 3. Measures of success 3.1 The Agreement will deliver the following outcomes: Page 301 of 332
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• Best Value will be demonstrated as outlined in sections 2.3 and Appendix 1; • The appointment of a supplier who has the experience and capability to provide the requirements in an efficient form of arrangement; • Conclusion of a procurement procedure that is compliant with procurement legislation and internal procedures; • Cost savings, increased efficiency, reduced duplication of effort and the successful adoption of shared best practices. • Achieving economies of scale via collaborative exercise. 4. Supporting documents 4.1 Appendix 1 Summary of Procurement Procedure Greg Telfer Chief Officer (Finance and Technology) Page 302 of 332
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5. Impacts ( http://connect/report-template-guidance ) 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality-and-fairer- scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Provisions have been made within service revenue budget. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? All procurement procedures will have potential legal implications however throughout this Agreement, compliance with the councils General Contract Standing Orders and the relevant procurement regulations has been maintained with advice from colleagues in Corporate Procurement and Legal Services sought as and when required. Page 303 of 332
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5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☒ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e-mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ 5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? Captured within service and corporate risk register on FIGTREE. 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex-Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. Page 304 of 332
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5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 305 of 332
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Appendix 1 – Summary of Procurement Procedure Overview Reference NLC-CPT-24-140 Title Multi-Functional Device Managed Print Solution Classification Supplies Responsible Chief Officer and Position Greg Telfer, Chief Officer, Finance and Technology Competition Governance by Value Overarching Framework Agreements terms and condition in accordance with the Councils General Contract Standing Orders Route to Market Direct Award from a Third-Party Framework Agreement Framework Agreement Title, Ref and Lot Info Crown Commercial Services (RM6174) Lot 2 Multi-Functional Print Devices (MFDs), Print Management and/or Digital Workflow Software Interest No. of Lot / Framework Agreement Appointments 9 Direct Award Basis Best Value Assessment of Framework Contractors in Accordance with the Framework Agreement How Has “Best Value” Been Demonstrated? An assessment was undertaken across two procurement routes: the Scottish Government’s Managed Print Services Framework (SP-21-046) and the Crown Commercial Service’s Multi-Functional Print Devices (MFDs), Print Management and/or Digital Workflow Software Framework (RM6174). Desktop Pricing Analysis: The benchmarking exercise has been conducted against suppliers on both the above frameworks against lease and clicks. The benchmarking was conducted by SLC and verified by NLC to demonstrate Best Value. Best Value Considerations: Conducting the procurement via the Crown Commercial Services framework achieved advantageous commercial pricing. Appointing Canon (UK) Limited supported financial savings, infrastructure refresh and cost avoidance in terms technical resources not required to rollout software changes. Page 306 of 332
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Collaborative exercises led by South Lanarkshire Council resulted in economies of scale combining our requirements. Further information on the desktop analysis is available on request. Additional Comments Award Details General Overview Total / Maximum Value £3,140,317.45 Contract Duration (Months) 54 Contractor Registered Name(s) Canon (UK) Limited Contractor Overview Registered Local Authority Area Uxbridge Contractor(s) Size Large Living Wage Paying the Living Wage Yes Living Wage Accredited Yes Overview of Community Benefits • Work placement opportunities for 14-16 year olds. • Apprenticeships in Lanarkshire area • Graduate placements. • Business gateway new start business support via print in city software vouchers • Community printing support, particularly within business asset transfer locations • Employee benefits for other Canon products such as cameras • Educational projects with schools. • Community projects with community groups such as tree planting or helping at a food bank (Canon have an existing employee programme where employees carry this function out with buyers The actual commitment to be delivered by Canon (UK) Limited will be mutually agreed prior to contract start date. Additional Comments Call-off order form was signed on 09 September 2025. Page 307 of 332
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Impacts Summary, Public Sector Equality Duty and Fairer Scotland Duty ☐ HR Policy Impact ☐ Data Protection Impact ☐ Environment / Carbon Impact ☐ Risk Impact ☒ Children’s Rights and Wellbeing Impact ☐ Financial Impact ☒ Legal Impact ☐ Technology / Digital Impact ☐ Comms impact ☐ Armed Forces Covenant Duty ☐ Page 308 of 332
