Learning Estate Strategy & Programme Update - Business Case Framework ECSPB May 2025 v0.5
Renfrewshire Council · 15 May 2025
Back to Education and Children's Services Policy Board — 15 May 2025 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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To: Education and Children’s Services Policy Board On: 15 May 2025 __________________________________________________________________ Report by: Director of Children’s Services __________________________________________________________________ Heading: Learning Estate Strategy – Business Case Framework __________________________________________________________________ 1. Summary 1.1. Renfrewshire Council has committed to planning for the biggest-ever transformation of the area’s learning estate over the decades ahead 1.2. At the August 2024 meeting, the Board agreed to the Learning Estate Strategy, which set the principles, objectives, and vision to improve Renfrewshire’s Learning Estate. 1.3. Following this, in October 2024, a 10-year pupil projection forecast was presented for the full learning estate. 1.4. At the council budget meeting in February 2025, members agreed to set aside £2.5m this financial year – with a commitment to doing the same again in future years – unlocking up to £170m of investment capacity to deliver the initial transformation. 1.5. Most recently, in March 2025, the Board noted the priority establishments presented by applying the agreed Learning Estate Strategy methodology and scoring matrix. Within these 14 priority schools, it was noted that Paisley Grammar is already being addressed through the current construction of the new Community Campus School, and therefore 13 establishments should progress to the options appraisal stage, through a business case development process. 1.6. At the March 2025 meeting, the Board agreed to take forward the Thorn Primary project as part of a wider review of the full Johnstone learning estate, with the aim of the delivering the greatest benefit to the whole community. The board further noted that an overview of the business case framework with indicative timelines would be presented back and this report therefore explores these matters.
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1.7. A short update on current the current delivery of the Learning Estate Programme, including the development of the new primary school in Dargavel, has been provided in Appendix 2 of this report. __________________________________________________________________ 2. Recommendations Members of the Education and Children’s Services Policy Board are asked to: 2.1. Note the business case development framework set out in this report. 2.2. Note the proposed groupings for progressing business cases, and the provisional timeline associated with these as shown in Appendix 1. 2.3. Note the update provided in Appendix 2 for the current Learning Estate Programme. 3. Business Case Framework 3.1. When deciding on the recommended option for major investment projects, it is important that an objective and evidence-based decision-making process is undertaken. For Renfrewshire’s Learning Estate Strategy, it was noted at the March 2025 Board this process would follow a four-stage process. This follows industry-standard, best-practice guidance in the form of HM Treasury Green Book. The purpose of the Green Book process is to provide objective advice to allow decisions to be made in public-sector spending. 3.2. At the March 2025 Board, the four-stage process that business-case development will follow was presented as follows: 3.3. Further insight into the framework is presented below. Strategic Case for Change 3.4. The Strategic Case for Change (SCC) will take the facts from the Learning Estate prioritisation matrix and formulate it into a concise overview of the need for change. Documentation produced will explain what the problem or opportunity is, and set the scope for the project, as well as strategic alignment. This is an important stage to agree a focus for delivery and provide clear understanding for the parameters of developing options which comes in the next stage. Strategic Case for Change Outline Business Case Full Business Case Final Delivery Business Case
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3.5. Within this stage, a core consideration will be understanding what level and wider scope considerations should be incorporated into the objectives of the project. While this stage will not consider specific options to meet the objective, it will set out the existing offer in terms of wider community facilities and consider whether there are potential opportunities for change within that area that should be considered as part of a major learning estate option appraisal. This stage will link to wider Council strategies including the Strategic Property Review and placeshaping to determine where future strategic investment in the learning estate can facilitate local placeshaping and transformation of future service provision. 3.6. As this stage will be taking the agreed priority establishments and formalising the need for change, this will be progressed by officers through the Learning Estate Delivery Board where the Terms of Reference were presented to the August 2024 meeting of this Board. Members will be fully updated at relevant future meetings of this Board moving forward to note progress on SCC processes. Outline Business Case 3.7. The outline business case (OBC) stage is where the strategic drivers and problem/opportunity, as articulated in the SCC, are progressed to the long list options appraisal stage. 3.8. A long list of options will be established, and these will then be assessed against a pre-determined set of minimum viability criteria which will be based on the core objectives of the Learning Estate Strategy. The criteria will allow options that do not meet this viability criteria to quickly be ruled out to ensure effort is not wasted on appraising options that are not viable for delivery. 3.9. It is essential in all projects that follow the Green Book process, that the option of ‘do nothing’ is assessed and progressed to allow a comparison of benefits and negatives of any potential option. 3.10. Within the business case process, starting at OBC stage, the ‘Five Case Model’ will be adopted to assess options. This is a best-practice process outlined in the Green Book which support the structured assessment of viable options against the following five headings: • Strategic Case Why do the project, and how it links to wider strategy • Economic Case What is the value and benefit to the community • Commercial Case Is the project deliverable from a procurement and contract perspective • Financial Case Is the project affordable, and how it will be funded
