Agenda Document Pack - Finance and Resources Committee - 22/04/2026
Perth and Kinross Council · 22 April 2026
Back to Finance and Resources Committee — 22 April 2026 and its agenda
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Ambition | Compassion | Integrity Our vision is for a Perth and Kinross where everyone can live life well, free from poverty and inequality Council Building 2 High Street Perth PH1 5PH 15/04/2026 A hybrid meeting of the Finance and Resources Committee will be held in the Council Chamber on Wednesday, 22 April 2026 at 13:00. If you have any queries please contact Democratic Services on (01738) 475000 or email Committee@pkc.gov.uk. THOMAS GLEN Chief Executive Those attending the meeting are requested to ensure that all notifications are silent on their device and other devices are in silent mode. Please note that the meeting will be broadcast online and recorded. The recording will be publicly available on the Council’s website following the meeting. Members: Councillor Stewart Donaldson (Convener) Councillor Eric Drysdale (Vice-Convener) Bailie Chris Ahern Councillor Keith Allan Councillor Dave Cuthbert Councillor John Duff Councillor David Illingworth Councillor Ian Massie Provost Xander McDade Councillor Tom McEwan Bailie Claire McLaren Depute Provost Andrew Parrott Councillor John Rebbeck Councillor Caroline Shiers Councillor Colin Stewart Councillor Alan Watt Page 1 of 186
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Finance and Resources Committee Wednesday, 22 April 2026 Agenda Members are reminded of their obligation to declare any financial or non- financial interest which they may have in any item on this agenda in accordance with the councillors’ code of conduct. 1 WELCOME AND APOLOGIES/SUBSTITUTES 2 DECLARATIONS OF INTEREST 3 MINUTES 3(i) MINUTE OF MEETING OF THE FINANCE AND RESOURCES COMMITTEE OF 4 FEBRUARY 2026 FOR APPROVAL (copy herewith) 5 - 6 3(ii) MINUTE OF MEETING OF THE EMPLOYEES JOINT CONSULTATIVE COMMITTEE OF 3 DECEMBER 2025 FOR NOTING (copy herewith) 7 - 12 4 MOTION - MEMORIAL SAFETY IN COUNCIL CEMETERIES (copy herewith) 13 - 14 5 OUTSTANDING BUSINESS STATEMENT (copy herewith 26/109) 15 - 16 6 2025/26 REVENUE BUDGET - UPDATE NO. 4 Report by Chief Finance Officer (copy herewith 26/110) 17 - 54 7 COMPOSITE CAPITAL BUDGET 2025/31 AND HOUSING INVESTMENT PROGRAMME 2025/30 – MONITORING REPORT NO.4 Report by Chief Finance Officer (copy herewith 26/111) 55 - 88 8 TREASURY ACTIVITY AND COMPLIANCE REPORT 2025/26 - 6 MONTHS TO 31 MARCH 2026 Report by Chief Financial Officer (copy herewith 26/112) 89 - 106 9 TRANSFORMATION & CHANGE PROGRAMME UPDATE Report by Chief Executive (copy herewith 26/113) 107 - 186 Page 3 of 186
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DRAFT Finance and Resources Committee Minute of hybrid meeting of the Finance and Resources Committee held in the Council Chamber, 2 Hight Street, Perth on Wednesday 26 November 2025 at 1.30pm. Present: Councillors S Donaldson and E Drysdale, Bailie C Ahern, K Allan, J Duff, D Illingworth, G Laing (substituting for Councillor D Cuthbert), I Massie, Provost X McDade, T McEwan, Bailie C McLaren, Depute Provost A Parrott, J Rebbeck, C Shiers, C Stewart and A Watt. In Attendance: T Glen, Chief Executive; C Mailer, Dute Chief Executive; S Walker, Strategic Lead - Finance and Business Support; A O’Brien, S Coyle, C France, J Jennings, C Palmer, C Robertson and J Salisbury (Finance and Business Support); J Beveridge, Strategic Lead – Property Services; N Lennon (Property Services); D Macluskey, Strategic Lead – Education and Learning; A Singh, Strategic Lead - Children, Families and Justice; E Ritchie, Strategic Lead - Housing and Communities; A Clegg, D Stokoe, A McCallum, M Smith and G Stewart (Housing and Communities); F Crofts, Strategic Lead - Environment and Infrastructure; D Davidson and P Leonard (Environment and Infrastructure); G Boland, Strategic Lead - Strategic Planning, People and Resources; K Fraser, N Sutherland, P Taylor and S Watt (Customer and Digital Services); S Hendry, G Fogg, K Molley, A Brown and M Pasternak (all Legal and Governance). Apology: Councillor D Cuthbert. Councillor S Donaldson, Convener, Presiding. 1. Welcome and Apologies The Convener welcomed all those present to the meeting and apologies were noted as above. 2. Declarations of Interest There were no declarations made in terms of the Councillors’ Code of Conduct. 3. Minutes (i) Finance and Resources Committee - 26 November 2025 The minute of meeting of the Finance and Resources Committee of 26 November 2025 was submitted and approved as a correct record. (ii) Executive Sub-Committee of Finance and Resources Committee - 16 December 2025 The minute of meeting of the Executive Sub-Committee of the Finance and Resources Committee of 16 December 2025 was submitted and approved as a correct record. Provost X McDade and Bailie C Ahern noted their dissent. 3(i) Page 5 of 186
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DRAFT (iii) Employees Joint Consultative Committee - 17 September 2025 The minute of meeting of the Employees Joint Consultative Committee of 17 September 2025 was submitted and noted. 4. Outstanding Business Statement Resolved: (i) The status of action in the Outstanding Business Statement (26/35) be noted and completed actions removed accordingly. (ii) It be agreed that information relating to actions listed on the Outstanding Business Statement be circulated to all Elected Members on public committee items. 5. 2025/26 Revenue Budget - Update No. 3 There was submitted a report by the Chief Finance Officer (26/36) providing an update on progress with the 2025/26 General Fund Revenue Budget based upon the November 2025 ledger, updated for any subsequent known material movements, and the projected financial position of the Housing Revenue Account. Resolved: (i) The contents of Report 26/35, be noted. (ii) The projected outturn for the General Fund, as set out in Section 4 of Report 26/35 and Appendices 1 and 2, be noted. (iii) The adjustments to the 2025/26 General Fund budgets, as detailed in Section 5 of Report 26/35 and Appendices 1, 2, 4, 5, 6 and 7, be approved. (iii) The financial risks, as set out in Section 6 of Report 26/35 and Appendix 8, be noted. (There was a 10-minute recess and the meeting reconvened at 2.35pm). 6. Composite Capital Budget 2025/31 and Housing Investment Programme 2025/30 – Monitoring Report No.3 There was submitted a report by the Chief Finance Officer (26/37) (1) providing a summary position to date for the 6-year Composite Capital Budget for 2025/26 to 2030/31 and the 5-year Housing Investment Programme for 2025/26 to 2029/30; and (2) seeking approval for adjustments to the programmes. Resolved: (i) The contents of Report 26/37, be noted. (ii) The proposed adjustments to the six-year Composite Capital Budget 2025/26 to 2030/31, as set out in Sections 4 and 5 of Report 26/37 and summarised in Appendices I and II, be approved. (iii) The proposed adjustments to the Housing Investment Programme Budget 2025/26 to 2029/30, as set out in Section 6 of Report 26/37 and summarised in Appendix III, be approved. (iv) Progress with the delivery of major Capital projects, as summarised in Appendix IV to Report 26/37, be noted. Page 6 of 186
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Perth and Kinross Council Finance and Resources Committee Employees Joint Consultative Committee Minute of hybrid meeting of the Employees Joint Consultative Committee held Meeting Room 410, 2 High Street, Perth on Wednesday 3 December 2025 at 1.30pm. Present: Representing Perth and Kinross Council: Councillors K Allan, S McCole and M Frampton. Present: Representing Trade Unions: C Weston (EIS) V Leonard (GMB) S Hope (UNISON) M Mackie (SSTA) In Attendance: L Hamilton, P Johnstone, E Bayne, L McGeorge, F Mackay, D Black, S Stephen, B Kinnear, S Kinnear, K Robertson, J McCole, A McConnachie. Apologies: Councillor J Rebbeck with Councillor M Frampton substituting, D MacLuskey, N Ferry, S Robertson and S Topen-Cooper S Hope in the Chair. 1. Welcome and Apologies S Hope welcomed all present to the meeting and apologies were noted as above. 2. Declarations of Interest There were no declarations of interest made in terms of the Councillors’ Code of Conduct. 3. Minute of Meeting of Employees Joint Consultative Committee of 17 September 2025 The minute of meeting of the Employees Joint Consultative Committee of 17 September 2025 was submitted and approved as a correct record. 4. Matters Arising (i) Medication Errors B Kinnear, Service Manager, Adult Social Work & Social Care Services, P&K HSCP gave a verbal update, outlining that there is a 3(ii) Page 7 of 186
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high number of medication incidents with the highest being “recording error”. He assured the committee that all incidents are fully investigated and analysed with additional training provided where errors have occurred. Actions being taken in the service include continuing to raise awareness and provide clarification of when an incident is reported and recorded, follow up training as appropriate. He stated that the number as a percentage of visits carried out is low and nobody was at risk of significant harm. Further he advised that all incidents are reported to the Care Inspectorate with a number of improvement measures taken, including all staff having their standards and practices observed and thereafter are reviewed annually. In response to Councillor McCole asking about whether third party providers the Council work with report their errors to the Council, B Kinnear said they should and there is a working group looking at third party reporting and monitoring third parties. B Kinnear left the meeting. (ii) Industrial Injuries Guidance In response to C Weston asking if following the previous meeting this had been reviewed as agreed, E Bayne said there are ongoing discussions and the next action will be to engage with the unions. (iii) Zero Tolerance Posters In response to C Weston asking Councillors McCole and Allan what has been done following the previous meeting where they agreed to take zero tolerance posters forward as an action to follow up, Councillor McCole said she understands from officers progress has been made. 5. People and Culture – Equality Update There was a report submitted by S Kinnear, Employee Engagement Officer providing an update on recent and planned employment equalities activities within Perth & Kinross Council. In addition to the report S Kinnear said that all staff networks are meeting again and that in relation to the anti-asylum protests and PKC’s status as a Council of Sanctuary, David McPhee has been delivering a presentation to SMTs which can be shared or delivered on request. In response to Councillor McCole asking if what is being done in relation to menopause is sufficient, E Bayne said menopause and managers awareness is more commonplace in the conversations at work than it used to be and reasonable supportive steps are being taken where needed. Page 8 of 186
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In response to S Hope asking if more could be done to promote the various groups to the unions, E Bayne said there is a monthly Health and Wellbeing Briefing that he will share with them. We would also welcome the unions sharing and raising awareness of content. F Mackay said getting resources to schools can be challenging and there is a Staff Wellbeing Project looking at alternative arrangements for education staff who cannot attend meetings or events held centrally. In response to V Leonard asking about specific training for managers and whether people are aware of the additional support that is out there such as Access to Work, E Bayne said in the past our Occupational Health provider has delivered menopause awareness training and it’s something that can be looked at and those additional supports such as Access to Work are part of the conversations his team has with managers. Resolved: The Committee noted the ongoing employment equality activities and their alignment with the Council’s strategic objectives. (S Kinnear left the meeting.) 6. Health and Safety Performance Report Quarter 2 2025/26 – July – September 2025 There was a report submitted by the Health and Safety Team Leader (G/25/174) informing and assisting the Employees Joint Consultative Committee in monitoring health and safety compliance and performance across Perth and Kinross Council and providing an overview of health and safety activities undertaken. Resolved: The Committee noted the contents of the report. 7. Fire Safety Performance Report – Quarter 2 2025/26 – July – September 2025 There was a report submitted by the Health and Safety Team Leader (G/25/175) informing and assisting the Employees Joint Consultative Committee in monitoring fire safety performance across Perth and Kinross Council and providing an overview of fire safety activities undertaken. In addition to the report L Hamilton said they are working on a Fire Safety Management course for next year. In response to Councillor McCole asking if some information on outstanding actions could be included in the next report, L McGeorge said that this would be provided. Page 9 of 186
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In response to Councillor Allan asking why children set off the fire alarms and L McGeorge asking if there is anything they can do to minimise the chances of it happening, S Stephen advised that many of the false activations of alarm systems in schools were as a result of children with additional support needs and schools do proactively look for solutions to stop it happening. Resolved: The Committee noted the contents of the report 8. Staff Reporting: Incidents of Violence/Aggression and incidents of Distressed/Challenging Behaviour in Education Settings – Term 1 2025/26 There was a report submitted by the Quality Improvement Manager, Inclusion and Additional Support, and Inclusion Quality Improvement Officer (G/25/176) on Education and Learning’s performance in managing and reducing staff reports of incidents of distressed, challenging, violent, or aggressive behaviour that have impacted staff in the workplace. It also provides a summary of the information gathered in Term 1 of academic year 2025/26 in relation to staff reports of incidents in schools and other educational settings which had an emotional or physical impact on them and information on the activity of an established Working Group to prevent and reduce the number of incidents. The teachers unions submitted written questions in advance of the meeting with F Mackay and C Weston agreeing to a written response with discussion at a future Reducing Challenging Behaviour Group. S Stephen said they are in year 2 of the new child’s plan and know what the next steps with that will be and the Scottish Government are already reviewing the revision of physical intervention guidance with no timescale on the outcome. In response to Councillor Allan asking if there were resources they could help with, S Stephen said potentially around ASN and ISP and would detail them in an email to Councillor Allan. In response to S Hope asking about resources being directed to the small proportion of children in P1 involved in incidents, F Mackay said P1 children have not been in a school environment before, and it can take a couple of terms for improvements to show from measures that have been put in place. P1 incidents are the lowest they have been for a number of years. Following feedback they are looking at reinstating 2 in-service days in August and there is a proposal for a full week off in February. In response to Councillor McCole asking about investment in ASN/ISP provision for early years and childcare, F Mackay said there has been this Page 10 of 186
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year focussed on early years which should improve independence and communication skills. K Robertson said school holidays have been approved up to 26/27 with dates for 27/28 to 28/29 being drafted and will be put to unions encompassing F Mackay’s earlier points. Resolved: The Committee noted the content of the report and ongoing activity by a multi- agency group to reduce and prevent future incidents of distressed challenging, violent or aggressive behaviour and improve staff experience in Early Learning and Childcare (ELC) settings and schools 9. Health and Wellbeing Update There was a report submitted by the People and Culture Manager (G/25/177) providing an update on current Health and Wellbeing data and current Health and Wellbeing activities. In response to C Weston asking how PKC’s absences compare nationally, E Bayne said on 31 March 2025 they were the 10th lowest out of 32 for teaching staff and 4th lowest for all staff with work being done to improve those figures. Resolved: The Committee noted the position regarding Health and Wellbeing 10. Employee Survey P Johnstone had hoped to have overview of the data but it was not available for the meeting. Will be brought to the next meeting. 11. Any Other Competent Business - 12. Date of Next Meeting 1 April 2026 Page 11 of 186
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Memorial Safety in Council Cemeteries Background Perth and Kinross Council takes its statutory health and safety obligations seriously and following the Fatal Accident Inquiry Recommendations in 2018 and changes in legislation in 2025 has implemented a Memorial Safety in Council Cemeteries programme to review headstones every five years. Currently if a headstone is found to be unsafe it will be laid flat for 3 months and the lair owner will be contacted to advise them. If it remains unrepaired after 3 months, then it will be “socketed” (one third of the headstone placed below the ground). Committee Resolves The Committee requests that officers engage with elected members on an enhanced Memorial Safety in Council Cemeteries programme that provides more engagement with lair owners and the local community and bring a cost for the implementation of required enhancements to the June 2026 Finance & Resources Committee. Proposed by Provost Xander McDade Seconded by Councillor Colin Stewart 4 Page 13 of 186
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Finance and Resources Committee Outstanding Business Statement (OBS) (Report No. 26/109) Please note that this statement sets out outstanding decisions of this committee along with an update and estimated completion date. Actions which are overdue are shaded for ease of reference. Where an update reflects that an action is complete then the Committee’s agreement will be sought to its removal from the OBS. No Minute Reference Subject Title Outstanding Action Update Lead Officer/ Service Action Due Action Expected 41. 4 February 2026 Item 5. 2025/26 Revenue Budget – Update No. 3 Information be provided on the projected increase in residual waste disposal costs and comparisons to be provided in the new and previous contract gate fee prices. EM Briefing Note was circulated to members on 14 April 2026. Fraser Crofts Complete 22 April 2026 5 Page 15 of 186
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Our vision is a Perth and Kinross where everyone can live life well, free from poverty and inequality ___________________________________________________________________ Committee: Finance and Resources Committee Date of Meeting: 22 April 2026 Report Title: 2025/26 Revenue Budget – Update No. 4 Report Number: 26/110 Report Author: Scott Walker, Chief Finance Officer Organisational Lead: Scott Walker, Chief Finance Officer ___________________________________________________________________ 1. Purpose 1.1 The purpose of this report is to provide an update on progress with the 2025/26 General Fund Revenue Budget based upon the January 2026 ledger, updated for any subsequent known material movements, and the projected financial position of the Housing Revenue Account. 1.2 The total net projected underspend on the 2025/26 General Fund Management Budget, is £2.501 million (or 0.5% of the 2025/26 Revised Management Budget) which represents a positive movement of £267,000 (see Appendix 1). 1.3 The report also seeks approval for several adjustments to the 2026/27 Revenue Budget approved by Council on 4 March 2026 (Report No. 26/54 refers) (see Appendix 9). 1.4 Sections 2. Recommendations 3. Background 4. 2025/26 Revenue Monitoring Service Budgets Corporate Budgets Funding Other Updates 5. 2025/26 Revenue Budget Adjustments Additional Funding Virements Movements in Reserves 6. 2026/27 Revenue Budget Adjustments 6 Page 17 of 186
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7. Financial Risks 8. Workforce Management Updates 9. Conclusion 10.Impact and Value Assessment 11.Appendices 2. Recommendations It is recommended that the Committee: 2.1 Note the contents of the report, 2.2 Note the projected outturn for the General Fund set out in Section 4 and Appendix 1 and 2, 2.3 Approve the adjustments to 2025/26 General Fund budgets set out in Section 5 and Appendices 1,2,4,5,6 and 7, 2.4 Approve the adjustments to the 2026/27 General Fund budgets set out in Section 6 and Appendix 8. 2.5 Note the financial risks set out in Section 7 and Appendix 9. 2.6 Approve the workforce management measures set out in Section 8. 3. Background 3.1 This report updates the Committee on progress with the 2025/26 Revenue Budget. Appendix 1 to this report summarises the current projected year end (outturn) position for each Service based upon the January 2026 ledger, updated for any subsequent known material movements. 3.2 The budget reflected in Column 1 of Appendix 1 to this report is that approved by the Council in setting the final 2025/26 Revenue Budget on 26 February 2025 (Report No. 25/36 refers). In addition, adjustments approved by the Finance and Resources Committee on 30 April, 25 June, 1 October, 26 November 2025 and 4 February 2026 (Report No’s 25/99, 25/172, 25/248, 25/326 and 26/36 refer) are reflected in Appendix 1 (Column 2). In addition, approval to apply additional resources to Perth and Kinross Health and Social Care Partnership on 29 October 2025 is also reflected (Report No 25/278 refers). 4. 2025/26 Revenue Monitoring Service Budgets 4.1 The total net projected underspend on Service budgets, which is summarised in Section 1 of Appendix 1 to this report, is £2.539 million which represents 0.7% of total net Service expenditure (a positive movement of £279,000). Page 18 of 186
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4.2 Details of variances against individual Service budgets are shown in Appendix 2 to this report with the most significant variances summarised below. 4.3 The management of Service over and underspends are considered throughout the financial year and may also form part of the Revenue Budget strategy for future years. 4.4 There remains a risk that the Council continues to experience increases in costs over the short to medium term that are higher than budgeted. Going forward, this may continue to have an impact on projected outturns and future years’ budgets. Education and Learning 4.5 There is currently a projected underspend for Education and Learning excluding Devolved School Management (DSM) and the Pupil Equity Fund (PEF) of £1.126 million or 0.6% of the budget which represents a positive movement of £291,000. The individual elements contributing to this position are summarised in the following table with commentary on the significant variances below. Projected Outturn MovementFunction £’000 % £’000 Education and Learning Core Underspend (6) 0.5 (14) Nursery Sector Underspend (722) (2.6) (134) Primary Sector Overspend 797 1.5 (111) Secondary Sector Underspend (566) (10) 1 Special Sector Underspend (325) (1.8) (9) Home to School Transport Underspend (304) (2.7) (24) TOTAL Underspend (1,126) (0.6) (291) 4.6 In the Nursery Sector, there is an increase in the projected underspend of £134,000 due to updated staff cost projections. 4.7 In the Primary Sector, there is a reduction in the projected overspend of £111,000 due to updated staff cost projections. 4.8 In the Devolved School Management Scheme there is a projected underspend of £359,000 which represents less than 1% of the total budget. However, some schools are experiencing challenges in delivering approved staff slippage targets and facing inflationary pressures against budgets that have been reduced over previous years. The budgets for the Devolved School Management scheme are allocated by financial year (April – March), whereas expenditure is incurred by academic year (August – June). 4.9 At this stage of the academic year, expenditure met from the Pupil Equity Fund (PEF) is projected to be £100,000 less than budget. It is anticipated this this expenditure will be incurred prior to the conclusion of the 2025/26 academic year. Page 19 of 186
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Children, Families and Justice 4.10 There is currently a projected overspend for Children, Families and Justice of £50,000 or 0.2% of the budget, which represents an adverse movement of £205,000. The individual elements contributing to this position are summarised in the following table with narrative on the significant variances below. Projected Outturn MovementFunction £’000 % £’000 Children & Families Overspend 50 0.2 205 Justice Service On Target - - - TOTAL Overspend 50 0.2 205 4.11 In Children and Families, there is a net increase in the projected overspend of £205,000. This is primarily due to an increase in the costs of residential placements due to both an increase in the volume of placements and length of stays, and the non-achievement of slippage. Economy, Development and Planning 4.12 There is currently a projected underspend for Economy, Development and Planning of £315,000 or 2.0% of the approved budget which represents a positive movement of £55,000. The individual elements contributing to this position are summarised in the following table with narrative on the significant variances below. Projected Outturn MovementFunction £’000 % £’000 Service Wide Underspend (173) (2.8) (100) Tourism, Culture and Place Overspend 358 7.6 245 Development Management and Building Standards Underspend (500) - (200) TOTAL Underspend (315) (2.0) (55) 4.13 Service Wide there is an increase in the projected underspend of £100,000 based on the latest staff cost projections. 4.14 In Tourism, Culture and Place, there is an increase in the projected overspend due to reduced income from events and a delay in the delivery of approved savings. 4.15 In Development Management and Building Standards, there is an increase in the projected underspend of £200,000 due to additional income from planning applications. Environment and Infrastructure 4.16 There is currently a projected overspend for Environment and Infrastructure of £225,000 or 0.7%, which represents a positive movement of £50,000. The Page 20 of 186
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individual elements contributing to this position are summarised in the following table with narrative on the significant variances below. Projected Outturn MovementFunction £’000 % £’000 Service Wide Overspend 300 2.4 200 Traffic and Network Underspend (150) (12.0) - Waste Disposal Underspend (400) (4.5) (250) Refuse Collection Overspend 175 3.4 - Fleet Overspend 200 - - Roads Maintenance Partnership Overspend 100 4.1 - TOTAL Overspend 225 1.0 (50) 4.17 Service wide there is an increase in the projected overspend of £200,000 due to a reduction in income from capital recharges as staff were diverted to response to severe weather and emergency events. 4.18 In Waste Disposal, there is an increase in the projected underspend of £250,000 due to additional income from recyclates, reduced waste disposal costs and current projections on fuel costs. 4.19 Since the last update to the Finance and Resources Committee, there have been no severe weather events requiring a significant Council response. Therefore, it is now anticipated that there will not be an impact on unearmarked reserves from severe weather. Housing and Communities 4.20 The projected outturn for Housing and Communities is currently anticipated to be £369,000 or 1.9% more than budget, an adverse movement of £119,000. The individual elements contributing to this movement are summarised in the following table with commentary on the significant variances below. Projected Outturn MovementFunction £’000 % £’000 Service Wide Underspend (29) - (22) Bereavement Services Overspend 124 15.1 110 Public Transport Unit Overspend 95 2.4 20 Parking and Civil Contingencies Overspend 105 - 11 Specialist Services Overspend 74 1.2 - TOTAL Overspend 369 1.9 119 4.21 In Bereavement Services, there is an increase in the projected overspend of £110,000 due to an anticipated shortfall in the level of income. Page 21 of 186
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Property Services 4.22 The projected outturn for Property Services is currently anticipated to be £212,000 or 0.3% less than budget. The individual movements are summarised in the following table with commentary on the significant variances below. Projected Outturn MovementFunction £’000 % £’000 Service Wide Overspend 619 1.5 26 Energy Underspend (1,049) (13.5) (53) Facilities Management Overspend 507 6.5 61 Catering Underspend (289) (3.5) (34) TOTAL Underspend (212) (0.3) (0) 4.23 On Energy, there is an increase in the projected underspend of £53,000 based on the latest consumption information. 4.24 On Facilities Management, there was an increase in the projected overspend of £61,000 in part due to additional employment costs following the agreed reduction in cleaning hours. Legal and Governance 4.25 Within Legal and Governance there is a projected underspend of £111,000 or 2.7%, which represents an adverse movement of £15,000. 4.26 Management of A K Bell Library Archives has transferred from Culture Perth & Kinross to the Council. Access to the Archive is free but there are fees and charges in place for making copies of records and staff-facilitated research, etc. These fees will be added to the Council’s 26/27 Scheme of Charges, with the rates to be consistent with corresponding CPK charges which will maintain consistency and prevent confusion service users – there is no change to existing archive charges. Customer and Digital Services 4.27 The projected outturn for Customer and Digital Services is currently anticipated to be £662,000 or 4.9% less than budget, which represents a favourable movement of £81,000. The individual elements contributing to this movement are summarised in the following table with commentary on the significant variances below. Projected Outturn MovementFunction £’000 % £’000 IT and Customer Services Underspend (569) (7.2) 92 Revenues and Benefits Underspend (93) 1.4 (173) TOTAL Underspend (662) (4.3) (81) 4.28 In IT and Customer Services there is a reduction in the projected underspend of £92,000 due to updated staff costs projections. Page 22 of 186
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4.29 In Revenues and Benefits there is an increase in the projected underspend of £173,000 due to additional statutory income and updated staff costs projections. Strategic Planning, People and Performance 4.30 The projected outturn for Strategic Planning and Performance is £511,000 or 8.5% less than budget which represents a favourable movement of £35,000. Finance and Business Support 4.31 The projected outturn for Finance and Business Support is currently anticipated to be £246,000 or 2.3% less than budget which represents a favourable movement of £106,000 due to updated staff cost projections. Scott Street Fire 4.32 To 31 March 2026, the Council incurred approximately £2.3 million responding to the fire that took place at Scott Street fire. It is anticipated a further £300,000 will be incurred post 1 April 2026. 4.33 Interim invoices have been issued to insurance companies, which along with the funding from the Scottish Government and the Council’s previous commitment indicate that there will be no financial impact on the level of Council reserves in 2025/26. 4.34 As the works complete over the coming weeks, and the final invoices are issued to and paid by insurance companies, a more complete picture of the financial impact will emerge. 4.35 It is anticipated the final financial implications of the Scott Street Fire will be included in revenue monitoring report number five that will be considered by the Finance and Resources Committee in June 2026. Corporate Budgets 4.36 Included within Section 2 of Appendix 1 is an update on the Council’s Corporate budgets. More information on variances against individual budget headings is set out below. Health and Social care 4.37 On 18 March 2025, Perth and Kinross Integration Joint Board (IJB) considered a report on the 2025/26 Financial Position, based on financial information to 31 December 2025 (Report No. G/26/27 refers). 4.38 This latest update to the IJB included an updated projected net overspend across the Health and Social Care Partnership of £4.273 million (a reduction of £141,000 from the last update) which is summarised in the following table Page 23 of 186
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and in detail in Appendix 3. This position remains consistent with the financial challenges facing health and social care across Scotland. 4.39 The projected overspend on social care is now £3.899 million which is a reduction of £268,000 since the last update. This is result of reduction in the projected Social Care £m Health £m Health and Social Care Partnership £m Gross Projected Overspend 4.313 1.074 5.387 Application of Remaining General Reserves (0.164) - (0.164) Financial Recovery Actions - (Part A) (0.250) (0.700) (0.950) Net Projected Overspend 3.899 0.374 4.273 4.40 On 29 October 2025, the Council agreed to provide up to £4.180 million of additional financial support in 2025/26 (Report No. 25/278 refers). This funding will meet the costs associated with high service demand and provide time to complete the work outlined in part A and B of the Financial Recovery Plan. 4.41 The latest information considered by the Integration Joint Board, reduces the level of additional funding required from the Council by £281,000 and this has been included in the General Fund Reserves position set out in Appendix 7. Funding 4.42 Further information on the Council’s funding is set out within Section 3 of Appendix 1. More information on variances against individual budget headings are set out below. Council Tax Income 4.43 The amount of income the Council will generate from Council Tax is dependent on two main factors, firstly the collection levels and secondly, the number of Band D properties on the Valuation Roll. 4.44 Monitoring of Council Tax collection levels is carried out monthly. The following graph sets out collection performance to 31 March 2026 together with prior year comparative figures for the previous five financial years. Page 24 of 186
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2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% In Year Collection to 31 March 4.45 Between 2020/21 and 2024/25, the average collection figure to 31 March was 97.21%. The actual collection figure to 31 March 2026 was 97.21% which is 0.27% more than the five-year average and 0.14% more than the comparable position in 2025. April May June July Aug Sept Oct Nov Dec Jan Feb Mar 0.3% 0.2% 0.1% 0.0% -0.1% -0.2% -0.3% -0.4% Movement in Council Tax Collection Average v24/25 4.46 Secondly, in setting the Council’s Revenue Budget, assumptions are made on increases in the number of Band D equivalent properties. The graph set out below suggests that actual growth levels are in line with budget assumptions. Page 25 of 186
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4/1/2020 7/1/2020 10/1/2020 1/1/2021 4/1/2021 7/1/2021 10/1/2021 1/1/2022 4/1/2022 7/1/2022 10/1/2022 1/1/2023 4/1/2023 7/1/2023 10/1/2023 1/1/2024 4/1/2024 7/1/2024 10/1/2024 1/1/2025 4/1/2025 7/1/2025 10/1/2025 1/1/2026 4/1/2026 78,000 77,000 76,000 75,000 74,000 73,000 72,000 71,000 Council Tax - Number of Band D Equivalent Properties budget Band D Equivalents 4.47 Currently, the level of Council Tax income is projected to be on target against the budget assumptions which is reflected in Appendix 1. Non-Domestic Rates 4.48 The actual collection rate to 31 March 2026 was 96.99%, compared to 97.10% for the same period in 2024/25. Other Updates Housing Revenue Account 4.49 In terms of recurring activity across the Housing Revenue Account, there is an increase in the projected underspend of £217,000 for the current financial year. The main elements of the movements are summarised below and set out in Appendix 4. 4.50 The significant factors contributing to this positive movement are as follows. An increase in the net projected underspend in Repairs and Trades (£107,000) due primarily to projected underspends on planned maintenance; an increase in the projected underspend in Improvements (£56,000); and an increase in the projected underspend in Localities (£157,000) due, in the main, to underspends within sheltered housing. This is partially offset by an increase in the projected overspend on General Administration (£103,000) due to additional loan charges following an acceleration of the council house buy back programme. Page 26 of 186
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4.51 This net increase in the projected underspend allows for a £217,000 will be applied to the CFCR budget to increase the support to the HRA Capital Programme from the Revenue Budget by that amount. 4.52 There is also a reduction in the funding required from earmarked HRA Reserves of £11,000 due to projected underspends in Localities. 4.53 The net result of this latest monitoring on Housing Revenue Account Balances is as follows – HRA unearmarked Reserves - £1.2 million HRA earmarked Reserves - £979,000 5. 2025/26 Revenue Budget Adjustments Additional Funding 5.1 Since elected members approved the 2025/26 Revenue Budget update on 4 February 2026 (Report No. 26/36 refers), notification has been received of additional resources in the current financial year from several sources as set out below. To ensure that the 2025/26 Management Budget continues to reflect the operational requirements of the Council, several adjustments are required, which are summarised below and included either in Appendix 1 or Appendix 5. Scottish Government – Revenue Support Grant: Additional Children’s Social Care pay funding - £146,000 (Reserves) 5.2 The Scottish Government has advised that the increase in Revenue Support Grant identified above of £146,000 will be made through a redetermination of the Council’s funding. It is therefore necessary to adjust budgets for reserves and Revenue Support Grant. Other Funding 5.3 Other funding amounting to £150,000 has been paid outside the Revenue Support Grant mechanism as Other Grant income and is, therefore, cost neutral in terms of the budget summary. Details of this funding is set out in Appendix 5. 5.4 ACTION: The Committee is asked to note the receipt of £150,000 of additional resources, with this funding being reflected within Children, Families and Justice as additional grant income. The current projected outturn assumes that all these additional resources will be fully expended in 2025/26 or will be carried forward under the terms of the grant award. Contribution to/from Capital Fund 5.5 In line with the strategy for managing the Council’s Capital Programme over the medium term, it is recommended that the eventual over or underspend on Page 27 of 186
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Capital Financing Costs and Interest on Revenue Balances be transferred from or to the Capital Fund. 5.6 The latest monitoring indicates a projected reduction in capital financing costs (loan charges) of £178,000 based on the latest treasury management activity and an increase of £175,000 in income from interest on revenue balances due to updated cashflow projections. This will result in an increased Contribution to the Capital Fund of £353,000 in the current financial year. This is consistent with the planned use of the Capital Fund to manage the revenue cost of supporting the Capital budget over the short term. 5.7 ACTION: The Committee is requested to approve the virement of £178,000 from the Capital Financing Costs (Loan Charges) Budget and £175,000 to Interest on Revenue Balances with a corresponding increase in the projected Contribution to the Capital Fund. These adjustments have been reflected in Appendix 1 (Column 4) to this report. Service Virements 5.8 To ensure that the 2025/26 Management Revenue Budget continues to reflect current Service needs and operational requirements there are several adjustments that have been line with the Scheme of Administration. Movements In Reserves 5.9 Included at Appendix 7 is an update on the Council’s General Fund Reserves which includes the following: Earmarked and unearmarked Reserves at 31 March 2025 (per audited Annual Accounts). previously approved contributions to and from earmarked Reserves in 2025/26, 2026/27 and 2027/28. The impact of proposals within this report on earmarked Reserves. The impact of the latest revenue monitoring on the level of unearmarked Reserves. 5.10 The earmarked Reserves are presented under three headings as follows: i. Balances held under statute / regulation – these earmarked Reserves are prescribed under legislation, and the Council has limited discretion in how they are applied. ii. Balances held for specific (previously approved) purposes – the purpose of these earmarked Reserves has been previously approved by Council in either the Reserves Strategy or Annual Accounts iii. Balances held for other purposes – the creation of these earmarked Reserves has been approved by Council, but not specific proposals. 5.11 Going forward proposals involving earmarked Reserves under i. and ii. above will be advised to Committee in summary as Council either has limited discretion or previously approved their application. Proposals to apply Page 28 of 186
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earmarked Reserves under iii. above will include more detail for elected member consideration. Balances Held Under Statute / Regulation 5.12 The following are adjustments to the earmarked Reserves held under statute or regulation. £170,000 from Revenue Grants to support eligible expenditure from the No One Left Behind project £642,000 from Council Tax Income for Affordable Housing as a contribution towards the HRAs new build programme. £279,000 to the Car Park Trading Account based on the projected underspend included in Appendix 2. £380,000 from the Car Park Trading Account to fund key local bus services in 2026/27 and 2027/28. Balances Held for Specific (Previously Approved) Purposes 5.13 These earmarked Reserves have previously been approved by elected members in their consideration of the Reserves Strategy or Annual Accounts. 5.14 Specifically, authority is sought to adjust the following earmarked Reserves identified below: £618,000 to Council Approved Revenue Budget Flexibility to reflect the timing of expenditure towards approved projects as set out in Appendix 6. £40,000 from the Council Approved Revenue Budget Flexibility for 2025/26 resilience projects. £20,000 returned to the Works Maintenance Reserve for contaminated land for works in 2026/27 (Housing and Communities) £11,000 from Historic Child Abuse Scheme for costs incurred (Children, Families and Justice) £150,000 returned to the Extended Producer Packaging reserve due to slippage on waste projects (to now be drawn down in 2026/27) (Environment and Infrastructure) 5.15 ACTION: The Committee is asked to approve the transfers to or from earmarked Reserves set out in paragraph 5.14 above. These adjustments are reflected in Appendix 1 (Column 5) to the report. Balances Held for Other Purposes 5.16 Approval is sought for an adjustment relating to the earmarked Reserve for Anti-Poverty of £31,000 to reflect actual expenditure plans. 5.17 ACTION: The Committee is asked to approve the transfer of £31,000 to the Anti-Poverty earmarked Reserve from Strategic Planning, People and Page 29 of 186
