ILE Revenue and Capital Budget Monitoring Report P10
Renfrewshire Council · 18 March 2026
Back to Infrastructure, Land and Environment Policy Board — 18 March 2026 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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PUBLIC ___________________________________________________________________ To: Infrastructure Land & Environment Policy Board On: 18 March 2026 ___________________________________________________________________ Report by: Director of Finance and Resources Director of Environment, Housing & Infrastructure ___________________________________________________________________ Heading: Revenue and Capital Budget Monitoring 2025/26 at 9 January 2026 ___________________________________________________________________ 1. Summary 1.1 At the close of reporting Period 10 on 9 January 2026, the projected revenue outturn at 31 March 2026 for those services reporting to the Infrastructure, Land and Environment Policy Board is an overspend position of £0.197m (0.5%) against the revised budget for the year. 1.2 The projected capital outturn at 31 March 2026 for projects reporting to the Infrastructure, Land and Environment Policy Board is a break-even position. 1.3 This is summarised over the relevant services in the table below and further analysis is provided in the report and appendices. Revised Annual Budget £000 Projected Outturn £000 Budget Variance (Adv)/Fav £000 Budget Variance % Revenue Environment & Infrastructure 39,847 40,044 (197) (0.5%) Total 39,847 40,044 (197) (0.5%) Capital Environment & Infrastructure 18,428 18,428 0 0.0%
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PUBLIC 2. Recommendations It is recommended that the Infrastructure, Land and Environment Policy Board: 2.1 Notes the projected Revenue outturn overspend position of £0.197m (0.5%), which is an improvement on the Period 8 reported position of £0.380m (1.0%). 2.2 Notes the projected Capital outturn break-even position. 2.3 Notes the budget adjustments in appendix 1 and 2. 3. Revenue Budget Projection – overspend of £0.197m by 31 March 2026 3.1 The tables in Appendix 1 and 2 present the projected year-end position for all services reporting to this board, by both objective analysis (which division is spending the budget – appendix 1) and subjective analysis (what the budget is spent on – appendix 2). Material variances affecting the projected position are analysed further below. 3.2 It should be noted that the projected outturn position reported here is based on the latest information available, and that budget holders are obliged to seek mitigating action to minimise significant budget variances. The final outturn position will be reported to Council in June. 3.3 The level of DEFRA funding referenced in the previous report to Board was previously confirmed at £2.646m for 2025/26. Following the successful navigation of PACK UK’s complaints procedure by the Council , this has been revised to £4.290m and should be received in full by the end of the financial year. 3.4 In 2025/26, the Council has committed some of this funding to assist in the collection, handling and disposal of packaging materials. The remaining balance will be earmarked in reserves at 31 March 2026 to fund further such commitments in line with the prescriptive grant conditions. 4. Objective Analysis – Significant Variances Environment, Housing, and Infrastructure – (£0.197m) overspend
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PUBLIC 4.1 Waste Services – (£0.210m) overspend by 31 March 2026 4.1.1 This reflects the financial position for Refuse Collection, Refuse Disposal and Household Waste Recycling Centres. 4.1.2 The overspend for Refuse Collection (£125k) is primarily driven by increased staff costs resulting from higher levels of workforce absence, which create significant operational challenges. These additional costs have been partially offset by an over recovery of income. 4.1.3 The service continues to closely monitor the potential impact of inflationary pressures and contractual uplifts on the projected outturn. 4.2 Social Transport – (£0.189m) overspend by 31 March 2026 4.2.1 The projected overspend has increased by £31k since the previous board report. The overspend sits within employee costs due to the need to hire agency staff with the appropriate driving license categorisation to cover sickness absence. 4.2.2 The service is adhering to the Council’s policies and procedures regarding absence management and is actively working with HR to effectively manage the current sickness within the team. However, this situation is impacting the financial position of the service, as there is an ongoing need to utilise agency staff to maintain service levels. 4.2.3 Finance, as part of the annual budget process are currently reviewing the cost to operate the service against available budget provided by Education and HSCP to ensure that they accurately reflect the services required by Education and HSCP (from 2026/27 onwards). 4.3 Roads Operations – £0.222m underspend by 31 March 2026 The reported underspend is primarily due to the projected spend relating to work by contractors being lower than anticipated. Given the reactive nature of the service and the potential impact of any inflationary changes, this will continue to be closely monitored throughout the financial year. It should also be noted that the service has generated additional income by delivering capital-related functions internally. As a result, a greater proportion of work has been recharged to the relevant capital programme, thereby reducing the requirement to engage with external contractors.