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• Management Case Is the project achievable from a resource and governance perspective 3.11. During the OBC stage, initial non-viable options will be ruled out. The remaining potential viable options will then be assessed further against the Five Case Model which provides further insight into the effectiveness of remaining options. 3.12. It is likely at this stage that there will be more than 1 viable option for a project. The options assessment process will primarily look at whether an option can meet the minimum viability criteria, and will rule out options that cannot meet this. Only viable options will then progress to be tested against the Five Case Model. This will allow the effectiveness of options to be assessed and will result in a shortlist of preferred options being proposed to the Education and Children’s Services Policy Board to proceed to Full Business Case (FBC) stage. 3.13. Further information on the approach to communication and engagement is outlined in section 5 of this report, however, a core component of this stage will be to begin informal community engagement to understand views on potential options and ensure that communication takes places to demonstrate that views have been considered. Full Business Case 3.14. The purpose of the FBC stage is to conduct a full financial appraisal on the shortlist of options a. The FBC should be viewed as a more detailed continuation of the OBC and will contain similar sections but assessed in much greater detail. The overall objective at this stage is to establish a single recommended option which has been evidenced to achieve the viability criteria and offer value for money. 3.15. As noted in the OBC section above, the option of ‘do nothing’ will remain as the baseline to compare viable options against. 3.16. As each project will be unique in nature, the importance of the Five Case Model can be seen when it comes to overlaying the Royal Institute of British Architects (RIBA) stage development process. By assessing potential options, alongside the five themes, in particular the ‘Commercial Case’, it will allow decision to be made on how design development can progress. 3.17. As a rough guide, it can be assumed that option(s) at FBC stage will progress through elements of RIBA Stage 1 which is ‘Preparation and Briefing’. This design stage will consist of tasks such as land/site analysis, compiling requirements for design and construction, concept and design intent, and ultimately assessing technical and design viability of constructing the proposed option. This process will see the first design elements of the potential output and will enhance the decision making by ensuring the options are viable from a design and construction perspective before making financial recommendations and commitments.
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3.18. At the end of FBC stage, by drawing on the financial investment appraisal, technical development data, and any further enhanced information within the Five Case Model, officers will be able to objectively recommend an option to the Education and Children’s Services Policy Board and ask members to give approval to proceed to the next stage. It is envisaged at this point, this would include progressing final consultation on the preferred option, including where appropriate undertaking a statutory consultation exercise to inform the next and final business case stage. 3.19. In many cases, projects will require to undertake Statutory Consultation as per the Schools (Consultation) (Scotland) Act 2010, and this will act as another element of evidencing viability, by allowing detailed community feedback to be captured and considered. However it should be stressed affected communities will already have been engaged in the project through the OBC and FBC stages, and more detail on this is set out in Section 5. Situations that could trigger the need for Statutory Consultation include moving the location of a school or amending the catchment boundary, whereas a refurbishment on the same site does not require Statutory Consultation. Final Delivery Business Case 3.20. Following approval by this Board for a project to proceed to deliver the recommended option at FBC stage, the final stage of the business case process is to ensure full financial, and technical viability, alongside reinforcing that requirements and objectives can be met through further design development and any changes and or considerations informed via the final consultation stage. This will be achieved through the Final Delivery Business Case (FDC) process. 3.21. By following the agreed Commercial Case which has been developed throughout the OBC and FBC, the procurement route to deliver the project(s) for the recommended option should be agreed as part of the FDC case. A fundamental component of the FDC stage will be to evidence financial and commercial deliverability / viability by completing a procurement exercise. With the compound effect of a completed statutory consultation process where required, and a market-tested project, the final recommendation to the Education and Children’s Services Policy Board to proceed with the project will be transparent, robust, and evidenced-based. Members should note that all contracts and results of procurement exercises will be progressed through the Finance, Resources, and Customer Services Policy Board, as is standard practice. 3.22. When considering the design development, at FDC stage, each project will progress to the most relevant RIBA design stage as is appropriate for that procurement route. It is expected however, that all projects at FDC stage will be at RIBA Stage 2 at least. RIBA 2 is concept design stage where a building footprint and layout will be reasonably well developed with an initial design in place. This is all dependent however on the agreed route to market with many variables to be assessed on a project-by-project basis and by considering procurement strategies developed as part of the Learning Estate Strategy. Each of this will be evidenced and clearly communicated throughout each business case process.
