Agenda Document Pack - Corporate Committee - 25/08/2026
Moray Council · 25 August 2026
Back to Corporate Committee — 25 August 2026 and its agenda
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Corporate Committee Tuesday, 25 August 2026 NOTICE IS HEREBY GIVEN that a Meeting of the Corporate Committee is to be held at Council Chambers, Council Office, High Street, Elgin, IV30 1BX on Tuesday, 25 August 2026 at 09:30. BUSINESS 1. Sederunt 2. Declaration of Group Decisions and Members Interests * 3. Resolution Consider, and if so decide, adopt the following resolution: "That under Section 50A (4) and (5) of the Local Government (Scotland) Act 1973, as amended, the public and media representatives be excluded from the meeting for Item 17 of business on the grounds that it involves the likely disclosure of exempt information of the class described in the relevant Paragraphs of Part 1 of Schedule 7A of the Act.” 4. Minutes of meeting of 26 May 2026 7 - 12 5. Written Questions ** 6. Trust Funds – Summary Expenditure For 2025-26 and Estimated Disposable Income for 2026-27 Report by Executive Director Finance, Strategy and Transformation 13 - 22 Page 1
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7. Revenue Budget Monitoring to 30 June 2026 Report by Executive Director Finance, Strategy and Transformation 23 - 50 8. Capital Plan 2026-27 – Q1 Report by Executive Director Finance, Strategy and Transformation 51 - 64 9. Corporate Asset Management Plan 2026-28 Report by Executive Director Finance, Strategy and Transformation 65 - 82 10. Transformation Strategy Development – Progress to 30 June 2026 Report by Executive Director Finance, Strategy and Transformation 83 - 108 11. Corporate Best Value Self-Assessment 2026-27 Report by Executive Director Finance, Strategy and Transformation 109 - 114 12. Best Value Action Plan Progress Reporting Report by Executive Director Finance, Strategy and Transformation 115 - 146 13. Workforce Planning Report Report by Executive Director Finance, Strategy and Transformation 147 - 166 14. Menopause Friendly Accreditation Report by Executive Director Finance, Strategy and Transformation 167 - 172 15. Employment Policy Framework Revised Approach Report by Executive Director Finance, Strategy and Transformation 173 - 180 16. Forres Grant Park - Proposed Partnership Approach Report by Executive Director Economy, Enterprise and Operations 181 - 190 Item(s) which the Committee may wish to consider with the Press and Public excluded Page 2
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17. Public Consultation of Common Good Land, Merson Park, Buckie [Para 9] • 9. Any terms proposed or to be proposed by or to the authority in the course of negotiations for a contract for the acquisition or disposal of property or the supply of goods or services. Information Reports - Not for Discussion at this Meeting Any member wishing to call in a noting or information report from one meeting shall give notice to Committee Services by 12 noon 2 clear working days before the meeting for which the report is published. Please see Standing Order 38 for deadlines. The Notice shall be countersigned by one other elected member and shall explain the reason for call in including any action sought. Information Report - Sundry debt Write Off for 2026-27 Report by Executive Director Finance, Strategy and Transformation 191 - 194 Summary of Corporate Services Committee functions: To regulate, manage and monitor the finances of the Council both capital and revenue; to deal with staffing policies and practices other than for teaching staff; to deal with equal opportunities policies and practices; to deal with procurement policies and priorities; to deal with all matters relating to the Council’s duty to initiate, maintain and facilitate Community Planning; to ensure that the organisation, administrative and management processes of the Council are designed to make the most effective contribution to achieving the Council’s objectives; to provide all central support services; to exercise the functions of the Council in connection with the Registration of Births, Deaths and Marriages; to deal with valuation and electoral registration matters. Page 3
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GUIDANCE NOTES * Declaration of Group Decisions and Members Interests - The Chair of the meeting shall seek declarations from any individual or political group at the beginning of a meeting whether any prior decision has been reached on how the individual or members of the group will vote on any item(s) of business on the Agenda, and if so on which item(s). A prior decision shall be one that the individual or the group deems to be mandatory on the individual or the group members such that the individual or the group members will be subject to sanctions should they not vote in accordance with the prior decision. Any such prior decisions will be recorded in the Minute of the meeting. ** Written Questions - Any Member can put one written question about any relevant and competent business within the specified remits not already on the agenda, to the Chair provided it is received by the Proper Officer or Committee Services by 5pm three working days prior to the day of the meeting, please see Standing Order 36 for deadlines. A copy of any written answer provided by the Chair will be published on the Council’s committee management system by 12pm the day before the meeting. The Member who has put the question may, after the answer has been published, may ask one supplementary question directly related to the subject matter at the meeting, but no discussion will be allowed. No supplementary question can be put or answered more than 10 minutes after the Council has started on the relevant item of business, except with the consent of the Chair. If a Member does not have the opportunity to put a supplementary question because no time remains, then he or she can submit it in writing to the Proper Officer who will arrange for a written answer to be provided within 7 working days. Page 4
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MORAY COUNCIL Corporate Committee SEDERUNT Councillor Marc Macrae (Chair) Councillor Kathleen Robertson (Depute Chair) Councillor Theresa Coull (Member) Councillor John Cowe (Member) Councillor Jérémie Fernandes (Member) Councillor Donald Gatt (Member) Councillor Sandy Keith (Member) Councillor Elaine Kirby (Member) Councillor Scott Lawrence (Member) Councillor Paul McBain (Member) Councillor Shona Morrison (Member) Councillor Bridget Mustard (Member) Councillor Derek Ross (Member) Councillor Draeyk van der Horn (Member) Councillor Ben Williams (Member) Clerk Name: Tracey Sutherland Clerk Telephone: 07971 879268 Clerk Email: committee.services@moray.gov.uk Page 5
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MORAY COUNCIL Minute of Meeting of the Corporate Committee Tuesday, 26 May 2026 Council Chambers, Council Office, High Street, Elgin, IV30 1BX PRESENT Councillor Theresa Coull, Councillor John Cowe, Councillor Jérémie Fernandes, Councillor Donald Gatt, Councillor Sandy Keith, Councillor Elaine Kirby, Councillor Marc Macrae, Councillor Paul McBain, Councillor Shona Morrison, Councillor Bridget Mustard, Councillor Kathleen Robertson, Councillor Derek Ross APOLOGIES Councillor Scott Lawrence, Councillor Draeyk Van Der Horn, Councillor Ben Williams IN ATTENDANCE Chief Executive, Executive Director Finance, Strategy and Transformation, Executive Director Education, Housing and Communities, Executive Director Economy, Enterprise and Operations, Chief Governance Officer, Head of People, Change and Community, Head of Customer Experience, ICT and Digital, Chief Financial Officer, Service Manager Community Strategy and Engagement, Service Manager People Management, Service Manager Organisational Development and Change and Service Manager Democratic Services. 1. Chair The meeting was chaired by Councillor Marc Macrae. 2. Declaration of Group Decisions and Members Interests In terms of Standing Orders 21 and 23 and The Councillors' Code of conduct the Council noted that there were no declarations for Group Leaders or Spokesperson in regard to any prior decisions taken on how members will vote on any item on the agenda or any declarations of Member's interests in respect of any item on the agenda. 3. Minutes of meeting of 17 February 2026 The minute of the meeting of 17 February 2026 was submitted and approved. 4. Written Questions The Committee noted that no written questions had been submitted. Item 4. Page 7
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5. Performance Report - People Change and Community Strategy - Period to March 2026 The meeting had before it a report by the Executive Director Finance, Strategy and Transformation asking Committee to scrutinise performance in areas of Service Planning, Service Performance and other related data to the end of March 2026 and note actions being taken to improve performance where required. Following consideration the Committee unanimously agreed to: i) note performance in areas of Service Planning, Service Performance and other related data to the end of March 2026; and ii) note the actions being taken to improve performance where required. 6. Performance Report - Customer Experience ICT and Digital Services - Period to March 2026 The meeting had before it a report by the Executive Director Finance, Strategy and Transformation asking Committee to scrutinise performance in areas of Service Planning, Service Performance and other related data to the end of March 2026 and note actions being taken to improve performance where required. Following consideration the Committee unanimously agreed to: i) note performance in areas of Service Planning, Service Performance and other related data to the end of March 2026; and ii) note the actions being taken to improve performance where required. 7. Performance Report - Financial Services - Period to March 2026 The meeting had before it a report by the Executive Director Finance, Strategy and Transformation asking Committee to scrutinise performance in areas of Service Planning, Service Performance and other related data to the end of March 2026 and note actions being taken to improve performance where required. Following consideration the Committee unanimously agreed to: i) note performance in areas of Service Planning, Service Performance and other related data to the end of March 2026; and ii) note the actions being taken to improve performance where required. 8. Performance Report - Governance - Period to March 2026 The meeting had before it a report by the Executive Director Economy, Enterprise and Operations asking Committee to scrutinise performance in areas of Service Planning, Service Performance and other related data to the end of March 2026 and note actions being taken to improve performance where required. Page 8
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Following consideration the Committee unanimously agreed to: i) note performance in areas of Service Planning, Service Performance and other related data to the end of March 2026; and ii) note the actions being taken to improve performance where required. 9. Local Government Benchmarking Framework 2024-25 Results The meeting had before it a report by the Executive Director Finance, Strategy and Transformation presenting a corporate overview of benchmarking performance data for the period 2024-25. Following consideration, the Committee unanimously agreed to note the Council's performance in terms of a corporate overview of benchmarking results. 10. Health and Safety Annual Report 2025 The meeting had before it, a report by the Executive Director Finance, Strategy and Transformation asking Committee to consider and note the annual Health and Safety report along with progress outlined and approve proposed future actions. Following consideration, the Committee unanimously agreed to: i) note the content of the annual health and safety report, as outlined in Appendix 1 and the progress towards the outcomes established in the last report; and ii) approve the proposed future actions for 2026. 11. Employment Policy Framework 2025 26 Report The meeting had before it a report by the Executive Director Finance, Strategy and Transformation asking Committee to consider and approve the update on the employment policy framework for 2025-26. Following consideration, the Committee unanimously agreed to: i) the changes to the Bullying and Harassment Policy. This policy has been updated to reflect legislative changes, in particular, the preventative duty with regards to prevention of sexual harassment. Changes have been made to reinforce organisational culture and leadership role commitment and to improve navigation / user experience; ii) the changes to the Code of Conduct policy. This policy outlines the standards of behaviour and conduct of employees across the council. It has been updated to enhance user experience, reflect current job titles and add clarification regarding conduct with other employees and with Councillors. Roles and responsibilities have been clarified including the role of the Comms Team and guidance on the use of social media along with links to other relevant policies; Page 9
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iii) the addition of Disability Leave to the Special Leave Policy to reflect operational case management experience, good practice and support wellbeing and attendance at work for employees with a disability. Guidance is included on purpose and application with provision for up to 5 days special leave to be granted as appropriate. Approve the allocation of 2 days special leave to employees who volunteer to participate in an on call rota in the event of requiring mobilising the provision of rest centre(s) to enable the council to fulfil its Emergency Planning responsibilities under the Civil Contingencies Act (2004); iv) the changes to the Whistleblowing Policy. The changes include clarifying roles and responsibilities (officers and witnesses) and a review of the language, job titles and terminology; v) the changes to the Recruitment and Selection Policy to reflect updated arrangements regarding sponsorship, legislative changes to the PVG scheme, the Council’s approach to succession planning and referencing trainee/ apprenticeship roles. Language and job roles have been updated; and vi) the changes to Equality and Diversity policy which includes the amendment to Equality, Diversity and Inclusion policy which better reflects the purpose and scope of the policy and best practice. Changes include use of gender-neutral language, simpler navigation and providing examples for clarification, along with an overarching statement which applies to all policies and outlines fair and equal treatment of the workforce and potential employees. 12. 2025-28 Finance, Strategy and Transformation Service Plans - Year 2 refresh The meeting had before it, a report by the Executive Director Finance, Strategy and Transformation asking Committee to consider the People, Change and Community Strategy, Customer Experience, ICT and Digital and Finance Service Plans (Year 2 refresh). Following consideration, the Committee unanimously agreed to approve: i) the Service Plan (Year 2 refresh) for People, Change and Community Strategy in Appendix 1; ii) the Service Plan for Customer Experience, ICT and Digital (Year 2 refresh) in Appendix 2; and iii) the Service Plan for Finance (Year 2 refresh) in Appendix 3. 13. 2025-28 Governance Service Plan - Year 2 refresh The meeting had before it, a report by the Executive Director Economy, Enterprise and Operations inviting Committee to consider the Governance Service Plan (Year 2 refresh). Page 10
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Following consideration, Committee unanimously agreed to approve the Service Plan (Year 2 refresh) for Governance at Appendix 1. 14. Corporate Transformation Strategy Development The meeting had before it, a report by the Executive Director Finance, Strategy and Transformation asking Committee to consider and note progress on the delivery of the Council’s Transformation Strategy since the last annual report on 26 August 2025, as part of the ongoing monitoring of progress. Following consideration, the Committee unanimously agreed to note the quarterly update on the delivery of the Council's Transformation Strategy. 15. Best Value Action Plan Review and Progress Reporting The meeting had before it, a report by the Executive Director Finance, Strategy and Transformation asking Committee to note progress against the actions in the Best Value Action Plan. Following consideration, the Committee unanimously agreed to note progress against the actions in the Best Value Action Plan detailed in Appendix 1. Councillor Coull left the meeting during the consideration of this item. 16. Risk Appetite Statement The meeting had before it, a report by the Executive Director Economy, Enterprise and Operations seeking approval of a Risk Appetite Statement, developed following a briefing and workshop session held with councillors and senior managers in attendance. The statement will provide a point of reference when considering risk as part of the decision-making processes of the Council and its committees. Councillor Robertson sought clarification on whether the levels of risk within the Risk Appetite Statement could be reduced from 5 to 3, which would result in ratings of low, moderate and high. In response, the Chief Governance Officer stated that guidance shows that best practice suggests between 3 to five categories so it would be reasonable for the Council to reduce the ratings to 3. Councillor Morrison stated that she was content with Councillor Robertson's suggestion and that as this was an iteration of a document felt that in the future if additional ratings were required that could be agreed in the future. The Chief Governance Officer suggested that the recommendation was amended to state that a revised Risk Appetite Statement Report comes back to a future meeting along with the Risk Management Framework. There being no one otherwise minded, Committee unanimously agreed that a report comes back to a future meeting of the Committee with a revised Risk Appetite Statement with 3 levels of risk and the report includes the Risk Management Framework. Page 11
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17. Corporate Risk Register - April 2026 Update The meeting had before it, a report by the Executive Director Economy, Enterprise and Operations providing the Committee with the latest updated version of the council’s Corporate Risk Register. Following consideration, the Committee unanimously agreed to approve the updated Corporate Risk Register dated April 2026 attached as Appendix 1 to the report. Page 12
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Finance, Strategy and Transformation Author: Audrey Boyd Contact Email: audrey.boyd@moray.gov.uk Subject: Trust Funds – Summary Expenditure For 2025/26 and Estimated Disposable Income for 2026/27 1. PURPOSE ☒ For Decision ☐ For Information 1.1 The purpose of this report is to inform Committee of the disbursements made from Trusts in 2025/26 and the estimated disposable income available for disbursement in 2026/27. 1.2 This report is submitted to Committee in terms of Section III B (16) of the Council's Scheme of Administration relating to the Management and Investment of any funds including Common Good and Trust Funds. 2. SUMMARY 2.1 The report provides the final outturn for 2025/26 including expenditure of £77,133 and the budgeted income, £288,989 in total, available for disbursement in 2026/27 for each of the Trust Funds, which the Council administers. 3. RECOMMENDATIONS 3.1 It is recommended that Committee: i) Note the disbursements made from each of the Trust Funds in 2025/26 shown in APPENDIX 1; ii) Agree the estimated income available for disbursement in 2026/27 shown in APPENDIX 2. Audrey Boyd Accountant Item 6. Page 13
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4. BACKGROUND AND CONTEXT 4.1 The Council administers 37 trust funds in total, acting as sole trustee for 33 trusts and as one of several trustees for the other four trust funds. The trust funds represent legacies bestowed by various individuals and organisations for the benefit of the community or organisations within Moray. 4.2 The Council acts as sole trustee for 8 Connected Charity trust funds which have charitable status and are registered with the Office of the Scottish Charity Regulator (OSCR). The Council is one of several trustees for one other OSCR registered trust fund. The remaining 28 trusts are unregistered, with the Council being sole trustee for 25 of these and one of several trustees for the other three. 4.3 Since 2013/14, the Registered Charitable Trusts require to be audited by an external auditor who is appointed by the Accounts Commission, currently Grant Thornton. This only applies to any Registered Charitable Trust for whom the Council is the sole trustee. Any Registered Charitable Trust for whom the Council is not the sole trustee requires to be examined by an Independent Examiner; Azets (previously Scott-Moncrieff) has been appointed as Independent Examiner for the Auchernack Trust. 4.4 The Policy and Resources Committee, at its meeting on 8 October 2013 (paragraph 8 of the Minute refers), agreed that the full annual income of each trust should be made available for disbursement in accordance with the relevant trust deed, replacing the previous approach under which one third of the income was reinvested. However, the policy of not disbursing funds where disposable income falls below the agreed threshold remains in place. 4.5 Reports to the Council on 14 November 2012 (paragraph 7 of the Minute refers) and 24 June 2015 (paragraph 10 of the Minute refers) agreed to a scheme of Trust reorganisation and approved the proposal for setting up a new trust along with the wording of the proposed Trust Deed. 4.6 In August 2016 OSCR awarded charitable status to the new trust: The Moray Council Charitable Trust (TMCCT) (SC046791) with the planned transfer of 27 individual connected charitable trusts into the new trust. The trusts being reorganised into this new single trust will be utilised, as far as possible, in a manner consistent with the original trust purposes. 4.7 4.8 In 2018/19 one trust was given approval to be reorganised into TMCCT and during 2020/21 a further 23 trusts were approved by OSCR for reorganisation. It was agreed at the Corporate Committee on 26 August 2025 (paragraph 7 of the Minute refers) that grants would only be disbursed from trusts where disposable income exceeds £100, with any undistributed funds carried forward each year until this threshold is reached. This represents an increase from the previous threshold of £50. 5. PROPOSALS DISBURSEMENTS IN 2025/26 Page 14
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5.1 APPENDIX 1 gives details of the disposable income and disbursements made during 2025/26 from each trust fund. 5.2 In total, £77,133 was awarded in the year from ten of the trust funds. Disbursements included £46,985 from the Education trusts - Moray and Nairn, Banffshire, Donald Manson Fund and the Milne’s Institution Trust; £20,770 from the Auchernack trust and £3,450, from The MacDonald Benevolent Fund. A further £5,928 was awarded from other Trusts. 5.3 Logie Cottages were sold in 2020, generating a receipt of £102,100. A loan of £10,499.56 provided by the Housing Revenue Account (HRA) to cover essential repairs to the properties was repaid, leaving a total sum of £91,600.44 available for Members to distribute. It was agreed at the meeting of Economic Growth, Housing and Environmental Sustainability Committee on 1 December 2020 (paragraph 22 of the minute refers) that in principle, the money generated from the sale be used for the attainment of pupils at Forres Academy whilst respecting the original aims of the Trust as much as practicable. The current available balance in reserves at 31 March 2026 is £94,261 and there is discretion for disbursals from this. 5.4 In APPENDIX 2 not all trusts with undisbursed income in 2025/26 have a balance brought forward in that column, because any undisbursed funds are added back to reserves and the projected income calculation for the coming year includes this balance. 2026/27 DISPOSABLE INCOME 5.5 APPENDIX 2 shows the estimated disposable income for each trust fund in 2026/27. The estimated income figure is calculated to assist Local Members’ decision making when awarding funds. The figures are only there as a guide. The total projected funds available for disbursement in 2026/27 is £288,989. Of this, £47,598 is undisbursed from 2025/26. There is £9,580 of committed expenditure, from disbursements to be made from the Auchernack Trust as agreed at their meeting on 5 May 2026. 5.6 The reorganisation has reduced the number of trusts that have either nil or less than £100 disposable income, ensuring that as much income as possible from the trust funds can be passed on to beneficiaries as efficiently as possible. There are still some trusts that have loans pool balances invested in the Council’s Loans Fund, and they earn annual interest on this balance, however a share of administration costs is also allocated to these trusts, and this then reduces the available income to below the £100 threshold. 5.7 The interest on balances held in the Council’s bank for 2026/27 has been calculated using the Public Works Loan Board (PWLB) 1.5-2yr maturity rate of 5.32% as at the 1 April 2026. This rate is used for two years and will be updated on 1 April 2028 (2024/25 5.41%). 5.8 The estimated administration charge to be allocated over all trusts in 2026/27 is £23,229 (actual 2025/26 £22,123). 6. SUMMARY OF IMPLICATIONS 6.1 The table below shows whether risks and implications apply if the recommendations are agreed: Page 15
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SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) ✓ Policy and Legal ✓ Financial ✓ Risk ✓ Staffing ✓ Best Value and Transformation ✓ Property ✓ Information Communications Technology/Digital ✓ Equalities. Social Inclusion and Economic Impact ✓ Climate Change and Biodiversity Impact ✓ 6.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Improved Collaborative Leadership, as part of continuous improvement through Best Value, will better enable the Council to fulfil the ambitions set out in its strategic plans. a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☒ Tackle Poverty and Inequality. ☐ Build Stronger Greener Vibrant Economy. ☐ Build Thriving, resilient, empowered Communities. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☐ Developing a diverse, inclusive, and sustainable economy. ☒ Building a better future for our children and young people in Moray. ☐ Empowering and connecting communities. ☒ Improving wellbeing of our population. 6.3 Policy and Legal The Council’s adoption of the policy of disbursing the whole annual income maximises funds available for disbursement. 6.4 Financial The financial implications are contained in the body of the report and are detailed in the Appendices. 6.5 Risk The Moray Council Risk Appetite Statement considers Financial and Resource Management risk as moderate. There is a risk of overspends exceeding disposable income if any unforeseen emergency major repairs are required for properties owned by Trust Funds. Close monitoring of costs and the condition of properties will be undertaken by officers in order to mitigate this risk. 6.6 Staffing Page 16
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None arising from this report. 6.7 Best Value and Transformation None arising from this report. 6.8 Property The condition of all Trust Fund properties will be monitored in order to keep reactive repairs to a minimum. 6.9 Information Communications/Technology/Digital None arising from this report. 6.10 Equalities, Social Inclusion and Economic Impact None arising from this report. 6.11 Climate Change and Biodiversity Impacts None arising from this report. 7. CONSULTATION 7.1 This report has been prepared in consultation with Local Members and any comments made have been incorporated into the report. The local Members are consulted on discretionary disbursements particular to their ward. 8. BACKGROUND PAPERS 8.1 None. Page 17
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Trust Funds Disbursements 2025/26 APPENDIX 1 Ward TRUST FUND Total Actual Available for Disbursement Disbursement 2025/26 2025/26 £ £ All Burial Grounds PERPETUITIES 1,460 1,460 All JB Mair Fund 1,268 All Burial Grounds TRUSTS 439 439 All The Moray Council Charitable Trust 12,567 Elgin North Craigmoray Bequest (Bishopmill) 21,388 Elgin North John Pringle Bequest 5,280 Elgin South/North Laing Mortification 18,542 Elgin South/North Young 668 Fochabers Lhanbryde Milne's Institution Trust 9,770 9,770 Forres Auchernack 29,646 20,770 Forres Donald Manson (Edinkillie) Fund 13,294 13,294 Forres Donald Manson (Forres Burgh) Fund 3,592 3,592 Forres Logie Cottages, Forres 4,801 Heldon & Laich Boyd Anderson Trust 1,479 Keith & Cullen Glenisla Comforts Fund 7,148 Keith & Cullen William Lawtie 7,507 Old Banffshire Boundary Banffshire Educational Trust 42,645 8,567 Old Moray Boundary Moray & Nairn Educational 19,003 11,762 Old Moray Boundary The Pringle Trust 5,439 4,029 Public Trust River Lossie 13,882 Public Trust Grant Park 8,199 Public Trust Cooper Park 13,549 Public Trust Forres Squash Courts 721 Speyside Glenlivet The MacDonald Benevolent Fund 14,937 3,450 Speyside Glenlivet Speyside Comforts Fund 3,129 TOTAL 260,353 77,133 Trusts with Disposable Income under £100 Ward TRUST FUND Total Actual Available for Disbursement Disbursement 2025/26 2025/26 £ £ Elgin Jubilee Cottages - - Elgin Ladyhill Cottages - - Forres Castlehill Trust - - Forres Grant Park Trust - - Keith & Cullen Keith Poor Funds - - Speyside Glenlivet Dufftown Food - - TOTAL - - Page 19
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Trust Funds Projected Disbursement 2026/27 APPENDIX 2 Ward TRUST FUND Projected Undisbursed Total Committed Disposable Income Available for Expenditure Income Disbursement 2026/27 2025/26 2026/27 2026/27 £ £ £ £ All Burial Grounds PERPETUITIES 1,339 - 1,339 - All JB Mair Fund 1,454 - 1,454 - All Burial Grounds TRUSTS 338 - 338 - All The Moray Council Charitable Trust * 13,462 - 13,462 - Elgin North Craigmoray Bequest(Bishopmill) 23,084 - 23,084 - Elgin North John Pringle Bequest 2,305 5,280 7,585 - Elgin South/North Laing Mortification 19,177 - 19,177 - Elgin South/North Young * 681 - 681 - Fochabers Lhanbryde Milne's Institution Trust 10,622 - 10,622 - Forres Auchernack ** 31,587 - 31,587 9,580 Forres Donald Manson (Edinkillie) Fund 14,180 - 14,180 - Forres Donald Manson (Forres Burgh) Fund 3,870 - 3,870 - Forres Logie Cottages, Forres 4,965 4,965 - Heldon & Laich Boyd Anderson Trust * 1,573 - 1,573 - Keith & Cullen Glenisla Comforts Fund 7,790 - 7,790 - Keith & Cullen William Lawtie 7,614 - 7,614 - Old Banffshire Boundary Banffshire Educational Trust 29,851 34,077 63,928 - Old Moray Boundary Moray & Nairn Educational * 20,101 8,241 28,342 - Old Moray Boundary The Pringle Trust 5,478 - 5,478 - Public Trust River Lossie 18,512 - 18,512 - Public Trust Grant Park 2,916 - 2,916 - Public Trust Cooper Park 770 - 770 - Public Trust Forres Squash Courts 754 - 754 - Speyside Glenlivet The MacDonald Benevolent Fund 15,546 - 15,546 - Speyside Glenlivet Speyside Comforts Fund 3,422 - 3,422 - TOTAL 241,391 47,598 288,989 9,580 Trusts with Disposable Income under £100 Ward TRUST FUND Projected Undisbursed Total Committed Disposable Income Available for Expenditure Income Disbursement 2026/27 2025/26 2026/27 2026/27 £ £ £ £ Elgin Jubilee Cottages - - - - Elgin Ladyhill Cottages - - - - Forres Castlehill Trust * - - - - Forres Grant Park Trust * - - - - Keith & Cullen Keith Poor Funds * - - - - Speyside Glenlivet Dufftown Food * - - - - TOTAL - - - - * To be audited by Grant Thornton ** To be audited by Azets Page 21
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Finance, Strategy and Transformation Author: Susan Souter Contact Email: Susan.souter@moray.gov.uk Subject: Revenue Budget Monitoring to 30 June 2026 1. PURPOSE ☒ For Decision ☐ For Information 1.1 The purpose of this report is to note the revenue budget monitoring position as at 30 June 2026, Q1 2026/27. 1.2 This report is submitted to Committee in terms of Section III B (10) of the Council's Scheme of Administration relating to monitoring current revenue expenditure against approved budget. 2. SUMMARY 2.1 This report outlines the Council’s revenue budget position as at 30 June 2026, Q1 2026/27. It highlights the main variances against budget to date and provides an update on budget pressures and approved savings. 2.2 In February 2026, the Council approved a balanced budget for 2026/27 of £311,677,000. The budget included provision for known cost pressures, including pay awards and contract inflation, and incorporated savings approved during 2025/26. 2.3 Itemised spend to 30 June 2026 was £74,059,000 against budget to date of £71,760,000 resulting in an overspend to date of £2,299,000. Material variances relate to Health and Social Care services delivered on behalf of the Moray Integration Joint Board (£1,707,000 overspend) and the Council’s share of Ous of Area Placements within Education budgets (£522,000 overspend). However, these costs are within the central provisions held centrally, meaning total Q1 expenditure across the total council is within budget parameters. 2.4 Total savings of £1,141,000 have been posted to date. This represents a significant portion of individual departmental savings. Further work is expected over Q2 to address the Item 7. Page 23
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remaining savings, with particular focus on cross-service and transformation savings. Total current savings for 2026/27 are £4,603,000 Appendix 4. 2.5 As at 30 June 2026 the Council’s free general reserve remains at £6,000,000, in line with the minimum required under the financial reserves policy. Other Earmarked reserves total £18,338,000, following releases of £3,268,000 during Q1 to support approved service commitments and transformation activities. 2.6 Revenue budget monitoring is reported quarterly throughout the year. Forecast outturn positions will be included in the Q2 and Q3 monitoring reports. 3. RECOMMENDATIONS 3.1 It is recommended that Committee consider and note: i) the revenue budget monitoring position as at 30 June 2026, showing expenditure of £2,299,000 over budget to date; ii) that the most significant budget pressures at Q1 relate to: • Health and Social Care services delivered on behalf of the Moray Integration Joint Board (£1,707,000 overspend); • Education and Out of Area placements (£522,000 overspend); iii) The overspends as noted in the above point are consistent with pressures identified at budget setting for which provisions have been made at a central level and allocations to service will be determined in year; iv) the increase of £103,000 in the General Revenue Grant funding, as detailed in paragraph 4.3; v) the status of approved savings and budget provisions as detailed in Appendices 2 to 4; and vi) the inclusion of a budget addition of £485,000 within the Education budget in respect of Additional Support for Learning expenditure, reflecting the implementation of proposals approved by the Education, Children's and Leisure Services Committee on 25 November 2025. Susan Souter Service Manager Strategic Finance 4. BACKGROUND AND CONTEXT 4.1 The Council approved the General Fund Revenue Budget at a meeting on 25 February 2026 (paragraph 4 of the minute refers) with planned expenditure of £311,677,000. In addition to £247,038,000 expected from Scottish Government Grant (including non-domestic rates), Council Tax income of £63,590,000 was anticipated. The budget included approved Page 24
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savings of £4.446,000 and planned use of £748,000 of Transformation Reserve and £301,000 from the Service Concession Reserve to balance the budget. 4.2 In addition to the Council’s core budget, schools carry forward unspent Devolved School Management (DSM) balances between financial years. The DSM balance brought forward into 2026/27 was £214,000. Unspent Pupil Equity Funding (£766,000) and £25,000 of nursery snack and fundraising income were also carried forward in line with grant conditions. As these funding streams operate on an academic year basis, balances are often carried forward between financial years. 4.3 Additional General Revenue Grant funding of £103,000 was confirmed by the Scottish Government in Q1 to support the uprating of the Scottish Recommended Allowance for Foster and Kinship Carers. This funding has been included in the Q1 position and will be allocated to the relevant service. Further grant redeterminations announced after Q1 will be reflected in future monitoring reports. 4.4 Budget allocations from central provisions for costs are detailed in Appendix 2, with costs associated to the 2026/27 pay award and contract inflation making up the majority of adjustments. Savings as noted in Appendix 4 also make up additional adjustments. The revised Spending Plan to 31 March 2027 is now £314,745,000 5. PROPOSALS 5.1 Appendix 1, and the table below, summarises the current position for each service area, comparing actual expenditure with the budget to 30 June 2026. 5.2 The overall revenue budget position at 30 June 2026 is an overspend of £2,299,000 (3.2%) against the budget to date. This includes services delivered on behalf of the Moray Integration Joint Board (MIJB). Approved Budget 26/27 Updated Spending Plan 26/27 Budget to 30 June 2025 Q1 Expenditure to 30 June 2026 Q1 Q1 Variance Under/(Over) £000 £000 £000 £000 £000 % Service Expenditure Economy, Enterprise and Operations 36,769 38,289 8,411 8,487 (76) (0.9) Education, Housing and Communities 137,996 141,552 34,993 35,406 (413) (1.18) Finance, Strategy and Transformation 14,446 15,455 4,789 4,937 (148) (3.09) Chief Executive Function 617 836 275 275 - - Page 25
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Health and Social Care (Non-MIJB) 478 492 123 78 45 36.59 Health and Social Care (MIJB) 85,945 90,637 23,169 24,876 (1,707) (7.37) Loans Charges 19,459 19,754 - - - - Provisions 15,219 6,982 - - - - Transformation 748 748 - - - - Total Expenditure 311,677 314,745 71,760 74,059 (2,299) (3.20) Funding Scottish Government Grant 247,038 247,141 60,331 60,331 - - Council Tax 63,590 63,590 20,613 20,613 - - Use of Reserves: DSM, PEF, ELC Nursery 0 930 930 930 - - Transformation 748 1,776 1,776 1,776 - - Other Earmarked - 1,007 1,007 1,007 - - Service Concession 301 301 - - - - Total Funding 311,677 314,745 84,657 84,657 - - Service Department Variances 5.3 Appendix 1 and the table above highlight the following key points: • Expenditure is overspent against budget to date at Q1 by £2,299,000 (3.2%) • The most significant adverse variances relate to Health and Social Care services delivered on behalf of the MIJB (£1,707,000) and Education, Housing and Communities (£413,000), primarily due to the Education share of Out of Area Placements. • The Q1 position reflects early indications of recurring budget pressures identified during the 2025/26 outturn review. 5.4 The following sections provide a summary of the most significant service variances at Q1. Economy, Enterprise and Operations 5.5 Growth, Planning and Climate £000 £000 £000 Approved Budget 3,629 Budget to Q1 1,509 Savings Approved 146 Budget Adjustments 311 Spend to Q1 1,696 Savings Drawn Down 146 Approved Spend 3,940 Variance (187) Savings Status 5.6 The Service is reporting an overspend of £187,000 at Q1, mainly due to Planning income being £182,000 below budget to date as a result of lower planning application fee income. A remaining £5,000 relates to minor variances across the service. 5.7 Savings of £146,000 were approved as part of the 2026/27 budget and have been incorporated within service budgets. In addition, temporary savings of £60,000 relating to Page 26
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Local Heat and Energy Efficiency Strategies (LHEES) and Trading Standards are also included within the savings programme. 5.8 Operations and Environment £000 £000 £000 Approved Budget 30,826 Budget to Q1 6,207 Savings Approved 183 Budget Adjustments 1,044 Spend to Q1 6,103 Savings Drawn Down 106 Approved Spend 31,870 Variance 104 Savings Status 5.9 The Service is reporting an underspend of £104,000 at Q1. The main favourable variances relate to staffing vacancies within Roads (£280,000), lower Roads materials and maintenance expenditure (£276,000), and a number of smaller underspends across the service. These are partly offset by lower than anticipated Roads recharge income to capital and revenue projects (£572,000), together with reduced income from Harbours, Garden Waste and Car Parking activities. Additional pressures are being experienced within Fleet transport and plant costs and fuel budgets. A number of these variances reflect the timing and profiling of expenditure and income during the year and will continue to be monitored through future budget monitoring reports. 5.10 Savings of £183,000 were approved as part of the 2026/27 budget, of which £106,000 has been drawn down and incorporated within service budgets at Q1. The remaining savings are expected to be delivered later in the financial year and continue to be monitored as part of the savings programme. 5.11 Governance £000 £000 £000 Approved Budget 2,314 Budget to Q1 695 Savings Approved - Budget Adjustments 165 Spend to Q1 688 Savings Drawn Down - Approved Spend 2,479 Variance 7 Savings Status 5.12 The Service is reporting an underspend of £7,000 at Q1. Overall, the service is reporting a broadly balanced position at this stage of the financial year. 5.13 No specific savings were approved within Governance as part of the 2026/27 budget. Education, Housing and Communities 5.14 Culture, Leisure and Sport £000 £000 £000 Approved Budget 4,476 Budget to Q1 826 Savings Approved 31 Budget Adjustments 2 Spend to Q1 739 Savings Drawn Down 31 Approved Spend 4,478 Variance 87 Savings Status 5.15 The Service is reporting an underspend of £87,000 at Q1. The favourable position is mainly due to Sport and Leisure income exceeding budget by £53,000 and lower than anticipated energy costs of £25,000 following the review and realignment of energy budgets during Page 27