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North Lanarkshire Council Report Finance and Resource Committee Does this report require to be approved? ☐ Yes ☒ No Ref: NLC-CPT-25-011 Date: 19 November 2025 Contract Award for Revenue, Benefits & Workflow System From Greg Telfer, Chief Officer (Finance and Technology) E-mail telferg@northlan.gov.uk Telephone: 07583 010692 Executive Summary This report advises Committee of a decision taken in accordance with condition 21.3.2 of the Council’s General Contract Standing Orders (GCSOs), which permits contract awards to be approved by the Chief Executive or Depute Chief Executive where no appropriate Committee is available between cycles. On 25 September 2025, the Depute Chief Executive approved the award of a contract for a Revenue, Benefits & Workflow System (the ‘Agreement’) to Civica (UK) Limited. Permission to award outwith committee cycle in accordance with GCSO 21.3.2 was sought to allow the service and contractor additional time to commence the transition from on-premises to Software as a Service (SaaS) solution. The Agreement was formally awarded on 26 September 2025 and is for an initial period of 60 months with the council reserving the right to extend the Agreement for additional periods up to a maximum of a further 24 months. The maximum value of the Agreement is Four Million, Five Hundred Thousand Pounds Sterling (£4,500,000) exclusive of VAT. Recommendations It is recommended that the Finance and Resource Committee: (1) Acknowledges the award of the Agreement to Civica (UK) Limited (the “Contractor”) at the maximum value of Four Million, Five Hundred Thousand Pounds Sterling (£4,500,000) exclusive of VAT. The Plan for North Lanarkshire Priority All priorities Ambition Statement All ambition statements Programme of Work Digital North Lanarkshire Item 19 Page 309 of 332
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1. Background 1.1 North Lanarkshire Council has a statutory requirement to provide the following Revenues and Benefits services: • Council Tax Billing & Collection (circa. 161,000 properties) • Non-Domestic Rates Billing & Collection (circa. 11,000 businesses) • Housing Benefit & Council Tax Reduction (circa. 35,000 claimants) • Discretionary Housing Payment (circa. 10,000 awards annually) • Scottish Welfare Fund (circa. 26,000 awards annually) • Free School Meals & Clothing Grants (circa. awards annually 11,000 and 12,000 respectfully) • Blue Badge administration (circa. 10,000 awards annually) 1.2 These requirements are currently delivered under contract with Civica UK Limited. The arrangement is due to expire on 31 March 2026 with the Agreement detailed within this report due to supersede it. 1.3 This agreement will include W2 Desktop licences, Civica Revenues and Benefits licences including hosting, support and maintenance and migration support from on-premise to SaaS. The solution itself supporting the delivery of the statutory requirements within section 1.1. 1.4 To enable appropriate development and execution of the procedure required to form the Agreement, a panel of technical and procurement representatives (the “User Intelligence Group (UIG)”) was formed. 1.5 The UIG were responsible for developing the required internal contract strategy (the “Contract Strategy“) for the Agreement. The Contract Strategy sets out the parameters and approaches the council would apply within the procurement, tendering, contracting and end of life stages of the Agreement following appropriate analysis, research and investigation to ensure the council achieves maximum benefit where possible. In accordance with GCSO 4.4, the Contract Strategy for the Agreement was approved on 08 August 2025. 1.6 To prevent delay of transition and mitigate project risk, the Depute Chief Executive approved the award of the contract in September 2025, in accordance with condition 21.3.2 of the Council’s General Contract Standing Orders (GCSO’s). 2. Report 2.1 The procurement procedure was undertaken as a “Direct Award” as per Appendix 2. A Direct Award is a procurement procedure where an overarching framework agreement allows the council to directly engage and contract with an appointed contractor that has already gone through a full competitive procurement procedure, in an efficient manner, as per the framework agreements terms and conditions. 2.2 Within the associated Contract Strategy for the Agreement, the overarching framework agreement and determination of whether Best Value is achieved via the Direct Award procurement, the recommended Contractor was identified, engaged and issued an invitation to tender to formalise the Agreement. 2.3 The tender received from the recommended Contractor underwent appropriate appraisal to ensure it was complete / compliant with the council’s requirements and demonstrated Best Value. 2.4 Appendix 1 provides a summary of the procurement procedure undertaken including the key considerations and outcomes. Page 310 of 332
