ECSPB 30.10.2025 - Revenue and Capital Budget Monitoring as at 19 September 2025
Renfrewshire Council · 30 October 2025
Back to Education and Children's Services Policy Board — 30 October 2025 and its agenda
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OFFICIAL To: Education and Children’s Services Policy Board On: 30 October 2025 Report by: Director of Finance and Resources and Director of Children’s Services Heading: Revenue and Capital Budget Monitoring as at 19 September 2025 1. Summary of Financial Position 1.1. The projected Revenue outturn at 31 March 2026 for Children’s Services is an overspend of £0.154m (0.1%) against the revised budget for the year. 1.2. The projected Capital outturn at 31 March 2026 for Children’s Services is a break-even position. 1.3. This is summarised in the table below and further analysis is provided in the Appendices. Table 1: Revenue Division Revised Annual Budget £m Projected Outturn £m Budget Variance £m Budget Variance % Children’s Services 278.190 278.343 (0.154) (0.1%) Table 2: Capital Division Revised Annual Budget £m Projected Outturn £m Budget Variance £m Budget Variance % Children’s Services 53.194 53.194 0 0% 2. Recommendations Members are requested to: 2.1. Note the projected Revenue outturn position for Children’s Services detailed in Table 1 above; 2.2. Note the projected Capital outturn position for Children’s Services detailed in Table 2 above; 2.3. Approve the Premises Related budget virements totalling £0.021m set out at section 6.3; and
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OFFICIAL 2.4. Note the budget adjustments detailed in sections 6 and 7. 3. Children’s Services Revenue Budget Projection - overspend of £0.154m by 31 March 2026 3.1. The Revenue Budget Monitoring report at Appendix 1 identifies a projected annual overspend of £0.154m (0.1% of total budget). 3.2. It should be noted that the projected outturn position reported here is based on the latest information available, which is subject to change during the financial year. The impact of any change on this projection will be updated at each board cycle. Budget holders are obliged to seek mitigating action to minimise significant budget variances. 4. Objective Analysis - Significant Variances 4.1. Early Learning & Childcare - £0.677m underspend Employee Costs are currently projected to underspend, mainly due to vacancies. This is partly offset by a projected overspend in Transfer Payments, due to projected payments to partner providers. These will continue to be reviewed throughout the year with management. An over- recovery of income is currently projected in relation to cross-boundary charges. 4.2. Primary Schools - £0.590m overspend Employee costs, Premises costs and Transport costs are currently projected to overspend. The Employee costs overspend relates to teaching staffing, the overspend in Premises costs is due to janitorial supplies being greater than budget and the Transport costs overspend is due to the SPT school transport contract being greater than available budget. 4.3. Secondary Schools - £0.097m overspend Transport costs are currently projected to overspend due to the SPT school transport contract being greater than available budget. 4.4. ASN Schools - £0.084m overspend Small overspends are currently projected in Employee costs, due to teaching staffing, and Premises costs, due to janitorial supplies being greater than available budget. 4.5. Additional Support for Learning - £0.441m overspend Employee costs are currently projected to overspend, mainly arising from an increase in demand for Additional Support Needs Assistants (ASNAs) within mainstream schools. Transport costs are currently projected to overspend, partly due to demand and partly due to increased cost of provision. 4.6. Children & Families - £0.340m underspend Third Party Payments are currently projected to underspend, and this is partly offset by projected overspends in Supplies and Services and Transfer
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OFFICIAL Payments. The underspend in Third Party Payments relates to Fostering & Adoption, where the number of fostering and kinship arrangements is less than previously predicted. The Supplies and Services projected overspend mainly relates to demand for both Care at Home for children with additional support needs, and payments to care leavers. The overspend in Transfer payments relates to Direct Payments and Section 22 payments across localities. 5. Subjective Analysis - Significant Variances 5.1. Employees - £0.233m underspend Underspends are currently projected in teaching staffing, related to Early Learning & Childcare and Additional Support for Learning. The cost impact of the Scottish Government’s commitment to reduce class contact time has still to be factored into the projections, and this will be kept under review as the year progresses and the actual impact on teacher numbers becomes clear. It should also be noted that the pay award for teachers has not yet been settled for the 2025/26 academic session; as this is budgeted at 3%, there is a risk of overspend in teaching staffing that is yet to be quantified. Projected overspends arise in non-teaching staffing in Additional Support for Learning due to the demand for Additional Support Needs Assistants (ASNAs) and are partly offset by projected underspends in Early Learning & Childcare and Children & Families, mainly due to vacancies and staffing turnover. 5.2. Premises Related - £0.355m overspend The overspend in Premises costs is mainly due to increased janitorial costs across the school estate. 5.3. Transport Related - £0.807m overspend The overspend in Transport costs is due to SPT contracts for both mainstream school transport and ASN transport being higher than available budget, predominantly caused by price inflation and, to a lesser extent, by an increasing number of children requiring transport. 5.4. Supplies and Services - £0.102m overspend The overspend in Supplies and Services relates mainly to payments to care leavers and increased demand for Care at Home services for children with additional support needs. 5.5. Third Party Payments - £1.522m underspend The projected underspend in Third Party Payments relates mainly to fostering, adoption and kinship, and will be kept under review throughout the year. 5.6. Transfer Payments - £1.243m overspend The projected overspend in Transfer payments relates to Early Learning & Childcare in relation to payments to partner providers, and to Children & Families in relation to Direct Payments and Section 22 payments, which are demand-driven. This will be kept under review throughout the year.