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2025/26. The remaining variance relates to minor underspends across the service. Overall, the service is reporting a favourable position at this stage of the financial year, with no significant budget pressures identified. 5.16 Savings of £31,000 were approved as part of the 2026/27 budget and have been incorporated within service budgets. The savings are currently expected to be achieved and will continue to be monitored throughout the year. 5.17 General Services Housing £000 £000 £000 Approved Budget 12,926 Budget to Q1 4,469 Savings Approved 1,113 Budget Adjustments 467 Spend to Q1 4,447 Savings Drawn Down 75 Approved Spend 13,393 Variance 22 Savings Status 5.18 The Service is reporting an underspend of £22,000 at Q1. Higher than anticipated Industrial Estate rental income (£83,000) and underspends within Corporate Repairs and Maintenance (£36,000) have been partly offset by lower Property fee income (£43,000), an overspend on the Scottish Welfare Fund (£54,000) and pressures within Housing Benefits (£15,000). The position will continue to be monitored throughout the year, particularly in relation to Property fee income and demand-led budgets. 5.19 Savings of £1,113,000 were approved as part of the 2026/27 budget, of which £75,000 has been drawn down and incorporated within service budgets at Q1. A number of savings remain subject to implementation or are profiled for later in the financial year and are currently expected to be achieved. 5.20 Education and Out of Area Placements £000 £000 £000 Approved Budget 120,594 Budget to Q1 29,698 Savings Approved 1,996 Budget Adjustments 3,087 Spend to Q1 30,220 Savings Drawn Down 782 Approved Spend 123,681 Variance (522) Savings Status 5.21 The Service is reporting an overspend of £522,000 at Q1. The main pressure relates to Out of Area Placements, which are overspent by £743,000 to date due to an increase in the number of young people requiring placements. This remains a significant recurring budget pressure. The position also reflects additional costs associated with Additional Support Needs (ASN) and Early Learning Centres (ELC) absence cover (£129,000). These pressures are partly offset by favourable variances within school budgets, including lower non- devolved expenditure and underspends on Devolved School Management (DSM) budgets. DSM budgets are managed over the academic year and expenditure is typically higher later in the financial year. The position will continue to be monitored closely throughout the year. Additional Support for Learning (ASL) 5.22 On 25 November 2025, the Education, Children's and Leisure Services Committee approved the use of £485,000 of Additional Support for Learning funding received through the General Revenue Grant settlement to support temporary staffing and training Page 28
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initiatives (paragraph 22 of the minute). As recruitment to the approved posts was not completed during 2025/26, the funding was not required and was therefore not allocated to the Education budget in that year. Recruitment has now been completed and the associated expenditure will be incurred during 2026/27. Accordingly, a budget addition of £485,000 is included within Appendices 2 and 3 to reflect the approved expenditure and associated funding. The figure is incorporated within the Budget Adjustment line. 5.23 Savings of £1,996,000 were approved as part of the 2026/27 budget, of which £782,000 has been drawn down and incorporated within service budgets at Q1. The remaining savings are currently being progressed and are expected to be implemented during the year. Progress against these savings will continue to be monitored through future budget monitoring reports. Finance, Strategy and Transformation 5.24 Customer Experience, ICT and Digital Services £000 £000 £000 Approved Budget 5,162 Budget to Q1 2,324 Savings Approved 93 Budget Adjustments 483 Spend to Q1 2,432 Savings Drawn Down 93 Approved Spend 5,645 Variance (108) Savings Status 5.25 The Service is reporting an overspend of £108,000 at Q1. The main pressure relates to ICT software and hardware costs (£110,000), including increases in software contract renewals and inflationary uplifts. A further overspend of £16,000 has arisen in relation to central telephones following the introduction of the new telephony system and the centralisation of costs previously charged to services. These pressures have been partly offset by savings within stationery and other support budgets. The position will continue to be reviewed during the year as contract costs and licensing requirements are monitored. 5.26 Savings of £93,000 were approved as part of the 2026/27 budget and have been incorporated within service budgets. The savings are currently expected to be achieved and will continue to be monitored throughout the year. 5.27 People, Change and Communities Strategy £000 £000 £000 Approved Budget 5,464 Budget to Q1 1,421 Savings Approved - Budget Adjustments 296 Spend to Q1 1,433 Savings Drawn Down - Approved Spend 5,760 Variance (12) Savings Status 5.28 The Service is reporting an overspend of £12,000 at Q1. The position mainly reflects additional Strain on Fund pension costs of £23,000, partially offset by minor favourable variances elsewhere within the service. 5.29 No specific savings were approved within the service as part of the 2026/27 budget. Page 29
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5.30 Financial Services £000 £000 £000 Approved Budget 3,842 Budget to Q1 1,044 Savings Approved 10 Budget Adjustments 198 Spend to Q1 1,071 Savings Drawn Down 10 Approved Spend 4,040 Variance (28) Savings Status 5.31 The Service is reporting an overspend of £28,000 at Q1. This is mainly due to the Council's share of legal costs associated with the ongoing Scottish Child Abuse Inquiry together with ongoing pressures within card payment, banking and taxation postage budgets. These pressures are partly offset by an underspend on the Small Service Development budget and other minor favourable variances across the service. The card payment, banking and postage budgets continue to represent recurring budget pressure areas. 5.32 Savings of £10,000 approved as part of the 2026/27 budget have been incorporated within service budgets. These relate to staffing savings within the Payments and Procurement sections of Financial Services and are currently expected to be achieved in full. 5.33 Chief Executive Function £000 £000 £000 Approved Budget 4,039 Budget to Q1 1,044 Savings Approved Budget Adjustments - Spend to Q1 1,071 Savings Drawn Down Approved Spend 4,039 Variance (28) Savings Status 5.34 The service is reporting a balanced position at Q1, with a small underspend on civic costs offset by temporary accommodation costs relating to the Interim Head of Service and Chief Social Work Officer. 5.35 No specific savings were approved within the Chief Executive Function as part of the 2026/27 budget. 5.36 Health and Social Care (MIJB) £000 £000 Approved Budget 85,945 Budget to Q1 23,169 Budget Adjustments 4,692 Spend to Q1 24,876 Approved Spend 90,637 Variance (1,707) 5.37 The service is reporting an overspend of £1.707m at Q1. The overall MIJB position at Q1 is £1.973m overspend before the reflection of the additional funding of £9m from both partners when setting the budget. With this in mind, there would be £2.25m available at Q1 from this funding, which would put the MIJB in a slight underspend position of £0.277m. This reflects ongoing cost pressures within services delivered on behalf of the Moray Integration Joint Board and continues the trend reported in the previous year’s budget monitoring reports. The position will be monitored closely throughout the year. 5.38 Savings relating to services delivered on behalf of the Moray Integration Joint Board are managed and monitored through the IJB's own budget monitoring arrangements and are not included within the Council's approved savings programme. Page 30
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5.39 Health and Social Care (non-MIJB) £000 £000 £000 Approved Budget 478 Budget to Q1 123 Savings Approved - Budget Adjustments 14 Spend to Q1 78 Savings Drawn Down - Approved Spend 492 Variance 45 Savings Status 5.40 The Service is reporting an underspend of £45,000 at Q1. The favourable position relates to a number of minor variances across the service, with no significant budget pressures identified at this stage. 5.41 Loans Charges £000 £000 £000 Approved Budget 19,459 Budget to Q1 - Savings Approved - Budget Adjustments 295 Spend to Q1 - Savings Drawn Down - Approved Spend 19,754 Variance - Savings Status 5.42 The Loans Charges budget is profiled for year-end, aligning with the annual accounts closedown process. Forecasting of principal and interest repayments is an ongoing process and has been enhanced to improve the accuracy of financial projections, which will be reported from Q2 onwards. PROVISIONS 5.43 In addition to monitoring service expenditure, central provisions and approved savings are reviewed regularly to ensure funding is available for anticipated pressures and that planned savings remain achievable. Budget Pressures and Additional Funding 5.44 Budget pressures and additional funding approved as part of the 2026/27 revenue budget are held within central provisions until the funding requirement can be accurately quantified. During Q1, £5,451,000 has been released to services and is detailed in Appendix 3. 5.45 At 30 June 2026, provisions totalling £7,737,000 remain available to support approved budget pressures. Appendix 3 provides a summary of the remaining balances and their current RAG status. The majority of provisions are expected to be required during 2026/27 and these will be closely monitored during the year. Contingency and Inflation 5.46 The budget approved by Council on 25 February 2026 included centrally held provisions of £7,589,000 to meet anticipated pay awards, inflationary pressures and other contingencies. During Q1, £5,282,000 has been released to services, primarily in respect of pay awards (£4,038,000), contract inflation (£387,000), Health and Social Care support worker regarding (£621,000), leaving a balance of £2,307,000 at 30 June 2026. Details of all allocations are provided in Appendix 2. Page 31
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5.47 The remaining balance will be retained centrally to meet future inflationary and contingency pressures as they arise during the financial year and will be reviewed through the quarterly monitoring process. Savings 5.48 Savings of £4,446,000 were approved as part of the 2026/27 budget, comprising £117,000 of one-off savings, £4,129,000 of recurring and £200,000 of fees and charges increases. An additional £157,000 saving has been identified within the Corporate Insurance contract renewal this year. 5.49 As at 30 June 2026, savings totalling £1,141,000 have been processed or are expected to be achieved during 2026/27. Four savings totalling £168,000 are currently assessed as red and are not expected to be achievable as the equivalent budget reductions have already been applied within service budgets. A number of other savings are currently assessed as amber as they are dependent on implementation later in the financial year or are subject to expenditure profiling. The remaining savings continue to be monitored and updated assessments will be reported through future budget monitoring reports. Reserves 5.50 The Council's reserve balances are reviewed as part of each monitoring cycle to ensure sufficient resources remain available to support approved commitments and manage financial risks. 5.51 The Council is required to maintain a level of free reserves to meet unforeseen expenditure and emergencies. As at 1 April 2026, the balance on the General Reserve was £6,000,000 which is the minimum level required under the Council's Financial Reserves Policy approved by Council on 25 September 2024 (paragraph 15 of the minute refers). 5.52 In addition to the General Reserve, the Council maintains a number of earmarked reserves for specific purposes. These include reserves for Transformation, Moray Growth Deal, Devolved School Management (DSM), Pupil Equity Funding (PEF) and other service- specific commitments. Earmarked reserves ensure that funds received for specific purposes, or approved for future projects and commitments, are retained and released as expenditure is incurred. 5.53 Appendix 5 provides a detailed breakdown of reserve movements during the year to date. During Q1, £3,268,000 was released from reserves, including £1,079,000 from the Transformation Reserve, £982,000 from other earmarked reserves, £751,000 of Pupil Equity Funding and £155,000 of DSM balances. In addition, £301,000 is planned from the Service Concession Reserve in line with the approved budget. 5.54 At 30 June 2026, total reserves stood at £24,335,000, comprising £6,000,000 in General Reserves and £18,335,000 in earmarked reserves. 5.55 The table below summarises reserve balances as at 30 June 2026. It should be noted that the Service Concession Reserve does not represent cash held by the Council. It is an accounting reserve arising from the treatment of the schools PPP contracts and cannot be used to fund expenditure in the same way as cash-backed reserves. Page 32
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Opening Balance 1/4/26 Actual Release of Reserve Q1 Free Balance 30/6/26 £000 £000 £000 General 6,000 - 6,000 Earmarked DSM 155 (155) - PEF 751 (751) - Transformation 4,499 (1,079) 3,420 Other Earmarked (App 4) 5,311 (982) 4,329 Moray Growth Deal 3,361 - 3,361 Service Concession 7,526 (301) 7,225 Total 27,603 (3,268) 24,335 5.56 While the Q1 position shows an overspend of £2,299,000, much of the variance relates to known recurring pressures, particularly within Health and Social Care and Out of Area Placements. Services are reviewing these pressures and identifying mitigating actions, with updated forecasts and management actions to be reported as part of the Q2 monitoring report. 6. SUMMARY OF IMPLICATIONS 6.1 The table below shows whether risks and implications apply if the recommendations are agreed: SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) X Policy and Legal X Financial X Risk X Staffing X Best Value and Transformation X Property X Information Communications Technology/Digital X Equalities. Social Inclusion and Economic Impact X Climate Change and Biodiversity Impact X 6.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Improved Collaborative Leadership, as part of continuous improvement through Best Value, will better enable the Council to fulfil the ambitions set out in its strategic plans. a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☒ Tackle Poverty and Inequality. Page 33
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☒ Build Stronger Greener Vibrant Economy. ☒ Build Thriving, resilient, empowered Communities. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☐ Developing a diverse, inclusive, and sustainable economy ☐ Building a better future for our children and young people in Moray. ☐ Empowering and connecting communities. ☐ Improving wellbeing of our population 6.3 Policy and Legal There are no policy or legal implications arising directly from this report. 6.4 Financial The financial implications are noted within the body of the report and in Appendices 1 to 5 6.5 Risk The Moray Council Risk Appetite Statement considers Financial and Resource Management risk as moderate. The Q1 monitoring position highlights a number of recurring budget pressures which, if not addressed, could impact on the Council's financial sustainability and future financial planning. In addition, there remains a risk that all approved savings will not be achieved in full. Heads of Service have been tasked with identifying mitigating actions and opportunities to reduce recurring expenditure pressures, with progress reported through future budget monitoring reports. 6.6 Staffing There are no staffing implications arising directly from this report. 6.7 Best Value and Transformation There are no best value and transformation implications arising directly from this report. 6.8 Property There are no property implications arising directly from this report. 6.9 Information Communications/Technology/Digital There are no information communication/technology/digital implications arising directly from this report. 6.10 Equalities, Social Inclusion and Economic Impact There are no equalities, social inclusion or economic impacts arising from this report. 6.11 Climate Change and Biodiversity Impacts There are no climate change or biodiversity issues arising directly from this report. 7. CONSULTATION Page 34
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7.1 This report has been prepared in consultation with all Heads of Service and any comments made have been incorporated into the report. 8. BACKGROUND PAPERS 8.1 All background papers held by the author within accountancy service. Page 35
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Appendix 1 MORAY COUNCIL - APPENDIX 1 REVENUE MONITORING REPORT QUARTER 1 to 30 JUNE 2026 Service Approved Budget 2026/27 £000 Approved Adjustments 2026/27 £000 Approved Forecast Budget 2026/27 £000 Budget to 30 June 2026 £000 Actual & Committed to 30 June 2026 £000s Year to date variance £000s Economy, Enterprise & Operations 36,769 1,520 38,289 8,411 8,487 (76) Education, Housing & Communities 137,996 3,556 141,552 34,993 35,406 (413) Finance, Strategy & Transformation 14,446 1,009 15,455 4,789 4,937 (148) Chief Executive 617 219 836 275 275 0 SERVICES excl HEALTH & SOCIAL CARE 189,828 6,304 196,132 48,468 49,105 (637) Health & Social Care and Children's Services (MIJB) 85,945 4,692 90,637 23,169 24,876 (1,707) Health & Social Care (Non MIJB) 478 14 492 123 78 45 TOTAL SERVICES incl HEALTH & SOCIAL CARE 276,251 11,010 287,261 71,760 74,059 (2,299) Loans Charges 19,459 295 19,754 0 0 0 Provision for Contingencies and Inflation 7,589 (5,282) 2,307 0 0 7,589 Additional Costs 12,076 (4,339) 7,737 0 0 12,076 Unallocated Savings (4,446) 1,384 (3,062) 0 0 (4,446) TOTAL PROVISIONS 15,219 (8,237) 6,982 0 0 0 Expenditure funded from Transformation Reserve 748 0 748 0 0 0 TOTAL GENERAL SERVICES EXPENDITURE 311,677 3,068 314,745 71,760 74,059 (2,299) Funding Scottish Government Grant 247,038 103 247,141 61,171 61,171 0 Council Tax 63,590 0 63,590 6,876 9,175 0 Use of Reserves DSM, PEF, ELC Nursery 0 930 930 930 930 0 Transformation 748 1,028 1,776 1,776 1,776 0 Other Earmarked 0 1,007 1,007 1,007 1,007 0 Service Concession 301 0 301 0 0 0 Total Use of Reserves 1,049 2,965 4,014 3,713 3,713 0 Total Funding 311,677 3,068 314,745 71,760 74,059 0 11.72% 48.76% 6.67% 0.38% 32.29% 0.17% 0.00% 0.00% Budget YTD % of Total Economy, Enterprise & Operations Education, Housing & Communities Finance, Strategy & Transformation Chief Executive Health & Social Care and Children's Services (MIJB) Health & Social Care (Non MIJB) Loans Charges Provisions 11.46% 47.81% 6.67% 0.37% 33.59% 0.11% 0.00% 0.00% Actual YTD % of Total Economy, Enterprise & Operations Education, Housing & Communities Finance, Strategy & Transformation Chief Executive Health & Social Care and Children's Services (MIJB) Health & Social Care (Non MIJB) Loans Charges Provisions Page 37
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Appendix 2 ALLOCATIONS FROM PROVISIONS Provision for Contingencies and Inflation Committee reference £000s £000s Approved when budget set: MC 25/2/26 7,589 Pay Awards (4,038) Contract Inflation (387) Non-Domestic Rates refund 7 Apprenticeship Levy (9) External Audit Fee increase (13) Regradings of staff (49) Education DSM adjustment 82 GVJB Requisition increase (20) Members Pay Award (32) Contingency Internal transfers between provisions (823) Total Adjsutments Q1 (5,282) Balance at 30 June 2026 2,307 Additional Costs Committee reference £000s £000s Approved when budget set: MC 25/2/26 12,076 Additional GRG - Redetermination of grant Uprated Scottish Recommended Allowance for Foster and Kinship Carers 103 103 Changes to Existing Budget Pressures Loans Charges reduced budget pressure (250) New Budget Pressures Identified STEM Revenue 153 H&SC Support Worker regrading 621 Additional Support for Learning funding 485 1,009 Released to departments Education and OOA (570) Housing, Property & Communities (40) Growth, Planning & Climate (115) Customer Experience, ICT & Digital Services (69) Health & Social Care (4,362) Loans Charges (295) Total Released to Departments (5,451) Balance at 30 June 2026 7,737 Page 39
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Appendix 2 ALLOCATIONS FROM PROVISIONS Savings & Charges Committee reference £000s £000s Approved when budget set: MC 25/2/26 (4,446) New Saving Identified Insurance Contract saving (157) Released to departments Growth, Planning & Climate 86 Operations & Environment 106 Education and OOA 782 Housing, Property & Communities 75 Leisure & Culture 31 Customer Experience, ICT & Digital Services 93 Financial Services 10 Cross Service 54 Transformation Savings 44 Temporary Savings: 60 Income target per budget paper 200 Total Released to Departments 1,541 Balance at 30 June 2026 (3,062) Page 40
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Appendix 3 BUDGET PRESSURES Description Approved amount Drawn Down Balance Status Comments £000 £000 £000 Education and OOA Additional Support for Learning 485 485 0 Housing, Property & Communities Bilbohall, Elgin Phase 1 - Spoil heap removal 274 0 274 Expected that work will happen during 2026/27. External Valuations- HRA Dwellings 40 40 0 Growth, Planning & Climate Local Plan examination 50 50 0 MGD revenue contribution STEM 192 0 192 Primarily staffing budgets - will be drawn down in Quarter 2. Development Plan Scheme - Transportation appraisals 25 0 25 Craigwatch Windfarm PLI 65 65 0 Customer Experience, ICT & Digital Services ICT - Bitdefender antivirus software 69 69 0 Cross Service NDR Revaluations 300 0 300 NDR bills to be processed Q2 Contingency (ref supply teachers, out of area but not restricted to them) 250 0 250 Centrally held provision. Requirement is being monitored. Health & Social Care MIJB uplift (£ passported to IJBs) 2,927 2,927 0 Children's Services additional funding 387 387 0 MIJB uplift for pay award 227 227 0 Adult Social Care RLW shortfall 200 200 0 H&SC Support Workers regrading 621 621 0 MIJB Allocation for core overspend 4,300 0 4,300 To be monitored during the year with draw down at year end Page 41
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Appendix 3 BUDGET PRESSURES Description Approved amount Drawn Down Balance Status Comments £000 £000 £000 Loans Charges Increase in Loans Charges per budget 295 295 0 Budget Pressure Contingency Fund 1,674 0 1,674 Budget Pressures Total 12,381 5,366 7,015 New Burdens Discretionary Housing Payment 85 85 0 Whole Family Wellbeing Fund 619 0 619 Will be drawn down in Quarter 2 Redeterminations Uprated Scottish Recommended Allowance for Foster and Kinship Carers 103 0 103 Will be drawn down in Quarter 2 Additions Total 807 85 722 Total 13,188 5,451 7,737 * Status - assessment for likelihood of requirement Red - Unlikely to be required or significant uncertainty remains. Green - Fully allocated/drawn down. Amber - Not yet allocated but expected to be required during 2026/27. Page 42
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Appendix 4 SAVINGS Approved Saving Posted to Dept Balance Status Further information £000 £000 £000 Growth, Planning & Climate E2-5 Planning - new charge 25 (25) 0 Building Standards - fee income 43 (43) 0 Environmental Health - income 10 (10) 0 Community Safety - operational budget review 8 (8) 0 Operations & Environment Roads maintenance - hire out machinery 50 (50) 0 Fleet - Lease Specialist Vehicles 76 0 76 To be reviewed with department D11-3 FRA and DIA - charges (Consultancy) 5 (5) 0 D11-2 Local supplier framework (Consultancy) 13 (13) 0 D7-4 Roads - Gully cleaning 20 (20) 0 Waste Management - bulky items charge 18 (18) 0 Public Trust Site, Forres (Grant Park Depot) 1 0 1 Education and OOA Service concession 1,130 0 1,130 Will be posted in Quarter 2 ELC - Remove Early Years Principal Teacher post 28 (28) 0 Primary - Pupil teacher ration move to statutory requirement 25 0 25 This was a one year saving and will not continue. Any change in class sizes will now be picked up as part of roll change. Education - EAL team 23 (23) 0 Education - SES team 30 (30) 0 A1-7 partner nurseries in-service days 67 (67) 0 Page 43
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Appendix 4 SAVINGS Approved Saving Posted to Dept Balance Status Further information £000 £000 £000 Education and OOA A1-9 ELC Remove year round provision 147 (147) 0 A1-12 ELC Teachers to QIO 76 (76) 0 Education - ELC rental income from partner providers 18 (18) 0 E9-4 Admin post reduced hours £4k 4 0 4 Will be posted in Quarter 2 School roll projections (net saving in 26/27 and 28/29) 448 (393) 55 Will be posted in October when 2026/27 census figures are received Addl Class Aberlour and Seafield Apr-Aug 0 0 0 Housing, Property & Communities Elgin Community Centre closure - VER 40 0 40 To be confirmed if this budget is still required in 2026/27 Spend to Save - LED Lighting and Solar PV Project 47 0 47 To be confirmed - savings taken in 2025/26 Homelessness / allocations - recharge overheads to Resettlement funding 25 0 25 C1-3 DLO corporate work £10k 10 (10) 0 C5-4 Estates rent review £65k 65 (65) 0 Capitalising PPP lifecycle costs 926 0 926 Will be posted in Quarter 2 Leisure & Culture Libraries Learning Centre and Heritage Service Transformation - Energy saving 7 (7) 0 Libraries efficiencies 24 (24) 0 Customer Experience, ICT & Digital Services Website redesign 23 (23) 0 Reprographics - Printer leasing 10 (10) 0 SWAN2 60 (60) 0 Page 44
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Appendix 4 SAVINGS Approved Saving Posted to Dept Balance Status Further information £000 £000 £000 Financial Services F6-20 Payments AR vacancy remove £6k 6 (6) 0 F6-22 0.3 Procurement Officer vacancy delate and replace with 0.3 Procurement Asst £4k 4 (4) 0 Cross Service Increase vacancy factor in line with pay awards (3.5%) 150 (54) 96 To be completed EV / ULE salary sacrifice 20 0 20 Rollout to follow Insurance Contract saving 26/27 157 0 157 To be posted when contract renewed Transformation Savings Smarter Working Phase 2 18 0 18 To be posted Smarter Working Phase 3 50 0 50 To be posted LEAN review 8 0 8 Out of Hours review 39 0 39 Savings already posted to Dept Primary School Admin review saving 0 (44) (44) Improving Attendance Project - Teaching Staff only 332 0 332 Will not know until later in the year if achieved. At the end of Quarter 1 the ASN central supply is overspent. TEMPORARY SAVINGS APPROVED LHEES saving (temp for 5 years - 2027/28 final year) 50 (50) 0 Capitalise salary for Project Officer of Forres Academy 57 0 57 This saving is already included in base E8.1 Trading Stds contract 10 (10) 0 Income target 200 200 0 Total 4603 (1,141) 3,062 * Status - assessment for likelihood of being achieved Red - Saving unlikely to be achieved in full. Amber - Saving currently expected to be achieved. Green - Saving achieved. Page 45
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Appendix 5 FUNDING FROM RESERVES Page 47
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Appendix 5 General Reserves Committee reference Budget released £000s Approved £000s General Reserves at 1 April 2026 6,000 Free balance at 30 June 2026 6,000 Transformation Ear marked Reserve Committee reference Budget released £000s Approved £000s Balance at 1 April 2026 4,499 Released to departments Q1 Management Structure review Project Officer - School Admin Review Snr Proj Officer (Office Review) (75) Snr Proj Officer (Climate Change) (83) Future Workforce Project (47) CRM Replacement (233) Secaondary School Intervention Funding (yr 2) (218) Spend to Save - Digitisation of ECNs (3) Schools Improving Attendance (12) BIM Phase 2 (29) Carefirst system (329) Socio- Economic Benefits consulatancy (50) (1,079) Free balance at 30 June 2026 3,420 MGD Cash Flow Reserve Committee reference Budget released £000s Approved £000s Balance at 1 April 2026 3,361 Free balance at 30 June 2026 3,361 Service Concession (PPP) Committee reference Budget released £000s Approved £000s Balance at 1 April 2026 7,526 Committed (301) Free balance at 30 June 2026 7,225 Page 48
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Appendix 5 FUNDING FROM RESERVES Other Ear Marked Reserves Committee reference Budget released £000s Approved £000s Balance at 1 April 2026 5,311 Released to departments Q1 SEF Carry-forwards (275) Youth Work Communities Grants (27) Refugee Resettlement Funding (295) Care Experienced Children and Young People (34) Whole Family Wellbeing Fund (240) Nature Restoration Fund (69) Affordable Housing (17) ELC Snack/Fundraising funds (25) (982) Free balance at 30 June 2026 4,329 Total £000s Total balance at 1 April 2026 27,603 Total released to departments Q1 (3,268) Total free balance at 30 June 2026 24,335 Page 49
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Finance, Strategy and Transformation Author: Lesley Rash Contact Email: lesley.rash@moray.gov.uk Subject: Capital Plan 2026/27 – Q1 1. PURPOSE ☒ For Decision ☐ For Information 1.1 The purpose of this report is to inform the Committee of the expenditure to 30 June 2026 under the capital plan for financial year 2026/27 and to recommend budget adjustments for inclusion in the Capital Plan for 2026/27 and future years. 1.2 This report is submitted to Committee in terms of Section III (B) five of the Council's Scheme of Administration relating to monitoring progress of projects in the approved capital plan including any revisions to the price or phasing on a quarterly basis. 2. SUMMARY 2.1 The Q1 report in each financial year introduces the quarterly spend profiles for the year alongside a top-level narrative on what will be delivered within each of the asset groupings. 2.2 Capital spend to 30 June 2026 was £6,123,000 against forecast spend of £8,470,000 as set out in Appendix 1. 2.3 Greater emphasis on the delivery of the capital plan, alongside increased scrutiny of quarterly expenditure forecasts, will continue during this financial year, with a target delivery rate of 90%. 3. RECOMMENDATIONS 3.1 It is recommended that the Council: i) considers and notes expenditure to 30 June 2026 of £6,123,000 against a budget of £8,470,000, resulting in an underspend of £2,347,000 as shown in Appendix 1; and Item 8. Page 51
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ii) considers and notes Appendix 2 – major capital projects spanning more than 1 financial year. Lesley Rash Accountant 4. BACKGROUND AND CONTEXT 4.1 The capital plan for 2026/27, totalling £67,894,000, was approved by Moray Council on 14 January 2026. The Council approved carry forwards of £8,151,000 and further adjustments of £1,249,000 on 30 June 2026 (paragraph 12 of the minute refers). These amendments resulted in an amended capital plan for 2026/27 of £77,294,000. 4.2 Quarterly monitoring reports are made to the Corporate Committee or to Council showing expenditure to date for each programme or project included in the capital plan and details of capital receipts received. 4.3 Between March and June 2026, budget managers were asked to develop quarterly expenditure profiles for their respective projects. These profiles have been adopted as the baseline for capital monitoring and reporting and will be used to assess project delivery and forecast accuracy throughout the year, providing greater transparency and accountability for the management of the approved programme. 5. CAPITAL PLAN 5.1 A copy of the capital plan is included as Appendix 1 detailing expenditure of £6,123,000 to 30 June 2026. Expenditure to date has been funded by General Capital Grant (£3,078,000), Moray Growth Deal (£1,600,000), Prudential Borrowing (£919,000), Levelling Up Fund (£486,000), and Other Income (£40,000). Appendix 2 provides detail on major capital projects spanning more than 1 financial year. 5.2 Fleet and Plant Q1 Actual (£000) Q1 Forecast (£000) % achieved 284 670 42% The full year budget for Fleet & Plant replacement programme is £3,043,000 with a spend for Q1 of £284,000 against a budget to date of £670,000, resulting in an underspend of £386,000. The underspend is mainly due to delays in vehicle procurement, as the supplier delivered vehicles that did not meet the required specifications. The issue is currently being resolved and is expected to be corrected by the end of Q2 2026/27. There was also an underspend on the fuel pump upgrade project due to resource capacity constraints within the Property team. Discussions and planning meetings are now underway to address the outstanding requirements, agree a delivery timetable, and ensure the project progresses as planned during the remainder of the financial year. 5.3 The full year budget of £3,043,000 relates almost exclusively towards the vehicle replacement programme, with a nominal value available for the upgrade of fuel pumps. Page 52
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5.4 Waste Management Q1 Actual (£000) Q1 Forecast (£000) % achieved 88 112 79% The full year budget for Waste Management programme is £463,000 with a spend for Q1 of £88,000 against a budget to date of £112,000, resulting in an underspend of £24,000. The underspend within Domestic and Trade Waste relates to delays in bin procurement due to insufficient storage capacity on site. The service has confirmed it will review its stock management processes considering the capacity constraints. 5.5 Key planned activity for the year includes the completion of capping works at Dallachy Landfill site (£303,000), Domestic and Trade Waste Bin replenishment and replacement (£145,000) and facilities management equipment replacement (£15,000) 5.6 Property Estate Management Q1 Actual (£000) Q1 Forecast (£000) % achieved 18 25 72% The full year budget for Property Estate Management is £1,847,000 with a spend for Q1 of £18,000 against a budget to date of £25,000, resulting in an underspend of £7,000. This was mainly due to delayed approval of works at Council Headquarters, with costs now expected to fall into Q2. 5.7 Key planned activity for the year includes the continuation of the Depots and Stores Review (£1,069,000) Energy Efficiency and Climate Change works (£457,000), Industrial Portfolio refurbishment (£265,000) Legionella and Fire Risk Assessment Upgrades (£50,000) and corporate office furniture replacement (£6,000). 5.8 Roads, Bridges and Street Lighting Q1 Actual (£000) Q1 Forecast (£000) % achieved 259 501 52% The full year budget for Roads, Bridges & Street Lighting is £7,859,000 with a spend for Q1 of £259,000 against a budget to date of £501,000, resulting in an underspend of £242,000. Bridges underspent by £47,000. Several projects have been reprofiled due to the Craigellachie Expansion project being forecast to come in over budget. As a result, all other projects have been placed on hold while the financial impact is assessed and accommodated within the overall programme budget. Car Parks underspent by £3,000 as some signage works were rejected and will instead be invoiced in the next quarter. Road Improvements underspent by £80,000. As this is a reactive project, resources were prioritised elsewhere during the period. However, the project remains on track to achieve its intended outcomes. Street Lighting underspent by £104,000, with 10 of the 19 planned schemes completed, including one scheme delivered for £2,000 against a budget of £22,000. Six schemes remain in progress; one has been cancelled and two are on hold. Progress has been affected by delays in SSE programmed associated works and ongoing resource constraints. Traffic & Road Safety underspent by £8,000 due to staff shortages requiring resources to be prioritised elsewhere. 5.9 Key planned activity for the year includes the annual roads resurfacing programme (£2,465,000), B9016 landslip repair works (£862,000), works delivered under the Bus Infrastructure Fund (£845,000), Buckie North Street Wall (£675,000), street lighting works Page 53
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(£621,000), Garmouth Viaduct span removal (£538,000) and works to be delivered through the Active Travel Infrastructure Fund (£530,000). 5.10 Open Spaces Q1 Actual (£000) Q1 Forecast (£000) % achieved 33 300 11% The full year budget for Open Spaces is £1,655,000 with a spend for Q1 of £33,000 against a budget of £300,000, resulting in an underspend of £267,000. Underspend within the cemetery programme is due to discussions regarding the use of internal staff commencing later than anticipated, which has delayed the start of planned works. Further delays to the cemetery programme relate to delays in the procurement of works through third parties. The underspend within the Scottish Government funded play park renewal allocation was expected and is attributable to time required to undertake participatory budgeting and supplier lead times. Despite the underspends at Q1, work is underway across all elements of the programme to commit allocated budgets by year end. 5.11 Key planned activity for the year includes the cemetery programme (£217,000), with extensions planned at both Lossiemouth and Keith cemeteries. Prior-year funding received from the Scottish Government for play park renewal will support the delivery of replacement and upgraded play equipment across Moray. The budget also includes previously carried-forward funding (£718,000), which, following completion of Elgin Cemetery, will be returned to the appropriate budget headings. 5.12 Flood Risk Management and Coastal Protection Q1 Actual (£000) Q1 Forecast (£000) % achieved 22 44 50% The full year spend for Flood Risk Management and Coastal Protection is £1,469,000 with a spend for Q1 of £22,000 against a budget to date of £44,000, resulting in an underspend of £22,000. This is primarily due to the reprofiling of the Millbuies project following a review of the available data. The review identified opportunities to reduce the project scope and associated costs without affecting the overall project goals or intended outcomes. As a result, expenditure has been reprofiled to reflect the revised scope of work. 5.13 Key planned activity for the year includes the progression of priority flood schemes, including Seatown and Portessie, targeted capital maintenance at Lossiemouth, Findhorn, Elgin and reservoir assets, and data collection and modelling work at Rothes and Kinloss. In addition, the programme includes the delivery of emergency drawdown works at Millbuies Reservoir to improve reservoir safety and resilience all agreed within the current capital, together with the River Rother Fish Pass Project to improve fish passage and river connectivity which has been funded but the water environment fund The programme is intended to improve resilience to flooding and coastal erosion, protect and maintain existing flood infrastructure. Page 54
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5.14 Harbours Q1 Actual (£000) Q1 Forecast (£000) % achieved 46 45 102% The full year spend for Harbours is £336,000 with a spend to Q1 of £46,000 against a budget of £45,000, resulting in a reported overspend of £1,000. This variance is attributable to rounding and is not considered significant. 5.15 Key planned activity for the year includes design works at Portknockie Middle Pier (£232,000) with remaining budget allocated to harbour infrastructure upgrades and replacement of life-expired harbour assets. 5.16 Libraries and Leisure Q1 Actual (£000) Q1 Forecast (£000) % achieved 21 15 140% The full year spend for Libraries and Leisure is £1,254,000 with a spend for Q1 of £21,000 against a budget of £15,000, resulting in an overspend of £6,000. The overspend was due to a delay in the delivery of equipment purchases from the previous quarter, as the items arrived damaged and replacements were required. The overspend is expected to be balanced out in Q2 and no significant concerns are anticipated. 5.17 Key planned activity for the year represents the delivery of the Moray Sports and Leisure Service Transformation Plan (£1,030,000) and the remainder on other leisure and library refurbishment works (£224,000). 5.18 ICT Q1 Actual (£000) Q1 Forecast (£000) % achieved 92 50 184% The full year spend for ICT is £749,000 with a spend for Q1 of £92,000 against a budget to date of £50,000, resulting in an overspend of £42,000. The overspend represents spend ahead of schedule as the budget manager took advantage of favourable pricing and special offers available during the quarter. This enabled the purchase of computer hardware (laptops and PCs) at reduced unit costs, generating savings against future procurement requirements. 5.19 Key planned activity for the year includes the refresh of essential ICT hardware including network upgrades, server replacements, and personal devices for both the corporate and learning estates. 5.20 Learning Estates Q1 Actual (£000) Q1 Forecast (£000) % achieved 3,122 4,002 78% The full year spend for Learning Estates is £37,015,000 with a spend in Q1 of £3,122,000 against a budget of £4,002,000 resulting in an overall underspend of £880,000. The BB Programme underspend (£616,000) is mainly due to project delays arising from procurement, design, resource, and infrastructure challenges, resulting in expenditure being reprofiled into Q3, Q4 and future financial years. Underspend within the Major Rebuild and Refurbishment stream (£264,000) relates primarily to the Elgin High School project, following its reduction in scope to internal refurbishment works, and the Future Buckie High School project, where design development and funding discussions are Page 55
