Appendix 2 – General Fund 2023/24 Projected Outturn – Service Analysis
Perth and Kinross Council · 31 January 2024
Back to Finance and Resources Committee — 31 January 2024 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
Page 1
APPENDIX 2 PERTH & KINROSS COUNCIL - GENERAL FUND 2023/24 PROJECTED OUTTURN - SERVICE ANALYSIS (Based on Expenditure to 31 October 2023) Variance Variance £'000 £'000 Education & Children's Services Total (1,036) 0 DEVOLVED SCHOOL MANAGEMENT SCHEME (DSM) There are 66 primary schools, 7 secondary schools, 4 all through schools, 46 nurseries and early learning centres and 1 special school within the Council's DSM scheme. Each school has an individual budget, primarily based on pupil numbers. Headteachers are responsible for the annual budgets devolved to them in April each year. The total DSM budget for 2023/24 is £132.051 million including carry forwards. Within the scheme there is a facility allowing for DSM balances, whether surplus or deficit, to be brought forward from the previous financial year. In addition to the resources devolved, balances may also be available to headteachers of schools that have a carry forward. In 2022/23, £722,000 of DSM balances were brought forward. (200) Projected under spend on staff costs due to delays in filling vacancies. (39) Projected recovery of income from Scottish Qualifications Authority 239 There is currently a projected net under spend of £239,000 based on current spending plans from schools for the current academic year that runs to June 2024. The maximum carry forward under the DSM scheme is 2.5%, the current projection is 0.2%. The delivery of budgeted slippage targets remains challenging within individual schools. Pupil Equity Fund 100 The majority of schools within Perth & Kinross Council have been allocated a share of £1.874 million of Pupil Equity Funding from the Scottish Government as a ring fenced grant. Schools are being instructed to use this year’s PEF Grant by 31 March 2024 as per the revised Scottish Government guidance. At this time £100,000 is projected to be carried forward into 2024/25 for teacher and support staff costs to the end of the current academic year. (100) Projected carry forward of Pupil Equity Funding. NON DEVOLVED Education Services Nursery Sector (752) Additional slippage due to turnover of staff, appointments at the lower end of pay scales and impact of strikes that took place earlier this financial year. (32) Projected under spend on non domestic rates. 114 Projected under recovery of income due to reduced attendances at Kids Clubs Primary Sector 935 Slippage target currently not being met within primary sector due to requirement to maintain teacher numbers partially offset by the impact of strikes that took place earlier this financial year. (41) Projected under spend on home to school transport. Secondary Sector 52 Staff slippage target not being met. (27) Projected under spend on home to school transport. 4 Increased loan charges due to interest rate rises. Special Sector (611) Additional slippage due to turnover of staff, appointments at the lower end of pay scales and impact of strikes that took place earlier this financial year. 3 Projected over spend on home to school transport. 16 Increased loan charges due to interest rate rises. (65) Projected under spend on residential placements. SERVICE Summary of Service Variances
Page 2
APPENDIX 2 PERTH & KINROSS COUNCIL - GENERAL FUND 2023/24 PROJECTED OUTTURN - SERVICE ANALYSIS (Based on Expenditure to 31 October 2023) Variance Variance £'000 £'000SERVICE Summary of Service Variances Services for Children, Young People & Families (279) Projected under spend taking account of non-recurring funding of £800,000 provided for 2023/24 and staff slippage due to delays in filling posts and proactive workforce management as part of the transformation review. 41 Projected over spend on legal fees and translation / interpreter services (20) Projected under spend on property costs. 56 Projected over spend on client travel. 216 The budget for young people with complex behavioural issues, which includes a number of pupils placed within residential schools, is projected to over spend based on the latest placements. This includes the provision of £1.152 million of non-recurring funding. (17) Projected under spends on Kinship Care (£60,000) and Foster Care (£2,000) partially offset by projected over spends on Adoption (£45,000) due to increased demand. 32 There is a projected over spend in relation to supporting care experienced young people (continuing care, supported accommodation) due to a doubling of the number of DWP clients. 83 There is a projected over spend on self directed support (children & disability team - respite provision) due to the level of demand and an increase to the hourly rate paid to clients. (213) Additional grant funding from Unaccompanied Asylum Seeking Children (£209,000) and income from the Duke of Edinburgh scheme (£4,000) which offset some of the costs above. Business and Resources Services (127) Additional slippage due to turnover of staff. 17 Projected over spend following an increase in the SEEMIS Licence costs, courier recharge, electrical testing & advertising. 35 Projected income shortfall on school lets. Catering Services (500) Projected under spend within the Early Learning & Childcare 1140 grant for nursery meals based on latest uptake. 44 Projected net over spend on the provision of school meals.
