Item 10 Appendix 2
West Dunbartonshire Council · 21 May 2025
Back to Corporate Services Committee — 21 May 2025 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
Some pages contain no extractable text. They may be blank, graphics or scanned pages. OCR has not been applied.
Page 1
2025/26 RESOURCES Appendix 2: Resources Delivery Plan 2025/26
Page 2
2 Contents` 1. Introduction.......................................................................................................................................................................................................2 2. Performance Review........................................................................................................................................................................................2 3. Strategic Assessment.......................................................................................................................................................................................5 4. Resources......................................................................................................................................................................................................11 Appendix 1: Action Plan............................................................................................................................................................................................13
Page 3
3 1. Introduction Resources comprises Finance, Business Support, Internal Audit & Fraud and Asset Management. It provides accountancy, treasury management, business support, internal audit and fraud and asset management services to the Council and external clients including the West Dunbartonshire Leisure Trust, the Valuation Joint Board, Clydebank Property Company, charities and trusts, and West Dunbartonshire Energy Ltd. Company. In addition, it provides direct services to residents of West Dunbartonshire. It is one of seven strategic areas responsible for delivering the Council’s Strategic Plan. Key actions to help achieve that are set out in this Delivery Plan, together with actions to address any performance issues and service priorities identified in the planning process. Progress will be monitored and managed by the management team and reported to Corporate Services Committee and Infrastructure, Regeneration & Economic Development Committee (asset management elements only) twice yearly, at mid-year and year-end. 2. Performance Review The Resources management team completed a detailed review of 2024/25 performance, focusing on: 2024/25 Delivery Plan year-end progress Local Government Benchmarking Framework (LGBF) comparative performance Citizens’ Panel feedback Telephone Survey feedback Complaints. This review highlighted our key achievements and challenges in 2024/25. These are summarised below. Key Achievements in 2024/25 Finance Completed draft Financial Statements within statutory deadlines. Delivered service and financial returns to public sector bodies. Supported transformation projects within the Council.
Page 4
4 Introduced new capital programme reporting to improve effectiveness and efficiency including comprehensive review of capital programme expenditure profiling. Finalised the creation of a lease register for financial reporting and developed an accounting template in preparation for the change to the Code of Practice on Local Authority Accounting issued by the Chartered Institute of Public Finance & Accountancy. Business Support Processed £0.6m in Clothing Grants to parents and carers of 3,881 school pupils. Processed £2.9m in Discretionary Housing Payments to assist 3,912 vulnerable tenants with housing costs. Processed £27.9m in Housing Benefit payments to assist residents with housing costs. Processed £9.2m in Council Tax Reduction payments to assist residents with council tax charges. Improved the rent arrears process, working in partnership with Housing and Department for Work and Pensions Universal Credit Service. Increased efficiency by developing and improving automation solutions to process Employee New Start, Sickness Absence, Teachers Pension Notification, Free School Meals, Clothing Grants and Discretionary Housing payments. Internal Audit & Fraud Finalised the 2023/24 annual audit plan and progressed the 2024/25 audit plan. Delivered actual recoveries and re-billings of £108,989 (1 April to 31 December 2024) through the Corporate Fraud Team. Asset Management Supported the delivery of major capital projects including Faifley Community Campus, new build housing projects, development phase of Exxon City Deal Project and other general services projects. The Posties project, a flagship development transforming Posties Park into a state-of-the-art sports hub, moved to Asset Management in January 2025 and is now on target to open despite experiencing delays earlier in its timeline. Since transitioning to asset management approach, the project has been managed to ensure steady progress and adherence to the revised schedule. This development underscores the Council's commitment to delivering high-quality facilities that promote community engagement, health, and leisure. The new sports hub will feature a gymnasium, all-weather running track, changing facilities, and ample parking, creating a versatile space for residents and visitors alike. Further developed office accommodation plans and managed access and occupancy rates. Continued to deliver the Disposal Strategy outcomes and delivered income via capital receipts. Developed and implemented a new Council Asset Management Framework and Property Asset Plan. Progressed the programme of the Council Assets capital funded improvement projects.