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ongoing. The programme remains focused on addressing priority condition issues, improving sustainability, and maintaining safe, compliant school buildings. 5.21 Key planned activity in the year is focused on the construction of Forres High School (£24,300,000) and the continuation of the BB Programme (£10,869,000) with major works scheduled at Mortlach, Cullen, Alves, and Mosstodloch Primary Schools. Sums are also held for compliance/fire safety works and the capital element of the Universal Free School Meals roll 5.22 Moray Growth Deal Q1 Actual (£000) Q1 Forecast (£000) % achieved 1,600 2,220 72% The full year spend for Moray Growth Deal is £14,580,000 with a spend for Q1 of £1,600,000 against a budget of £2,220,000, resulting in an underspend of £620,000. Whilst there has been an underspend the programme is still forecasting that the profile for the financial year will be achieved. During Q1, mobilisation activity has occurred for the South Street site and construction is now underway. In parallel, Elgin Town Hall works are advancing after the erection of steelwork for the extension. 5.23 Key planned activity in the year is shown in Appendix 2, with the majority of spend allocated to the Cultural Quarter project (£11,297,000) which will see the continuation of construction works at Elgin Town Hall and continued design works for Grant Lodge. The UHI Moray College-led project Business Enterprise Hub (£1,957,000) represents the second largest deliverable in the year. 5.24 Levelling Up Fund Q1 Actual (£000) Q1 Forecast (£000) % achieved 486 486 100% The full year spend for Levelling Up Fund is £5,696,000 with a spend for Q1 of £486,000 against a budget of £486,000. The expenditure was predominantly for South Street enabling works at £250,000. The Gordon Arms Hotel project accounted for the next largest spend with £132,000 being invoiced for design works and utility bills. Cooper Park Pond and Toilet Block had costs of £63,000 and Project management costs across all projects came to a total of £24,000. The remainder was split over small works across Active Travel projects and the Sawmill flood scheme. 5.25 Key planned activity for the year is shown in Appendix 2, with the majority of spend allocated to the redevelopment of Cooper Park (£1,600,000) enabling works at South Street, Elgin (£1,404,000), and the refurbishment of the Gordon Arms (£1,000,000). 5.26 Funded Q1 Actual (£000) Q1 Forecast (£000) % achieved 51 0 The full-year budget for Funded Projects is £508,000, with expenditure of £51,000 in Q1 against a profiled budget of £0 resulting in an overspend of £51,000. This is due to an Economic Recovery Fund Grant claim being processed that will be refunded in the next Page 56
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quarter. Also, Keith Grammar solar PV project was processed in this quarter but will be refunded in August. 5.27 Key planned activity for the year is shown in Appendix 2, with the majority of expenditure relating to the UK Shared Prosperity Fund (£204,000) and the Forres Conservation & Heritage Scheme (£304,000). The UK Shared Prosperity Fund (UKSPF) will conclude following the 2025/26 programme year and Moray will not receive an allocation from the replacement Local Growth Fund through the Highlands and Islands Regional Economic Partnership. Existing UKSPF-funded projects, covering Communities and Place, Supporting Local Business and People and Skills priorities, will continue under transitional arrangements until 30 September 2026 using previously approved funding. Officers are managing the impact of the funding cessation through project completion, staff redeployment, service review, and the exploration of alternative funding opportunities. The loss of UKSPF represents a significant reduction in external funding and may create future service and financial pressures where alternative funding sources cannot be identified. The £304,000 allocated to the Forres Conservation & Heritage Scheme will support conservation-led town centre regeneration activity, including building and shopfront improvement schemes, heritage engagement and interpretation projects, traditional skills training, public realm enhancements, greening initiatives, and work to bring vacant properties back into productive use within the Forres Conservation Area. 5.28 Elgin Neighbourhood Board Q1 Actual (£000) Q1 Forecast (£000) % achieved 0 0 0% The full-year budget for the Elgin Neighbourhood Board programme is £360,000 with zero spend planned or delivered in the quarter. 5.29 Emerging Priorities Q1 Actual (£000) Q1 Forecast (£000) % achieved 0 0 100% The balance of £460,000 for Emerging Priorities remains unallocated at 30 June 2026. 6. AFFORDABILITY INDICATOR 6.1 The indicative affordability indicator for the approved 2026-29 Capital Plan is shown below. The Council has established an internal threshold of 10%. Ratio of Financing Costs to Net Revenue Budget 2026/27 2027/28 2028/29 £000 £000 £000 Financing Costs 27,849 28,630 25,296 Net Revenue Budget 300,535 311,935 321,292 Affordability Indicator 9.27% 9.28% 9.45% 6.2 The Capital Plan 2026-29 applied an internal borrowing rate of 5% when forecasting financing costs and was based on an expectation that the Bank of England Base Rate Page 57
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would reduce during 2026/27. Subsequent geopolitical developments in the Middle East have increased uncertainty around the pace of future rate reductions, with the Base Rate remaining unchanged since January 2026. 6.3 The impact on financing costs is currently being reviewed, with further analysis to be reported through the Treasury Management Annual Report 2025/26, which is scheduled for consideration by the Audit and Scrutiny Committee on 29 September 2026. In parallel, the Finance team continues to collaborate closely with the Council's treasury management advisers, Arlingclose, to monitor market conditions and minimise the impact of interest rate movements. 7 SUMMARY OF IMPLICATIONS 7.1 The table below shows whether risks and implications apply if the recommendations are agreed: SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) X Policy and Legal X Financial X Risk X Staffing X Best Value and Transformation X Property X Information Communications Technology/Digital X Equalities. Social Inclusion and Economic Impact X Climate Change and Biodiversity Impact X 7.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Improved Collaborative Leadership, as part of continuous improvement through Best Value, will better enable the Council to fulfil the ambitions set out in its strategic plans. a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☒ Tackle Poverty and Inequality. ☒ Build Stronger Greener Vibrant Economy. ☒ Build Thriving, resilient, empowered Communities. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☐ Developing a diverse, inclusive, and sustainable economy ☐ Building a better future for our children and young people in Moray. ☐ Empowering and connecting communities. ☐ Improving wellbeing of our population Page 58
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7.3 Policy and Legal There are no policy or legal implications arising directly from this report. 7.4 Financial The financial implications are noted within the body of the report and in APPENDIX 1 and APPENDIX 2. 7.5 Risk Budget managers are aware of their responsibilities for managing budget allocations and approval for variance will be sought from Council in line with the financial regulations. Risks specific to areas of capital expenditure are identified within the report. 7.6 Staffing There are no staffing implications arising directly from this report. 7.7 Best Value and Transformation There are no best value and transformation implications arising directly from this report. 7.8 Property There are no property implications arising directly from this report. 7.9 Information Communications/Technology/Digital There are no information communication/technology/digital implications arising directly from this report. 7.10 Equalities, Social Inclusion and Economic Impact There are no equalities, social inclusion or economic impact implications arising directly from this report. 7.11 Climate Change and Biodiversity Impacts 8. CONSULTATION 8.1 This report has been prepared in consultation with capital budget managers and all Heads of Service and any comments made have been incorporated into the report. 9.0 BACKGROUND PAPERS 9.1 All background papers are held by the author within the Accountancy Service. Page 59
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Moray Council Capital Programme 2026/27 As at 30th June 2026 Agreed Capital Plan 2026/27 Actual Expenditure Q1 Budget Variance Q2 Budget Q3 Budget Q4 Budget Projected Expenditure Capital Plans £000 £000 £000 £000 £000 £000 £000 £000 Fleet and Plant 3,043 284 670 -386 391 650 1,332 3,043 Waste Management 463 88 112 -24 158 97 96 463 Property Estate Management 1,847 18 25 -7 205 240 1,377 1,847 Roads, Bridges and Street Lighting 7,859 259 501 -242 2,915 1,593 2,850 7,859 Open Spaces 1,655 33 300 -267 328 115 912 1,655 Flood Risk Management and Coastal Protection 1469 22 44 -22 265 175 985 1,469 Harbours 336 46 45 1 92 152 48 336 Libraries and Leisure 1,254 21 15 6 346 317 577 1,254 ICT 749 92 50 42 432 101 166 749 Learning Estate 37,015 3,122 4,002 -880 7,779 10,572 14,662 37,015 Moray Growth Deal 14,580 1,600 2,220 -620 3,096 4,591 4,673 14,580 Levelling Up Fund 5,696 486 486 0 773 1,313 3,124 5,696 Elgin Neighbourhood Board 360 0 0 0 0 0 360 360 Active Travel 0 0 0 0 0 0 0 0 Funded Spend 508 51 0 51 0 0 508 508 Emerging Priorities 460 0 0 0 0 0 460 460 77,294 6,123 8,470 -2,347 16,780 19,914 32,130 77,294 Funding Prudential Borrowing 44,929 919 44,929 General Capital Grant (exc PSHG and CYPA) 8,498 3,078 8,498 Moray Growth Deal 14,295 1,600 14,295 Levelling Up Fund 5,696 486 5,696 Elgin Neighbourhood Board 360 0 360 Other Grants & Contributions 3416 0 3416 Developers Contributions 0 0 0 Receipts generated in year 100 39 100 77,294 6,123 77,294 Appendix 1 Page 61
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Major Capital Projects spanning more than 1 financial year (as at 30 June 2026) Appendix 2 Total budget Total Expenditure in previous years Current budget 26/27 Spend to Q1 26/27 Remaining budget 26/27 Projected future years budget required Estimated Final Cost Projected Variance £000 £000 £000 £000 £000 £000 £000 £000 Moray Growth Deal Bus Revolution 4,000 1,830 123 - 123 2,047 4,000 - Early Years STEM 4,800 1,714 224 40 184 2,862 4,800 - Housing Mix Delivery 7,500 3,124 630 33 597 3,746 7,500 - Cultural Quarter 28,235 4,062 11,287 1,258 10,029 12,886 28,235 - Business Enterprise Hub 3,300 - 1,957 132 1,825 1,343 3,300 - Moray Aerospace, Advanced technology and Innovation Campus 27,035 - - - - 27,035 27,035 - Manufacturing Innovation Centre Moray 3,052 1,159 117 - 117 1,776 3,052 - Digital Health and Care Innovation 5,000 4,758 242 137 105 - 5,000 - 82,922 16,647 14,580 1,600 12,980 51,695 82,922 - Levelling Up Fund Project Management 996 444 514 23 491 38 996 - South Street Regeneration 4,800 1,781 1,404 251 1,153 1,615 4,800 - Lossie Wynd & Commerce Street 550 89 165 -2 167 296 550 - Traffic Bollards 1,000 19 145 -1 146 836 1,000 - Railway Bridge Active Travel 360 18 13 -2 15 329 360 - Junctions Edgar Rd & Laichmoray 3,600 18 200 -2 202 3,382 3,600 - Cooper Park 1,947 211 1,600 63 1,537 136 1,947 M&Co (Gordon Arms) 3,150 603 1,000 132 868 1,547 3,150 - Sawmill Flood Scheme 1,728 90 600 25 575 1,039 1,728 - LuF Design 50 - 50 0 50 - 50 - Moss Street 800 5 5 0 5 790 800 - 18,981 3,276 5,696 487 5,209 10,009 18,981 - Learning Estate Forres Academy 91,800 4,163 24,300 1,874 22,426 63,337 91,800 - TOTAL 193,703 24,086 44,576 3,961 40,615 125,041 193,703 - Page 63
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director, Finance, Strategy and Transformation Author: Jamie Fraser Contact Email: jamie.fraser@moray.gov.uk Subject: Corporate Asset Management Plan 2026/28 1. PURPOSE ☒ For Decision ☐ For Information 1.1 The purpose of this report is to provide the Committee with a revised Corporate Asset Management Plan. 1.2 This report is submitted to Committee in terms of Section III (B) (28) of the Council’s Scheme of Administration relating to the formulation, implementation and review of asset management policies and practices, and to the maintenance of an overview of the Council’s property disposal programme. 2. SUMMARY 2.1 The Corporate Asset Management Plan establishes how the Council will align its asset base to the Council’s strategic priorities, ensuring that assets are fit for purpose and support effective service delivery across communities. It provides a clear framework for prioritising investment, managing assets over their lifecycle, and achieving Best Value in line with statutory duties. 2.2 The Best Value Thematic for 2025/26 was Asset Management. The thematic review found that whilst there was good work happening within asset management the Corporate Asset Management Plan had not been reviewed since December 2024 and is out of date. In response to the finding, the agreed management response was that the Corporate Asset Management Plan would be updated to reflect the current year (2026/27) and structural changes since it was last reviewed. A further holistic approach to the Plan is scheduled for Q3 2027/28 and will include a more strategic focus. 2.3 The Corporate Asset Management Plan for 2024/25 included seven key tasks. To date, four have been completed and three are in progress. 3. RECOMMENDATIONS Item 9. Page 65
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3.1 It is recommended that Committee: i) considers and notes the work done to date to meet the targets set in the Corporate Asset Management Plan for 2024/25 as set out in paragraphs 4.1 to 4.6 ii) notes that an updated Corporate Asset Management Plan fulfils one of the actions in the 2025/26 Best Value Thematic; and iii) approves the amended Corporate Asset Management Plan for 2026-28 as set out in APPENDIX 2 to this report. Jamie Fraser Chief Financial Officer 4. BACKGROUND AND CONTEXT 4.1 The Policy and Resources Committee approved the Council’s first Corporate Asset Management Plan (CAMP) on 23 September 2008 (paragraph 6 of the minute refers). The CAMP is updated periodically with the most recent version approved at a special meeting of the Council on 22 October 2024 (paragraph 9 of the Minute refers) which included specific reference to the cap on capital – a mechanism to address affordability. 4.2 A schematic representation of the asset management planning process is included as APPENDIX 1 to this report. This representation has always accompanied the CAMP and Council should note the iterative nature of asset management planning, taking financial affordability into account. This is brought into greater focus with the application of a cap on capital expenditure. 4.3 Asset Management Planning is recognised as one of the main drivers for the Capital Plan. The lead-in time for capital projects can be up to 24 months, allowing for design work, planning permission if required and depending on the procurement route appropriate to the project. From 2025/26, the Council move to a 3-year capital, a shift from single year plans. In addition, the Council prepares indicative ten-year capital plans as part of the planning process for future years. This also facilitates assurance of financial sustainability by forecasting future investment needs of the current asset base of the Council. 4.4 The Best Value Thematic for 2025/26 was Asset Management. The thematic review found that whilst there was good work happening within asset management the CAMP had not been reviewed since December 2024 and is out of date. The current version of the CAMP only covers a single year (2024/25) and does not consider the longer term. Furthermore, the Council had not reported on the outcomes of the existing CAMP and therefore it is unclear what actions have achieved. 4.5 In response to the finding, the agreed management response was that the CAMP would be updated to reflect the current year (2026/27) and structural changes since it was last reviewed. The update would be reported to this Committee. 4.6 A further holistic review of the strategic asset management is also planned and will be conducted by the new Section 95 Officer with the outturn of that exercise being incorporated into the updated CAMP. That work is scheduled for Q3 2027/28. Page 66
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5. PROPOSALS Progress Under the Corporate Asset Management Plan 2024/25 5.1 There were seven key tasks identified for 2024/25 and these are discussed below. 5.2 Action: Improve and automate capital monitoring information provided to budget managers to facilitate better management of the capital plan. Status: Complete. Automated capital monitoring information now embedded and available to budget managers. 5.3 Action: Continue to develop the full business case for the rationalisation of depots and stores taking into account the need to decarbonise the Council’s property and fleet assets in line with the Council’s climate change objectives. Status: Complete. The full business case was approved by Council on 25 June 2025. 5.4 Action: Progress with the Smarter Working Project Stage 2 Status: Complete. Smart Working Project Stage 3 now underway and captured within the Transformation Board. 5.5 Action: Progress with the development of the Learning Estate Strategy Status: Complete – Learning Estate Review project in place, most recent activity includes elected members workshop held on 24 March 2026 and update report to ECLS on 23 June 2026. 5.6 Action: Review the status of Asset Management Plans and develop a programme of updates. Status: In progress. Conflicting priorities have resulted in little progress by way of reviewing the status. This work will be captured as part of the wider, holistic review, which is planned for completion in Q3 2027/28. 5.7 Action: Update the Asset Management Planning Process to incorporate the requirements of the Climate Change (Duties of Public Bodies: Reporting Requirements) (Scotland) Amendment Order 2020. Status: In progress. Operationally, the teams maximise opportunities to incorporate climate change duties, however this is not formally document. 5.8 Action: Continue to develop a selection process for post project reviews. Status: In progress. The Transformation Board is considering a revised project completion template. It is expected that this can be easily adopted for capital project post completion reviews. 5.9 In progress actions will be incorporated within the works planned over the revised CAMP. Corporate Asset Management Plan 2026/28 5.10 The full 2026/28 CAMP can be found at APPENDIX 2. Page 67
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6. SUMMARY OF IMPLICATIONS 6.1 The table below shows whether risks and implications apply if the recommendations are agreed: SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) ✓ ✓ Policy and Legal ✓ Financial ✓ Risk ✓ Staffing ✓ Best Value and Transformation ✓ Property ✓ Information Communications Technology/Digital ✓ Equalities. Social Inclusion and Economic Impact ✓ Climate Change and Biodiversity Impact ✓ 6.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Improved Collaborative Leadership, as part of continuous improvement through Best Value, will better enable the Council to fulfil the ambitions set out in its strategic plans. a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☒ Tackle Poverty and Inequality. ☒ Build Stronger Greener Vibrant Economy. ☒ Build Thriving, resilient, empowered Communities. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☒ Developing a diverse, inclusive, and sustainable economy ☒ Building a better future for our children and young people in Moray. ☒ Empowering and connecting communities. ☒ Improving wellbeing of our population Asset management planning assists the Council to deliver Council and community planning priorities whilst achieving Best Value. 6.3 Policy and Legal There are no policy or legal implications arising directly from this report. 6.4 Financial There are no financial implications arising directly from this report. Asset management planning feeds into the Council’s financial planning process and forms a key part of the strategy for reducing budget pressures and of the Council’s Transformation Strategy. 6.5 Risk There are no risks to the Council arising directly from this report. Asset management Page 68
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planning reduces the risk to the Council of unexpected issues arising relating to the Council’s assets. 6.6 Staffing There are no staffing implications arising directly from this report. All recommended actions are planned to be carried out within current staffing resources. 6.7 Best Value and Transformation There are no Best Value and Transformation implications arising directly from this report Best Value and Transformation is embedded within the approach to corporate asset management planning. 6.8 Property There are no property implications arising directly from this report. Efficient use of property is essential to good asset management planning. 6.9 Information Communications/Technology/Digital There are no property implications arising directly from this report. Efficient use of Information Communications/Technology/Digital is essential to good asset management planning. 6.10 Equalities, Social Inclusion and Economic Impact There are no equalities issues arising directly from this report. 6.11 Climate Change and Biodiversity Impacts The mandatory annual reporting under the Climate Change (Duties of Public Bodies: Reporting Requirements) (Scotland) Amendment Order 2020 means that the annual compliance reports must now include details of how Moray Council will align its spending plans and use of resources to contribute to reducing emissions and delivering national and regional emissions reduction targets. This means the asset management plan should align with the Climate Change Strategy and the Route Map to Net Zero. 7. CONSULTATION 7.1 This report has been prepared in consultation with members of Corporate Leadership Team and of the Asset Management Working Group and any comments made have been incorporated into the report. 8. BACKGROUND PAPERS 8.1 Held within Financial Services Page 69
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Dwelling Houses Education Estate Corporate Offices Industial Estates Other Operational Buidlings Roads Bridges Flood Alleviation Schemes Harbours Other Infrastructure Assets Fleet ICT Capital Plan Housing Investment Plan 3-year Capital Plan / 10-year indicative Capital Plan / Revenue Repairs and Maintenance / Other General Services Revenue Costs Final Asset Management Plans Asset Management Planning Land and Buidlings Infratructure Vehicles, Plant & Equipment Gather information Planning Technical review and recommendation Members set policy for asset class Affordability APPENDIX 1 Draft Asset Management Plan Members set priorities across asset classes to achieve corproate priorities Review overall affordability Capital Strategy Page 71
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APPENDIX 2 CORPORATE ASSET MANAGEMENT PLAN 2026/28 1. INTRODUCTION 1.1 The Council’s Corporate Asset Management Plan (CAMP) describes the arrangements which the Moray Council has made for asset management planning; links the asset management planning process to other key concerns of the Council; highlights progress in the preparation of asset management plans for the six main categories of asset and includes an action plan for the coming year. 1.2 The CAMP also seeks to make explicit the links which exist between the asset management planning process and the financial planning process, particularly capital planning, and this is addressed throughout the CAMP. 1.3 The CAMP has been prepared according to the guidelines set out in the CIPFA Guide to Asset Management and Capital Planning (“the CIPFA Guide”). 2. BACKGROUND 2.1 The Asset Management Working Group (AMWG) was established to develop and oversee overall asset management arrangements within Moray Council. A key task for the group is to assist in the development of proposals for capital expenditure based on asset management principles. These proposals are then fed into the Council’s financial planning process. They aim to establish appropriate expenditure plans for the medium term. Indicative ten-year plans are prepared, reflecting approved asset standards and asset conditions at the time the plan is prepared, and reported to Council when the Council Tax is set to facilitate longer term planning. The current indicative ten-year plan was approved on 28 January 2026, along with the three-year capital plan for 2026- 29. 2.2 The AMWG is also responsible for developing the corporate asset management framework and for overseeing progress on the development of individual asset management plans. Progress on the development of asset management planning is generally reported to the Corporate Committee, which approves the CAMP on an annual basis. 2.3 The key drivers for asset management planning are listed below: Page 73
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Driver Condition This requires to be measured for each class of asset, and each asset within that class graded. The Council sets targets for condition for each asset class. Suitability This assesses whether or not an asset is fit for purpose. Sufficiency This is about asset capacity rather than asset use and reflects demand for the asset. Revenue Costs The costs of operating the asset. Accessibility Both physical accessibility – e.g. with the duty to make reasonable adjustments under the Equalities Act 2010 – and whether specialist knowledge is required to operate the asset, potentially restricting its use. Value This could be the book value of the asset, the market value or replacement value. 2.4 Asset management planning is closely linked to capital planning and has come of age in local government under the Prudential Code. Long-term affordability is therefore a major concern for asset management planning. The recognised six drivers listed above all impact on affordability. The CAMP places this under the umbrella of sustainability and this will be discussed from three aspects – financial sustainability, environmental sustainability and economic sustainability – in section 3. 2.5 As well as affordability, the asset management process aims to achieve efficiency in terms of use of assets, and maximisation of value in terms of asset disposal. These twin aims imply a reduction in the Council’s asset base to reduce the cost of holding more assets than strictly required to deliver the Council’s aims and this coheres with a recommendation in the Annual Audit Report from the Council’s auditors and is included in the Best Value Action Plan 2.6 The CIPFA Guide identifies the six main categories of asset for asset management planning as property, open space, roads and associated structures, housing, fleet and ICT. Asset Management Plans should be based on robust data about the number of assets in each category; their condition; suitability for use; sufficiency for use, and revenue cost of use. They should set targets for performance; relate to service plans for future delivery of service; identify investment needs; support the Local Outcome Improvement Plan, Corporate Plan or other Council policy priorities. 2.7 In order to better reflect local priorities and operational needs two of these main categories have been subdivided. Property is subdivided into the school estate, industrial estates and offices and other properties with the later groups managed as the Council’s corporate properties; Roads etc. is subdivided into Page 74
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roads and directly associated infrastructure; harbours; flood alleviation schemes. 2.8 Assessment of current progress on preparation of asset management plans for each asset type is summarised in section 4. 3. SUSTAINABILITY Financial Sustainability 3.1 For the Council to be able to assess the sustainability of its asset base, it must have good quality information on the condition of its assets and use this to estimate the cost to the Council of maintaining each asset over its expected life. 3.2 The Council’s Capital Strategy sets out the principles underlying the Capital Planning process and in doing so describes how Asset Management Planning and Capital Planning inter-relate. The latest version of the Capital Strategy was approved by Council on 24 January 2024 (paragraph 10 of the Minute refers). 3.3 The Council requires to reduce expenditure to an affordable and sustainable level. An important part of this process will be to reduce the Council’s asset base and to agree on an affordable level of capital expenditure using the Council’s internal Performance Indicator (PI) for affordability: the percentage of general revenue funding (grant funding, Non Domestic Rates income and Council Tax) spent on servicing debt should be less than 10% 3.4 The ten-year plan when first developed was based on the work required to meet the Council’s approved standards for all asset groups. The plan presented to the Council on 28 January 2026 also reflected the requirement to provide new or improved infrastructure and facilities to accommodate planned local developments, along with expenditure arising from Asset Management Plans (AMPs). Accordingly, the Capital Plan is framed by drivers for expenditure that: recognise the Local Development Plan and other Council plans (specifically for Economic Development); Asset Management Planning; service efficiencies, particularly spend-to-save initiatives; expenditure arising from Legislative Requirements; Funded Government Priorities and Responsive Expenditure. The Plan is divided into ongoing programmes of work, named projects, fully funded projects and spend-to-save. 3.5 When the initial draft Plan has been scoped out, affordability will be assessed over the life of the Plan, using the agreed PI. This is a more rigorous test of affordability than the required Prudential Indicators as it takes a longer-term view of affordability and so acts as an early warning. Any required cap on capital expenditure will be applied pro rata to programmes and the totality of named projects. Named projects will be prioritised and ranked, with projects included in the final draft Plan up to the total capped ceiling of expenditure, as approved by Council on 22 October 2024, when the methodology of applying a cap to the capital plan was agreed. Page 75
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Environmental Sustainability 3.6 The Council’s first Climate Change Strategy and Action Plan was approved on 10 March 2021 (paragraph 13 of the Minute refers). At a meeting of the Council on 6 April 2022 a Route Map to Net Zero (RMNZ) Carbon Emissions was approved. The Council’s updated Climate Change Strategy was approved on 30 June 2026 (paragraph 8 of the minute) and covers 2026-2036. 3.7 The Council has invested in energy efficiency projects and in prior years has benefited from the Scottish Government. The Council is investigating solar energy projects to progress as spend to save energy proposals with possible funding through SALIX Loans. An annual report on the Council’s Energy Strategy is made to the Economic Development and Infrastructure Service Committee, with the latest report being to that committee on 12 November 2024. 3.8 The Council undertook a project to replace all SON and SOX street lanterns with LED lanterns and this was successfully complete in 2022/23. A project to replace lighting in corporate buildings with LED lighting where this will generate cost savings is included in the Transformation Strategy. 3.9 The Council also funds on-going small scale energy saving projects and an allowance is included in the capital plan each year to fund such projects. 3.10 Environmental considerations will remain an important consideration in the development of individual asset management plans and in developing individual projects. Proposals for capital projects will seek to maximise environmental benefits, balanced with cost to the Council. With respect to the Education Estate and LEIP funding, this has set an energy efficiency target of 67/kWh per square metre per annum for core facilities use. At a meeting of Economic Development and Infrastructure Services Committee on 7 February 2023 (paragraph 12 of the minute refers) it was agreed that for capital spend on fleet and property the value of carbon should be incorporated into the appraisal of projects. As per guidance from the UK Government Department for Business, Energy & Industry Strategy (BEIS) the social costs of carbon should be monetised and included in appraisal and evaluations to ensure the impacts of carbon are taken into consideration. The Zero Emission Fleet Strategy was approved by Economic Development and Infrastructure Services Committee on 30 April 2024 (paragraph 15 of the Minute refers). 3.11 Each key service area has a responsibility of supporting the Council’s budget strategy through reducing the cost and impact of the use of resources, including water, energy and transport fuel. This has associated carbon reductions that will contribute to the goal of the Council being carbon neutral. 3.12 The Council must also adapt prepare for and respond to the unavoidable impacts of climate change. Scotland is already experiencing rising temperatures and increased rainfall, leading to more frequent extreme weather, flooding, overheating, and pressure on infrastructure and buildings. Moray faces these same risks and must act to build resilience and reduce future costs, Page 76
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as part of its holistic asset management strategy, recognising the competing needs of long term readiness versus short term pressures. Moray Council buildings will need to adapt to a changing climate by considering flood risk, storm damage, overheating, water management, energy resilience, and the well-being of occupants, ensuring services can continue to operate safely and effectively in a warmer, more unpredictable future. 3.13 Update reported to Council on 24 September 2025 (paragraph 12 of the minute refers) examining the impacts of extreme weather events over the six years between 2018 and 2023. The Climate Adaptation Benchmarking 2025 report to ED&I on 16 June 2026 highlighted that positive progress is being made by the Council, however it is still at a relatively early stage. An example of adaptation delivery is the Moray Climate Ready Schools project which is a cross-service collaboration led by Strategic Planning and Development, using nature based solutions to address climate risk and improve outdoor learning and play environments. Economic Sustainability 3.14 The Council aims to support a sustainable economy in Moray through various policy initiatives designed to support economic development locally and in particular through the development of the Moray Economic Partnership, Moray Economic Strategy and the Moray Growth Deal. 3.15 For asset management planning, economic sustainability has three strands: ensuring the Council’s asset management planning process supports the economic development process by joined-up planning with partners in the Moray Economic Partnership and Moray Growth Deal; planning asset management which directly supports economic development (such as developing industrial estates or facilitating development at Buckie harbour), and reflecting the requirements of the Local Development Plan. 3.16 Asset disposal can support financial sustainability by maximising capital or other financial receipts. Economic sustainability can also be assisted by facilitating community development and the Council’s Community Asset Transfer process seeks to support local sustainable community ventures. This process continues to be part of the mainstream asset management planning function of the Council. 3.17 The Moray Growth Deal was formally signed by the Council and the both the UK and Scottish Governments on 20 December 2021. The outline business cases (OBC) for the various projects were presented to Government and agreed as a precursor to sign off. The financial spend and funding profile in the full business case for the Digital Health Initiative and OBCs for the other seven projects were incorporated into the Council’s ten year Capital Plan. As Full Business Cases are and signed off the capital plan is updated to reflect the latest planned profile. Any amendments arising from approved change Page 77
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requests will also be reflected in Council’s ten year capital plan. The current plan reflects 2 of the Council-led projects being in delivery. 3.18 The Levelling Up Fund was formally approved by the UK Government in November 2023. Supporting the delivery of the Elgin City Masterplan programme, the fund will contribute towards three core projects – a Vibrant City Centre, Transforming the Sawmill and Reimagining Cooper Park. The current Capital Plan reflects delivery through to 2028. 4. ASSET MANAGEMENT PLANS 4.1 Property 4.1.1 The Education Estate The Council operates its Education Estate under two models, 49 schools are managed fully by the Council and 3 schools are managed through a private public partnership arrangement. On an annual basis the council must report on the core facts data about condition, suitability and utilisation to Scottish Government. To support this a 5-year cycle of separate condition and suitability surveys are conducted in accordance with the Scottish Government core facts guidance. These collectively inform the Councils education estate management plans and inform spending and investment decisions. The Council is reviewing its Education Estate in a phased process based around Associated School Groups (ASGs). A Learning Estate team was established in May 2021 to deliver the 2020 Moray Learning Estate Strategy. In addition to managing refurbishment and new build projects, the team are focused on developing options for estate rationalisation, engaging with the local community and other stakeholders to deliver a long term sustainable and affordable Learning Estate. At Council on 9 October 2020 (paragraph 4 of the Minute refers) the draft approach on the Learning Estate Strategy was presented. The approach confirmed that B suitability and B condition across all elements of a school should be a minimum standard which is aligned with current Scottish Government learning estate aspirational outcomes. An updated Learning Estate Strategy was agreed at Council on 28 September 2022 (paragraph 12 of the minute refers). The Scottish Government have stipulated minimum standards for schools funded through the Learning Estate Improvement Programme (LEIP). There are four key elements to LEIP. Firstly condition, where a new learning environment is built to a high quality (Condition A) and well maintained (not less than Condition B) over the long-term (25 years). Secondly, new build should be energy efficient and over the long-term contribute to net zero commitments. Thirdly, it should enable digital learning and advancements in technology. Finally, the investment creates new jobs and enables inclusive economic growth. It recognised there needs to be whole life costing and maintenance plans adequately provided for in the Council’s financial planning and recognition that it may take many years to achieve this across the whole school estate. Page 78
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4.1.2 Offices / Other operational buildings A review of the Council’s office accommodation has been completed as part of the Smarter Working Project following the move to hybrid working as the norm. The project began with the HQ Campus and the general principles have been rolled out across all Council offices. The full business case was approved by Council on 28 June 2023 with phases one to three now complete the closure report was approved at the Economic Development and Infrastructure Services Committee on 16 June 2026. Surplus office assets have been identified as part of this process and revenue savings have been identified and delivered. The full business case for the rationalisation of the Council’s operational depots and stores was approved by the Council on 25 June 2025. This will facilitate the rationalisation of the Council’s depot and store properties with savings to be generated used to invest in the remaining assets to improve their condition and suitability. Further the project will support the decarbonisation of the Council’s property and fleet assets in line with the Council’s climate change objectives. These two projects are part of the Council’s Transformation Strategy. 4.1.3 Industrial Estates The annual industrial portfolio report on industrial estates is the vehicle for asset management planning for the Council’s industrial portfolio. The latest report was to the Economic Development and Infrastructure Committee on 2 September 2025. The Industrial Estate portfolio plays an important role in supporting the Corporate Plan aim of facilitating economic growth and diversification of the local economy. A recent development has been the inclusion of a review of disposal on part or all of the industrial portfolio. Through this process an asset was identified for potential disposal and is progressing though that process and managed within the Council’s Transformation Strategy. This is part of the process of challenging the Council’s asset base with a view to reducing it where this will generate savings. 4.2 Open Space 4.2.1 The Council does not have an approved all-encompassing asset management plan for open spaces (including park and cemeteries), however specific types of open space – in particular cemeteries – have strategies approved by committee and an infrastructure survey on each cemetery has been completed. A programme of infrastructure repairs for cemeteries is being developed The Cemetery Strategy was approved by the Economic Development and Infrastructure Services Committee on 4 December 2018 (paragraph 6 of the Minute refers) and provision of a new cemetery in Elgin is complete. 4.2.2 The Scottish Government current scheme of funding for upgrades to play areas has now concluded. The Council’s capital funding available is now used to address emerging issues within play areas, primarily relating to addressing issues around individual pieces of play equipment. A capital budget is also available to address emerging issues within the Councils Parks and Open Space. Page 79