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Performance. This adjustment is reflected in Appendix 1 (Column 5) to the report. Unearmarked Reserves 5.18 Based on the latest information, the level of unearmarked Reserves at 31 March 2026 is projected to be £17.380 million or 3.5%. This position will undoubtedly change once the final outturns are available. 5.19 The level of unearmarked Reserves has increased by £542,000 since the last update in February due to further improvements in the projected outturn position. 5.20 The Reserves Strategy sets out a range of between 2% and 4%. 6. 2026/27 Revenue Budget 2026/27 Additional Funding 6.1 Other funding amounting of £247,000 will be paid outside the Revenue Support Grant mechanism as Other Grant income and is, therefore, cost neutral in terms of the budget summary. Details of this funding is set out in Appendix 5. 2026/27 Virements 6.2 To ensure that the 2026/27 Management Revenue Budget continues to reflect current Service needs and operational requirements there are several virements that are reflected in Appendix 1 (column 4) that have been processed in line with the Scheme of Administration. 2026/27 Movements in Reserves 6.3 There are a several adjustments set out above, where resources were applied to Reserves in 2025/26 that require to be drawn down in 2026/27 which are summarised as: £150,000 to Environment and Infrastructure from the Extended Producer Packaging earmarked Reserve to reflect expenditure plans. £190,000 to Housing and Communities from the Car Park Trading account to support local bus services. £20,000 to Housing and Communities from the Works Maintenance earmarked Reserve to reflect expenditure plans. £26,000 to Housing and Communities from the Communities earmarked Reserve to support community events relating to the World Cup. £618,000 to Services from Council Approved Revenue Budget Flexibility carried forward from 2025/26 to 2026/27 as detailed in Appendix 6. Page 30 of 186
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£41,000 to Economy, Development and Planning from Financial Assistance to support civic events in 2026/27. 6.4 ACTION: The Committee is asked to approve the adjustments set out at in paragraphs 6.3 which are reflected in Appendix 8 (Column 5) to this report. 6.5 There has been a series of fly-tipping incidents on the Northfield Site in Perth City with a significant amount of waste having been dumped illegally. It is estimated that the cost of clearing the site will be in the region of £20,000, the majority of this being attributable to the physical disposal of the waste material with the Council’s approved waste disposal contractor. To that end, approval is sought to draw down the funding from the Communities earmarked Reserve. 6.6 ACTION: The Committee is asked to approve the transfer of £20,000 from the Communities earmarked Reserve to Environment and Infrastructure to fund this work which is reflected in Appendix 8 (Column 5) to this report. 6.7 The Council has been approached by Heartland to consider providing financial underwriting support in response to several exceptional and largely external factors that have created a material financial risk to the delivery of two established and emerging cultural events. 6.8 The pressures are not the result of poor planning or delivery failure, but of circumstances outside the organiser’s control, leading to a relatively modest short-term funding gap that threatens the viability of both events if not addressed before critical contractual deadlines. Failure to act may result in event cancellation, leading to immediate economic loss, reputational damage, and a longer-term erosion of confidence in Pitlochry and Perth and Kinross as viable locations for major events. 6.9 By providing a level of financial support the Council would be protecting and sustaining events that generate significant visitor spend, local employment, and place-based reputational benefit for Pitlochry and Perth and Kinross more widely, while also safeguarding longer-term strategic opportunities. The events have demonstrably strong attendance potential, growing audiences, and clear pathways to future financial sustainability once current abnormal conditions ease and baseline data is established. 6.10 Approval in principle is sought to underwrite up to £30,000 to take this forward. This authority would provide officer with time to work with the organiser and security to allow the event to proceed. It would be the intention to provide an update the Finance and Resources Committee in June 2026 7. Financial Risks 7.1 In preparing the Council's revenue monitoring, officers have considered the key strategic, operational and financial risks facing the Council over this period. Whilst the risks may be managed in the current financial year, there is the potential for there to be an impact in the future. Page 31 of 186
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7.2 To alleviate the impact these risks may have if they occur, a number of general risk mitigation factors are utilised by the Council which include detailed budget monitoring carried out by Services and having general fund balances available to meet unforeseen expenditure. 7.3 There is clearly a concern that there will be an impact of the global tension on the cost of Council services. This is not likely to impact on 2025/26 but will be kept under review for 2026/27 and beyond. 7.4 Risks are captured within the body of the report with a summary being maintained in Appendix 9. 7.5 Going forward, risks to the Revenue Budget will be captured with mitigating actions identified. 8. Workforce Management Updates Probationary Periods 8.1 The Council is introducing a four month probationary period for all new starts joining the Council on or after the 1 July 2026. A structured probationary period allows time to ensure that the time and effort that is invested in recruiting a new employee is further enhanced by giving focus to a robust induction, support and training to perform well in the role. It also is an effective tool to assess compatibility with the new job role for both parties. Pay and Grading Review 8.2 There is a continuing requirement to future proof the lower end of the SJC salary scales to ensure that the Council’s salary scales remain fit for purpose. 8.3 The impact of national pay awards over recent years, which has majored on bottom loaded pay awards and this along with the increases to the Real Living Wage, require a review of existing scales to ensure that the Council continues to recognise and value the experience of staff at the lower end of the pay scales from entry level posts and ensure differentials remain between all grades. This will create a more attractive incentive package for both new and existing employees. 8.4 Officers intend to meet with SJC unions to consider how to future proof our scales for the lowest paid employees whilst ensuring we continue to apply the principles of Fair Work First. 8.5 It is anticipated that the Committee will receive further updates in June and September 2026 with the intention being to implement a change in November 2026 alongside the next Real Living Wage increase. 8.6 ACTION The Committee is asked to approve the commencement of a period of engagement with the progress to be reported back to future meetings of this committee. Page 32 of 186
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Chief Education Officer Remuneration 8.7 A salary adjustment for the Chief Education Officer is required due to the impact of recent external pay awards / adjustments, specifically teacher pay awards and job-sizing outcomes. This has resulted in the salary of the Chief Education Officer being overtaken by the highest paid head teacher. 8.8 The independent Chief Executive Salary Review agreed by Cosla Leaders in October 2025 agreed a pay hierarchy in which a nominal 10% step between Head Teachers and a “Director level Education role” was established as the “bottom line” in 2025. Whilst Perth and Kinross Council does not have a specific Director of Education post, this statutory function is held by the Strategic Lead, Education & Learning/Chief Education Officer. 8.9 Given the recent changes to the head teacher salary placing, it is proposed that the salary of the Strategic Lead, Education & Learning/Chief Education officer is adjusted with a supplement, consistent with the proposal at paragraph 8.8 above to ensure that this post is paid more than the highest head teacher. This will result in an additional cost of £18,000. Going forward, this supplement will be maintained to ensure that the Council is consistent with the external salary review identified above. 8.10 ACTION The Committee is asked to approve the adjustment to the salary of the Chief Education Officer set out in paragraph 8.9. 9. Conclusion 9.1 This report provides an update on the financial performance of Perth and Kinross Council for 2025/26. The report highlights a projected net underspend of £2.501 million. 9.2 The report also outlines several adjustments to the 2025/26 Revenue Budget, including additional funding from the Scottish Government and various virements to ensure the budget aligns with current service needs. 9.3 Financial risks are identified and mitigated through detailed budget monitoring and the availability of general fund balances. 9.4 The latest monitoring indicates that the Council will have unearmarked General Fund balances of £17.480 million or 3.5% on 31 March 2026. 9.5 The report recommends approval of the proposed budget adjustments and notes the importance of continued vigilance in managing financial risks. 9.6 Finally, the report recommends several adjustments to the 2026/27 Revenue Budget to ensure it also aligns with service activity. 10. Impact and Value Assessment 10.1 This is an operational report, and as such, an impact and value assessment is not required. Page 33 of 186
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11. Appendices Appendix 1 - 2025/26 Management Budget Appendix 2 - General Fund 2025/26 Projected Outturn - Service Analysis Appendix 3 - Perth and Kinross Health and Social Care Partnership - 2025/26 Projected Outturns Appendix 4 - Housing Revenue Account 2025/26 Projected Outturns Appendix 5 - Other Grant Funding 2025/26 and 2026/27 Appendix 6 - Council Approved Revenue Budget Flexibility Appendix 7 - General Fund Reserves Update Appendix 8 - 2026/27 Management Budget Appendix 9 - Financial Risks Page 34 of 186
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Appendix 1 (Revised) (1) (2) (3) (4) (5) (6) (7) (8) (9) 2025/26 Previously Movements Virements Movements 2025/26 Projected Variance Variance Council Approved in in Revised Outturn to to Approved Adjustments Funding Reserves Mgt Revised Revised Budget (Net) Budget Mgt Mgt Budget Budget £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 % SECTION 1 Service Budgets Education and Learning 178,397 2,227 31 180,655 179,529 (1,126) (0.6%) Children, Families and Justice 24,415 510 11 24,936 24,986 50 0.2% Economy, Development and Planning 14,857 960 (108) 15,709 15,394 (315) (2.0%) Environment and Infrastructure 31,049 2,131 (14) (190) 32,976 33,201 225 0.7% Housing and Communities 18,772 779 2 568 20,121 20,490 369 1.8% Property Services 65,316 1,712 67,028 66,816 (212) (0.3%) Legal and Governance 4,898 (728) 6 4,176 4,065 (111) (2.7%) Customer and Digital Services 12,466 932 5 13,403 12,741 (662) (4.9%) Strategic Planning, People and Performance 6,159 (70) (31) (237) 5,821 5,310 (511) (8.8%) Projects and Programmes 527 (194) 333 333 0 0.0% Finance and Business Support 8,521 1,997 1 10,519 10,273 (246) (2.3%) Directorate Core Costs 570 523 1,093 1,093 0 0.0% Sub - Total: Service Budgets 365,947 10,779 0 0 44 376,770 374,231 (2,539) (0.7%) SECTION 2 Corporate Budgets Health and Social Care 106,313 4,863 111,176 111,176 0 0.0% Contribution to Valuation Joint Board 1,421 1,421 1,421 0 0.0% Capital Financing Costs 18,914 2,754 (178) 21,490 21,490 0 0.0% Interest on Revenue Balances (3,936) (626) (175) (4,737) (4,737) 0 0.0% Net Contribution to/(from) Capital Fund 5,331 (4,728) 353 956 956 0 0.0% Contribution to/(from) Insurance Fund 4,000 4,000 4,000 0 0.0% Trading Operations Surplus (550) (550) (550) 0 0.0% Support Service External Income (2,323) (2,323) (2,323) 0 0.0% Tayside Pension Fund 1,711 1,711 1,684 (27) (1.6%) Apprenticeship Levy 956 956 1,021 65 6.8% Pay Award (2,800) 2,800 0 0 0 0.0% Leadership and Procurement (305) 305 0 0 0 0.0% Council Tax Reduction Scheme 7,400 7,400 7,400 0 0.0% Discretionary Relief 1,104 1,104 1,104 0 0.0% Net Expenditure (General Fund) 503,183 16,147 0 0 44 519,374 516,873 (2,501) (0.5%) PERTH & KINROSS COUNCIL GENERAL FUND 2025/26 REVENUE BUDGET - SUMMARY 6 Page 35 of 186
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Appendix 1 (Revised) (1) (2) (3) (4) (5) (6) (7) (8) (9) 2025/26 Previously Movements Virements Movements 2025/26 Projected Variance Variance Council Approved in in Revised Outturn to to Approved Adjustments Funding Reserves Mgt Revised Revised Budget (Net) Budget Mgt Mgt Budget Budget £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 % PERTH & KINROSS COUNCIL GENERAL FUND 2025/26 REVENUE BUDGET - SUMMARY SECTION 3 Funding Revenue Support Grant (304,896) (8,193) (146) (313,235) (313,235) 0 0.0% Ring Fenced Grant (1,967) (1,967) (1,967) 0 0.0% Non Domestic Rate Income (63,537) (63,537) (63,537) 0 0.0% Council Tax Income (119,157) (119,157) (119,157) 0 0.0% Capital Grant (1,600) (1,600) (1,600) 0 0.0% Total Financing (491,157) (8,193) (146) 0 0 (499,496) (499,496) 0 0.0% Financed from/(returned to) Reserves 12,026 7,954 (146) 0 44 19,878 17,377 (2,501) APPENDIX 1 Page 36 of 186
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APPENDIX 2 (Revised) PERTH AND KINROSS COUNCIL - GENERAL FUND 2025/26 PROJECTED OUTTURN - SERVICE ANALYSIS (Based on Expenditure to 31 January 2026) Variance Variance £'000 £'000 EDUCATION AND LEARNING Total (1,126) NON DEVOLVED Education and Learning Core (32) Projected underspend on clothing grants and parent council funding offset by not meeting slippage target 26 Projected overspend on free school meals over the holiday period due to exceptional closures and seven week Summer Nursery Sector (722) Projected additional slippage over target due to turnover of staff, lower than anticipated staffing required for deferred places and lower partner providers payments than budgeted. Primary Sector 797 Slippage target projected not to be met within primary sector due to the requirement to have a teacher in front of class at all times. Secondary Sector (566) Projected slippage in excess of target due to part year allocation of fte required for new Intensive Support Provisions. Special Sector (610) Projected slippage in excess of target due to turnover of staff and challenges in recruitment of posts in particular pupil support assistants. 285 Projected overspend on independent school placements due to increased number of placements. Home to School Transport (304) Projected underspend due to increased costs being offset by lower number of school days in financial year 2025/26. DEVOLVED SCHOOL MANAGEMENT SCHEME (DSM) 359 Projected underspend of less than 1% of total budget. (359) To be carried forward PUPIL EQUITY FUND 100 Projected underspend to be utilised in advance of June 2026. (100) To be carried forward CHILDREN, FAMILIES AND JUSTICE Total 50 Children and Families (102) Projected overspend due to not meeting slippage target offset by reduction in demand for some services over 1st Quarter. Movements due to increased costs of continuing care. (756) Projected under spend on foster, kinship and adoption in part due to reduction in overall placements in foster carers. This decrease in demand is linked to the new working practices which include a greater focus on early intervention some of which is funded from the WFWF temporary funding. 908 Projected over spend on residential placements due to additional placements in excess of budget and higher inflation uplifts than budgeted. Movement due to two new placements and extension of one placement due to external provider delays. ECONOMY, DEVELOPMENT AND PLANNING Total (315) Service Wide (250) Projected slippage across Economy, Development & Planning in excess of slippage target 57 Projected shortfall in sales ledger bad debt provision 20 Projected overspend for contribution towards Tay Cities Deal project management costs Tourism, Culture and Place 113 Perth Harbour - projected increase in operating costs /shortfall in income. 100 Overspend relating to events (5) Events, projected over recovery of income 150 Savings delayed due to the ongoing review of our cultural and leisure ALEOs. Development Management & Building Standards (500) Projected additional Planning Application income SERVICE Summary of Service Variances 6 Page 37 of 186
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APPENDIX 2 (Revised) PERTH AND KINROSS COUNCIL - GENERAL FUND 2025/26 PROJECTED OUTTURN - SERVICE ANALYSIS (Based on Expenditure to 31 January 2026) Variance Variance £'000 £'000SERVICE Summary of Service Variances ENVIRONMENT AND INFRASTRUCTURE Total 225 Service Wide 100 Projected non-achievement of slippage target across Environment & Infrastructure 200 Projected shortfall in recharge to capital due to staff dealing with more severe weather and emergency events Direct Services - Waste Disposal (300) Projected additional income from sale of recyclates as a result of the new twin-streaming collection and favourable market prices. 0 Projected net additional cost on the waste disposal contract as a result of increased residual waste tonnage and gate fee price (100) Projected saving on fuel Direct Services - Refuse Collection 175 Projected net shortfall in commercial waste income Direct Services - Fleet 200 Projected additional cost of vehicle materials and repairs. Traffic and Network (150) Projected additional income from statutory road network works. Roads Maintenance Partnership 100 Projected additional expenditure on routine and cyclic roads maintenance including emptying of gullies. 150 Projected overspend on flood maintenance Street Lighting Partnership (50) Projected saving on repairs and maintenance (100) Projected saving on energy due to positive impact of LED replacement programme HOUSING AND COMMUNITIES Total 369 Service Wide (50) Projected slippage across Housing & Communities in excess of slippage target 21 Projected shortfall in recharge to capital Bereavement Services 14 Projected over spend on loan charges. 110 Projected shortfall in bereavement income Public Transport Unit (62) Projected additional income from park and ride departure charges 63 Projected overspend in relation to park & ride expenditure 49 Projected overspend due to health & safety works and a shortfall in income at Perth Bus Station. 45 Projected overspend on tendered service Parking & Civil Contingencies 105 Projected overspend on Visitor Rangers 324 Projected under-recovery of parking income (603) Projected underspend on parking expenditure budgets 279 Return net underspend to parking reserve Specialist Services 74 Projected overspend in property set-up costs for temporary accommodation PROPERTY SERVICES Total (212) Service Wide 382 Projected overspend as not yet meeting slippage target, increased costs for loan charges and required works for tree surveys and emergency works across the portfolio. 230 Projected overspend on unitary charge due to increased interest rates and historic lifecycle costs and low income from Campus RHI. 7 Increased costs for grass pitch lets in LAL settings Energy (1,049) Projected reduction in energy costs due to reduced rates and consumption. Page 38 of 186
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APPENDIX 2 (Revised) PERTH AND KINROSS COUNCIL - GENERAL FUND 2025/26 PROJECTED OUTTURN - SERVICE ANALYSIS (Based on Expenditure to 31 January 2026) Variance Variance £'000 £'000SERVICE Summary of Service Variances Facilities Management 257 Overspend due to delay in implementing new cleaning schedule required to achieve £406,000 Tayside Contract approved saving and associated redundancy costs. New cleaning schedule for offices in place from 1st July 2025. Increased costs due to redundancy and new booking system. 250 Projected overspend due to shortfall in income target for Pullar House lets in the current year due to delays from public sector partners. Catering (289) Projected underspend due to lower meals than budgeted. LEGAL AND GOVERNANCE Total (111) 50 Projected non-achievement of slippage target across Legal & Governance 35 Projected overspend on supplies and services (196) Projected additional income across Legal and Governance (Short Term Lets £84,000, Licences £35k, external recharges to Dundee City Council & Angus Council £40k, rebates income on contracts £25k and additional income due to external work including Council house buy backs £12k. CUSTOMER AND DIGITAL SERVICES Total (662) IT & Customer Services (569) Projected under spend on staff costs in excess of slippage target caused by delays in recruiting and difficulties in sourcing suitably experience / skilled staff for technical IT roles. Revenues and Benefits (30) Projected underspend due to excess staff slippage due to early delivery of savings. (143) Additional statutory additions income and small underspend on supplies and services 80 Projected shortfall due to increased service charges from Social Housing Providers that are not covered by Housing Benefit Subsidy. STRATEGIC PLANNING, PEOPLE AND PERFORMANCE Total (511) (280) Projected staff slippage across Strategic Planning, People and Performance in excess of slippage target 44 Projected overspend on supplies and services (150) Projected net underspend on the Locality budget to reflect known commitments. (125) Projected additional income from the salary sacrifice scheme PROJECTS AND PROGRAMMES Total 0 0 No material variances at present FINANCE AND BUSINESS SUPPORT Total (246) (246) Projected underspend due to slippage in excess of target due to turnover and early delivery of savings. TOTAL (2,539) Page 39 of 186
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APPENDIX 3 Perth and Kinross Health and Social Care Partnership (Revised) Projected outturn based on Revenue Monitoring to 31 December 2025 Social Care Health Health & Social Care Partnership £'000 £'000 £'000 DEVOLVED FUNCTIONS Older People Services 1,571 1,889 3,460 Adult Services 2,422 (563) 1,859 Other Community Services (148) 0 (148) Management/Commissioned/Other 353 (45) 308 Undelivered Savings 115 110 225 Sub Total - Hospital & Community Health 4,313 1,391 5,704 P&K IJB Lead Partner 0 (1,592) (1,592) Dundee & Angus Hosted Services Recharges In/Out 0 1,991 1,991 Sub Total - Lead Partner Arrangement 0 399 399 Acute / Whole System Pressures 0 (653) (653) Total Lead Partner Arrangements 0 (254) (254) GP Prescribing / Other Family Health Services 0 (459) (459) General Medical Services / Family Health Services 0 396 396 Sub Total - PKHSCP 4,313 1,074 5,387 Approved Use of General Reserves in 2025/26 (164) 0 (164) Financial Recovery Actions - Part A (250) (700) (950) Total Projected Outturn Perth & Kinross HSCP 3,899 374 4,273 NON - DEVOLVED FUNCTIONS 0 0 0 TOTAL HEALTH AND SOCIAL CARE 3,899 374 4,273 Projected Out-turn Over / (Under) Spend 6 Page 41 of 186
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APPENDIX 4 (Revised) PERTH AND KINROSS COUNCIL - HOUSING REVENUE ACCOUNT 2025/26 PROJECTED OUTTURN (Based on Expenditure to 31 January 2026) £'000 Service Wide 100 Projected additional pay award costs across the Housing Revenue Account (101) Projected slippage across HRA in excess of slippage target Repairs & Trades 447 Projected overspend on external voids due to use of external contractors. 188 Projected overspend on external repairs & maintenance due to use of external contractors and increased stock levels. (670) Projected underspend within stores as a result of increased usage of external contractors. (125) Projected underspend within Electrical Inspection Condition Report (EICR) contract as a result of less remedial works required. 102 Purchase of additional Internet Of Things Sensors for installing in tenant's homes (190) Projected underspend within planned maintenance 59 Projected overspend on transport costs 90 Projected overspend in relation to Emergency Lighting remedial works (64) Projected additional income for recoverable charges 89 Housing Repairs - additional staff and fire assessments remedial work to be funded from earmarked reserves. Improvements (126) Projected additional Ofgem income for Renewable Heat Incentives (11) Recharge to HEEPS ABS programme for Project Manager costs 51 Projected overspend in relation to cost of RAAC surveys and architects fees 30 Projected overspend in relation to cost of Energy performance Certificate works 49 Housing Improvements - additional staff to be funded from earmarked reserves. Housing Localities 78 Projected overspend on non-staff budgets across locaity offices (70) Projected underspend on Garden Maintenance contract (110) Projected underspend within energy costs in Sheltered Housing (35) Projected underspend within non-staff budgets in Sheltered Housing (20) Projected underspend within Tenant Participation 141 Localities - additional staff to be funded from earmarked reserves.. Specialist Services 0 Localities - additional staff and costs for downsizing scheme to be funded from earmarked reserves. General Administration 139 Projected overspend on Void Council Tax based on 2024/25 outturn. 773 Projected overspend on loan charges due to acceleration of capital programme including buy backs including paying off some debt earlier 119 Projected overspend on corporate recharges based on 2024/25 plus 3% due to increasing Council wide costs. (494) Projected underspend on rent bad debt provision based on estimated rent arrears position. 157 Projected increase in insurance costs (20) Projected underspend within rates (100) Projected underspend within void rent loss Income (100) Projected additional Interest on Revenue Balances income. (750) Projected additional income based on stock levels. CFCR 453 As a result of the projected net under spends highlighted above, this is the additional amount available to support the HRA capital programme from the Revenue Budget. (279) Contribution from HRA Earmarked Reserve (200) Net Projected Underspend to be transferred to Unearmarked Reserves HRA Reserve Information 1,258 Opening HRA Earmarked Reserve (279) Total contribution from HRA Earmarked Reserve. 979 Projected Closing HRA Earmarked Reserve 1,000 Opening HRA Unearmarked Reserve 200 Total contribution to HRA Unearmarked Reserve 1,200 HRA Unearmarked Reserve - 3.1% Summary of Service Variances 6 Page 43 of 186
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APPENDIX 5 (Revised) Other Grant Funding 2025/26 Children, Families and Justice Scottish Government - Caledonian Project £150,000 TOTAL £150,000 Other Grant Funding 2026/27 Strategic Planning, People and Performance Scottish Government – Fairer Futures Partnership £247,000 TOTAL £247,000 6 Page 45 of 186
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APPENDIX 6 (Revised) Council Approved Revenue Budget Flexibility Economy, Development and Planning Jeanfield Swifts Community FC £100,000 Tactran £109,000 Civic / Events £69,000 Environment and Infrastructure Good Food Nation £40,000 Housing and Communities Community Asset Transfer Fund £60,000 Community Transport Funding £10,000 Community Resilience Fund £24,000 Strategic Planning, People and Performance Pay & Grading review £15,000 Community Mental Health Futures £191,000 Total £618,000 6 Page 47 of 186
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General Fund Reserves Update Proposals Included in Report Proposals Included in Report Commit- ments Balance 31/3/25 25/26 26/27 27/28 25/26 Future £m £m £m £m £m £m £m £m General Fund Balance 68.284 Balances Held Under Statute / Regulation - Revenue Grants 13.355 (2.554) (0.170) (10.591) 0.040 - Service Concessions 13.262 (9.000) (2.000) (1.000) (1.262) 0.000 - Council Tax Income for affordable housing 4.796 (0.042) 0.283 0.283 (0.642) (4.678) 0.000 - Developers Contributions: Affordable Housing 4.627 (4.627) 0.000 - Developers Contributions: Commuted Sums 1.202 (1.202) 0.000 - Car Parking 0.977 (0.168) 0.279 (0.380) (0.708) 0.000 - Devolved School Management 0.527 (0.527) 0.000 Sub total 38.746 (12.291) (1.717) (0.717) (0.533) (0.380) (23.068) 0.040 Balances Held for Specific (Previously Approved) Purposes - Council Approved Revenue Budget Flexibility 1.483 (0.558) (0.694) 0.578 (0.618) 0.191 - Culture 0.499 (0.105) (0.394) 0.000 - School Estate 0.311 (0.058) 0.791 0.347 1.391 - Climate Change 0.295 (0.049) (0.246) 0.000 - Works Maintenance 0.200 (0.020) (0.070) 0.020 (0.020) 0.110 - Modern Apprentice Scheme 0.186 0.186 - School Counsellors 0.151 (0.151) 0.000 - Local Government Elections 0.106 0.053 0.053 (0.212) 0.000 - Events 0.097 (0.097) 0.000 - Cemetery Walls 0.080 (0.076) 0.004 - Salix 0.075 0.075 - Community Investment Fund 0.061 (0.023) (0.024) 0.014 - Historic Child Abuse Scheme 0.050 (0.011) 0.039 - Financial Assistance (Mod) 0.040 0.020 0.020 0.020 (0.041) 0.059 - Local Area Partnerships 0.036 (0.006) 0.030 - Feasibility 0.100 0.027 (0.115) 0.012 Approved Contributions (from) / to Reserves APPENDIX 7 (Revised) 6 Page 49 of 186
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General Fund Reserves Update Proposals Included in Report Proposals Included in Report Commit- ments Balance 31/3/25 25/26 26/27 27/28 25/26 Future £m £m £m £m £m £m £m £m Approved Contributions (from) / to Reserves APPENDIX 7 (Revised) - Health and Social Care 0.000 0.309 0.500 0.809 - pEPR Funding 0.000 0.400 (0.875) (0.356) 0.150 (0.150) 0.831 0.000 - Community Resilience 0.000 0.800 0.800 Sub total 3.770 0.466 (1.054) (0.201) 0.737 (0.829) 0.831 3.720 Balances Held for Other Purposes 0.000 - Transformation & Workforce Management 4.837 (0.831) (0.550) (1.073) 2.383 - Anti - Poverty 1.213 (0.165) (0.678) (0.050) 0.031 (0.031) 0.320 - Communities 1.003 (0.285) (0.081) (0.055) (0.020) 0.562 Sub total 7.053 (1.281) (1.309) (0.105) 0.031 (0.020) (1.104) 3.265 Earmarked Reserves 49.569 (13.106) (4.080) (1.023) 0.235 (1.229) (23.341) 7.025 Uncommitted General Fund Balance 18.715 Use of unearmarked Reserves in setting Budgets (1.989) Impact of Current Year Decisions (3.974) Impact of Current Year Projected Outturn 2.501 Impact of proposals within this report 2.227 Updated Unearmarked General Fund Balance 17.480 Percentage of Net Revenue Budget 3.5% Page 50 of 186
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Appendix 8 (Revised) (1) (2) (3) (4) (5) (6) 2026/27 Previously Movements Virements Movements 2026/27 Council Approved in in Revised Approved Adjustments Funding Reserves Mgt Budget (Net) Budget £'000 £'000 £'000 £'000 £'000 £'000 SECTION 1 Service Budgets Education and Learning 183,228 18 183,246 Children, Families and Justice 27,360 513 27,873 Economy, Development and Planning 15,346 (1) 319 15,664 Environment and Infrastructure 36,238 22 210 36,470 Housing and Communities 18,735 (2) 330 19,063 Property Services 63,962 60 64,022 Legal and Governance 4,618 6 4,624 Customer and Digital Services 12,975 5 12,980 Strategic Planning, People and Performance 6,450 (31) 206 6,625 Projects and Programmes 148 148 Finance and Business Support 10,772 (60) 10,712 Directorate Core Costs 622 622 Sub - Total: Service Budgets 380,454 0 0 530 1,065 382,049 SECTION 2 Corporate Budgets Health and Social Care 121,185 (530) 120,655 Contribution to Valuation Joint Board 1,490 1,490 Capital Financing Costs 21,403 4,570 25,973 Interest on Revenue Balances (3,408) (549) (3,957) Net Contribution to/(from) Capital Fund 2,803 (4,021) (1,218) Contribution to/(from) Insurance Fund 2,000 2,000 Trading Operations Surplus (550) (550) Support Service External Income (2,403) (2,403) Tayside Pension Fund 1,711 1,711 Apprenticeship Levy 956 956 Leadership and Procurement (303) (303) Council Tax Reduction Scheme 7,400 7,400 Discretionary Relief 1,104 1,104 Net Expenditure (General Fund) 533,842 0 0 0 1,065 534,907 PERTH AND KINROSS COUNCIL GENERAL FUND 2026/27 REVENUE BUDGET - SUMMARY 6 Page 51 of 186
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Appendix 8 (Revised) (1) (2) (3) (4) (5) (6) 2026/27 Previously Movements Virements Movements 2026/27 Council Approved in in Revised Approved Adjustments Funding Reserves Mgt Budget (Net) Budget £'000 £'000 £'000 £'000 £'000 £'000 PERTH AND KINROSS COUNCIL GENERAL FUND 2026/27 REVENUE BUDGET - SUMMARY SECTION 3 Funding Revenue Support Grant (314,663) (314,663) Ring Fenced Grant (3,903) (3,903) Non Domestic Rate Income (72,299) (72,299) Council Tax Income (131,650) (131,650) Capital Grant (1,600) (1,600) Total Financing (524,115) 0 0 0 0 (524,115) Financed from/(returned to) Reserves 9,727 0 0 0 1,065 10,792 APPENDIX 8 Page 52 of 186
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Appendix 9 (Revised) FINANCIAL RISKS Risk to Revenue Budget Mitigation 1 Achievement of staff slippage targets, particularly relating to teacher numbers and impact on pupil / teacher ratio - Proactive workforce management - Revenue monitoring - Future budget submissions 2 Funding to Health & Social Care - Proactive management - Financial Recovery Plan - Revenue monitoring - Future budget submissions 3 Inflation in excess of budgeted levels - Revenue monitoring - Future budget submissions 4 Council Tax income - Revenue monitoring - Future budget submissions 5 Extended Producer Responsibility for Packaging income - Revenue monitoring - Future budget submissions 6 Cost of responding to Severe Weather - Revenue monitoring 7 Increase in costs due to global tensions - Revenue monitoring - Future budget submissions 6 Page 53 of 186
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Our vision is a Perth and Kinross where everyone can live life well, free from poverty and inequality ___________________________________________________________________ Committee: Finance and Resources Committee Date of Meeting: 22 April 2026 Report Title: Composite Capital Budget 2025/31 and Housing Investment Programme 2025/30 – Monitoring Report No.4 Report Number: 26/111 Report Author: John Jennings, Senior Accountant James Salisbury, Senior Accountant Organisational Lead: Scott Walker, Chief Finance Officer ___________________________________________________________________ 1. Purpose 1.1 This report provides a summary position to date for the 6-year Composite Capital Budget for 2025/26 to 2030/31 and the 5-year Housing Investment Programme for 2025/26 to 2029/30 and seeks approval for adjustments to the programmes. 1.2 Sections 1. Purpose 2. Recommendations 3. Background 4. Composite Capital Programme – Gross Capital Resources 5. Composite Capital Programme – Expenditure 6. Housing Investment Programme 7. Budget Overview 8. Financial Risks 9. Impact and Value Assessment 10. Appendices 2. Recommendations It is recommended that the Committee: 2.1 notes the contents of the report. 2.2 approves the proposed adjustments to the six-year Composite Capital Budget 2025/26 to 2030/31 set out in Sections 4 and 5 of the report and summarised in Appendices I and II. 7 Page 55 of 186
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2.3 approves the proposed adjustments to the Housing Investment Programme Budget 2025/26 to 2029/30 set out in Section 6 of the report and summarised in Appendix III. 2.4 notes progress with the delivery of major Capital projects as summarised in Appendix IV. 3. Background 3.1 The Finance and Resources Committee approved an updated six-year gross Composite Capital Budget for 2025/26 to 2030/31 totalling £561.986 million and a five-year gross Housing Investment Programme for 2025/26 to 2029/30 totalling £89.027 million at its meeting on 4 February 2026 (report 26/37 refers). The meeting of the Council on 4 March 2026 (report 26/54 and 26/55 refer, together with the approved Revenue Budget Motion) subsequently approved some amendments to the Composite Programme for 2026/27 to 2030/31, giving a revised gross budget of £573.040 million. 3.2 This monitoring report advises on current year expenditure to 28 February 2026, and the latest estimate of the projected outturn for each of the years to 2030/31 for the Composite Programme and 2029/30 for the Housing Investment Programme. The new approved budget for 2031/32 is not included in this report and will be included as part of the Capital Budget Monitoring reports in 2026/27. 4. Composite Capital Programme – Gross Capital Resources 4.1 As a result of the latest monitoring exercise, further adjustments to the budget are proposed. The current estimated total gross capital resources (which includes movements in Capital Receipts, Capital Grants, Contributions and borrowing) available over the six years 2025/26 to 2030/31 amount to £573.400 million. 4.2 Movements from the revised Composite Capital Budget approved on 4 March 2026 for these six years are summarised in the table below, and the constituent elements for each year are shown in Appendix I. Total Gross Composite Capital Resources Approved 4 Mar 2026 Current Estimate Movement £M £M £M 2025/26 113.526 97.437 (16.089) 2026/27 113.399 127.791 14.392 2027/28 109.013 112.634 3.621 2028/29 86.571 83.712 (2.859) 2029/30 72.729 72.750 0.021 2030/31 77.802 79.076 1.274 Total 573.040 573.400 0.360 Page 56 of 186
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4.3 The movement in the total Gross Resources for the 6 years 2025/26 to 2030/31 shown at Section 4.2 above can be summarised as follows: £’000 Reduction in Third Party Contributions (Section 4.4) (0.006) Increase in Borrowing (Section 4.5 and 4.6) 0.366 Total Increase in Gross Capital Resources (Section 4.2) 0.360 4.4 There is a small overall reduction of £6,000 in Third Party Contributions relating to the following programmes: Active Travel - £90,000 reduction (Section 5.2.2) Core Paths - £26,000 reduction (Section 5.3.2) Roof Upgrades - £110,000 increase (Section 5.5.4) 4.5 The projected borrowing requirement in 2025/26, which is effectively the balancing item for resources, is £81.103 million. This is £15.571 million lower than the amount approved by this Committee on 4 March 2026 (£96.674 million). 4.6 The total borrowing requirement in the subsequent years 2026/27 to 2030/31 has increased by £15.937 million to £364.512 million, resulting in an overall increase in the level of borrowing across the whole 6-year programme of £0.366 million. This movement in borrowing is summarised as follows: 2025/26 2026/27 2027/28 Later Years Total £m £m £m £m £m Increase in Environment & Infrastructure Prudential Borrowing – Electric Vehicles (Section 5.2.6) - 0.200 0.200 - 0.400 (Reduction)/Increase in Environment & Infrastructure Prudential Borrowing – Recycling in Schools (Section 5.2.6) (0.005) (0.059) 0.030 - (0.034) Increase/(Reduction) in Property Services – reallocation of programmes to various projects (Section 5.5.2) - 0.500 1.856 (2.356) - Movements arising from re-phasing of expenditure and receipts (Appendix II) (15.566) 13.254 1.520 0.792 - Increase/(Reduction) in Borrowing Requirement (15.571) 13.895 3.606 (1.564) 0.366 4.7 The chart below shows the Capital Resources required to fund the 2025/26 Composite Capital Programme following the proposed budget adjustments detailed in this report. Page 57 of 186
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5. Composite Capital Programme – Expenditure 5.1 Total Expenditure and Proposed Budget Adjustments to the Current Programme 5.1.1 Total expenditure (net of grants and contributions) to 28 February 2026 on the Composite Capital Programme is detailed in Appendix II and summarised as follows: Projected Outturn (£m) Net Expenditure to 28 Feb 2026 (£m) % of Projected Outturn Environment and Infrastructure 35.629 29.706 83% Housing and Communities 2.771 2.223 80% Economy, Development and Planning 22.958 12.840 56% Property Services 28.011 23.158 83% Customer and Digital Services 4.129 2.057 50% Health and Social Care 0.953 0.893 94% Unallocated 0.000 0.000 0% Total Net Capital Expenditure 94.451 70.877 75% 5.1.2 Appendix IV includes updates on the progress of delivering the Council’s major Capital projects. 5.2 Environment and Infrastructure 5.2.1 The Strategic Lead has reviewed the programme for Environment and Infrastructure and proposes various budget adjustments, the most significant of which are described below. 5.2.2 Within Traffic and Road Network, for the Active Travel Grant, in line with the works scheduled for completion in 2025/26, it is proposed £328,000 is moved Page 58 of 186
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from 2025/26 to 2026/27. There is a corresponding reduction in the Third-Party Contribution from Transport Scotland towards these works in 2025/26 of £90,000. The following rephasings are also proposed within Traffic and Road Network: Project 25/26 £m 26/27 £m 27/28 £m Future Years £m Description Road Safety Initiatives - (0.095) 0.092 0.003 Works for the remainder of the programme have been reviewed and rephased with anticipated spend. Additional Road Safety – Pedestrian Crossings (0.124) 0.124 - - Delay to works surrounding project site resulting in knock on impact to pedestrian crossing installation. Traffic Signal Renewals (0.070) 0.070 - - Rephasing of budget to align Traffic Signal works to coincide with accompanying works which have been planned for April. 5.2.3 Within Structures, on the Bridge Refurbishment Programme, it is proposed a total of £1.5 million is drawn down from various years towards Aldour Bridge in Pitlochry; with £250,000 allocated to both 2026/27 and 2027/28, and £1 million allocated to 2028/29. Additionally on the Bridge Refurbishment Programme, it is proposed £90,000 is rephased from 2025/26 to 2026/27 to align with planned spend to 31 March 2026. Also, within Structures, works at Blairgowrie Bridge will not commence within the timeframe previously anticipated. Completion is still expected in 2027/28, however it is proposed a total of £200,000 is moved to 2027/28 from 2025/26 (£175,000) and 2026/27 (£25,000). 5.2.4 Within Flooding, on the Comrie Flood Protection Scheme, the severe wet weather experienced in January has resulted in minor delays to the overall project and it is proposed £3.990 million is moved to 2026/27 in line with the updated schedule of works. The contractor is working to limit the impact on the completion date, and it is still anticipated the project will complete in late autumn of this year. Additionally, within Flooding, the Milnathort Flood Protection Scheme has been scheduled by the contractor to commence construction in Summer of this year, and it is proposed £308,000 of the budget is rephased accordingly. 5.2.5 Within Climate Change and Zero Waste, in line with the works due for completion in 2025/26 on the Climate Change Programme, it is proposed that £50,000 is moved to 2026/27, with a further £3,000 transferred to the Climate Change Unallocated budget in 2026/27, with works planned for this year fully funded. 5.2.6 Within the Prudential Borrowing programme, it is proposed to add a budget of £200,000 in both 2026/27 and 2027/28 for additional electric vehicles. This relates to the purchase of 20 new electric pool vehicles over the next two years. In addition, the following budget adjustments are proposed within the Prudential Borrowing programme: Page 59 of 186