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3.23. This process will also bring a robust and informed process of seeking budget drawdown. While budget estimates of options will be made throughout the process, it is only when a project reaches the stage of FDC that Members will be asked for a commitment on budget drawdown. 3.24. The above four-stage process will allow Members to make informed decisions based on value for money and viability, while evidencing the benefit any project will bring to the whole school and wider community affected by any change. 4. Business Case Development Timelines 4.1. The following table was presented to the March 2025 Board and outlines the priority establishments to be progressed to business case development stage. Priority Ranking Property Score Establishment Condition Suitability Capacity Quartile 1 2.2 Paisley Grammar School 0.6 0.8 0.4 0.4 2 2.4 Trinity High School 0.9 0.8 0.1 0.6 3= 2.5 Auchenlodment Primary School 0.6 1.2 0.3 0.4 3= 2.5 Heriot Primary School 0.9 1.2 0.2 0.2 3= 2.5 Johnstone High School 0.6 1.2 0.3 0.4 3= 2.5 St Peter's Primary School 0.6 1.2 0.3 0.4 4= 2.6 Bridge of Weir Primary School 0.6 0.8 0.4 0.8 4= 2.6 Thorn Primary School 0.9 0.8 0.3 0.6 4= 2.6 West Primary School 0.9 1.2 0.3 0.2 4= 2.6 Castlehead High School 0.9 1.2 0.3 0.2 4= 2.6 St Margaret's Primary School 0.9 1.2 0.3 0.2 4= 2.6 Gallowhill Primary School 0.9 1.2 0.3 0.2 4= 2.6 Brediland Primary School 0.9 1.2 0.3 0.2 5= 2.7 St Catherine's Primary School 0.9 1.2 0.4 0.2 4.2. As has been said consistently throughout the development of the Learning Estate Strategy, no school will be looked at in isolation – we will consider where each priority school could be taken forward in conjunction with others nearby. This has allowed geographical groupings to be created based on the priority schools identified above. Members are also reminded that throughout a business case development process, schools further down the list of establishments and not shown in the priority cohort, may also be included in options assessment if potential value and greater strategic good can be delivered by a single project. 4.3. On this basis, business case development will be progressed using the following 7 groups of priority schools, with agreement at the last Board in March 2025 that all schools in Johnstone beyond the priority list identified below would be in scope for assessment:
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4.4. When considering the business case framework outlined in section 3 of this report, it must be recognised that it will take a significant period of time to complete thorough and appropriate business cases to allow decisions to be made. Using this framework however and considering the communications and engagement process outlined in section 5 of this report below, school communities will be engaged in the design and requirements process from the OBC stage. While it will take time to be in a position of physically constructing, a lot of work will already have been conducted to develop options and designs early in the process, generating many opportunities for stakeholder involvement throughout. 4.5. It is not possible at this stage to outline detailed or accurate timelines for completion of projects as there are many variables and risks that exist. This includes the fact that until options begin to be identified and assessed, which could include an array of potential solutions, it will not be possible to articulate exactly how long a stage will take. An example of this is where an option to build a new school is being assessed, the land for construction will have to be identified and sourced. Depending on the circumstances, this could extend a stage by a lengthy period. 4.6. A provisional timeline of the priority projects progressing through the business case process has been outlined in appendix 1 of this report. These timelines will change and become more robust when work begins on developing options and assessing these. Full updates will be provided to future Boards to reassess and present these timelines throughout the process. In summary, the development, delivery and consideration of the full business case process from initial SBC through to the FDC is a significant exercise and is likely to take a number of years for each project before a project subsequently progresses into the procurement and thereafter delivery phase. However, this structured business case process is necessary and appropriate to support robust and strategically sound decision making when such significant investment is being made by the Council, ensuring such decisions are being made based on the very best evidence and fully considered assessment. 5. Communications and Engagement 5.1. Communications and engagement will be a critical component of the business case development process. This will ensure that the school stakeholders and wider community are informed and involved and will draw on the recently approved Consultation and Engagement Policy.