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Financial / Budget Consideration 2.5 The pre-tender wholelife estimate budget for the Agreement was £4,500,000. The costs associated with delivery of the Agreement will be contained within the ICT revenue and capital budgets within Finance and Technology. 2.6 The maximum value of the agreement is £4,500,000. Benchmarking was conducted via available framework pricing. Price Stability 2.7 Fixed pricing for duration of the agreement. Community Benefits 2.8 The council is committed to maximising the delivery of community benefits. The procurement included a community benefit requirement, this approach is designed to deliver local community benefits where possible. 2.9 When accepting a place on the framework, the contractor is bound to deliver community benefits. Following a direct award procedure, the buyer and contractor jointly agree on the specific outcomes to be delivered. 2.10 The community benefits does not include the creation of jobs or apprenticeships. Fair Work First and Payment of the Living Wage 2.11 At framework inception Crown Commercial Services vetted the contractor on their social value commitments. These themes link with Fair Work First and Payment of the Living Wage. 2.12 Further information on the Living Wage status of the recommended Contractor is detailed in Appendix 1. Contract Management 2.13 Officers from the Revenue and Benefits team within Finance and Technology will be responsible for managing the Agreement which will be undertaken in accordance with the contract and contractor management conditions applicable within the Agreement. 3. Measures of success 3.1 The Agreement will deliver the following outcomes; • Best Value will be demonstrated as outlined in Appendix 1; • Compliance with Department of Work and Pension Memorandum of Understanding; and • Support and improve income collection. 4. Supporting documents 4.1 Appendix 1 Summary of Procurement Procedure Greg Telfer Chief Officer (Finance and Technology) Page 311 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality-and-fairer- scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? Budgets identified within section 2.5 with expenditure included in future forecasts. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? No detailed legal impacts. However, legal have assisted with the specific call-off terms to be applied to the agreement. 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☒ No ☐ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☒ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e-mailed to dataprotection@northlan.gov.uk Yes ☒ No ☐ Page 312 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? EAGG approval received. Primary impacts associated within EAGG paperwork. Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☒ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? Risks are recorded on the Service Risk Register and within the council’s risk system FIGTREE. 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex-Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. 5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☒ Page 313 of 332
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Appendix 1 – Summary of Procurement Procedure Overview Reference NLC-CPT-25-011 Title Revenue, Benefits & Workflow System Classification Services - Standard Responsible Chief Officer and Position Greg Telfer, Chief Officer (Finance & Technology) Competition Governance by Value Overarching Framework Agreements terms and condition in accordance with the Councils General Contract Standing Orders Route to Market Direct Award from a Third-Party Framework Agreement Framework Agreement Title, Ref and Lot Info Framework Owner: Crown Commercial Services Framework Title: Vertical Application Solutions Framework Ref: RM6259 Framework Lot: Lot 1 Business Applications Interest No. of Lot / Framework Agreement Appointments 36 Date Invitation to Tender Package Issued 08 August 2025 Tenders Received Total No. of Tenders Received 1 No. of Tenders From SME’s 0 No. Tenders from NLC Based Businesses 0 No. of Tenders from Supported Businesses 0 Direct Award Basis Best Value Assessment of Framework Contractors in Accordance with the Framework Agreement How Has “Best Value” Been Demonstrated? The market research undertaken together with the SWOT analysis and options appraisal, demonstrated that the CIVICA Open Revenues product offering will provide the best value in terms of cost (including cost of change) and quality. The system’s ability to meet user requirements, robustly and sustainably, enables the service to meet customer requirements as efficiently and effectively as possible. Additional Comments A canvass of all Scottish Local Authorities was undertaken to establish what solutions, modules and processes are in place across the public sector to deliver Revenue and Benefits systems. Page 314 of 332