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PUBLIC 4.4 Infrastructure and Assets – £0.085m overspend by 31 March 2026 The projected overspend is in the main due to higher than expected work by contractor costs for work on the new Renfrew Bridge. As this is the bridge’s first full year in operation, running and maintenance costs have been greater than originally forecast. 5. Subjective Analysis – Significant Variances 5.1 Supplies and Services – (£0.823m) overspend by 31 March 2026 5.1.1 The movement from the previous report to this report is £0.066m. As noted in 4.4, this mostly relates to higher than expected work by contractor costs for work on the new Renfrew Bridge. 5.1.2 As per the previous report, the remaining balance of the overspend is primarily driven by inflation across four key service areas: Neighbourhood Services (£0.134m), Infrastructure and Assets (£0.169m), Fleet Services (£0.144m) and Refuse Disposal (£0.147m). The increased costs are largely due to rising prices for contractor services, materials, and related services. 5.3 Income – £0.534m over recovery by 31 March 2026 In line with Section 4.3, Roads Operations, Infrastructure and Assets, and Transport and Development have generated additional income by delivering capital-related dayworks internally in addition to recharging salary related costs to the appropriate capital projects. Neighbourhood Services also received income for ad-hoc service requests, generating an additional £82k over budget. In addition, Refuse Disposal is projecting increased income from special uplifts, amounting to £61k. 6. Capital Budget Projection – break-even position by 31 March 2026 6.1 The Capital Investment Programme 2025/26 to 2029/30 was approved by the Council on 27 February 2025. For Infrastructure Land & Environment the revised capital spend for 2025/26 is £18.428m. 6.2 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. 6.3 A number of budget adjustments between years have taken place, to reflect revised programming of some capital projects. Details of these adjustments, which amount to £1.800m, are as follows:
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PUBLIC Project Amount (£m) Budget increase to reflect grant award Red Smiddy Roundabout to Erskin ATT2 – Transport Scotland 1.600 Budget carried forward into 2026/27 to reflect programming Roads/Footways Upgrade Programme (0.459) Improvements to Outdoor Access and Play Area Programme (0.014) Multi-Purpose Bins (0.056) Renewal of Play Parks (0.631) Nature Restoration Fund (Biodiversity) (0.010) Budget accelerated into 2025/26 Vehicle Replacement Programme 1.320 Vehicles for Environmental Taskforce 0.050 Total (1.800)
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PUBLIC Implications of the Report 1. Financial The projected budget outturn position for the Infrastructure, Land and Environment Revenue budget is an overspend of £0.197m. Income and expenditure will continue to be monitored closely for the rest of the financial year and as far as possible, steps will be taken to mitigate any overspend. The projected outturn position for the Infrastructure, Land and Environment Capital budget is a break-even position. 2. HR & 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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PUBLIC 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 There are no direct implications arising from the recommendations in this report. 7. Equality & Human Rights There are no direct implications arising from the recommendations in this report. 8. Health & Safety There are no direct implications arising from the recommendations in this report. 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 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. Climate Change 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. 13. Children’s Rights There are no direct implications arising from the recommendations in this report.
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PUBLIC 14. Cosla Policy Position N/A List of Background Papers • The Capital Investment Programme 2025/26 to 2029/30, Council 27 February 2025 Author: Lisa Dickie, Finance Business Partner, Gordon McNeil, Director of Environment, Housing & Infrastructure and Linsey Mcgregor, Senior Accountant (Capital)