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Project 25/26 £m 26/27 £m 27/28 £m Description Wheeled Bin Replacement Programme – Domestic Bins (0.109) 0.109 - The requirement for replacement bins in 2025/26 was lower than anticipated and it is proposed £109,000 of the budget is moved to 2026/27 to meet future demand. Recycling in Schools – Waste Bin Purchases (0.005) (0.059) 0.030 The timeframe for delivery of Recycling in Schools has been extended into 2027/28. Additionally, fewer bins require purchased than previously thought, reducing the borrowing requirement by £34,000. 5.2.7 The above proposed adjustments, together with other small movements, have been reflected in Appendices I and II. 5.3 Housing and Communities 5.3.1 The Strategic Lead has reviewed the programme for Housing and Communities and proposes the following budget adjustments. 5.3.2 Within Community Greenspace, there have been consultancy delays on the Core Path Implementation resulting in a £26,000 underspend in 2025/26, this has also led to a corresponding under recovery of grant of £26,000. The following rephasings are also proposed within Community Greenspace: Project 25/26 £m 26/27 £m 27/28 £m Description Play Areas and Parks Play Areas and Parks - Third Party Contribution (0.241) 0.015 0.241 - (0.015) Three projects are ongoing with ground works scheduled to commence in 2026/27. It is proposed £241,000 of the budget is moved to align with the delivery schedule. The contribution towards Legion Park in Comrie is not expected until 2027/28 with the £15,000 income budget moved respectively. Crematorium Access Road (0.045) 0.045 - In order to minimise the period of disruption at the crematorium, improvements to the access road have been scheduled to take place to coincide with other works. It is proposed £45,000 is therefore moved to 2026/27. 5.3.3 Within Improvements, a planning application for the New Gypsy Traveller Site has been submitted, with the only costs in 2025/26 therefore relating to architectural and other professional fees, with physical works to commence in 2026/27. It is therefore proposed £1.914 million is moved from 2025/26 to 2026/27. Page 60 of 186
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5.3.4 Within Parking, Public Transport Unit and Civil Contingencies, the substantive work on the three projects in receipt of Bus Infrastructure Funding are scheduled to commence in 2026/27. It is therefore proposed that the budget of £374,000 is moved from 2025/26 to 2026/27. 5.3.5 Within Community Learning and Development and Equalities, based on the application decisions to date for Community-Led Asset Transfers, it is proposed £68,000 is moved from 2025/26 to 2026/27, with advanced decisions already committing £43,000 of the budget in 2026/27. 5.3.6 Within Prudential Borrowing Projects, it is proposed £551,000 of the budget for Kinnoull Street Car Park – Purchase and Upgrade is moved into 2026/27. The costs incurred during 2025/26 were for the acquisition of the site and fees, with the refurbishment and upgrade works commencing in 2026/27. 5.3.7 The above adjustments, together with other small movements, have been reflected in Appendices I and II. 5.4 Economy, Development and Planning 5.4.1 The Strategic Lead has reviewed the programme for Economy, Development and Planning and proposes the following budget adjustments. 5.4.2 Within Tourism, Culture and Place, there is no expenditure on the City Greening project while discussions are ongoing regarding the degree of works required. It is therefore proposed that the budget of £31,000 is moved into 2026/27. Additionally, within Tourism, Culture and Place, it is proposed £281,000 of the budget for Perth and Kinross Lighting Action Plan is moved into 2026/27 in line with proposed works. As there are no further works planned beyond 2026/27, it is proposed that the remaining balance of £784,000 is transferred to Unallocated Resources in 2026/27. 5.4.3 The above proposed adjustments have been reflected in Appendices I and II. 5.5 Property Services 5.5.1 The Strategic Lead has reviewed the programme for Property Services and proposes various budget adjustments, the most significant of which are described below. 5.5.2 Within Property Service Management, the Capital Improvement Projects Programme has been reviewed, and it is proposed £1.106 million is accelerated from 2028/29 to 2027/28 in line with planned resource requirements. Additionally, it is proposed a further total of £6.8 million is vired from the Capital Improvement Projects towards specific projects within Project Support and Property Service Management. All these proposed movements are summarised as follows: Page 61 of 186
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Project 2026/27 £m 2027/28 £m 2028/29 £m 2029/30 £m 2030/31 £m Total £m Capital Improvement Projects - 1.106 (5.706) (2.200) - (6.800) Roof Upgrade Programme 0.500 0.500 0.500 0.500 0.500 2.500 School Toilet Upgrade Programme - - 0.500 0.500 0.500 1.500 DDA Adaptation & Alteration Works Programme - - 0.200 0.200 0.200 0.600 Property Compliance Works Programme - 0.250 0.650 0.650 0.650 2.200 Total 0.500 1.856 (3.856) (0.350) 1.850 0.000 5.5.3 Within Project Support, the following budget adjustments are proposed: Project 25/26 £m 26/27 £m Future Years £m Description Investment in the Learning Estate (0.570) 0.570 - Proposed movement of £570,000 due to re-profiling of the Astro turf refurbishment at the Community School of Auchterarder with works due to take place over the summer holidays. School Toilet Upgrade Programme 0.085 (0.085) - Acceleration of £85,000 following completion of additional toilet upgrades in 2025/26 compared to the level previously expected. North/West Perth – New Primary School (0.306) 0.306 The scope of the project based on expected pupil numbers and construction costs were reviewed leading to reduced design works during 2025/26, with a corresponding reduction in fees charged for the year. The design work has recommenced, and it is proposed £306,000 is moved from 2025/26 to 2028/29. Perth Academy Refurbishment (0.247) 0.247 - Whilst works are progressing as planned, the budget phasing has been updated, and it is proposed £247,000 is moved to 2026/27 in line with expected progress. Perth Grammar School – Upgrade Programme 0.103 (0.103) - Upgrade works at Perth Grammar are progressing ahead of the initial schedule and it is proposed £103,000 is accelerated to cover the advanced spend in 2025/26. Perth High School – New School Investment (0.699) 0.699 - It was previously reported that Phase 2 for the demolition of the old Perth High School was delayed due to additional surveys being required (Report 26/37 refers). Following these additional surveys, the demolition timeline has been altered, and it is proposed £699,000 is moved to 2026/27 in line with this new timescale. Page 62 of 186
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Blairgowrie Recreation Centre - Replacement (0.218) 0.218 - The demolition of the old Blairgowrie Recreation Centre was delayed, allowing a period of transition to ensure the replacement facility was operating as expected. The proposal to move £218,000 into 2026/27 is in line with the revised demolition timeframe of Autumn 2026. Technology Upgrades (0.240) 0.240 - Installation of equipment at Blairgowrie High School has been delayed into 2026/27 and it is proposed £240,000 is moved accordingly. Roof Upgrade Programme Third-Party Contribution (0.125) (0.110) 0.125 - 0.110 - The profile of spend on this programme, following the virement from Capital Improvement Projects and Third-Party Contribution, has been reviewed; and it is proposed £235,000 (after including the contribution below) is moved from 2025/26 to 2026/27 and 2027/28 in line with the new profile. An insurance contribution towards roof upgrades at Coupar Angus Primary School, with a corresponding increase to expenditure budget. 5.5.4 Within Property Service Management, the following budget adjustments are proposed: 2025/26 £m 2026/27 £m Future Years £m Description Friarton Depot – Waste Transfer Station (2.150) 2.150 - The tender for works was issued in February and the provisional start date for works is July 2026; as such it is proposed £2.150 million is moved into 2026/27 in line with the anticipated start date. PH2O (0.180) - 0.180 The PH2O project has commenced to the design stage. The costs incurred in 2025/26 were slightly lower than anticipated and it is therefore proposed £180,000 is moved to the end of the project. More detail is available in Appendix IV. Bells Sports Centre Redevelopment (0.284) 0.284 - Design team appointed to begin feasibility options appraisal for unheated/open multi use sports pitch / events space. Movement of £284,000 reflects latest profile of spend. Perth Concert Hall (0.050) (0.500) 0.550 Additional resource requires to be identified for various work packages. The proposed rephasing of £550,000 to 2029/30 aligns with the current schedule of works. Perth Museum (0.067) 0.067 - Rephasing of £67,000 allows for final works anticipated to take place in 2026/27; with audio visual equipment works currently ongoing in 2025/26. Page 63 of 186
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5.5.5 Within the Property Service Management Prudential Borrowing programme, the re-purposing of space within Pullar House is moving towards the construction phase. These works are due to commence in 2026/27 and extend into 2027/28. It is proposed £900,000 is moved to 2027/28 in line with the updated expenditure projections. 5.5.6 All the above proposed adjustments, together with other small movements, have been reflected in Appendices I and II. 5.6 Health and Social Care 5.6.1 Within Occupational Therapy Equipment, in order to improve capacity over the remainder of the capital programme it is proposed a total of £434,000 is vired from Technology Enabled Telecare. This impacts all years from 2026/27 and have been allocated on a basis to ensure consistent budget availability within both programmes. 5.6.2 All the above proposed adjustments have been reflected in Appendices I and II. 5.7 Unallocated Resources 5.7.1 The proposals outlined in this report in relation to the Unallocated Capital Resources are summarised in the following table: 2025/26 £m 2026/27 £m 2028/29- 2030/31 £m TOTAL £m Description Opening Resources - 4.474 - 4.474 Transfers In: Perth and Kinross Lighting Action Plan - 0.784 - 0.784 Section 5.4.2 Transfers Out: None Closing Resources - 5.258 - 5.258 5.7.2 After the above movements, the balance of Unallocated Resources is £5.258 million over the 6-year programme. A further £8.684 million is included in Unallocated Resources in 2031/32. 5.7.3 Should the Unallocated Resources not be required then this will reduce the amount of borrowing in future years. 6. Housing Investment Programme 6.1 The total current estimated expenditure, net of contributions, for the Housing Investment Programme over the 5 years 2025/26 to 2029/30 has increased by £17.775 million to £106.802 million. 6.2 The increase of £17.775 million relates to an increase in the Council Buy-Back Programme (£14.775 million) between 2026/27 and 2029/30 and the SHQS Page 64 of 186
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Future Developments budget (£3 million) in 2026/27, approved by the Housing and Social Wellbeing Committee at its meeting on 21 January 2026 (report 26/21 refers). 6.3 Movements across years from the previous estimates are summarised in the table below and detailed in Appendix III. Approved 4 Feb 2026 Current Estimate Movement £m £m £m 2025/26 46.695 34.429 (12.266) 2026/27 17.321 33.996 16.675 2027/28 12.280 18.256 5.976 2028/29 7.003 10.698 3.695 2029/30 5.728 9.423 3.695 Total 89.027 106.802 17.775 Total Expenditure to 28 February 2026 (Housing Investment Programme) 6.4 Net expenditure for 2025/26 to 28 February 2026 amounts to £29.019 million, with £18,000 of receipts. Therefore, the borrowing requirement for the year to date is £29.001 million. 6.5 The Strategic Leads for Housing and Communities and Property Services have reviewed the Housing Investment Programme and proposed the budget adjustments outlined below. 6.6 It is proposed to move the balance of the New Build Future Developments budget in 2025/26 of £3.550 million to various schemes, as summarised in the following table: 2025/26 £m 2026/27 £m Total £m Balhousie, Perth 0.146 - 0.146 To meet professional fees to date. Kinloch Brae, Blairgowrie (0.011) 0.188 0.177 Purchasing 3 additional units in 2026/27 (£546k), less Scottish Government Grant (£309k) and Second Homes Income (£60k). Beechgrove, Perth (0.161) - (0.161) £159k to meet latest expenditure, less £320k Commuted Developer Sums. Broich Road, Crieff (0.033) - (0.033) Additional grant received (£34k), less £1k expenditure rounding. Ballinuig, Pitlochry 0.003 - 0.003 Professional fees incurred in 2025/26, with the scheme to be developed in 2026/27 with further future drawdown required. New Build Future Developments (3.550) 3.418 (0.132) Balance of budget moved from 2025/26 to 2026/27. TOTAL (3.606) 3.606 - 6.7 It is also proposed to adjust some budgets between years, reflecting progress made on the various projects as outlined below: Page 65 of 186
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2025/26 £m 2026/27 £m 2027/28 £m Heating Upgrades (0.109) 0.109 0 Triple Glazing (1.205) 1.205 0 Adaptation (OT) (0.117) 0.117 0 Energy Efficiency (0.124) 0.124 0 Environmental Improvements 0.200 (0.100) (0.100) Fire Precaution Measures (0.144) 0.144 0 Fire Alarm Replacement (0.046) 0.046 0 Sound Insulation (0.398) 0 0.398 Structural Improvements (1.233) 0 1.233 St. Catherines Redevelopment (0.458) 0.100 0.358 Lockups & Garages (0.050) 0 0.050 Shops & Offices (0.269) 0 0.269 Greyfriars and Satellite Sites (0.073) 0 0.073 Double Dykes Chalet Replacement (0.681) 0.681 0 Upgrade & Replace Lifts (0.034) 0.034 0 ICT Expenditure (0.048) 0.048 0 Mortgage to Rent (0.128) 0.128 0 6.8 There is an estimated underspend of £567,000 on 2025/26 on the Kitchen Replacement programme in line with the latest projection of works required this year. It is proposed that this is applied as follows: Kitchen Replacement Programme in 2026/27 - £349,000 to cover future works Bathroom replacements - £92,000 to cover installations completed in 2025/26 Rewiring, Infrastructure and Property - £36,000 to cover remaining works in 2025/26 on voids. Controlled Door Entry - £10,000 for installations completed in 2025/26 HRA Car Parks - £80,000 for work at Market Court and Milne Court in 2025/26 6.9 At its meeting on 21 January 2026, the Housing and Social Wellbeing Committee also approved reductions in the amount of Capital Financed from Current Revenue (CFCR) by £1.291 million across the 5-year programme. Consequently, together with the additional expenditure of £17.775 million detailed in Section 6.2 (above), total borrowing on the Housing Revenue Account has increased by £19.066 million across the 5-year programme. 6.10 All the proposed movements outlined above have been included in Appendix III. 7. Budget Overview 7.1 The projected net expenditure outturn in 2025/26 for the Composite Capital Budget is £94.451 million and represents 65% of the original 2025/26 budget approved on 30 April 2025 (£146.146 million). The revised budget is based on the latest projections of expenditure and all budget adjustments outlined within this report. 7.2 Net expenditure to 28 February 2026 on the Composite Capital Budget is £70.877 million and represents 75% of the proposed revised budget for 2025/26 of £94.451 million. Page 66 of 186
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7.3 The projected net expenditure outturn in 2025/26 for the Housing Investment Programme is £34.429 million and represents 123% of the original 2025/26 budget approved on 30 April 2025 (£28.098 million). This increase reflects the allocation of future years block budgets to specific projects in 2025/26 and the increase in the Council House Buy-Back programme. 7.4 Net expenditure to 28 February 2026 on the Housing Investment Programme is £29.019 million which represents 84% of the proposed revised budget for 2025/26 of £34.429 million. 7.5 The Council’s total Borrowing Requirement to 28 February 2026, based on the Composite and Housing Investment Programmes, is £85.689 million. 7.6 The estimated overall Council Borrowing Requirement for 2025/26 as a whole has reduced by £27.837 million to £113.848 million as a result of the monitoring adjustments reflected within this report. This reflects a reduction in estimated borrowing in the current year on the Composite Programme of £15.571 million and £12.266 million on the Housing Investment Programme 7.7 In the context of the Capital Budget, the borrowing above refers specifically to the funding of capital expenditure and therefore the need to borrow. The actual amounts and timing of the borrowing is undertaken as part of the Council’s Treasury Management operations and reported within the Treasury Activity and Compliance reports throughout the year. 8. Financial Risks 8.1 In preparing the Council's capital monitoring, officers have considered the key strategic, operational and financial risks facing the Council over this period. Whilst the risks may be managed in the current financial year, given the nature of capital projects these risks are also likely to impact future years plans. 8.2 To alleviate the impact these risks may have if they occur, a number of general risk mitigation factors are utilised by the Council which include detailed budget monitoring carried out by Services and having general unallocated funds available to meet unforeseen expenditure. 8.3 Given the latest monitoring position outlined in this report, the risks to 2025/26 have been removed or reduced. Going forward, risks to future years Capital Expenditure plans will be monitored with mitigating actions identified. The main risks impacting the Capital Budget are maintained in Appendix V, which includes updates to risks for Inflation and Interest Rates following ongoing conflict in the Middle East. 8.4 These risks are monitored continuously by officers, and any implications on the Capital Budget will be reported to the Committee at the appropriate time. 9. Impact and Value Assessment 9.1 This is an operational report, and as such, an impact and value assessment in not required. Page 67 of 186
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10. Appendices Appendix I - Composite Capital Programme - Estimated Capital Resources 2025/26 to 2030/31 Appendix II - Composite Capital Programme - Summary of Capital Resources and Expenditure 2025/26 to 2030/31 Appendix III - HRA Capital Investment Programme – Summary of Capital Resources and Expenditure 2025/26 to 2029/30 Appendix IV - Significant Capital Projects Progress Update Appendix V - Capital Budget Financial Risks Page 68 of 186
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PERTH AND KINROSS COUNCIL COMPOSITE CAPITAL PROGRAMME Estimated Capital Resources 2024/25 to 2029/30 APPENDIX I Capital Capital Capital Capital Capital Capital Capital Resources Resources Resources Resources Resources Resources Resources 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 TOTAL (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) Revised Revised Revised Revised Revised Revised Revised Budget Budget Budget Budget Budget Budget Budget Capital Grants Road Safety Initiaive Fund 530 0 0 0 0 0 530 General Capital Grant 12,438 12,481 21,752 12,750 12,750 12,750 84,921 Total Capital Grants 12,968 12,481 21,752 12,750 12,750 12,750 85,451 General Capital Receipts General Fund - Capital Receipts 73 497 0 0 0 0 570 General Fund - Ring Fenced Receipts 557 1,594 994 981 1,019 1,000 6,145 Total General Capital Receipts 630 2,091 994 981 1,019 1,000 6,715 Commercial Property Receipts Capital Receipts brought-forward 1,332 2,614 2,449 3,947 4,577 5,022 1,332 Commercial Property Capital Receipts 619 235 2,398 2,530 645 800 7,227 Capital Receipts carried-forward (2,614) (2,449) (3,947) (4,577) (5,022) (1,922) (1,922) Total Commercial Property Receipts Applied (663) 400 900 1,900 200 3,900 6,637 Contributions Tay Cities Deal 0 1,055 3,945 500 956 0 6,456 Developer Contributions 1,500 1,800 2,000 2,000 2,000 2,000 11,300 Other Third Party Contributions 1,712 2,000 3,015 1,000 1,000 2,064 10,791 Revenue Budget Contributions 187 124 124 0 0 0 435 Total Contributions 3,399 4,979 9,084 3,500 3,956 4,064 28,982 Capital Borrowing Requirement 81,103 107,840 79,904 64,581 54,825 57,362 445,615 TOTAL CAPITAL RESOURCES/ GROSS BUDGET EXPENDITURE 97,437 127,791 112,634 83,712 72,750 79,076 573,400 Movements in Resources from Approved Budget - 4 February 2026 Revised Revised Revised Revised Revised Revised Revised Budget Budget Budget Budget Budget Budget Budget 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 TOTAL £'000 £'000 £'000 £'000 £'000 £'000 £'000 Increase/(Decrease) in: Capital Receipts - General Fund (497) 497 0 0 0 0 0 Capital Receipts - Commercial Property 0 0 0 0 0 0 0 Capital Receipts - Ring Fenced 0 0 0 0 0 0 0 Capital Grants: Road Safety Initiaive Fund 0 0 0 0 0 0 0 General Capital Grant 0 0 0 0 0 0 0 Tay Cities Deal 0 0 0 0 0 0 0 Third Party Contributions (21) 0 15 0 0 0 (6) Revenue Contributions 0 0 0 0 0 0 0 Developer Contributions 0 0 0 0 0 0 0 Resources b/f 0 0 0 0 0 0 0 Resources c/f to future years 0 0 0 0 0 0 0 Borrowing Requirement (15,571) 13,895 3,606 (2,859) 21 1,274 366 Total Increase/(Decrease) in Resources (16,089) 14,392 3,621 (2,859) 21 1,274 360 Approved Resources 4 February 2026 118,327 133,279 88,795 71,470 68,533 81,582 561,986 Approved Adjustments 4 March 2026 (4,801) (19,880) 20,218 15,101 4,196 (3,780) 11,054 Revised Resources 97,437 127,791 112,634 83,712 72,750 79,076 573,400 7 Page 69 of 186
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PERTH AND KINROSS COUNCIL COMPOSITE CAPITAL PROGRAMME SUMMARY OF CAPITAL RESOURCES AND EXPENDITURE 2024/25 to 2029/30 APPENDIX II Approved Approved Proposed Revised Actuals Projected Revised Revised Revised Revised Revised Revised Budget Budget Budget Budget to Outturn Budget Budget Budget Budget Budget Budget Report 3 Adjustment Adjustment 28-Feb-26 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 2025/26 2024/25 2025/26 2025/26 2025/26 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) ENVIRONMENT & INFRASTRUCTURE 41,504 0 (5,875) 35,629 29,706 35,629 52,743 28,184 25,783 20,919 17,167 180,425 HOUSING & COMMUNITIES 5,958 0 (3,187) 2,771 2,223 2,771 4,780 2,099 1,558 1,558 1,050 13,816 ECONOMY, DEVELOPMENT & PLANNING 24,054 0 (1,096) 22,958 12,840 22,958 13,246 12,680 10,250 (2,436) 1,186 57,884 PROPERTY SERVICES 33,923 0 (5,912) 28,011 23,158 28,011 40,790 49,120 36,056 42,350 43,027 239,354 CUSTOMER & DIGITAL SERVICES 4,185 (58) 2 4,129 2,057 4,129 4,848 11,104 6,214 6,030 12,256 44,581 HEALTH & SOCIAL CARE 953 0 0 953 893 953 1,353 1,369 1,370 1,354 1,326 7,725 UNALLOCATED CAPITAL RESOURCES 4,743 (4,743) 0 0 0 0 5,258 0 0 0 0 5,258 TOTAL NET EXPENDITURE 115,320 (4,801) (16,068) 94,451 70,877 94,451 123,018 104,556 81,231 69,775 76,012 549,043 (NET OF GRANTS, REVENUE AND 3RD PARTY CONTRIBUTIONS, AND RING FENCED RECEIPTS) GENERAL CAPITAL GRANT (12,438) 0 0 (12,438) (12,988) (12,438) (12,481) (21,752) (12,750) (12,750) (12,750) (84,921) DEVELOPER CONTRIBUTIONS (5,344) 3,844 0 (1,500) 0 (1,500) (1,800) (2,000) (2,000) (2,000) (2,000) (11,300) CAPITAL RECEIPTS (1,189) 0 497 (692) (253) (692) (732) (2,398) (2,530) (645) (800) (7,797) ANNUAL BORROWING REQUIREMENT 96,349 (957) (15,571) 79,821 57,636 79,821 108,005 78,406 63,951 54,380 60,462 445,025 CAPITAL RECEIPTS BROUGHT FORWARD (1,332) 0 0 (1,332) (1,332) (1,332) (2,614) (2,449) (3,947) (4,577) (5,022) (1,332) CAPITAL RECEIPTS CARRIED FORWARD 2,614 0 0 2,614 384 2,614 2,449 3,947 4,577 5,022 1,922 1,922 TOTAL NET BORROWING REQUIREMENT 97,631 (957) (15,571) 81,103 56,688 81,103 107,840 79,904 64,581 54,825 57,362 445,615 7 Page 71 of 186
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PERTH AND KINROSS COUNCIL COMPOSITE CAPITAL PROGRAMME SUMMARY OF CAPITAL RESOURCES AND EXPENDITURE 2024/25 to 2029/30 APPENDIX II Revised Approved Proposed Revised Actual Projected Revised Revised Revised Revised Revised Revised Budget Budget Budget Budget to Outturn Budget Budget Budget Budget Budget Budget Adjustment Adjustment 28-Feb-26 Report 3 04-Mar-26 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 2025/26 2025/26 2025/26 2025/26 2025/26 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 TOTAL (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) ENVIRONMENT & INFRASTRUCTURE Traffic & Road Network Road Safety Initiatives (20mph Zones etc..) 732 732 212 732 453 453 417 418 418 2,891 Scottish Government Grant (Transport Scotland) (530) (530) (530) 0 0 0 0 0 (530) Road Safety Initiatives - A94 Safety Improvements 84 84 84 0 0 0 0 0 84 Active Travel Grant -Traffic & Road Safety Schemes 1,823 (418) 1,405 716 1,405 1,138 600 600 600 600 4,943 Third Party Contribution (1,050) 90 (960) (960) 0 0 0 0 0 (960) 20mph Signage Programme 0 0 0 120 0 0 0 0 120 Additional Road Safety - Pedestrian Crossings 246 (124) 122 112 122 277 0 0 0 0 399 Traffic Signal Renewals - Upgrading 200 (70) 130 55 130 270 300 300 100 95 1,195 Investment in Local Footpaths 0 0 0 120 0 0 0 0 120 Car Parking Investment - Pitlochry 7 7 7 7 0 0 0 0 0 7 Revenue Contribution (1) (1) (1) 0 0 0 0 0 (1) A977 Upgrades 0 0 0 177 0 0 0 0 177 Broich Road, Crieff - Road Realignment & Safety Measures 18 18 18 0 0 0 0 0 18 Sub-Total 1,529 0 (522) 1,007 1,102 1,007 2,555 1,353 1,317 1,118 1,113 8,463 Street Lighting Partnership Street Lighting 0 0 0 0 0 600 600 600 1,800 Sub-Total 0 0 0 0 0 0 0 0 600 600 600 1,800 Roads Maintenance Partnership Structural Maintenance 10,257 10,257 8,721 10,257 11,000 11,500 11,851 8,320 9,500 62,428 Third Party Contribution (513) (513) (197) (513) 0 0 0 0 0 (513) Footways 359 359 313 359 768 768 741 341 400 3,377 Third Party Contribution (2) (2) (2) (2) 0 0 0 0 0 (2) Perth Flood Protection Scheme (South Inch Culvert Reinstatement) 9 9 9 9 0 0 0 0 0 9 Sub-Total 10,110 0 0 10,110 8,844 10,110 11,768 12,268 12,592 8,661 9,900 65,299 Structures Bridge Refurbishment Programme 1,682 (349) 1,333 996 1,333 2,552 2,424 2,651 6,200 1,999 17,159 Old Perth Bridge - Strengthening 38 38 24 38 235 2,216 0 0 0 2,489 Perth Queens Bridge - Strengthening 81 81 8 81 179 192 1,850 0 0 2,302 Culteuchar Culvert 5 5 5 5 0 0 0 0 0 5 Garry Viaduct 393 393 266 393 183 1,195 1,755 786 25 4,337 Bolfrack River Retaining Wall 521 521 484 521 0 0 0 0 0 521 Bridge of Tilt 285 285 264 285 965 0 0 0 0 1,250 Corb Bridge Culvert, Kinross 398 398 387 398 0 0 0 0 0 398 Blairgowrie Bridge 200 (175) 25 2 25 150 1,200 0 0 0 1,375 Aldour 0 0 0 250 250 1,000 0 0 1,500 Vehicular Bridge Parapets Programme - Assess & Upgrade 10 10 10 24 0 0 0 0 34 Sub-Total 3,613 0 (524) 3,089 2,436 3,089 4,538 7,477 7,256 6,986 2,024 31,370 Flooding Comrie Flood Protection Scheme 17,730 (3,990) 13,740 11,362 13,740 17,083 0 0 0 0 30,823 Milnathort Flood Protection Scheme 331 (308) 23 2 23 308 0 0 0 0 331 South Kinross Flood Protection Scheme 480 480 373 480 10,517 3,099 75 0 0 14,171 Flood Mitigation Measures - Dunkeld and Craigie Burn 282 282 186 282 88 153 338 129 0 990 Investment in Surface Water Management Schemes - Leaky Dam, Rattray Burn3 3 3 48 44 255 0 0 350 Coastal Change Adaptation 0 0 0 59 0 0 0 0 59 Almondbank Flood Protection Scheme 0 0 153 0 0 0 0 0 0 0 Sub-Total 18,826 0 (4,298) 14,528 12,076 14,528 28,103 3,296 668 129 0 46,724 Climate Change and Zero Waste Climate Change Programme 215 (53) 162 42 162 580 200 0 0 0 942 Climate Change Unallocated 329 (329) 0 0 332 0 0 0 0 332 Nature Restoration 199 199 10 199 0 0 0 0 0 199 Sub-Total 743 0 (382) 361 52 361 912 200 0 0 0 1,473 Prudential Borrowing Projects Climate Change and Zero Waste Wheeled Bin Replacement Programme - Domestic Bins 279 (109) 170 158 170 309 200 220 220 225 1,344 Wheeled Bin Replacement Programme - Commercial Bins 71 71 48 71 20 20 25 25 25 186 Capital Receipts - Disposals (3) (3) (2) (3) 0 0 0 0 0 (3) Recycling in Schools - Waste Bin Purchases 18 (5) 13 7 13 25 30 0 0 0 68 Recycling Containers, Oil Banks & Battery Banks Replacement Programme99 99 53 99 163 105 70 70 75 582 Capital Receipts - Disposals (7) (7) (1) (7) 0 0 0 0 0 (7) Page 72 of 186
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PERTH AND KINROSS COUNCIL COMPOSITE CAPITAL PROGRAMME SUMMARY OF CAPITAL RESOURCES AND EXPENDITURE 2024/25 to 2029/30 APPENDIX II Revised Approved Proposed Revised Actual Projected Revised Revised Revised Revised Revised Revised Budget Budget Budget Budget to Outturn Budget Budget Budget Budget Budget Budget Adjustment Adjustment 28-Feb-26 Report 3 04-Mar-26 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 2025/26 2025/26 2025/26 2025/26 2025/26 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 TOTAL (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) Litter Bins 8 8 2 8 107 50 55 55 55 330 Direct Services Vehicle Replacement Programme 5,800 5,800 4,484 5,800 3,751 2,692 3,311 3,394 3,500 22,448 Capital Receipts - Vehicle Disposals (547) (547) (309) (547) (294) (269) (331) (339) (350) (2,130) Additional Electrical Vehicles (EVs) 0 0 0 200 200 0 0 0 400 Street Lighting Partnership Street Lighting Renewal - LED & Column Replacement 965 (35) 930 756 930 586 562 0 0 0 2,078 Sub Total 6,683 0 (149) 6,534 5,196 6,534 4,867 3,590 3,350 3,425 3,530 25,296 TOTAL - ENVIRONMENT & INFRASTRUCTURE 41,504 0 (5,875) 35,629 29,706 35,629 52,743 28,184 25,783 20,919 17,167 180,425 HOUSING & COMMUNITIES Community Greenspace Community Greenspace Sites 0 0 0 25 894 700 700 250 2,569 Play Areas and Parks 1,039 (241) 798 333 798 1,636 582 500 500 500 4,516 Third Party Contribution (19) 15 (4) (4) 0 (15) 0 0 0 (19) Revenue Contribution (50) (50) (50) 0 0 0 0 0 (50) 3G Pitch, Blairgowrie 34 (24) 10 10 24 0 0 0 0 34 Countryside Sites 0 0 0 0 139 0 0 0 139 Community Greenspace Bridges 106 106 81 106 0 0 0 0 0 106 Core Path Implementation 92 (26) 66 66 0 0 0 0 0 66 Third Party Contribution (92) 26 (66) (66) 0 0 0 0 0 (66) Kinnoull Hill 24 24 14 24 0 0 0 0 0 24 Third Party Contribution (16) (16) (16) (16) 0 0 0 0 0 (16) Crematorium Access Road 50 (45) 5 5 45 0 0 0 0 50 Cemetery Extensions 7 15 22 7 22 143 499 358 358 300 1,680 Sub-Total 1,175 0 (280) 895 419 895 1,873 2,099 1,558 1,558 1,050 9,033 Improvements New Gypsy Traveller Site 1,942 (1,914) 28 7 28 1,914 0 0 0 0 1,942 Sub Total 1,942 0 (1,914) 28 7 28 1,914 0 0 0 0 1,942 Parking, Public Transport Unit and Civil Contingencies Community Transport Initiatives 27 27 26 27 0 0 0 0 0 27 Bus Infrastructure Fund Expenditure 374 (374) 0 5 0 374 0 0 0 0 374 Sub-Total 401 0 (374) 27 31 27 374 0 0 0 0 401 Community Learning and Development and Equalities Community-Led Asset Transfers 75 (68) 7 5 7 68 0 0 0 0 75 Sub-Total 75 0 (68) 7 5 7 68 0 0 0 0 75 Prudential Borrowing Projects Parking, Public Transport Unit and Civil Contingencies Community Transport Vehicles 115 115 115 115 0 0 0 0 0 115 Kinnoull Street Car Park - Purchase & Upgrade 2,250 (551) 1,699 1,646 1,699 551 0 0 0 0 2,250 Sub Total 2,365 0 (551) 1,814 1,761 1,814 551 0 0 0 0 2,365 TOTAL - HOUSING & COMMUNITIES 5,958 0 (3,187) 2,771 2,223 2,771 4,780 2,099 1,558 1,558 1,050 13,816 ECONOMY, DEVELOPMENT & PLANNING Roads Infrastructure A9/A85 Road Junction Improvements (PTF Phase 1) 14 14 105 14 0 0 0 0 0 14 Destiny Bridge and New Kingsway (PTF Phase 2) 5,785 5,785 2,135 5,785 314 0 0 0 0 6,099 Bertha Park Link Road (PTF Phase 3) 10,598 10,598 8,836 10,598 4,462 0 0 0 0 15,060 Third Party Contribution 0 0 0 0 0 0 0 (1,064) (1,064) Perth Eco-Innovation Park at Perth West 1,724 1,724 450 1,724 3,921 16,000 10,500 0 0 32,145 Third Party Contributions - Tay Cities Deal 0 0 0 (1,055) (3,945) (500) (956) 0 (6,456) Other Third Party Contributions 0 0 0 (2,000) (3,000) (1,000) (1,000) (1,000) (8,000) Capital Receipts - Ring Fenced Land Disposals 0 0 0 (550) (725) (650) (680) (650) (3,255) Sub-Total 18,121 0 0 18,121 11,526 18,121 0 5,092 8,330 8,350 (2,636) (2,714) 34,543 Page 73 of 186
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PERTH AND KINROSS COUNCIL COMPOSITE CAPITAL PROGRAMME SUMMARY OF CAPITAL RESOURCES AND EXPENDITURE 2024/25 to 2029/30 APPENDIX II Revised Approved Proposed Revised Actual Projected Revised Revised Revised Revised Revised Revised Budget Budget Budget Budget to Outturn Budget Budget Budget Budget Budget Budget Adjustment Adjustment 28-Feb-26 Report 3 04-Mar-26 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 2025/26 2025/26 2025/26 2025/26 2025/26 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 TOTAL (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) Tourism, Culture and Place Perth City Improvements (PTF Phase 4) 0 0 0 3,642 0 0 0 0 3,642 City Greening 31 (31) 0 0 31 0 0 0 0 31 Perth & Kinross Lighting Action Plan 1,175 (1,065) 110 107 110 281 0 0 0 0 391 Low Carbon Transport & Active Travel Hub - Broxden EV Chargers 0 0 78 0 0 0 0 0 0 0 Third Party Contribution - Tay Cities Deal 0 0 (45) 0 0 0 0 0 0 0 Adapt Your Property - Vacant Town & City Centre Space 390 390 390 500 500 0 0 0 1,390 Adapt Your Property - Royal Bank Building, South Street, Perth 0 0 0 350 0 0 0 0 350 Glover Street, Perth Masterplan 0 0 0 750 0 0 0 0 750 Less Capital Receipt 0 0 0 (750) 0 0 0 0 (750) Sub-Total 1,596 0 (1,096) 500 140 500 4,804 500 0 0 0 5,804 Commercial Property Investment Programme Tourism, Culture and Place Broxden Drainage Mitigation Works 17 17 21 17 0 0 0 0 0 17 Mercian Buildings, Shore Road, Perth 451 451 713 451 0 0 0 0 0 451 Crioch Business Centre, Crieff 316 316 243 316 0 0 0 0 0 316 Northfield Business Park 2,027 2,027 117 2,027 0 0 0 0 0 2,027 Northfield Business Park (Phase 2) 0 0 0 0 0 800 0 0 800 Northfield Business Park - Site 6 0 0 0 0 1,500 0 0 0 1,500 Plot 4 Kinross West 1,526 1,526 80 1,526 0 0 0 0 0 1,526 Welton Road SBU's, Blairgowrie 0 0 0 200 1,400 0 0 0 1,600 Burnside Street SBU's, Pitlochry 0 0 0 600 0 0 0 0 600 Depot SBU's, Blackford 0 0 0 0 0 0 200 1,400 1,600 SBU's, Inveralmond Road, Perth 0 0 0 900 0 0 0 0 900 Land at South Turfhills Depot, Kinross 0 0 0 0 0 1,100 0 0 1,100 Aldour Business Centre, Pitlochry 0 0 0 0 0 0 0 900 900 Borlich Business Centre, Aberfeldy 0 0 0 0 0 0 0 1,600 1,600 Aberfeldy SBU's 0 0 0 700 0 0 0 0 700 4,337 0 0 4,337 1,174 4,337 2,400 2,900 1,900 200 3,900 15,637 Prudential Borrowing Projects Tourism, Culture and Place Land Purchase & Development (Hotel Development) 0 0 0 950 950 0 0 0 1,900 Sub Total 0 0 0 0 0 0 950 950 0 0 0 1,900 TOTAL - ECONOMY, DEVLOPMENT & PLANNING 24,054 0 (1,096) 22,958 12,840 22,958 13,246 12,680 10,250 (2,436) 1,186 57,884 PROPERTY SERVICES Project Support Investment in the Learning Estate 1,900 (570) 1,330 1,068 1,330 3,076 6,823 0 0 0 11,229 Braco Primary School Upgrade 150 150 17 150 350 3,000 5,000 0 0 8,500 School Toilet Upgrade Programme 600 85 685 465 685 515 600 500 500 500 3,300 Methven Primary School Refurbishment 700 700 514 700 2,970 0 0 0 0 3,670 North/West Perth - New Primary School 341 (306) 35 35 7,672 15,400 306 0 0 23,413 Perth Academy - Refurbishment 1,621 (247) 1,374 1,149 1,374 296 0 0 0 0 1,670 Perth Grammar School - Upgrade Programme Phase 3 600 103 703 599 703 1,525 819 0 0 0 3,047 Perth High School - New School Investment 11,718 (699) 11,019 9,984 11,019 5,599 0 0 0 0 16,618 Pitlochry High School Extension (Pitlochry Leisure Review) 200 46 246 133 246 704 5,000 2,750 0 0 8,700 Blairgowrie Recreation Centre - Replacement 832 (218) 614 590 614 1,918 0 0 0 0 2,532 Technology Upgrades 250 (240) 10 5 10 723 519 0 0 0 1,252 Community School of Auchterarder (FSM) 0 0 0 250 750 2,511 0 0 3,511 Community Campus Access Adaptations 25 25 16 25 0 0 0 0 0 25 Roof Upgrade Programme 500 (125) 375 170 375 625 610 500 500 500 3,110 Third Party Contribution 0 (110) (110) (110) 0 0 0 0 0 (110) Sub-Total 19,437 0 (2,281) 17,156 14,710 17,156 26,223 33,521 11,567 1,000 1,000 90,467 Property Service Management DDA Adaptation & Alteration Works Programme 250 250 149 250 303 200 200 200 200 1,353 Property Compliance Works Programme 609 609 477 609 650 650 650 650 650 3,859 Capital Improvement Projects Programme 1,866 1,866 883 1,866 1,800 2,000 4,294 5,500 11,000 26,460 Pitlochry High School - Upgrade Programme 20 20 7 20 0 0 0 0 0 20 Friarton Depot - Waste Transfer Station 2,300 (2,150) 150 78 150 2,371 0 0 0 0 2,521 Energy Efficiency Works - Various Properties 12 12 12 12 0 0 0 0 0 12 Revenue Contribution (Salix Reserve) (12) (12) (12) 0 0 0 0 0 (12) Page 74 of 186
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PERTH AND KINROSS COUNCIL COMPOSITE CAPITAL PROGRAMME SUMMARY OF CAPITAL RESOURCES AND EXPENDITURE 2024/25 to 2029/30 APPENDIX II Revised Approved Proposed Revised Actual Projected Revised Revised Revised Revised Revised Revised Budget Budget Budget Budget to Outturn Budget Budget Budget Budget Budget Budget Adjustment Adjustment 28-Feb-26 Report 3 04-Mar-26 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 2025/26 2025/26 2025/26 2025/26 2025/26 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 TOTAL (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) (£'000) Letham Community Wellbeing Hub 338 338 323 338 0 0 0 0 0 338 PH2O 300 (180) 120 32 120 1,700 2,000 10,000 30,000 30,027 73,847 Bells Sport Centre 414 (284) 130 59 130 1,784 1,500 3,500 3,000 0 9,914 Kinross Community Campus Sports Facilities 0 0 0 900 5,000 1,000 0 0 6,900 Crieff Community Campus Sports Facilities 0 0 0 0 1,000 4,000 1,300 0 6,300 Crieff Drummond Arms - Regeneration 750 750 645 750 2,192 0 0 0 0 2,942 Perth Concert Hall 200 (50) 150 118 150 500 1,000 695 550 0 2,895 Perth Museum 113 (67) 46 23 46 67 0 0 0 0 113 Sub-Total 7,160 0 (2,731) 4,429 2,806 4,429 12,267 13,350 24,339 41,200 41,877 137,462 Prudential Borrowing Projects Decarbonisation 178 178 31 178 350 0 0 0 0 528 Energy Conservation & Carbon Reduction Programme 189 189 162 189 150 150 150 150 150 939 Third Party Contribution (41) (41) (41) 0 0 0 0 0 (41) Pullar House - Purchase & Re-Purposing 7,000 (900) 6,100 5,449 6,100 1,800 2,099 0 0 0 9,999 Sub-Total 7,326 0 (900) 6,426 5,642 6,426 2,300 2,249 150 150 150 11,425 TOTAL - PROPERTY SERVICES 33,923 0 (5,912) 28,011 23,158 28,011 40,790 49,120 36,056 42,350 43,027 239,354 CUSTOMER & DIGITAL SERVICES ICT Infrastructure Replacement and Upgrade Programme 2,079 2,079 1,691 2,079 2,987 8,666 3,940 3,550 9,487 30,709 Data & Analytics 733 (58) 675 57 675 718 850 900 804 845 4,792 Supporting Digital 681 681 54 681 966 1,106 1,063 1,230 1,085 6,131 Software Licences (Revenues & Benefits) 50 2 52 52 52 78 82 85 87 90 474 School Audio-Visual (AV) Equipment Replacement Programme 27 27 30 27 26 27 226 359 749 1,414 Mosaic - Swift Social Work System Replacement 659 659 217 659 197 497 0 0 0 1,353 Revenue Contribution (124) (124) (124) (124) (124) (124) 0 0 0 (372) Case Management System 80 80 80 80 0 0 0 0 0 80 TOTAL - CUSTOMER & DIGITAL SERVICES 4,185 (58) 2 4,129 2,057 4,129 4,848 11,104 6,214 6,030 12,256 44,581 HEALTH & SOCIAL CARE Occupational Therapy Equipment 250 250 250 250 300 300 300 284 256 1,690 Technology Enabled Telecare 650 650 616 650 1,000 1,000 1,000 1,000 1,000 5,650 Software Licences 53 53 27 53 53 69 70 70 70 385 TOTAL - HEALTH & SOCIAL CARE 953 0 0 953 893 953 1,353 1,369 1,370 1,354 1,326 7,725 Unallocated Capital Resources 4,743 (4,743) 0 0 5,258 0 0 0 0 5,258 TOTAL COMPOSITE NET EXPENDITURE 115,320 (4,801) (16,068) 94,451 70,877 94,451 123,018 104,556 81,231 69,775 76,012 549,043 (NET OF GRANTS, REVENUE AND 3RD PARTY CONTRIBUTIONS, AND RING FENCED RECEIPTS) CAPITAL INCOME & RECEIPTS General Capital Grant - Scottish Government (12,438) (12,438) (12,988) (12,438) (12,481) (21,752) (12,750) (12,750) (12,750) (84,921) Developer Contributions (5,344) 3,844 (1,500) (1,500) (1,800) (2,000) (2,000) (2,000) (2,000) (11,300) General Fund - Capital Receipts/Disposal (570) 497 (73) (27) (73) (497) 0 0 0 0 (570) Commercial Property - Capital Receipts/Disposal (619) 0 (619) (226) (619) (235) (2,398) (2,530) (645) (800) (7,227) Total: Capital Receipts (18,971) 3,844 497 (14,630) (13,241) (14,630) (15,013) (26,150) (17,280) (15,395) (15,550) (104,018) Annual Composite Borrowing Requirement 96,349 (957) (15,571) 79,821 57,636 79,821 108,005 78,406 63,951 54,380 60,462 445,025 CAPITAL RECEIPTS BROUGHT FORWARD (1,332) 0 (1,332) (1,332) (1,332) (2,614) (2,449) (3,947) (4,577) (5,022) (1,332) CAPITAL RECEIPTS CARRIED FORWARD 2,614 0 0 2,614 384 2,614 2,449 3,947 4,577 5,022 1,922 1,922 TOTAL NET COMPOSITE BORROWING REQUIREMENT 97,631 (957) (15,571) 81,103 56,688 81,103 107,840 79,904 64,581 54,825 57,362 445,615 Page 75 of 186
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Project Project Description Traffic & Road Network Road Safety Initiatives (20mph Zones etc.) A programme of works to improve road safety Road Safety Initiatives - A94 Safety Improvements A programme of works to improve road safety on the A94 Active Travel Grant - Traffic & Road Safety Schemes A programme of works to improve active travel 20mph Signage Programme A programme of works to introduce 20mph speed limits. Schools Road Safety Measures A programme of works to improve road safety in the vicinity of schools Additional Road Safety - Pedestrian Crossings A programme of works to provide pedestrian crossing facilities Traffic Signal Renewals - Upgrading A programme of works to upgrade existing traffic signal infrastructure Investment in Local Footpaths A programme of works to improve and provide local footpaths Car Parking Investment - Pitlochry Purchase of land and construction of a public car park A977 Upgrades A programme of works to improve road safety along the A977. Broich Road, Crieff - Road Realignment & Safety Measures Realignment of Broich Road, Burrell Street and Gallowhill Junction Street Lighting Partnership Street Lighting Replacement of existing street lighting lanterns, columns and cable network. Roads Maintenance Partnership Structural Maintenance Road maintenance to extend the life of roads, including predominately road resurfacing, surface dressings, installing new drainage infrastructure and repairs to and replacement of defective embankments and retaining walls Footways Replacement of existing deteriorated footway surfaces Perth Flood Protection Scheme (South Inch Culvert Reinstatement) Ground investigation and monitoring then design project to refurbish existing culvert Road Safety Barriers Renewal of existing barriers where unrecoverable damage has occurred and renewal of barriers where timber posts have been used in construction Bridges Bridge Refurbishment Programme Used to appoint specialist external inspection teams and consultants to carry out specialist access bridge inspections and assessments Old Perth Bridge - Strengthening Carry out works recommended by the 2018 Bridge Assessment study, including a range of assessment, investigation, strengthening and improvement works Perth Queens Bridge - Strengthening Carry out works recommended by the 2018 Bridge Assessment study, including a range of assessment, investigation, strengthening and improvement works Culteuchar Culvert Replace existing temporary steel bridge (on hire) with culvert ENVIRONMENT & INFRASTRUCTURE Page 76 of 186
