Report - Revenue and Capital Budget Monitoring as at 14 November 2025
Renfrewshire Council · 18 February 2026
Back to Leadership Board — 18 February 2026 and its agenda
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PUBLIC ___________________________________________________________________ To: Leadership Board On: 18 February 2026 ___________________________________________________________________ Report by: Chief Executive, Director of Finance and Resources, and Chief Finance Officer Renfrewshire HSCP ___________________________________________________________________ Heading: Revenue and Capital Budget Monitoring as at 14 November 2025 ___________________________________________________________________ 1. Summary 1.1 At the close of reporting Period 8 on 14 November 2025, the projected revenue outturn at 31 March 2026 for those services reporting to the Leadership Board is a deficit position of £5.375m. This is mainly due to Adult Services (HSCP) projecting a deficit of £5.393m against a planned deficit position £5.969m. 1.2 At 14 November 2025, the projected capital outturn for projects reporting to the Leadership Board is a break-even position against the revised budget for the year. 1.3 This is summarised in the tables below and further analysis is provided in the Appendices. Revised Annual Budget £000 Projected Outturn £000 Budget Variance (Adv)/Fav £000 Planned Use of Reserves £000 Revenue Adult Services 111.791 117.184 (5.393) (5.969) Chief Executive’s Service 22.134 22.116 0.018 0 Total 133.925 139.300 (5.375) (5.969) Capital Variance % Total 18.345 18.345 0 0%
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PUBLIC 2. Recommendations 2.1 Members are requested to: a) Note the projected Revenue outturn deficit position of £5.375m; and b) Note the projected Capital outturn break-even position; and c) Note the budget adjustment detailed at section 6.3. _________________________________________________________ 3. Revenue Budget Projection – deficit of £5.375m by 31 March 2026 3.1 The tables in Appendix 1 present the projected year-end position for all services reporting to this Board, by both subjective analysis (what the budget is spent on) and objective analysis (which division is spending the budget). Significant 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, which is subject to change during the financial year. __________________________________________________________________ 4. Objective Analysis – Significant Variances 4.1 Adult Services - £5.393m deficit The approved Adult Services revenue budget for 2025/26 included a deficit position of £5.969m (central scenario), which would be funded from reserves. The £5.393m projected deficit is £0.576m lower than the planned draw on reserves mainly due to underspends in employee costs due to vacancies and ongoing challenges in terms of recruitment and retention. These underspends are offset by higher than expected spend on external care at home packages for both Older People and those with Physical or Sensory Disabilities. This results from increased acuity of patients with more complex needs discharged from hospital, meaning more intensive Care at Home packages are required to support people to remain in their own homes. There was also an overspend within the Learning Disabilities service in relation to Adult Care Placements due to the increase in clients’ needs and demand for these services. Ongoing action is being taken by HSCP management to try and mitigate these cost drivers where possible and any revisions to this position will be updated in future board reports. _________________________________________________________
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PUBLIC 5. Subjective Analysis – Significant Variances 5.1 Employee Costs - £1.316m underspend This forecast underspend predominantly arises within Adult Services (£1.302m) from ongoing recruitment challenges and retention issues across all service areas due to the limited availability of the required skills mix. 5.2 Premises Related - £0.046m pressure This forecast deficit relates fully to Adult Services and reflects increased cleaning and repairs costs, as well as the cost of specialist adaptation equipment, such as track hoists. 5.3 Third Party Payments - £6.292m pressure This forecast deficit relates fully to Adult Services and is mainly due to external care at home packages. This results from increased acuity of patients discharged from hospital, with more complex needs, meaning more intensive Care at Home packages are required to support people to remain in their own homes. Further overspends are forecast within adult supported living packages and carer's respite, reflective of client needs and demand for these services. 5.4 Transfer Payments - £0.319m pressure This forecast deficit predominantly arises within Adult Services (£0.312m) due to the projected bad debt provision; this is based on the current debt position. _________________________________________________________ 6. Revenue Budget Virements 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 Budget adjustments processed since the previous report to Board amount to £0.377m and reflect the allocation of centrally held budgets already approved or within delegation and new funding, so reported here for information only.