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OFFICIAL 5.7. Income - £0.647m over-recovery An over-recovery of income is currently projected for Early Learning & Childcare in relation to cross-boundary charges, and in Children & Families across a number of headings. 6. Revenue Budget Adjustments 6.1. Under the Council’s financial regulations, Directors and their nominated officers, in consultation with the Director of Finance and Resources, have certain delegated authority to transfer sums between subjective budget headings within a service division to enable budget management throughout the financial year. This is known as ‘budget virement’. 6.2. Transfers between divisions of the same service / department in excess of £100,000, and transfers between services / departments must be authorised by the respective service Director and the Director of Finance and Resources for submission to the relevant policy board for approval. 6.3. The Director now seeks approval from the Board for the following affected virements since the last report: Revenue Budget Adjustments Objective Heading Subjective Heading Amount (£m) Reason Children’s Services Premises Related (0.021) Corporate Landlord transfers to Environment, Housing and Infrastructure relating to small repair projects 6.4. The remaining budget adjustments are either within delegation, or in line with the earmarking of funds set aside in the 2025/26 budget motion and the allocation of centrally held budgets already approved. 7. Capital Budget Projection - break-even position by 31 March 2026 7.1. The Capital Investment Programme 2025/26 to 2029/30 was approved by the Council on 27 February 2025. Education and Children’s Services’ revised Capital spend for 2024/25 is £53.194m. 7.2. The in-year Capital budget is forecast to break even by 31 March 2026. However, this will be monitored as the projects progress. Further details of the programme can be found in the Capital Monitoring report at Appendix 3. 7.3. A budget adjustment of £4.0m between years has taken place to reflect revised programming of the Thorn PS New Build project.
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OFFICIAL ___________________________________________________________________ Implications of this report 1. Financial The projected budget outturn position for Children’s Services’ Revenue budget is an overspend of £0.154m. Income and expenditure will continue to be monitored closely for the rest of the financial year and steps will be taken to mitigate any overspend, including virement, applying flexibility within specific grant funding as permitted by the Scottish Government, and potential use of earmarked reserves. The projected outturn position for Children’s Services’ Capital budget is a break-even position. The Capital programme will continue to be monitored closely for the rest of the financial year. 2. HR and Organisational Development While staffing budgets form a significant proportion of the Council’s revenue budgets, there are no direct implications arising from the recommendations in this report. 3. Community/Council Planning Community Plan Our Renfrewshire is thriving The Council’s revenue and capital spend ensures that its facilities are fit for purpose and safe for the community, to maximise accessibility. Our Renfrewshire is well Our Renfrewshire is fair Our Renfrewshire is safe Council Plan Reshaping our place, our economy, and our future The Council’s revenue and capital spend ensures that its facilities are fit for purpose and safe for the community, to maximise accessibility. Building strong, safe, and resilient communities Tackling inequality, ensuring opportunities for all Creating a sustainable Renfrewshire for all to enjoy Ongoing revenue and capital budget monitoring is a tool to enable good financial management so that the Council has resources now and in the future for continued service delivery. Working together to improve outcomes 4. Legal There are no direct implications arising from the recommendations in this report.