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PUBLIC Appendix 1 Objective Summary Annual Budget at Period 8 Budget Adjustments Revised Annual Budget at Period 10 Projected Outturn Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 Directorate and Service Co-ordination 1,489 6 1,495 1,480 15 1.0% 19 (4) Refuse Collection 6,132 (5) 6,127 6,252 (125) (2.0%) (276) 151 Household Waste Recycling Centres 1,429 0 1,429 1,475 (46) (3.2%) (31) (15) Refuse Disposal 7,572 15 7,587 7,626 (39) (0.5%) (35) (4) Neighbourhood Services 7,610 70 7,680 7,607 73 1.0% (15) 88 Fleet Services 361 (4) 357 395 (38) (10.6%) 12 (50) Social Transport 1,255 0 1,255 1,444 (189) (15.1%) (158) (31) Roads Operations 5,832 0 5,832 5,610 222 3.8% 111 111 Infrastructure and Assets 2,976 0 2,976 3,061 (85) (2.9%) (43) (42) Transportation & Development 791 0 791 766 25 3.2% (7) 32 Parking of Vehicles (34) 0 (34) (19) (15) (44.1%) 0 (15) Street Lighting Maintenance Work 554 0 554 525 29 5.2% 67 (38) Energy Management Unit 419 0 419 419 0 0.0% 0 0 Strathclyde Partnership for Transport Requisition 3,379 0 3,379 3,403 (24) (0.7%) (24) 0 NET EXPENDITURE 39,765 82 39,847 40,044 (197) (0.5%) (380) 183 RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2025/26 1 April 2025 to 9 January 2026 Budget Variance (Adverse) or Favourable POLICY BOARD : INFRASTRUCTURE, LAND AND ENVIRONMENT
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PUBLIC Appendix 2 Subjective Summary Annual Budget at Period 8 Budget Adjustments Revised Annual Budget at Period 10 Projected Outturn Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 £000 Employees 27,194 117 27,311 27,198 113 0.4% (94) 207 Premises Related 1,434 1 1,435 1,534 (99) (6.9%) (103) 4 Transport Related 8,604 63 8,667 8,493 174 2.0% 86 88 Supplies and Services 15,713 805 16,518 17,341 (823) (5.0%) (757) (66) Third Party Payments 3,644 0 3,644 3,667 (23) (0.6%) (23) 0 Transfer Payments 169 0 169 224 (55) (32.5%) 4 (59) Support Services 661 0 661 679 (18) (2.7%) (16) (2) Depreciation and Impairment Losses 2,180 0 2,180 2,180 0 0.0% 0 0 GROSS EXPENDITURE 59,599 986 60,585 61,316 (731) (1.2%) (903) 172 Income (19,834) (904) (20,738) (21,272) 534 2.6% 523 11 NET EXPENDITURE 39,765 82 39,847 40,044 (197) (0.5%) (380) 183 Budget Variance (Adverse) or Favourable RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2025/26 1 April 2025 to 9 January 2026 POLICY BOARD : INFRASTRUCTURE, LAND AND ENVIRONMENT
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PUBLIC Appendix 3 Prior Years Approved Budget Revised Projected Expenditure Budget Adjustments Budget Outturn Total Approved Projected Project Title to 31/03/2025 2025-26 since previous 2025-26 2025-26 Budget Outurn Board report to 31-Mar-30 to 31-Mar-30 £000 £000 £000 £000 £000 £000 £000 ENVIRONMENT & INFRASTRUCTURE Active Travel Funding Tier 1 6,873 1,411 0 1,411 1,411 0 0% 11,484 11,484 0 0% LADA 49 49 0 49 49 0 0% 98 98 0 0% Bus Infrastructure Fund 0 105 0 105 105 0 0% 105 105 0 0% Red Smiddy Roundabout to Erskine Active Travel Tier 2 0 0 1,600 1,600 1,600 0 0% 1,600 1,600 0 0% Vehicle Replacement Programme 35,804 2,382 1,320 3,702 3,702 0 0% 47,907 47,907 0 0% Bridge Assessment/Strengthening - 6XN004 8,147 347 0 347 347 0 0% 9,694 9,694 0 0% Roads/Footways Upgrade Programme -6XN004 84,849 8,012 (459) 7,553 7,553 0 0% 144,286 144,286 0 0% Lighting Columns Replacement - 6XN004 3,172 840 0 840 840 0 0% 6,412 6,412 0 0% Traffic Management 529 10 0 10 10 0 0% 765 765 0 0% Improvements to Outdoor Access and Play Area Programm 393 49 (14) 35 35 0 0% 452 452 0 0% SPT- People in Place Fund 0 110 0 110 110 0 0% 110 110 0 0% Flooding - 6XN004 0 0 0 0 0 0 0% 0 0 0 0% Multi Pupose Bins 0 56 (56) 0 0 0 0% 56 56 0 0% Renewal of Play Parks 961 1,186 (631) 555 555 0 0% 2,946 2,946 0 0% Grant for Implementation for 20mph speed limit 35 259 0 259 259 0 0% 294 294 0 0% Nature Restoration Fund (Biodiversity) 483 216 (10) 206 206 0 0% 548 548 0 0% Nature Restoration Fund (Rivers) 95 114 0 114 114 0 0% 350 350 0 0% Underwood Depot Improvement 12 388 0 388 388 0 0% 400 400 0 0% Public Realm - Abbey 0 5 0 5 5 0 0% 300 300 0 0% Recycling Improvement Fund 486 0 0 0 0 0 0% 486 486 0 0% Road Safety 0 396 0 396 396 0 0% 396 396 0 0% Vehicles for Environmental Taskforce 0 0 50 50 50 0 0% 50 50 0 0% Open Spaces Infrastructure 0 200 0 200 200 0 0% 200 200 0 0% Strathclyde Partnership Transport 0 400 0 400 400 0 0% 400 400 0 0% TOTAL INFRASTRUCTURE, LAND & ENVIRONMENT BOARD 142,219 16,625 1,800 18,428 18,428 0 0% 229,760 229,760 0 0% RENFREWSHIRE COUNCIL CAPITAL INVESTMENT STRATEGY - NON-HOUSING SERVICES 1st April to 9th January 2026 POLICY BOARD: INFRASTRUCURE, LAND & ENVIRONMENT Current Year 2025-26 Full Programme - All years Budget Variance (Adverse) or Favourable Budget Variance (Adverse) or