2026-27 Revenue Budget Monitoring Report Leadership Board
Renfrewshire Council · 16 September 2026
Back to Leadership Board — 16 September 2026 and its agenda
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PUBLIC ___________________________________________________________________ To: Leadership Board On: 16 September 2026 ___________________________________________________________________ Report by: Chief Executive, Director of Finance and Resources, and Chief Finance Officer Renfrewshire HSCP ___________________________________________________________________ Heading: Revenue and Capital Budget Monitoring as at 19 June 2026 ___________________________________________________________________ 1. Summary 1.1. At the close of reporting Period 3 on 19 June 2026, the projected revenue outturn at 31 March 2026 for those services reporting to the Leadership Board was a deficit position of £5.076m. This is mainly due to Adult Services (HSCP) projecting a year-end deficit of £5.081m against a planned deficit position of £7.849m. 1.2. The projected capital outturn at 19 June 2026 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 Budget Variance % Revenue Adult Services 118,809 123,890 (5,081) (4.3%) Chief Executive’s Service 25,527 25,522 5 0.0% Total 144,336 149,412 (5,076) (3.5%) Capital 32,418 32,418 0 0%
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PUBLIC 2. Recommendations 2.1. Members are requested to: a) Note the projected Revenue outturn deficit position of £5.076m; b) Note the projected Capital outturn break-even position; c) Note the budget adjustments detailed at section 6.3. _________________________________________________________ 3. Revenue Budget Projection – deficit of £5.076m by 31 March 2027 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 - £5.081m deficit The approved Adult Services revenue budget for 2026/27 estimated a deficit position of £7.849m, meaning that there was an expectation that services would overspend to this level during the year, and that this would be funded from reserves. The movement in the forecast deficit position (£2.768m) is mainly due to a reduction in employee costs through vacancy management and ongoing recruitment and retention challenges. The main budget pressure and driver of the deficit position remains increased costs within external Care at Home (CAH) packages for Older People and those with Physical or Sensory Disabilities. Higher patient acuity on discharge from hospital combined with more complex care needs has resulted in a requirement for more intensive CAH support to enable people to remain in their own homes. This together with further overspends within Adult Care Placements for those with Learning Disabilities reflecting increased demand levels alongside greater complexity and acuity of service user needs. 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 - £2.506m underspend This forecast underspend predominantly arises within Adult Services (£2.500m) from ongoing recruitment and retention challenges across several service areas, as well as the impact of recent savings proposals approved by the Integration Joint Board. 5.2. Third Party Payments - £7.410m overspend This forecast pressure relates fully to Adult Services as outlined in the Objective Analysis. 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, for noting only, processed since the approval of the Revenue Estimates amount to £1.409m. Of this, £0.491m relates to Adult Services and £0.918m relates to the Chief Executive’s Service. 6.4. Adult Services - £0.491m relates mainly to the Council’s share of an additional Scottish Government allocation for the Real Living Wage uplift for workers providing direct adult social care £0.507m. Revenue Budget Adjustments Objective Heading Subjective Heading Amount (£m) Reason Adult Services Transfer Payments 0.507 Proportionate share of the Scottish Government additional allocation for the Real Living Wage in Adult Social Care 6.5. Chief Executive’s Service - £0.918m comprises £0.070m being the Council’s share of the Scottish Government funding allocation for Adopt and Adapt under the Fairer Futures programme, together with a net drawdown of