Page 5
5 Key Challenges in 2024/25 Finance Reconciling and managing a significant number of funding streams, mainly due to Scottish Government priorities within limited resource constraints. Providing personal development for staff by allocating new roles to officers resulting in a significant learning curve whilst continuing to provide a quality service to customers. Continuing to manage cost pressures within the services and deliver a balanced budget. Business Support Level of rent arrears was aggravated by the cost-of-living crisis. Collection of sundry debt was greatly impacted by the cost-of-living crisis which is being managed in line with the Corporate Debt policy and a range of flexible measures. Managing levels of service delivery with the levels of budget cuts. Internal Audit & Fraud Providing a sustainable internal audit service longer term continued to be a challenge. On 23 November 2023 the now discontinued West Dunbartonshire Council (WDC)/Inverclyde Council (IC) Shared Services Committee agreed to note the continuation of shared Internal Audit and Fraud Services between WDC and IC in the short to medium term and note that wider discussions will continue with neighbouring councils on possible options to create a more sustainable delivery model for Internal Audit and Fraud Services over the longer term. At the December 2024 meeting of the Council, elected members supported a small expansion to the number of posts covered under the existing shared arrangement with Inverclyde Council. Recruitment to these posts is progressing. The same report indicated that discussions with a third council were also progressing and that an update would be reported in early 2025. Following further detailed review by the third council they have decided not to progress any further with this option and as such officers will focus on ensuring the current two council arrangement works as effectively as possible. Asset Management Staff turnover coupled with the time taken to replace, recruit and train employees continued to be a challenge in 2024/25. The national skills shortage of qualified and experienced officers in Asset Management led to a reduced workforce and increased demands on existing teams, resulting in the introduction of alternative service delivery models. Increasing issues relating to the supply of labour and materials, due to increased energy, transport and raw material costs, impacted supply chains and third parties and our ability to carry out works within budget and on time.
Page 6
6 3. Strategic Assessment The Resources management team completed a strategic assessment to determine the major influences on service delivery and priorities in 2025/26. The key factors are summarised below. Key Factors Financial Challenges The entire public sector is continuing to face significant financial challenges due to a range of factors including inflationary cost increases, pay awards not being fully funded by the Scottish Government and insufficient overall funding to support the delivery of front line and back-office services. The Council is currently faced with an estimated cumulative funding gap in 2026/27 of £9.24m rising to £42.77m by 2029/30. We will continue to monitor the overall financial position of the Council and updates on estimated future budget gaps will be reported to Elected Members throughout 2025/26. These challenges require further action to balance our budget and protect services for residents. Within Resources, this means available funding will be reduced over time and we will need to reconfigure how we work, what we do, where we work, and potentially reduce the number of people employed. In this context, we will aim to continue to provide a sustainable, quality service to internal and external clients and the public. Budget Sensitivity Analysis In reviewing the service budget projections, consideration has been given to the sensitivity of these budgets, in particular for higher risk/ higher value budgets which may have a significant impact on budgetary control and future budget projections. The analysis has considered sensitivity around demand, costs and charges, and income levels. Within Resources, budgets which have been identified as being more susceptible to fluctuations include: Building materials Labour costs Transport fuel costs Capital plan delivery
Page 7
7 On a more Council-wide basis, the Council’s cost of borrowing is susceptible to fluctuations in the bank interest rate due to the level of the Council’s short to medium term borrowing. New Financial Management System The main financial management system (FMS) used by Finance to manage the General Ledger, Accounts Payable and Accounts Receivable functions is Agresso. During 2023/24 the current service provider announced they would cease support for the system in December 2024 although this has since been extended to December 2025. As a business-critical system, it would not be practical for Finance to use the system unsupported longer term for reasons of compliance and cyber-security protection. A steering group and project team have been set up to oversee the introduction of a new cloud-based FMS. A procurement exercise has commenced to identify an appropriate solution and information has been requested from other councils who have recently undertaken a similar project to benefit from their experience and lessons learned. Demonstrations from potential providers have been scheduled in April and May 2025. In 2025/26, we will continue with the procurement exercise and information gathering to ensure the system procured meets the needs of Finance and the wider service users within the Council. It is anticipated this project will extend over two financial years with a proposed go-live date during 2026/27. Refining Capital and Revenue Reporting Processes New reporting processes were introduced for capital in 2024/25 to provide elected members with greater transparency and a clearer focus on the key issues. This will continue to be refined in 2025/26, and the current revenue reporting model will be reviewed and refinements considered. An internal audit of the budgetary control process in the coming months may also highlight issues for consideration and implementation as part of the refinement process.