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Award Details General Overview Total / Maximum Value £4,500,000 Contract Duration (Months) 60 + 12 + 12 Contractor Registered Name(s) Civica (UK) Limited Contractor Overview Registered Local Authority Area London Contractor(s) Size Large Living Wage Paying the Living Wage Yes Living Wage Accredited No Overview of Community Benefits When accepting a place on the framework, the contractor is bound to deliver social value. Following a direct award procedure, the buyer and contractor jointly agree on the specific social value policy outcomes to be delivered. Additional Comments Impacts Summary Public Sector Equality Duty and Fairer Scotland Duty ☐ HR Policy Impact ☐ Data Protection Impact ☒ Environment / Carbon Impact ☐ Risk Impact ☒ Children’s Rights and Wellbeing Impact ☐ Financial Impact ☒ Legal Impact ☐ Technology / Digital Impact ☒ Comms impact ☐ Armed Forces Covenant Duty ☐ Page 315 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref JMcK/CPT Date 19/11/25 Contracts awarded below Committee approval threshold From James McKinstry, Chief Officer (Assets and Procurement) E-mail McKinstryJ@northlan.gov.uk Telephone 07939 281 102 Executive Summary In accordance with the Council’s General Contract Standing Orders (“GCSOs”), GCSO 21.10 requires a summary report be presented to members with details of contracts awarded since last committee, specifically for the spend range: • over £50,000 but below £500,000 for supplies or services; and, • over £500,000 but below £2,000,000 for works. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledge the contract awards made since last committee reporting cycle. The Plan for North Lanarkshire Priority All priorities Ambition statement All ambition statements Programme of Work Statutory / corporate / service requirement Item 20 Page 317 of 332
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1. Background 1.1 The Local Government (Scotland) Act 1973 section 81 requires local authorities to “…make standing orders with respect to the making by them or on their behalf of contracts for the supply of goods or materials or for the execution of works.”. 1.2 The Council’s General Contract Standing Orders (“GCSOs”) set out the council’s specific procurement procedures and responsibilities at all spend levels, and include the reporting requirements of procurement activity, including contracts awards, to committee for either approval or acknowledgement. 2. Report 2.1 In accordance with GCSO 21.10, this report summarises the contract awards since last committee, specifically for the spend range: • over £50,000 but below £500,000 for supplies or services; and, • over £500,000 but below £2,000,000 for works. 2.2 If you require further information regards the contract awards reported, please refer to the lead service area / Chief Officer detailed in the appendix. 3. Measures of success 3.1 All requirements contracted contribute to either the council’s programme of work and/or fulfil a statutory requirement. 3.2 All contract awards secure best value for the council in accordance with their evaluation criteria. 3.3 All necessary diligence has been undertaken in the evaluation and appointment of contractors. 3.4 All contract awards are logged in the council’s contract register. 4. Supporting documentation 4.1 Appendix 1 – Summary of contracts awarded. James McKinstry Chief Officer (Assets and Procurement) 5. Impacts 5.1 Impacts considered as part of the contract award procedures are recorded in the individual contract award reports held by the lead service area. Page 318 of 332
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Appendix 1 – Summary of Contracts Awarded Contract Ref NLC-SLP-24-139 Title UNIX Oracle Support Hosted Services. Classification Supplies Chief Officer, Procuring Service Area Greg Telfer, Chief Officer (Finance and Technology) Competition Governance by Value The Framework terms & conditions, with adherence to the council’s GCSO 13 on 3rd party frameworks Procurement Route Call-off following Direct Award using a Third Party Framework (Multi Contractor Framework) No. of Framework Contractors 5 Award Criteria Best Value assessment, in accordance with the Framework Information Comments This call-off was made considering the relevant technical and commercial information from the Scottish Procurement, Cloud Hosting and Services Framework (SP-22-023). Award Details Value £379,000 Contract Duration 36 Months (initial 24 months, option to extend by 12 months) Contractor Name HFD Datavita Limited Contractor Size SME Contractor Location North Lanarkshire Status - Payment of Living Wage? Yes Status - Living Wage Accredited? No Impacts this section highlights which impacts were considered for this contract award procedure Public Sector Equality Duty and Fairer Scotland Duty ☐ HR Policy Impact ☐ Data Protection Impact ☐ Environment / Carbon Impact ☐ Risk Impact ☐ Children’s Rights and Wellbeing Impact ☐ Financial Impact ☒ Legal Impact ☐ Technology / Digital Impact ☒ Communications Impact ☐ Armed Forces Covenant Duty ☐ Further details regarding these impacts can be obtained from the Lead Service Area / Chief Officer Page 319 of 332
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Contract Ref NLC-SLP-25-012
Title Cardinal Newman High School, Bellshill - Re-Roofing (Phase 1) (ECRF23012)
Classification Works
Chief Officer, Procuring Service Area James McKinstry, Chief Officer (Assets and Procurement)
Competition Governance by Value The Framework terms & conditions, with adherence to the council’s GCSO 13 on 3rd party frameworks
Procurement Route Call-off following Mini Competition using a Third Party Framework
No. of Contractors invited 7
No. of Bids Received 4
Award Criteria Most Economically Advantageous Tender ("MEAT") Scoring Model
Evaluation Scores – Successful 95.20%
Evaluation Scores – Unsuccessful Range from 71.29% - 91.05%
Comments This call-off was made considering the relevant technical and commercial information from the Scotland
Excel, Property Maintenance & Refurbishment Framework, Lot 12 – Roofing.