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PUBLIC £0.848m from ringfenced reserves to support the delivery of Council strategic programmes. Revenue Budget Adjustments Objective Heading Subjective Heading Amount (£m) Reason Chief Executive’s Service Transfer Payments 0.070 Renfrewshire Council’s share of the Scottish Government allocation for Adopt and Adapt Revenue Budget Adjustments Chief Executive’s Service – Drawdown / (Contribution to) Reserves Programme Amount (£m) Drawdown from reserves to fund the delivery of the Fairer Renfrewshire Programme 0.685 Return to reserves of multi-year funding approved in the Council Motion in February 2026 to deliver year 2 of the Visitor Destination programme (0.173) Return to reserves of multi-year funding approved in the Council Motion in February 2026 to deliver future years of the Events programme (0.225) Drawdown of funding for final payment of the Concessionary Swim Programme delivered by OneRen 0.008 Drawdown from the Council’s Service Modernisation and Reform reserve to deliver an improved digital experience for citizens and local communities 0.553 7. Capital Budget Projection - break even position by 31 March 2027 7.1. The Capital Investment Programme 2026/27 to 2030/31 was approved by the Council on 14 May 2026. The approved capital budget for 2026/27 was £27.900m. 7.2. The in-year Capital budget is forecast to break even by 31 March 2027; however, this will be monitored as the projects progress. Further details of the programme can be found in the Capital Monitoring report at Appendix 2. 7.3. Budget adjustments totalling £4.518m have taken place between years to reflect revised programming of capital projects since the budget approval. The revised capital spend for 2026/27 is £32.418m, and details of these adjustments are as follows:
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PUBLIC Capital Budget Adjustments Budget carried forward into 2026/27 to reflect cashflow update Project Amount (£m) Community Halls (Council Motion) 0.479 Steeple Hall Kilbarchan Refurbishment 0.440 Lagoon Internal Play Centre 0.496 Linwood Running Track 0.046 Artificial Pitches Fund 0.781 Glasgow Airport Investment Area 0.146 Clyde Waterfront & Renfrew Riverside 0.693 AMIDS: Public Realm Phase 1 Netherton Square 0.078 AMIDS: South 0.884 Budget decelerated in 2026/27 AMIDS: Public Realm Phase 1 Netherton Square (0.116) AMIDS: South (0.400) Budget reallocated between programmes 2026/27 Glasgow Airport Investment Area 0.020 AMIDS: Public Realm Phase 1 Netherton Square 0.038 AMIDS: South (0.057) Budget Increase 2026/27 Council Motion - Leisure Facilities Upgrade 2.000 Budget Decrease 2026/27 to reflect updated programming AMIDS: South (1.010) Total 4.518 Implications of the Report 1. Financial The projected budget outturn position for the Leadership Revenue budget is a deficit of £5.076m (3.5%) at 31 March 2027. 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 rectify health and safety issues.
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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 2026/27, Council 26 February 2026 2026/27 Delegated Health and Social Care Budget, Renfrewshire Integration Joint Board, 27 March 2026 Non-Housing Capital Investment Programme, Prudential Framework and Treasury Management Strategy, and Capital Strategy 2026/27 – 2035/36, Council 26 February 2026 ___________________________________________________________________ Authors: Revenue - Valerie Howie, Finance Business Partner and Alison Burns, Corporate Finance Manager Capital – Linsey McGregor, Senior Accountant
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Appendix 1 PUBLIC RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2026/27 1 April 2026 to 19 June 2026 POLICY BOARD: LEADERSHIP BOARD Objective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn Budget Variance (Adverse) or Favourable £000 £000 £000 £000 £000 % Adult Services 118,318 491 118,809 123,890 (5,081) (4.3%) Chief Executive's Service 24,609 918 25,527 25,522 5 0.0% NET EXPENDITURE 142,927 1,409 144,336 149,412 (5,076) (3.5%) Subjective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn Budget Variance (Adverse) or Favourable £000 £000 £000 £000 £000 % Employees 48,460 2,277 50,737 48,231 2,506 4.9% Premises Related 774 10 784 784 (0) (0.1%) Transport Related 596 1 597 598 (1) (0.2%) Supplies and Services 20,436 (101) 20,335 20,450 (115) (0.6%) Third Party Payments 74,061 20,728 94,789 102,199 (7,410) (7.8%) Transfer Payments 28,941 (18,750) 10,191 10,192 (1) 0.0% Support Services 151 3 154 155 (1) (0.9%) Depreciation and Impairment Losses 0 0 0 0 0 0.0% GROSS EXPENDITURE 173,419 4,168 177,587 182,610 (5,023) (2.8%) Income (30,492) (2,759) (33,251) (33,197) (54) (0.2%) NET EXPENDITURE 142,927 1,409 144,336 149,412 (5,076) (3.5%)