Page 8
8 Manage Corporate Debt Wider economic factors, particularly the cost-of-living crisis, have impacted the collection of rent, Council Tax and sundry debt. The Council is finding it more difficult to collect all the money it is owed resulting in increased levels of debt across a range of debt types. In 2025/26, we will: continue to review ways of decreasing corporate debt through continued improvements to debt collection processes in relation to sundry, non -domestic rates, Council Tax and rent continue to review ways to improve rent collection rates in conjunction with Housing and W4U. Automate Processes and Information Provision Staff across the Council are employed in manual processes and information provision, such as processing invoices and updating transactional spreadsheets. Many such processes could be automated, providing benefits such as faster service delivery, improved quality and greater flexibility, as well as enabling staff to refocus on more complex tasks rather than repetitive tasks. In 2025/26, we will continue to pursue automation opportunities across the Council to improve efficiency. Income from Capital Receipts Continuing to secure income for the Council is a key priority and the Corporate Asset Management Framework supports this through the delivery of capital receipts from the disposal of key strategic sites. The Framework will highlight non-performing property assets, inform the process for considering future disposals, and generate additional income through the disposal of redundant assets. In 2025/26, we will monitor progress against the Framework and the disposal of key strategic sites and provide an annual update on progress. It may be necessary to reduce the reliance placed on capital receipts as part of the annual budget setting process. Glencairn House Redevelopment The Levelling Up Fund is a UK government initiative for regenerating town centres and high streets, upgrading local transport, and investing in cultural and heritage assets. Following a successful bid to the Fund, work is underway to progress the redevelopment of Glencairn House in Dumbarton town centre as a combined museum, library and community facility. Planning permission has been approved and a contractor appointed. In 2025/26, we will complete the redevelopment in line with the agreed plan with progress reported to the Levelling Up Project Board.
Page 9
9 Faifley Community Campus In September 2023, the Council approved plans to create a new education and community campus on the site of the current St Joseph’s Primary School. This significant capital investment project will bring together a number of education and community facilities in the Faifley Schools Community Campus. The planning application for the new campus was approved and construction started on site in February 2024. In 2025/26 we will continue with Phase 1 of the construction programme in line with the current programme. A specific Learning Estate Project Board meets to discuss this project, providing governance and monitoring, and regular updates are provided to Education Committee and Council in the form of budgetary reports. Building Upgrades The 2025/26 programme for delivering corporate assets building upgrades includes renovation, remodelling and refreshing corporate buildings in accordance with the Corporate Asset Management Plan. In 2025/26, we will progress the buildings upgrades programme in line with the agreed Plan and timeframe. Depot Refurbishment The Council’s depot estate is no longer fit-for-purpose. Following a review of the complete estate and the preparation of a feasibility report, it has been agreed to refurbish the estate rather than progress with a new build due to cost restrictions. In 2025/26, the Depots Project Board will continue to take forward the depot refurbishment programme and build on the outcomes already delivered in 2024/25. Asset Related Council Savings In line with the Council’s agreed savings options for 2025/26, there are a number of initiatives that include changes to Council assets that will require support from the Asset Management team. In the coming year, we will work in partnership with the relevant services to develop and implement plans and provide support to deliver the asset related savings agreed by Council. Council Tax Exemptions, Discounts and Reliefs Income from Council Tax accounts for around 14% of our revenue budget and helps to pay for local services such as education and waste collection. It is essential, therefore, that we collect all the Council Tax income that is due.
