Appendix 2 - General Fund 2025/26 Final Outturn - Service Analysis
Perth and Kinross Council · 24 June 2026
Back to Finance and Resources Committee — 24 June 2026 and its agenda
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APPENDIX 2 PERTH AND KINROSS COUNCIL - GENERAL FUND 2025/26 FINAL OUTTURN - SERVICE ANALYSIS Variance Variance £'000 £'000 EDUCATION AND LEARNING Total (1,942) NON DEVOLVED Education and Learning Core (19) Underspend on clothing grants and parent council funding offset by not meeting slippage target 26 Overspend on free school meals over the holiday period due to exceptional closures and seven week Summer Nursery Sector (1,106) Underspend due to 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 (848) Underspend due to slippage in excess of target as a result of part year allocation of fte required for new Intensive Support Provisions and reduction in supplies and services spend. Special Sector (710) Underspend due to slippage in excess of target due to turnover of staff and challenges in recruitment of posts- in particular pupil support assistants. 333 Overspend on independent school placements due to increased number of placements. Home to School Transport (415) Underspend due to lower number of school days in financial year 2025/26. DEVOLVED SCHOOL MANAGEMENT SCHEME (DSM) 542 Underspend of less than 1% of total budget. (542) To be carried forward PUPIL EQUITY FUND 103 Underspend to be utilised in advance of June 2026. (103) To be carried forward CHILDREN, FAMILIES AND JUSTICE Total 123 Children and Families (210) Overspend due to not meeting slippage target offset by reduction in demand for some services over 1st Quarter. (603) Underspend on foster, kinship and adoption in part due to reduction in overall placements in foster carers. This reduction 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. 901 Overspend on residential placements due to additional placements in excess of budget and higher inflation uplifts than budgeted. Justice Service 35 Overspend In part due to unrecoverable employability sickness costs. SERVICE Summary of Service Variances
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APPENDIX 2 PERTH AND KINROSS COUNCIL - GENERAL FUND 2025/26 FINAL OUTTURN - SERVICE ANALYSIS Variance Variance £'000 £'000SERVICE Summary of Service Variances ECONOMY, DEVELOPMENT AND PLANNING Total (602) Service Wide (356) Slippage across Economy, Development & Planning in excess of target 20 Shortfall in sales ledger bad debt provision 20 Overspend for contribution towards Tay Cities Deal project management costs (14) Other net underspends across Economy, Development & Planning budgets Tourism, Culture and Place 126 Perth Harbour - increase in operating costs /shortfall in income. 89 Net overspend relating to events 150 Savings delayed due to the ongoing review of our cultural and leisure ALEOs. 64 Net overspend in the Electric Vehicle Charging Points, trading account, mainly due to a shortfall in income. (77) Underspends across other Tourism, Culture & Place budgets - including Invest In Perth, Market Development Grants, Business Projects, Green Capital Recovery Fund , offset by an overspend on Enterprise & Investment projects. (128) Increased income in the Commercial Property Investment Portfolio and underspends in Estates consultants, licences and energy costs. Development Management & Building Standards (802) Additional Planning Application and Building Warrant income Roads Infrastructure 306 Expenditure on Cross Tay Link Road landscaping works ENVIRONMENT AND INFRASTRUCTURE Total (203) Service Wide 149 Non-achievement of slippage target across Environment & Infrastructure 124 Shortfall in recharge to capital due to staff dealing with more severe weather and emergency events 34 Shortfall in sales ledger bad debt provision 35 Other net overspends across Environment and Infrastructure budgets Direct Services - Waste Disposal (389) Additional income from sale of recyclates as a result of the new twin-streaming collection and favourable market prices. (162) Net additional savings on the waste disposal contract as a result of increased residual waste tonnage and gate fee price (170) Saving on fuel Direct Services - Refuse Collection 186 Net shortfall in commercial waste income Direct Services - Fleet 196 Additional cost of vehicle materials and repairs. (14) Net reduction in transport costs Traffic and Network (183) Additional income from statutory road network works. (52) Underspend on Traffic TRO's Roads Maintenance Partnership 97 Additional expenditure on routine and cyclic roads maintenance including emptying of gullies. 124 Overspend on flood maintenance 50 Additional expenditure on Council's severe weather response Street Lighting Partnership (35) Saving on repairs and maintenance (136) Saving on energy due to positive impact of LED replacement programme Climate Change & Zero Waste (57) Underspend on Climate Change projects