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5.2. At the outset of each stage, stakeholders will be identified ensuring opportunity for the views of each to be captured and considered at appropriate times. The process outlined in this report will allow explanations to be provided about which options are in/out of scope and why, which is deemed to be an important aspect in engagement for common understanding of the route forward. 5.3. While each stage of the business case process will bring different communication, consultation, and engagement requirements, the overarching objective of communicating with the right stakeholders at the right time will be a core concept of planning moving forward. The Council has significant experience in communication in learning estate projects and this experience and lessons from it will be brought into this process. 5.4. Within the OBC stage, it is anticipated that engagement will be targeted to core audiences such as ward members, school staff, pupils, parent groups, and other relevant stakeholders such as community let groups where discussions on viable options can take place. At this stage, there is an opportunity to capture the views of wider community and parents through surveys. 5.5. As noted in section 3, members of this Board will then be presented the findings of the OBC and asked to agree to preferred option(s) to progress to the next stage. 5.6. This process would then progress to more detailed sessions with the relevant stakeholders identified at the FBC stage. As provisional design intent, site assessment, and core design requirements will be built at this stage, work to better understand community views and preferences will be held. 5.7. As noted in section 3, members of this Board will then be presented the findings of the FBC and asked to agree to a recommended option to deliver. 5.8. Depending on the specific project and its requirements, statutory consultation as per the Schools (Consultation) (Scotland) Act 2010, may be required. In this case, a project will already have been developed to a point where it has been assessed in great detail to understand its viability, benefit, and value for money. Considerable engagement will have already taken place with whole school and wider communities, as well as detailed sessions with core stakeholder groups to understand views and preferences. 5.9. This process will ensure that only options that are viable and capable of being supported progress to a statutory consultation. This approach offers a fully transparent and collaborative approach with our communities. 5.10. It is important to recognise communication and engagement will continue for the full life of the project. As per current learning estate projects ongoing in advanced design, or construction stages, ongoing communication and engagement with affected communities will form a key part of the successful delivery drawing on the views captured from all engagement through OBC, FBC, and any statutory engagement. Further consultation and engagement will be required during the planning application process, and communities will continue to be kept updated throughout the construction and completion/opening of the project.
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___________________________________________________________________ Implications of this report 1. Financial Council has agreed to make provision of £2.5m of revenue resource in 2025/26, with similar amounts being committed to on an annual basis each year over the remaining years of the current Administration. The financial model underpinning the strategy continues to be developed, along with the framework and analysis required in the business case process. This financial provision will fund the programme of work as it progresses through business case development. 2. HR and Organisational Development None. 3. Community/Council Planning Our Renfrewshire is thriving - New, and improved, learning estate assets will allow our children and young people to thrive with the best possible infrastructure to support their school experience. Staff, and community users will benefit from modern and inclusive environments. Reshaping our place, our economy and our future - The learning estate shall be appropriately scaled and equipped to meet curriculum expectations and deliver an appropriate learning and teaching experience for all. 4. Legal None. 5. Property/Assets These projects will deliver significant improvements to the learning estate, extending the life of assets, and improving the experience of young people, staff, and the wider community. 6. Information Technology Digital improvements will be delivered through the learning estate strategy, where access to technology for all, will be a key priority for projects. 7. Equality and Human Rights The Recommendations contained within this report have been assessed in relation to their impact on equalities and human rights. No negative impacts on equality groups or potential for infringement of individuals’ human rights have been identified arising from the recommendations contained in the report. If required following implementation, the actual impact of the