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4.2.4 The development of a full Asset Management Plan is not currently a priority of the service due to other competing demands on the team’s resources but investment continues to be made and prioritised in response to health and safety concerns and as outlined above. 4.3 Roads and other infrastructure 4.3.1 Roads and Associated Infrastructure The first Roads Asset Management Plan (RAMP) was completed in April 2012, following a nationally developed model. The RAMP addressed the specific lifecycle requirements of 5 different asset groups: carriageways, footways (including footpaths and cycle tracks), structures, street lighting and street furniture. This was then modified in the preparation of the financial plan for 2014/15 in which a target of reducing the standard of Moray’s roads to the Scottish average over the next ten years was set in order to achieve savings, and this target has since been clarified as being a desired mid-table ranking. The latest RAMP was presented to the Economic Development and Infrastructure Services Committee on 7 February 2023 (paragraph 6 of the Minute refers). It was approved that Officers continue to monitor the Road Condition Indicator (RCI) on an annual basis and subject to the outcome of these, consider undertaking a more detailed analysis that would provide a more up to date long-term prediction on road condition for the future years. In the meantime, work would continue to the current standard, which is mid-table in terms of the highlight RCI score. The latest report on RCI was to Economic Development and Infrastructure Services Committee on 30 April 2024 (paragraph 8 of the Minute refers). 4.3.2 Bridges Network bridges are maintained in line with the Bridge Maintenance Prioritisation Policy, agreed by members at a meeting of Economic Development and Infrastructure Services Committee on 2 May 2023. A risk based approach has been adopted considering the condition and strategic importance of each bridge. The condition of the network bridges is monitored through a programme of General Inspections every 2 years and Principal Inspection every 6 years. Strategic importance is determined using various criteria and each bridge is classed as Vital, Important or Standard. As so many of Moray Council’s bridges are classed as standard this has been sub categorised to Standard High, Medium and Low. The Council’s non-network bridges are maintained in line with the Non-network Bridge Maintenance Policy, agreed by members at a meeting of Economic Development and Infrastructure Services Committee on 10 March 2026. The prioritisation method for non- network bridges is similar to that for network bridges but without any sub- categorisation. Non-network bridge condition is monitored through General Inspections undertake every 3 years. Principal Inspections are not routinely undertaken on non-network bridges but if an issue is identified during a General Inspection this is likely to trigger a Principal Inspection. Page 80
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4.4 Harbours 4.4.1 Condition surveys of the harbours have been used to develop a planned programme of work which forms the Asset Management Plan for the harbours. That plan is reviewed annually. The nature of the asset is such that emergency and unplanned works can be required, particularly following severe weather events, and an agile approach to asset management planning is required. 4.5 Flood Alleviation Schemes 4.5.1 Maintenance of the Council’s seven flood protection schemes is undertaken as and when required. Inspection of these schemes is considered critical and any work identified during these inspections is prioritised based on risk. 4.5.2 Under the Flood Risk Management (Scotland) Act 2009, the Council must prepare and publish Flood Risk Management Plans for Moray. This is done in partnership with SEPA and neighbouring authorities. The plans set out, at a fairly high level, actions to address flood risk over a six year cycle. As part of the plan, an annual schedule of Clearance and Repair is published, subject to agreement by members. 4.5.3 Small watercourses, culverts and coastal protection systems as identified on the flood team’s schedule of clearance and repair are prioritised based on risk. 4.5.4 The Council has also approved a Coastal Adaption Plan for managing the coastline within the Moray area (Economic Development and Infrastructure Service Committee on 30 April 2024, paragraph 9 of the Minute refers) 4.6 Housing 4.6.1 The Council’s housing stock has required significant investment to meet the Scottish Housing Quality Standard (SHQS) and Energy Efficiency Standard for Social Housing (EESSH) within appropriate timescales and work has been and continues to be ongoing to achieve this. The Housing Investment Plan approved by Council on 25 February 2026 (paragraph 5 of the minute refers) sets out the areas of spend for next financial year and the following two years in order that the Council can continue the significant improvement of the quality of the housing stock in line with legislation, with a particular emphasis on the improvement of the energy efficiency of the properties. 4.6.2 A review of the Housing Business Plan was carried out in 2023 to assess the capacity of the Housing Revenue Account to deliver the housing service’s ongoing investment priorities, and this was refreshed in 2024 following significant increase in interest rates. 4.6.3 The Council’s Strategic Housing Investment Plan 2023/28 sets out proposals for the delivery of new Council housing over the planned period. The programme will be funded from resources provided by the Scottish Government as part of the Moray Affordable Housing Programme. Targets have been Page 81
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revised following a decrease in Scottish Government funding for housing new build. The new council housing is being built to high levels of sustainable design and energy efficiency, achieving EPC B and the “silver” level of current Building Regulations in respect of both Carbon Emissions and Energy for Space Heating. 4.7 Fleet 4.7.1 The Zero Emission Fleet Replacement Strategy was approved by the Economic Development and Infrastructure Services Committee on 30 April 2024 (paragraph 15 of the Minute refers); however, implementation of the strategy is currently on hold due to capital affordability pressures and will be reviewed as part of future fleet and capital planning exercises. The priority is now being given to the replacement of heavy vehicles and plant assets, with replacement lives for light vehicles, including pool cars, being extended in response to current capital funding constraints. The Zero Emission Fleet Replacement Strategy was approved by the Economic Development and Infrastructure Services Committee on 30 April 2024 (paragraph 15 of the Minute refers); however, implementation of the strategy is currently on hold due to capital affordability pressures and will be reviewed as part of future fleet and capital planning exercises. 4.8 ICT 4.8.1 The use of ICT underpins all of the Council’s activities, to a greater or lesser extent. It is recognised that robust asset management planning for this area is of great importance. The response to the pandemic has changed the shape of the Council’s ICT asset base through extensive roll out of devices to support hybrid working. Another significant change is the move to hosted, or Cloud based, systems which reduces the requirement for ICT infrastructure at our own premises. The impact of these changes on future requirements is still being assessed. 4.8.2 The current policy for replacing ICT assets varies, depending whether the equipment is related to the schools’ network, or the corporate network but is essentially based on the optimal age for the type of asset in the particular setting. Actual replacement, however, does need to take into account other factors such as performance of the asset but also external factors such as third party support, compatibility with other products, general trends in technology, and security requirements / accreditation. The increased number of mobile devices will also have a bearing on the current policy. This will be addressed when consideration is given to the replacement of the mobile devices which were rolled out during a short period of time. Page 82
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Finance, Strategy and Transformation Author: Jon Matthews Contact Email: jon.matthews@moray.gov.uk Subject: Transformation Strategy Development – Progress to 30 June 2026 1. PURPOSE ☒ For Decision ☐ For Information 1.1 To ask the Committee to consider and note progress on the delivery of the Council’s Transformation Strategy, as part of the ongoing monitoring of progress. 1.2 This report is submitted to the Committee in terms of Section III (A) 2 of the Council's Scheme of Administration relating to considering Capital and Revenue Budgets and long- term financial plans. 2. SUMMARY 2.1 This report outlines and seeks the Committee's consideration on progress of the Council’s Transformation Strategy up to the end of June 2026, summarising ongoing projects and future plans aimed at enhancing financial sustainability and service delivery. 2.2 Appendix 1 provides a holistic summary table of the projects in the transformation programme, logging their status and performance against several metrics. It is noted good progress has been made across the majority of the projects, with eighteen out of the twenty projects having an aggregated RAG status of green, and all open projects’ direction of travel trajectory either being level or upwards. 2.3 Appendix 2 contains the highlight project reports, which are completed and submitted as part of the Transformation Programme Board governance. As such, they provide additional level of granularity on each project, across project progress updates, risks and issues, and next steps within the project. 2.4 The Learning estate projects are not included in Appendix 2 as their content is considered in detail by ECLS Committee, but a summary of them is provided in Appendix 1 to show a holistic view of the key transformational activities being undertaken across the Council. 2.5 The next Transformation Strategy update will go to November’26 Corporate Committee. Item 10. Page 83
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3. RECOMMENDATIONS 3.1 It is recommended that the Committee considers and notes the quarterly update on the delivery of the Council’s Transformation Strategy. Jon Matthews Executive Director Finance, Strategy and Transformation 4. BACKGROUND AND CONTEXT 4.1 The Council at its meeting on 24 September 2025 (paragraph 13 of the minute refers) approved Stage 3 of the Council’s Transformation Strategy, which contains opportunities for new ways of operating to make the council sustainable in the longer term. This Stage 3 of the Strategy takes forward development of transformation work from the first iteration that was agreed in April 2024. 4.2 The updated Strategy approved in September 2025 took account of progress made on the programme of transformation projects, developing projects that came forward from research and discovery work and new thinking that emerged from workshops held with councillors and senior officers. The Strategy sets the projects for new ways of operating against four themes: Community Focused, Sustainable Places, Smarter Internal Working, and Strategic Economic, Environmental and Regeneration Development. The Strategy outlines ongoing projects and plans to enhance the financial sustainability and improve service delivery across the Council. 4.3 The next steps are to continue the projects as set out in the update and to continue development of the innovation and discovery areas noted within the Strategy, such as commercial opportunities and digital and customer services. 4.4 A financial business case template has been developed, which will be used to bring consistency for project appraisal. Any new funding of transformation projects will be taken to Council for approval as per the Scheme of Administration. 5. PROPOSALS 5.1 It is proposed that Committee considers and notes progress on the delivery of the Council’s Transformation Strategy. 6. SUMMARY OF IMPLICATIONS 6.1 The table below shows whether risks and implications apply if the recommendations are agreed: SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) √ Policy and Legal √ Financial √ Page 84
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Risk √ Staffing √ Best Value and Transformation √ Property √ Information Communications Technology/Digital √ Equalities. Social Inclusion and Economic Impact √ Climate Change and Biodiversity Impact √ 6.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Improved Collaborative Leadership, as part of continuous improvement through Best Value, will better enable the Council to fulfil the ambitions set out in its strategic plans. The Transformation Strategy is the development of the Council commitment in the Corporate Plan to the values of Ambitious: ensuring sustainable and efficient services; and Improving: drive improvement, encourage innovation and invest in transforming to meeting future needs and forms the Transformation Strategy referred to in the Strategic Delivery Framework. The Transformation Strategy and projects contribute to the Council’s priorities of tackling poverty and inequality, building stronger greener vibrant economy and building thriving, resilience empowered communities. The projects also support the strategic delivery framework of the financial strategy workforce strategy and digital strategy. a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☒ Tackle Poverty and Inequality. ☒ Build Stronger Greener Vibrant Economy. ☒ Build Thriving, resilient, empowered Communities. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☒ Developing a diverse, inclusive, and sustainable economy ☒ Building a better future for our children and young people in Moray. ☒ Empowering and connecting communities. ☒ Improving wellbeing of our population 6.3 Policy and Legal None. 6.4 Financial Appendix 1 details the cost and savings across the approved projects. 6.5 Risk The risks associated with the transformation programme are managed through the relevant programme boards and overseen by Extended Corporate Leadership Team (ECLT). There are no changes to the current risk profile however, it is noted that reporting is Page 85
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evidencing continued progress across the programme of projects in the Transformation Strategy and progress is being made in maintaining pace which has previously been noted as a risk. However, the risks associated with change and the success of transformation remain and will continue to be monitored. In order to manage these risks, the Council will: i. Ensure that all projects meet a given standard of governance that is proportionate to the change; ii. Ensure there are adequate resources for the overall programme of work and for individual projects; iii. Manage the dependencies and interdependencies across the scope of the change and its implications for other areas of prioritised work; iv. Appoint appropriate project resources; v. Review whether objectives are deliverable and review planned work accordingly. 6.6 Staffing There continue to be challenges in securing resources and service capacity to progress projects. However, the allocation of project resources to specific projects is showing impact with projects such as smarter working and learning estate showing good progress. This approach is now built in as projects are identified and reach an appropriate stage. Resourcing at Council level is being considered as part of the Phase 2 structural review. 6.7 Best Value and Transformation The Transformation strategy aims to deliver council transformation. 6.8 Property No direct implications from this report, although property is the subject of some of the projects within the transformation programme, as detailed in Appendix 2. 6.9 Information Communications/Technology/Digital There are no Information Communications/Technology/Digital implications from this report, although it is an aspect of several of the projects within the transformation programme, as detailed in Appendix 2. 6.10 Equalities, Social Inclusion and Economic Impact For the purposes of this report an Equality and a Socio Impact Assessment are not required, however it is acknowledged that various workstreams will identify change that will have an impact on equalities and socio-economic considerations and will be reported in due course. 6.11 Climate Change and Biodiversity Impacts There are no immediate climate change implications directly arising from this report. However, the energy projects contribute to future environmental sustainability and climate change, as detailed in Appendix 2. 7. CONSULTATION 7.1 This report has been prepared in consultation with the Extended Corporate Leadership team who have been involved in the ongoing development of the transformation Page 86
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programme, including as the project initiation board reviewing new mandates and driving forward specific project work. 8. BACKGROUND PAPERS 8.1 Vehicles: Pool Car paper (Member access only) 8.2 23 April 2024 Corporate Committee (item 06 Report ) and Appendix) 8.3 24 April 2024 Special Full Council (item 04 Report and Appendix 1 and Appendix 2) 8.4 13 August 2024 Full Council (item 6a Report and Appendix 1 and Appendix 2 8.5 5 November 2024 Corporate Committee (item 16 Report and Appendix) 8.6 28 January 2025 Corporate Committee (item 09 Report and Appendix) 8.7a 8.7b 10 June 2025 Corporate Committee (Item 08 Report) 10 June 2025 Corporate Committee (Item 08 Report incorporating Appendix) 8.8a 26 August 2025 Corporate Committee (Item 10 Report incorporating Appendix)) 8.8b 26 August 2025 Corporate Committee (Item 10 Report) 8.9 24 September 2025 Full Council (Item 11 Report) 8.10 8.11 17 February 2026 Corporate Committee (Item 9 Report) 25 May 2026 Corporate Committee (Item 14: Previous Transformation Strategy Report) 8.12 30 June 2026 Full Council (Item 14: Annual Moray Growth Deal Report) Page 87
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APPENDIX 1 TRANSFORMATION PROGRAMME SUMMARY TABLE RAG status is aggregation of the three RAG categories in the project highlight reports. Revenue Capital Future Workforce Sustainability Jul'26 £120 £1,000 Upwards G Depot and Stores Rationalisation Sustainability Sep'28 £7,500 £210 £3,400 Level G Industrial Estate Economy Dec'26 Confidential - commercial negotiation Level G Customer Service CRM Sustainability Dec'26 £350 Service Quality / Capacity Upwards G BIM System Sustainability Jan'28 £72 Service Quality / Capacity Upwards G LED Lighting Economy Mar'28 £218 £38 Level G Solar PV Sustainability Mar'28 £333 £53 Upwards G ICT & Digital – Housing Repairs Community Dec'25 Service Quality / Capacity Level G Raising Attainment: Well-being (ASN) Community Feb'26 Service Quality / Capacity Complete G Smarter Working Phase 3 (Homes) Sustainability Mar'26 £115 £200 £250 Complete G Business Support for Schools Sustainability Mar'26 £27 Complete G Digital Inclusion Raising Attainment Sustainability Mar'26 £25 Service Quality / Capacity Complete G Just Transition Economy May'26 £3,200 Wide ranging business case Level A Moray Growth Deal Economy Dec'31 £104,416 Wide ranging business case Upwards A Levelling Up 3 Poverty Mar'28 £18,300 Wide ranging business case Upwards G Elgin Neighbourhood Board Community 2036 £20,000 Wide ranging business case Upwards G Elgin High School Refurbishment Sustainability Dec'27 £1,400 Service Quality / Capacity Upwards G School B-B programme (1-3 years) Sustainability 2028 £18,500 Service Quality / Capacity Level G Forres Academy Community Oct'28 (P1) £92,430 Wide ranging business case Upwards G Buckie High School - Phase 1 Community 2029 £13,000 Wide ranging business case Upwards G Direction of Travel RAG Status Concept / Development Implementation / Delivery Complete / Closing Major Programmes Learning Estate Stage Project Corporate Priority Target Date Project Funding (£'k) Annualised Benefit (£'k) Page 89
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TRANSFORMATION PROJECT HIGHLIGHT REPORTS APPENDIX 2 Project Title: Future Workforce SRO/PM: H/ People, Change & Community Strategy / Senior HR Advisor Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule DEFINITION £120K Approx. £1,000,000 per annum N/a GREEN GREEN AMBER Jul 26 55 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green • Research phase completed • Analysis of working hours and T&Cs (including working hours) completed • Benchmarking with other councils completed • Scoping exercise undertaken in conjunction with Service managers to determine any implementation risks of changing standard working week • IIA drafted – needs developed as project progresses, due to complexity of scoping process and potential impact on specific groups of staff • Business case options being drafted, including phasing interlinked with wider organisational change programme (which is driving schedule risk) Risks and Issues Overall risks with project: Business risks: - Customer service: Internal and external - Public reputation - Longer wait times / reduced service access - Industrial action - Low morale and employee or customer dissatisfaction Service / Operational / Implementation risks: - Timescales for landing all elements - Employee relations within services - Instability – prolonged period of change for employees - Risk of statutory deadlines / targets not being met - Loss of grant funding if timescales not met - Cost risks: Need to use more overtime / agency / recruit extra staff - Collective bargaining / change management process / timescales - Increased absence / labour turnover - Risk of additional costs through additional overtime or FTE required - Some tasks may need stopped / reduced - Workload – some services are already struggling to deliver workload, and this can be compounded with vacancies / difficulties in recruitment Next Steps • Complete full business case • Recommendation on which (and the sequencing of) ways of working and terms & conditions changes should be delivered to ensure a sustainable, competitive employment package • Engagement and collaboration with Trade Unions Page 91
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Project Title: 19-0003a Depot and Stores Rationalisation SRO/PM: H/Housing, Property & Communities / Depot & Stores Project Officer Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule PLANNING £7.5M £210,028 £3.4M GREEN GREEN AMBER Sep 28 9% Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green The project remains broadly GREEN, with continued progress across key workstreams. However, the schedule has been updated to AMBER to reflect increasing delivery pressures and emerging resource constraints. Progress since last period: • Tyock Depot: A new letting has now been agreed - strengthening the overall financial position. • Governance and reporting: The Committee report has been finalised for submission to Moray Council Committee on 30 June 2026. • Scope expansion: The report continues to include the addition of Keith Salt Barn, and now also incorporates Archives and Records Storage, which was previously noted as out of scope. This reflects a more integrated programme approach across interdependent assets. • Programme coordination: Work is progressing to align delivery across an expanded scope, with improved coordination arrangements being established. Risks and Issues • Schedule pressure and resource capacity (NEW): The schedule is now AMBER due to increased demands from expanded scope and existing commitments, creating pressure on the FBC timeline and a risk of delivery slowdown within 6 - 8 months. • Risk: Disposal values for surplus sites may be lower than assumed in the Business Case, impacting capital receipts and overall programme affordability. • Risk: Consultation timelines - Depot closures remain dependent on consultation and change processes being concluded as expected. • Key dependencies: ICT, Estates and service availability continue to influence sequencing and delivery timescales. • Dependency: Key elements of the Freuchney work package are dependent on SEPA approval, with regulatory lead-in times presenting a potential schedule risk, Next Steps • Establish the new delivery group and governance arrangements for Archives and Records Storage. • Progress the formal transition and integration of the Keith Salt Barn project into the wider programme. • Implement enhanced programme coordination, with regular team meetings now scheduled to support a more joined-up delivery approach across all workstreams. • Continue to monitor and actively manage resource capacity and delivery pace to mitigate emerging schedule risks. Page 92
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Project Title: 24-012 Industrial Estate (Transformation Strategy) SRO/PM: H/Housing, Property & Communities / SM/Property, Estates & Assets Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule DELIVERY - - - GREEN GREEN GREEN 12/26 75% Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green Project details, including financial information, risks and issues, and next steps are treated as confidential while transaction live. Details are included in Committee report to Council on 25 February. Risks and Issues Next Steps Page 93
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Project Title: 24-016 Customer Service CRM and systems support SRO/PM: H/Customer Experience, ICT & Digital Services / Business Support TL, Customer Svcs &Exp Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule Delivery 350k GREEN GREEN GREEN Dec 26 40 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green • Project remains GREEN, with delivery currently on track and within budget. • The project team has progressed from training and discovery into the active build phase and has completed development of several core system components. • Delivery remains on target for launch of the first functional component (Democratic Services) on 1 July 2026. • Ongoing collaboration with ICT is supporting configuration of the on- premise integration adapter required for the solution. • Existing CRM customer records have been reviewed, consolidated and prepared for migration to the new platform, with migration preparation work planned for completion by the end of July. • A dedicated discovery workshop has been completed with Netcall to review Housing service requirements, and recommendations from the supplier's solution architect are awaited to inform configuration activities. • Service engagement continues across multiple service areas, with project officers actively developing solution components including the complaints module. • The Project Manager continues engagement with other local authorities using Netcall to gather implementation experience, use cases and technical learning to support delivery. Risks and Issues • A comprehensive project risk register has been developed and is being actively maintained as part of the overall Project Plan. • The primary risk relates to delivery timescales, with delays to contract completion, and supplier project start-up outside Moray Council’s control, representing three-month delay to commencement of configuration work. Mitigation is in place, with reallocation of staffing to increase build-team capacity for config, testing, and go-live activities over compressed timescales; target date is unchanged. • Internal governance arrangements are well established, with regular Project Board meetings supported by update reports. Project Team meetings are in place and minuted. Next Steps • Launch Democratic Services component (July 2026). • Complete configuration and testing of on-premise integration components (July 2026) • Complete customer data migration preparation and cleansing activity (July 2026) • Obtain Netcall solution architecture recommendations for Housing requirements and agree configuration approach (July 2026) • Continue development of priority service components Page 94
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Project Title: 21-0010 Buildings Information Management Systems (BIM) SRO/PM: H/Housing, Property & Communities / Senior Asset Management Officer Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule DELIVERY 72 - - GREEN GREEN GREEN Mar 2028 5 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green Schedule has improved from Amber to Green. Okana and Moray Council have completed planning for all of Workstream 1 and are now progressing the planning of Workstream 3. This reflects positive progress following agreement of the key delivery content and structure. Completion date of Mar’28 reflects revised programme with Okana. Risks and Issues • Okana and Property have completed planning for all of Workstream 1 and are progressing the planning of Workstream 3. In parallel, IT continues to advance the implementation of new Microsoft 365 services and configurations. This overlap remains a risk. • The improvement in schedule status from Amber to Green reflects strong progress; however, continued alignment across Property, Okana, Procurement, and IT remains essential to maintain momentum and delivery confidence. • Training uptake continues to present a delivery risk. While there has been an improvement, engagement remains below the level required to fully support delivery and so focus is still required in this area. Next Steps • Continue coordination with Okana as planning for Workstream 3 progresses, building on the completed planning for Workstream 1. • Finalise and agree delivery plans, timelines, and detailed content for the remaining workstream packages. • Okana delivered a Welcome Session (week commencing 08 June 2026) to initiate stakeholder engagement. • Okana to undertake in-person sessions (week commencing 22 June 2026) to support delivery of Workstream 1 activities • Progress delivery of Workstream 1, with completion targeted by the end of August 2026. • Increase training completion across all identified personnel to ensure staff have the necessary foundation knowledge ahead of group sessions. • Line managers to actively monitor and manage training uptake to ensure timely completion of required modules. Page 95
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Project Title: 24-010 LED SRO/PM: H/Housing, Property & Communities / SM/Property, Estates & Assets Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule DELIVERY £218k £38k - GREEN GREEN GREEN Mar 28 33 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green Review of delivery method progressing, taking account of reduction in design resource in house. Long term delivery option report to be finalised during summer period. For individual projects until long term plan is finalised the delivery method will be presented as part of sign off of each project by Chief Finance Officer and Head of HP and C. Will be a reliance on external support for design. Costs and savings depend on projects taken forward, with budget for each project approved on spend to save principles. Paper submitted to Transform Board of 24 March demonstrated savings being achieved. Proposals are now in place for Speyside High School. There is a pipeline of other projects in development, mainly in the leisure and education estate. Risks and Issues Continues to be concern around future programme which relies on spend to save principles which limits expenditure in advance of approved project. Looking at options to ensure individual work packages can be developed without creating cost pressures. Costs of materials are affected by geopolitics, not all projects will meet strict spend to save criteria. However, they are still necessary to bring lighting to modern standards and reduce pressure on reactive maintenance budgets. Potential that some projects will not meet spend to save criteria and not progress. Next Steps Continue to develop programme for wider estate and provide proposals for the next phase of projects looking at next highest energy consuming sites. Work being undertaken to ensure works link to any planned works in other assets specifically Learning Estate and Depot and Store Rationalisation. Proposals will be submitted in line with new spend to save template from Finance however consideration needs to be made that this work is cost avoidance so discussions on how this can best be included in spend to save calculations requires progressed with finance. Page 96
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Project Title: 24-011 Solar PV SRO/PM: H/Housing, Property & Communities / SM/Property, Estates & Assets Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule DELIVERY £333k £53k - GREEN GREEN GREEN Mar 28 36 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green New software package implemented jointly with Climate Change Team to help in assessing energy savings/value for money calculation for future projects. Work to identify next projects continues. Costs and savings depends on projects taken forward, budget approved on spend to save principles. Paper submitted to Transform Broad of 24 March demonstrated savings being achieved. Project to install PV on Keith Grammar approved and an interest free loan secured. Speyside proposal being produced with a view to both projects delivered over summer holidays still planned. Risks and Issues Continues to be some concern around future programme which relies on spend to save principles which limits expenditure in advance of approved project. Design work having to be undertaken at no cost or funded from wider revenue budgets. Options to ensure individual work packages can be developed without creating cost pressures are being considered however difficult to develop while progressing delivery at same time. Next Steps Develop proposals to be submitted for approval under delegated powers focusing on properties with high electrical usage. Proposals will be submitted in line with new spend to save template from Finance. Page 97
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Project Title: 22-007: ICT & Digital – Housing Repairs SRO/PM: SM/Building Svs / Senior Project Officer H&P Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule CLOSURE GREEN GREEN AMBER Dec 25 97 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green As a result of the Change Request submitted in September, the project was extended to December 2025 and is now in the Closure Phase • The issue with the customer facing version of the repair’s online customer reporting tool has been resolved. As a result, the updates which promote online booking for non-Emergency repairs have been implemented on the Customer facing webpage. Note: The Repairfinder functional updates will be held over for implementation in next financial year as they will have financial implications. • The Moray Mobile application development and implementation have been completed for both the Planner and standard version o The revised app for operatives has been rolled out with no further issues. Note: The next version of the app with additional features will be developed and rolled out post project o The Planner App for the Schedulers with its additional functionality has been tested and was implemented with the Scheduling Team from 24th November which allows jobs to be retained on the system for non-mobile workers e.g. contractors • Operationally annual leave and existing vacancies within trades have continued to impact but the service is still being maintained. However, two new processes have been implemented which keep cases open and retain on the system to allow better management and reporting are now in place. • Procedures being updated and handed over to Senior Scheduler • Out of Hours service continues to evolve operationally with further small amendments. • The interim processes to cover the end of the X Tag application and the implementation of the new NEC module is now fully in place with legacy data now available on an internal server. • Amber schedule reflects close out report is overdue. Risks and Issues RED Risk & Issues - None to report Next Steps • Monitor and finalisation of Phase 2 “To Be” processes and handover • Repairfinder Diagnostics tool - Finalise update of Repairfinder diagnostic tool and online tool server fix. • Complete end of project report Page 98
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Project Title: 18-013 Raising Attainment: Well-being (ASN) SRO/PM: H/Education / SM/Business Support Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule CLOSED GREEN GREEN GREEN Feb’26 100 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X Complete Progress Update To include reason for Red/Amber status and actions to get back to Green End of project report went to ECLS in February 2026. Project now closed Risks and Issues Ongoing risks sit within business as usual with bi-annually reports to committee. Next Steps As above. Page 99
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Project Title: 22-013 Smarter Working Phase 3 SRO/PM: H/Housing, Property & Communities / SM/Property, Estates & Assets Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule CLOSED £115k 200K 250K GREEN GREEN AMBER MAR 26 100 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X Complete Progress Update To include reason for Red/Amber status and actions to get back to Green The project has now been successfully completed and formally closed. Final outputs were delivered in line with the agreed scope and timeline, and all required actions have been completed. The project was presented to the ED&I Committee and received formal sign-off on 16 June 2026, confirming that objectives have been met and no further delivery activity is required. Risks and Issues There are no outstanding risks or issues associated with this project. Any risks identified during delivery were appropriately managed and mitigated prior to closure. As the project is now complete and signed off, no further monitoring is required. Next Steps No further steps are required. The project has transitioned to a business-as-usual position where applicable, with any relevant outputs embedded into standard processes. Page 100
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Project Title: 19-007a Business Support for Schools (Schools Business Admin) SRO/PM: H/Education / SM/Business Support Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule Closing 27k n/a GREEN GREEN AMBER Mar 26 100 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X Complete Progress Update To include reason for Red/Amber status and actions to get back to Green End of Project Report has been completed and will go to ECLS on 23 June 2026. Risks and Issues Next Steps Close Project Page 101
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Project Title: 21-014 – Digital Inclusion Raising Attainment: Curriculum Breadth – Digital Inclusion SRO/PM: H/Educ & H/Customer Exp, ICT & Digital S SM/ ICT Infrastructure Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule CLOSED 24,500 N/A N/A GREEN GREEN AMBER Mar 26 100 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X Complete Progress Update To include reason for Red/Amber status and actions to get back to Green All of the in-scope devices from the initial iPad asset list have been enrolled in the MDM system. All new devices are procured with a licence and are fully enrolled prior to their deployment by default. The total number of devices enrolled is just over 1306, of which 307 are devices procured after the start of the MDM implementation. On that basis, the project is now considered to have moved to business as usual. End of project report completed Risks and Issues • No new risks / issues Next Steps • Complete Page 102
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Project Title: Just Transition SRO/PM: H/Growth Planning & Climate / SM/Strategic Planning & Dev Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £’m Revenue Saving £ Capital Saving £ Objectives Budget Schedule CONCEPT 3.2 AMBER AMBER GREEN May 2026 95% Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green Just Transition bid for 2026/27 submitted on 8 May 2026 following review by Executive Director – Economy, Enterprise and Operations under delegated authority received in January 2026. Notified of successful shortlisting on 8 June 2026 with due diligence process now commencing. Due diligence queries responded to by deadline of 15 June 2026. Risks and Issues Risk that funding is not made available in subsequent years to support delivery of projects. Risk that multiyear approach for some projects is not supported. Next Steps Officers awaiting final funding outcome following ministerial consideration. Expected late June/early July. Officers to commence engagement with partners to discuss outcome of funding announcement and next steps for FY27/28 bid and beyond. Report to Council on 30 September 2026 to provide update on progress and plan for way forward. Page 103