Page 10
10 There are a range of Council Tax exemptions, discounts and reliefs available for householders in particular groups, such as single person households and students, as well as time limited discounts, such as empty and unfurnished property. If eligibility for exemptions and reductions ceases and is not reported to Council, this reduces the Council Tax income available to pay for local services. In 2025/26, we will review eligibility for council tax exemptions and identify any potential Council Tax income due to the Council. Global Internal Audit Standards & CIPFA Code of Practice for the Governance of Internal Audit in UK Local Government Global Internal Audit Standards guide the worldwide professional practice of internal auditing and serve as a basis for evaluating and elevating the quality of the internal audit function. New standards for 2025 provide an updated framework to support internal auditors in effectively assessing risks, ensuring transparency, and aligning audit practices with global best practices. The new framework may necessitate changes in audit planning, risk assessment processes, and the application of emerging technologies in audits. In addition, CIPFA has introduced a new Code of Practice to support authorities in establishing and maintaining their internal audit arrangements in line with the statutory regulations. The Code supports the practice of internal audit under the Global Internal Audit Standards in the UK public sector. In 2025/26, we will carry out a gap analysis of our current internal audit practice against the new Global Internal Audit Standards and CIPFA’s new Code of Practice and identify and implement any actions to ensure compliance by 31 March 2026. Continuous Improvement Continuous improvement is central to all that we do. The actions set out in this section, as well as those at an operational level not included in this Delivery Plan, demonstrate our commitment to continuous improvement and take account of the wider Best Value focus on vision and leadership; governance and accountability; effective use of resources; partnerships and collaborative working; working with communities; sustainability; and fairness and equality. Action Plan The challenges identified in Section 2 and the key factors identified in Section 3 have informed Resources priorities for 2025/26. Appendix 1 sets out the action plan to address them. It also includes:
Page 11
11 performance indicators and targets that will enable progress to be monitored and reported to stakeholders strategic workforce actions to address workforce issues identified in the planning process strategic and/or service risks. In relation to the latter, strategic risks represent the potential for the Council to take advantage of opportunities or fail to meet stated strategic objectives and those that require strategic leadership. Service risks relate to service delivery and represent the potential for impact on individual services, or the experience of those who work within the services, i.e. employees, partners, contractors and volunteers, or service users and clients in receipt of the services provided. In identifying the relevant risks for 2025/26 and actions to mitigate them, the aim is to improve or maintain the current position (i.e. the current risk score) set out in the appendix.
Page 12
12 4. Resources Finance Resources has a net revenue budget of £4.617m and a capital budget of £8.891m in 2025/26. A breakdown by service area is set out below. We will make the best use of the resources available to deliver on key priority areas and secure external/match funding where this is possible. Service Area (Figures subject to ongoing verification) Gross Expenditure 2025/26 (£m) Gross Income 2025/26 (£m) Net Expenditure 2025/26 (£m) Capital Budget 2025/26 (£m) Audit 0.341 0.303 0.039 0.000 Finance 1.628 0.103 1.525 0.680 Rent Rebates & Allowances 32.426 30.469 1.957 0.000 Revenue & Benefits 2.851 0.443 2.408 0.000 Finance Service Centre 0.495 0.061 0.434 0.000 Cost of Collection of Rates 0.091 0.085 0.006 0.000 Cost of Collection of Council Tax 0.074 0.931 -0.857 0.000 Office Accommodation 1.427 0.233 1.194 0.000 Corporate Asset Maintenance 3.020 3.020 0.000 8.211 Corporate Assets 2.216 5.758 -3.542 0.000 Central Repairs 1.453 0.000 1.453 0.000 Total 46.023 41.405 4.617 8.891 Employees Employee Numbers The headcount and full-time equivalent staff in each service area (as of 31 March 2025) are as follows:
Page 13
13 Absence The 2024/25 quarterly absence figures for Resources are shown below, together with the Council average for the same periods for comparison. The figures for Resources were lower than the Council average throughout 2024/25. 2024/25 Absence Quarter 1 Quarter 2 Quarter 3 Quarter 4 Annual FTE days lost per FTE employee Resources 3.24 2.88 1.92 2.25 9.64 Council Wide Total 4.19 3.72 4.61 4.14 14.24 Service Area Headcount FTE Audit & Fraud 6 4.6 Finance 36 31.8 Asset Management 16 14.4 Estates Management 2 2 Business Support 190 169.8 Compliance Team 2 2 Total 252 224.6