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Appendix 1 PUBLIC Objective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn £000 £000 £000 £000 £000 % Older People 66,959 (2,601) 64,358 64,760 (402) (0.6%) Physical or Sensory Disabilities 15,486 511 15,997 17,621 (1,624) (10.2%) Learning Disabilities 28,749 2,349 31,098 33,925 (2,827) (9.1%) Mental Health Needs 6,297 202 6,499 6,697 (198) (3.0%) Addiction Services 827 30 857 887 (30) (3.5%) NET EXPENDITURE 118,318 491 118,809 123,890 (5,081) (4.3%) Subjective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn £000 £000 £000 £000 £000 % Employees 42,378 1,766 44,144 41,644 2,500 5.7% Premises Related 373 10 383 383 (0) (0.1%) Transport Related 595 1 596 597 (1) (0.2%) Supplies and Services 3,823 (215) 3,608 3,723 (115) (3.2%) Third Party Payments 74,061 20,728 94,789 102,199 (7,410) (7.8%) Transfer Payments 27,033 (19,398) 7,635 7,636 (1) 0.0% Support Services 61 3 64 64 (0) (0.6%) GROSS EXPENDITURE 148,324 2,895 151,219 156,247 (5,028) (3.3%) Income (30,006) (2,404) (32,410) (32,356) (54) (0.2%) NET EXPENDITURE 118,318 491 118,809 123,890 (5,081) (4.3%) RENFREWSHIRE COUNCIL REVENUE BUDGET MONITORING STATEMENT 2026/27 1 April 2026 to 19 June 2026 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 Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn £000 £000 £000 £000 £000 % Chief Executive and Management 467 0 467 463 4 0.9% Policy and Partnerships 5,220 755 5,975 5,975 0 0.0% Marketing and Communications 4,110 156 4,266 4,265 1 0.0% City Deal & Infrastructure 86 0 86 86 0 0.0% Leisure Services (incl Renfrewshire Leisure) 14,726 7 14,733 14,733 0 0.0% NET EXPENDITURE 24,609 918 25,527 25,522 5 0.0% Subjective Summary Approved Annual Budget Budget Adjustments Revised Annual Budget at Period 3 Projected Outturn £000 £000 £000 £000 £000 % Employees 6,082 511 6,593 6,587 6 0.1% Premises Related 401 0 401 401 0 0.0% Transport Related 1 0 1 1 0 0.0% Supplies and Services 16,613 114 16,727 16,727 0 0.0% Third Party Payments 0 0 0 0 0 0.0% Transfer Payments 1,908 648 2,556 2,556 0 0.0% Support Services 90 0 90 91 (1) (1.1%) GROSS EXPENDITURE 25,095 1,273 26,368 26,363 5 0.0% Income (486) (355) (841) (841) 0 0.0% NET EXPENDITURE 24,609 918 25,527 25,522 5 0.0% Budget Variance (Adverse) or Favourable Budget Variance (Adverse) or Favourable REVENUE BUDGET MONITORING STATEMENT 2026/27 RENFREWSHIRE COUNCIL 1 April 2026 to 19 June 2026 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 31/03/2026 2026-27 since previous 2026-27 2026-27 to 31-Mar-31 to 31-Mar-31 Board report £000 £000 £000 £000 £000 £000 £000 LEISURE SERVICES Community Halls(Council Motion) 0 680 479 1,159 1,159 0 0% 1,159 1,159 0 0% Steeple Hall Kilbarchan Refurbishment 299 0 440 440 440 0 0% 739 739 0 0% Lagoon Internal Play Centre 4 500 496 996 996 0 0% 1,000 1,000 0 0% Council Motion Leisure Facilities Upgrade 0 0 2,000 2,000 2,000 0 0% 2,000 2,000 0 0% Linwood Running Track at On-X 0 0 46 46 46 0 0% 46 46 0 0% Artificial Pitches Fund 19 0 781 781 781 0 0% 800 800 0 0% Total Leisure Services 322 1,180 4,242 5,422 5,422 0 0% 5,744 5,744 0 0% CHIEF EXECUTIVES City Deal Projects Glasgow Airport Investment Area 46,221 2,000 166 2,166 2,166 0 0% 48,387 48,387 0 0% Clyde Waterfront & Renfrew Riverside 116,991 140 693 833 833 0 0% 117,823 117,823 0 0% Economic Development AMIDS: Public Realm Phase 1 Netheron Square 3,817 0 0 0 0 0 0% 3,933 3,933 0 0% AMIDS: South 16,906 24,580 (583) 23,997 23,997 0 0% 59,405 59,405 0 0% Total Chief Executives 183,935 26,720 276 26,996 26,996 0 0% 229,548 229,548 0 0% TOTAL LEADERSHIP BOARD 184,257 27,900 4,518 32,418 32,418 0 0% 235,292 235,292 0 0% Budget Variance (Adverse) or Favourable Budget Variance (Adverse) or Favourable RENFREWSHIRE COUNCIL CAPITAL INVESTMENT STRATEGY - NON-HOUSING SERVICES 1st April to 19th June 2026 POLICY BOARD: LEADERSHIP Current Year 2026-27 Full Programme - All years