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Project Project Description Garry Viaduct Replacement of Bearings and Parapets; including strengthening of deck for bearing replacement jacking up, and to cater for increased parapet vehicular deterrent capacity Bolfrack River Retaining Wall Replacement of failed section of retaining wall supporting A827 adjacent to River Tay Bridge of Tilt Repairs to masonry bridge and installation of major scour mitigation measures Corb Bridge Culvert, Kinross Installation of structural lining to dilapidated culvert Blairgowrie Bridge Major scour mitigation scheme Aldour Vehicular Bridge Parapets Programme - Assess & Upgrade Assessment and Upgrading of Vehicle Parapets Programme Flooding Comrie Flood Protection Scheme Design and construction of a scheme to reduce the risk of flooding in Comrie Milnathort Flood Protection Scheme Design and construction of a scheme to reduce the risk of flooding in Milnathort South Kinross Flood Protection Scheme Design and construction of a scheme to reduce the risk of flooding in South Kinross Flood Mitigation Measures - Dunkeld and Craigie Burn Design and construction of schemes to reduce the risk of flooding in Dunkeld and Craigie Burn Investment in Surface Water Management Schemes - Leaky Dam, Rattray Burn Design and construction of a natural flood management measure (Leaky Dam) to reduce the risk of flooding in Rattray Coastal Change Adaptation Design and construct projects to deal with incidents of coastal erosion Climate Change and Zero Waste Climate Change Programme A programme of projects to meet the priorities to deliver the Top and High Priority Projects in the Council's Climate Change Strategy and Action Plan. Proposed projects will be scrutinised by the Council's Climate Change and Sustainabliltiy Group Nature Restoration Protection and restoration of biodiversity focusing on over- exploitation of the natural environment and addressing its consequences; habitat loss and fragmentation; and invasive non-native species. Prudential Borrowing Projects Wheeled Bin Replacement Programme - Domestic Bins Replacement of damaged and end of life wheeled bins for households. Also suppling bins for new properties Wheeled Bin Replacement Programme - Commercial Bins Replacement of damaged and end of life wheeled bins for commercial customers. Also suppling bins for new customers and changes to collection contracts Recycling in Schools - Waste Bin Purchases This project will improve the recycling infrastructure in PKC learning establishments and will improve positive behaviours with staff and pupils. Page 77 of 186
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Project Project Description Recycling Containers, Oil Banks & Battery Banks Replacement Programme Replacement of damaged and end of life oil and battery banks Litter Bins Replacement of damaged and end of life litter bins and/or for general supply of litter bins where required. Vehicle Replacement Programme Fleet vehicle replacement programme Additional Electrical Vehicles (EVs) Purchase of 20 additional electrically powered pool vehicles Street Lighting Renewal - LED & Column Replacement Street Lighting LED conversion and column replacement programme Community Greenspace Community Greenspace Sites Main fund for all Community Greenspace Sites which is drawn down to support the overall capital programme of refurbishments and upgrades Play Areas and Parks Refurbishment of 'Settlement and Neighbourhood' classification parks working in partnership with communities to improve, update and renew worn out or obsolete infrastructure. Small budget to facilitate refurbishment of former Premier Park upgrades 3G Pitch, Blairgowrie Two phase community led project to provide a new full sized 3G football pitch and pavilion Countryside Sites Refurbishment of more natural parks and open spaces Community Greenspace Bridges Refurbishment programme for all bridges on Community Greenspace sites Core Path Implementation Holding budget for Crieff Comrie Core path development mainly funded through Sustrans Kinnoull Hill Complete Crematorium Access Road Cemetery Extensions Funding to allow the extension of existing or development of new cemeteries to address the pressure for burial space Improvements New Gypsy Traveller Site Feasibility Study for Gypsy Traveller Transient Site Parking, Public Transport Unit and Civil Contingencies Community Transport Initiatives Purchase of vehicles and charging infrastructure for community transport/resilience groups to use to deliver on unmet need in the local area. Bus Infrastructure Fund Improving the infrastructure needed to operate buses Community Learning and Development and Equalities Community-Led Asset Transfers Financial assistance for community groups wishing to take on PKC assets using the community asset transfer process Prudential Borrowing Projects Community Transport Vehicles Providing vehicles to community transport groups HOUSING & COMMUNITIES Page 78 of 186
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Project Project Description Kinnoull Street Car Park - Purchase Purchase of Kinnoull Street Multi-Storey Car Park to increase Perth and Kinross Council car parking capacity to support delivery of the Perth City Integrated Investment Proposal Roads Infrastructure A9/A85 Road Junction Improvements (PTF Phase 1) New infrastructure including a new A9 overbridge, a bridge over the River Almond and road linking the A85 to Inveralmond and Bertha Park (Phase 1 of Perth Transport Futures Project) Destiny Bridge and New Kingsway (PTF Phase 2) New road and major structure over the River Tay, linking the A9 north of Inveralmond and the A94 north of Scone (Phase 2 of Perth Transport Futures Project) Bertha Park Link Road (PTF Phase 3) Phase 3 of Perth Transport Futures Project which is a new link road (1.4km) running through Bertha Park, connecting Phases 1 and 2. Perth Eco-Innovation Park at Perth West Provision of enabling infrastructure (access road, A9 underpass and unit platforms) to develop 25ha of employment land supporting clean growth, business innovation and jobs - Phase 1 (11ha). Tourism, Culture and Place Perth City Improvements (PTF Phase 4) Design and development of sustainable transport corridors to improve access to and from Perth and enable additional development and improvement within Perth city centre Perth City Centre Golden Route (Rail Station) Design and development of improvements to access, signage and animation from rail and bus station to Perth city centre to complement improvements to integration of transport City Greening Improvements to support enhancement of retail trading environment and residential areas and enhanced use of space for markets, events and alfresco use Perth & Kinross Lighting Action Plan Architectural and creative lighting to enhance city and towns appearance, reduce energy cost and increase safety at nighttime to increase dwell time, support the hospitality sector, events and grow the evening economy Low Carbon Transport & Active Travel Hub - Broxden EV Chargers Provision of fast EV chargers combined with solar power generation and battery storage at Broxden Park & Ride - Near completion Adapt Your Property - Vacant Town & City Centre Space Adapt Your Property supports capital adaptation works to empty and underused commercial property in city & town centres, looking at adaptation to attract new commercial, community or residential use. Adapt Your Property - Royal Bank Building, South Street, Perth Glover Street, Perth Masterplan ECONOMY, DEVELOPMENT & PLANNING Page 79 of 186
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Project Project Description Commercial Property Investment Programme Capital investment in economic development in serviced units and land Prudential Borrowing Project Land Purchase & Development (Hotel Development) This scheme involves the redevelopment of 1-5 High Street as serviced apartments courtesy of a heritage grant funding award that includes disposal to a developer subject to conclusion of a development agreement Project Support Investment in the Learning Estate Investment to upgrade the infrastructure and environment of our existing school estate Braco Primary School Upgrade Replacement school on adjacent land School Toilet Upgrade Programme Major toilet upgrades in various schools Methven Primary School Refurbishment Upgrade of Methven Primary School facilities including new dining and gym hall North/West Perth - New Primary School New primary school located at Bertha Park Riverside Primary New School Replacement of North Muirton and Balhousie primary schools Perth Academy - Refurbishment Investment to upgrade the infrastructure and environment of the Perth Academy including structural work to sports block, lighting upgrades, classroom upgrades and science block cladding Perth Grammar School - Upgrade Programme Phase 3 Investment to upgrade the infrastructure and environment of the Perth Grammar School including structural work to assembly hall, AV and WiFi upgrades, classroom refurbishment and door upgrades Perth High School - New School Investment Replacement of the existing Perth High School Pitlochry High School Extension (Pitlochry Leisure Review) Creation of community campus including sports facilities including 4 court sports hall and associated works Harris Academy/Invergowrie - Extension Extension and reconfiguration of existing space at Harris Academy in Dundee for continuation of access for pupils based in Invergowrie Blairgowrie Recreation Centre - Replacement Replacement of the Recreation Centre in Blairgowrie Technology Upgrades Upgrade to practical teaching environment within the existing school estate Community School of Auchterarder (FSM) Upgrading kitchen and dining facilities to provide the enhanced Free School Meals programme Community Campus Access Adaptations To support adaptations in schools and community campuses to help facilitate increased community access Roof Upgrade Programme Property Service Management DDA Adaptation & Alteration Works Programme To provide unhindered accessibility to all Council Buildings - e.g. Ramps/Lifts/Door Access/Accessible Toilets and Changing Areas PROPERTY SERVICES Page 80 of 186
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Project Project Description Property Compliance Works Programme To ensure compliance with current and changing legislation including - New Fire Alarms; Lighting; Wiring; Fire Protection Works; Gas pipework within buildings and Roof Restraint safety systems Capital Improvement Projects Programme Roof Upgrades; Full internal refurbishment works; New Heating Systems; Boilers and pipework; Structural Upgrades; Small extensions; New Windows/Doors; New Fencing; New Cladding Pitlochry High School - Upgrade Programme Upgrades to Mechanical and Electrical Infrastructure, including rewiring, heating and controls systems, replacement lighting and consequential building works such as new ceilings, painting and flooring Friarton Depot - Waste Transfer Station This project aims to refurbish the main waste transfer station building to provide a safe environment for workers. The project will involve a complete re-cladding of the existing structure, new doors and new services installation. Some initial enabling work are being carried out currently. Energy Efficiency Works - Various Properties Focusing on a spend to save with projects aiming to reduce energy cost across the property estate Letham Community Wellbeing Hub Complete PH2O Replacement of Perth Leisure Pool and Dewars Ice Rink. Bells Sport Centre Development of Bells' as an unheated, covered sports pitch and events space Kinross Community Campus Sports Facilities Improvements to the building fabric and energy efficiency of Live Active Loch Leven Crieff Community Campus Sports Facilities Improvements to the building fabric and energy efficiency of Strathearn Community Campus Leisure Facilities Crieff Drummond Arms - Regeneration Demolition of former hotel, regeneration of site for housing use Perth Concert Hall Roof and plant upgrades and compliance works Perth Museum Redevelopment of former Perth City Hall to New Perth Museum Prudential Borrowing Projects Decarbonisation This budget will support PKCs path to NetZero and focus primarily on the de-carbonisation of heat and replacing inefficient direct emissions heat sources Energy Conservation & Carbon Reduction Programme This budget is focused on works to reduce PKC energy consumption and help achieve annual KPI energy reduction of 3% Pullar House - Purchase & Re-Purposing Purchase and development of Pullar House to create a shared Public Sector Hub Customer & Digital Services Page 81 of 186
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Project Project Description ICT Infrastructure & Replacement and Upgrade Programme This Programme delivers the IT / digital environment, digital resources and systems required by staff and young people. The programme maintains, supports and develops computers; networks; telephony; Microsoft systems; connectivity and equipment; datacentres; servers; file storage and back up; security systems and video conferencing Data & Analytics Delivers the governance, tools, technologies and organisation-wide skills required for optimising value from Council data, driving informed decision making around resources, priorities and service delivery targets Supporting Digital Develops the capabilities we need to be an innovative digital organisation. Including developing the Council’s corporate employee (mobile working) and customer (online services) platforms, to create new digital products and services; investment in tools such as Microsoft; resourcing innovation and building digital skills, insight and expertise Software Licences (Revenues & Benefits) NAC Live system licensing for Revenues & Benefits team School Audio-Visual (AV) Equipment Replacement Programme Ensures all Perth and Kinross classrooms have equitable access to audio visual panels and the digital skills to exploit these resources for learning and teaching Mosaic - Swift Social Work System Replacement Purchase and Development of a new Social Work system to replace SWIFT Hardware Funding of additional or bespoke IT Hardware for Communities Staff Licenses Funding of software contracts Case Management System New system for management of client cases Occupational Therapy Equipment Supply and install of occupational therapy equipment following referral from health and social care professionals. Technology Enabled Telecare Replacement of existing analogue Community Alarm devices to digital alarm units prior to UK switch-off of analogue network, as well as ongoing rolling replacement programme. Moving & Handling Office Refurbishment Relocate staff base, currently under review Software Licences Various licences for essential social care systems HEALTH & SOCIAL CARE Page 82 of 186
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APPENDIX III Approved Approved Proposed Revised Actual Projected Revised Revised Revised Revised Revised Budget Budget Budget Budget to Outturn Budget Budget Budget Budget Budget Report 3 Adjustment Adjustment 28-Feb-26 21-Jan-26 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 2025/26 2025/26 2025/26 2025/26 2025/26 2025/26 2026/27 2027/28 2028/29 2029/30 TOTAL £'000 (£'000) £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Council House New Build Programme Beechgrove, Perth 111 159 270 239 270 0 0 0 0 270 Council Tax (Second Income) 0 0 0 0 0 0 0 0 Commuted Developer Sums 0 (320) (320) (320) (320) 0 0 0 0 (320) Scottish Government Subsidy 0 0 0 0 0 0 0 0 111 0 (161) (50) (81) (50) 0 0 0 0 (50) Balhousie, Perth 188 146 334 315 334 0 0 0 0 334 Council Tax (Second Income) 0 0 0 0 0 0 0 0 Scottish Government Subsidy 0 0 0 0 0 0 0 0 188 0 146 334 315 334 0 0 0 0 334 Kinloch Gardens, Rattray (20 units) 1,417 1,417 1,417 1,417 0 0 0 0 1,417 Council Tax (Second Income) (400) (400) (400) (400) 0 0 0 0 (400) Scottish Government Subsidy 0 0 0 0 0 0 0 0 1,017 0 0 1,017 1,017 1,017 0 0 0 0 1,017 Kinloch Brae, Blairgowrie (4 units) 783 783 781 783 546 0 0 0 1,329 Council Tax (Second Income) (80) (80) (80) (80) (60) 0 0 0 (140) Scottish Government Subsidy (404) (11) (415) (415) (415) (298) 0 0 0 (713) Communted sums 0 0 0 0 0 0 0 0 299 0 (11) 288 286 288 188 0 0 0 476 Broich Road, Crieff (12 units) 2,716 1 2,717 2,716 2,717 0 0 0 0 2,717 Council Tax (Second Income) (240) (240) (240) (240) 0 0 0 0 (240) Scottish Government Subsidy (1,242) (34) (1,276) (1,276) (1,276) 0 0 0 0 (1,276) 1,234 0 (33) 1,201 1,200 1,201 0 0 0 0 1,201 Ballinuig 0 3 3 3 0 0 0 0 3 Council Tax (Second Income) 0 0 0 0 0 0 0 0 Scottish Government Subsidy 0 0 0 0 0 0 0 0 0 0 3 3 0 3 0 0 0 0 3 Future Developments 3,550 (3,550) 0 0 8,918 5,596 4,725 4,423 23,662 Council Tax (Second Income) 0 0 0 0 0 0 0 0 Scottish Government Subsidy 0 0 0 0 0 0 0 0 3,550 0 (3,550) 0 0 0 8,918 5,596 4,725 4,423 23,662 Total Council House New Build 6,399 0 (3,606) 2,793 2,737 2,793 9,106 5,596 4,725 4,423 26,643 Increase in Council House Stock Council House Buy-Backs 15,810 (903) 14,907 13,178 14,907 7,863 5,000 5,000 5,000 37,770 Scottish Government Subsidy (2,450) (1,960) (4,410) (3,675) (4,410) 0 0 0 0 (4,410) 13,360 0 (2,863) 10,497 9,503 10,497 7,863 5,000 5,000 5,000 33,360 National Trust Scotland (NTS), Dunkeld Purchase of properties (20 units) 966 (531) 435 435 435 531 0 0 0 966 Council Tax (Second Income) 0 0 0 0 0 0 0 0 Scottish Government Subsidy 0 0 0 0 0 0 0 0 966 0 (531) 435 435 435 531 0 0 0 966 Total Increase in Council House stock 14,326 0 (3,394) 10,932 9,938 10,932 8,394 5,000 5,000 5,000 34,326 Standard Delivery Plan Heating Upgrade Contract Works 1,492 (109) 1,383 877 1,383 920 0 0 0 2,303 Rewiring, Infrastructure & Property Refurbishment 1,339 36 1,375 1,320 1,375 0 0 0 0 1,375 Triple Glazing 4,025 (1,205) 2,820 2,208 2,820 5,230 0 0 0 8,050 Controlled Door Entry 56 17 73 44 73 0 0 0 0 73 - less Third Party Contribution (7) (7) (14) (14) 0 0 0 0 (14) Kitchen Modernisation Programme 2,242 (567) 1,675 1,497 1,675 349 0 0 0 2,024 Bathroom Modernisation Programme 1,000 92 1,092 993 1,092 0 0 0 0 1,092 Adaptations (OT) 637 (117) 520 398 520 117 0 0 0 637 HRA CAPITAL INVESTMENT PROGRAMME SUMMARY OF CAPITAL RESOURCES AND EXPENDITURE 2025/26 to 2029/30 PERTH AND KINROSS COUNCIL 7 Page 83 of 186
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APPENDIX III Approved Approved Proposed Revised Actual Projected Revised Revised Revised Revised Revised Budget Budget Budget Budget to Outturn Budget Budget Budget Budget Budget Report 3 Adjustment Adjustment 28-Feb-26 21-Jan-26 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 Report 4 2025/26 2025/26 2025/26 2025/26 2025/26 2025/26 2026/27 2027/28 2028/29 2029/30 TOTAL £'000 (£'000) £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 External Fabric 2,100 2,100 1,750 2,100 1,744 863 0 0 4,707 - less Third Party Contribution (69) (69) (32) (69) 0 0 0 0 (69) Energy Efficiency 724 (124) 600 600 600 124 0 0 0 724 - less Scottish Government Grant (33) (33) (33) 0 0 0 0 (33) Multi Storey Flats 4,298 4,298 2,640 4,298 2,273 0 0 0 6,571 - less Third Party Contribution 0 0 0 (481) 0 0 0 (481) - less Scottish Government Grant (67) (67) (67) 0 0 0 0 (67) Environmental Improvements 959 200 1,159 938 1,159 873 873 973 0 3,878 Fire Precaution Measures 388 (144) 244 93 244 1,144 735 0 0 2,123 Fire Alarm Replacement Programme 84 (46) 38 38 212 0 0 0 250 Sound Insulation 408 (398) 10 10 10 0 398 0 0 408 Structural Improvements 1,233 (1,233) 0 0 0 1,233 0 0 1,233 Retrofit Works 162 162 152 162 0 0 0 0 162 SHQS Future Developments 0 0 0 3,000 0 0 0 3,000 Total Standard Delivery Plan 20,971 0 (3,605) 17,366 13,488 17,366 15,505 4,102 973 0 37,946 Other Investment in Council House Stock Total Major Adaptations to Council House Stock 270 270 232 270 0 0 0 0 270 Rannoch Road, Perth - Housing Regeneration 85 85 78 85 0 0 0 0 85 149-151 Dunkeld Road, Perth 2 2 1 2 0 0 0 0 2 St.Catherine's Square Redevelopment 500 (458) 42 36 42 100 3,166 0 0 3,308 HRA Car Parks 0 80 80 80 0 0 0 0 80 Lock-ups and Garage Sites 50 (50) 0 0 0 50 0 0 50 Shops & Offices 269 (269) 0 0 0 269 0 0 269 Greyfriars and Satellite Sites 73 (73) 0 0 0 73 0 0 73 Double Dykes Chalet Replacement 4,815 (681) 4,134 3,884 4,134 681 0 0 0 4,815 - Scottish Government Grant (1,690) (1,690) (1,690) (1,690) 0 0 0 0 (1,690) General Capital Works 56 56 47 56 0 0 0 0 56 Upgrade and Replacements to Lifts Programme 233 (34) 199 108 199 34 0 0 0 233 ICT Expenditure 162 (48) 114 114 114 48 0 0 0 162 Mortgage to Rent 249 (128) 121 121 121 128 0 0 0 249 - less Government Grant (75) (75) (75) (75) 0 0 0 0 (75) Total Other Investment in Council House Stock 4,999 0 (1,661) 3,338 2,856 3,338 991 3,558 0 0 7,887 Total Net Expenditure 46,695 0 (12,266) 34,429 29,019 34,429 33,996 18,256 10,698 9,423 106,802 Income CAPITAL RECEIPTS 0 0 (18) 0 0 0 0 0 0 CFCR (1,684) (1,684) (1,684) (1,391) (1,382) (1,502) (1,991) (7,950) TOTAL BORROWING REQUIREMENT 45,011 0 (12,266) 32,745 29,001 32,745 32,605 16,874 9,196 7,432 98,852 Page 84 of 186
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SIGNIFICANT CAPITAL PROJECTS PROGRESS UPDATE APPENDIX IV Project Title Total Gross Budget (£'000) Third Party Funding (£'000) Total Net Budget (£'000) Projected Outturn (£'000) Completion Date Contract Awarded On Site Status Change Since Last Report Additional Commentary Blairgowrie Recreation Centre - Replacement 36,000 0 36,000 36,000 Opened August 2025 Phase 2 Completion Date TBC Yes Yes On track No Phase 2 demolition of old recreation centre delayed, date tbc. North/West Perth New Primary School* 24,000 0 24,000 24,000 Summer 2028 No No On track No Revised Stage 1 report expected mid April with updated cost and programme information Perth High School - New School Investment 80,200 0 80,200 80,200 School opened as planned August 2025 Yes Yes On track No Phase 2 demolition underway Bertha Park Link Road 16,322 1,064 15,258 15,258 December 2026 Yes Yes On track Yes - completion date Construction work continues and is progressing well. The works remain ahead of programme and it is hoped that they will be substantially completed by mid June 2026. Comrie Flood Protection Scheme 40,353 32,657 7,696 7,696 Autumn 2026 Yes Yes On track Yes - completion date Main construction works commenced in March 2025. Project on budget and programmed for completion in late autumn 2026. Perth Eco Innovation Park* 32,817 17,711 15,106 15,106 Not currently programmed No No Design package awarded - design programme on track Yes [See previous reports in relation to funding.] Outline Design works generally progressing on programme with a completion date of July 2026. Ground investigation works are complete although a slight delay with reporting. S42 application to vary conditions submitted to PKC Planning and validated. To be considered at April Committee. Positive liaison continues with JDLT. High level programme and stage gateway for detailed design and construction approved by Council in 2026, and approval given to spend a further £1.5m on detailed design. PH2O 73,847 0 73,847 73,847 2030-31 No No Thimblerow approved as new site for PH2O project, including leisure water, at Council on 18 June 2025. Yes Programme under development, procurement of main contractor and design team has been completed via Hubco, - design will now commence based on June 2025 approved brief. Bells Sport Centre 10,000 0 10,000 10,000 Not currently programmed No No Approved 18 June 2025 Yes Early stages of development, Contractor appointed for intrusive surveys , removal of RAAC and asbestos, feasibility of Council vision will be informed by surveys and strip out, which are due to commence 13 April 2026 for 27 weeks. Kinross Community Campus Sports Facilities 6,900 0 6,900 6,900 Not currently programmed No No Approved 18 June 2025 Yes Early stages of development, will be updated in future reports Crieff Community Campus Sports Facilities 6,300 0 6,300 6,300 Not currently programmed No No Approved 18 June 2025 Yes Early stages of development, will be updated in future reports Crieff Drummond Arms - Regenertaion 3,000 0 3,000 3,000 DBN works completed November 2025; LBC still to be achieved Yes Yes DBN works completed October 2025; LBC still to be achieved - demolition of the remainder of the building outstanding Yes 20/01/2025 Demolition split into two parts. 1st part are all works listed within the Dangerous Building Notice (DBN) was completed November 2025. The site has been made secure and remains in the possession of Beatties demolition who are carrying out weekly inspections. For remainder of the demolition, listed building consent (LBC) is required. Planning & HES updated on 2 March 2026 with the facade retension options. Outstanding HES response before a decision can be made on what will be done with the remainder of the building. Multi Storey Flats - Energy Efficiency Works (HRA) 7,060 548 6,512 6,512 Phase 1 - Pomarium Blocks 7-51 & 52-95 Completion July 2026. Phase 2a - Market, Milne and Lickley Court Lifts December 2026, Phase 2b Market, Milne and Lickley Court EWI works May 2027 and 1- 48 Potterhill Flats June 2028. Yes Yes Pomarium blocks on site currently. n/a Phase 1 Pomarium Contract Works to two blocks on site until July 2026. £5.7m Contract Sum. Works commenced on 14th July 2025. Block 1 is 7-51 includes, 45 flats (8 storey tower block). Block 52-95 includes 44 flats (11 storey tower block). Scottish Government HEEPS ABS funding awarded July 2025 for Private Owners (applied for in May) and Private Owners are share of cost are included in the Third Party Funding. Phase 2a MML Lift replacements Contract is £1.1m is signed/approved, Lifts in Manufacture, construction works for this Phase commenced on site 23/03/2026. Income is £340k from Private Owners in blocks. Phase 2b for EWI/Roofing works (105 flats) is planned for commencement on site July 2026 (grant funding application is to be made in May 2026 as per Pomarium). Potterhill Flats (48 flats) planned for July 2027 commencement. Budget shown for all six blocks. * Third Party Funding excludes Developer Contributions and receipts to be received in future years beyond the current 6-year programme. 7 Page 85 of 186
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CAPITAL BUDGET FINANCIAL RISKS APPENDIX V 1 Inflation Whilst inflation has reduced from the previous highs, there is strong evidence that inflation will increase again in the immediate future, primarily as a result of ongoing conflict in the MIddle East. Many projects are also subject to construction inflation affecting labour rates and materials costs, which may differ from general retail inflation. 2 Interest Rates Higher interest rates mean that borrowing is more expensive, and therefore the Council can afford to borrow less. If interest rates are higher than the budgeted/estimated rates over the period of the budget, this means some capital expenditure funded by borrowing may need to be reviewed. There is hightened risk that interest rates will remain at current levels for longer than previously thought, or even be increased in a bid by the Bank of England to combat expected inflationary increases as a result of conflict in the Middle East. 3 Staff Capacity The ability of Services to deliver the Council’s approved plans may be limited to the availability of appropriately qualified and experienced staff and their capacity to deliver the projects in the budgeted timescales. Staff turnover and delays in recruitment may lead to delays in delivering projects. 4 Changing priorities / regulations Changing regulations can affect projects, for example building regulations and new climate change requirements may require construction projects to be reviewed and modified to meet the new regulations. This may lead to delays and increased costs. Also, changes to the local demographics may mean the Council’s priorities change over time, particularly when considering the Capital Budget over several years into the future. 5 Capital Grant The Scottish Government Capital Grant allocations are made on an annual basis, and therefore subsequent years estimates cannot be guaranteed. 6 Developer Contributions Developer Contributions are payable into future years, usually in line with house building rates, and act as a contribution towards infrastructure already delivered and expensed. These contributions therefore reduce the need for borrowing in future, with completed infrastructure costs already incurred. There is a risk that developer plans do not progress as anticipated and this can result in contributions not materialising. The Developer Contributions income budget is currently £12.364 million. 7 Compensation Claims The cost of completed capital projects can increase in future if claims for compensation are received from contractors or other persons if land is purchased or disturbed for projects. Whilst large capital projects include a degree of contingency, the amounts potentially awarded for compensation can far exceed this contingency and are not budgeted for. 7 Page 87 of 186
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Our vision is a Perth and Kinross where everyone can live life well, free from poverty and inequality ___________________________________________________________________ Committee: Finance and Resources Committee Date of Meeting: 22 April 2026 Report Title: Treasury Activity and Compliance Report 2025/26 – 6 months to 31 March 2026 Report Number: 26/112 Report Author: John Jennings Senior Accountant Organisational Lead: Scott Walker Chief Finance Officer ___________________________________________________________________ 1. Purpose 1.1 The purpose of this report is to update the Committee on Treasury Activity for the period 1 October 2025 to 31 March 2026 and to provide assurance on compliance with the Council’s Treasury Management Policy Statement (TMPS), Investment Strategy and Prudential Indicators. 1.2 This Treasury Activity and Compliance Report covers: Economic Background Treasury Activity Compliance Investment Strategy Compliance & Performance Prudential Indicators Conclusion Appendices 2. Recommendation 2.1 It is recommended that the Committee note the contents of this report. 3. Economic Background 3.1 The Bank of England’s Monetary Policy Committee (MPC) reduced the UK Bank Base Rate from 4.0% to 3.75% on 18 December 2025 due to weak economic growth and a steady fall in inflation over the period. The Base Rate has remained the same over the remainder of the period, despite initial expectations of a further reduction by March 2026. However, at the March meeting the MPC voted unanimously to keep rates on hold due to the risks of the Middle East conflict and concerns on the impact on inflation due to rising energy prices and 8 Page 89 of 186
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market volatility. There was also weak growth in the economy and rising unemployment. 3.2 CPI inflation reduced from 3.6% in October 2025 to 3.2% in November 2025. Although there was an increase in December 2025 to 3.4% due mainly to food price increases, inflation fell again to 3.0% in January and February 2026 due to falling petrol prices and lower air fares after Christmas. UK GDP (Gross Domestic Product) remained at around 0.1% over the period with early 2026 data suggesting continued near zero economic growth. 3.3 Forecasts of the Bank Base Rate changed by the end of the period due to the risks from the Middle East causing rising inflationary expectations from the large increase in oil prices and supply pressures creating global economic uncertainties and therefore putting upward pressures on Inflation. 3.4 Internationally, the Eurozone experienced growth of 0.2% in the 3 months to 31 December 2025, whilst CPI Inflation reduced to 1.9% in February 2026. Eurozone interest rates remained at 2.15% in March 2026. In the US, GDP grew over the period to 0.7% at the end of December 2025, whilst inflation reduced over the period. The US interest rate was reduced to the range of 3.50% to 3.75% in March 2026. 3.5 The Public Works Loan Board’s (PWLB) certainty fixed interest rates for the 6 months to 31 March 2026, which are based on yields on UK gilts, are shown in the graph at Appendix I. Rates fell over most of the period, particularly for short term borrowing, before rising sharply in March 2026 following the start of the Middle East conflict. The 1-year rate initially fell over the period from 4.56% to 4.25%, before rising and peaking at 5.25% before ending the period at 5.02%. All other rates followed a similar pattern, with the 50-year rate falling from 6.0% to 5.61%, before rising to 6.24%, and ending at 6.03%. 4. Treasury Activity 4.1 A summary of the Council’s treasury position and transactions is shown at Appendix II. The main activities are detailed below. 4.2 During the period 13 new PWLB loans were borrowed for a total of £190 million, consisting of: 4 fixed maturity loans totalling £55 million at an average rate of 4.31% and for an average duration of 1.6 years, and 9 fixed rate EIP (Equal Instalments of Principal) loans totalling £135 million at an average rate of 4.32% and for an average duration of 3.4 years. 4.3 There was also the repayment of one maturing fixed rate maturity PWLB loan of £5 million borrowed at 4.82% for 1 year. In addition, there were also the scheduled instalments made on two PWLB EIP loans for £5 million and £6.25 million. Page 90 of 186
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PWLB Premature Repayment of Debt 4.4 There was also the premature repayment of eleven PWLB fixed maturity loans over the period totalling £55.5 million at an average rate of 4.70%. 4.5 In November 2025, following a period of rising longer-term interest rates, six PWLB fixed Maturity loans totalling £28 million were repaid, at an average interest rate of 4.52% and with between 30 to 35 years left to maturity. As the interest rates on these loans were lower than the comparative PWLB rates at that time, a discount of £2.268 million was received from the PWLB. In addition, a total of £342,600 in interest charges will be saved over the next eight years, and interest charges are anticipated to be neutral thereafter. 4.6 Following a further spike in longer term rates, there was further early repayments made on the 23 February 2026 of four fixed Maturity PWLB totalling £22.5 million at an average rate of 5.02% and with between 30 to 38 years left to maturity. This package of repaid debt allowed for the early repayment of one historic loan of £7.5 million at 7.5%, by including other loans to offset the premium on the higher rate loan. Overall, a net discount of £108,400 was received from the PWLB together with annual savings of £155,000 in interest. 4.7 There was a final repayment of one fixed maturity PWLB loan for £5 million at 4.22% on 9 March 2026 and with 38 years left to maturity. This generated a discount of £668,500, to offset the increase in interest rates on the Council’s borrowing at the start of March 2026. In addition to the discount received from the PWLB, the impact of these transactions on the Council’s interest charges is anticipated to be neutral. 4.8 The repayment of all the above loans increased the Council’s borrowing requirement for the year by £55.5 million. 4.9 Officers constantly assess the factors that are likely to impact on treasury management and take proactive measures to protect the Council’s interests. Just two days before the conflict in the Middle East escalated, following an assessment of the potential impact on future borrowing costs, the Council undertook £45 million of new borrowing at 4.45% (£25 million) and 4.46% (£20 million). Had the Council deferred this borrowing until required, it would have cost around an additional £418,000 per annum in interest charges over the next two years. Consequently, the Council improved its ability to invest in the short term, and to maintain its investment in the capital programme. On current cashflow estimates, the Council does not require to start borrowing its 2026/27 requirement until July/August 2026. 4.10 As a result of all the above transactions, the Council’s total long-term debt increased by £118.25 million from £688.95 million at an average interest rate of 2.86% to £807.2 million at an average interest rate of 3.05% as at 31 March 2026. 4.11 There were 22 short-term market loans borrowed in the period to manage daily cashflows. These were borrowed as part of the adopted strategy during periods when PWLB rates were high and allowed the Council to defer longer-term borrowing until later in the year. Consequently, a total of £141.5 million was Page 91 of 186
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borrowed for an average of 77 days at an average rate of 4.09%. There was £17 million of these temporary loans outstanding as at 31 March 2026. 4.12 Common Good and Charitable Fund balances held on fixed deposit with the Loans Fund increased from £2.711 million to £2.796 million over the six-month period, whilst the average interest rate decreased from 4.02% to 3.35%. Funds held from associated bodies and organisations reduced from £2.933 million to £2.501 million over the period, in line with their own cash flow requirements, whilst the average rate paid on these funds reduced from 3.32% to 3.09% in line with the rates applicable on individual loans depending on the balance held, and which are linked to the prevailing Bank Base Rate. 4.13 Short term cashflow surpluses are invested in a mixture of fixed term deposits, instant access accounts and money market funds. All investments were made in accordance with the approved Investment Strategy and Permitted Investments Fixed Term Deposits 4.14 Cashflow surpluses which arise during the year, and which are not immediately required, are generally invested in fixed term deposits for periods of up to 12 months, or up to 3 years where forecast cashflow requirements allow. 4.15 There were eight fixed rate deposits made in the six months to 31 March 2026 (totalling £46 million) at an average interest rate of 6.91% and for an average term of 21 days. This was an increase in fixed deposit activity in comparison to the previous 6 months to the end of September. The deposits were undertaken with other local authorities where opportunities arose within cashflow projections. However, there were few opportunities as a result of the Council’s current borrowing position, with most of these deposits occurring during March 2026, coinciding with the time where local authority lending rates are at their highest. The fixed deposits undertaken in the current period will generate interest of £144,583 by their maturity. Investments for Daily Cashflow Requirements 4.16 Cashflow surpluses which are required for more immediate needs were invested in the Council’s instant access and Money Market Funds. The investment transactions in the period can be summarised as follows: The daily average amount of such funds increased from £8.94 million in the previous quarter to £10.28 million at the end of the current period, reflecting the Council’s use of MMF’s for liquidity and lower balances available for investment. The average interest rate achieved on these accounts over the period reduced from 4.24% to 3.93%, in line with movements in the Bank Base Rate. Money Market Funds, which operate on instant access terms, were used extensively over the period. The average amount invested increased from £12.075 million in the previous period to £12.589 million in the current period, whilst the average interest rate reduced from 4.24% to 3.95%. Page 92 of 186
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The activity on these accounts reflects the need to keep a sufficient level of funds for more immediate cashflow purposes over the period. Interest generated on these investments over the 6-month period amounted to £459,763. 4.17 The total amount of investments outstanding as at 31 March 2026 was £21.917 million compared to £18.546 million at 30 September 2025. The overall average rate of interest on the investments outstanding increased from 4.15% to 6.02% over this period. This reflects the increase in interest rates available within the local authority lending market towards the end of the financial year. 4.18 Total income generated on investments undertaken during the period totals £604,347 (£595,366 in the 6 months to 30 September 2025). This measure reflects the total return on the investment activity undertaken in the period and is slightly higher in comparison to the previous quarter with an increase in fixed term deposit activity and higher local authority interest rates. 4.19 All of the above investment activities are consistent with the Council’s current investment strategy and cashflow requirements. 5. Compliance 5.1 For the period ending 31 March 2026, there were no breaches in compliance with the Council’s approved Treasury Management Policy Statement, Treasury Management Practices (TMP’s) or lending limits as detailed in TMP 4 (Approved Instruments, Methods & Techniques). 5.2 Appendix III shows the list of approved counterparties, based on the Council’s current lending policy, as at March 2026. 5.3 For the period ending 31 March 2026 the average closing cleared bank balance was £18,093.43 in credit. This reflects the application of the Council’s “sweep facility” operated by the bank, with any credit balance in excess of £35,000 being “swept up” overnight to the Council’s instant access account. 6. Investment Strategy Compliance And Performance 6.1 The Treasury Investment Strategy for 2025/26 was approved by the Council at its meeting on 5 March 2025 (report 25/39 refers). 6.2 In the current period, the level of the Council’s investments peaked at £76.375 million on 18 March 2026 following the new borrowing earlier in March and subsequently reduced to £21.917 million by 31 March 2026. The average daily investment balance over the period was £25.790 million, which reduced from an average of £29.589 million in the previous 6 months and from £33.154 million in the same period of last year. This highlights the steady reduction in investment balances over the last year as funds were applied in financing the approved Capital programme. By the end of March 2026, there were three fixed rate deposits remaining, whilst the instant access balances reflect the minimum requirements to maintain day-to-day liquidity. Page 93 of 186