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APPENDIX 2 PERTH AND KINROSS COUNCIL - GENERAL FUND 2025/26 FINAL OUTTURN - SERVICE ANALYSIS Variance Variance £'000 £'000SERVICE Summary of Service Variances HOUSING AND COMMUNITIES Total 27 Service Wide (94) Slippage across Housing & Communities in excess of slippage target 36 Shortfall in recharge to capital (60) Underspend across non-staff budgets 39 Shortfall in sales ledger bad debt provision Bereavement Services 10 Overspend on loan charges. 131 Shortfall in bereavement income (58) Underspend across non-staff budgets Community Learning & Development (42) Various underspends across non-staff budgets Public Transport Unit (78) Additional income from park and ride departure charges 78 Overspend in relation to park & ride expenditure 37 Overspend due to health & safety works and a shortfall in income at Perth Bus Station. 54 Overspend on tendered service (19) Underspend on loan for community transport (42) Various underspends across non-staff budgets Parking & Civil Contingencies 110 Overspend on Visitor Rangers (26) Various underspends across non-staff budgets in Civil Contingencies and Safer Communities 230 Under-recovery of parking income (499) Underspend on parking expenditure budgets 269 Return net underspend to parking reserve Specialist Services 46 Overspend in property set-up costs for temporary accommodation 18 Overspend within Care & Repair (46) Additional fee income from PKC Lets within the Private Sector Access Team 10 Overspend with Bed & Breakfast accommodation (25) Underspend within Housing Support (39) Additional Income from Missing Shares (13) Various underspends across non-staff budgets in Specialist Services PROPERTY SERVICES Total (845) Service Wide 225 Overspend due to not meeting slippage target, increased costs for loan charges and required works for tree surveys and emergency works across the portfolio offset by lower water costs due to completion of a detailed audit and proactive water saving measures and lower spend on external contractors. 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 (1,246) Projected reduction in energy costs due to reduced rates and consumption. Movement due to less consumption, proactive energy management and milder weather between December to March. Maintenance (10) Small underspend. Facilities Management 185 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. Reduction due to less than expected charges for new building. 308 Overspend in part due to shortfall in income target for Pullar House lets in the current year due to delays from public sector partners and timing of building purchase. Catering (544) Underspend due to lower meals than budgeted. Movement due to reduced Q4 food costs than projected by TC and additional Income.
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APPENDIX 2 PERTH AND KINROSS COUNCIL - GENERAL FUND 2025/26 FINAL OUTTURN - SERVICE ANALYSIS Variance Variance £'000 £'000SERVICE Summary of Service Variances LEGAL AND GOVERNANCE Total (155) 27 Non-achievement of slippage target across Legal & Governance (22) Additional income in staff recharge to capital 60 Overspend on supplies and services (220) Additional income across Legal and Governance (Short Term Lets £124,000, Licences £37,000, Rebates On Contracts £19,000, External work including Council house buy backs £24,000 and Private Landlord Registrations £16,000. CUSTOMER AND DIGITAL SERVICES Total (1,062) IT & Customer Services (910) 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 including AI following one off restructure. All posts are now filled. Revenues and Benefits (37) Projected underspend due to excess staff slippage due to early delivery of savings. (145) Additional statutory additions income and small underspend on supplies and services 30 Projected shortfall due to increased service charges from Social Housing Providers that are not covered by Housing Benefit Subsidy. Movement due to increased debt recovery. STRATEGIC PLANNING, PEOPLE AND PERFORMANCE Total (555) (241) Staff slippage across Strategic Planning, People and Performance in excess of slippage target 112 Overspend on supplies and services (154) Net underspend on the Locality budget to reflect known commitments. (272) Additional income from the salary sacrifice scheme PROJECTS AND PROGRAMMES Total 0 0 No material variances FINANCE AND BUSINESS SUPPORT Total (659) (659) Underspend due to excess slippage in excess of target due to turnover, early delivery of approved savings and additional income. CHIEF EXECUTIVE - Total 0 No material variances TOTAL (5,873)