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Project Title: Moray Growth Deal Programme SRO/PM: SRO: Rhona Gunn, Executive Director Economy, Environment and Operations / Programme Manager: Michael Kelly, Service Lead (Growth Deal) Phase - 8 projects within programme Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £’000 Revenue Saving £ Capital Saving £ Objective s Budget Schedule - 7 in delivery - 1 to be scoped (skills) £104,416 n/a n/a Amber / Red Amber Amber Dec 31 n/a Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green Main area of focus since the last Board meeting has been securing skills project Strategic Outline Case (SOC) governance approvals. Following approval by the Moray Growth Deal Programme Board on 28 May, the paper was discussed at a Member Briefing on 15 June and approval will be sought at the Council meeting on 30 June. If this is granted, the objectives RAG will decrease to amber. Other items to highlight are: - 2026/27 Grant Offer letter has been issued, with the Governments providing £12.3m (capital) and £749k (revenue). This settlement is welcomed and above tripartite levels, £6.8m (capital) and £471k (revenue). - Robertsons commenced construction on South Street (affordable homes and Business Enterprise Hub) on 1 June. - Recruitment of 2 roles integral to the Business Enterprise Hub has commenced: Centre Director and Academic Lead. - Paper prepared for Education, Children’s and Leisure Services (ECLS) Committee on 23 June that sets out a vision for EY STEM business plan (increasing access to the public at the Elgin Hub). Successful event held on 10 and 11 June to celebrate the Digital Health project that concludes during Q2, with discussion amongst attendees from a range of stakeholders focusing on how momentum achieved can be maintained. Annual Report presented to Full Council 30th June 2026 – report is linked as a background paper. Risks and Issues Programme With flat Government funding, inflationary pressures could affect the ability of projects to deliver some or all of their outputs. - Continued focus on cost, through the agreement of fixed price agreements, use of cost consultants and understanding fallback value engineering opportunities. - Projects to be aware of and explore external funding opportunities. Page 104
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Project Failure to secure sufficient funding to progress all or an economical viable phase of Grant Lodge renovation activity. - Project will not move into construction tender phase until sufficient funding in place. - The Council and Grant Lodge Trust will identify and pursue opportunities for external funding. - Update paper considered and approved at 6 May Moray Council meeting, with 2 stage procurement process initiated that will see a contractor work with design team to advise on potential phasing options. Project Potential that income generation levels for new services varies from business case projections. - Financial reports, board discussions and in-life reviews to consider revenue costs and income. - Peer to peer support between projects (MICM, BE Hub, Bus Revolution). Next Steps - Programme Management Office (PMO) working with Digital Health Team on closure documentation and this will be presented to the MGD Programme Board in August 2026. - Tender for construction contractor for Grant Lodge construction contractor (2 stage procurement) underway and expected to conclude during Q2. - Annual report will form the basis of awareness raising comms on the status of Deal activity. - Programme of summer events planned at the Stems Starts Elgin Hub, focusing on public access. - In the assumption Council approves the skills project on 30 June, detailed work on the revenue operating model and curriculum will be presented to the MGD Programme Board on 30 July. - PMO continuing to work with Scottish and UK Government officials to identify a suitable date for a Manufacturing Innovation Centre for Moray (MICM) visit. Page 105
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Project Title: 24-005 Levelling Up 3 SRO/PM: H/Growth Planning & Climate / SM/Strategic Planning & Dev Prg Manager LUF Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £ Revenue Saving £ Capital Saving £ Objectives Budget Schedule DELIVERY £18.3M GREEN GREEN GREEN Mar 28 30 Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green • Main contractor appointed, Pat Munro for delivery of projects within LUF Procurement Framework (civils, active travel, small building projects). • Staff resource challenges, previous SRO and Programme Manager have left. New SRO in place from 1 June and acting Programme Manager post to be appointed internally until permanent post recruited (approx. August). • Event to be held on 27 June on Plainstones with Elgin Neighbourhood Board to raise awareness of projects and progress. Cooper Park pond and toilet block information boards commissioned and to be installed by end June. • Proposed changes reported to Council in August with further report agreed by Council in February 2026. • Design completed for Auction Mart and Sawmill sites on 27th April and with respective landowners. • Legal agreements, consents and design all being progressed across the projects. Legals for Gordon Arms, Auction Mart and Sawmill sites are with the respective and prospective land/property owners for agreement. • South Street legals concluded and development works commenced on site in June. • Gordon Arms Hotel title concluded and contract awarded. Continued progression of design development phase. • Discussions ongoing regarding design options, partnership agreement and draft Heads of Terms for Central regeneration project. Risks and Issues • Risk of not agreeing terms with landowners/developers. • Cost of materials and availability of materials and workforce. • Risk of poor Comms • Risk of lack of resilience within project managers. Next Steps • Physical works progressing in Cooper Park at the toilet block and the pond. • Conclude Heads of Terms for central regeneration project and report to Council in September. • Complete design works for all 2026/27 projects and finalise programme of works. • Comms strategy- signage using regeneration branding across all projects, to accompany the investment prospectus and other materials. Event to be held on 19th September on Plainstones to raise awareness of all projects being delivered. • Presence on Plainstones to be further explored. Page 106
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Project Title: 24-004 Plan for Neighbourhoods - Elgin Neighbourhood Board SRO/PM: H/Growth Planning & Climate / SM/Strategic Planning & Dev Phase Budget Info RAG Insert RAG colour and text per row. Ensure reason for amber/red remedies in update Project Target End Date % Project £’m Revenue Saving £ Capital Saving £ Objectives Budget Schedule CONCEPT 20 GREEN GREEN GREEN 10 yr Transformation Strategy Priorities Mark with a x which associated with project Trend Mark with a x under applicable arrow Poverty Economy Community Sustainability X X Progress Update To include reason for Red/Amber status and actions to get back to Green • The approval of the Regeneration Plan by MHCLG has now been formally announced and communicated to the public online and via the distribution of “You said, we are committed to” leaflets. • Wider Elgin Investment Prospectus is at the printers and aim is to start circulation at the end of June to higlight wider regeneration activity in Elgin. • Updated Terms of Reference have been drafted and await appointment of new chair and vice chair to agree this before reported to the Board. • New Chair, Jackie Andrews and Vice Chairs (Stacey Toner and Andy Macdonald) appointed by the Board. • Date was agreed for the Board`s annual family day (19 September) to celebrate the start of the delivery phase and introduce all 17 supported projects as well as showcase the wider regeneration activity in Elgin. • The project officer post was offered and accepted with starting date of 13th July. Risks and Issues • Risk around future maintenance costs for the Council which is mitigated by a maintenance bond approach. • Risk around Comms. Next Steps • Comms and circulate Elgin Investment Prospectus • Host event in September to raise awareness of projects in the Plan which will include wider Elgin Regeneration project leads to be in attendance. Smaller event to be held on 27th June on Elgin Plainstones with LUF as part of Moray Towns Market. • Update Terms of Reference approved. • Agree letter of exchange between the Board and Council Page 107
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Finance, Strategy and Transformation Author: Jon Matthews Contact Email: jon.matthews@moray.gov.uk Subject: Corporate Best Value Self-Assessment 2026/27 1. PURPOSE ☒ For Decision ☐ For Information 1.1 To present the findings of the 2026 Corporate Best Value Self-Assessment process and seek approval of the resulting improvement actions for inclusion within the Council’s Best Value Action Plan. 1.2 This report is submitted to Committee in terms of Section III (A) of the Council’s Scheme of Administration relating to the Council’s corporate performance, governance and continuous improvement responsibilities. 2. SUMMARY 2.1 The Council has a statutory duty under the Local Government in Scotland Act 2003 to secure Best Value. Best Value is focused on ensuring good governance, effective use of resources, continuous improvement and improved outcomes for communities. 2.2 During April 2026 elected members and senior officers participated in a revised Corporate Best Value Self-Assessment process based upon the Improvement Service Public Service Improvement Framework (PSIF) and the Corporate Best Value Checklist approved by Corporate Committee on 26 August 2025. The process included an online survey and facilitated workshop sessions. 2.3 Overall results demonstrate a positive assessment of the Council’s arrangements for Governance and Accountability, Effective Use of Resources, Fairness and Equality, and Vision and Leadership. Areas identified for further development include Partnerships and Collaborative Working, Working with Communities and Sustainable Development. 2.4 The workshop identified a series of improvement actions which will be incorporated into the Corporate Best Value Action Plan and monitored through existing governance arrangements. Item 11. Page 109
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3. RECOMMENDATIONS 3.1 It is recommended that the Committee: i) Notes the findings of the 2026 Corporate Best Value Self-Assessment process; ii) Notes the strengths identified in Governance and Accountability, Effective Use of Resources, Fairness and Equality and Vision and Leadership; iii) Approves the improvement actions identified through the workshop process and their incorporation into the Corporate Best Value Action Plan; and iv) Agrees that progress against these actions will be reported through existing Best Value monitoring arrangements. Jon Matthews Executive Director Finance, Strategy and Transformation 4. BACKGROUND AND CONTEXT 4.1 Councils in Scotland have a statutory duty to demonstrate Best Value. The statutory guidance identifies seven themes: Vision and Leadership; Governance and Accountability; Effective Use of Resources; Partnerships and Collaborative Working; Working with Communities; Sustainable Development; and Fairness and Equality. 4.2 The Council’s current Best Value arrangements are informed by Audit Scotland findings, Grant Thornton audit work, thematic reviews, the Corporate Best Value Checklist and the ongoing Corporate Best Value Action Plan. 4.3 During 2025 the Corporate Committee approved a revised approach to self-assessment. This approach adopted elements of the Public Service Improvement Framework (PSIF) while retaining alignment with Scottish Government Best Value guidance. 4.4 Members and senior officers completed a survey based upon forty Best Value assessment statements. Workshop sessions were subsequently held to consider the survey findings, identify supporting evidence and agree priority improvement actions. 5. FINDINGS OF THE SELF-ASSESSMENT 5.1 Areas of Strength: 5.1.1 Governance and Accountability: Participants identified strong governance structures, established scrutiny arrangements and clear reporting frameworks as key strengths. Particular reference was made to the increased use of Integrated Impact Assessments and Equality Impact Assessments, improved risk management arrangements, structured reporting and positive external audit feedback. Survey results also demonstrated strong Page 110
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agreement that governance arrangements and accountability structures are well established across the Council. 5.1.2 Effective Use of Resources: Workshop participants identified a number of examples demonstrating effective resource management, including delivery of balanced budgets without reliance on reserves, structured financial planning, regular budget monitoring, strong performance and resource management frameworks, effective response to severe weather emergencies and resilience incidents, ongoing rationalisation of the operational and property estate, and evidence-led service redesign and improvement activity including Additional Support Needs (ASN) and attendance projects. 5.1.3 Fairness and Equality: The workshop identified growing organisational maturity in relation to equality, fairness and inclusion. Examples included increased use of Equality and Integrated Impact Assessments in decision-making, a strong commitment to equality, diversity and inclusion, accessible service design through schools, transport and library services, consideration of vulnerable groups in service development and policy decisions, and extending expectations relating to equality and inclusion to delivery partners. 5.1.4 Vision and Leadership: Survey responses demonstrated confidence in the Council’s strategic leadership arrangements and the role of elected members and senior officers in driving improvement and delivering strategic objectives. 5.2 Areas for Improvement: 5.2.1 Partnerships and Collaborative Working: Partnership working was consistently identified as the most significant area for development. Although participants recognised examples of strong collaborative working, concerns were raised regarding visibility of Community Planning Partnership outcomes, data sharing between organisations, understanding and communication of partnership achievements, community representation within partnership structures, and opportunities for locality-based planning and decision-making. 5.2.2 Working with Communities: Workshop discussions identified opportunities to strengthen community engagement, particularly with hard-to-reach groups. Areas highlighted included participation by minority ethnic communities, engagement with deaf and blind communities, use of citizens’ panels and lived-experience approaches, improved use of digital engagement tools, greater customer insight and customer service development, and increased involvement of community councils and local networks. 5.2.3 Sustainable Development: Participants recognised progress already underway through climate change and sustainability work but considered that stronger links could be developed between sustainability, procurement, community wealth building and local economic impact. Suggestions included greater support for local suppliers, stronger social value measurement, development of apprenticeship opportunities and improved reporting of sustainability outcomes. 6. PROPOSALS 6.1 It is proposed that the findings from the Best Value Self-Assessment workshop are incorporated into the Corporate Best Value Action Plan. 6.2 The following priority actions are proposed: Theme Action Page 111
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Partnerships and Collaborative Working Develop a cross-partner data-sharing framework to support planning and service delivery. Partnerships and Collaborative Working Review Community Planning Partnership communication arrangements and reporting mechanisms. Partnerships and Collaborative Working Reintroduce Community Planning Board development sessions and partner induction arrangements. Working with Communities Develop an engagement framework for hard-to-reach and under-represented groups, including review of communication methods. Working with Communities Establish a central repository and coordinated communications calendar for community engagement activity. Sustainable Development Review procurement approaches to maximise community wealth-building opportunities. Sustainable Development Explore apprenticeship and workforce development opportunities linked to major programmes and procurement activity. 6.3 These actions have been included in the Best Value Report, which is also presented to Corporate Committee on 25 August 2026. They are contained in the action log section of the Best Value Report, including action action owner, timelines and expected outcomes. 7. SUMMARY OF IMPLICATIONS 7.1 The table below shows whether risks and implications apply if the recommendations are agreed: SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) √ Policy and Legal √ Financial √ Risk √ Staffing √ Best Value and Transformation √ Property √ Information Communications Technology/Digital √ Equalities, Social Inclusion and Economic Impact √ Climate Change and Biodiversity Impact √ 7.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) The proposals support continuous improvement and strengthen the Council’s ability to deliver outcomes aligned with its strategic priorities and Best Value responsibilities. Page 112
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a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☒ Tackle Poverty and Inequality. ☒ Build Stronger Greener Vibrant Economy. ☒ Build Thriving, resilient, empowered Communities. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☒ Developing a diverse, inclusive, and sustainable economy ☒ Building a better future for our children and young people in Moray. ☒ Empowering and connecting communities. ☒ Improving wellbeing of our population 7.3 Policy and Legal The report supports compliance with the Council’s statutory Best Value duty under the Local Government in Scotland Act 2003. 7.4 Financial Some actions may require future consideration of resource implications. These will be assessed through the normal budget-setting process where appropriate. 7.5 Risk Failure to address the identified improvement areas could affect future Best Value assessments and organisational improvement activity. 7.6 Staffing Some actions will require officer support and cross-service collaboration. 7.7 Best Value and Transformation The report directly supports the Council’s continuous improvement and Best Value agenda. 7.8 Property No direct implications from this report. 7.9 Information Communications/Technology/Digital Data sharing, customer insight and community engagement initiatives may require digital solutions and continued digital development. 7.10 Equalities, Social Inclusion and Economic Impact A number of the proposed actions are specifically intended to improve equality, accessibility and inclusion outcomes. 7.11 Climate Change and Biodiversity Impacts The proposed sustainability and procurement actions support wider climate change and community wealth building objectives. 8. CONSULTATION Page 113
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8.1 This report has been informed by Elected Members and senior officers through the Corporate Best Value Self-Assessment survey and workshop process undertaken during April 2026. 9. BACKGROUND PAPERS 9.1 Best Value Self-Assessment Survey Result Report (Member Access Only). Page 114
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Finance, Strategy and Transformation Author: Jon Matthews Contact Email: jon.matthews@moray.gov.uk Subject: Best Value Action Plan Progress Reporting 1. PURPOSE ☒ For Decision ☐ For Information 1.1 To note progress against the actions in the current year Best Value Action Plan and to note the new initiatives arising from the Best Value Self-Assessment completed in April 2026, which will form part of the Best Value Action Plan for 2026/27. 1.2 This report is submitted to Committee in terms of paragraph III B (7) of the Council’s Scheme of Administration, monitoring the Council’s Best Value Action Plan. 2. SUMMARY 2.1 The Council’s refreshed Best Value Action Plan was approved by the Corporate Committee on 26 August 2025 and was last considered by Corporate Committee on 26 May 2026. The Action plan includes improvement actions taken from external audit recommendations and internal self-assessment and elements of transformation. 2.2 This report summarises progress in relation to each of the seven Best Value themes within the Action Plan, which is detailed in Appendix 1. 2.3 During April 2026 elected members and senior officers participated in a revised Corporate Best Value Self-Assessment process based upon the Improvement Service Public Service Improvement Framework (PSIF) and the Corporate Best Value Checklist approved by Corporate Committee on 26 August 2025. Seven priority actions are proposed as result of this self-assessment, which are detailed in Appendix 2. 2.4 Any open initiatives from the current year will be carried forward into the Best Value Action Plan for 2026/27, in addition to the new seven actions arising from the self-assessment exercise and new items that may be identified from the external auditor review, which is scheduled to be reported to Council on 30th September. The consolidated Best Value Action Plan will then be brought forward for consideration to Corporate Committee on 24th November, along with progress made over this next quarter. Item 12. Page 115
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3. RECOMMENDATIONS 3.1 It is recommended that the Committee reviews and notes: i) progress against the actions in the current year Best Value Action Plan (BVAP), with any open initiatives to be carried forward; ii) the new initiatives arising from the self-assessment exercise to be added to the 2026/27 BVAP; iii) the process for incorporating any external audit recommendations arising from the September 2026 Council paper; and iv) that the full 2026/27 BVAP and progress against it will be considered by the November Corporate Committee. Jon Matthews Executive Director Finance, Strategy and Transformation 4. BACKGROUND AND CONTEXT 4.1 Councils in Scotland have a statutory duty to demonstrate Best Value, introduced in the Local Government (Scotland) Act 2003. Statutory Guidance defines Best Value as: Ensuring that there is good governance and effective management of resources, with a focus on continuous improvement, to deliver the best possible outcomes for the public. 4.2 In March 2020 the Scottish Government published refreshed Best Value guidance requiring councils to demonstrate a focus on continuous improvement in performance around seven themes: I. Vision and leadership II. Governance and accountability III. Effective use of resources IV. Partnerships and collaborative working V. Working with communities VI. Sustainability VII. Fairness and equality 4.3 The Corporate Committee agreed a refreshed Best Value Action Plan on 26 August 2025 that set out the Council’s priorities for the next three years to enable it to meet its Best Value duty (item 8 of the minute refers). The Plan considers several actions from external audit reports and from internal self-assessment and the Committee has agreed to receive quarterly updates. The last update was to Corporate Committee on 26 May 2026. 4.4 The updated Best Value Action Plan, showing progress is attached as Appendix 1 to this report. Progress in the last quarter can be summarised as follows: 4.4.1 Vision and Leadership: Page 116
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Constructive Best Value Self-Assessment workshop with Elected Members and the Extended Leadership Team (ECLT) in April, resulting in seven new initiatives for 2026/27 BVAP. This session also highlighted significant evidence of good progress across several Best Value areas (as per separate report to this Committee today). 4.4.2 Governance and Accountability. Business continuity plans in place for all critical services. Significant activities completed across Cyber Resilience plans, with more planned. 4.4.3 Effective use of resources: Improvement to Transformation governance reporting, aligned with wider Best Value Thematic recommendations. Systematic Capital monitoring improvement pilot successfully completed and rolled out across all service areas from June. 4.4.4 Partnership and Collaborative Working: Head of People, Change and Community Strategy bringing expertise to the area of Community Planning Partnership working, with progress being felt across a number of actions, aligning with focus for new Local Outcome Improvement Plan (LOIP) in 2027. 4.4.5 Sustainable development: Completed the engagement stage of the wider area Climate Change strategy and its report and communication format are being worked on with identified stakeholders. 4.5 For the past two years the Council has carried out a joint Councillor/Officer Best Value self-assessment with questions based on national guidance. The outcome of this assessment has then fed into the actions in the Best Value Action Plan. This year, in collaboration with the Improvement Services organisation, Councillors and the extended Corporate Leadership completed a Best Value Self-Assessment exercise. Details of this process and outcomes are noted in a separate report at today’s Committee. In keeping with the recommendations of that report, Appendix 2 details seven actions to be included in 2026/27 BVAP. 4.6 Our external auditor, Grant Thornton, is due to report its progress findings made against the wider Best Value Thematic to Council on 30th September. Whilst the outcome of their review is not known, it is recommended that if there are any open actions, they should be added to the 2026/27 BVAP. 5. PROPOSALS 5.1 It is proposed that the Committee considers and approves the refreshed Best Value Action Plan in Appendix 1. 5.2 It is proposed that a 2026/27 BVAP be created that incorporates the open actions from Appendix 1, the new initiatives arising from the Best Value Self-Assessment exercise and Page 117
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any open recommendations from the wider Best Value Thematic, which will be reported by Grant Thornton at September’s Council meeting. 5.3 The 2026/27 BVAP is reported to Corporate Committee on 24 November, as well as progress made against it over the next quarter. 6. SUMMARY OF IMPLICATIONS 6.1 The table below shows whether risks and implications apply if the recommendations are agreed: SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) X Policy and Legal X Financial X Risk X Staffing X Best Value and Transformation X Property X Information Communications Technology/Digital X Equalities. Social Inclusion and Economic Impact X Climate Change and Biodiversity Impact X 6.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Improved Collaborative Leadership, as part of continuous improvement through Best Value, will better enable the Council to fulfil the ambitions set out in its strategic plans. The Best Value Action Plan supports the Council to deliver the priorities in the Corporate Plan and supports the Council values of Improving: drive improvement; Ambitious: ensure sustainable and efficient services; and Responsive: promote community participation and involvement and involve our communities. a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☒ Tackle Poverty and Inequality. ☒ Build Stronger Greener Vibrant Economy. ☒ Build Thriving, resilient, empowered Communities. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☒ Developing a diverse, inclusive, and sustainable economy ☒ Building a better future for our children and young people in Moray. ☒ Empowering and connecting communities. ☒ Improving wellbeing of our population 6.3 Policy and Legal Page 118
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The Best Value Action Plan supports the Council to fulfil its statutory duty to demonstrate Best Value, introduced in the Local Government (Scotland) Act 2003. 6.4 Financial There are no specific financial implications, however, the Best Value Action Plan supports the Council in its duty to make best use of resources and there are a number of specific actions that relate to financial management that are moving forward. 6.5 Risk There are risks associated with not making adequate progress on the actions set out in the Best Value Action Plan. The Council has had feedback from a number of external stakeholders that identified areas for improvement and failure to address these through the planned actions is likely to lead to adverse reporting and implications for the Council. Several of the Best Value themes feature on the Council’s Corporate Risk Register including leadership, financial sustainability and workforce development. Progressing the actions in the Plan will also secure improvements in the management of these risks. 6.6 Staffing There are no specific staffing implications arising from this report. 6.7 Best Value and Transformation The implications are as set out in the report 6.8 Property None. 6.9 Information Communications/Technology/Digital None 6.10 Equalities, Social Inclusion and Economic Impact This is covered in the Best Value inspection regime itself and the Council’s duty to deliver best value. 6.11 Climate Change and Biodiversity Impacts Sustainable development is a theme within the Best Value Action Plan. 7. CONSULTATION 7.1 This report has been prepared in consultation with the ECLT who have contributed to the action plan update set out in Appendix 1 and any comments made have been incorporated into the report. 7.2 The new actions identified in Appendix 2 have been arrived at via consultation and collaboration between Elected Members and the ECLT. 8. BACKGROUND PAPERS 8.1 Corporate Committee 26 May 2026 (Item 15 Report) Page 119
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Best Value Action Plan 2025-2026: Progress Update Appendix 1 1. Vision and Leadership: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Collaborative Leadership – ensuring Members and Officers work effectively to secure key decisions 1.1 Strengthen links to strategic documents in Committee reports Head of Gov 01/10/2025 31/03/2026 100 December 2025: Additional guidance for authors on how to complete the “Summary of Implications” section has now been published by committee services. Action complete Sept 2025: Discussion at CLT around need for further guidance for authors on how to manage the new report template and “Summary of implications” section. Risk remains static within Corporate Risk Register. July 2025: New Committee template in place with ability to show links. Additional report drafting guidance being considered on how to complete the sections. April 26: action complete. December 2025: Remove specific action from plan Sept 2025: Committee Services working on guidance aim to put revised guidance in place by Dec 25. Updated guidance on interchange Community and Partner Engagement on Council priorities 1.2 Working with Community Planning Partners (CPP) to develop shared engagement CE / ED (FST) 01/07/24 30/06/26 85 July 2026: Engagement work has started to develop Moray Council’s Engagement and Consultation Strategy. Alongside this, young people are leading the development of a Young People’s Charter, which will be shared with council services and partners to support meaningful engagement with young people in line with the principles set out in the Charter. March 2026: Wildfire Summit delivered jointly with CPP to stakeholders. December 2025: Shared work underway by CPP on Poverty and Wildfire Summit. Discussions held in respect of resourcing which will be progressed further when new post holders start. July 2026: Once Moray Council’s Engagement and Consultation Strategy is in place, and as the new LOIP for 2027–2037 is developed, further discussions will be carried out with the CPP to understand how this work can be joined up across Moray Council and community planning partners. This will support a more coordinated approach to engagement and communications, ensuring activity is planned, shared and used consistently to inform future priorities. March 2026: Resourcing and working arrangements to be progressed now Council team in post. Page 121
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1. Vision and Leadership: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Sept 2025: Online Moray Engage now active and presentation/report was provided to CPP Board meeting. Update report on community engagement drafted for consideration by CPOG. July 2025: Discussion held with Community Engagement Group to reflect on the findings from the CPB self-assessment undertaken with the Improvement Service and consider how best to go forward taking account of the recent experience and report on community engagement within the CPB. It was noted that there had been significant change in working practices over the years and that there had been less value in the CEG as a result. Work is underway on a refreshed Community Engagement Strategy for the CPB. The Council online engagement tool will also be shared with partners in August giving an opportunity for shared engagement to be highlighted. It is proposed that that date for finalising this work is revised to take account of the challenges of resourcing community planning, which are noted as an area for consideration the planned review of council structures. December 2025: Progress two events and agree resourcing and working arrangements. Sept 2025: CPOG to note community engagement position Consider resourcing for community planning Continuous Improvement – implement self- evaluation 1.3 Consider and establish service score cards to provide overview to develop and track Head of P,C&CS 01/08/24 31/03/26 95 July 2026: Finance PSIF nearing completion. Governance at consensus and survey circulated for Housing. Slight slippage on Programme due to leave periods, extending feedback periods. March 2026: EGD PSIF complete with improvement actions agreed with HoS. Finance checklist analysis complete and planning around consensus session underway. Governance checklist being July 2026: When programme complete, a report will go to CLT and A&S planned. March 2026: Corporate PSIF assessment for Members and ECLT planned for April 2026. Outcomes from session to be reported to Corporate Committee in Aug’26. Appendix 2 Page 122
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1. Vision and Leadership: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log service improvement corporately prepared for circulation. Evidence of common organisational themes emerging and some resistance around participation, reflected in checklist returns, consensus session numbers. December 2025: Programme progressing as planned. Improvements for HR/OD incorporated at DMT level. EGD PSIF process ongoing with consensus to agree improvement plan scheduled for January 26. Finance to begin Jan 26. Improvement actions are being recorded in service/team plans rather that separate score cards. With multiple PSIF processes complete, arrangements to track improvements corporately can then be viewed and added to as subsequent services complete PSIF processes. Sept 2025: HR/OD self-assessment complete. Moray Engage in use for checklist, interchange page created to hold introduction. EGD PSIF underway and programme to July 2026 in place. July 2025: Use the HR /OD self-assessment (currently underway) to consider how best to capture actions to allow these to be tracked and monitored. December 2025: continue with programme. Ensure it becomes a cyclical process. Report on initial findings to ECLT. Consider where best to capture actions and whether Pentana (performance information system) work meets Scorecard expectation. Page 123
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2. Governance and Accountability: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Risk Management 2.1 Business Continuity Plans to be in place for all critical services Head of Gov 28/03/24 30/06/26 [31/12/25] 100 July 2026: BCPs in place for all critical services. CLOSE March 2026: Remaining services working towards completed plans for the revised deadline December 2025: Business continuity plans have been prepared for 80% of services identified as critical services. Sept 2025: Work is ongoing to refine the template plan to services to tailor their response/mitigation measure for a wider range of potential disruption events. This is a more sophisticated approach than that previously adopted and should ensure better resilience. July 2025: Critical services identified. Updating of Business Continuity Plans is being progressed alongside risk management practice and has regard to complementary emergency planning arrangements. Resilience levels can be affected by change as identified in the latest update of the Corporate Risk Register with issues including financial constraints and reductions in staffing impacting on capacity to maintain continuity of services. Corporate support to ensure plans are periodically updated to reflect the impact of change will be on-going beyond the end date reported here. July 2026: complete March 2026: update position in June26 then remove from BV action plan and move to business as usual. December 2025: An extension of the deadline until 30 June is sought to allow remaining critical services to complete business continuity plans using the streamlined plan. Sept 2025: Finalise revised BC plan template for Nov 25. July 2025: Progress on individual services BC plans has not progressed as quickly as anticipated due to finite central resource and pressures on services to undertake their assessments. Work will continue to refresh Business Continuity Plans held within critical services. Although a date is specified, this work should be a constant cycle of review. A workshop with elected members to develop a risk appetite statement is scheduled for October 2025 and this will include consideration of risks to business continuity arising from operational change and the extent to which these can be mitigated in the current operating environment. Page 124
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2. Governance and Accountability: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Risk Management 2.2 Business impact assessments (resilience) completed for all services. Head of Gov 28/03/24 30/04/26 100 Action Complete as per December note December 2025: • Critical services have been identified partly as planned through business impact assessment forms and partly from experience from the Covid Pandemic. • Given limited resources for guiding remaining services through the process, and the higher priority of having plans in place for critical services (Action 2.1) it is proposed that work on business impact assessments for remaining non-critical services is de- prioritised and embedded in a rolling programme which is monitored through CLT. Sept 2025: As below. July 2025: Critical services have been identified through business impact assessment and Business Continuity Plans are being developed for these services. Action Complete as per December note December 2025: Treat as completed. Sept 2025: Process will be embedded as a cyclical programme. Page 125
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Digital Resilience Management 2.3 Complete implementation of Cyber Resilience Plan H/CE, ICT&DS 28/03/24 30/09/26 [31/12/25] 65 July 2026: Progress in last quarter impacted by staff absence and operational work on high-priority projects e.g. schools’ internet upgrade, infrastructure work for SWIMS and CRM replacements. Bespoke actions arising from SG CRA received and reviewed. Awareness module on Phishing Level completed and module on Social Engineering in progress. Phishing Simulation (World Cup Theme) undertaken. Work undertaken to deliver previous courses to new starts, and work is ongoing to integrate security awareness training into MS Teams. March 2026: NRS inspection Action Plan and agreement to complete. Updates to cyber action plan ongoing to include emerging priorities. Completed Scottish Government (SG) Cyber Resilience Assessment (CRA) and awaiting bespoke actions arising therefrom. Intermediate Phishing Awareness module prepared and launched. Started preparations for next phishing simulation. ITHC revised to include requirements for Cyber Essentials. Restarted discussions with Cyber and Fraud Centre Scotland with a view to undertaking cyber incident response exercise with ECLT in May. Reviewing the free tabletop exercising (TTX Gym) from SG. Downloaded most recent versions of documents in the SG Cyber Incident Response toolkit. Attended supplier webinars for the provision of a Security Operations Centre (SOC) service following the dissolution of the Digital Office procurement project. December 2025: Senior ICT officer appointed at the end of Oct 25, which takes the Cyber Resilience and Information Security team up to full complement. Review of tasks and priorities on action plan started. Cyber and Fraud Centre Scotland lined up to do a desktop exercise for incident response. Phishing simulation completed in Nov 25. Cyber awareness modules for 2026 provisionally agreed. Report prepared in response to the Accounts July 2026: Main priority is to complete the new Information Security Policy. Also need to pick up on outstanding actions from previous period, in particular the cyber incident response exercise with Cyber and Fraud Centre Scotland, the training uptake / phishing simulation results to CLT, and the PSN accreditation. March 2026: Finalise cyber action plan including emerging priorities for 2026/27. Consider Areas to Improve from SG CRA and add actions arising to the plan. Review training uptake and report back to CLT. Undertake phishing simulation. Complete cyber incident response exercise with CAFCS and review outcomes. Complete ITHC and prepare for PSN accreditation submission. Review Cyber Incident Response Plan in line with latest SG template, as well as most recent versions of the playbook scenarios. Assess options for the SOC service. December 2025: Update cyber action plan. Undertake desktop exercise once all of the senior management posts are filled. Launch next training module (intermediate Phishing) late Jan / early Feb 26. Complete procurement for next IT Health Check and penetration testing. Request for Extension: The action plan has been reviewed by the new Head of Service for Customer Experience, ICT and Digital. Due to the number of outstanding actions that must be completed before the plan can be incorporated into business-as-usual activity, we request that the end date for this item be extended to 30 September 2026. Page 126