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6.3 The approved Investment Strategy was applied in full over the period, with liquidity being maintained using instant access accounts and Money Market Funds as detailed in paragraph 4.16 above. There were no other risks identified in the period. 6.4 The Investment Strategy also incorporates investments held by the Common Good Funds. All such investments during the period were with the Council’s Loans Fund. The only Council funds held by external fund managers relate to Council-administered Charitable Trusts and are, therefore, not covered by this Investment Strategy. 6.5 The budgeted income in 2025/26 for Commercial Property investments is £1.866 million whilst the latest projection is at £1.891 million. There were no new property investments entered into during the current period. 7. Prudential Indicators 7.1 Prudential Indicators for 2025/26 to 2030/31 were approved by the Council at its meeting on 5 March 2025 (report 25/39 refers) as part of the Annual Treasury and Investment Strategy report. 7.2 The latest estimates of the Prudential Indicators are shown in Appendix IV and are based on the Council’s revised Capital Budget being considered at this Committee meeting. These show that the Council adhered to all Prudential Limits in the period. However, the annual Loan Charges relative to the Net Revenue stream and the Capital Financing (Borrowing) Requirement show an increasing trend, which reflects the latest estimates for the Capital Programme and interest rate forecasts over the period. Whilst they are forecast to remain comfortably within their limits, they will be kept under review. 8 Conclusions 8.1 The Bank of England’s MPC reduced the Bank Base Rate to 3.75% in December 2025. The Base Rate remained the same over the rest of the period due to the impact of the Middle East conflict and concerns for inflation. 8.2 Public Works Loans Board (PWLB) borrowing rates continued to be volatile over the period due to inflationary expectations and mixed economic data. During the 6-month period rates increased in all durations, particularly in March 2026. 8.3 There were £190 million of new PWLB loans borrowed in the period, together with the repayment of £71.750 million of PWLB loans. The early repayment of these loans during the period generated a premium of £2.901 million and discounts totalling £5.946 million to the Council, therefore generating £3.045 million in net income. These premature payments of debt are also estimated to save over £1.3 million in interest charges over the next few years. 8.4 There was also the continuation of short-term local authority borrowing in the first half of the period, whilst the Investment activity in the period consisted of a small level of fixed term deposits, with instant access and Money Market Funds used extensively to meet day-to-day cashflow requirements. The total level of investments outstanding increased. Page 94 of 186
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8.5 The Council adhered to its Investment Strategy and policies throughout the period, with no breaches in compliance. The Council’s Prudential Indicators were also adhered to throughout the period. 9. Impact and Value Assessment 9.1 This is an operational report, and as such, an impact and value assessment in not required. 10. Appendices Appendix I - PWLB Fixed Maturity Interest Rates from 1 October 2025 to 31 March 2026 Appendix II - Summary of the Treasury Position and Transactions from 1 October to 31 March 2026 Appendix III - Approved Investment Counterparty List Appendix IV - Monitoring of Prudential Indicators - Period ending 31 March 2026 Page 95 of 186
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PWLB FIXED CERTAINTY INTEREST RATES 1 OCTOBER 2025 TO 31 MARCH 2026 Appendix I 4.00 4.25 4.50 4.75 5.00 5.25 5.50 5.75 6.00 6.25 6.50 01-Oct-25 08-Oct-25 15-Oct-25 22-Oct-25 29-Oct-25 05-Nov-25 12-Nov-25 19-Nov-25 26-Nov-25 03-Dec-25 10-Dec-25 17-Dec-25 24-Dec-25 31-Dec-25 07-Jan-26 14-Jan-26 21-Jan-26 28-Jan-26 04-Feb-26 11-Feb-26 18-Feb-26 25-Feb-26 04-Mar-26 11-Mar-26 18-Mar-26 25-Mar-26 1 Year 5 Years 10 Years 20 Years 30 Years 50 Years 8 Page 97 of 186
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SUMMARY OF THE TREASURY POSITION AND TRANSACTIONS 1 OCTOBER 2025 TO 31 MARCH 2026 APPENDIX II 1 LONG TERM BORROWING (a) Long Term Borrowing 1 October to 31 March 2026 Average Average Amount No. Rate (%) Life (years) (£) PWLB - Fixed Maturity Debt 4 4.31% 1.6 55,000,000 PWLB - Fixed EIP Loan Debt 9 4.32% 3.4 135,000,000 13 4.32% 2.9 190,000,000 (b) Long Term Debt Repayments 1 October to 31 March 2026 Average Amount No. Rate (%) (£) PWLB - Maturity Loan - Scheduled Repayments 1 4.82% 5,000,000 PWLB - Maturity Loan - Premature Debt Repayments 11 4.70% 55,500,000 PWLB - EIP Loan - Scheduled Repayments 2 4.66% 11,250,000 14 4.70% 71,750,000 (c) Long Term Debt Outstanding Outstanding Average Outstanding Average 30-Sep-25 Rate 31-Mar-26 Rate £ £ Public Works Loan Board 635,750,000 2.72% 754,000,000 2.94% Money Market Loans 53,200,000 4.57% 53,200,000 4.57% TOTAL 688,950,000 2.86% 807,200,000 3.05% 2 SHORT TERM BORROWING (a) Short Term Market Borrowing - 1 October to 31 March 2026 Average Average Average Interest No. Amount (£) Rate (%) Term (Days) (£) Temporary borrowing 22 6,431,818 4.09% 77 1,240,089.04 22 6,431,818 4.09% 77 1,240,089.04 (b) Short Term Borrowing Outstanding Outstanding Average Outstanding Average 30-Sep-25 Rate 31-Mar-26 Rate £ £ Market Borrowing 61,500,000 4.06% 17,000,000 4.24% Common Good and Charitable Funds 2,710,569 4.02% 2,796,000 3.35% Local Trusts & Investors 2,933,157 3.32% 2,501,257 3.09% TOTAL 67,143,726 4.02% 22,297,257 4.00% 8 Page 99 of 186
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SUMMARY OF THE TREASURY POSITION AND TRANSACTIONS 1 OCTOBER 2025 TO 31 MARCH 2026 APPENDIX II 3 INVESTMENTS (a) Investment Transactions - 1 October to 31 March 2026 Average Average Average Total Fixed Deposits & Investments No. Amount (£) Rate (%) Term (Days) Interest (£) Other Local Authorities 8 5,750,000 6.91% 21 144,583.56 8 5,750,000 6.91% 21 144,583.56 Average Average Total Instant/Notice Accounts & Money Market Funds Amount (£) Rate (%) Interest (£) Instant Access/Notice accounts 1,015,650 2.96% 6,796.88 Money Market Funds 12,588,571 3.95% 452,966.47 10,281,551 3.93% 459,763.35 (b) Investments Outstanding Outstanding Average Outstanding Average 30-Sep-25 Rate 31-Mar-26 Rate £ £ UK Banks 70,962 2.62% 216,548 1.95% Foreign Banks and Institutions 5,000,000 4.34% 0 0.00% Other Local Authorities 0 0.00% 16,000,000 6.86% Money Market Funds 13,475,000 4.09% 5,700,000 3.83% TOTAL 18,545,962 4.15% 21,916,548 6.02% Page 100 of 186
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APPROVED INVESTMENT COUNTERPARTY LIST APPENDIX III Fitch Credit CDS Maximum Country Rating Range Lending Category 1 - Principal UK Clearing Banks - 40% Investment total (or £20M per Counterparty if higher) (Minimum rating required Fitch A, F1) Bank of Scotland (RFB) (5) UK AA-, F1+ In range 12 months Barclays Bank plc (NRFB) (5) UK A+, F1 No data 6 months Barclays Bank plc (RFB) (5) UK A+, F1 In range 6 months Goldman Sachs International Bank UK A+, F1 In range 6 months Handelsbanken plc UK AA, F1+ No data 12 months HSBC Bank plc (NRFB) UK AA-, F1+ In range 12 months HSBC Bank plc (RFB) UK AA-, F1+ No data 12 months Lloyds Bank Corporate Markets Plc (NRFB) UK AA-, F1+ No data 12 months Lloyds Banking Group plc (RFB) UK AA-, F1+ In range 12 months NatWest Markets Plc (NRFB) UK AA-, F1+ In range 12 months Royal Bank of Scotland plc (RFB) (inc Nat West) UK AA-, F1+ In range 6 months Santander UK plc (inc Cater Allen) UK A+, F1 No data 12 months Standard Chartered Bank UK A+, F1 In range 6 months Category 2 - Foreign Banks & Institutions - 25% Investment total (or £10M per Counterparty if higher) (Minimum rating required Fitch A, F1) Australia and New Zealand (ANZ) Banking Group Ltd Aus AA-, F1+ In range 12 months Commonwealth Bank of Australia Aus AA-, F1+ In range 12 months Macquarie Bank Ltd Aus A+, F1 No data 12 months National Australia Bank Ltd Aus AA-, F1+ In range 12 months Westpac Banking Corporation Aus AA-, F1+ In range 12 months BNP Paribas Fortis Bank Belgium A+, F1 No data 1 month KBC Bank Belgium A+, F1 No data 1 month Bank of Montreal Can AA-, F1+ No data 12 months Bank of Nova Scotia Can AA-, F1+ No data 12 months Canadian Imperial Bank of Commerce Can AA-, F1+ No data 12 months National Bank of Canada Can A+, F1 No data 12 months Royal Bank of Canada Can AA-, F1+ No data 12 months Toronto Dominion Bank Can AA-, F1+ No data 12 months Danske Bank Denmark A+, F1 In range 6 months Nordea Bank Finland plc Finland AA-, F1+ No data 1 month BNP Paribas France A+, F1 In range 1 month Credit Agricole Corporate and Investment Bank France A+, F1 In range 1 month Credit Agricole SA France A+, F1 In range 1 month Credit Industriel et Commercial France A+, F1 No data 1 month DZ Bank AG Germany AA-, F1+ No data 12 months Landesbank Hessen-Thueringen Girozentral (Helaba) Germany A+, F1+ In range 12 months Landwirtschaftliche Rentenbank Germany AAA, F1+ No data 24 months NRW Bank Germany AAA, F1+ No data 24 months ABN AMRO Bank Netherlands A, F1 No data 6 months Bank Nederlandse Germeenten Netherlands AAA, F1+ No data 24 months Cooperatieve Rabobank Netherlands A+, F1 In range 12 Months ING Bank Netherlands AA-, F1+ In range 12 Months DBS Bank Limited Singapore AA-, F1+ No data 12 months United Overseas Bank Ltd Singapore AA-, F1+ No data 12 months Skandinaviska Enskilda Banken AB Sweden AA-, F1+ No data 12 months Svenska Handelsbanken AB Sweden AA, F1+ No data 12 months Swedbank AB Sweden AA-, F1 No data 12 months UBS AG Switzerland A+, F1+ In range 12 months Bank of America, NA USA AA, F1+ No data 12 months Bank of New York Mellon USA AA, F1+ No data 24 months Citibank, NA USA A+, F1 In range 12 months JP Morgan Chase Bank, NA USA AA, F1+ No data 24 months Wells Fargo Bank, NA USA AA-, F1+ In range 12 months 8 Page 101 of 186
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APPROVED INVESTMENT COUNTERPARTY LIST APPENDIX III Category 3 - Subsidiary Banks & Building Societies - 15% of Investment total (or £10M per Counterparty if higher) (Minimum rating required Fitch A, F1) (parent bank shown in brackets) Subsidiary Banks None Building Societies Nationwide Building Society UK A, F1 No data 6 months Category 4 - Other Local Authorities - 20% of Investment total (or £20M per Counterparty if higher) As arranged Category 5 Money Market Funds - 10% of Investment Total (or £10M per Counterparty if higher) (Minimum rating required Fitch AAA) Aberdeen Standard Investments UK AAA Aviva Investors Liquidity Fund UK AAA Federated Sterling Liquidity Fund (Class 3) UK AAA Insight Sterling Liquidity Fund (Class 5) UK AAA Deutsche Bank Sterling Fund UK AAA Note: (1) - Standard & Poor's credit ratings shown, as no Fitch credit rating available (2) - All Soveriegn credit ratings for above Countries are AAA, unless stated otherwise. Last Updated: 15-Apr-26(3) - NRFB = Non Ring Fenced Bank, RFB = Ring Fenced Bank Page 102 of 186
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PERTH AND KINROSS COUNCIL PRUDENTIAL INDICATORS - 6 MONTHS ENDING 31 MARCH 2026 APPENDIX IV 1 Financing Costs:Net Revenue Stream The ratio of Capital Financing Costs (Loan Charges) to the Council's net revenue stream shall not exceed the following limits, which are based on historic levels, and allow some headroom for movement in interest rates. The estimated Financing Costs below are based on the latest monitoring figures. 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 Prudential Limit - General Fund 15.00% 15.00% 15.00% 15.00% 15.00% 15.00% Estimated Ratio of Financing Costs to Revenue 7.80% 7.56% 8.67% 9.04% 9.44% 9.91% Prudential Limit - HRA 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% Estimated Ratio of Financing Costs to Revenue 23.51% 22.70% 26.48% 26.89% 26.98% 27.24% 2 Gross & Net Borrowing and Capital Financing Requirements For prudence, net external borrowing must not exceed the total capital financing requirement, thus ensuring that over the medium term, borrowing is only undertaken for capital purposes. The estimated total net borrowing and Capital Financing Requirement at the end of each of the years are as follows: Projected Projected Projected Projected Projected Projected 31-Mar-26 31-Mar-27 31-Mar-28 31-Mar-29 31-Mar-30 31-Mar-31 Net External Borrowing* 906,182,000 1,031,391,000 1,121,085,000 1,194,378,000 1,250,505,000 1,307,443,000 Gross External Borrowing* 928,099,000 1,052,391,000 1,141,085,000 1,214,378,000 1,270,505,000 1,327,443,000 Capital Financing Requirement 992,000,000 1,116,746,000 1,195,903,000 1,250,350,000 1,292,357,000 1,346,390,000 *For the purpose of this indicator, Borrowing includes the outstanding liability under PPP/PFI contracts. 3 Estimates of Gross Capital Expenditure The total estimated Capital Expenditure contained within the Council's Budgets for each year is as follows, based on updated monitoring figures. Composite Programme 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 Current estimate 97,437,000 127,791,000 112,634,000 83,712,000 72,750,000 79,076,000 Original Budget Estimate 147,463,000 131,218,000 90,468,000 65,909,000 48,527,000 44,716,000 Movement in Estimated Capital Expenditure (50,026,000) (3,427,000) 22,166,000 17,803,000 24,223,000 34,360,000 The Original Budget Estimates are those per the Capital Monitoring Report on 30 April 2025, and incorporating 2030/31 approved expenditure from 26 February 2025 The latest estimates for Capital Expenditure are based on the F&R Capital Monitoring Report No 4 on 22 April 2026. HRA Programme 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 Current estimate 34,429,000 33,996,000 18,256,000 10,698,000 9,423,000 21,044,000 Original Budget Estimate 28,098,000 14,411,000 14,265,000 12,076,000 20,044,000 20,000,000 Movement in Estimated Capital Expenditure 6,331,000 19,585,000 3,991,000 (1,378,000) (10,621,000) 1,044,000 The Original Budget Estimates are those per the Capital Monitoring report on 30 April 2025, incorproating 2029/30 approved expenditure on 27 January 2025, and January 2026 for 2030/31. The latest estimates for Capital Expenditure are based on the F&R Capital Monitoring Report No 4 on 22 April 2026. 8 Page 103 of 186
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PERTH AND KINROSS COUNCIL PRUDENTIAL INDICATORS - 6 MONTHS ENDING 31 MARCH 2026 APPENDIX IV 4 Estimate of Capital Financing Requirement The estimate (as at March 2026) of the Capital Financing Requirement (ie new borrowing requirement for Capital Expenditure) for each year based on these plans is as follows: Composite Programme 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 Current Estimated Capital Financing Requirement 81,103,000 107,840,000 79,904,000 64,581,000 54,825,000 57,362,000 Original Budget Estimate 132,216,000 103,393,000 67,055,000 48,178,000 30,302,000 26,966,000 Movement in Estimated Capital Financing Requirement (51,113,000) 4,447,000 12,849,000 16,403,000 24,523,000 30,396,000 The Original Budget Estimates are those per the Capital Monitoring Report on 30 April 2025, and incorporating 2030/31 approved expenditure from 26 February 2025 The latest estimates for Capital Expenditure are based on the F&R Capital Monitoring Report No 4 on 22 April 2026. HRA Programme 2025/26 2026/27 2027/28 2028/29 2029/30 2030/31 Current Estimated Capital Financing Requirement 32,745,000 32,605,000 16,874,000 9,196,000 7,432,000 18,735,000 Original Budget Estimate 26,615,000 12,865,000 12,652,000 10,063,000 17,659,000 17,500,000 Movement in Estimated Capital Financing Requirement 6,130,000 19,740,000 4,222,000 (867,000) (10,227,000) 1,235,000 The Original Budget Estimates are those per the Capital Monitoring report on 30 April 2025, incorproating 2029/30 approved expenditure on 27 January 2025, and January 2026 for 2030/31. The latest estimates for Capital Expenditure are based on the F&R Capital Monitoring Report No 4 on 22 April 2026. 5 External Debt (Gross and Net) Projected Projected Projected Projected Projected Projected External Borrowing 31-Mar-26 31-Mar-27 31-Mar-28 31-Mar-29 31-Mar-30 31-Mar-31 Public Works Loan Board 754,000,000 900,694,444 1,014,888,889 1,093,583,333 1,155,111,111 1,217,750,000 Market Bonds (LOBOs) 53,200,000 53,200,000 33,200,000 33,200,000 33,200,000 33,200,000 Project Borrowing 0 0 0 0 0 0 Special Loans 2,796,000 2,796,000 2,796,000 2,796,000 2,796,000 2,796,000 Temporary Loans/Other Borrowing 19,501,257 2,500,000 2,400,000 2,400,000 2,400,000 2,400,000 Other Long Term Liabilities (PPP/PFI) 98,601,472 93,200,672 87,799,872 82,399,072 76,998,272 71,297,472 Total Gross External Debt 928,098,729 1,052,391,116 1,141,084,761 1,214,378,405 1,270,505,383 1,327,443,472 Short Term Investments (21,916,548) (21,000,000) (20,000,000) (20,000,000) (20,000,000) (20,000,000) Long Term Investments 0 0 0 0 0 0 Total Net External Debt 906,182,181 1,031,391,116 1,121,084,761 1,194,378,405 1,250,505,383 1,307,443,472 Note: Operational Boundary 929,000,000 1,053,000,000 1,142,000,000 1,215,000,000 1,271,000,000 1,328,000,000 Authorised Limit 1,300,000,000 1,355,000,000 1,355,000,000 1,355,000,000 1,355,000,000 1,355,000,000 The Operational Boundary and Authorised Limit are based on Gross External Debt. Page 104 of 186
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PERTH AND KINROSS COUNCIL PRUDENTIAL INDICATORS - 6 MONTHS ENDING 31 MARCH 2026 APPENDIX IV 6 Principal Sums Invested Longer Than 365 Days The Upper Limit for sums invested for over 1 year up to 3 years is £45 million. There were no amounts invested within this period as at 31 March 2026. 7 MATURITY STRUCTURE The lower and upper limit for the proportion of the Council's total-long term debt which matures in each of the time bandings below, and is therefore subject to refinancing at the prevailing market rates, is as follows: Borrowing Maturity Structure Lower Limit Upper Limit Estimated Under 12 months 0% 35% 11.45% over 12 months and < 24 months 0% 35% 12.28% over 2 years and < 5 years 0% 50% 14.75% over 5 years and < 10 years 0% 75% 2.93% over 10 years 10% 95% 58.59% The maurity profile for the Council's current long-term portfolio as at 31st March 2026, measured from the start of the financial year, is as follows: Less 1 Year 1 - 2 Years 2 - 5 Years 5 - 10 Years 10 - 20 Years 20 - 30 Years 30 - 40 Years 40 - 50 Years Over 50 Years Total PWLB 30,000,000 50,000,000 57,500,000 0 5,000,000 0 60,000,000 384,000,000 0 586,500,000 PWLB EIP 68,305,556 55,805,556 39,638,889 3,750,000 0 0 0 0 0 167,500,000 LOBOs 0 0 20,000,000 0 0 8,000,000 25,200,000 0 0 53,200,000 Other 0 0 0 0 0 0 0 0 0 0 PPP/PFI 5,400,800 5,400,800 16,502,400 22,803,200 48,494,272 0 0 0 0 98,601,472 Total 103,706,356 111,206,356 133,641,289 26,553,200 53,494,272 8,000,000 85,200,000 384,000,000 0 905,801,472 Percentage 11.45% 12.28% 14.75% 2.93% 5.91% 0.88% 9.41% 42.39% 0.00% 100.00% Page 105 of 186
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Our vision is a Perth and Kinross where everyone can live life well, free from poverty and inequality ___________________________________________________________________ Committee or Board: Finance and Resources Committee Date of Meeting: 22 April 2026 Report Title: Transformation & Change Programme Update Report Number: 26/113 Report Author: Charlene Guild, Strategic Lead – Projects & Programmes (interim) Organisational Lead: Thomas Glen, Chief Executive ___________________________________________________________________ 1. Purpose 1.1 The purpose of this Report is to provide Members of the Finance and Resources Committee with an update on progress of the Transformation & Change Programme – Phase Two. This covers the six-month period from 1 October 2025 to 31 March 2026 and provides a full detailed progress summary of individual phase two projects. It also provides an overview of plans for the transition to Phase Three of the programme in July 2026. 1.2 Sections 1. Purpose 2. Recommendation 3. Background and introduction 4. National and Regional Context 5. Transformation and Change Programme Updates 6. Transformation & Change Programme Phase Three 7. Partnership Working 8. Conclusion 9. Appendices 2. Recommendation It is recommended that the Finance and Resources Committee: 2.1 Note the progress made on the Transformation & Change Programme Phase Two since the last report of October 2025 (No 25/250). In addition, members should note the positive progress by individual projects across the programme 9 Page 107 of 186
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(Appendix 1) and the plans for developing our approach further in Phase Three. 3. Background and introduction 3.1 Our Transformation & Change Programme phase two has been ongoing since August 2024. Regular reporting of progress, evaluation and delivery of outcomes has been presented regularly to Finance & Resources Committee on a biannual basis. 3.2 Supporting the delivery of the Councils vision of “a Perth and Kinross where everyone can live life well, free from poverty and inequality,” all of our projects and workstreams are aligned with the Corporate Plan strategic priorities and key objectives with defined project outcomes, objectives, and critical success factors. 3.3 As we start to develop plans for Phase Three from July 2026, the Transformation & Change programme continues to be an ambitious area of work which aims to positively impact our communities, our teams, and how they deliver. We are taking into consideration the current national context and local landscape, which simply put, is one of increasing demands and decreasing resources. Moving forward, transformation and innovation will be critical to sustainability and will require a flexible, innovative, and agile approach. Continuing to focus on those areas in greatest need as well as our key corporate priority areas, will be central to our renewed approach. In addition, the continued support of our teams, partners, and communities, will continue to ensure that the people of Perth and Kinross are at the heart of all that we do, as we evolve the programme to face the challenges ahead. 4. National and Regional Context 4.1 SOLACE/Improvement Service National Transformation Programme Nationally, transformation and change activity is being driven by SOLACE and the Improvement Service. The national Transformation & Change Programme is designed to provide a shared framework and learning for local authorities across Scotland to strengthen their approach to large scale, complex transformation, innovation, and change. It brings together Chief Executives, senior leaders and transformation professionals to explore how Councils can respond to the financial challenges, rising demand and increasing public expectations through more deliberate, systemwide transformation rather than isolated improvement activity. There is a clear national direction of travel towards public service reform, with greater emphasis on prevention and early intervention, digital enablement, workforce sustainability, data informed decision making, and collaboration across organisational boundaries to improve outcomes and make best use of limited resources. 4.2 PKC are participating fully in the programme, benchmarking our approach to transformation and business improvement against other councils, discussing the programme with colleagues across the country and contributing to Page 108 of 186
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national conversations on the impact of “good” transformation projects. This has reinforced the importance of having clear definitions, strong governance, consistent project management, and sufficient capacity to continue to deliver change at pace and scale. 4.3 Regional Context: Joint Working and Collaboration In addition to the national programme, there is an increasing expectation, which was stated within our recent Best Value Audit on Transformation and Change in 2025, that councils strengthen regional collaboration and joint working where this can add value, reduce duplication and support delivery of shared priorities. Many of the challenges facing local government are common across the different areas and would benefit from more collaborative approaches. We are already working with our regional colleagues in Dundee and Angus on developing areas of joint need as well as more widely across the country and partnerships in specific project areas. 4.4 Our next phase of Transformation should give an opportunity to take a more strategic and selective approach to regional and partnership working, focusing on areas where collaboration can demonstrably improve outcomes, accelerate delivery or make better use of limited specialist capacity. 5. Transformation and Change Programme Updates 5.1 Key Highlights Over the past year, the programme has delivered a number of notable outcomes and milestones with strong progress across major projects with a full detailed update contained in Appendix 1. Key highlights have included: Working Smarter, securing key property assets and shared tenancy arrangements with partners such as NHS Tayside, aligned to the One Public Estate approach. Whole Family Wellbeing, delivering measurable improvements in service access, practitioner collaboration, and direct and indirect support to families. Public Transport in the Community, strengthening community transport provision and completing a major public engagement exercise to inform future delivery. Additional Support Needs, progressing phased expansion of Intensive Support Provision following extensive consultation. Zero Waste and Operations, piloting improved recycling arrangements within schools through close engagement with staff and pupils. ALEO Options Appraisal Review – closure of this project with the recommendation for a Strategic Alliance between all organisations underway. 5.2 In addition, the programme was expanded with the addition of new projects focused on: Health, wellbeing, and attendance within the education workforce; and Page 109 of 186
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Automation within People & Culture, improving the use of data, digital tools, and management information. These developments demonstrate the programme’s ability to adapt to emerging pressures while maintaining a clear line of sight to strategic priorities. A full and detailed summary of all current projects within phase two is contained in Appendix 1. In addition, we have included additional appendices to deepen understanding of the current programme and project delivery. Appendix 2 provides a sample of one page overviews of projects in a visual way, giving a breakdown of benefits realised as well as key milestones reached. We have also included a focussed case study of the AI project and its progress in Appendix 3, which sets out an example of the work being carried out and efficiencies being considered while planning for future implementation. 5.3 Best Value Audit – follow up actions Audit Scotland’s, best value thematic audit on Transformation and Change was completed in August 2025 and provided important external validation of the Council’s approach. The audit highlighted strengths across the programme including: A clear and coherent strategic framework for transformation and change Effective programme governance and oversight through the Programme Management Office Strong engagement with communities and partners using participatory service design methods; and Clear communication and reporting to elected Members. 5.4 The audit also made the following recommendations below, with an update on actions taken to address these: 1. Ensure that transformation plans are ambitious enough to address funding gaps and clearly set out projected savings. 2. Establish arrangements to support, coordinate, and report on the Transformation and Change Programme after the PMO's term ends in April 2026. 5.5 As we develop plans for Phase Three of the Transformation & Change programme, we are ensuring we focus on these areas of greatest impact and outcome for people in communities. To do this, we are considering streamlining the programme with an emphasis on those projects which will result in savings, resource efficiencies and improved delivery and outcomes for people. We are also working with our finance colleagues to ensure that we are being measured and clear in our rationale for savings and funding gaps – making these more easily reportable and accessible. Page 110 of 186
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Further to this, there are proposals for some change in terms of the PMO approach which would see a consolidation of our transformation and business improvement areas, where there is significant cross over. 3. Conduct Equality and Fairness Impact Assessments for transformation projects, ensuring appropriate detail at each stage. This action is already being noted and will be an integral part of the Phase Three project planning process. 4. Enhance benefits realisation arrangements to demonstrate that the Transformation and Change Programme is delivering its intended outcomes. 5.6 Work has already been completed to ensure that our transformation & change systems have the ability to record benefits realised within projects in real time. These will be reported to F&R Committee through individual project updates. 5.7 We have continued to make steady progress across the programme over the last six months and are now looking ahead to Phase Three which will focus on a more targeted, sustainable and outcomes focused approach, reflecting both the learning from delivery to date and the scale of the financial and service pressures anticipated over the medium term. 6. Transformation & Change Programme Phase Three 6.1 As the programme looks beyond Phase Two, a number of recommendations have been discussed at Transformation Board for taking forward Phase Three activity with a focus on both Transformation and Business Improvement. This will enable a more targeted, sustainable and outcomes focused approach, reflecting both the learning from delivery to date and the scale of the financial and service pressures anticipated over the medium term. In particular, it is important that Phase Three sharpens the strategic focus of transformation projects so that plans are sufficiently ambitious to address funding gaps, with a clearer line of sight between change activity, resources available in the wider organisation, projected savings/resource efficiencies, and protection of outcomes for those in greatest need. 6.2 Recommendations for phase 3 include: Agree criteria and definitions to distinguish Transformation projects from Business Improvement projects allowing clearer classification of existing and future work. Consolidate the current Programme Management Office (PMO) and Business Improvement Team into a single Transformation & Improvement Team (with the team’s reporting line to be confirmed as part of wider considerations on current leadership structures). This includes maintaining strong governance and prioritisation, strengthening leadership and change capacity, and ensuring teams have the tools and support to deliver redesign at pace alongside core service delivery. Workforce Page 111 of 186
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considerations are central to this, including health and wellbeing, leadership capability, digital skills, and the capacity to absorb and implement change. Re-classify the current portfolio using the agreed definitions—streamline the transformation programme so only a reduced number of priority areas/projects remain “Transformation,” with the remainder managed as Business Improvement under proportionate governance. Implement a revised governance structure for Transformation & Improvement, using a clear three-tier model: Transformation Board (SLT- level), Project Working Groups, and Core Project Teams (operational delivery). 6.3 Recommendations also highlight the need to enhance benefits realisation and impact reporting, so that the Council can demonstrate more consistently how Phase Three activity contributes to financial sustainability, service quality, and community outcomes, with benefits captured in a timely way and reported through established governance and Committee updates. In parallel, Phase Three should continue to embed equality, fairness and participation, ensuring Equality and Fairness Impact Assessments are proportionate and undertaken at appropriate stages, and that engagement with communities, partners and staff remains integral to project design and decision making. 6.4 A mapping exercise of current transformation and business improvement resources is underway to ensure that we are targeting resources in the areas of most need. At this time, we know that there are approximately eight (FTE) posts dedicated to transformation and business improvement between PKC and the HSCP. In addition, around five of our current transformation projects have dedicated or shared project resource – ranging from Project Manager to Assistant level posts. 6.5 In addition to the current programme and the changes being proposed, the Programme Management Office have started to hold a series of workshops with Senior Officers to explore new opportunities for transformation and innovation in future. There will also be individual meetings with Strategic Leads to look at specific service areas and determine those which would be suitable for transformation activity. Details of progress in this area will be reported to F&R Committee as we progress with plans for Phase Three. 6.6 As we develop, plan and implement Phase Three of the programme, we will undertake an exercise to ensure that resources are targeted within projects where the greatest impact and efficiencies with be realised as well as providing a generic pool of project support and assistance when required. 7. Partnership Working 7.1 HSCP – our collaborative and joint work with our HSCP Transformation & Change colleagues continues through regular meetings. Our HSCP colleagues have attended the PKC Transformation Board to update on project progress and discuss areas of shared interest. It was agreed that this approach would continue on a regular basis moving forward. An update on Page 112 of 186
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the HSCP Transformation Programme was tabled to the Perth & Kinross Integration Joint Board Audit and Performance Committee on 23 February 2026, a link to this report is here, and is included as Appendix 4 to this report. 7.2 External Partners - We continue to work alongside our other Local Authority colleagues, specifically on a regional basis, to consider areas of transformation where a regional approach or shared services could prove to be more efficient and effective. We are also working with NHS Tayside on collaborative programmes in leadership development as well as with our ALEO’s on the Strategic Alliance. We will continue to build on and expand these projects with our external partners. 7.3 National engagement – Our PMO continue to be involved in the national transformation and change programme being led by the Improvement Service and SOLACE to consider areas such as public sector reform, shared services, procurement, digital, and governance. Update reports on outcomes achieved will be presented when available. 7.4 Communities and citizens - We have committed to working with our communities and partners through our Corporate Plan key priorities and individual project delivery. Project teams have been conducting extensive engagement activity through service design events, workshops and focus groups as well as other methods such as online questionnaires and surveys, virtual meetings, and research. Some of this activity has been reported through the phase two summary updates found in Appendix 1. The PMO will continue to provide support and facilitation for project teams who need it in terms of engagement methods such as service design, facilitation skills, and tools to collate data in a participatory way. 7.5 Elected Members – we continue to provide regular updates on the overarching Transformation & Change programme as well as detailed summaries on the progress of each individual project at Finance & Resources Committee. In addition, individual project managers are providing detailed briefing sessions to allow Elected members to dive deeper into project areas for greater understanding of expected outcomes and workstreams underway. 7.6 The continuing development of the council’s transformation, change and business improvement activities will aim to compliment and support the refresh of the Council’s Corporate Plan, scheduled to begin later this year, which will consider our current vision and priorities and how we balance the need for service redesign with our focus on the provision of universal services alongside a greater targeted interventions for those individuals and communities which face the greatest challenges across Perth and Kinross. 8. Conclusion 8.1 Over the past six months (October 2025 to March 2026), the Transformation & Change Programme has continued to maintain momentum, with projects progressing against key milestones, additional activity brought into scope to respond to emerging pressures, and further improvements made to benefits Page 113 of 186
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realisation and reporting. It has also been a time of planning for the next phase of our programme. 8.2 The transition to Phase Three from July 2026 will build on this progress by taking a more targeted approach to the portfolio, embedding sustainable transformation and business improvement capacity beyond the current PMO arrangements. We will focus on strengthening the current governance processes for progressing and reporting transformation and improvement activity and focussing on the link between transformation activity, deliverable savings/resource efficiencies, and transparent reporting to Members. 9. Appendices Appendix 1 - Phase 2 Project Summary Updates Appendix 2 - Sample of Project Overviews - April 2026 Appendix 3 - AI Case Study Appendix 4 - HSCP Transformation Programme Update - 23 Feb 26 Page 114 of 186
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Appendix 1 PKC - GENERAL Transformation and Change – reshaping our organisation Phase Two Project Summary Updates – April 2026 9 Page 115 of 186
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Appendix 1 PKC - GENERAL Contents Page Projects 1. Additional Support Needs (ASN) 2. AI and Automation 3. ALEO's Review 4. Automation within People & Culture 5. Business Systems Management Efficiency & Rationalisation Project (BSMER) 6. Customer Services Transformation 7. Employability Service Review Project 8. Fairer Communities for All Model 9. Improving Health & Wellbeing and Attendance in the Education Workforce 10. Leading: Our People, Our Purpose (formerly Leadership Review Phase 2) 11. Perth Secondary Estate Review 12. Public Transport in the Community 13. Strategic Procurement & Commissioning Project 14. Tayside Contracts Review 15. Whole Family Wellbeing (WFWB) programme 16. Working Smarter 17. Zero Waste & Operations Page 116 of 186
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Appendix 1 PKC - GENERAL Project Name 1. Additional Support Needs (ASN) Project Description The Programme aims to transform educational provision by enhancing the quality of learning environments and specialist support for children and young people, ensuring equity in education, and delivering best value. It seeks to reduce expenditure on expensive external placements by the Inclusion Service, redirecting the budget towards earlier intervention and prevention in mainstream provision. Additionally, the Programme will establish clear ASN pathways, develop ASN provision at all levels across the authority, increase capacity for future PKC placements, reduce the number of pupils placed outside PKC ASN provision, design a sustainable transport process, and provide regular reporting to monitor the financial position. This will help comply with legal requirements and ensure quality provision is delivered. Project governance structure Executive Sponsor Thomas Glen Senior Responsible Owner (SRO) Fiona MacKay (Programme Sponsor: David Macluskey) Programme Manager Jaclyn Meikle Current Project Timeline Project start date 31/10/2023 Planned project completion date 31/10/2028 This project is intended to support a fundamental change in our approach to Additional Support Needs. Within PKC this project is scheduled to complete in October 2028; however, the project outcomes will be delivered over a much longer term. Current status of the Project Phase 2 shifts the focus to deeper system redesign. This includes strengthening workforce planning, specialist capacity, pathways, and policy alignment. Together, these areas will ensure the programme continues to meet its five year objectives and statutory duties, while driving sustainable transformation across the People, Partnerships, Place and Policy workstreams. Page 117 of 186
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Appendix 1 PKC - GENERAL Agreed Project Outcome(s) The Programme is anticipated to deliver the following: 1. Revised Staffing Standard and Allocation Model (Core & Exceptional) for classroom-based support staff for implementation from 2025/6. 2. Reviewed and re-aligned support staff (PSA/PSSW) to meet need. 3. School leaders and staff clear on support roles & remit. 4. Identified staff groups are clear on responsibilities in relation to meeting duties of ASL Legislation. 5. Annual ASN Learning Programme is made available to all staff that is accessible and inclusive. 6. Increased number of staff have completed certified ASN inclusion training. 7. Progression Pathways for all staff groups. 8. Create communication enabling environments where almost all children, young people, staff, and families feel safe and able to learn. 9. Recommendations identified in relation to: a) Early intervention to reduce demand and escalation through staged levels b) The physical environment of inclusive classrooms - Learning Spaces, Experiences, and Interactions c) Supporting parents 10. Improved local access to Intensive Support provisions (ISPs) 11. Reduced travelling distances for children and young people accessing ISPs, resulting in reduced travel costs. 12. Standardised learning environments within Intensive Support provisions (ISPs) 13. Revised support staffing model for Intensive Support provisions (ISPs) 14. PKC 16+ Transition Framework that enables young people to have a more graduated approach as they move from school to employment, education, or training. 15. Clear pathway(s) for young people not meeting criteria for established pathways. 16. Improved consistency of delivery of post school planning & preparation support. 17. Compass App embedded to support post school transition. 18. Redesigned Speech & Language Therapy contract for the delivery of assessment and intervention for children and young people in education. 19. Improved access to Speech & Language Therapy for children and young people in education 20. Reliable ASN SEEMiS Data. 21. Trained SEEMiS users supported by a revised SEEMiS Guidance Document. 22. School leaders will effectively use SEEMiS data to inform the development of their Universal Offer within schools. 23. Partners will have access to the analysis of SEEMiS data to inform Future Planning within other sectors. 24. Staff will be equipped with the skills, tools, and confidence to identify and respond to emerging needs early with the right planning and approaches, reducing escalation through staged levels of support. Page 118 of 186