Award
Details
Value £610,627
Contract Duration 5 Months
Contractor Name Braedale Roofing Ltd
Contractor Size SME
Contractor Location North Lanarkshire
Status - Payment of Living Wage? Yes
Status - Living Wage Accredited? Yes
Impacts
this section
highlights which
impacts were
considered for
this contract
award procedure
Public Sector Equality
Duty and Fairer
Scotland Duty ☐
HR Policy Impact ☐ Data Protection
Impact ☐
Environment / Carbon
Impact ☐
Risk Impact ☐ Children’s Rights and
Wellbeing Impact ☐
Financial Impact ☒ Legal Impact ☒ Technology / Digital
Impact ☐
Communications
Impact ☐
Armed Forces
Covenant Duty ☐
Further details regarding these impacts can be obtained from the Lead Service Area / Chief Officer
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Contract Ref NLC-SLP-25-041 Title Adobe Acrobat Licensing Agreement Classification Supplies Chief Officer, Procuring Service Area Greg Telfer, Chief Officer (Finance and Technology) Competition Governance by Value The Framework terms & conditions, with adherence to the council’s GCSO 13 on 3rd party frameworks Procurement Route Call-off following Direct Award using a Third Party Framework (Multi Contractor Framework) No. of Framework Contractors 28 Award Criteria Best Value assessment, in accordance with the Framework Information Comments This call-off was made considering the relevant technical and commercial information from the NHS Shared Business Services, Digital Workplace Solutions Framework (SBS/19/AB/WA/9411). Award Details Value £155,498 Contract Duration 36 Months Contractor Name Softcat PLC Contractor Size Large Company Contractor Location Buckinghamshire Status - Payment of Living Wage? Yes Status - Living Wage Accredited? Yes Impacts this section highlights which impacts were considered for this contract award procedure Public Sector Equality Duty and Fairer Scotland Duty ☐ HR Policy Impact ☐ Data Protection Impact ☐ Environment / Carbon Impact ☐ Risk Impact ☒ Children’s Rights and Wellbeing Impact ☐ Financial Impact ☐ Legal Impact ☐ Technology / Digital Impact ☐ Communications Impact ☐ Armed Forces Covenant Duty ☐ Further details regarding these impacts can be obtained from the Lead Service Area / Chief Officer Page 321 of 332
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Contract Ref NLC-SLP-25-068 Title Avepoint - Cloud Records Management Classification Supplies Chief Officer, Procuring Service Area Greg Telfer, Chief Officer (Finance and Technology) Competition Governance by Value The Framework terms & conditions, with adherence to the council’s GCSO 13 on 3rd party frameworks Procurement Route Call-off following Direct Award using the Software Value Added Reseller (“SVAR”) Framework Award Criteria Best Value assessment, in accordance with the Framework Information Comments This has been procured via Direct Award approach, considering the relevant information through the Scottish Government SVAR Framework (SP-21-034). “SVAR” is the Single Supplier, National Collaborative Framework for the provision of ‘Software Value Added Reseller Services’, open for use to public sector bodies. The SVAR agreement was subject to competitive procurement, and the agreement is in place from 1 May 2023 until 30 April 2026 (with option to extend by 12 months). The SVAR Agreement provides a compliant procurement route for the council for source requirements i.e. software and support, and ensures best value. Award Details Value £58,254 Contract Duration 12 Months Contractor Name Computacenter (UK) Ltd Contractor Size Large Company Contractor Location England Status - Payment of Living Wage? Yes Status - Living Wage Accredited? Yes Impacts this section highlights which impacts were considered for this contract award procedure Public Sector Equality Duty and Fairer Scotland Duty ☐ HR Policy Impact ☐ Data Protection Impact ☐ Environment / Carbon Impact ☐ Risk Impact ☐ Children’s Rights and Wellbeing Impact ☐ Financial Impact ☐ Legal Impact ☐ Technology / Digital Impact ☒ Communications Impact ☐ Armed Forces Covenant Duty ☐ Further details regarding these impacts can be obtained from the Lead Service Area / Chief Officer Page 322 of 332