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Commission review of the cyber-attack experienced by Comhairle nan Eilean Siar. Sept 2025: Recruitment and selection process has taken longer than expected however, appointment of remaining Senior ICT Officer post is imminent. The consequential vacancy for the ICT Team Leader (Server & Network Team) arising from the internal appointment to cyber team has also been delayed. As a result, the ICT Team Leader (Cyber Resilience and Information Security Team) has primarily been focusing on the SWAN 2 project, which is a key priority to provide additional bandwidth for schools, and which has a deadline of December 2025. Progress on the cyber action plan, the Information Security Policy, and the desktop exercise for Incident Response, has therefore been limited. Cyber awareness training on Remote Working for corporate staff, and Ransomware for teachers and staff in schools has been undertaken. Going forward, future training modules will be launched in January, May, and September to avoid holiday periods. A requirements specification has been drafted for the procurement of external ICT security services. There is an expectation that all Councils will undertake Cyber Essentials certification as well as the PSN accreditation process. The requirements specification needs to be adjusted accordingly before running the competitive procurement exercise. July 2025: Cyber Resilience and Information Security Team established. Recruitment for Senior ICT Officer post in progress. Work progressing on ICT Information Security Policy: target for final draft is Sep 25. Supplier selected for testing of cyber incident response plan. Results from simulated phishing exercise showed an improvement on baseline results. Work in progress for next simulation. Next training modules launched for cyber awareness. Sept 2025: Catch up on work for cyber action plan, the Information Security Policy, and the desktop exercise for Incident Response. Undertake next phishing simulation in October. Finalise on security awareness modules for 2026. July 2025: Complete recruitment and selection process. Review and update Cyber Resilience Action Plan with revised prioritisation and timescales to be able to move to business as usual position and close this action off. Final draft of Information Security Policy. Undertake desktop exercise for Cyber Incident Response Planning. Define work programme for 2025/25 cyber awareness training. Award contract for IT Health Check and Penetration testing. Page 127
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2. Governance and Accountability: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log PSN accreditation process complete. Work has started on procurement of supplier for next submission. Further penetration testing undertaken for online services and work in progress for penetration for employee self-service on HR / Payroll system. Digital Resilience Management 2.4 Complete Business Continuity Plans/work for corporate and service cyber resilience H/CE, ICT&DS 28/03/24 30/09/26 [31/03/26] 65 July 2026: Service BCP has been completed. Business Systems Review substantially complete. March 2026: Discussions with business Continuity and Risk Manager ongoing. Working with services to review BC and Data Resilience processes. Work on Business Systems Review nearing completion – this will pave the way for identifying the list of prioritised information systems. Allocation of resource for service BCP. December 2025: Newly appointed Senior ICT Officer has started discussions with the corporate Business Continuity and Risk Manager with regard to Business Continuity Plans. Sept 2025: As indicated in 2.3 above, there has been limited resource available to progress this. July 2025: Limited progress during Q1. Priority for Q2. Establishment of dedicated team will help to progress this. July 2026: Prioritised list of systems and associated recovery actions. March 2026: Progress work on Business Continuity plans. Complete Business Systems review. Progress service BCP. December 2025: Significant progress on Business Continuity plans. Start work on prioritised list of systems for Disaster Recovery. Request for Extension: The current state of business continuity plans across all services is still being assessed by both Internal Audit and ICT. It is anticipated that a clearer understanding of the scale of work required will emerge as this quarter progresses. However, it is already evident that this action will not be completed by 31 March 2026, and it is therefore requested that the end date be extended to 30 September 2026. Sept 2025: Draft final version of BC plan. July 2025: Draft final version of BC plan. Page 128
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2. Governance and Accountability: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Management restructure 2.5 Ensure the Council is actively recruiting to the vacant posts within the management structure and the plans are in place should the recruitment process be unsuccessful. Ensure constitutional documents are updated, interim arrangements are in place and post implementation evaluation is carried out. CE 01/09/2025 31/03/2026 100 March 2026: Structure populated and postholders started in post. Induction completed and work on Leadership Development underway. December 2025: Critical appointments have now been made. Constitutional documents have been updated to reflect the revised structure. PI’s relating to the restructure have been agreed. Sept 2025: A number of vacant posts have been filled however there are still significant gaps within the directorate of Finance, Strategy and Transformation and the post of permanent Chief Social Work Officer. CE has put interim arrangements in place for covering vacant posts and report due to December full Council to amend Scheme of Delegation. March 2026: Key action complete. December 2025: remaining postholders have still to take up posts. PI’s to be collected for evaluation post-implementation. Sept 2025: Second round of recruitment with revised advertisement focus is underway. Page 129
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3. Effective Use of Resources: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Transformation and Sustainable Services 3.1 Stage 3: Future council programme (normal business) CE / ED (FST) 01/08/24 28/08/26 100 July 2026: Transformation Board and reporting process established and working well. March 2026: Executive Director for Finance, Strategy and Transformation (ED FST) in role from mid Feb’26. His role includes lead officer for the transformation programme. Transformation Board met 24 th March for a review of each project. Councillor briefing session on 9 th March which provided greater visibility on the Moray Growth Deal projects. December 2025: work continues to develop the planned projects in the Transformation Strategy. Council on 3 December approved resources for the improving attendance project; the Transformation Board on 8 October noted the end of project report for ASN and this is planned for committee early in 2026. The MGD early years stem facility is preparing for opening with early access tours taking place in December 2025. Progress also continues on the learning estate projects with updates being presented to ECLS committee in November 2025. July 2026: complete. Specific transformation reporting to be delivered in separate committee reports going forward. March 2026: Report to Corporate Committee on 26th May, which will summarise overall transformation programme, as well as providing one-page summaries of each project. December 2025: Initiation of Improving Absence project Progress project approvals for Regional Renewable Funding project Sept 2025: Development of projects and new areas for consideration by Transformation Board June 2025: report to Council in September on Transformation Strategy Transformation Annual Report Aug’2026 Page 130
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3. Effective Use of Resources: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Sept 2025: Council on 24/9/25 approved Stage 3 of the Transformation Strategy and update set of projects to support delivery of the strategy July 2025: The Council on 25 June 2025 agreed reports on the Depot Review, Customer Services and the way forward for the Out of Hours project. Workshops have been held with councillors/ECLT (March) and the Leadership Forum for service managers on 11 June 2025. Work is underway to review the outcomes and incorporate these into Phase 3 of the Transformation Strategy for reporting to Council in September Page 131
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Transformation and Sustainable Services 3.2 Build in engagement with communities and staff about the need for change and impact any mitigation of proposed changes. CE / ED (FST) 01/08/24 30/01/26 100 December 2025: Information has been prepared ready to support budget position in early 2026. Moray engage now being actively used for internal and public engagement. Community engagement is established part of transformation approach (e.g. learning estate, growth deal projects, leisure and libraries as illustrations of approach) Sept 2025: Community engagement work continues through the Moray Engage online engagement platform. In addition, Leisure user groups have been formed and initial meetings underway. July 2025: Community engagement work continues as part of the Council's approach to ensuring local needs and user perspectives are built into service design and change. 2 public meetings have been held for learning estate, library user groups are established and meeting and leisure user groups are being instigated. The procurement of the online engagement tool is completed and implementation work is well advanced with launch planned over the summer December 2025: now established ways of working. Development work complete Sept 2025: Leisure user groups to meet. Continued promotion and use of the online engagement tool. July 2025: Leisure user groups to be established Online engagement tool to launch Transformation and Sustainable Services 3.4 Annual reporting on Transformation Strategy and Moray Growth Deal to be aligned Ref: BV Thematic Action 3 CE / ED (FST) 01/09/25 31/03/2026 100 Action Complete as per December note December 2025: Improvements made to the operation of the Transform Board and reporting to committee will include aligning annual reporting. Sept 2025: Discussions are ongoing about aligning reporting streams. Meantime transformation board updates are being re formatted to show similar alignment. Action Complete as per December note December 2025: As below. Sept 2025: Reporting will be aligned in 2026 and discussions between relevant officers ongoing. BV thematic report Corp cttee 26/08/25 Page 132
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Transformation and Sustainable Services 3.5 Review Transformation Programme Governance Ref: BV Thematic Action 7 CE / ED (FST) 01/03/2026 30-09-26 30/03/26 100 July 2026: Corporate Committee approved new reporting template for Transformation Updates, which addressed points raised by BV thematic. March 2026: Improvements implemented however ED (FST) will review and consider any further improvements required. Updated Transformation Programme Committee Paper being presented to May’s meeting. December 2025: Improvements made to the operation of the Transform Board and reporting to committee. Project development and monitoring is operating effectively within these governance arrangements. Work has been delayed due to vacancies in the management structure. Policy and procedure document review remains to be actioned Sept 2025: A light touch review has been completed with a substantive review postponed until recruitment to the Head of People, Change and Community Strategy is completed July 2026: complete. March 2026: ED(FST) reviewing programme governance December 2025: Policy and procedure document review Extension of timescale to Sept 2026 requested BV Thematic report Corp cttee 26/08/25 Page 133
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Financial Management 3.6 The Council will strengthen monitoring of the delivery of the Capital Plan and take action to address any slippage. Ongoing quarterly. CFO 01/07/24 31/03/2026 100 July 2026: Following a successful pilot of new capital monitoring reports in Q1’26/27, capital monitoring reports are being used across all service lines from Jun’26 onwards. March 2026: Q3 Capital Monitoring (reported to CC 17 Feb 2026) Estimated full year outturn of 65% Capital Plan delivery. Full year spend figures expected ~20 April and to be reported to Council June 2026. December 2025: Revised RAG introduced to highlight deviation from target spend. Sept 2025: Q1 report introduced a target spend of 90% of budget to date – slippage of over 10% in any asset class will be reported to Corporate Committee for individual scrutiny July 2025: Out-turn for 2024/25 (reported June 2025) shows a significant decrease in slippage from previous years - 90% compared to 71% completion in 2023/24 Capital budget managers are being challenged to develop more detailed timelines for their projects to improve forward planning. December 2025: Draft capital budget for 2026 onwards prepared July 2026: The new process is in place and embedded in business as usual. Complete. Completing this action does not remove the potential for capital plan deviation, given the many factors that can cause slippage, including those beyond the Council’s control. March 2026: Q4 report June 2026. December 2025: Q3 report February 2026 October to December 2025: Review of capital plan 2026 to 2029 including detailed phasing review December 2025: 3 year plan and 10 year indicative plan to be drafted and reported to Council January 2026 Officers use only: Guidance for Budget Monitoring to Committee Capital Plan 2024/2025 04/12/2024 Q1 capital report to Corporate Committee 26 August 2025 Q2 capital report to Council 3 December 2025 3.7 Ensure capital budget set in advance is realistic, reducing the need for significant budget amendments in the first months of the financial year. CFO 01/09/2025 28/02/26 100 March 2026: Budget for 2026/27 set using realistic assumptions. It is noted that these assumptions rely on key tool-gates being reached across both funding and project activity, which if not met, will lead to budget variances. March 2026: Progress versus budget will be completed as part of core Council financial reporting. Page 134
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Financial Management 3.8 Next iteration of Medium to Long Term Financial Strategy to be updated to explicitly include link with Transformation Strategy and reducing budget gap and Transformation as drivers Ref: BV Thematic Action 2 CFO 01/01/26 28/02/26 100 March 2026: Complete. Presented to Special Meeting of Moray Council 25 Feb 2026. December 2025: work on update underway Sept 2025: Update planned for February 2026 to meet timescale for 2026/27 budget. March 2026: Complete. No further action. December 2025: report to council February 2026 Sept 2025: Commence update including link with latest transformation Strategy update. BV thematic report Corp cttee 26/08/25 Page 135
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4. Partnership and Collaborative W orking: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Partnership W orking for Moray 4.1 Work with Community Planning Partners (CPP) to develop shared priorities for incorporation into Local Outcome Improvement Plan (LOIP) CE/ ED (FST) 28/03/24 31/10/26 45 July 2026: A short-life data and engagement subgroup has been established with community planning partners to support development of the new LOIP. The group is reviewing available data alongside the emerging engagement plan to help build a shared evidence base and identify the issues where partners can collectively make the greatest difference. March 2026: The Head of People, Change and Community Strategy has begun engagement with CPP partners to better understand where there may be gaps in shared working and alignment across partners. Building on this, a session is planned for the April officer meeting to discuss how partners will develop an engagement plan in preparation of the next iteration of the Local Outcome Improvement Plan (LOIP). This will focus on gathering robust evidence of need and ensuring that future priorities are shaped collaboratively and reflect the collective insight of partners and communities. December 2025: Shared work underway by CPP on Poverty and Wildfire Summit. Discussions held in respect of resourcing which will be progressed further when new senior post holders start. Work will then focus on developing shared priorities for incorporation into a new LOIP. July 2026: The subgroup will present the data and proposed engagement approach to CPP Executive Board members and the Community Planning Officer Working Group to help narrow down the joint priorities for the new LOIP. Further engagement will be targeted where additional insight is required, and a partner writing group will prepare the draft new LOIP for approval by the CPP Board and Moray Council. March 2026: Work to be progressed and timeline developed. December 2025: As below following new post holders taking up roles. Sept 2025: Plan and undertake CPOG / CPB session to identify and agree process and resource to progress work. Page 136
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4. Partnership and Collaborative W orking: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Sept 2025: Changes in senior representation at CPOG / CPB have delayed the ability to progress the development of new LOIP. CPP sessions to be planned. Dec 2024: The most recent development session on 24/10 considered opportunities to further develop community engagement in the delivery of priorities. Development sessions been held with community planning partners to consider priorities and how can take forward collectively. Agreement reached on focus and main priorities for LOIP. This will inform the updating of the LOIP and development of approach to delivery Page 137
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Partnership W orking for Moray 4.2 Investigate and develop potential single Moray Plan CE / ED (FST) 28/03/24 31/10/26 25 July 2026: As per March’26 update. March 2026: No further work has been developed on a single plan following the new Moray Council Corporate Plan, published in 2024. As engagement begins on the new iteration of the LOIP, work will be carried out to better align the plans with the aim to move to a single Moray plan in future years. December 2025: As below and will commence following new post holders taking up roles. Sept 2025: Changes in senior representation at CPOG / CPB have delayed the ability to progress the development of new LOIP and consideration of a potential single Moray Plan. CPP sessions to be planned. Nov 2024: Research completed of other councils established that 2 have single plans (noted below). Discussion taken place with Improvement Service for support on this area. Potential for IS to undertake element of work if funded. This has been raised at the development sessions with the CP Board and there has been general support for the approach. To be considered further as the LOIP is re-developed. Currently 2 of 13 family group authorities have a single plan, Midlothian and Fife. Clackmannanshire also have a variation which is being looked at. July 2026: Further consideration required on strategic positioning. March 2026: Work to be progressed and timeline developed. December 2025: As below following new post holders taking up roles. Sept 2025: Plan and undertake CPOG / CPB session to identify and agree process and resource to progress work. Page 138
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Partnership W orking for Moray 4.3 Identify opportunities to maximise the impact of resources and budgets through alignment of activity. CE / ED (FST) 28/03/24 31/10/26 25 July 2026: This work is being progressed through engagement on the new LOIP, where opportunities will be identified to align partnership activity, resources and delivery outcomes. Connections will be made with the new Children’s Services Plan, Child Poverty Plan and Health and Social Care Partnership Strategic Plan to ensure priorities are evidence led, avoid duplication and support a clearer focus on shared outcomes. March 2026: As per note below – work underway for Health and Social Care. December 2025: Discussions are ongoing to identity areas of either shared services or delivering ‘once for Grampian’ Sept 2025: Early discussions have commenced with partners to identify areas to align activity – e.g. at Chief Officers Group, MIJB, NHS Grampian, Improvement Service Dec 2024: There has been work to identify partner resources to support this action and it is hoped this can be advanced in the first quarter of 2025 Nov 24: meeting taken place with partners re locality work. Identified scope for development and this will be taken forward July 2026: discussions have started on how we can utilise the LOIP engagement and planning process to identify where partnership priorities, resources and delivery activity can be better aligned. Specific links will be made to the new Children’s Services Plan, Child Poverty Plan and Health and Social Care Partnership Strategic Plan, with a focus on evidence-led priorities and measurable delivery outcomes. March 2026: Progress H&SC work. Newly recruited Executive Director for Finance, Strategy & Transformation reviewing opportunities for creating efficiency and effectiveness from partnership approach, starting with their direct corporate service remit (e.g. procurement). December 2025: As below – areas suited to this approach to be identified and explored. Sept 2025: Continue discussions to identify and agree process and resource to progress work. Page 139
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Partnership W orking for Moray 4.4 Continue development and delivery of Locality Plans, involving service users and local communities in the design of services CE / ED (FST) 28/03/24 30/10/25 100 December 2025: Continuing as established work. Sept 2025: The work on development of Locality Plans for the areas agreed by the Council and CPP is well developed and will be ongoing work. April 2025: The work on development of Locality Plans for the areas agreed by the Council and CPP is well developed and will be ongoing work. The Council is also considering how to secure community influence on services and priorities through the next stage of its community engagement approach. MIJB is currently undertaking work in relation to children and HSCM locality models in specific locality areas over the next few months and officers will aim to build on this from a partnership perspective to connect more directly with a Moray wide CPP approach.. This work is noted as 75% complete as the final stages are to be refined by the CPP. No further development work - complete Page 140
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5. Sustainable Development: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Sustainable Development Identify any gaps that require consideration and action. ED EEO 8/03/24 30/11/26 [31/03/26] 80 July 2026: The Area Wide CC strategy (now provisionally called the Moray Climate & Nature Partnership Plan) has completed the engagement stages and the information gathered is being written up by a consultant (Community Enterprise) in consultation with identified stakeholders. Community Enterprise and an artist are being commissioned by Moray CAN to turn the information into an accessible format. The intention is that the document will be public facing, engaging and used as part of a larger online resource alongside the ClimateView platform (which details climate actions and decarbonisation works of the Council) which Council officers have been developing with Scottish Climate Intelligence Service. The strategy is to be much more accessible for the public and stakeholders than a traditional strategy document. July 2026: Next Steps are to present the work to the Moray CAN conference in September for comments and the document will also be presented to community planning and council committee for approval. This will then launch a period of community engagement for the draft document. Climate Change Strategy/updated Routemap to Net Zero - ED & I 10/03/2026 (item 13) Local Heat and Energy Efficiency Strategy (LHEES) Update 2026 ED & I 10/03/2026 (item 14) V Page 141
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5. Sustainable Development: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log March 2026: The area wide climate change strategy is progressing with the information gathered in from the community workshop analysed and organised into themes. This is being supplemented by directly engaging with additional businesses and organisations identified at the workshop and gathering in additional information around the themes through wider community engagement. Moray CAN is progressing how to present the strategy as an online accessible resource rather than a static document. Funding has been secured for a Grampian region wide adaptation risk assessment from Climate Ready Regions funding at Scottish Government. This is a partnership of Moray, Aberdeen and Aberdeenshire Councils with Aberdeen City Council being the lead organisation for the grant. W ithin the climate risk assessment, council specific annexes for each council area will be developed to ensure internal relevance, alignment with local strategies and ease of communication with communities and partners. This will be used to supplement the area wide climate change strategy. Community views have been gathered on the revised Moray Council Climate Change Strategy. There were no changes to the sustainable development section. March 2026: Timeline for the area climate change strategy is in draft and will be available ahead of the November meeting of Corporate Services Committee, the Moray CAN annual gathering (October), and the Community Planning Partnership, before going out for wider community consultation through Moray Engage. Grampian region wide adaptation risk assessment to go out to tender and work to be completed during financial year 2026-27 in line with grant conditions. Final version of the revised Moray Council Climate Change Strategy to be presented to the May Full Council. Page 142
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December 2025: The MEP subgroup has met again and discussed the community involvement around the socio-economic benefits of renewable energy and infrastructure upgrades. The Council’s Climate Strategy which will embed sustainable development is out for consultation. Officers and Moray CAN are meantime progressing the area wide climate change strategy and have held a community workshop to gather information. However additional community engagement is required, Moray CAN have been unable to prioritise this for the December deadline but now have funding for 2026/27 and can programme this activity. December 2025: The MEP subgroup is reporting up to MEP the issues around the infrastructure upgrades. The area wide climate change strategy has taken longer due to partnership working. Moray CAN will now programme in additional community engagement activity. In addition, shared work on adaptation is being investigated which would be invaluable in framing the Regional CSS. Based on these discussions a further extension is sought to November 2026 for two elements of actioning gaps, broken down as follows: • Scope out partnership interest in shared sustainable development priorities/actions in the LOIP Review – this aspect will be taken forward in an area wide Climate Change Strategy which is taking longer than anticipated due to partnership working, but a draft for consultation is anticipated to be available ahead of the November meeting of Corporate Services Committee Consider and Embed Community views on sustainable development in the revised Climate Change Strategy – this has been done at a level appropriate for the Council’s own strategy, with reporting of the final strategy to be done before the end of June 2026 at the latest. Climate Change Strategy - FC 24/9/2025 (item 10) Climate Change Plan & Route to Net Zero - FC 27/8/2025 (item 12) Climate Change Overview - CPB 03/12/2024 (item 2) Climate Change Strategy / updated Routemap to Net Zero - FC 4/12/2024 (item 15) Page 143
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5. Sustainable Development: Actions Lead Start Date End Date % Complete Current Position Next Step Evidence Log Sept 2025: The MEP subgroup has met twice and agreed a focus on climate change including sustainable development alongside other areas. Talks with Moray CAN and others on an area wide climate strategy are progressing. July 2025: An initial meeting of the MEP Subgroup covering this activity has been held. Later actions are progressing in line with deadlines in Action Plan. Sept 2025: The MEP subgroup needs to identify shared priorities with work plans allied to these. Work on the Area wide strategy can now proceed apace following on opening of consultation on the draft Climate Change Strategy and as Moray CAN have now held their annual conference on 3.10.25. There is a need to extend the end date for this work to reflect availability of partnership resources and this is sought to 31.3.26. July 2025: Work planning in MEP subgroup to begin in August meeting. Work on the Climate Change Strategy update incorporating sustainable development is progressing with a report to council in September. The area wide Climate Change Strategy work will build on the Moray Climate Action Network Annual Conference being held at the start of October. Page 144
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Best Value Self-Assessment Actions Appendix 2 Theme Action Lead Timeline Expected Outcome Partnerships and Collaborative Working Develop a cross-partner data-sharing framework to support planning and service delivery. Head of People, Change & C.S Aug’27 (Align with LOIP’27) Data-sharing framework that works for cross partner needs. Review Community Planning Partnership communication arrangements and reporting mechanisms. Head of People, Change & C.S Aug’27 (Align with LOIP’27) Plan that delivers timely and appropriate communications for LOIP partners and communities. Reintroduce Community Planning Board development sessions and partner induction arrangements. Head of People, Change & C.S Aug’27 (Align with LOIP’27) Community Planning Board development sessions and partner induction arrangements completed. Working with Communities Develop an engagement framework for hard-to-reach and under- represented groups, including review of communication methods. Head of People, Change & C.S Aug’27 (Align with LOIP’27) Framework and communication methods developed and agreed. Establish a central repository and coordinated communications calendar for community engagement activity. Head of People, Change & C.S Aug’27 (Align with LOIP’27) Central repository created, maintained and used by both officers and elected members. Sustainable Development Review procurement approaches to maximise community wealth-building opportunities. CFO June’27 Opportunities identified and evaluated for community wealth focused procurement, including review in context with wider process/policies. Explore apprenticeship and workforce development opportunities linked to major programmes and procurement activity. Head of People, Change & C.S Aug’27 Opportunities identified and evaluated for apprenticeship and workforce development, including review in context with wider process/policies. Page 145
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Finance, Strategy and Transformation Author: Katrina McGillivray Contact Email: katrina.mcgillivray@moray.gov.uk Subject: Workforce Planning Report 1. PURPOSE ☒ For Decision ☐ For Information 1.1 The purpose of this report is to inform the Committee of the progress made against the corporate workforce and organisational development strategy and plan for the period 2025-2026 and to consider the refreshed 2026-2027 action plan. 1.2 This report is submitted to Committee in terms of Section III (B) (24) (c) of the Council’s Scheme of Administration relating to the recruitment, training and development, health, safety and welfare policies and practices of the Council. 2. SUMMARY 2.1 The Corporate Workforce and Organisational Development Strategy was last agreed on 27 August 2024 (paragraph 6 of the minute refers) and is due for review in 2027. The action plan is reviewed annually, and this report provides an update on progress during 2025- 2026 along with a refreshed plan for 2026-2027. 3. RECOMMENDATIONS 3.1 It is recommended that Committee: i) consider and note the progress made against the 2025-26 workforce plan (Appendix 1); and ii) approve the workforce plan for 2026-2027 in Appendix 2 4. BACKGROUND AND CONTEXT Item 13. Page 147
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4.1 The Council’s Workforce and Organisational Development Strategy and plan set out how the Council will prepare and manage the workforce to be able to respond to the agreed Council priorities as set out in the Corporate Plan and the work that is required to support and achieve those objectives. 4.2 Workforce planning enables the Council to ensure that the workforce is prepared and deployed effectively to allow the Council to meet current and future demands. 4.3 The Council has in place an agreed annual workforce planning cycle, the outcomes of which have informed the refreshed plan for 2026 -2027 and provided a firm foundation upon which to build and develop the Council’s future People Strategy. 5. CURRENT ISSUES AND PRIORITIES 5.1 The current issues and priorities are broadly consistent with those identified in the strategy and plan and as reported in previous years, given the strong continuity in the workforce data reported from 2025-2026 and discussions on the workforce priorities for 2026-27 with Heads of Service, Service Managers, Elected Members and Trades Union colleagues. Work is progressing across all areas of the plan and due to the complexity and scale of these organisational priorities, these are areas where there is a need for continual focus and attention to ensure ongoing impact, improvement and development over time. 5.2 The main themes of workforce planning and change, organisational development, health and wellbeing, leadership capacity, and recruitment, retention and skills development are all carrying forward in a more focused and action orientated form. 5.3 The 2026-27 priorities also introduce a stronger emphasis on workforce intelligence, retirement and leadership risk, digital maturity, emerging technologies and service redesign. 5.5 At a service level, insights arising from the workforce planning cycle inform actions to be built into service plans to address any gaps and enable monitoring of progress. Organisationally, the main themes inform the review and development of the Council’s Workforce Strategy and Plan as referred to in this report. 6. PROPOSALS Progress on 2025-2026 Workforce Plan Actions 6.1 Developing Leadership Capacity • Phase 1 of the management restructure completed. • Refreshed longer-term strategy and plan developed. • Heads of Service have started on any ‘no regret’ changes as part of phase 2 • Columba 1400 have been commissioned to support Moray Council with a bespoke Values-Based Leadership programme to support the development of the leadership team and Service Managers and to lead change within the organisation. • Discussions are underway with Heads of Service where more detailed restructure of services is required. Page 148
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• Continued delivery of existing management and supervisory programmes. 6.2 Workforce Planning and Change • Annual Workforce Planning Cycle progressed with main themes and actions arising provided to inform service planning and corporate workstreams. • Refreshed approach to partnership working with Trades Unions and Joint Consultative Forum. 6.3 Workforce and Organisational Development • Overarching approach and plan refreshed around empowering the workforce to embrace change. • Employee survey outcomes were discussed at corporate and service levels for action and a proposal developed for future approach to move to quarterly pulse surveys rather than a survey every two years. • Progress on digital skills development in collaboration with ICT. 6.4 Recruitment and Retention • Succession Planning approach implemented, with good progress being made in establishing a baseline, identifying areas of strength and drawing on positive examples across services to support continued improvement. • Recruitment and Selection Policy refreshed and updated providing foundation for development in line with future recruitment strategy. • Development of partnership approach with schools and Developing the Young Workforce locally. • Opportunities within services for attracting and supporting young people in place pending agreement of strategic approach, including use of apprenticeships across the Council. • Discussions with partners are ongoing to develop a plan for raising the profile of living and working in Moray. 6.5 Health and Wellbeing • Bite-sized learning developed and delivered to support managers to support employees with health and wellbeing. • Provision of professional advice and support to managers on casework. • Improving Attendance Project progressing with establishment of team targeting interventions to support schools with health, wellbeing and attendance at work. 6.6 Priorities for 2026-27 The Workforce Plan has been amended to reflect where work has been completed, where further work is required and where the priority and focus should be during 2026-2027 from engagement with the JCF and Servics. In particular, the focus will be on leadership, attracting young people into the workforce, including the approach to apprenticeships across the Council, digital skills/workforce development and preparing the workforce for change. Page 149
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6.7 This work forms part of the wider approach to organisational change and a further focus during 2026-2027 will be the development of a consistent framework for delivering change as part of the Council’s ongoing structural transformation, with support to services on future service redesign activity as part of the work to support organisational change at a Council-wide level. 7. SUMMARY OF IMPLICATIONS 7.1 The table below shows whether risks and implications apply if the recommendations are agreed: SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) x Policy and Legal x Financial x Risk x Staffing x Best Value and Transformation x Property x Information Communications Technology/Digital x Equalities, Social Inclusion and Economic Impact x Climate Change and Biodiversity Impact x 7.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☐ Tackle Poverty and Inequality. ☐ Build Stronger Greener Vibrant Economy. ☒ Build Thriving, resilient, empowered Communities. The work noted in this report supports the Council to achieve the priorities and objectives in the Corporate and 10 Year Plan. It sets out how the Council will meet the challenges in making best use of the workforce and resources. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☐ Developing a diverse, inclusive, and sustainable economy ☒ Building a better future for our children and young people in Moray. ☐ Empowering and connecting communities. ☐ Improving the wellbeing of our population 7.3 Policy and Legal Page 150
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National terms and conditions for all groups within the local government workforce, local terms and conditions and the Council’s Workforce Strategy and Plan set out the Policy and Legal framework within which this report should be considered. It is also important to recognise the importance that the Scottish Government places on the people working in the public sector to deliver the reforms identified by the Christie Commission including the principles of Fair Work. The links to workforce planning and thereby to demonstrating best value are important considerations for the Council. Public Sector Reform is also an important consideration going forward. 7.4 Financial While there are no direct financial implications arising from approval of this report, the workforce planning activity outlined is closely aligned to the Council’s wider transformation, Best Value and medium-term financial planning objectives. Effective workforce planning will support the Council to make best use of its workforce and resources, identify areas of workforce pressure or risk, and inform future decisions on service redesign, skills development and organisational capacity. It should also be noted that previously approved funding (agreed as part of Phase 1) is being utilised for the leadership, cultural change and management development. 7.5 Risk Workforce planning uses data to identify organisational risks and issues that may arise associated with the workforce, ensuring that workforce risks are identified and appropriately prioritised for action in the context of the Council’s corporate priorities and incorporated into the Workforce Plan. 7.6 Staffing There are no immediate staffing implications arising directly from approval of this report. However, delivery of the refreshed Workforce Plan will rely on support from Organisational Development, alongside the active commitment of managers across services to take forward agreed actions. Advice and support will be targeted in line with the priority ratings identified, with progress dependent on managers embedding workforce planning, leadership development, health and wellbeing, and change activity within service planning and day-to-day management practice. 7.7 Best Value and Transformation The content of this report and strategy support the Council’s aims to be a good employer, to make best use of the workforce and to ensure continued progress towards ensuring an engaged workforce with a positive workforce culture. Effective workforce planning supports the work of the Transformation Strategy projects. 7.8 Property There are no property implications arising from this report. 7.9 Information Communications/Technology/Digital Collaborative work is ongoing with ICT to support the progress of digital transformation around digital skills development as part of preparing and empowering the workforce for change. 7.10 Equalities, Social Inclusion and Economic Impact Page 151