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PUBLIC The majority relates to funding drawn down from ringfenced reserves to support the delivery of Council strategic programmes: £0.293m for the cultural programme and £0.014m for the Fairer Renfrewshire programme. New funding of £0.070m represents the Council’s share of a Scottish Government allocation of Adopt and Adapt Funding under the Fairer Futures Partnership (FFP) to support Councils’ efforts to access and engage with the FFP learning programme and embed relevant learning in their local work on child poverty. ___________________________________________________________________ 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. The Leadership Board approved capital budget for 2025/26 is £19.135m. 7.2 The in-year Capital budget is forecast to break even by 31 March 2026, and this will continue to be monitored as projects progress. Further details of the programme can be found in the Capital Monitoring report at Appendix 2. 7.3 There have been a number of budget adjustments to reflect revised programming for some capital projects. The revised capital spend for 2025/26 is £18.345m and details of these adjustments, which amount to (£0.790m) are as follows: Project Amount (£m) Budget carried forward into 2026/27 - to reflect updated cashflows Community Halls Refurbishment (0.290) Lagoon Internal Play centre (0.500) Total (0.790) Implications of the Report 1. Financial The projected budget outturn position for the Leadership Revenue budget is a deficit of £5.375m at 31 March 2026. 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 by services to mitigate any overspend. The projected outturn position for the Leadership Capital budget is break-even, after the adjustments outlined at section 7. 2. HR & Organisational Development None directly arising from this report.
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PUBLIC 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. 5. Property/Assets The capital expenditure noted in this report will result in new assets (City Deal), regeneration (AMIDS) and refurbishment and improvement of leisure and culture assets. 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 & Human Rights While certain 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 & 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 enhance health and safety measures.
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PUBLIC 9. Procurement While Procurement is a key 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 financial risk that the Council will overspend its approved revenue budgets for the year is 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. Cosla Policy Position 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. 14. 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. _________________________________________________________ List of Background Papers Revenue Budget and Council Tax 2025/26, Council, 27 February 2025. 2025/26 Delegated Health and Social Care Budget, Renfrewshire Integration Joint Board, 21 March 2025. Non-Housing Capital Investment Programme, Prudential Framework and Treasury Management Strategy, and Capital Strategy 2025/26 – 2029/30, Council, 27 February 2025. ___________________________________________________________________ Authors: Revenue - Valerie Howie, Finance Business Partner / Alison Burns, Corporate Finance Manager Capital – Linsey McGregor, Senior Accountant
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Appendix 1 PUBLIC RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2025/26 1 April 2025 to 14 November 2025 POLICY BOARD : LEADERSHIP BOARD Objective Summary Annual Budget at Period 6 Budget Adjustments Revised Annual Budget at Period 8 Projected Outturn Budget Variance (Adverse) or Favourable Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 £000 Adult Services 111,791 0 111,791 117,184 (5,393) (4.8%) (5,924) 531 Chief Executive's Service 21,757 377 22,134 22,116 18 0.1% 4 14 NET EXPENDITURE 133,548 377 133,925 139,300 (5,375) (4.0%) (5,920) 545 Subjective Summary Annual Budget at Period 6 Budget Adjustments Revised Annual Budget at Period 8 Projected Outturn Budget Variance (Adverse) or Favourable Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 £000 Employees 44,153 46 44,199 42,883 1,316 3.0% 478 838 Premises Related 774 0 774 820 (46) (5.9%) (43) (3) Transport Related 596 0 596 596 0 0.0% 1 (1) Supplies and Services 19,550 32 19,582 19,622 (40) (0.2%) (35) (5) Third Party Payments 74,057 0 74,057 80,349 (6,292) (8.5%) (5,996) (296) Transfer Payments 25,598 551 26,149 26,468 (319) (1.2%) (94) (225) Support Services 152 (1) 151 153 (2) (1.3%) (11) 9 Depreciation and Impairment Losses 0 0 0 0 0 0.0% 0 0 GROSS EXPENDITURE 164,880 628 165,508 170,891 (5,383) (3.3%) (5,700) 317 Income (31,332) (251) (31,583) (31,591) 8 0.0% (220) 228 NET EXPENDITURE 133,548 377 133,925 139,300 (5,375) (4.0%) (5,920) 545