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Appendix 1 PKC - GENERAL 25. Less children will start P1 having not met developmental milestones and requiring personal care. 26. Consistent curriculum model across all 4 years. 27. Staff in each sector have an increased alignment of teaching approaches. 28. Standardised transition processes, supported by consistent information sharing processes. 29. A Transition Framework established offering a graduated move from school to employment, education, or training—with clear, inclusive pathways for those outside currently established routes 30. Greater consistency in post-school planning and support through the integration of the Compass App. 31. The network of statutory and 3rd sector support that meets the holistic needs of children and young people with ASN is comprehensive and accessible to Named Persons. 32. Agreed pathways to support are established that are easy to navigate for both Named Persons and families. 33. An annual ASN/Inclusion Conference or Roadshow that brings families, professionals, and services together to share, learn, and connect 34. Parents and carers will be better informed and more confident in understanding the CYPP process so that they can meaningfully contribute to decisions that affect their child’s learning and wellbeing. 35. Improved availability and accessibility of inclusive out-of-school care options for children with ASN across Perth & Kinross. 36. Improved confidence and satisfaction among families in accessing consistent, needs-led care during term time and holidays. 37. Clear referral and access pathways for Named Persons and families to navigate out-of-school care services. 38. Reorganisation and allocation of all inclusion and centrally managed resources to localities. 39. Headteachers and Inclusion Co-ordinators work collaboratively in localities to ensure support is appropriately allocated to meet needs of C&YP with ASN. 40. Operational locality groups manage referrals and allocation of resources, including ISP placements (localised decision-making) 41. All secondary schools will have enhanced the physical spaces within school buildings and provided appropriate adjustments to accommodate the sensory needs of all learners and staff. 42. Pedagogical approaches will be developed and applied to actively support inclusive learning environments. 43. Schools can provide a staged level approach (Universal - Enhanced) for children and young people with social, emotional, and behavioural needs. 44. An intensive level approach is provided to support those requiring an intensive level offer, leading to a reduced number of CYP with SEBN requiring independent special school placements. 45. AI tools that provide more responsive, tailored support for learners to meet diverse needs. Page 119 of 186
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Appendix 1 PKC - GENERAL 46. Automation of routine tasks to free up staff time, allowing greater focus on direct support and relationship-building with learners and families. 47. Modernised workforce plan with roles aligned to current and future needs, providing support for CYP with ASN and their families. 48. School leaders and staff clear on roles & remits of E&L staff providing support Page 120 of 186
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Appendix 1 PKC - GENERAL Outputs delivered since last update 1. Support Staff (Pupil Support Assistants (PSAs)/Primary School Support Workers (PSSWs) PROJECT NOW COMPLETE Delivered a revised Core & Exceptional Staffing Standard and Allocation Model for classroom based support staff. Reviewed and realigned PSA/PSSW staffing using the CYPP process to better match identified need. Provided school leaders and staff with clear role definitions and remits for all support functions. Implementation: Full implementation across all schools from August 2026. 2. Career Long Professional Learning (CLPL) Remains a core programme component with flexibility to adapt to emerging needs. Delivered an authority wide PSA induction programme outlining expectations, essential training, and a structured start to role. Expanded training opportunities, increasing overall staff participation. Delivered 36 courses with 859 attendees. Supported 13 staff to achieve a Postgraduate Certificate in Inclusive Practice. Delivered an annual ASN Learning Programme accessible to all staff. Agreed structured career progression pathways (PSA, CLA, CLW). 3. 16+ Transitions Deployed the Compass App across all secondary schools to strengthen postschool transition planning. Completed forecasting and gap analysis for intellectual disability, further education, and employability pathways. Developed Transition Guidance for schools. Undertook extensive partnership and pathway mapping to align services and strengthen transition routes. 4. Reviewing Service Level Agreements (SLAs) - Speech and Language Therapy PROJECT NOW COMPLETE Completed redesign of the PublictoPublic contract with NHS Tayside, establishing a clearer and more transparent funding framework for ELC and school based need. Reduced/revised contract costs to support delivery of a trainthetrainer model. 5. Data Informed Decision Making (DIDM) Designed and fully rolled out a new Power BI dashboard enabling colleagues to track, monitor and plan inclusive practice. Page 121 of 186
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Appendix 1 PKC - GENERAL Developed and issued updated guidance and training to support confident use of the dashboard and strengthen universal offer planning. 6. Inclusive Environments (ELC-Primary) PROJECT NOW COMPLETE Established communication enabling environments where almost all children, young people, staff, and families feel safe and able to learn. Implemented an enhanced P1 support model with specialist training to strengthen early identification and inclass support. Invested £15.7k in sensory resources with practitioner guidance to ensure purposeful and regulation focused use. Provided new communication boards to all primary schools to support inclusive communication and reduce frustration. Purchased and rolled out Boardmaker across all schools. Produced recommendations on: a) Early intervention to reduce demand and escalation b) Inclusive classroom environments (Learning Spaces, Experiences & Interactions) c) Supporting parents 7. Intensive Level Support Opened new ISPs in August 2025 at: Perth High School, Kinross High School, and Viewlands Primary School. Progressed Phase 2 consultation to create two further ISPs at Auchterarder and St John’s RC Academy (from August 2026). Relocated the Connections (SEBN) service to PGS. Rolled out CALL Scotland toolkit to all primary ISPs. Implemented the new TAS4 job profile with grade uplift for ISP PSAs. Added three additional ISP classes (two primary, one secondary) to meet sensory profiles 8. Multi-Agency Support (GIRFEC) Completed Inclusion Support Staff whole system review 9. Locality Resourcing Model Established Operational Locality Groups Created the foundations for a Single Locality Referral and Decision Making System Page 122 of 186
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Appendix 1 PKC - GENERAL Project Name 2. AI and Automation Project Description This programme will be designed to position PKC at the forefront of digital transformation and align with our overarching goal to leverage cutting-edge technology to drive efficiency, enhance service delivery, and foster innovation across all facets of our operations. Project governance structure Executive Sponsor Clare Mailer Senior Responsible Owner (SRO) Alan Taylor (Programme Manager Steven Watt) Project Manager Chris Wright Current Project Timeline Project start date 01/11/2024 Planned project completion date 31/03/2028 Current status of the Project Since the previous committee update in May 2025, the Strategic AI & Automation Programme has moved from early foundation activity into a more mature delivery phase. Over this period, the Council has established the core governance, policy, and delivery arrangements needed to support responsible adoption of AI and automation, while also progressing practical implementation across priority areas. The programme is now focused on three main areas of delivery: scaling Microsoft 365 Copilot to support workforce productivity, progressing transcription capability for professional services, and developing digital front door / customer contact opportunities where AI may improve access and service responsiveness. This work continues to be taken forward on a phased basis, balancing innovation with governance, compliance, and organisational readiness. Alongside technology delivery, substantial progress has been made in building the wider foundations required for sustainable adoption. This includes strengthened governance, the development of a clear strategic roadmap, structured engagement with services and strategic leads, and a growing focus on benefits realisation, AI literacy, and change support. The programme is therefore now in a stronger position than at the time of the previous report, with the emphasis moving from initial setup toward controlled scale-up and embedding capability more broadly across the Council. Page 123 of 186
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Appendix 1 PKC - GENERAL Agreed Project Outcome(s) The Project is anticipated to deliver the following: Operational Efficiencies and Scalability: By automating routine tasks, PKC not only achieves operational efficiencies that benefit residents, businesses, and partners but also enhances our ability to scale service delivery efficiently. This strategic use of AI and automation enables us to meet the growing demands of our communities without the necessity of increasing our headcount. Enhanced Decision-Making: With AI's predictive capabilities, we can make more informed decisions that are data-driven and outcome-focused. Innovation and Growth: The integration of AI can foster a culture of innovation, encouraging the development of new services and solutions that benefit all stakeholders, including businesses and partners. Community Resilience: AI can enhance the ability to respond to and recover from events, ensuring that services remain robust and reliable for the community, businesses, and partners. Economic Development: AI insights can aid in understanding the local economic landscape, helping to attract, retain, and grow businesses within the community. Collaborative Partnerships: AI can facilitate better collaboration between local government, businesses, and partners by providing a platform for shared data and insights, leading to more cohesive and integrated service delivery. Outputs delivered since last update Since the last update, the programme has delivered several significant outputs which together represent a substantial strengthening of the Council’s AI capability. These include the establishment and operation of core governance arrangements, the implementation of supporting policy and guidance, the rollout of a corporate AI register, and the development of a more structured assurance approach around data protection, risk, and responsible use. A major area of progress has been the Microsoft 365 Copilot pathfinder and wider adoption activity. This has moved beyond initial exploration into a more structured programme of onboarding, support, measurement, and benefits tracking. Evidence gathered through programme reporting shows that the deployment is now supported by both user feedback and usage analysis, providing a clearer basis for future scale- up decisions. The programme has also delivered important organisational outputs in relation to skills and culture. AI literacy materials have been made available to staff, communications and engagement activity has increased, and the AI Hub is under development as a central point for learning, support, guidance, and participation. These outputs are helping create the conditions for broader, safer, and more confident adoption across services. Page 124 of 186
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Appendix 1 PKC - GENERAL In addition, practical pilot and discovery work has progressed in priority service areas, particularly around transcription and customer-service-related opportunities. Early pilot activity has moved into a more evidence-based next phase, with the organisation now better placed to determine where tools should be scaled, refined, or routed through further governance and business case work. More broadly, the programme now has a stronger and more coherent strategic narrative than at the time of the previous committee report. This is reflected in roadmap, board, and member-facing update materials produced since summer 2025, which show clearer articulation of the programme’s priorities, benefits, governance position, and next steps. Page 125 of 186
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Appendix 1 PKC - GENERAL Project Name 3. ALEO's Review Project Description To find the best model of delivering leisure and culture services to people across Perth and Kinross within the current financial climate. To recommend the delivery model best suited for ALEOs in future that is capable of: Optimising PKC investment in leisure and culture services. Increasing back-office efficiencies, including with other partners where appropriate (for example Perth and Kinross Heritage Trust, Pitlochry Festival Theatre). Growing and diversifying new income streams. Recommending an appropriate constitutional/governance structure for any new delivery model on the basis of options appraisal (sole member, SCIO, mutual etc). Project governance structure Executive Sponsor Thomas Glen Senior Responsible Owner (SRO) Charlene Guild Project Manager N/A Current Project Timeline Project start date 23/08/2024 Project completion date 31/03/2026 Current status of the Project PROJECT NOW COMPLETE Since the last project update, a final report was presented to full Council on 29 October 2025 which set out the findings of the detailed options appraisal exercise undertaken by external consultants EKOS (in partnership with Creative Services Scotland and Integratis). These options considered the following structural models for ALEO’s in future: 1. Bring all ALEO’s in house to PKC 2. Bring some ALEO services in house (e.g. consolidation of corporate services from ALEO’s delivered by PKC) and ALEO’s retain own identity / library services brought back into PKC 3. Create one new ALEO / two new ALEO’s – streamlining corporate and back-office services Page 126 of 186
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Appendix 1 PKC - GENERAL 4. Create one ALEO for culture and sport and considering possible change of status for Perth Theatre & Concert Hall The key conclusion from the options appraisal report was that no disruptive structural change (e.g., bringing ALEOs in-house, mergers, reconfiguration) should be pursued at this time, because the options assessed did not demonstrate a clear financial benefit once implementation/disruption costs and risks were accounted for. However, the report did make a series of recommendations for more collaborative working moving forward as well as the opportunity for shared services and cost efficiencies. Full Council approved the: establishment of a Strategic Alliance between PKC, Culture PK, Live Active Leisure, and Perth Theatre & Concert Hall. progression of operational measures/workstreams (e.g., income growth, shared services collaboration, workforce planning, procurement/efficiency opportunities, and property rationalisation considerations). Annual reporting back to full Council from October 2026 on progress/achievements/actions from the Strategic Alliance. There were also two additional requests for further work to be completed in the following areas before the project concluded: 1. Consideration of the alternative option to bring all the library services in house to PKC. This has been included within the wider Libraries Review and will be reported on as one of a series of options for the future of libraries to full Council on 17 June 2026. 2. Further development of a Terms of Reference for the proposed Strategic Alliance to be reported back to full Council early in 2026. A further paper was presented to Council on 25 Feb 2026 for approval of the Strategic Alliance Terms of Reference (ToR), developed in response to request above. The ToR is intended to: o provide the formal partnership framework, o enable the Alliance to commence joint planning from 1 April 2026, and o begin implementing the sustainability/efficiency recommendations from the Options Appraisal. The first meeting of the Strategic Alliance was held in March 2026 to develop and agree the Memorandum of Understanding (MoU) which will sit underneath the ToR and set out how the SA will work in practice (meeting arrangements, responsibilities, decision-making, etc.). Page 127 of 186
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Appendix 1 PKC - GENERAL Agreed Project Outcome(s) The Project is anticipated to deliver the following: 1. Ensure a sustainable model of delivery of leisure and culture services in future 2. A more streamlined and consistent approach across all ALEO organisations in terms of systems and corporate support Outputs delivered since last update 1. Report to full Council on 29 October 2025 setting out the findings of the options appraisal exercise. 2. Further work to establish the Strategic Alliance Terms of Reference which was presented to full Council (and approved) on 25 February 2026. 3. Additional option (all library services inhouse to PKC) to be considered and costed. This has been picked up through the Libraries Review and will be reported to full Council in June 2026. Page 128 of 186
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Appendix 1 PKC - GENERAL Project Name 4. Automation within People & Culture Project Description Automation within People & Culture – A ‘Power Automate’ story - Automation of emails to manager with management information relating to employees. This could be employees who have hit absence triggers or require a PDD review etc Project governance structure Executive Sponsor Thomas Glen Senior Responsible Owner (SRO) Greg Boland (Pauline Johnstone) Project Manager Allan Craik Current Project Timeline Project start date 19/01/2026 Planned project completion date 31/12/2026 Current status of the Project The project is progressing well, with all workstreams currently on track. Delivery remains aligned with the agreed scope, timelines, and intended outcomes, and there are no risks or issues at this stage that threaten the successful achievement of the project’s core objectives. The project formally commenced on 19 January 2026 and has so far been focused on establishing the required data, information, and technical infrastructure to support delivery. This foundational work is now well advanced and providing a strong platform for the subsequent phases of implementation. As at 31 March 2026, six Power Automate flows are ready and awaiting go live approval. A further four flows are currently in formal testing, with an additional eight under active development. Overall progress remains positive, and the current pipeline reflects steady momentum towards full delivery. Page 129 of 186
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Appendix 1 PKC - GENERAL Agreed Project Outcome(s) The Project is anticipated to deliver the following: 1. Automation ensures that managers and People & Culture teams receive timely, accurate and relevant information about their workforce, enabling earlier intervention, more consistent decision making, and better support for employees. This shifts the organisation from a reactive manual monitoring to proactive, intelligence led. 2. By automating key HR, Payroll and employee notification processes, the programme reduces time spent on low-value, repetitive tasks. This frees up capacity within HR and Payroll and managerial roles to focus on more value added tasks, relationship building, and improved service delivery. 3. Automated alerts and task generation ensure essential actions - such as absence management, PDD reviews, pension communications, working time regulations, onboarding/offboarding steps etc are completed consistently and on time, reducing organisation risk and supporting governance 4. Employees and managers benefit from clearer, faster, and more predictable communication across their employment lifecycle. Automated processes reduce uncertainty, prevent missed deadlines, and support smoother onboarding, performance, wellbeing and exit journeys 5. Automation removes variation caused by inconsistent manual handling of workforce information. 6. Through the development of guidance, templates, flow standards, governance, and a scalable automation framework, the programme establishes a long-term foundation enabling further automation across PKC. This increases digital maturity and supports the council's wider transformation strategy 7. By automating the capture of summarisation of key workforce indicators (such as absence triggers), PKC gains clearer understanding of trends, hotspots, and emerging issues. This enhances strategic planning, targeted interventions, and evidence-based decision making. Outputs delivered since last update The project is still at an early stage of development. As we continue to design and build the initial flows, we are also identifying and establishing additional automation opportunities that could be of wider benefit to the People and Culture service. These emerging flows have the potential to significantly reduce manual handling, streamline processes, and deliver greater efficiencies, allowing teams to focus more on value added activity rather than administrative tasks. Page 130 of 186
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Appendix 1 PKC - GENERAL Project Name 5. Business Systems Management Efficiency & Rationalisation Project (BSMER) Project Description This project will review all Council business systems / Applications, describing how they are currently managed; resourced; supported and developed and make recommendations on the design of a new Digital operating model to support delivery of modern Council Digital Business. Project governance structure Executive Sponsor Clare Mailer Senior Responsible Owner (SRO) Alan Taylor Project Manager Dave Turner Current Project Timeline Project start date 01/06/2023 Planned project completion date 31/03/2026 Current status of the Project The project is currently in its closure phase and will formally conclude on 31 March 2026. A single, governed Application Master List has been established and is operational, providing an authoritative view of Council business systems including ownership, contract status, costs, and lifecycle stage. A defined application lifecycle and decommissioning framework has been developed and applied to support structured decision making for both procurement and system retirement. This framework has been used to support the decommissioning of applications during the past year. Reporting capabilities have been improved with the implementation of Power BI Dashboards that help facilitate FOI requests, spend analysis and portfolio-level oversight. The Digital Partnership team has been created to take forward some of the outcomes from this project including the introduction of a new operating model for the optimal delivery of modern digital business services. Page 131 of 186
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Appendix 1 PKC - GENERAL Agreed Project Outcome(s) The Project is anticipated to deliver the following: 1. To create a detailed picture of how people / resources are allocated across the organisation supporting Council business systems and clarify total cost of ownership for business systems and associated capital / revenue budgets. 2. To create a Business Capability Model describing how Business systems collectively deliver on Council objectives. 3. Introduce a new operating model for optimal delivery of modern digital business including: a revised Business Relationship and Business Partnership Agreements between services and IT; a defined model / approach for decommissioning / retiring Business systems. 4. Improve records management compliance. 5. To create a detailed picture of all contracts associated with all business systems capturing all key procurement and contract information, allowing for better contract management in the future. Outputs delivered since last update System Manager and Principal User engagement sessions completed to enhance the quality and completeness of the Application Master List. A complete and accurate inventory of Council business systems and applications has been documented. Improved contract remediation, licence optimisation, and retirement of obsolete systems achieved. Progress made on the Flare replacement, with PKC IT taking forward development of an internal solution for Regulatory Services. Support provided to requirements gathering for the replacement of Glamis. Page 132 of 186
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Appendix 1 PKC - GENERAL Project Name 6. Customer Services Transformation Project Description To develop a new model for customer services by adoption of a customer-centric approach to customer contact management which will substantially simplify our current arrangements; enrich jobs and empower customer service staff to satisfy most requests at first point of contact. The model will provide the opportunity to blend digital customer channels, assist vulnerable citizens by an appropriate channel, operate more effectively in and across localities, to achieve more with less resources, less effort, and less bureaucracy. Project governance structure Executive Sponsor Alan Taylor Senior Responsible Owner (SRO) Steven Watt Project Manager Liz Colledge Current Project Timeline Project start date 01/10/2024 Planned project completion date 31/03/2027 Current status of the Project Phase 1 has been fully completed apart from Housing Service functions which were paused due to a review in locality working and fairer futures for all. Phase 2 of the project has focussed more on our approach to delivery of customer services and while it will be delivered as an individual project, it will be dependent on the wider cultural change programme being delivered through other areas such the Leadership Phase 2 project. New Customer Service Charter, Vision, and Standards have been drafted and will be implemented on 1 April 2026. Work on Customer Insights has commenced and this will be the main focus of the coming months. Agreed Project Outcome(s) The Project is anticipated to deliver the following: 1. Consolidation of Dispersed Customer Services 2. Delivery of recurring revenue savings 3. Improving access to Council services for our customers 4. Develop draft revised customer service strategy 5. Develop draft revised customer service standards 6. Develop Customer Insights dashboard Page 133 of 186
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Appendix 1 PKC - GENERAL Outputs delivered since last update All non-housing customer service related functions including Housing Repairs have been consolidated into the 2 customer solutions hubs. Savings have been delivered as planned for both the solutions hubs. New Customer Service Charter, Vision, and Standards have been drafted and will be implemented on 1 April 2026. Page 134 of 186
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Appendix 1 PKC - GENERAL Project Name 7. Employability Service Review Project Project Description To develop an implementation plan to deliver a strategic and co-ordinated employability service for PKC. Designing a new model that makes best use of the current expertise, skills, and resources to ensure a more cohesive and effective service. This will involve maximising the reach and impact of our collective resources and delivery of services and operating in a more connected and integrated way putting people and their needs at the centre of the redesign. Project governance structure Executive Sponsor Clare Mailer Senior Responsible Owner (SRO) Serge Merone Project Manager To be confirmed Current Project Timeline Project start date 01/08/2024 Planned project completion date – to be confirmed Current status of the Project The initial phase of this project - to develop an implementation plan to deliver a strategic and co-ordinated employability service for Perth and Kinross Council – has been completed and identified actions in the plan have been delivered or are being delivered. The scope and desired outcomes for Phase 2 are currently being finalised, it is anticipated these will focus both internally on the delivery of the plan and, externally on the wider offer of Employability services across Perth and Kinross linking to the wider skills development. Page 135 of 186
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Appendix 1 PKC - GENERAL Agreed Project Outcome(s) The Project is anticipated to deliver the following: 1. Through maximising the reach and impact of our collective resources, we will provide a more integrated and effective offer for clients/individuals looking for support to upskill and access employment. 2. That we operate in a more connected, integrated way, considering all the resources (people and financial) at our disposal. 3. We will provide a more integrated and effective offer for local businesses looking for support with recruitment and skills development. 4. We will ensure we use data, intelligence, and analytics to better inform decision- making and target services. Outputs delivered since last update 1. Review of the structure within Economy, Development and Planning to improve locality working and internal and external synergies 2. New Board set up to drive Phase 2 3. Scope for Phase 2 has been drafted Page 136 of 186
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Appendix 1 PKC - GENERAL Project Name 8. Fairer Communities for All Model Project Description The "Fairer Communities for All" model focuses on creating inclusive, equitable, and sustainable communities where everyone has access to essential services and opportunities. This model ensures that: all community members have a voice in decision-making processes and access to service and resources. there is fair access to healthcare, housing, education, and employment opportunities. there is effective and strong partnership between communities, the council, community planning partners, voluntary sector, and businesses to respond to and address need. resilient communities are developed and sustained. The overall aim of this model is to build sustainable communities where everyone can thrive and live life well, free from poverty and inequality. The model will knit together elements of the multi-disciplinary locality working (MDLW) programme and our community engagement transformation project to strengthen the efficiency and effectiveness of community engagement and empowerment across the Council. Project governance structure Executive Sponsor Clare Mailer Senior Responsible Owner (SRO) Elaine Ritchie Project Manager Current Project Timeline Project start date 06/11/2023 Planned project completion date 31/03/2027 This project is intended to create the environment which supports a fundamental change in our approach to delivering services to support our communities over the long-term. This project (which establishes this environment) is scheduled to complete in March 2027; however, the project outcomes will be delivered over the much longer term. Page 137 of 186
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Appendix 1 PKC - GENERAL Current status of the Project Funding from the Fairer Communities for All scheme has been allocated to community groups in the priority areas. The Fairer Futures Project Team is now fully established to support and enable delivery and SG funding has been secured for 26/27. Fairer Futures focusses on the priority localities, chosen based on identified need from a data and evidence led approach. Multi-agency workshops have been held in all 6 areas and will continue. The project has funded and commissioned lived experience focus groups and service user interviews with individuals and groups from each of the six priority groups identified by Scottish Government and across the 6 priority areas. Results from this consultation will help to shape the actions and priorities for the multi-disciplinary action plans as well as informing the next Child Poverty delivery plan. A Power BI dashboard has been developed for Fairer futures which brings together a number of datasets at intermediate datazone level allowing the user to access a wide range of information about the priority areas or any other area of Perth & Kinross. This tool is available to share with community groups and members which can help assessing need and completing funding applications. The SG Fairer Futures team have highlighted this as an example of best practice to other partners Each area has an identified lead in place who is co-ordinating efforts to work collaboratively to improve life chances for those communities, with a particular focus on employability and skills, income maximisation and mitigating the impact of cost of living – the three main drivers of poverty. Draft action plans are in various stages of development. Work will continue to engage key local community organisations to help understand the local context and develop community led solutions, alongside those which services can deliver. Updates by area: Letham SLA for usage of space in the hub for ‘one-stop shop’ initiatives for services in place Multi-disciplinary team meeting regularly and action plan in place Engagement with ADP and iDART to provide services including recovery café as asked for by Love Letham Community Listeners project led by Kenny Ogilvy HSCP training the members of the community and staff members of low-level mental health awareness and conversational training Pilot in the Hub peer support group by Kith and Kin to support Kinship carers Improvements to street lighting and road safety being implemented following community feedback Rattray One of the first issues identified is the lack of a community hub. Meeting to discuss potential use of Community Connect building organised Partnership with Blairgowrie and Rattray football club to provide community drop in space in the meantime, with laptops provided for supporting CV writing, job applications etc Page 138 of 186
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Appendix 1 PKC - GENERAL Supported recent mental health event in Blairgowrie town hall in response to recent spate of suicides, closer links established with mental health services Thematic workshop planned to investigate drug use and its associated issues in Rattray Coupar Angus Community action plan is coming to the end of its 3 years, opportunity to take stock and see where Fairer Futures can dovetail with this. Fairer futures funding used to secure space for services and support the Strathmore Hub Also funded community spring gala, attended by 240 people and marketing campaign for Coupar Angus cares – all of which promotes community cohesion Community ownership meeting planned for end of April Crieff First joint workshop with services and community groups held in February, Members identified for a multi-disciplinary group Crieff ‘better place to live’ fair planned for June in community campus Lots of disparate groups in Crieff so work underway to try and bring these together, some nervousness around just creating another group Need for property asset review in Crieff Possible pilot area for transport project through Anti-poverty task force subgroup Muirton/North Muirton Multi-disciplinary team established and meeting monthly. Action plan in place. Four thematic workshops planned for the year, first one around no wrong door already delivered North Muirton Connect project started by community group, but supported with funding of laptops and printer from Fairer Futures funds to help with digital skills and access classes, CV writing, job applications etc SLA in place for services to use North Muirton Community centre Highland Initial workshop went well with really good engagement and attendance. Working to narrow the focus to specific areas and issues in Highland using the data and feedback from the workshop Key themes, transport, childcare, accessibility to services, employment and insecure work, stigma with drug use and mental health services. Planning and data gathering in progress for workshop 2. Planning for this to be complete in the start of May. Finally, Scottish Government plans for 2027 are to bring Fairer Futures and the Whole Family Wellbeing work together. We already work closely together in PKC and are developing a plan from closer and more streamlined governance of these 2 workstreams and the poverty work, potentially with one oversight board replacing the existing 3 where membership overlaps considerably. Page 139 of 186
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Appendix 1 PKC - GENERAL Agreed Project Outcome(s) The Project is anticipated to deliver the following: 1. Stronger relationships with our communities, creating a shared sense of purpose. 2. Deliver services to communities in need through a focused and targeted approach. 3. Deliver services that are more responsive to the needs within local communities, and to work together in partnership to address them with a clear focus on early intervention and prevention. 4. A collaborative approach to meet the needs of local communities, shifting resources to meet needs. 5. Continuing to tackle discrimination and prejudice, promoting equal opportunities for all, creating a fairer Perth & Kinross 6. That decisions at a locality level are based on evidence and are made collaboratively, working with all stakeholders, including Elected Members resulting in streamlined levels of bureaucracy. Outputs delivered since last update 1. Data profiles utilising PowerBi created for all 6 priority localities. 2. Joint service workshops held in Muirton / North Muirton, Coupar Angus, Rattray, South Crieff, Letham and Highland. 3. Locality lead in place for all 6 areas. 4. Community consultation carried out in Letham to identify community priorities. 5. Draft action plans in place for Letham and North Muirton. 6. Action plan to address public realm issues in place for Rattray and multi-agency working group are delivering and monitoring this. 7. Multi agency team established for North Muirton and meeting regularly to review progress and identify emerging issues. 8. Community bases to enable joint service delivery and enable community engagement identified in Letham, Rattray, Coupar Angus, North Muirton and South Crieff, with supporting SLAs in place where required. 9. Focus groups and interviews to collate lived experience and parental engagement programme currently being delivered. 10. Fairer Futures Funding secured for 2026 / 27 and Project Team in place. Page 140 of 186
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Appendix 1 PKC - GENERAL Project Name 9. Improving Health & Wellbeing and Attendance in the Education Workforce Project Description To develop a Health and Wellbeing Strategy for the Education workforce. This will include the development of appropriate supports such as coaching and supervision for targeted groups of staff; a programme of CLPL which supports health and wellbeing; augmenting the corporate wellbeing offer to ensure that it meets the needs of the education workforce both in terms of content and mode of delivery as well as developing communication approaches which ensure that the education workforce is fully informed and engaged and feels that they have a voice which his being listened to. Project governance structure Executive Sponsor Thomas Glen Senior Responsible Owner (SRO) David Macluskey (Susie Turner) Project Manager Morag Charity Current Project Timeline Project original planned start date 01/05/2025 Actual start date 16/09/2025 Planned project completion date 27/11/2026 Current status of the Project The project is progressing with workstreams on track supported by a ‘consultative steering group’ of staff, officers, and union representatives. Following an information gathering and analysis stage, action research with key stakeholder groups is underway and set to continue until May. This use of direct feedback or ‘voice’ from education workforce participants aims to support how the accumulated feedback is being used to inform and direct improvements. Specific achieved outcomes to date include identification of initial improvement areas in response. For example, the creation of accessible EDMS resources signposted to the education workforce via direct links from the Education & Learning site, review of the current support and supervision offer to support self-referring education staff and consideration of the impact of differing illness categories on staff health, wellbeing and attendance, and where improvements to contracted services to the school estate can support. Intersectionality with other project/programmes has been identified. This has led to closer working with other internal service areas with collaborative work relating to redesign and refresh of existing supports ongoing to support the project outcomes. A planned mid-point review of initial project improvements within communications is in process. Due to the time-limited nature of the project, final reporting is planned to be delivered by the agreed completion date in November 2026, with implementation of outstanding recommendations to follow. Page 141 of 186
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Appendix 1 PKC - GENERAL Agreed Project Outcome(s) The Project is anticipated to deliver the following: 1. Enhance staff health and wellbeing by improving the levels of health, wellbeing and engagement that are self-reported by the Education Workforce in the Employee Survey. 2. Increase clarity on the reasons for absence and low levels of self-reported health and wellbeing by the Education Workforce across Educational settings. 3. Boost PKC workforce attendance by improving attendance rates in the Education Workforce. 4. Strengthen support systems by identifying effective ways to improve the health, wellbeing, and attendance of the Education Workforce. 5. Target wellbeing interventions for staff groups most at risk, based on attendance trends and self-referral. 6. Build staff capacity through a programme of Career Long Professional Learning (CLPL) focussed on health and wellbeing support relevant to the Education Workforce. 7. Optimise resources by reducing supply costs through improved absence management. 8. Improve absence management practices by refining frameworks, policies, and processes to align to Education Workforce needs and context. 9. Establish strategic direction by launching a Health and Wellbeing Strategy for the Education Workforce 10. Retain talent and support succession planning by improving staff retention across all roles and experience groups in the Education Workforce 11. Strengthen recruitment outcomes for the Education Workforce by increasing success in filling teaching and non-teaching vacancies. 12. Foster engagement by improving communication to and with the Education Workforce 13. Demonstrate PKC Corporate Plan Priority through the supporting and promotion of the physical and mental wellbeing of the Education Workforce 14. Demonstrate PKC Corporate Plan Priority through strengthening our commitment to enabling our children and young people to achieve their full potential by stabilisation of staff absence, retention of talent and resource optimisation. Outputs delivered since last update 1. Consultative group established, made up of key stakeholder representatives across education, professional association/union and internal service areas. 2. Action Research process in two school settings ongoing alongside key central education workforce stakeholders. 3. Short Life Working Group (Workload) established, made up of education and education union stakeholders. All PKC schools Local Management Groups invited to participate, exploring current key challenges and possible local solutions to workforce health, wellbeing, and attendance. 4. Initial actions taken forward include specific resource developed in response to an identified gap (Short Life Working Group - Workload). 5. Identification of areas of environmental improvement alongside internal stakeholder in other service areas, Contracts and Facilities, Property – with potential to support health, wellbeing, and attendance of education workforce. Page 143 of 186