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The workforce planning activity outlined in this report supports the Council’s duties in relation to equality, inclusion and fair work. Continued use of workforce data, including equalities monitoring and gender pay gap information, will help inform targeted action to address any unfairness, disadvantage or discrimination and support a more inclusive workforce. 7.11 Climate Change and Biodiversity Impacts No climate change or biodiversity implications have been determined as a result of the content of this report. 8. CONSULTATION 8.1 This report and appendices have been prepared in consultation with the central and senior leadership teams and the Joint Consultative Forum and any comments made have been incorporated into the report. There has also been input from the Trade Union Officer Group and the Joint Secretary for the Employee Side of the Local Negotiating Committee for Teachers and formal homologation will be scheduled at the respective formal meetings. 9. BACKGROUND PAPERS 9.1 Corporate Workforce Strategy 2024 - 2027 Annual Corporate Workforce Report 2025 – 2026 Main Themes from Annual Workforce Planning Meetings with Heads of Service Page 152
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APPENDIX 1 CORPORATE WORKFORCE PLAN 2025-2026 SUMMARY OF POSITION Priority Rating: 1 – critical in terms of scale of impact and/or to success of other actions 2 – wide-scale impact and/or supports achievement of other outcomes 3 – clear benefits but importance may be outweighed by other actions 4 – ongoing area of work to be maintained through business-as-usual activity BV – Best Value Action SP – Service Plan Action ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Priority Rating Position at end June 2026 Developing Leadership Capacity: prepare and develop strong and visible current and future leaders to provide the strategic and organisational capacity to develop the agenda for and direction of the organisation 1. Develop and implement redesigned leadership development programme aligned with the agreed management skills, behaviours and competencies to ensure development of the leadership capacity required for transformation (BV 1.3 & SP) Leaders are developed to lead the response to the challenging agenda, the Council is prepared for the future and makes sustained progress in its improvement and transformation work Leadership development programme implemented that addresses corporate and individual leadership needs Culture of transformation and change, innovation and strategic decision making enabled Measures: Revised programme implemented to meet organisational requirements e.g. distributive, collaborative and adaptive leadership skills Leadership development courses in place, leaders developed to lead challenging agenda and feedback positive 1/2/3 tier managers have attended training and show improvements in awareness of key learning points Evaluation programme of impact on practice is developed and implemented including skills analysis survey and Dec 2026 1 Interim Phase 1 completed. Refreshed longer-term strategy and plan developed. Interim Phase 1 of the management restructure has been completed, Phas 2 ‘no regret’ changes are underway, with discussions started on larger service re- structure. Columba 1400 has been commissioned to support a bespoke Values- Based Leadership programme for the leadership team and Service Managers, to support culture change and management development. Further Page 153
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Priority Rating Position at end June 2026 improved employee survey results Leadership training will be identified through this process.The Management training course has been informed from service manager engagement. 2. Provide targeted management and supervisory development that is responsive, empowers managers to evolve their services and addresses pressures in the system Managers and supervisors are developed to lead challenging agenda, empower and enable teams and individuals to foster innovation and create flexibility and adaptability to embrace change and transformation. 1. Targeted interventions and approaches designed to address areas of pressure 2. Responsive and empowered managers developed to cascade responsive and empowered approach to teams 3. Culture of transformation, innovation and collaborative working fostered across services Measures: success in instilling changes that move the Council to a more sustainable position Increase in positive responses to people management questions in employee survey Dec 26 2 Development continuing ensuring alignment with leadership development programme above. Engagement with service managers over summer period to inform and support co- design of development required. In the meantime, continued delivery of management and supervisory development through the first line managers programme and leadership development programme encompassing leading in complexity, 3 Horizons and Action Learning Sets. Further Page 154
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Priority Rating Position at end June 2026 management and supervisory training provided as part of the corporate training calendar – managing change, dealing with conflict, policy (absence, grievance, disciplinary) and self-directed learning resources through signposting. Workforce Planning and Change: manage the contraction and re-shaping of the Council workforce to achieve a sustainable skilled and motivated workforce for the future aligned to the Council’s priorities Transformation and change: Transform approach used to align workforce implications of change with relevant solutions deployed Continue to actively manage vacancies to prepare for future changes (SP) Workforce change is managed in a structured and consistent way and achieves the desired change, reducing headcount where necessary in accordance with agreed policy and procedure Measures: Reduction in headcount Number of compulsory redundancies Number of departures under voluntary schemes balancing cost and organisational requirements Number of redeployments As required 4 Workforce implications arising from the 25/26 budget were minimal, with no requirement to instigate formal measures to manage workforce change. Manage employee relations and consultation comprehensively and sensitively in relation to workforce changes Employee relations aspects of managing change at service and corporate level undertaken effectively and in good time Measures: Workforce changes completed in accordance with agreed policy and procedure Satisfaction with change management from As required 4 Quarterly Trades Union/Officer Group meetings. Partnership approach subject of engagement and consultation and refreshed approach to Joint Page 155
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Priority Rating Position at end June 2026 employees and trade unions for each change taking account of time constraints given extent of budget gap and time available to address it Consultative Forum with positive feedback from participants. Workforce and Organisational Development: ensure that employees are empowered and enabled to embrace and be prepared for change through encouraging flexibility and adaptability as new ways of working are brought in and roles develop and change as a result of service delivery changes 1. Ensure workforce is empowered and enabled to embrace and be prepared for change (SP) Workforce is prepared for and embraces change, with flexibility to adapt and develop to future requirements Measures: Range and scale of changes demonstrate increased flexibility and adaptability of workforce Employee survey question results establish baseline for monitoring improvement on impact of training and development to support new ways of working, levels of confidence in being supported to be flexible and adaptable, levels of confidence in improved efficiency and levels of service achieved as a result of change Positive feedback from change exercises Mar 2027 1 Overarching approach being refreshed including plans for engagement with workforce and opportunities for co-design being explored. Work with ICT to refresh and update approach to Digital Champions to support digital transformation. Annual Workforce Planning meetings with Heads of Service undertaken along with engagement and consultation with Elected Members and Trades Unions on workforce priorities. Discussions with Heads of Service and Service Managers on outcomes of employee survey at service level for action planning and Page 156
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Priority Rating Position at end June 2026 consideration of priorities, issues and any constraints. Future approach to surveys developed. 2. Review Management Appraisal Framework Management Appraisal Framework to be reviewed to reflect current and future requirements of managers, aligned with the agreed corporate management competencies and ensure optimum performance management and ongoing development Measure: Above produced, implemented and positive feedback received Oct 2026 3 Linked to and dependent on the leadership development and management and supervisory development work outlined above. Initial research and scoping undertaken for further development of approach. Recruitment and Retention: ensure that Council services are well-resourced by making the Moray employment package as attractive as possible and deploying recruitment strategies tailored to local requirements 1. Review and refresh recruitment and retention activities to deploy appropriate recruitment strategies that promote employment opportunities and raise the profile of Moray Council as an employer of choice including pathways for development for internal candidates and youth employment including reviewing the strategic deployment of apprenticeships (SP) Recruitment attracts high calibre candidates and council services are well- resourced Key corporate priorities and resources are appropriately resourced to ensure completion and achievement of objectives and outcomes Un-resourced areas are flagged for consideration with risks and issues noted Measures: Increased number of high calibre candidates for council vacancies in hard to fill posts – to be developed further per service requirements Number of young people employed increased Attrition rates improved (lowered) for areas with high turnover – to be developed Mar 2027 1 Corporate recruitment action plan progressed in a number of areas to support recruitment and retention. Recruitment and Selection Policy refreshed and updated providing firm foundation for further development work around the Council’s strategic approach. Number of opportunities for attracting and supporting young people in Page 157
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Priority Rating Position at end June 2026 further per service requirements Reduced number of repeat adverts and reduction in time taken from advert to first day of employment. Feedback of positive impact from managers through Personnel Forum Number of career progression opportunities are increased Apprenticeship approach reviewed place pending refreshed approach to apprenticeships and agreement of strategic approach. Next phase to focus on refining and implementing the recruitment strategy, strengthening employer branding and improving outcomes across priority service areas. Progress to date has focused on strengthening the Council’s recruitment approach through both targeted senior recruitment activity and the development of workforce intelligence. The Workforce North Moray Road Map has been finalised with partners. Plans are being developed for raising the profile of living and working in Moray. This work will link to the additional work required to work on reducing teacher hours and recruit more teachers. Page 158
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Priority Rating Position at end June 2026 2. Succession Planning: Approach implemented to build internal capacity and contributes to a positive culture (SP) To build internal capacity through workforce development, career progression and skills development whilst ensuring equal opportunity so that internal candidates are enabled to put themselves forwards for development opportunities that provide the required experience and skill set to apply for alternative or promoted positions. Measures: Increased number of internal applicants are received for posts across services particularly where there are ongoing recruitment challenges Internal applicants are supported to be prepared to apply for promoted posts Mar 2026 2 Measures developed for baseline in 25/26. Engagement with Services has supported the development of service actions plans focussed on developing and upskilling staff for future roles across the Council. Health and Well-being: pro-actively support the health and well-being of employees 1. Lead the implementation of the Council’s Health and Work policy in order to deliver ongoing improvements in absence specifically including development of holistic proactive approach to attendance and wellbeing with a focus on minimising number and length of absences, Absence is managed effectively and levels of absence are reduced efficiently and timeously to achieve a sustained reduction in absence levels as measured through the Local Government Benchmarking Framework PIs. To improve the awareness of and management of mental health (as a main cause of absence) within the workforce. To instigate proactive measures to promote health and well-being as preventative measures Measures: Increased number of managers and employees trained in Mental Health Awareness and First Aid July 2026 1 Improving Attendance Project in place. Bite sized learning in place to support and complement Health at Work training. Signposting and communications channels utilised to raise awareness. Funding has been successful to support the HR policy refresh and HR support offered to services, this will include training to line managers and easier access to policy Page 159
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Priority Rating Position at end June 2026 review of Day One notification for focus on short- term absence and focus on targeted operational implementation of absence management procedures by managers (SP) 0.25 day per fte reduction in sickness absence levels per annum 0.25 day per fte reduction in absence due to mental health and wellbeing reasons per annum Costs of absence reduced Time taken to manage absence baselined and monitored for improvement (reduction) Improved survey results on relevant questions Positive anecdotal feedback from trade unions, managers and workforce information and guidelines. 2. Provide support for reducing incidents of violence and aggression in schools as set out in the agreed ASN action plan, working collaboratively with Trades Unions to identify specific actions to help address short term absence Measures are developed and deployed that support school-based staff to feel safe at work and equipped to manage challenging behaviour appropriately: Measures developed Measures deployed Measures: Levels of sickness absence due to incidents of challenging behaviour reduced. Jun 2025 From Aug 2025 1 Education now leading joint group including TUs. Range of measures and improvements in place including training and improved incident reporting. Page 160
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APPENDIX 2 CORPORATE WORKFORCE PLAN 2026-2027 Priority Rating: 1 – critical in terms of scale of impact and/or to success of other actions 2 – wide-scale impact and/or supports achievement of other outcomes 3 – clear benefits but importance may be outweighed by other actions 4 – ongoing area of work to be maintained through business-as-usual activity BV – Best Value Action SP – Service Plan Action ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Lead Officer Priority Rating Developing Leadership Capacity: prepare and develop strong and visible current and future leaders to provide the strategic and organisational capacity to develop the agenda for and direction of the organisation 1. Develop and implement redesigned leadership development programme aligned with the agreed management skills, behaviours and competencies to ensure development of the leadership capacity required for transformation (BV 1.3 & SP) Leaders are developed to lead the response to the challenging agenda, the Council is prepared for the future and makes sustained progress in its improvement and transformation work Leadership development programme implemented that addresses corporate and individual leadership needs Culture of transformation and change, innovation and strategic decision making enabled Measures: Revised programme implemented to meet organisational requirements grounded in the Values-Based Leadership approach led and supported by Columba 1400. Leadership development programme in place, leaders developed to lead the challenging agenda and feedback positive 1/2/3 tier managers have participated in development activity informed through service manager engagement and show improvements in awareness of key learning points Evaluation programme of impact on practice is developed and implemented including skills Dec 2026 H/CS,P&C 1 Page 161
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Lead Officer Priority Rating analysis survey and improved employee survey results 2. Provide targeted management and supervisory development that is responsive, empowers managers to evolve their services and addresses pressures in the system Managers and supervisors are developed to lead challenging agenda, empower and enable teams and individuals to foster innovation and create flexibility and adaptability to embrace change and transformation. 4. Targeted interventions and approaches designed to address areas of pressure 5. Responsive and empowered managers developed to cascade responsive and empowered approach to teams 6. Culture of transformation, innovation and collaborative working fostered across services Measures: success in instilling changes that move the Council to a more sustainable position Increase in positive responses to people management questions in employee survey Dec 2026 SM-OD&C 2 Workforce and Organisational Development: ensure that employees are empowered and enabled to embrace and be prepared for change through encouraging flexibility and adaptability as new ways of working are brought in and roles develop and change as a result of service delivery changes 1. Ensure workforce is empowered and enabled to embrace and be prepared for change (SP) Workforce is prepared for and embraces change, with flexibility to adapt and develop to future requirements Measures: Range and scale of changes demonstrate increased flexibility and adaptability of workforce Employee survey question results establish baseline for monitoring improvement on impact of training and development to support new ways of working, levels of confidence in being supported to be flexible and adaptable, levels of confidence in improved Mar 2027 SM – OD&C 1 Page 162
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Lead Officer Priority Rating efficiency and levels of service achieved as a result of change Positive feedback from change exercises 2. Review Management Appraisal Framework Management Appraisal Framework to be reviewed to reflect current and future requirements of managers, aligned with the agreed corporate management competencies and new employee values. This will ensure optimum performance management and ongoing development Measure: Above produced, implemented and positive feedback received Mar 2027 SM – OD&C 3 Recruitment and Retention: ensure that Council services are well-resourced by making the Moray employment package as attractive as possible and deploying recruitment strategies tailored to local requirements 1. Review and refresh recruitment and retention activities to deploy appropriate recruitment strategies that promote employment opportunities and raise the profile of Moray Council as an employer of choice including pathways for development for internal candidates and youth employment including reviewing the strategic deployment of apprenticeships (SP) Recruitment attracts high calibre candidates and council services are well-resourced Key corporate priorities and resources are appropriately resourced to ensure completion and achievement of objectives and outcomes Un-resourced areas are flagged for consideration with risks and issues noted Measures: Increased number of high calibre candidates for council vacancies in hard to fill posts – to be developed further per service requirements Number of young people employed increased Attrition rates improved (lowered) for areas with high turnover – to be developed further per service requirements Reduced number of repeat adverts and reduction in time taken from advert to first day of employment. Feedback of positive impact from managers through Service Managers Network Number of career progression Mar 2027 SM – PM & SM – OD&C 1 Page 163
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Lead Officer Priority Rating opportunities are increased Approach to attracting young people into the workforce reviewed including use of apprenticeships across the Council. 2. Succession Planning: Approach implemented to build internal capacity and contributes to a positive culture (SP) To build internal capacity through workforce development, career progression and skills development whilst ensuring equal opportunity so that internal candidates are enabled to put themselves forwards for development opportunities that provide the required experience and skill set to apply for alternative or promoted positions. To identify gaps on an organisational-wide basis over the period 2026 to 2029 to inform development plans. Measures: Increased number of internal applicants are received for posts across services particularly where there are ongoing recruitment challenges Internal applicants are supported to be prepared to apply for promoted posts Mar 2027 December 2026 SM – OD&C 2 Health, Safety and Well-being: pro-actively support the health, safety and well-being of employees 3. Lead the implementation of the Council’s Health and Work policy in order to deliver ongoing improvements in absence specifically including development of holistic proactive approach to attendance and Absence is managed effectively and levels of absence are reduced efficiently and timeously to achieve a sustained reduction in absence levels as measured through the Local Government Benchmarking Framework PIs. To improve the awareness of and management of mental health (as a main cause of absence) within the workforce. To instigate proactive measures to promote health and well-being as preventative measures Measures: Dec 2026 H/CS,P&C, SM-PM & SM-OD&C 1 Page 164
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Lead Officer Priority Rating wellbeing with a focus on minimising number and length of absences, review of Day One notification for focus on short- term absence and focus on targeted operational implementation of absence management procedures by managers (SP) Increased number of managers and employees trained in Mental Health Awareness and First Aid 0.25 day per FTE reduction in sickness absence levels per annum 0.25 day per FTE reduction in absence due to mental health and wellbeing reasons per annum Costs of absence reduced Time taken to manage absence baselined and monitored for improvement (reduction) Improved survey results on relevant questions Positive anecdotal feedback from trade unions, managers and workforce 4. Provide support for reducing incidents of violence and aggression in schools working collaboratively with Trades Unions to identify specific actions to help address short- term absence Measures are developed and deployed that support school- based staff to feel safe at work and equipped to manage challenging behaviour appropriately: Measures developed Measures deployed Measures: Levels of sickness absence due to incidents of challenging behaviour reduced. Dec 26 Education leading with support from SM- PM & SM- OD&C 1 Future Workforce Planning and Transformation Deliver an integrated approach to workforce planning that supports the Council's Corporate Plan, Transformation Strategy and Medium-Term Financial Strategy by developing a modern, skilled, flexible and financially sustainable workforce Develop and implement the Future Workforce Strategy to support long- term workforce sustainability Ensure workforce implications are considered at the earliest stage of organisational change, modernise employment frameworks where appropriate through partnership working, strengthen workforce capability and resilience, and align In accordance with future workforce project SM-PM / SM OD&C 1 Page 165
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ACTION REQUIRED PLANNED OUTCOME Completion TIME- SCALE Lead Officer Priority Rating Continue to review vacancies strategically to align workforce capacity with future service requirements workforce capacity with future service demand. Workforce change will continue to be managed fairly, consistently and in accordance with agreed policies and collective agreements, with every effort made to minimise compulsory redundancies through effective workforce planning, redeployment, organisational redesign and voluntary measures. Measures: Monitor delivery through workforce sustainability measures including recruitment, retention, workforce costs, agency usage, overtime, employee engagement and redeployment outcomes with compulsory redundancies reported as an exception rather than a performance measure. Manage employee relations and consultation comprehensively and sensitively in relation to workforce changes Employee relations aspects of managing change at service and corporate level undertaken effectively and in good time Measures: Workforce changes completed in accordance with agreed policy and procedure Satisfaction with change management from employees and trade unions for each change taking account of time constraints given extent of budget gap and time available to address it As required H/CS, P&C 4 Page 166
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Finance, Strategy and Transformation Author: Katrina McGillivray Contact Email: katrina.mcgillivray@moray.gov.uk Subject: Menopause Friendly Accreditation 1. PURPOSE ☒ For Decision ☐ For Information 1.1 The purpose of this report is to note progress, as part of the employee engagement programme, towards supporting menopause in the workplace and to recommend that the Council applies for Menopause Friendly Accreditation. 1.2 This report is submitted to Committee in terms of Section III (B) (25) of the Council’s Scheme of Administration relating to the recruitment, training and development, health, safety and welfare policies and practices of the Council. 2. SUMMARY 2.1 The Council has already taken positive steps to support employees experiencing menopause, including the adoption of a Menopause Policy in 2023 and the development of practical workplace support measures. Applying for Menopause Friendly Accreditation would build on this progress by providing access to recognised tools, resources and external assurance to further strengthen the Council’s approach. Accreditation would support workforce wellbeing, inclusion, retention and the Council’s position as an employer of choice. It would also help prepare the Council for forthcoming equality action planning requirements by providing a structured framework for identifying, evidencing and monitoring future actions to support employees experiencing menopause. Committee is therefore asked to note the progress made to date and agree that the Council applies for Menopause Friendly Accreditation. Item 14. Page 167
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3. RECOMMENDATIONS 3.1 It is recommended that Committee: i) consider and note the progress towards supporting menopause in the workplace; and ii) agree that the Council apply for Menopause Friendly Accreditation. 4. BACKGROUND AND CONTEXT 4.1 The Council has been proactive in creating a psychologically safe and positive workplace for employees experiencing menopause and those managing and supporting these employees. This includes several embedded actions including: • Menopause Policy with guidance to support. • Training in the form of eLearning and signposting to NHS resources. • Engagement with the workforce on planned activities, provision of information and polls to identify what support would be beneficial. • Programme of Menopause Cafes and a Menopause Community on Viva Engage to provide a safe space to talk about menopause and provide opportunities for learning. • Specialist support through Occupational Health Services, Employee Assistance Provider and from a Menopause Champion. 4.2 In addition to embedded actions, the Employment Rights Act 2025 indicates that employers are expected to take action to address issues identified through engagement with those experiencing menopause in the workplace to include in the Council’s Equality Action Plan alongside the gender pay gap actions. The Equality Action Plan will be submitted and progress monitored in line with current requirements for gender pay gap reporting. Whilst the legislative requirement will be implemented in Spring 2027, employers are encouraged to meet the requirements on a voluntary basis before then. 4.3 It is considered that gaining accreditation as a Menopause Friendly Employer would provide further information and resources to draw upon to develop the support to those experiencing menopause in the workplace and alongside engagement with these employees, will help identify actions to be included in the Equality Action Plan going forward. Page 168
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4.4 Accreditation involves evidencing that the Council actively supports menopause at work across the five accreditation pillars of culture, policies and practice, training, engagement and working environment. The Menopause Friendly Accreditation programme not only demonstrates improvements and commitment to the workforce but also provides external recognition of the Council’s commitment, providing a solid foundation for compliance with the mandatory requirements of the Employment Rights Act 2025 and will contribute towards supporting key workforce priorities including: • being an employer of choice • retention • reducing the gender pay gap • reducing hidden absenteeism costs • improving workplace culture Having access to the full range of resources provided through Level 2 Membership will support the work going forward and place the Council in a strong position with regard to the forthcoming statutory requirements. 4.5 Research (CIPD) indicates that around one in six employees aged 40 – 60 (17%) have considered leaving work due to a lack of support in relation to their menopause symptoms, and a further 6% have left work. In the Council, 77% of the workforce are female and 51% of those females aged 45 + (44% of the whole workforce is female and aged 45+). Strengthened exit monitoring arrangements will support further insights arising from the Council’s workforce data in future years. For example, the personal reasons category has been broken down further and includes menopause related as a specific reason for leaving. However, for 2025/2026, 34% of leavers indicated that they left due to personal reasons. Whilst this category includes a range of circumstances, it is likely (when considering the research available) that menopause could be one of these reasons. 5. PROPOSALS 5.1 It is proposed that the Council will prepare, review and monitor menopause actions moving forward and include menopause in the equalities reporting framework alongside the actions which focus on reducing the gender pay gap, through which success will be measured. 5.2 A gap analysis will be conducted against the government actions arising from the implementation of the Employment Rights Act 2025, to identify what the Council has in place, what needs updating and what new actions will be taken forward. 5.4 The accreditation would support assurance that the Council continues to support workplace inclusivity and are in a strong position with regard to the forthcoming mandatory requirements relating to menopause in the workplace arising from the Employment Rights Act 2025. 6. SUMMARY OF IMPLICATIONS Page 169
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6.1 The table below shows whether risks and implications apply if the recommendations are agreed: SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) x Policy and Legal x Financial x Risk x Staffing x Best Value and Transformation x Property x Information Communications Technology/Digital x Equalities. Social Inclusion and Economic Impact x Climate Change and Biodiversity Impact x 6.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☒ Tackle Poverty and Inequality. ☐ Build Stronger Greener Vibrant Economy. ☒ Build Thriving, resilient, empowered Communities. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☐ Developing a diverse, inclusive, and sustainable economy ☐ Building a better future for our children and young people in Moray. ☐ Empowering and connecting communities. ☒ Improving wellbeing of our population 6.3 Policy and Legal The Council has in place a Menopause Policy with supporting guidance and resources. The Employment Rights Act 2025 is set to introduce mandatory Equality Action Plans from Spring 2027 to include a menopause action plan alongside the current gender pay gap reporting and actions. Whilst menopause is not a recognised protected characteristic as far as the Equality Act 2010 is concerned, it may be considered under one or more of the existing recognised protected characteristics such as gender, age and disability. 6.4 Financial Membership & Cost Options To achieve accreditation, the Council must first become a member to access the required toolkits and evidence-gathering frameworks. • Level 1 Membership (£1,695): o Includes: Listing as a "Menopause Friendly Employer," asset pack, and eligibility to apply for accreditation. Page 170
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• Level 2 Membership (£3,395): o Includes: Full Menopause Action Plan (MAP) Toolkit, policy library, practical playbooks, masterclasses, community events, and an invite to the Annual Awards. o Note: For accredited organisations, this fee may reduce to £1,695 in subsequent years. It is recommended that the Council applies for Level 2 Membership which will provide a full range of resources to support the work going forward and place the Council in a strong position with regard to the forthcoming statutory requirements. Thereafter the annual membership fee will be required, which is currently £1695 per annum. The cost of Level 2 Membership is significantly less than the cost of losing one experienced employee, and preventing a single resignation covers the membership fee for over 3 years. The costs will be absorbed within existing budgets and savings related with reduced levels of absenteeism and recruitment are being targeted to offset the costs of the membership. One off Costs: Service Area Budget Budget Years Proposed Spend this Year Virement From Other Comments People, Community Strategy and Change £3395 2026/27 £3395 Annually Recurring Costs: Service Area Budget With Effect From Annual Net Impact Virement From (if applicable) Other Comments People, Community Strategy and Change £1695 2027/28 £1695 6.5 Risk Accreditation and the development of the Equality Action Plan will mitigate risks associated with potential claims of discrimination on the grounds of gender, age and/or disability related to a lack of workplace support for those employees experiencing menopause. Page 171
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6.6 Staffing Work required will be managed within existing resource. Staff wellbeing is expected to benefit from this proposal. 6.7 Best Value and Transformation None arising from the report. 6.8 Property None arising from the report. 6.9 Information Communications/Technology/Digital None arising from the report. 6.10 Equalities, Social Inclusion and Economic Impact These will be enhanced through the continuation and development of workplace support, promoting equalities and contributing to retaining employees in the workforce. 6.11 Climate Change and Biodiversity Impacts None arising from the report. 7. CONSULTATION 7.1 This report has been prepared in consultation with the Head of People, Community Strategy and Change and Service Manager People Management and any comments made have been incorporated into the report. Feedback from CLT and from Trade Union representatives have also been incorporated. 8. BACKGROUND PAPERS 8.1 Menopause in the workplace | CIPD Page 172
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Finance, Strategy and Transformation Author: Katrina McGillivray Contact Email: katrina.mcgillivray@moray.gov.uk Subject: Employment Policy Framework Revised Approach 1. PURPOSE ☒ For Decision ☐ For Information 1.1 The purpose of this report is to consider and approve a revised approach to the employment policy review framework. 1.2 This report is submitted to Committee in terms of Section III B (25) of the Council’s Scheme of Administration relating to the formulation, implementation and review of policies and practices for Council employees. 2. SUMMARY 2.1 This report seeks approval for a revised approach to the Council’s Employment Policy Framework. The proposed approach separates strategic policy oversight from operational procedures and guidance, enabling routine and legally required updates to be approved more efficiently at officer level, while retaining Corporate Committee approval for any substantive change to the Council’s strategic policy position. The report also seeks agreement to update the Scheme of Administration at the next review point and approval of an overarching policy statement to support consistent application of the framework. 3. RECOMMENDATIONS 3.1 It is recommended that Committee: Item 15. Page 173
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i) Approve the revised approach to the Employment Policy Framework to enable a more adaptive, streamlined, efficient and timely process of approval; ii) Agree the proposed change to the Scheme of Administration to be updated at the next review point; and iii) Approve the overarching policy statement to apply to all areas within the scope of the Employment Policy Framework. 4. BACKGROUND AND CONTEXT 4.1 The Council’s employment policy framework is reviewed regularly to ensure it remains up-to-date in terms of legislative requirements, good practice and operational relevance. 4.2 Policies are reviewed initially through a desk-top exercise to establish the level of review required: minimal for essential updates, mid-level for more in-depth amendments or full where a change of approach is being considered. 4.3 4.4 Policy reviews are undertaken on a five-year rolling programme, which allows current employment policies to be subject to regular and timely review. Where legislation or operational demands require, the planned schedule is reprioritised accordingly to ensure compliance and service delivery. Currently Corporate Committee formally approves all changes to policies within the scope of the framework on an annual basis, including operational changes. 5. PROPOSALS 5.1 It is proposed that the future approach to the employment policy framework should separate the strategic position from the more operational work and that this approach is adopted for the 2026-27 review and future years. 5.2 5.3 The overarching policy statement would apply, allowing separation of the Policy Statement from the detailed operation of individual operating procedures and supporting guidance in practice, which will continue to be reviewed and updated as required and approved by the Head of People, Change and Community Strategy. Individual procedures and supporting guidance will be maintained and updated as required and made available through a central repository, providing managers and employees with access to the most current operational advice and supporting documentation. Page 174
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5.4 Where there is a recommended change that substantially alters the Council’s overarching policy position, this would continue to be reported to Corporate Committee for consideration. 5.5 The following amendment to the Scheme of Administration would be required: (25) To formulate, supervise strategic oversight on the implementation of and review as necessary the policy and practices of the Council for all employees, other than teachers, in relation to:- (a) the policies for the appointment and deployment, appraisal, transfer and promotion of all employees within the approved establishment; (b) the remuneration, conditions of service and allowances of all posts; (c) the recruitment, training and development, health, safety and welfare policies and practices of the Council; (d) the grievance and disputes procedures, disciplinary rules and procedures and dismissal procedures relating to all employees. 5.6 If there is agreement to the revised approach, the Scheme of Administration will be updated at the next review point. 5.7 The proposed approach will enable a timelier and more responsive approval process rather than agreement of policy revisions on a once per year basis at Committee level. The process of review which includes engagement and consultation as appropriate with officers and trade union representatives and the preparation of Integrated Impact Assessments will continue to be applied according to current practice. 5.8 To support consistent application of the revised framework, it is proposed that each policy review is assessed against a defined set of criteria (Appendix 1) to determine whether approval can be given at officer level or whether the matter should be escalated to Corporate Committee. This reflects the distinction between the Committee’s role in overseeing the Council’s strategic policy framework and the operational responsibility of officers to maintain procedures, guidance and legally compliant practice within that framework. 5.9 For the purposes of illustration, the following are examples where, if there were to be a recommended change in the Council’s strategic approach, the proposed changes could be presented to Corporate Committee for consideration: Flexible Working; Special Leave; Recruitment and Selection; Change Management. 5.10 Where there are operational changes, such as updates to job titles or legislative changes where there is little or no discretion in employer responsibilities, amendments could be approved at officer level, such as changes to the operation of Paternity, Maternity, Adoption and Neonatal Care; Disciplinary; Grievance; and Health at Work. Page 175