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Contract Ref NLC-SLP-25-048 Title Provision of Cash Collection Services 2025/28 Classification Services Chief Officer, Procuring Service Area Greg Telfer, Chief Officer (Finance and Technology) Competition Governance by Value The Framework terms & conditions, with adherence to the council’s GCSO 13 on 3rd party frameworks Procurement Route Call-off following Direct Award using a Third Party Framework (Multi Contractor Framework) No. of Framework Contractors 2 Award Criteria Best Value assessment, in accordance with the Framework Information Comments This call-off was made considering the relevant technical and commercial information from the ESPO Cash Collection and Cash in Transit Services Framework (324F) Lot 1. Award Details Value £255,000 Contract Duration 36 Months (Initial 24 Months with option to extend by 12 Months) Contractor Name G4S Cash Solutions (UK) Limited Contractor Size Large Company Contractor Location Surrey Status - Payment of Living Wage? Yes Status - Living Wage Accredited? No Impacts this section highlights which impacts were considered for this contract award procedure Public Sector Equality Duty and Fairer Scotland Duty ☐ HR Policy Impact ☐ Data Protection Impact ☐ Environment / Carbon Impact ☐ Risk Impact ☐ Children’s Rights and Wellbeing Impact ☐ Financial Impact ☒ Legal Impact ☐ Technology / Digital Impact ☐ Communications Impact ☐ Armed Forces Covenant Duty ☐ Further details regarding these impacts can be obtained from the Lead Service Area / Chief Officer Page 323 of 332
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Contract Ref NLC-SLP-25-086 Title Provision of BACS payment solution Classification Supplies Chief Officer, Procuring Service Area Greg Telfer, Chief Officer (Finance and Technology) Competition Governance by Value The Framework terms & conditions, with adherence to the council’s GCSO 13 on 3rd party frameworks Procurement Route Call-off following Direct Award using the G-Cloud Framework. Award Criteria Best Value assessment Comments This has been procured via Direct Award approach, considering the relevant information through the Crown Commercial Services G-Cloud 14 Framework (RM1557.14), Lot 2: Cloud Software. “G-Cloud” is an Agreement established by Crown Commercial Services (“CCS”) to provide a large variety of cloud-based services from a range of suppliers under: cloud hosting; cloud software; and cloud support. The G-cloud provides the online sourcing platform for public bodies to use search parameters to narrow suppliers and/or solutions to match their core specification of requirements, then refine further through benchmarking and comparison of the potential offers/solutions. Award Details Value £74,700 Contract Duration 36 Months Contractor Name Access Systems (UK) Limited Contractor Size Large Company Contractor Location Manchester Status - Payment of Living Wage? Yes Status - Living Wage Accredited? No Impacts this section highlights which impacts were considered for this contract award procedure Public Sector Equality Duty and Fairer Scotland Duty ☐ HR Policy Impact ☐ Data Protection Impact ☒ Environment / Carbon Impact ☐ Risk Impact ☐ Children’s Rights and Wellbeing Impact ☐ Financial Impact ☒ Legal Impact ☐ Technology / Digital Impact ☒ Communications Impact ☐ Armed Forces Covenant Duty ☐ Further details regarding these impacts can be obtained from the Lead Service Area / Chief Officer Page 324 of 332
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North Lanarkshire Council Report Finance and Resources Committee Does this report require to be approved? ☐ Yes ☒ No Ref VarRepNov25/JMcG/JMcK Date 19/11/25 Contracts with Variations From James McKinstry, Chief Officer (Assets and Procurement) E-mail mckinstryj@northlan.gov.uk Telephone 07939 281 102 Executive Summary In accordance with the Council’s Financial Regulations, this report notifies the Committee of contracts completed between 1st April 2025 and 1st October 2025, where the expenditure levels have exceeded the contract award levels by greater than 5% or £25,000. Recommendations It is recommended that the Finance and Resources Committee: (1) Acknowledge the content of this report and the accompanying appendix. The Plan for North Lanarkshire Priority Improve North Lanarkshire's resource base Ambition statement (25) Ensure intelligent use of data and information to support fully evidence based decision making and future planning Programme of Work Statutory/Corporate/Service Requirement Item 21 Page 325 of 332
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1. Background 1.1 The Councils General Contract Standing Orders (the ‘GCSOs’) outline financial approval thresholds for contracts for goods, works and services. This report details Works (construction contracts) where funding has previously been approved in line with GCSO’s. 1.2 The Councils Financial Regulation, (13.4) Significant Variations, details the threshold of variances where reporting is required. 1.3 The Chief Officer of Assets and Procurement is required to notify Committee on a periodic basis of any such contracts containing variations as identified by the criteria in 1.1 above. 