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recommendations and the mitigating actions will be reviewed and monitored, and the results of the assessment will be published on the Council’s website. 8. Health and Safety None. 9. Procurement Any procurement work required will be conducted in collaboration with the Council’s Procurement team and adhere to appropriate regulations. By developing the business case framework outlined in this report, procurement and commercial considerations will be conducted throughout. 10. Risk All projects are bound by rigorous governance and supported by detailed risk registers. Risk is reported and managed at various levels with scrutiny applied to ensure mitigations and contingency plans are in place. The business case framework set out in this report will directly work to identify, manage, and reduce risk. 11. Privacy Impact None. 12. Climate Risk New, and improved, learning estate assets will directly contribute to the Council’s journey towards net zero. Sustainability is a key concept of all projects. 13. Children’s Rights When considering any future school provision, the impact this will have on children is a key consideration, and any work will be based around the direct needs of children to allow their education experience to thrive. Whilst children have a right to choose where they wish to attend school in collaboration with their parents, the council’s admissions policy applies to ensure that schools that are oversubscribed can be managed. 14. Cosla Policy Position None. Children’s Services JL/GM/JO April 2025 Author: Jack Lochans – Learning Estate Manager, jack.lochans@renfrewshire.gov.uk
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Appendix 1 – Potential Timeline for Business Case Development *Note – for construction periods to complete, it is dependent on scope and chosen option for project. A period of 1-2 years should be allowed for any construction completion, following the notional construction commencement period in the chart below. Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Q3 2026 Q4 2026 Q1 2027 Q2 2027 Q3 2027 Q4 2027 Q1 2028 Q2 2028 Q3 2028 Q4 2028 Q1 2029 Q2 2029 Q3 2029 Q4 2029 Q1 2030 Q2 2030 Q3 2030 Q4 2030 Q1 2031 Q2 2031 Q3 2031 Q4 2031 Q1 2032 Q2 2032 Q3 2032 Q4 2032 APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC Potential construction period could commence. This process depends on the option, complexity, land availability, statutory consultation, procurement route Potential construction period could commence. This process depends on the option(s), complexity, land availability, statutory consultation, procurement route Potential construction period for the 1st of 5 business case processes could commence Construction start would then stagger from this point into early 2030's This process depends on the option(s), complexity, land availability, statutory consultation, procurement route Remaining 5 Business Cases (Paisley Foxbar - Heriot PS, Brediland PS) (Paisley Glenburn - St Paul's PS) (Bridge of Weir PS) (Paisley Central/West - Castlehead HS, West PS) (Paisley Gallowhill - St Catherine's PS, Gallowhill PS) Business Case Framework Development Renfrew Business Case Johnstone Business Case (Johnstone HS, Auchenlodment PS, Thorn PS, St Margaret's PS) Development of framework Resourcing StrategicCase for Change Outineand Full Business Case -Project design commenced Statutoryconsultation if required Final Delivery Business Case -design Final design and contractorpreparation ahead of construction StrategicCase for Change Outineand Full Business Case -Project design commenced Statutoryconsultation if required Final Delivery Business Case -design Final design and contractorpreparation ahead of construction StrategicCase for Change Outlineand Full Business Case development Final Delivery Business Case development Statutoryconsultations if required Final design and contactorpreparaton ahead of construction
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Appendix 2 – Learning Estate Programme Update 1. Paisley Grammar School Community Campus 1.1. Work continues on site to deliver the new Paisley Grammar School Community Campus, with completion remaining on track for the summer of 2026. 1.2. As the project progresses, a series of community benefits are being delivered by the contractor, Morrison Construction. Recently, a pupil from Paisley Grammar School has obtained work experience on site with a joinery sub-contractor, whilst Morrison have been working with Invest in Renfrewshire to offer further work opportunities for local people moving forward. 2. Park Mains High School Extension & Internal Interventions 2.1. A contractor is now in place and working in partnership with the Council and a wider design team to progress the detailed design of the extended Park Mains High School. 2.2. This design process will see the planning application submitted in the summer of 2025, with the full design scheduled to complete in early 2026, in preparation for construction, keeping the project on track for a summer 2027 completion. 3. New Primary School in Dargavel 3.1. Civil engineering work has been ongoing on site for a number of weeks, which has begun the process of preparing the site for the structural load of the school to be built. This work will continue over the summer, whilst the final detailed design process is complete. 3.2. A recent community update was circulated which noted the progress of this project and wider projects in the community. The project to deliver the new primary school in Dargavel remains on track for a summer 2027 completion.