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5.11 5.12 The work involved in reviewing policies, procedures and supporting guidance will be supported going forward by access to the CIPD HR Inform portal, an HR resource hub equipped with customisable tools and templates, cutting-edge content and expert tailored advice, located on one platform. As highlighted above, there will be no change to the current review process, which includes engagement and consultation as appropriate with Service Managers and Trade Union representatives, as well as the Joint Consultative Forum where required. 6. SUMMARY OF IMPLICATIONS 6.1 The table below shows whether risks and implications apply if the recommendations are agreed: SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) x Policy and Legal x Financial x Risk X Staffing X Best Value and Transformation X Property X Information Communications Technology/Digital X Equalities, Social Inclusion and Economic Impact x Climate Change, Biodiversity and Sustainability X 6.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Effective employment policies are essential to service delivery and ensuring compliance with legislation, best practice and council requirements that support improvements through Best Value and will better enable the Council to fulfil the ambitions set out in strategic plans. a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☐ Tackle Poverty and Inequality. ☐ Build Stronger Greener Vibrant Economy. ☒ Build Thriving, Resilient, Empowered Communities. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☐ Developing a diverse, inclusive, and sustainable economy Page 176
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☐ Building a better future for our children and young people in Moray. ☒ Empowering and connecting communities. ☐ Improving wellbeing of our population 6.3 Policy and Legal The Council is required to deliver legally compliant people policies that allow the organisation to operate within the legal framework. Should the proposals be approved, the Scheme of Administration will require to be updated at the next review point. 6.4 Financial There are no direct financial implications arising from the content of this report. The revised approach is expected to support administrative efficiency by enabling routine and legally required updates to be progressed in a more timely way at officer level, without requiring Committee approval where there is no substantive change to the Council’s strategic policy position. 6.5 Risk There are no risk implications arising from this report. 6.6 Staffing There are no direct staffing implications arising from the recommendations in this report. Specific policy changes may have staffing implications, and these will be considered as and when they arise. Engagement with officers, Trade Unions and elected members will continue for all policy changes, in line with existing governance and consultation arrangements. 6.7 Best Value and Transformation There are no best value and transformation impacts arising from this report. 6.8 Property There are no property implications arising from this report. 6.9 Information Communications/Technology/Digital There are no implications arising from this report. 6.10 Equalities, Social Inclusion and Economic Impact Employment policies are written with due regard to equalities/socio economic requirements and impact. 6.11 Climate Change, Biodiversity and Sustainability Impacts There are no climate change or biodiversity impacts arising from this report. Page 177
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7. CONSULTATION 7.1 This report has been prepared in consultation with the Head of People, Change and Community Strategy, the Service Manager, People Management, and Heads of Service. The proposed approach has been discussed with Service Managers and Trade Union representatives for Scottish Joint Council, Craft Operatives and Teachers, and any comments made have been incorporated into the report. The report has also been presented to CLT, with feedback incorporated into the report. 8. BACKGROUND PAPER 8.1 Policy Statement Appendix 1 - Criteria To support consistent application of the revised framework, it is proposed that each policy review is assessed against a defined set of criteria to determine whether approval can be given at officer level or whether the matter should be escalated to Corporate Committee. This reflects the distinction between the Committee’s role in overseeing the Council’s strategic policy framework and the operational responsibility of officers to maintain procedures, guidance and legally compliant practice within that framework. Assessment area Operational change - officer approval Strategic change - Committee approval Policy intent and Council position No change to the Council’s approved policy intent, principles, eligibility rules or overall employer position. Creates, removes or materially changes the Council’s policy intent, employee entitlement, eligibility, managerial discretion or employer position. Legal, statutory or national agreement requirements Implements mandatory legislative, statutory, regulatory or national agreement changes where the Council has little or no discretion. Requires a local policy choice, interpretation or discretionary position that could materially affect employees, services, costs, risk or governance. Impact on employees and managers Clarifies process, updates wording, improves accessibility or changes administration without reducing rights, access, Materially changes employee rights, access to provisions, procedural safeguards, appeal routes, manager authority or Page 178
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protections or consistency. expectations of workforce behaviour. Financial, workforce or service implications No material additional cost, staffing requirement, workforce planning impact or service delivery implication. Creates a material or recurring financial commitment, has workforce-wide implications, or is likely to affect service delivery, capacity or organisational change. Risk, equalities and governance Low risk, routine or corrective change with no adverse equality impact identified and no change to governance arrangements. Raises significant legal, reputational, industrial relations, equality, financial, governance or implementation risk, or requires a formal change to delegated authority. The threshold for escalation to Committee should be applied on the basis of substance rather than title. A change should be treated as strategic, and therefore reported to Committee, where one or more of the strategic criteria above is met. Where a proposed amendment is administrative, corrective, procedural or required to maintain compliance within an existing approved policy position, approval should normally be at officer level. In applying the criteria, officers will consider whether the proposal: changes the Council’s policy intent or employer position; alters employee rights, eligibility or access to provisions; introduces a material local discretion; has financial, workforce, equality or service delivery implications; creates significant implementation or employee relations risk; or requires a change to the Scheme of Administration or delegated authority. Where the assessment is finely balanced, the default position will be to consult the Head of People, Change and Community Strategy and, where appropriate, the Monitoring Officer, before determining the approval route. Page 179
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Economy, Enterprise and Operations Author: Martin Skinner Contact Email: martin.skinner@moray.gov.uk Subject: Forres Grant Park - Proposed Partnership Approach 1. PURPOSE ☒ For Decision ☐ For Information 1.1 The purpose of this report is to seek approval for Officers to engage with the future development, enhancement and sustainability of Grant Park, Forres. 1.2 This report is submitted to Committee in terms of Section III (B) (21) of the Council’s Scheme of Administration relating to the management of Common Good and Trust property. The report is also relevant to Section III (B) (38), relating to entering into partnerships, co-operating and liaising with other bodies and authorities. 2. SUMMARY 2.1 In 1924 Sir Alexander Grant gifted money so that the former grounds of Forres House could be preserved for the people of Forres as a public park and recreation ground. The Council holds the park as trustee and must manage it for those purposes rather than as a general Council asset. 2.2 A public meeting on 20 May 2026 confirmed community support to establish a “Friends of Grant Park” charitable organisation to provide a formal community-led structure to support collaboration, fundraising, volunteering, engagement with park users and the development of future improvement proposals. 2.3 This report • seeks committee support for exploring the possibility of a community partnership arrangement between the Council (as trustees) and the proposed group in managing Grant Park for enhanced public benefit • authorises further work by officers to explore options, with any formal agreement/proposals being reported back to committee. Item 16. Page 181
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3. RECOMMENDATIONS 3.1 It is recommended that Committee: i) notes the findings of the Grant Park community engagement exercise detailed in Appendix 1 and 2, along with the plans to establish a ‘Friends of Grant Park’ organisation to support the future use, enhancement and development of Grant Park, Forres; ii) supports further work exploring the benefits of the Council (as trustees) and owners of Grant Park working in collaboration with the proposed organisation in managing Grant Park for enhanced public benefit iii) authorises further work by officers to explore partnership options, with any formal agreement/proposals being reported back to committee. Martin Skinner Development Officer 4. BACKGROUND AND CONTEXT 4.1 Grant Park is a significant community and economic asset, widely used for recreation, sport, cultural and community activities. It also hosts major events which contribute to the local economy and visitor offer. Forres Events Ltd (FEL) has previously delivered events in Grant Park, including the European Pipe Band Championships in 2018 and Grant Park 100, the centenary celebration of Grant Park in 2024. Following Grant Park 100, FEL commissioned community and stakeholder engagement to inform future consideration of how the park could be enhanced for the benefit of Forres and the wider area. 4.2 The study confirmed that the park is highly valued, while also identifying a desire for targeted improvements to infrastructure, facilities and accessibility. A range of potential improvements were identified including improved toilet provision, better power, water and lighting infrastructure, upgraded and more accessible play facilities, seating, bins, signage and cycle racks. Overall, the feedback indicated support for targeted, light-touch improvements while protecting the park’s green space, character and primary function. The findings highlighted that any future enhancements would be dependent on three key factors: demonstrated community support, the availability of funding, and agreement from Moray Council and the relevant Trusts. Wider community planning documents provide helpful context for the proposal. The Spirit of Community Plan 2024-2034 identifies community priorities around improving green spaces, public facilities, leisure opportunities, local events, heritage and tourism, including ideas linked to Grant Park toilets, festivals and improved facilities. The Forres Local Place Plan reinforces this by identifying Grant Park as a location for play improvement, food growing, lighting improvement and toilet upgrades, and by recording a wider community wish to protect and enhance accessible green space. These documents demonstrate that the proposal is consistent with existing community priorities and could provide a structured route for exploring those aspirations further, subject to governance, funding, capacity and future Committee approval where required. Page 182
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4.3 Reflecting on these outcomes, FEL has approached the Council to explore support in principle for the development of a “Friends of Grant Park” organisation. This would be a community-led body designed to support the future use, enhancement and development of the park, while existing ownership, decision making, management and maintenance arrangements remain unchanged. 4.4 The proposed model would bring together representatives from a broad range of park users, community organisations and stakeholders, providing a structured mechanism for collaboration, community involvement, volunteering, fundraising and the prioritisation of future improvement proposals. 4.5 Friends group models are used elsewhere in Scotland and across the United Kingdom to support community involvement in parks and green spaces. For example, the City of Edinburgh Council provides guidance on Friends of Greenspace Groups, describing them as volunteer groups that work with the Council to help enhance and protect parks, cemeteries, woodlands and green spaces. Glasgow City Council also recognises Friends of Parks Groups, as supporting fundraising, practical park improvement projects, events and local involvement in parks and open spaces. The development of any model for Grant Park would require to reflect the specific ownership, Trust, governance, operational and community circumstances of Grant Park. 4.6 Initial consideration by the Corporate Leadership Team identified a number of governance, financial, legal and operational safeguards which require to be addressed as the proposal develops. These include ensuring that any new organisation cannot direct Council activity or create additional cost pressures, that public access to the park remains free, that Council and Trust responsibilities remain clear, that conflicts of interest are recorded and managed, and that the future role of FEL is clarified to avoid confusion between organisations. 4.7 This report therefore seeks agreement in principle only. This approach will provide a clear mandate for officers and partners to undertake the further work required to develop detailed proposals, including governance, funding and operational arrangements. Given the time and resources required to progress this work, it is considered appropriate to seek Committee support for the proposed direction of travel before detailed arrangements are developed. Further proposals, including any future improvement programme, would be brought back to Committee for consideration where required. 5. PROPOSALS 5.1 It is proposed that the Council supports, in principle, working collaboratively with the proposed ‘Friends of Grant Park’ organisation to support the future enhancement and sustainability of Grant Park. To date, written community support for the proposal has been provided by Forres in Bloom, Forres Area Forum and Forres Rotary and 7 individuals with a wide range of skills have expressed interest in participating in the Board. This local support is also consistent with wider community priorities identified through the Spirit of Community Plan and Forres Local Place Plan. 5.2 The new organisation would be developed to represent community interests, local stakeholders and park users, with support from Forres Events Limited during the initial development stage. It is likely that the organisation would be established as a Scottish Page 183
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Charitable Incorporated Organisation (SCIO), providing a formal governance structure to support community involvement, collaboration, engagement, fundraising, volunteering and prioritisation of future improvement proposals for long-term development of the park. Any proposals would require to be based on demonstrated community support, the availability of funding, agreement from the Council and The Grant Park Public Trust, and compliance with the purposes of the Trust. 5.3 The Council would retain its role as Trustee and continue to be responsible for the management and maintenance of the park, including grass cutting and general upkeep. Opportunities to support enhanced provision, attract external funding, generate income or reduce Council costs may be explored over time. However, no reduction in Council maintenance responsibilities or costs, and no additional burden on Council maintenance responsibilities or costs, is assumed at this stage. 5.4 The proposed organisation would not have authority to direct Council activity or create additional financial, staffing or operational pressures for the Council. Access to Grant Park would remain free. Any membership arrangements associated with the proposed organisation should be based on voluntary contributions or donations rather than any charge for access to the park. Forres Events Limited has indicated that initial funding may be available to support the establishment and early activity of the proposed organisation. No direct Council financial contribution is proposed or assumed as part of this report. Any officer support required to progress the proposed partnership approach will be met from existing resources. 5.5 As the proposal develops, the future role of Forres Events Limited will require to be clarified. Any governance arrangements should ensure clear separation between Forres Events Limited, the proposed Friends of Grant Park organisation, the Council and The Grant Park Public Trust, to avoid confusion of roles, responsibilities and legal status. 5.6 Governance arrangements will also require to address conflicts of interest, decision- making responsibilities, use of funds, Council Officer involvement, community representation, reporting arrangements and the process for bringing future proposals to the Council and The Grant Park Public Trust for consideration. 5.7 Subject to Committee approval, Officers from the Economy and Enterprise team will continue discussions with Forres Events Limited, the proposed Friends of Grant Park organisation, local members, community representatives and park users while they are developing detailed proposals. This will include governance arrangements, funding structures, operational responsibilities and a prioritised programme of potential improvements. Where appropriate the council’s Community Support Unit can liaise with the group to provide assistance. 5.8 Any future proposals involving Council resources, changes to facilities or infrastructure, asset transfer, lease arrangements, staffing implications, maintenance responsibilities or other formal commitments will be brought back to Committee for consideration. 6. SUMMARY OF IMPLICATIONS 6.1 The table below shows whether risks and implications apply if the recommendations are agreed: Page 184
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SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) ☒ ☐ Policy and Legal ☒ ☐ Financial ☐ ☒ Risk ☒ ☐ Staffing ☒ ☐ Best Value and Transformation ☒ ☐ Property ☒ ☐ Information Communications Technology/Digital ☐ ☒ Equalities. Social Inclusion and Economic Impact ☒ ☐ Climate Change and Biodiversity Impact ☒ ☐ 6.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Improved Collaborative Leadership, as part of continuous improvement through Best Value, will better enable the Council to fulfil the ambitions set out in its strategic plans. a) Links to Council Corporate Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Council Plan strategic priorities: ☐ Tackle Poverty and Inequality. ☒ Build Stronger Greener Vibrant Economy. ☒ Build Thriving, resilient, empowered Communities. b) Links to Local Outcomes Improvement Plan – The proposals in this report support and contribute to improved outcomes for communities as outlined in the following Local Outcomes Improvement Plan priorities: ☒ Developing a diverse, inclusive, and sustainable economy ☒ Building a better future for our children and young people in Moray. ☒ Empowering and connecting communities. ☒ Improving wellbeing of our population 6.3 Policy and Legal Grant Park Public Trust has defined responsibilities arising from the original gift, with the park held for the benefit of the community. Any future activity or development relating to the park requires to be consistent with the purposes of the Grant Park Public Trust and with the Council’s responsibilities as Trustees. The proposed Friends of Grant Park organisation would be designed to support, and not replace, existing ownership, trustee decision making, management and maintenance arrangements. There is no proposal at this stage for any transfer of ownership, lease arrangement, Community Asset Transfer or delegation of Council or Trustee decision- making authority. Any future partnership arrangements will require clear governance provisions setting out the respective roles and responsibilities of Moray Council, the Grant Park Public Trust, Forres Events Limited and any new Friends of Grant Park organisation. This will include Page 185
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consideration of legal status, decision-making responsibilities, conflicts of interest, use of funds, Council officer involvement, community representation and any Council representation on the organisation. The future role of Forres Events Limited will also require to be clarified as the proposal develops, to avoid confusion between Forres Events Limited, the proposed charitable body, Moray Council and the Grant Park Public Trust. Any future proposals involving legal commitments, physical changes to facilities or infrastructure, lease arrangements, Community Asset Transfer, Trust property matters, Council resources or changes to management and maintenance responsibilities will be subject to further legal advice and Committee approval as appropriate. 6.4 Financial None arising from this report. The recommendations seek approval in principle only and do not commit the Council to any expenditure, transfer of assets, lease arrangement, staffing resource, external specialist support, maintenance liability or ongoing financial support. Forres Events Limited has indicated that initial funding may be available to support the establishment and early activity of a Friends of Grant Park organisation. No Council financial contribution is proposed or assumed as part of this report. Any future proposal requiring Council funding, officer resource, external specialist support, asset investment, maintenance commitment, acceptance of new liabilities or changes to income arrangements will be subject to separate consideration and approval. The outcome of the proposed partnership work will be reported back to Committee in due course. 6.5 Risk The proposal seeks approval in principle only and does not commit the Council to any transfer of ownership, lease arrangement, Community Asset Transfer, additional expenditure, additional staffing resource or change to maintenance responsibilities. The main risks associated with the proposal are as follows: • Governance and role clarity: Without clear governance arrangements, the respective roles and responsibilities of Moray Council in its own right and as Trustee of Grant Park Public Trust, Forres Events Limited and any future Friends of Grant Park organisation could become unclear. • Decision-making authority: There is a risk that the proposed organisation, stakeholders or the wider community may misunderstand the role of the organisation. The organisation would not have authority to direct Council activity or make decisions on behalf of Moray Council in its own right or as Trustee of Grant Park Public Trust. • Financial expectations: There is a risk that expectations may develop around Council funding, officer resource, maintenance commitments or future investment. The recommendations do not create any additional financial, staffing or operational commitment for the Council. Page 186
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• Conflicts of interest: Conflicts of interest, or perceived conflicts of interest, could arise where individuals or organisations have more than one role in relation to Forres Events Limited, the proposed Friends of Grant Park organisation, Moray Council, Grant Park Public Trust or park user groups. This will require to be addressed through clear declarations of interest and transparent governance arrangements. • Officer capacity and service resource: There is a risk that development of the proposed organisation and any future improvement proposals could create additional demands on Council services, including Economy and Enterprise, Open Spaces, Property, Legal Services, Finance, Community Support and other operational teams. Existing services have limited capacity to support additional development activity without this affecting other priorities. Any future requirement for officer support, project management, technical input or external specialist resource would require to be identified, costed and considered separately. • Community expectations: There is a risk that expectations may be raised before funding, permissions, maintenance responsibilities and Trust requirements are confirmed. Clear communication will be required to confirm that approval at this stage is approval in principle only. • Future maintenance and liability: There is a risk that any future improvements could create additional maintenance, insurance, compliance or asset management responsibilities. Any such proposals would require separate consideration and approval before being progressed. These risks will be mitigated through the development of detailed governance, funding and operational proposals, including clear role definitions, declarations of interest, communication with stakeholders and further Committee approval where required. Conversely, failure to develop new partnership approaches may limit opportunities to secure external funding, volunteer support and community involvement in the future enhancement of Grant Park. 6.6 Staffing There are no proposed changes to the Council’s staffing establishment or staff gradings arising directly from this report. Consultation with the Environmental Services Manager and Open Spaces Manager has identified concerns regarding existing service capacity and the ability of operational teams to support additional development activity associated with the proposed Friends of Grant Park organisation. Existing teams are currently focused on operational service delivery and have limited capacity to support additional project development, governance, engagement or infrastructure planning work without this affecting other priorities. It is also recognised that future development of proposals may require input from other Council services, including Property, Legal Services, Finance, Community Support and relevant operational services. These services may also have limited capacity to support future development work within existing resources. Approval of this report would therefore not commit any Council service to provide additional staffing resource or ongoing officer support beyond existing capacity. Any future requirement for officer time, project support, external specialist advice, staffing resource Page 187
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or additional operational input will require to be identified, costed and considered as part of any future report to Committee. Any future proposals that may affect staffing, service capacity, operational responsibilities or maintenance arrangements will be subject to separate consideration and reported to Committee as appropriate. 6.7 Best Value and Transformation The proposal supports the principles of Best Value through partnership working, community participation and the exploration of opportunities to enhance a significant community asset through external funding, fundraising and volunteer involvement. The proposed Friends of Grant Park organisation would provide a structured mechanism for community engagement and participation, supporting the Council's commitment to community empowerment and collaborative working. The proposal has the potential to support the long-term sustainability and development of Grant Park through partnership approaches which complement the Council's existing responsibilities as Trustee and manager of the park. The proposal represents a positive example of community empowerment in practice and aligns with the Council's ambition to involve and empower communities in shaping places that people want to live in, visit and invest in. No cashable savings, reduction in Council maintenance responsibilities or change to operational service delivery is proposed or assumed at this stage. Subject to future Committee approval and the successful development of the proposed partnership arrangements, lessons learned from this approach may help inform consideration of community-led partnership working for other Council and Trust assets in the future. 6.8 Property The proposal relates to Grant Park, Forres, which is held by Grant Park Public Trust, with Moray Council acting as Trustee and responsible for its management and maintenance. The development of a Friends of Grant Park organisation would not alter ownership of the park, create any lease arrangement, approve a Community Asset Transfer or change the Council’s responsibilities in relation to the management and maintenance of the asset. The proposed organisation would not have authority to direct Council activity in relation to the management of the park. The Council would retain responsibility for core maintenance activities, including grass cutting and general upkeep. Subject to future Committee approval, opportunities may be explored to support the enhancement and long-term sustainability of park facilities and infrastructure through partnership working, external funding and community-led initiatives. Any future proposals involving physical alterations, new infrastructure, leases, Community Asset Transfer, changes to the use of Trust assets or changes to maintenance responsibilities would Page 188
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require separate consideration and approval through the appropriate governance processes and would require to be consistent with the purposes of Grant Park Public Trust. Any future proposals requiring input from Property Services, technical advisers or other Council services would require to be assessed against available capacity and resources before being progressed. 6.9 Information Communications/Technology/Digital None arising from this report. 6.10 Equalities, Social Inclusion and Economic Impact The proposal is expected to have a positive impact on social inclusion by encouraging wider community participation in the future use, enhancement and development of Grant Park through a representative community-led organisation. The proposed Friends of Grant Park organisation would seek to bring together a broad range of park users, community organisations and stakeholders, providing opportunities for engagement, volunteering and participation in shaping future improvement proposals. Grant Park is an important community and economic asset, supporting recreation, sport, family activity, community use and events. Subject to future Committee approval and the availability of funding, the proposed partnership approach may help support future improvements to park infrastructure and facilities, which could contribute to increased accessible community use, visitor activity and wider economic benefit. Public access to Grant Park would remain free. Any membership arrangements associated with the proposed organisation should be based on voluntary contributions or donations rather than any charge for access to the park. An Integrated Impact Assessment (IIA) is not considered necessary at this stage, as the report seeks approval in principle only and does not approve any physical works, service changes, charging arrangements or changes to access arrangements. An IIA will be prepared at an early stage of the development of any proposals brought forward for Committee approval. The IIA will inform the development of these proposals by identifying and assessing any potential equality and socio-economic impacts, together with any appropriate mitigation measures. 6.11 Climate Change and Biodiversity Impacts There are no direct climate change, biodiversity or sustainability impacts arising from this report. The report seeks approval in principle only for officers to support the development of a community-led Friends of Grant Park organisation. It does not approve any physical alterations, infrastructure works, changes to land management arrangements or changes to maintenance responsibilities at this stage. Grant Park is an important green space and a community asset within the Conservation Area boundary. Any future proposals relating to infrastructure improvements, landscape management, environmental enhancement, lighting, climate adaptation, biodiversity or Page 189
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sustainability will be subject to separate consideration and approval, including assessment of any associated climate change, biodiversity and sustainability impacts. The proposed organisation may provide opportunities to support future environmental enhancement, biodiversity and sustainability projects, subject to community support, funding availability, Council capacity and the agreement of Moray Council in its own right and acting as Trustee of Grant Park Public Trust. 7. CONSULTATION 7.1 This report has been prepared in consultation with Executive Director Economy, Enterprise and Operations; Head of Growth, Planning and Climate (Chief Planning Officer); Service Manager Economy and Enterprise, Service Manager Environmental Services, Service Manager Open Spaces, Community Support Unit, Service Manager Legal Services, Service Manager Democratic Services, Equal Opportunities Officer, Service Manager Legal Services, and Chief Governance Officer and any comments made have been incorporated into the report. 8. BACKGROUND PAPERS 8.1 Forres Local Place Plan 2025-30 8.2 Spirit of Community 2024 to 2034 Page 190
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Report to: Corporate Committee Meeting Date: 25 August 2026 Report by: Executive Director Finance, Strategy & Transformation Author: Daniel Littlewood Contact Email: Daniel.littlewood@moray.gov.uk Subject: Sundry Debt Write-off Information for 2026/2027 1. PURPOSE ☐ For Decision ☒ For Information 1.1 The purpose of this report is to inform the Committee of the details of Sundry Debt transactions which will be written off during 2026/27 relating to invoices raised up to 31st March 2025. 1.2 This report is submitted to Committee in terms of Section III A (2) of the Council's Scheme of Administration relating to the regulation and management of the Council’s finances according to policy. 2. SUMMARY 2.1 Sundry debts amounting to £342,695.02 were considered to be sufficiently unlikely to be recovered as to warrant being written off during 2026/27, which is to say they are no longer included as debtors on the Council’s balance sheet. 2.2 All debts will continue to be pursued until they can no longer be legally recovered or it becomes uneconomic to pursue recovery. 3. BACKGROUND AND CONTEXT 3.1 The current Sundry Debt Management Policy, which includes the procedures for sundry debt write off, was approved by Moray Council on 24th September 2025 (paragraph 11 of the Minute refers). Sundry debts are defined as all amounts due to the Council with the exception of Housing Rents, Non Domestic Rates and Council Tax. 3.2 The process of writing off debts is an administrative exercise, which removes the debts from the Council’s balance sheet but in practical terms still allows the Council to pursue Page 191
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the debts until they can no longer be legally recovered. Sundry debts are time prescribed 5 years after the last communication of debt recovery. 3.3 The write off process only commences after all other avenues of recovery have been exhausted. The recovery processes are detailed below: • First Council reminder (day 21) • Second Council reminder (day 49) • Referral to external debt collector (day 59) • Further reminder letters • Telephone contact • Doorstep collection (where appropriate) • Salary arrestment (where appropriate) • Court action (where appropriate) 3.4 To avoid referring debt to the external debt collector a number of additional actions are taken by Finance staff: • Instalment arrangements are offered when required • Regular debt management information reports are produced for departments to review • Regular meetings are held with departments to discuss potential defaulters. • Regular contact with departments regarding sensitive debt (eg for social care services). Departmental knowledge of their customers can lead to recommendation for write off on economic grounds. The majority of these are invoices for Social Care services. 3.5 A summary of reasons for invoices being written off after the year end are shown in the table below: Reason Value (£) Count % of total value written off % of total number written off Department Recommendation 9,681.25 8 2.83 0.65 Bankrupt/Sequestration 2,270.68 9 0.66 0.73 Gone Away 8,153.68 32 2.38 2.59 External debt collector recommendation 322,589.41 1,185 94.13 96.03 Total 2026/27 342,695.02 1,234 100.00 100.00 3.6 The same invoices being written off have been analysed by service and are shown in the table below. Service Value (£) Count % of Total Value Written Off % of Total Number Written Off Health & Social Care 23,088.52 241 6.74 19.54 Operations & Environment 119,057.76 294 34.74 23.82 Page 192
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Leisure & Culture 11,253.13 134 3.28 10.86 Housing, Property & Communities 142,701.08 541 41.64 43.84 Growth, Planning & Climate 41,142.65 13 12.01 1.05 Financial Services 33.66 1 0.01 0.08 Governance, Strategy & Performance 384.26 4 0.11 0.32 Education 255.50 5 0.07 0.41 Children's Services 4,778.46 1 1.40 0.08 Total 342,695.02 1,234 100.00 100.00 3.7 For comparison, the service analysis for 2025/26 is shown below. Service Value (£) Count Movement (£) Movement (Number) Health & Social Care 35,999.39 325 -12,910.87 -84 Operations & Environment 90,439.94 258 +28,617.82 +36 Leisure & Culture 8,612.90 234 +2,640.23 -100 Housing, Property & Communities 170,323.81 433 -27,622.73 +108 Growth, Planning & Climate 59,018.81 13 -17,876.16 0 Financial Services 1,956.70 2 -1,923.04 -1 Governance, Strategy & Performance 275.32 3 +108.94 +1 Education 334.99 3 -79.49 +2 Children’s Services 40.64 1 +4,737.82 0 Total 367,002.50 1,272 -24,307.48 -38 4. SUMMARY OF IMPLICATIONS 4.1 The table below shows whether risks and implications apply if the recommendations are agreed: SUBJECT YES NO Corporate Plan and 10 Year Plan (Local Outcome Improvement Plan) X Policy and Legal X Financial X Risk X Staffing X Best Value and Transformation X Property X Information Communications Technology/Digital X Equalities. Social Inclusion and Economic Impact X Climate Change and Biodiversity Impact X 4.2 Corporate Plan and 10 Year Plan (Local Outcomes Improvement Plan (LOIP)) Page 193
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None directly relating to this report. 4.3 Policy and Legal The process employed to establish the debt for write off is prescribed by the Council’s Debt Management Policy. The Council’s Financial Regulations state that the Chief Financial Officer shall act on advice from the Head of Governance, Strategy and Performance, external debt collectors and/or Sheriff Officers when determining debts to be written off for accounting purposes. Details of debts written off shall be retained for credit control purposes and to allow the debts to be pursued at any stage until they become time prescribed. 4.4 Financial The Moray Council Risk Appetite Statement considers Financial and Resource Management risk as moderate. The financial implications are shown in paragraphs 2.1, 3.5, 3.6 and 3.7 but all debts will continue to be pursued until the Council is legally prevented from doing so. 4.5 Risk Regular meetings are held with departments in order to identify and contact defaulters quickly to reduce the Council’s exposure to unpaid debt. Any new information received by the Council is used to pursue the debt until legally prescribed. 4.6 Staffing None directly relating to this report. 4.7 Best Value and Transformation None directly relating to this report. 4.8 Property None directly relating to this report. 4.9 Information Communications/Technology/Digital None directly relating to this report. 4.10 Equalities, Social Inclusion and Economic Impact None directly relating to this report. 4.11 Climate Change and Biodiversity Impacts None directly relating to this report. 5. CONSULTATION 5.1 The process of writing off invoices involves continuous consultation with both the Council’s external debt collection agency and the relevant service departments. Page 194