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Appendix 1 PUBLIC Objective Summary Annual Budget at Period 6 Budget Adjustments Revised Annual Budget at Period 8 Projected Outturn Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 £000 Older People 61,136 (2) 61,134 63,360 (2,226) (3.6%) (2,054) (172) Physical or Sensory Disabilities 15,472 1 15,473 16,863 (1,390) (9.0%) (1,567) 177 Learning Disabilities 28,261 1 28,262 29,610 (1,348) (4.8%) (1,473) 125 Mental Health Needs 6,156 0 6,156 6,554 (398) (6.5%) (358) (40) Addiction Services 766 0 766 797 (31) (4.0%) (30) (1) NET EXPENDITURE 111,791 0 111,791 117,184 (5,393) (4.8%) (5,482) 89 Subjective Summary Annual Budget at Period 6 Budget Adjustments Revised Annual Budget at Period 8 Projected Outturn Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 £000 Employees 38,679 0 38,679 37,377 1,302 3.4% 1,236 66 Premises Related 373 0 373 419 (46) (12.3%) (31) (15) Transport Related 595 0 595 595 0 0.0% (7) 7 Supplies and Services 3,876 0 3,876 3,919 (43) (1.1%) (18) (25) Third Party Payments 74,057 0 74,057 80,349 (6,292) (8.5%) (6,457) 165 Transfer Payments 24,304 237 24,541 24,853 (312) (1.3%) (221) (91) Support Services 61 0 61 63 (2) (3.3%) (7) 5 GROSS EXPENDITURE 141,945 237 142,182 147,575 (5,393) (3.8%) (5,505) 112 Income (30,154) (237) (30,391) (30,391) 0 0.0% 23 (23) NET EXPENDITURE 111,791 0 111,791 117,184 (5,393) (4.8%) (5,482) 89 RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2025/26 1 April 2025 to 14 November 2025 Budget Variance (Adverse) or Favourable Budget Variance (Adverse) or Favourable POLICY BOARD: LEADERSHIP BOARD - ADULT SERVICES
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Appendix 1 PUBLIC Objective Summary Annual Budget at Period 6 Budget Adjustments Revised Annual Budget at Period 8 Projected Outturn Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 £000 Chief Executive and Management 298 0 298 297 1 0.3% 1 0 Policy and Partnerships 4,208 84 4,292 4,288 4 0.1% 2 2 Marketing and Communications 3,021 293 3,314 3,301 13 0.4% 20 (7) City Deal & Infrastructure 86 0 86 86 0 0.0% 0 0 Leisure Services (incl Renfrewshire Leisure) 14,144 0 14,144 14,144 0 0.0% 0 0 NET EXPENDITURE 21,757 377 22,134 22,116 18 0.1% 23 (5) Subjective Summary Annual Budget at Period 6 Budget Adjustments Revised Annual Budget at Period 8 Projected Outturn Previous Projected Outturn Variance Movement £000 £000 £000 £000 £000 % £000 £000 Employees 5,474 46 5,520 5,506 14 0.3% 28 (14) Premises Related 401 0 401 401 0 0.0% 0 0 Transport Related 1 0 1 1 0 0.0% 0 0 Supplies and Services 15,674 32 15,706 15,703 3 0.0% 15 (12) Third Party Payments 0 0 0 0 0 0.0% 0 0 Transfer Payments 1,294 314 1,608 1,615 (7) (0.4%) (6) (1) Support Services 91 (1) 90 90 0 0.0% 0 0 GROSS EXPENDITURE 22,935 391 23,326 23,316 10 0.0% 37 (27) Income (1,178) (14) (1,192) (1,200) 8 0.7% (14) 22 NET EXPENDITURE 21,757 377 22,134 22,116 18 0.1% 23 (5) Budget Variance (Adverse) or Favourable Budget Variance (Adverse) or Favourable REVENUE BUDGET MONITORING STATEMENT 2025/26 RENFREWSHIRE COUNCIL 1 April 2025 to 14 November 2025 POLICY BOARD: LEADERSHIP BOARD - CHIEF EXECUTIVE'S SERVICE
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Appendix 2 PUBLIC Prior Years Approved Budget Revised Projected Total Approved Projected Expenditure Budget Adjustments Budget Outturn Budget Outurn Project Title to 31/03/2025 2025-26 since previous 2025-26 2025-26 to 31-Mar-30 to 31-Mar-30 Board report £000 £000 £000 £000 £000 £000 £000 LEISURE SERVICES Artificial Pitches Fund 19 781 0 781 781 0 0% 800 800 0 0% Community Halls Refurbishment 24,978 1,184 (290) 894 894 0 0% 26,551 26,551 0 0% Linwood Running Track at On-X 405 48 0 48 48 0 0% 454 454 0 0% Lagoon Internal Play Centre 0 1,000 (500) 500 500 0 0% 1,000 1,000 0 0% Total Leisure Services 25,402 3,013 (790) 2,223 2,223 0 0% 28,805 28,805 0 0% CHIEF EXECUTIVES City Deal Projects Glasgow Airport Investment Area 46,125 262 0 262 262 0 0% 48,387 48,387 0 0% Clyde Waterfront & Renfrew Riverside 112,931 4,752 0 4,752 4,752 0 0% 117,824 117,824 0 0% Economic Development AMIDS: Public Realm Phase 1 Netheron Square 3,817 78 0 78 78 0 0% 3,895 3,895 0 0% AMIDS: South 6,379 11,030 0 11,030 11,030 0 0% 59,092 59,092 0 0% Total Chief Executives 169,252 16,122 0 16,122 16,122 0 0% 229,198 229,198 0 0% TOTAL LEADERSHIP BOARD 194,654 19,135 (790) 18,345 18,345 0 0% 258,003 258,003 0 0% RENFREWSHIRE COUNCIL CAPITAL INVESTMENT STRATEGY - NON-HOUSING SERVICES 1st April to 14th November 2025 POLICY BOARD: LEADERSHIP Current Year 2025-26 Full Programme - All years Budget Variance (Adverse) or Favourable Budget Variance (Adverse) or Favourable