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Appendix 1 PKC - GENERAL 6. Identification of areas of intersectionality with other project/programmes, specifically Additional Support Needs (ASN), AI Project, and the Customer Services Transformation. Areas of potential joint working have been highlighted to the SRO’s, the Project Management Officers, and Education and Learning senior management team for consideration. Page 144 of 186
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Appendix 1 PKC - GENERAL Project Name 10. Leading: Our People, Our Purpose Project Description The project, rebranded from Leadership Review Phase 2, is now established as Leading: Our People, Our Purpose. Its aim is to strengthen leadership capability, embed cultural and behavioural change, and drive service improvement across the organisation. The project has three core workstreams: Culture & Behaviours, Business Improvement, and Workforce Planning. Project governance structure Executive Sponsor Thomas Glen Senior Responsible Owner (SRO) Greg Boland Project Manager (Business Improvement) Allanah O’Brien Current Project Timeline Project start date 01/10/2024 Planned project completion date 31/03/2027 Current status of the Project Discovery Phase. 1. Culture & Behaviours Delivery of Facilitation and Design Academy for internal staff late December Dates in the diary with our Growing Our Leadership Potential cohort to share with them the Leadership Development Strategy as they co-designed it and have courageous teams’ sessions booked in so they can experience the new look and feel training and give feedback. Improving managers induction, with all new managers have access to 3 coaching sessions within the first 6 months and Connections Events starting in Spring 2026. Developed and presented the Leadership Development Strategy at a number of forums and sharing with SLT on the 12 February to get senior leadership buy- in. Additional resource (PR9 Business Improvement) from 30 March 2026. Collaborative pilots with NHS Tayside (new cohort start 16 Feb), the Improvement Service, and Perth Leadership Academy (New Cohort started on the 26 January) are going well, and we plan to expand partnerships regionally. The Leadership Forum on 5 March 2026 focussed on budget, transformation and supporting people through change / resilience. Future Voices Forum launched on 5 March 2. Workforce Planning Strategic Leads actively progressing three to five year workforce plans with support from Organisation and Workforce Change Team. Most areas have now completed workshops and submitted first drafts. We continue to provide targeted support, particularly around strengthening KPIs, and several plans have now been finalised. Page 145 of 186
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Appendix 1 PKC - GENERAL Supporting our “Grow Our Own” priority, Career grade structures and support for employee learning guidance is complete and will be issued shortly, pending final system development to host this. (My-view) Workforce Planning Toolkit is in development, shaped directly by feedback from services and will be refined further as the 3–5-year plans progress. Ongoing collaboration with Dundee and Angus on HSCP workforce planning to share data, insights, and resources. 3. Business Improvement Continued review of Professional & Business Support Phase 1, to complete Lessons Learned for Phase 2. Business Improvement / Service Design ‘framework’ created in order for completion with PBS SMs. Awaiting follow up conversation with service to drive this forward. Although there has been progress across 3 workstreams, the project is currently on hold pending clarification and agreement of the revised scope with the Executive Sponsor. Agreed Project Outcome(s) The agreed outcomes of Leading: Our People, Our Purpose are strengthened leadership capability, embedded positive culture and behaviours, improved service performance, and more strategic alignment of workforce, resources, and operating models with organisational priorities. Outputs delivered since last update Project establishment, governance & mobilisation · Regular Sponsor Reports · Steering Group meetings · PMO requirements – Project Monitoring sheets Development of a Leadership Proposition, structured around: · Aspiring Leaders · Enabling Leaders · Evolving Leaders Workforce Planning workstream · Submission of draft workforce plans to March 2026 across services · Alignment of workforce planning activity with leadership development and organisational priorities, rather than stand-alone workforce exercises Business Improvement workstream · Initial scoping and prioritisation of improvement activity linked to wider transformation dependencies (e.g. Professional & Business Support, Property Services) · Application of project management and improvement governance to priority areas to improve consistency and accountability Page 146 of 186
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Appendix 1 PKC - GENERAL Project Name 11. Perth Secondary Estate Review Project Description Education is integral to delivering our corporate priorities relating to children and young people, the wider health and wellbeing of people in Perth and Kinross and meeting our climate change/climate justice obligations. This project will consider how the Secondary Learning Estate in Perth City facilities are best aligned with the corporate priorities. Project governance structure Executive Sponsor David Macluskey Senior Responsible Owner (SRO) John Beveridge Project Manager Brian Reid Current Project Timeline Project start date 01/10/2024 Planned project completion date 30/06/2028 Current status of the Project Ongoing – Demographic analysis of future secondary demand underway, the project is now undertaking technical option appraisals for Perth Secondary sites to identify what options are the best fit for meeting future secondary school needs. Agreed Project Outcome(s) The review will consider the following: ensure the Perth City secondary learning estate is well aligned with service need and corporate estate priorities. to improve operational efficiency of school facilities/community facilities. Consider compliance with statutory carbon emission reduction targets. Consider future requirement for substantial investment in multiple buildings. Committee approved way forward Outputs delivered since last update Ongoing updated data gathering including latest roll projections, housebuilding projections, condition surveys, engagement of technical consultants. Page 147 of 186
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Appendix 1 PKC - GENERAL Project Name 12. Public Transport in the Community Project Description To develop a plan for a transport model that meets the needs of all our communities which is affordable, sustainable, efficient, and effective. This model will cover the provision of local bus services, mainstream home to school transport, ASN home to school transport, HSCP and children and families' transport. Project governance structure Executive Sponsor Clare Mailer Senior Responsible Owner (SRO) Elaine Ritchie Project Manager Margaret Roy Current Project Timeline Project start date 01/04/2024 Draft OBC will be complete 30/04/26 for internal consultation Final OBC presented to Full Council 02/09/2026 Whole public transport network review start summer 2026 Planned project completion date 31/03/2027 Current status of the Project Year 2 of the project delivered on workstream actions that were identified and established in Year 1, over all five workstreams. These are highlighted below. As we move into the final year of the project, the project team, supported by the Passenger Transport and Community Transport Consultants TAS Partnership Ltd, will complete an Outline Business Case (OBC) by end of April and that will be circulated internally with the final OBC then being presented to Full Council on 02 September 2026. To further support this, we are continuing to ensure effective communication with key stakeholders through events such as elected member briefing sessions, the Tayside Bus Alliance, Community Transport Forum, and Public Transport Forum. Once the draft OBC is complete, the project team and consultant will commence work on a complete review of the public transport network across Perth and Kinross in terms of preparing the local bus contracts that will be issued for tender in 2027 in light of all current contracts ending on 31 March 2028. They will also support the project team on a major piece of school transport related work in reviewing and documenting all school transport pick up and drop off points. Page 148 of 186
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Appendix 1 PKC - GENERAL Agreed Project Outcome(s) The Project is anticipated to deliver the following: A transport model that meets the needs of all our communities which is affordable, sustainable, efficient, and effective. This model will cover the provision of local bus services, mainstream home to school transport, ASN home to school transport, HSCP and children and families’ transport. Outputs delivered since last update 1. Free Local Bus travel continued on first Saturday of the month for the FY 25/26 and there was an additional free travel day on Thursday, 19 June (for clean air day) and Saturday, 20 December (to support local businesses). The free travel trial ended on Saturday, 07 March 2026 and the project team are now working on a final report detailing the outcome of the trial. 2. The Public Transport Survey closed in summer 2025 and attracted 796 responses. Nine roadshows were then held throughout Perth and Kinross to gather more feedback from the public. A Public Transport Forum has now been established and has held its first in person meeting and its first online meeting in March 2026. All feedback from these sources will be compiled and included in the OBC. 3. A video informing how to read a roadside bus timetable and travel on a bus service was produced and published on the Council’s social media channels 4. Regular posts continue to be scheduled on the Council’s social media channels to promote public transport during FY 25/26. 5. The Community Transport Group in Aberfeldy, Tay Valley Connections, were provided with a Council owned MPVs to deliver local transport solutions in their rural areas, earlier in 2026 and the official launch is expected to take place on 22 May 2026. 6. The project team have supported a new Community Transport Group in Glendevon to commence operation, and they will be long term loaned the 8-passenger seat EV vehicle that the PTU purchased with previous CBF monies. It is expected that they will commence delivering journeys to their community as from summer 2026. 7. Further support was offered to the wider Community Transport Community in Perth and Kinross by continuing the minibus disposal scheme and a further nine community transport groups have now been provided to Community Groups making it twelve in total since the scheme commenced. This initiative was featured in the Scottish Government’s National Transport Strategy 5th Delivery Plan Report in March 2026. 8. To enable greater and more in-depth data monitoring of our contracted local bus services to inform decisions about our local bus network, the PTU worked with IT colleagues to produce a Power BI dashboard to this end. The dashboard is now complete and in use. Ongoing testing is in place at the moment to resolve any potential glitches or data errors. 9. In terms of Home to School Transport, the test of change in terms of a Council pool car and Council employee delivering a mainstream home to school contract has been completed and has been evaluated as has the CT group delivering a home to school transport contract. A further test of change commenced in FY25/26 whereby PSAs delivered ASN transport in a lease car. These have been evaluated against a commercial operator undertaking these and which is the most effective model. 10. The Public Transport Unit worked with IT colleagues to design and produce a new school transport database which is now in operation and allows a greater suite of reporting and removes the need for duplication of pupil details entry. The improved reporting will enable improved interrogation of data to inform possible efficiencies. Page 149 of 186
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Appendix 1 PKC - GENERAL 11. A transport working group has been established between the project team and NHS Tayside to identify potential for collaborative and more efficient transport to health. 12. The consultants have undertaken a route optimisation exercise on all Fairview School transport contracts, and a tendering exercise will be issued in late spring 2026 to establish options for transport efficiencies to the school in line with a revised whole school end time of 1500 hrs. Consultation has taken place with the school in terms of the revised school end date, and the response has been positive. 13. Benchmarking is complete on all other 31 LAs Home to School Transport Policies and PKC policy is being updated for issue at start of new academic session 26/27. Noted that there will be little change to the entitlement criteria as currently it is very little more than what the statutory minimum allows. 14. The review of HSCP transport policy is completed and was benchmarked against other LA’s policies where these were in place. 15. The consultants have completed reports on the following areas, and these will be included in the OBC as appendices: Community Engagement Franchising Direct operations Depot costs (Aberfeldy, Perth) Community Transport Page 150 of 186
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Appendix 1 PKC - GENERAL Project Name 13. Strategic Procurement & Commissioning Project Project Description To design and implement a new operating model for strategic procurement and commissioning to improve efficiency and optimise the value and benefits of our purchasing power. Helping us to better align spend with need and address pressures of changing demands. Optimising the public value of the procurement function and consolidated relevant skills and expertise across the organisations. Project governance structure Executive Sponsor Thomas Glen Senior Responsible Owner (SRO) Lisa Simpson Project Manager Current Project Timeline Project start date 16/01/2023 Planned project completion date 31/03/2027 Current status of the Project The Procurement and Commissioning Transformation project is a five-year programme of works comprising of a number of different workstreams all contributing to the delivery of our desired outcomes. The project is now entering its fourth year and details of outputs delivered are described below. A project team is firmly established and is working closely with all stakeholders to continue on the journey of transforming our procurement and strategic commissioning. Agreed Project Outcome(s) The Project is anticipated to deliver the following: 1. An effective, outcome-focussed operating model for the procurement and commissioning of goods, works, and services for the Council. 2. Council spending is better aligned with need and addresses pressures of changing or increasing demand. 3. Where relevant, spend is based on an assessment of need, linked to the priorities of the Council’s Corporate Plan and Strategic Commissioning Plan of the IJB as it refers to services delivered by the HSCP on behalf of the IJB. 4. More effective strategic and financial planning by giving oversight and challenge as to why, what, how and when the organisation spends/invests for the future. 5. Optimised the public value of the procurement function and where appropriate consolidates relevant skills and expertise presently dispersed across the organisation. 6. Supports innovation in terms of customer centred service design and delivery. 7. Creates market disruption/challenges monopoly markets. 8. Supports and promotes sustainable procurement and a circular economy model. 9. Supports and promotes community wealth building. Page 151 of 186
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Appendix 1 PKC - GENERAL 10. Supports a whole life approach for procurement and commissioning capturing specification design, market intelligence, commissioning processes, contract management, delivery of outcomes, contract review, and future commissioning. 11. Identifies and creates opportunities for commercialisation/income generation. Outputs delivered since last update 1. Digital Category Strategy developed: Action plan developed and approved. Delivery has commenced although progress is slow due to resource restraints. 2. Schools Savings Working Group set up to work on delivering cost savings and efficiencies across DSM. Completion of a number of mini projects under this including Education materials product rationalisation and award of commitment contract. 3. Quick quote e-learning module live and accessed by 45 people. This has reduced resource required by the procurement team as there is no requirement to deliver in person sessions. 4. Business Partnering: Meetings are continuing with quarterly meetings taking place with Property. This is a test of change and if successful we will aim to resource similar meetings with other areas. The purpose of this is to develop proactive planning. Meetings continuing with Environment and Infrastructure to identify collaborative opportunities across the service and Council. This will reduce the number of contracts required. This includes working with Tayside Contracts to identify where they could deliver requirements instead tendering. 5. Protecting our environment: The Sustainable Procurement Toolkit is being embedded within the procurement process. This is being implemented with the support of the Climate Change and Sustainability Team. Sustainable Procurement Training scheduled for May for 30 PKC employees. This will allow further consideration of environmental factors within the development of specifications and award criteria within tender documents. 6. Process Maps and Templates: Initial discussions held with IT with a view to moving to e-forms for some templates. Procurement are currently on the waiting list. Aim is to have smart forms that can be used to build a data lake which can be used for data analysis and reporting. 7. Community Benefits Community Benefits Working Group formed. Working to improve delivery of Community Benefits to achieve greater social value through our contracts. 8. Integra Centros RSS Purchasing Module Roll-out, let by RSS Project Team and supported by Procurement Team, complete. Training and support handed over to Procurement Team. Page 152 of 186
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Appendix 1 PKC - GENERAL Project Name 14. Tayside Contracts Review Project Description To undertake a review of the way in which Perth and Kinross Council Interfaces with Tayside Contracts, in terms of Governance arrangements, the role of elected members, procurement of services, standardisation of offer. This review will be undertaken alongside Tayside contracts own transformation programme to ensure that all possible benefits are realised from this unique arrangement of co-ownership between Dundee, Angus and Perth and Kinross, the 3 councils who co-own and fund Tayside Contracts. Project governance structure Executive Sponsor Clare Mailer Senior Responsible Owner (SRO) Project Manager Current Project Timeline Project start date 01/11/2024 Planned project completion date 31/03/2027 Current status of the Project Overall, good progress has been made in terms of the project outcomes, providing greater clarity as to roles and remits, scope of activities and identification of opportunities for growth. A fact finding exercise was completed to: provide assurance that improvement actions identified via the independent review of the Supported Self Assessment exercise were being progressed provide clarity and assurance re governance arrangements and identify actions to improve communication with elected members Assess effectiveness of improvement actions to date Identify further areas for improvement Agreed Project Outcome(s) 1. Elected members are clear on their role and the remit of the Joint Committee 2. There is an understanding of the finance, governance, and performance arrangements, allowing assurance of effective and efficient partnership arrangements through Tayside Contracts 3. Any additional business opportunities identified, are explored Page 153 of 186
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Appendix 1 PKC - GENERAL Outputs delivered since last update Revised GSG role and remit – to clarity re responsibilities and establish escalation mechanisms Schedule of Approved works- provides clarity re role of Tayside Contracts Publication of committee papers online to improve transparency Series of engagement sessions with elected members / Q&A Performance dashboard implemented to improve transparency and scrutiny for GSE and Joint Committee members Page 154 of 186
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Appendix 1 PKC - GENERAL Project Name 15. Whole Family Wellbeing (WFWB) programme Project Description The Whole Family Wellbeing (WFWB) programme has been established to implement the Scottish Government initiative and associated Whole Family Wellbeing Fund). This initiative is aimed at increasing the delivery of early intervention and prevention, focused on holistic family support, when, where, and for as long as it is needed. The WFWB programme aims to support an increase in universally accessible early help and support, delivered where and when it meets families' needs. Aiming for a better collective awareness of available support and how to access it, for both families and professionals, it will aim to provide support as "joined up" and limit the number of professionals and services individually involved with families. It will also look to provide families with choice about support, ensuring they are involved in decisions that affect them and that there is increased collaboration between services and organisations that support families (including adult services and third sector). The WFWB programme will encourage increased engagement with, and participation from children, young people, and families in designing and developing services and support, ensuring a clear and shared understanding of the needs of families across the whole system. It will embed the key principles of holistic family support and early intervention and prevention within structures and systems (stigma-free, needs-based, rights-led), encouraging and empowering staff to develop innovative family support solutions in conjunction with the families they support. The WFWB programme will improve capacity within the workforce to respond to the needs of families in a holistic way, through effective signposting and support. Project governance structure Executive Sponsor Jacqui Pepper Senior Responsible Owner (SRO) Arun Singh Project Manager Carol McAuley Current Project Timeline Project start date 01/04/2022 Planned project completion date 31/03/2028. This project is intended to create the environment which supports a fundamental change in our approach to supporting our families and communities over the long-term. This project (which establishes this environment) is currently scheduled to complete in March 2028); however, the project outcomes will be delivered over the much longer term. Current status of the Project The Whole Family Wellbeing programme is funded through the Scottish Government Whole Family Welfare Fund, with funding being in place until the end of financial year 2026/27. The Page 155 of 186
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Appendix 1 PKC - GENERAL current WFWB budget (which was approved at CYPF Partnership in December 2026) uses underspend from previous years to enable the continuation of some projects into 2028. This longer timescale allows for an extended period in which to evaluate positive outcomes and impacts, to plan for sustainability, and to mainstream funding for projects as appropriate. The Programme has been focussed on the following general areas: Access and Availability - Improving awareness of, and access to services that support families. Engagement with Children, Young People and Families. Service Design and Delivery: consideration of different ways in which additional capacity to deliver holistic family support can be achieved. Systems Leadership and Collaborative Working. Support for the Workforce: looking at opportunities to share learning and good practice, to identify and meet training needs within the wider community and promote the principles of holistic family support. This work has resulted in many areas of positive developments in supporting our families: these are outlined in later sections of this document. Consultation with partners has also identified additional areas for development in family support, including mental health, addressing child poverty, and supporting families where a child has additional support needs. Following the publication of the new Tackling Child Poverty Delivery Plan 2026-2031 (Bringing Hope, Building Futures), SG have announced plans to bring together the Whole Family Wellbeing Funding Programme with Fairer Future Partnerships and Whole Family Support Early Adopter Areas into a single Whole Family Support system change programme from April 2027. This does not impact on the existing WFWF funding allocation for 2026/27; however, it is anticipated that 2026/27 will act as a transitional period to allow the new integrated programme to be designed in collaboration with SG. Agreed Project Outcome(s) The Project is anticipated to deliver the following: 1. An increase in universally accessible early help and support, which is delivered where and when it meets families' needs. 2. Better collective awareness of available support and how to access it, for both families and professionals. 3. Support is experienced as "joined up", limiting the number of professionals and services individually involved with families. 4. Families are provided with choice about support and are involved in decisions that affect them. 5. There is increased engagement with, and participation from children, young people, and families in designing and developing services and support. 6. The key principles of holistic family support and early intervention and prevention are embedded within structures and systems (stigma-free, needs-based, rights-led). 7. There is increased collaboration between services and organisations that support families (including adult services and third sector). 8. There is a clear and shared understanding of the needs of families across the whole system. Page 156 of 186
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Appendix 1 PKC - GENERAL 9. Staff are encouraged and empowered to develop innovative family support solutions in conjunction with the families they support 10. There is an improved capacity within the workforce to respond to the needs of families in a holistic way, through effective signposting and support. Outputs delivered since last update 1. The Whole Family Support Directory of Services has been integrated into refreshed GIRFEC guidance, with details of how to access services supporting families at a range of different thresholds. 2. The Support and Connect training programme is a joint funded project (WFWF/CPAF) with a key focus is on reducing the stigma around talking about money. Training for front-line workers uses a social needs screening tool to develop skills and confidence in being able to engage with families sensitively about money, understanding the wider needs of families, providing improved referral pathways and increased awareness of the range of support available for families. The training includes the use of the FORT system as a referral pathway to integrated support. Over 100 individual users have completed the Support and Connect training, across both public and third sector organisations. In the recent WFWF Year 3 evaluation report, the programme was included as a case study showing good practice in partnership working. Perth CAB are currently developing a leadership training programme to support embedding the use of the screening tool and the FORT referral system into systems and processes. 3 The FORT referral system continues to be rolled out across the area. Perth CAB is coordinating the system, with 56 partners receiving and making referrals through the system. In the first year, the focus was on the provision of financial and welfare support, but this has been widened over the last year to include a range of support partners including health, wellbeing, and employability. The Support and Connect directory now has 209 individual services listed across Perth and Kinross and Tayside. In March 2026, we reached the milestone of 500 referrals through the platform. 4. The Family Support Practitioner Network was launched on 23 October 2024 at an in- person event at the Perth Civic Hall. During 2025/26, 5 network events were held with topics including Supporting Challenging Behaviour, Protecting People, Physical Health, Family Support and Housing. Over 130 professionals are members of the network, with 30-40 attending each session. To support the Practitioner Network, the Padlet app has been used to allow members of the network to share resources and information about training opportunities. 5. The Family Advice and Community Connections Service (FACCS – delivered by Aberlour) has been commissioned to screen, signpost and/or provide a flexible range of supports to families requesting early help across Perth & Kinross. The service opened to families in September 2024, and since then 152 families (comprising 436 individuals – parents and children) have been open to the service, with approximately 30-40 new families becoming open to the service each quarter. In the last 6 months, 31% of referrals came directly from families reaching into the service, with the remaining 69% being supported by professionals to make a referral. The majority of families that access support (87%) are within one of the Child Poverty “Priority Group” categories set out by Scottish Government, with just over half being in more than one. The highest proportion of families have primary-school aged children, and are often supported with issues around routines, child behaviour, and development. 6. As part of the establishment of FACCS, Family Support and Community Workers have undertaken extensive engagement and awareness raising across the whole of Perth & Page 157 of 186
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Appendix 1 PKC - GENERAL Kinross. They have attended community events, school activities (including Parent’s Evenings and Parent Council meetings), mother and toddler groups, as well as directly linking with service providers. This has allowed the team to identify and respond to specific issues relating to different localities (e.g. transport difficulties, accessing foodbanks, responding to health needs). 7. The Families Empowering Communities (FEC) team have established their provision in Muirton, Bertha Park and Blairgowrie (in addition to existing provision in Letham and Crieff). Throughout summer 2025, a range of activities were organised across the FEC supported locations, including a summer carnival event in Muirton, and picnics in the park in Letham and Blairgowrie. These events were attended by 54 families (comprising 61 adults and 98 children), allowing for supported play and family engagement, with food and snacks being provided for children and parents. Thematic groups are also offered across all localities including wellbeing groups, support for parenting, a dad’s only support group, and family play groups. These groups are offered on an ongoing basis for many participants, allowing the FEC team to build relationships with participants, but also developing peer support between parents and carers. 42 families regularly engage with the groups. 8. The FEC team also provide one to one support for parents within each of the localities. The majority of referrals come from MASH, CP Duty Team, and Perth City Social Work teams, but individuals are able to refer themselves to the service, although referrals are restricted to residents of the supported localities. During the period April to September 2025, a total of 30 new families received one to one support from the service (in addition to 7 families who were still open to the service from the period Jan – April. The most common request for support is around parental health and wellbeing (including mental health) and children’s mental health. Whilst the support provided by the team is universal in nature, there is a focus on families who experience disadvantage in some way. All families who are currently receiving one to one support fall into one of the priority family categories outlined below, with many families being in more than one category. 9. The Parenting and Family Learning Team (PFLT) have developed and delivered a range of programmes that are part-funded through the Whole Family Wellbeing programme, including Fearless Triple P (supporting parents whose children have anxiety), Teen Triple P (helping parents’ confidence in dealing with challenging teenage behaviour), Incredible Years programmes (strengthening parent-child interactions and attachment), and ante-natal PEEP (supporting parents to bond with their child). During the period April to September 2025, 69 parents attended these programmes (which vary in duration) for support with a range of parenting skills. In addition to face-to-face learning programmes, the team have been developing online delivery models for Teen Triple P and Fear-Less Triple P (to support families who prefer to engage in this way because of employment, childcare or transport difficulties). The PFLT team also signposts parents to other service providers as appropriate, and many parents progress between PFLT programmes as their child gets older, with the team providing longer-term support where needed. 10. Additional training opportunities for training in PEEP Learning Together programmes were provided through Element 3 national funding from WFWF, with training being delivered by Peeple. A total of 109 individuals have completed PEEP Training, with 25 staff and volunteers trained in the Antenatal PEEP programme. Staff have attended from across 13 organisation including Culture PK, HMP Perth, Perth Autism Society, Aberlour, Barnardo’s, Homestart, Madoch Centre, Riverside Church, and professionals within social work and family support teams within Perth and Kinross Council. This training allows professionals working with families at different stages and levels of Page 158 of 186
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Appendix 1 PKC - GENERAL support to be using consistent language and approaches to support child learning and development and parental attachment. 11. The PFLT Team has also supported the roll-out of the NHS Speakeasy programme within Perth and Kinross. This is a programme run by NHS Tayside which is aimed at parents, carers, and youth-workers who support children/young people. The main goal is to support positive, open, age-appropriate communication about growing up, sex, relationships, gender, and safety. The PFLT team have worked in collaboration with NHS Tayside colleagues to train 14 members of PKC staff in delivering the programme more widely across the area. A menu of “bitesize” sessions is available for parents including drug and alcohol awareness, sleep, and adolescent brain development. 12. A Whole School “Togetherness” (previously Solihull approach) pilot has been completed with Kinross High School. The training aims to help all staff better understand pupils’ behaviour, and to understand the importance of relationships for brain development, By understanding their pupils’ behaviour, staff are better placed to help pupils ‘upregulate’ or ‘downregulate’ their emotional level in order to be in a better state to learn. The model can also support staff to better understand the impact of adverse childhood experiences on health and wellbeing. The PFLT delivered training to all staff in the school in April/May 2025. Evaluation of the pilot is currently underway, with plans to widen the approach over the next year. 13. The PKC COPE Team (who work with children on the edge of care) have been supported by the WFWB programme to increase their capacity to support families at different times across the day, with the number of referrals received by the team having doubled from approximately 15 families to 30 families per quarter. During the period April to September 2025, 66 children were referred into the COPE service. The nature of support provided for families was varied, but mostly centred around parenting support, developing routines and boundaries, improving home conditions, and helping with transitions and transport for parents. 14. The Promise has highlighted the importance of maintaining sibling relationships when children and young people are accommodated. In 2025, WFWF funding was provided to support the development of an outdoor play space (located at Westbank Outdoor Early Learning and Childcare centre, Perth) which will provide a private space for siblings and their families to come together to play in a private, welcoming location. The project has now completed the planning process, and construction is underway. It is anticipated that the space will be available for use by summer 2026. 15. Funding has been provided to support the locality-based model of support that is being developed by the Fairer Futures project. WFWF funding has been provided to support the co-location of services and delivery of holistic provision of services across the areas supported. A shared funding approach (within input from WFWF, Fairer Futures, Employability and Poverty funding) has allowed for space to be retained within both the Hub in Letham and the Strathmore Hub in Coupar Angus for the coming year, which will allow services to come together in a coordinated way to provide joined-up support for families. Page 159 of 186
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Appendix 1 PKC - GENERAL Project Name 16. Working Smarter Project Description The Working Smarter programme has a number of different projects all related to the strategic and integrated approach of people, technology and crucially, property – looking to improve how we integrate all three for the best outcomes in relation to facilitating better productivity, embracing technology, more effectively using our estate and buildings and enhancing employees experience through flexible operating models. Project governance structure Executive Sponsor Clare Mailer Senior Responsible Owner (SRO) John Beveridge Project Manager Kirsty Fleming / Mairi Milne Current Project Timeline Project start date 01/04/2021 Planned project completion date 21/12/2027 Current status of the Project The Working Smarter project has reached a major milestone. Following Council approval on 4 September 2024 to purchase Pullar House and the Kinnoull Street Multi-storey Car Park, the programme has transitioned into a consolidation and implementation phase. Asset Purchases Pullar House purchased for £4.51M Kinnoull Street MSCP purchased for £1.443M Partner Collocation Partner engagement has been highly successful, with five of six partners now committed to collocating within Pullar House: NHS Vaccination Services – in final stages of Property Sharing Agreement Scottish Government – Animal and Plant Health Agency (APHA) & Rural Payments and Inspections Division (RPID) Crown Office and Procurator Fiscal Service (COPFS) NatureScot Social Security Scotland VisitScotland – current tenant, continuing long-term occupation We are currently awaiting the outcome of the Scottish Forestry business case, which, if approved, would see them occupy space within the Scottish Government floorplate. Page 160 of 186
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Appendix 1 PKC - GENERAL Pullar House Technical Design & Construction The Working Smarter Board has approved progressing construction on the west side of Pullar House to accommodate COPFS, NatureScot, Customer Services, NHS, Archives, and Museum storage. Construction sequencing will be finalised once the overall programme is confirmed. Project / Area Status General required upgrades to Pullar House (replacement / upgrade of critical systems and works to facilitate collocation) Technical design ongoing Creation of bespoke COPFS space on the GF and 2nd floor Pullar House Design complete; final details in progress Upgrade to Customer Service Centre GF Pullar House Technical design ongoing Relocation of NHS locker rooms and create of office space on the GF Pullar House Technical design ongoing Creation of bespoke SG space on the GF of Pullar House Design team meetings requested; next steps awaited Extension of existing archive space on the 2nd floor of Pullar House for use by PKC as archive storage and CPK as collection storage Technical design ongoing Justice Services from St Martin’s House to the 2nd floor of Pullar House Technical design ongoing Kinnoull Street Multi Storey Car Park Technical Design & Construction Parking Services, supported by Property Services, have appointed an external Project Manager to oversee essential upgrades. EV charger installation has been costed, and a construction programme is expected shortly. Agreed Project Outcome(s) The Project is anticipated to deliver the following: 1. Improved collaboration, at all levels, and between Council staff and our other stakeholders. 2. Utilising technology and new working styles to facilitate better productivity. 3. Enhanced employee experience and work/life balance through our more flexible operating model – we anticipate an additional benefit from this in the areas of staff recruitment and retention. 4. More effective use of our property estate, allowing more collaborative working and reducing our carbon footprint. 5. An established model which will provide for the more effective, efficient, and sustainable delivery of services to our communities. Outputs delivered since update Page 161 of 186
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Appendix 1 PKC - GENERAL 1. Completion of the purchase of Pullar House and Kinnoull Street MSCP 2. Completion of Pullar House DDA improvements, including a new disabled toilet and accessibility upgrades on the 1st floor 3. Move in and confirmed long-term commitment from NHS Vaccination Services 4. Space Planning Phase 2 completed, maximising utilisation of office space for both Council and partner organisations 5. Staff reconfiguration and relocations across Pullar House and 2–26 High Street have concluded, with all scheduled moves delivered 6. Completion of construction at Inveralmond Depot, enabling the collocation of the Traffic & Network Team in October 2025 7. Completion of construction at 2–26 High Street, delivering four additional meeting rooms 8. Securing commitment from six of seven partners to collocate within Pullar House, exceeding initial income projections and fully utilising available space Page 162 of 186