2. Report 2.1 The Councils Financial Regulations state, any variations where the outturn/expected costs exceed the tendered contract price by the higher of £25,000 or 5%, or where the outputs/outcomes achieved by the expenditure differ from those originally envisaged, shall be reported by the Executive Director or appropriate Officer to the relevant Spending Committee at the earliest opportunity. 2.2 Contracts awarded by the Chief Officer of Assets and Procurement for works undertaken in the period 1st April 2025 and 1st October 2025, containing variations are detailed in Appendix.1 below. 2.3 Due to the nature of construction contracts a flexible approach is required to manage contract deliverables and desired outcomes and typically this is achieved by the inclusion of a contingency allowance to address unknown quantities or abnormalities. 2.4 Any construction works undertaken within the Council’s portfolio may encounter issues that can result in additional costs after work has commenced. Large and complex civil engineering projects can present difficult ground conditions which have to be managed, addressing these issues is expensive. Asbestos is problematic and costly to address, as is rot works, especially within the Council’s ageing property estate. Working within “live” environments and restrictions of access is another contributing factor to prolongation related claims, with other expenditure being attributed to health and safety issues including addressing fire stopping issues. Additional client instructions being added to contracts following award will also increase the overall contract sum, but it should be noted that the scope of these instructions will be within the parameters of the original tender documents and rates will be a direct drawdown from those already provided or a benchmarking exercise is undertaken to demonstrate value for money. 3. Measures of success 3.1 Contracts support the delivery of Council objectives and service priorities. 3.2 Contracts containing variances are managed by the Council and are compliant with Financial Regulations, GCSOs and procurement legislation. 3.3 The Council’s Contract Register, and budgetary monitoring systems are kept updated by services and management information is comprehensive and accurate. Page 326 of 332
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3.4 Best Value is both demonstrable and achieved. 4. Supporting documentation 4.1 Appendix 1 – Summary of construction contracts containing variations. James McKinstry Chief Officer (Assets and Procurement) Page 327 of 332
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5. Impacts 5.1 Public Sector Equality Duty and Fairer Scotland Duty Does the report contain information that has an impact as a result of the Public Sector Equality Duty and/or Fairer Scotland Duty? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? If Yes, has an assessment been carried out and published on the council’s website? https://www.northlanarkshire.gov.uk/your-community/equalities/equality- and-fairer-scotland-duty-impact-assessments Yes ☐ No ☐ 5.2 Financial impact Does the report contain any financial impacts? Yes ☒ No ☐ If Yes, have all relevant financial impacts been discussed and agreed with Finance? Yes ☒ No ☐ If Yes, please provide a brief summary of the impact? As detailed in Appendix 1. 5.3 HR policy impact Does the report contain any HR policy or procedure impacts? Yes ☐ No ☒ If Yes, have all relevant HR impacts been discussed and agreed with People Resources? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.4 Legal impact Does the report contain any legal impacts (such as general legal matters, statutory considerations (including employment law considerations), or new legislation)? Yes ☐ No ☒ If Yes, have all relevant legal impacts been discussed and agreed with Legal and Democratic? Yes ☐ No ☐ If Yes, please provide a brief summary of the impact? 5.5 Data protection impact Does the report / project / practice contain or involve the processing of personal data? Yes ☐ No ☒ If Yes, is the processing of this personal data likely to result in a high risk to the data subject? Yes ☐ No ☐ If Yes, has a Data Protection Impact Assessment (DPIA) been carried out and e- mailed to dataprotection@northlan.gov.uk Yes ☐ No ☐ Page 328 of 332