Page 3
APPENDIX 2 PERTH & KINROSS COUNCIL - GENERAL FUND 2023/24 PROJECTED OUTTURN - SERVICE ANALYSIS (Based on Expenditure to 31 October 2023) Variance Variance £'000 £'000SERVICE Summary of Service Variances Communities Total 623 ENVIRONMENTAL AND CONSUMER SERVICES Roads (100) Projected additional income from statutory road network works 65 Projected over spend on flood maintenance contracts (50) Projected under spend on Street Lighting maintenance 1,232 Projected additional costs relating to severe weather events in October 2023. (434) Income recoverable from the Scottish Government under the terms of the Bellwin Scheme 150 Additional costs in relation to maintenance around the River Ericht (150) Contribution from Scottish Government to River Ericht works (100) Projected saving on street lighting contract Regulation 25 Projected shortfall in Corporate Health and Safety income Operations 300 Projected net shortfall in commercial waste income (250) Projected additional income from sale of recyclates due to favourable market prices and introduction of twin- streaming collection 35 Additional hire costs for refuse collection vehicles (100) Projected saving on waste disposal contract following introduction of twin-streaming collection 50 Projected over spend on supplies and services Fleet Management (115) Saving on loan charges due to slippage on planned vehicle replacement programme 250 Additional cost of vehicle materials and repairs Waste Strategy 40 Additional consultancy costs to support the review of operational assets. 130 Projected expenditure on education and awareness for introduction of twin-streaming collection service Bereavement Services (40) Additional income from Bereavement Services CULTURE AND COMMUNITIES 150 Savings delayed on Single Cultural Trust. (35) Projected under spend on period dignity activity. PLANNING AND DEVELOPMENT 70 Perth Harbour - projected increase in operating costs /shortfall in income (100) Projected additional Planning & Building Warrant Income based on income trend to date 60 Projected over spend within Estates Commercial Property account. (50) Projected under spend of energy costs, net of maintenance costs for electric vehicle charging points. 65 Projected over spend on legal costs associated with planning appeals. HOUSING 45 Projected increase in energy costs at Greyfriars Hostel 20 Void Rent Loss for housing support properties (20) Temporary accommodation - reduction in estimated bad debt provision BUSINESS AND RESOURCES Service Wide (550) Slippage in excess of budgeted target. 30 Projected over spend on IT licensing and support costs. Public Transport Unit / Car Parking Account 25 Perth Bus Station - increased costs 60 Projected net over spend on Tendered Services (120) Projected additional income from park and ride departure charges. 35 Additional IT licensing costs
Page 4
APPENDIX 2 PERTH & KINROSS COUNCIL - GENERAL FUND 2023/24 PROJECTED OUTTURN - SERVICE ANALYSIS (Based on Expenditure to 31 October 2023) Variance Variance £'000 £'000SERVICE Summary of Service Variances Corporate & Democratic Services Total 60 Legal & Governance Services (148) Projected under spend on staff costs. 30 Updated projections in relation to income and supplies and services. Finance 77 Over spend on external audit fee following increase in charges and licensing costs. Human Resources (68) Projected net under spend on staff costs, supplies & services and income. Information Technology and Revenues & Benefits (50) Projected under spend on staff costs 86 Projected over spend on supplies and services, including postages, interpreter services and licensing costs 78 Projected over spend on crisis grants and community care grants 55 Projected shortfall in income Property 522 Projected overspend on property maintenance across the Council estate (351) Projected under spend on energy based on consumption to date. (229) Projected under spend on Pullar House due to updated inflation assumptions 58 Net over spend across the function including non-delivery of slippage target Chief Executive Service Total 12 Core Costs 12 Minor projected over spends across the Service. TOTAL (341)