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Appendix 1 PKC - GENERAL Project Name 17. Zero Waste & Operations Project Description This programme involves a review of waste strategy and waste management arrangements to deliver national initiatives, improved outcomes and realise best value and service efficiencies. It has a number of workstreams including commercialisation review; operational asset review; circular economy strategy and service design beyond twin stream; schools recycling improvement, fleet transformation. Alongside this, the programme also includes a review of the delivery of our operations to ensure we are maximising opportunities for efficiency and effectiveness. Project governance structure Executive Sponsor Clare Mailer Senior Responsible Owner (SRO) Fraser Crofts Project Manager Pete Leonard Current Project Timeline Project start date 01/12/2024 Planned project completion date 31/12/2027 Current status of the Project This project is progressing well, the majority of the workstreams within this programme are now completed and progressing as business as usual – the remaining workstream in the project is Operations Resourcing Review. Agreed Project Outcome(s) Page 163 of 186
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Appendix 1 PKC - GENERAL The Project is anticipated to deliver the following: 1. Clarity on resource requirements and operating model for all activities currently being undertaken by the Operations Team 2. Commercialisation review will present service delivery options and identify the optimum target operating model. 3. Operational property/depot asset review will establish investment requirements to support a sustainable (money and carbon) operational asset base over the next 30 years, aligned with the approach set out in the Council’s approved Property Asset Management Strategy 4. Circular economy strategy will inform the future transformation of the Council’s waste and recycling operations and associated infrastructure and/or major contracts expenditure together with sustainable economic development activity with local businesses 5. Fleet transformation will build on the existing Fleet Asset Strategy to identify investment requirements to support the decarbonisation of the Council fleet. It will also seek to maximise the efficient use of the fleet/grey fleet. There is a dependency on other work to extend and improve EV charging infrastructure 6. Schools recycling improvement project will reduce carbon emissions and save money and present STEM and citizenship opportunities for learners. 7. Further development of the technology system will improve business insights and customer service Outputs delivered since last update 1. Operations resourcing review The Association for Public Service Excellence (APSE) have been commissioned to undertake a discovery exercise with relation to PKC’s existing operations being benchmarked against other local authorities. This work is ongoing; however, early indications are that PKC performance is strong across many of the indicators. With regards to existing operations, agency spend is projected to be reduced by approximately £400,000 year-on-year and overtime reduced by approximately £200,000. Once the final report has been reviewed, and if required, an Action Plan will be developed to ensure we have the optimal operating model for all activities being delivered by the Operations Team. 2. Commercialisation review This workstream focused on focussing the skip hire business. Work has progressed well and this workstream is now considered to be business as usual. 3. Operational Asset Review Operational Asset Review report including potential options has been completed. The output of this report is currently being considered as part of the development of the Council’s Strategic Investment planning process and is now being considered as business as usual. 4. Circular Economy Strategy Page 164 of 186
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Appendix 1 PKC - GENERAL Climate Change and Sustainability Committee approved the strategy and associated action plan at its meeting of 18 February 2026. The implementation of the Action Plan is now considered to be business as usual. 5. Fleet Decarbonisation The activities associated with this work are being delivered through the Council’s Strategic Investment Planning and in particular through its Fleet Asset Management Plan. This is now considered to be business as usual. 6. Schools Recycling Improvement The initial pilot work for this workstream was successfully delivered and we continue to deliver on the wider rollout across the primary and secondary school estate. This work is now considered as business as usual. 7. Business Insights and Customer Service Improvements The activities within this workstream are to be incorporated within the wider corporate AI/Automation project. For the purposes of the Zero Waste and Operations project this workstream is considered as being completed. Page 165 of 186
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Appendix 2 PKC - GENERAL Transformation and Change – reshaping our organisation Sample of Project Overviews – April 2026 9 Page 167 of 186
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Appendix 2 PKC - GENERAL Contents Page Projects 1. Additional Support Needs (ASN) 2. AI and Automation 3. Business Systems Management Efficiency & Rationalisation Project (BSMER) 4. Customer Services Transformation 5. Fairer Communities for All Model 6. Improving Health & Wellbeing and Attendance in the Education Workforce 7. Whole Family Wellbeing (WFWB) programme 8. Zero Waste & Operations Page 168 of 186
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Appendix 2 PKC - GENERAL Business Systems Rationalisation Business Systems Management • Efficiency • Rationalisation The Team Project Manager Dave Turner Business Analyst Damilola Ojie Dev Business Analyst/Project Support Ashleigh Mazur Procurement Support – Elaine Brett Background Council operates a decentralisedmodel for business systems, causing fragmented data and inefficiencies. T&C programme commissioned a review to create a one council view of the application landscape. Project Timeline Phase 1: Discovery (May–Dec 2023) Phase 2: Initiation (Jan–May 2024) – Single view of systems, new operating model, business case. Phase 3: Implementation (June 2024 onwards) –Operating model embedded, prioritisedchanges delivered Project extended to 31 Mar 2026 (December 2024)Description Programme aims to implement a One Council approach for governance, security, and efficiency and embed a cost-benefit model, rationalise systems. Outcomes One Council culture, single view of Council business systems, improved customer outcomes, fit-for-future operating model, reduced technical debt, improved security posture and compliance. Critical Success Factors Strong sponsorship, holistic governance, funding for early phases, strengthened Digital Board leadership. Contact for more information: Dave Turner (IT Team Leader) | dturner@pkc.gov.ukor CDSBSRProjectTeam@pkc.gov.uk A Perth and Kinross where everyone can live life well, free from poverty and inequality Key Challenges • Lack of transparency on costs • Siloeddecision-making • Resourceconstraints • Resistanceto changelack of prioritisation. • Application data proved to be incomplete or none existent Key Learning Points The presumption that comprehensive application information would exist was optimistic Lack of understanding about what the project could achieve and the value of what has been achieved Benefits Realisation Improved value, compliance improvements, development streamlined processes, improved resilience.Next Steps • Embed operating model. • Implement decommission programme. • Expand governance and supplier engagement best practices. Page 171 of 186
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Appendix 2 PKC - GENERAL Fairer Futures: Tackling Child Poverty, including the root causes and impacts for children, with their families and the communities in which they live. Paul Smith and Jade Doig Background Project Timeline • Nationally, Fairer Futures Partnerships are part of the Scottish Government mission to eradicate child poverty. The focus is on innovative practice, through a placed-based, data driven and collaborative approach. • In Perth and Kinross, we recognise that no child is responsible for the circumstances in which they are born and raised. The economic and social landscape is trapping families in poverty. • We are committed to finding solutions to reduce child poverty. No child deserves to have their future, health or wellbeing determined by poverty. January: Strategy and plan sign off. Data profiles & dashboards assessable for 6 areas. January - March: engagement including focus groups, individual interviews, targeted placed-based activity including funding decisions. March–May: data analysis and dissemination. Design workshop with services for child poverty action plan. January–February: exploring and discovering workshops. Base line data gathering for KPI’s. March–September: designing solutions, thematic workshops. Sharing good practise across places. Mid point review. October–December: implementation and creating longevity workshops. Year review report. Description New Fairer Futures place-based, MDT partnerships are being established to gain local knowledge, and plan and undertake the actions needed to address the drivers of poverty, including: insufficient income from employment, insufficient income from social security and cost of living. This means working with people experiencing poverty to design effective action on income maximisation, reducing the cost of living and addressing the barriers to employment. Outcomes We will: 1. Reduce child poverty 2. Increase participation, trust and capacity building with our communities. 3. Improve policy and practise, including shifting to a more preventative approach Critical Success Factors 1. Robust understanding of need through data analysis on health, wellbeing and the economy. 2. Effective and sustaining teams gaining understanding of need, designing and implementing solutions. 3. Effective strategic collaboration to drive innovation and ambitious action. 4. Sufficient resource and buy-in across services, teams and organisations. 5. Problem solving and designing solutions with people who are living in poverty. 6. Strong value based and good understanding of systemic factors which drive poverty Contact for more information jadedoig@pkc.gov.uk A Perth and Kinross where everyone can live life well, free from poverty and inequality Key Challenges Recruitment delays in establishing staff team to drive project forward Communication and broader understanding of project Broad remit which is reliant on a range of participant contributions Complex and stubborn problem, impacted by global, national and local factors. Stigma and discrimination towards people living in poverty People with lived experience not being heard Key Learning Points Project creep, defining purpose and ambition of project while understanding intersecting and interdependent areas of work. SDP in development. Buy-in and wider understanding of project required improvement. New messaging and comms plan in development. Changed from locality working to placed based. Planning for Highland as an intermediate zone was not successful due to composition of area, so planning over several smaller places. Benefits Realisation / Achievements Fairer Future’s staff Team established, along with key collaborators identified MDT workshop participants identified, and activities scheduled across 2025-26 Data profiles designed, and work underway with IT to create dashboards Established governance structure including steering group functioning with newly defined purpose Engagement activates planned and scheduled for Jan- March 2026 Next Steps Establish additional MDT’s, co-ordinate increased activity of all MDT’s Understand lived experience and needs, and support participation in design process Undertake thematic workshops to design solutions Establish KPI’s to measure impact Reference Materials Fairer Futures Partnerships Evaluation Strategy Page 173 of 186
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Appendix 2 PKC - GENERAL Improving Health and Wellbeing and Attendance - Education Workforce Morag Charity, Project Officer ; Susie Turner, Principal Educational Psychologist Background Project Timeline Description Our Education workforce is a keyasset in meeting our statutory obligations. Education is integral to delivering our corporate priorities relating to children and young people. This project is about the importance of getting it right for the education workforce –supporting them in their role in getting it right for our children and young people. Outcomes Critical Success Factors So how will we know? • Reduction in overall reported absence levels within the education workforce. • Reduction in reported work-related illness absences in education settings. • Reduction in supply costs linked to ill health absences. • Improvement in key wellbeing measures in future employee surveys. • Improved retention & recruitment. • Improved effectiveness of the PKC Health and Wellbeing Framework in education settings. Contact for more information STurner@pkc.gov.uk MACharity@pkc.gov.uk A Perth and Kinross where everyone can live life well, free from poverty and inequality Key Challenges Key Learning Points unexpected insights! • Significance of infection and gastric illness. • Importance of streamlining communications – making this coherent and predictable. • New opportunities to build coalition around meaningful and achievable change. Benefits Realisation / Achievements • Cross-service collaboration leading to shared benefits • Engagement with Professional Organisations Next Steps Collaboration & Co-Creation • Action Research • Working Groups • Education Staff Voice September 2025 November 2026 Data Competing demands Response to data analysis: • Education staff feedback in the Employee Survey • Attendance rates • Retention & Recruitment challenges By: • Refining and supporting the Corporate Offer to meet the needs of the Education Workforce. Adding: • Evidence based supports for targeted groups of staff. • A Programme of Career Long Professional Learning that supports health and wellbeing for education. • Enhanced communication approaches for our education context. The Project aims to strengthen our commitment to enabling our children & young people to meet their full potential through developing a Health and Wellbeing Strategy for the Education Workforce. Page 174 of 186
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Appendix 2 PKC - GENERAL Whole Family Wellbeing Programme Dr Carol McAuley – WFWF Programme Manager Background Project Timeline The Whole Family Wellbeing Fund is a Scottish Government (SG) initiative aimed at increasing the delivering holistic family support when, where and for as long as it is needed, with a focus on early intervention and prevention. The WFWF Programme also aligns with other key Scottish Government policies affecting the wellbeing of children, young people and families, including The Promise, UNCRC, GIRFEC, Child Poverty Delivery Plan (Best Start Bright Futures), Mental Health Strategy, Raising Attainment Strategy etc. Funding for the WFWF programme is available for the period April 2022 to March 2027. Description The projects supports improvement work across 4 core components and includes: • Engaging with families and professionals to establish local need. • Improving awareness of and access to low-threshold support. • Creating infrastructure to identify gaps in holistic family support provision, develop and deliver new services. • Building links with key stakeholders to support capacity building and partnership working. Outcomes A series of short-, medium- and long-term outcomes have been developed by Scottish Government for each of the 4 core components above. Local outcomes include: • Increased provision of universally accessible early support • Better collective awareness of available support and how to access it, for both families and professionals. • Support experienced as "joined up“ by families • Families are provided with choice about support and are involved in decisions that affect them. • Increased engagement with children, young people and families • Key principles of holistic family support and early intervention and prevention are embedded within structures and systems. • Increased collaboration between services and organisations that support families (including adult services and third sector). • Clear and shared understanding of the needs of families across the whole system. • Staff are encouraged and empowered to develop innovative family support solutions along with families • Improved capacity within the workforce to respond to the needs of families in a holistic way, both signposting and support. Critical Success Factors • Increase capacity of existing services to deliver holistic family support (additional 300 families across P&K). New FACCS service to provide direct support for around 250 families. • Increased number of families and practitioners have access to information about services. Directory – quarterly usage >200 hits. • Online FORT referral system increasingly used by services. Aim to have over 30 organisations using FORT by Jan 25. • Increased engagement with children, young people and families. Gather feedback from service users and more widely • Development of networks to support better partnership working between professionals. • Development of a performance framework to evaluate whole family support. • Decrease in number of families requiring crisis support Contact for more information cmcauley@pkc.gov.uk A Perth and Kinross where everyone can live life well, free from poverty and inequality Key Challenges Breaking down silos: Despite some improvements in partnership working, maintaining communication and collaborative working across a broad range of services is challenging, especially across children’s and adult services. Sustained engagement with families: we have struggled to establish consistent models of engagement with children, young people and families. Many of the families we would wish to hear from are least likely to contribute. Long-term sustainability: WFWF uses fixed-term funding from SG which is due to finish in 2026/27. The intention from SG is that reduction in crisis demands should enable reinvestment of savings in early intervention services. However, the current funding climate, increased demands for mental health services, complex ASN, and the cost-of-living crisis means that, so far, there has been little opportunity for funds to be diverted. Key Learning Points • Importance of key vision across stakeholders, and buy-in from leadership • Effective communication and shared language – regularly updated • Time needed to develop partnerships and relationships • Impact on families is often longer-term and can be difficult to attribute to specific WFWF activity, making evaluation difficult. Benefits Realisation / Achievements • Development of Whole Family Support Directory • Development of the FORT online referral system, and Support and Connect Training. Over 70 organisations making and/or receiving referrals. • Scaling up of existing services (Parenting and Family Learning, Families Empowering Communities, COPE), and commissioning of a new universal family support service (FACCS). • In 2024/25, 380 families provided with direct support at a range of levels, with a further 1000 families receiving indirect support. • Establishment of Family Support Practitioner Network, over 130 individuals from over 50 service areas and organisations • Alignment with Fairer Futures project to support locality-working model. Next Steps • Evaluation of activity in 2025/26 with report to SG • Preventative spend/social value research • Development of ongoing engagement framework • Development of workforce development and training tools • Integration of WFWF work into new Integrated Children’s Services Plan Reference Materials Whole Family Wellbeing Funding - Getting it right for every child (GIRFEC) - gov.scot Whole family support - Directory of services - Perth & Kinross Council Support and Connect (FORT) Page 175 of 186
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Appendix 2 PKC - GENERAL Zero Waste and Operations Transformation Programme Project Manager: Pete Leonard Background Project Timeline The waste and recycling industry is facing a period of significant policy, legislative and technical change over the next five years. The transformation programme provides an overview of policy development activities together with the impact that these may have on the services that we provide to PKC citizens. It will inform how our operational teams respond to the challenges and opportunities that may arise. The project started in 2025 and is scheduled to run until the end of Q4 2025-26. At this point it is envisaged that the programme will transition into a number of business improvement projects, although some activities will remain engaged with wider transformation work, for example business insights and customer service. Description The programme consists of 7 separate, but related projects: 1. Circular economy strategy and service design 2. Commercialisation review 3. Operations resourcing review 4. Operational asset review 5. Fleet transformation 6. Schools recycling project 7. Business insights and customer service Outcomes • Inform future service design to comply with new policy and legislation • Provide clarity on future resource requirements and workforce development • Identify future need for operational depots and ensure that investment requirements are included in the corporate capital asset planning • Ensure that our vehicle fleet is efficient and meets climate change aspirations and legislative requirements • Improve recycling in our schools, saving money and reducing carbon emissions, whilst engaging pupils in learning for sustainability and STEM related curricular activities • Improve operational efficiency, business insights and customer service outcomes by development of IT, automation and AI technologies Critical Success Factors • Understanding and agreement on resource model and associated budget • Reduction in CO2 emissions • Increased income from recycling • Increased commercial income • Circular economy agreed by Council committee with good engagement from stakeholders • Investment plan for operational buildings pleonard@pkc.gov.uk Contact for more information A Perth and Kinross where everyone can live life well, free from poverty and inequality Key Challenges • Significant level of change across a range of issues and teams – capacity and complexity – even with buy in • Change happening over a period of 5 years – hard to prepare when policies and legislation are not yet determined at a national level Key Learning Points • Some items are really business improvement rather than truly transformational – however taken together they will have a transformational impact on our services • Be ambitious but realistic – prioritise work to reflect available resource and take account of ‘business as usual’ activities getting in the way • We don’t have the knowledge and skills that we need in some areas – particularly in the digital world – so linking with other transformation projects is helpful, as is bringing in external expertise Benefits Realisation / Achievements • CE strategy going to CC&S Committee 18 Feb • New skip hire services launched and doing well • Benchmarking of services almost complete. • Reductions in agency and overtime costs • Recommendations from operational asset review going to Corporate Asset Group in February/March • Heavy fleet transitioned to using hydro-treated vegetable oil fuel reducing CO2 emissions and improving air quality • Recycling improvements made to some schools Next Steps What’s next – transition from transformation programme to business improvement implementation Reference Materials Add Web links . . . Page 176 of 186
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Perth & Kinross Council | Strategic AI & Automation Programme | April 2026 Appendix 3 AI tools have been used in the preparation of this document and any accompanying materials. All content has been reviewed by Chris Wright for accuracy prior to publication. Responsible AI at Scale How Perth & Kinross Council is embedding artificial intelligence across public services Over the past 12 months, Perth & Kinross Council has built one of the most comprehensive AI programmes in Scottish local government. The Strategic AI & Automation Programme covers governance, staff capability, productivity tools, and AI-assisted transcription — deployed responsibly, with full oversight and with staff at the centre of every decision. 500+ Copilot licences 2+ hrs saved per user per week 65% of staff enrolled in AI literacy All Strategic Leads engaged What we have built Microsoft 365 Copilot Copilot licences are now live across the Council. Staff are saving more than 2 hours every week — time redirected from administration to frontline service delivery. The continuation rate stands at 95%, driven by staff choosing to keep using the tool, not by mandate. AI Transcription — PKC Notes Meetings, interviews, and consultations are now automatically transcribed and summarised, allowing officers to focus on the person in front of them rather than taking notes. PKC Notes is an in-house developed solution using our Microsoft infrastructure soon to be live in Welfare Rights. AI Literacy Programme 65% of PKC staff have enrolled in AI literacy training. Enrolment was voluntary. Staff chose to participate because the programme was designed to be useful, not imposed. How we govern it Every AI tool deployed by PKC operates within a governance framework approved by the Council. The AI Register records every active use case. Data Protection Impact Assessments are completed before deployment. AI use is monitored continuously. PKC was one of the first Scottish councils to publish an AI Policy, making its governance approach transparent to staff, elected members, and the public. A national role PKC co-leads the Scottish AI Community — a peer network spanning all 32 Scottish councils. PKC's programme is shaping how AI is adopted responsibly across Scottish local government, positioning the Council as a national sector leader. What comes next – Expand AI transcription into further services across the Council – Continue growing Copilot adoption as demand from services increases – Align with PKC's Transformation Programme Phase 3, in which Digital and Automation is named as a national delivery priority from June 2026 – Formalise benefits realisation tracking across all strategic areas 9 Page 177 of 186
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Perth & Kinross Council | Strategic AI & Automation Programme | April 2026 Appendix 3 AI tools have been used in the preparation of this document and any accompanying materials. All content has been reviewed by Chris Wright for accuracy prior to publication. Page 178 of 186
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Perth & Kinross Integration Joint Board Audit and Performance Committee Date of Meeting: 23 February 2026 Title of Report: Transformation Programme Update Report Number: G/26/11 Report by: Jacquie Pepper, Chief Officer Report Author: Christopher Jolly – Service Manager Business Planning and Performance Contact: tay.pkijbbusinesssupport@nhs.scot ________________________________________________________________________ 1.0 Executive Summary The HSCP Transformation Programme has delivered significant improvements through the initial phase of transformation projects referred to as “the Big Six” and is now progressing with phase 2. This includes the creation of new projects, the re- scoping of others, and the continuation of others to meet the challenges faced. These are being developed through a ‘Portfolio Management Office’ approach which aligns systematically to the approach taken in Perth and Kinross Council. This will ensure continued strong governance, greater alignment between partners and improved readiness for collaboration. 2.0 Recommendations The Audit and Performance Committee (A&PC) is asked to: Note the achievements delivered through the initial ‘Big Six’ transformation projects. Note adoption of a Portfolio Management Office approach which aligns to that take by Perth & Kinross Council. Request an update on progress made within Phase 2 of the Transformation Portfolio on a six monthly basis. 3.0 Alignment To Strategic Plan Priorities and Ambitions The update and proposal(s) within this report demonstrate progress in delivering on the Perth and Kinross IJB Strategic Plan 2024-27 Priorities and Ambitions as below: Appendix 4 9 Page 179 of 186
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Our Priorities 1 Target resources to where people and communities need help most. ☒ 2 Make it easier for people to understand where and how to access services. ☐ 3 Provide health and social care supports close to home. ☒ 4 Work with communities to design the health and social care supports they need. ☒ 5 Improved Integrated Working. ☒ 6 Promote Self-management and Living Well. ☐ 7 Value our workforce, support them to keep well, learn and develop. ☐ 4.0 Alignment To Service Renewal Framework Transformation Portfolio development is geared towards tackling current and future service demand and aligns to the principles set out in the Scottish Government’s Health and Social Care Renewal Framework 2025-2035 as follows: Key Principles for Renewal 1 Prevention: Prevention across the continuum of care ☐ 2 People: Care designed around people rather than the ‘system’ or ‘services’ ☒ 3 Community: More care in the community rather than a hospital-focussed model ☒ 4 Population: Population planning, rather than along boundaries ☐ 5 Digital: Reflecting societal expectations and system needs ☐ 5.0 Background - Evolution of the Transformation Programme The HSCP Transformation Programme was established to redesign key areas of health and social care services in Perth & Kinross, responding to rising demand, financial pressures, and sustainability challenges. The programme began with six priority projects—the ‘Big Six’—which focused on critical areas of service delivery. These projects have now concluded or evolved, delivering significant improvements in outcomes and efficiency. In 2025, the programme transitioned to a structured Programme Management Office (PMO) approach, aligned with PKC methodology. This strengthens governance, introduces standardised tools and templates, and ensures agility while maintaining robust oversight. 6.0 Proposal/Main Issues - Achievements to date The initial phase of transformation focussed on areas of highest importance at the time and delivered measurable improvements across key service areas. The following provides a high level overview in respect to each project within Phase 1: 6.1 The Optimising Independence and Quality of Life for Older People at Home Project focused on care at home provision, remodelling and optimising internal Page 180 of 186
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service delivery, internal processes to improve access, workforce optimisation, and the re-procurement of externally delivered services. This introduced alliance contracting allowing providers greater opportunity to support one another and respond to peoples’ evolving care needs. The project reduced unmet need from around 1,200 hours per week to 350 hours per week. Access to reablement support has also improved with people in hospital waiting under 5 days for reablement support compared to around 9 days in 2024. For people in the community, the wait on average now is 10 days compared to 20 in 2024. The changes made also significantly enhanced assessments with an improvement seen in both the quality of the assessments undertaken and the time taken to process them. 6.2 The Quality Safety and Efficiency in Prescribing Programme (QSEP) supports primary care prescribing by identifying areas of prescribing variance, for example where Perth and Kinross is an outlier compared to other areas or where medicines are being prescribed when cheaper alternatives exist. In 2024, the QSEP programme focused on supporting GP practices to review and switch patients from their current prescriptions where appropriate. The Direct Oral Anticoagulant (DOAC) switch project resulted in 2,161 patients having their medication reviewed resulting in a £590k saving in 2024/25. The Gliptin switch project has been undertaken in 2025 with 20 of the 23 GP practices engaging with the project with an expected/projected saving of £73k. 6.3 The Transformation of Complex Care Project reviewed the provision of services for people with complex needs and made substantial improvements as follows: Workstream 1 – Integrated Multi-disciplinary Hub: The SCOPE team was established as an integrated service for Learning Disability and Autism, now operational and delivering cost avoidance through monitoring care package costs. Workstream 2 – Technology Enabled Care (TEC): The Overnight Responder Service was successfully piloted, has become established, and is generating recurring savings of £45,000 per year. Workstream 3 – Day Opportunities & Respite: A Day Opportunities Steering Group was created with four workstreams to redesign in-house provision and expand inclusive community opportunities. Workstream 4 – Transitions: A new transitions framework and Compass App were launched to improve pathways for young people moving into adulthood. Workstream 5 – Behavioral Support Interventions: Three workshops were undertaken over 2022 and 2023 which provided an opportunity for stakeholders to explore Positive Behavioral Support (PBS) in Perth and Kinross. There is a Short Life Working Group currently looking into developing a P&K PBS pledge which supports this ambition. Psychology colleagues in SCOPE are supporting PBS locally and working directly with providers, as well as offering training when required. Workstream 6 – Independent Living: Five Core and Cluster housing projects are in development, enabling people to Page 181 of 186
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move from long-stay hospital into community tenancies and reducing costs through economies of scale. Further cost efficiencies have been realised (£205k 2024/25 and projected £210k for 2025/26) through the ongoing SCOPE intervention, the roll out of Technology Enabled Care and Core and Cluster models. 6.4 Primary Care Mental Health / Community Project responded to the need for greater access to mental health support within a primary care community setting. All GP practices now have routine/direct access to a mental health professional. The role is able to provide swift early intervention with this support and patient assessment playing a key part in the mental health system. 6.5 The Optimising Rehabilitation Services Project is assessing the needs of the population in terms of rehabilitative services. It is considering the best way for those services to be delivered and in doing so is reviewing access to current provision within existing establishments. This is a longer-term project with significant complexity which is progressing to options appraisal, consultation, and engagement phases. The project is due for completion in late 2026 and as such forms part of phase 2 of the Transformation Portfolio. 6.6 The Psychiatry of Old Age and enhancing capacity in the Community (POA) Project was included in the portfolio with the intention of shifting existing, hospital- based supports to a more community-based model of delivery, whilst enhancing services for EMI patients. Investment into Inpatient Services was made by the IJB through budget-setting processes to try to address some of these objectives, however recruitment to the proposed model proved challenging, requiring a re-scope of the project. As a result, the project is now being re-scoped to take a longer term, strategic view of the changing needs of the population and the forecasted increase in the need for more community-based service provision. This project will be carried forward into Phase 2. 6.7 Transformation Portfolio – Phase 2 Phase 2 of the portfolio consists of the following projects. Each of these is at a different stage of development and delivery and the following provides a brief overview of the project purpose and the status of each. Further, more detailed, updates on the portfolio will be provided as the portfolio develops. Developing a Person-Centred Approach to Rehabilitation and Reablement: This project carries over from Phase 1 of the portfolio. Please see above for more information in terms of progress. Dementia & Enhancing Capacity in the Community (Psychiatry of Old Age): This project is in the early stages of development with the project proposal scheduled for presentation to the Transformation Board in early 2026. Learning Disability Services review: Similar to above this project is in the early stages of development with a project proposal scheduled for consideration via the Transformation Board in early 2026. Review of Older People Day Care Services: This project seeks to identify a future a model for Day Services which makes best use of resources and addresses the rural geography of Perth and Kinross. The Page 182 of 186
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aim is to deliver person-centred, sustainable day services which help older people maintain independence and community connections. The project is currently formulating the options appraisal which will be considered by the Transformation Board in early 2026. 6.8 Portfolio Management Office Approach A new governance methodology has been established within the Health and Social Care Partnership to enhance oversight of project initiation and ongoing monitoring through a Portfolio Management Office (PMO) approach. This methodology is informed by the Health and Social Care Service Renewal Framework (SRF) 2025–2035, ensuring alignment with long-term strategic priorities. The approach closely reflects the model adopted within Perth & Kinross Council, while being tailored to support transformation within the Partnership. Although documentation requirements differ to meet the specific needs of each organisation, the methodologies remain aligned in principle and practice and operate on a shared technology platform. This alignment is creating opportunities for cross- organisational learning and increasing the potential for coordinated delivery of desired outcomes. 7.0 Impacts Best Value: There are no direct best value impacts associate with this report however the transformation portfolio is focussed on areas which it is felt can be optimised further. As such the best value characteristics form an integral element of the portfolio. This report provides evidence of the following Best Value Characteristics: Best Value Vision and Leadership ☒ Governance and Accountability ☒ Effective use of Resources ☒ Partnerships and Collaborative Working ☒ Working with Communities ☒ Sustainability ☒ Fairness and Equality ☒ National Health and Wellbeing Outcomes It is expected that the proposal(s) will impact on the achievement of the National Health and Wellbeing Outcomes as below: Page 183 of 186
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No National Health and Wellbeing Outcome Increase/ Decrease/ No Impact NHW01 People are able to look after and improve their own health and wellbeing and live in good health. Increase NHW02 People, including those with disabilities or long-term conditions or who are frail, are able to live, as far as reasonably practicable, independently and at home or in a homely setting. Increase NHW03 People who use Health and Social Care services have positive experiences of those service and have their dignity respected. Increase NHW04 Health and Social Care services are centred on helping to maintain or improve the quality of life of people who use the services. Increase NHW05 Health and Social Care services contribute to reducing health inequalities. Increase NHW06 People who provide unpaid care are supported to look after their own health and wellbeing, including to reduce any negative impact on their caring role on their own health and wellbeing. Increase NHW07 People using Health and Social services are safe from harm. Increase NHW08 People who work in Health and Social Care services feel engaged with the work they do and are supported to continuously improve the information, support, care and treatment they provide. Increase NHW09 Resources are used effectively and efficiently in the provision of Health and Social Care services. Increase Financial Implications There are no financial implications arising from this report directly. The Transformation Portfolio however underpins the delivery of the IJB’s financial recovery plan. Scrutiny of this forms part of the PMO approach with projects tracked via the Transformation Board. Equality, Human Rights and Fairer Scotland Duty Implications Each project which is taken forward is required to consider equality, human rights and Fairer Scotland duties throughout the project development, delivery and implementation. Scrutiny of this forms part of the PMO approach. Climate Change, Sustainability and Environmental Implications There are no climate change, sustainability or environmental implications in relation to this report. Each project however, in so far as they relate to service Page 184 of 186
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change, will make an assessment of any impact in this respect. Scrutiny of this forms part of the PMO approach. Legal and Governance There are no legal implications arising from this report however the adoption of a PMO approach strengths the governance already in place. Other Implications None 8.0 Management of Risk There are no risks arising directly from this report. Risk management however is core element of project, programme and portfolio management. The PMO approach which is now in place supports this with risks raise, managed and reported at each layer of governance appropriately. As Phase 2 projects are developed a new portfolio risk register will be created to manage risks across the portfolio. 9.0 Governance Consultation Route The matters contained within this paper have been considered and/or consulted on by the following group(s) as part of its development: P&K HSCP Senior Management Team ☒ P&K Strategic Planning Group ☐ P&K IJB Audit and Performance Committee ☐ P&K HSCP Integrated Management Team ☐ Update requested by P&K IJB ☐ Other (state below) ☐ ................................................................................................ Not Applicable ☐ Following consideration/decision by the Perth & Kinross IJB Audit and Performance Committee, this report will be shared with: Perth and Kinross Integration Joint Board ☐ NHS Tayside Board ☐ NHS Tayside committee(s) – specify ................................................................................................ ☐ Perth & Kinross Council ☐ Perth & Kinross Council Committee(s) – specify ................................................................................................ ☐ Other (state below) ☒ Perth and Kinross Council Transformation Board................... Not Applicable ☐ Page 185 of 186
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Appendices None NOTE: No background papers, as defined by Section 50D of the Local Government (Scotland) Act 1973 (other than any containing confidential or exempt information), were relied on to any material extent in preparing this report. Page 186 of 186