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5.6 Technology / Digital impact Does the report contain information that has an impact on either technology, digital transformation, service redesign / business change processes, data management, or connectivity / broadband / Wi-Fi? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? Where the impact identifies a requirement for significant technology change, has an assessment been carried out (or is scheduled to be carried out) by the Enterprise Architecture Governance Group (EAGG)? Yes ☐ No ☐ 5.7 Environmental / Carbon impact Does the report / project / practice contain information that has an impact on any environmental or carbon matters? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.8 Communications impact Does the report contain any information that has an impact on the council’s communications activities? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact? 5.9 Risk impact Is there a risk impact? Yes ☒ No ☐ If Yes, please provide a brief summary of the key risks and potential impacts, highlighting where the risk(s) are assessed and recorded (e.g. Corporate or Service or Project Risk Registers), and how they are managed? Contract management procedures may be susceptible to financial claims and legal challenge if they are not discharged in accordance with Contract Conditions, Financial Regulations, GCSO’s and procurement legislation. Accumulation of contract overspends may impact on future Capital Programmes. Project risks are logged on the appropriate Risk Registers and managed by the Service. 5.10 Armed Forces Covenant Duty Does the report require to take due regard of the Armed Forces Covenant Duty (i.e. does it relate to healthcare, housing, or education services for in-Service or ex- Service personnel, or their families, or widow(er)s)? Yes ☐ No ☒ If Yes, please provide a brief summary of the provision which has been made to ensure there has been appropriate consideration of the particular needs of the Armed Forces community to make sure that they do not face disadvantage compared to other citizens in the provision of public services. Page 329 of 332
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5.11 Children’s rights and wellbeing impact Does the report contain any information regarding any council activity, service delivery, policy, or plan that has an impact on children and young people up to the age of 18, or on a specific group of these? Yes ☐ No ☒ If Yes, please provide a brief summary of the impact and the provision that has been made to ensure there has been appropriate consideration of the relevant Articles from the United Nations Convention on the Rights of the Child (UNCRC). If Yes, has a Children’s Rights and Wellbeing Impact Assessment (CRWIA) been carried out? Yes ☐ No ☐ Page 330 of 332
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APPENDIX 1 Summary of construction contracts containing variations: Project Title Estimated / Final Out- turn Tender Amount Variation Reason Edward Lawson Centre, Wishaw, - Recovery Project £3,730,337 £2,839,320 Following the liquidation of the previous Contractor, a replacement contract with a new Contractor was procured to ensure the necessary works could be undertaken prior to the beginning of the new school year. In addition for items previously installed, new work was carried out to: improve cavity and ceiling insulation; make improvements to sensory rooms; improve the landscaping of the external grounds to form outdoor teaching spaces; and, over-cladding and rendering to the full exterior made to improve the overall building condition score. Pather Farm, Wishaw - Cemetery Development £4,268,025 £3,746,763 Although challenging ground conditions were expected, the actual nature of the soil substrate encountered combined with the higher-than-anticipated ground water level, resulted in significant additional fill materials being imported to form higher finished ground levels. Changes to the car park and other hard landscaping areas, combined with design development to the visitor buildings glulam beams and roof finish materials have also resulted to delays in completion. These time delays carry with them additional prolongation related charges. Demolition of Chapelhall Senior Citizens Centre, Chapelhall £69,292 £37,960 Contaminated red blaze was found at sub levels resulting in additional contaminated waste disposal costs. Demolition of Fleming House, 2 Tryst Road, Cumbernauld £605,136 £485,305 Prolonged utility disconnection delays resulted in an overall delay to the works programme by 11 weeks. Upon exposing various parts of the building fabric, more complex deconstruction challenges were encountered resulting in changes to the demolition methodology. Crane hoisting of concrete panels rather than deconstruct via scaffold was required as a result. MTC for Fire Alarm, Smoke Alarm and Protection Systems Service and Maintenance in Non-Domestic Properties 2022 – 2026 £1,025,099 £800,000 A number of repairs in relation to H&S issues were required including upgrades to fire panels, upgrading of sprinkler systems and fire detection/ monitoring equipment. Page 331 of 332
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