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OFFICIAL 5. Property/Assets The capital expenditure noted in this report will result in lifecycle maintenance improvements to existing properties and replacement of ICT assets and infrastructure. 6. Information Technology While ICT assets and revenue costs are included within these reported budgets, there are no direct implications arising from the recommendations in this report. 7. Equality and Human Rights While new areas of spend may impact on particular groups, any such impact would be assessed prior to the spend being incurred, therefore there are no direct implications arising from the recommendations in this report. 8. Health and Safety The capital expenditure noted in this report will result in lifecycle maintenance improvements to existing properties and replacement of ICT assets, which may in some cases improve health and safety arrangements. 9. Procurement While Procurement is an important consideration prior to the Council incurring any revenue or capital spend, there are no direct implications arising from the recommendations in this report. 10. Risk The potential risk that the Council will overspend its approved budgets for the year will be managed at a Council-wide level by the Chief Executive and Directors. 11. Privacy Impact There are no direct implications arising from the recommendations in this report. 12. Children’s Rights There are no direct implications arising from the recommendations in this report. 13. Climate Risk The Council aims to reduce its carbon and other emissions to net zero by 2030, however there are no direct implications arising from the recommendations in this report. 14. CoSLA Policy Position n/a
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OFFICIAL ___________________________________________________________ List of Background Papers: • Revenue Budget and Council Tax 2025/26, Council 27 February 2025 • Capital Investment Programme 2025/26 to 2029/30, Council 27 February 2025 Authors: Richard Conway, Finance Business Partner Geoff Borland, Finance Manager
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Appendix 1 OFFICIAL RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2025/26 1 April 2025 to 19 September 2025 POLICY BOARD : EDUCATION & CHILDREN'S SERVICES Objective Summary Annual Budget at Period 3 Budget Adjustments Revised Annual Budget at Period 6 Projected Outturn Budget Variance (Adverse) or Favourable Previous Projected Outturn Variance Movement (Adverse) / Favourable £000 £000 £000 £000 £000 % £000 £000 Directorate 1,290 163 1,453 1,455 (2) (0.1%) 0 (2) Early learning and childcare 35,746 806 36,552 35,875 677 1.9% 133 544 Primary 71,085 755 71,840 72,430 (590) (0.8%) (409) (181) Secondary 96,675 694 97,369 97,466 (97) (0.1%) (454) 357 ASN Schools 8,471 81 8,552 8,636 (84) (1.0%) (33) (51) Additional support for learning (ASL) 20,385 319 20,704 21,145 (441) (2.1%) (224) (217) Psychological services 1,423 0 1,423 1,423 0 0.0% 0 0 Education development 2,194 1 2,195 2,195 0 0.0% 0 0 Attainment Challenge (145) (557) (702) (702) 0 0.0% 0 0 Facilities management 525 7 532 489 43 8.1% 17 26 Children & Families 37,587 684 38,271 37,931 340 0.9% 0 340 NET EXPENDITURE 275,236 2,953 278,189 278,343 (154) (0.1%) (970) 816
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Appendix 2 OFFICIAL RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2025/26 1 April 2025 to 19 September 2025 POLICY BOARD : EDUCATION & CHILDREN'S SERVICES Subjective Summary Annual Budget at Period 3 Budget Adjustments Revised Annual Budget at Period 6 Projected Outturn Budget Variance (Adverse) or Favourable Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 £000 Employees 189,035 8,819 197,854 197,621 233 0.1% 558 (325) Premises Related 11,894 612 12,506 12,861 (355) (2.8%) (388) 33 Transport Related 7,283 2 7,285 8,092 (807) (11.1%) (792) (15) Supplies and Services 34,856 (3,863) 30,993 31,095 (102) (0.3%) (124) 22 Third Party Payments 17,818 0 17,818 16,296 1,522 8.5% 233 1,289 Transfer Payments 16,812 188 17,000 18,243 (1,243) (7.3%) (949) (294) Support Services 940 163 1,103 1,152 (49) (4.4%) (1) (48) GROSS EXPENDITURE 278,638 5,921 284,559 285,360 (801) (0.3%) (1,462) 661 Income (3,402) (2,968) (6,370) (7,017) 647 10.2% 492 155 NET EXPENDITURE 275,236 2,953 278,189 278,343 (154) (0.1%) (970) 816
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Appendix 3 OFFICIAL Prior Years Approved Budget Revised Projected Total Approved Projected Expenditure Budget Adjustments Budget Outturn Budget Outurn to 31/03/2025 2025-26 2025-26 2025-26 to 31-Mar-30 to 31-Mar-30 Project Title £000 £000 £000 £000 £000 £000 £000 EDUCATION & CHILDREN SERVICES Primary Schools Estate Programme(SEMP) 10,544 80 0 80 80 0 0% 10,623 10,623 0 0% Paisley Grammar New Campus 34,582 42,000 0 42,000 42,000 0 0% 85,600 85,600 0 0% Thorn PS New Build 309 4,273 (4,000) 273 273 0 0% 14,000 14,000 0 0% Dargavel Extension (Modular Units) 2,237 12 0 12 12 0 0% 2,250 2,250 0 0% Thistle Primary School 1,116 7,634 0 7,634 7,634 0 0% 45,000 45,000 0 0% Other Schools Investment Programmes 0 95 0 95 95 0 0% 95 95 0 0% Total Schools Estate(inc Early Years) Programme 1,553 270 0 270 270 0 0% 1,823 1,823 0 0% PMHS Extension 672 1,750 0 1,750 1,750 0 0% 36,894 36,894 0 0% ELCC Improvements 6 82 0 82 82 0 0% 88 88 0 0% Technology Replacement Strategy ICT 0 998 0 998 998 0 0% 4,998 4,998 0 0% TOTAL EDUCATION & CHILDREN'S SERVICES BOARD 51,019 57,194 (4,000) 53,194 53,194 0 0% 201,371 201,371 0 0% RENFREWSHIRE COUNCIL 1st April to 19th September 2025 POLICY BOARD: EDUCATION & CHILDEN'S SERVICES Budget Variance (Adverse) or Favourable CAPITAL INVESTMENT STRATEGY - NON-HOUSING SERVICES Current Year 2025-26 Full Programme - All years Budget Variance (Adverse) or Favourable