Page 14
14 Appendix 1: Action Plan Please Note: PI targets for 2025/26 are indicative until 2024/25 year-end data is available. 1. Our Communities Our residents are supported to increase life and learning skills Action Due Date Owner Complete the redevelopment of Glencairn House 31-Mar-2026 Michelle Lynn Progress the Faifley Community Campus development 31-Mar-2026 Michelle Lynn 2. Our Environment Our neighbourhoods are sustainable and attractive 2025/26 Performance Indicator Target Owner Percentage of Consultancy Services project deliverables for General Services projects delivered as planned 80% Michelle Lynn Action Due Date Owner Progress the building upgrades programme 31-Mar-2026 Michelle Lynn
Page 15
15 3. Our Economy Our area has the infrastructure for sustainable and inclusive growth where businesses can flourish 2025/26 Performance Indicator Target Owner Number of invoices paid within 30 calendar days of receipt as a percentage of all invoices paid 91% Ryan Chalmers Our partnerships support economic development to deliver increased prosperity for our area 2025/26 Performance Indicator Target Owner Time for processing applications for new Housing Benefits claims from application receipt date to the day the claim is decided 23 Ryan Chalmers Time for processing applications for notifications of changes of circumstances for Housing Benefits from the application receipt date to the day the claim is decided 5 Ryan Chalmers
Page 16
16 4. Our Council Our workforce is resilient and skilled where digital technology supports service delivery for our residents Action Due Date Owner Develop and implement wellbeing, employee engagement, equality and learning and development plans to enable capabilities, improve resilience and promotion of a diverse workforce 31-Mar-2026 Laurence Slavin Develop and implement employee life cycle plans in line with the People First Strategy to attract and retain the workforce 31-Mar-2026 Laurence Slavin Implement service review process including role design, use of new technology and new ways of working to add resilience, address gaps, and establish opportunities for efficiencies 31-Mar-2026 Laurence Slavin Develop and implement learning and development plans and development opportunities to improve capabilities and resilience within the workforce 31-Mar-2026 Laurence Slavin Our Council is adaptable and focused on delivering best value for our residents 2025/26 Performance Indicator Target Owner Percentage of council buildings in which all public areas are suitable for and accessible to disabled people 97% Michelle Lynn Value of outstanding sundry debt as a percentage of total that is more than 90 days old from date of invoice 70% Ryan Chalmers Rent collected as a percentage of total rent due 99.1% Ryan Chalmers Percentage of capital receipts achieved as forecast 90% Michelle Lynn
Page 17
17 2025/26 Performance Indicator Target Owner Cost of collecting council tax per dwelling £3.00 Ryan Chalmers Percentage of income due from council tax received by the end of the year 93.5% Ryan Chalmers Proportion of operational buildings that are suitable for their current use 93% Michelle Lynn Proportion of internal floor area of operational buildings in satisfactory condition 91% Michelle Lynn Current tenants' arrears as a percentage of total rent due 10.5% Ryan Chalmers Gross rent arrears (all tenants) as at 31 March each year as a percentage of rent due for the reporting year 9.3% Ryan Chalmers Income generated as a percentage of total revenue budget 11% Carol Alderson Action Due Date Owner Progress the procurement of a new Financial Management System 31-Mar-2026 Arun Menon Review ways of decreasing corporate debt through continued improvements to debt collection processes in relation to sundry, NDR, Council Tax and rent 31-Mar-2026 Ryan Chalmers Review ways to improve rent collection rates in conjunction with Housing and W4U 31-Mar-2026 Ryan Chalmers Maximise automation opportunities across the Council 31-Mar-2026 Arun Menon Progress the disposal of key strategic sites 31-Mar-2026 Michelle Lynn Progress the depot refurbishment programme 31-Mar-2026 Michelle Lynn Develop and implement plans and support services to achieve the asset related savings agreed by Council 31-Mar-2026 Michelle Lynn
Page 18
18 Action Due Date Owner Review new Global Internal Audit Standards and new CIPFA Code of Practice and identify and implement any actions to ensure compliance 31-Mar-2026 Andi Priestman Review eligibility for Council Tax exemptions and identify potential income due to the Council 31-Mar-2026 Andi Priestman Risk Description Current Assessment Target Assessment Owner Debt is not recovered efficiently or effectively, with inherent risk of financial loss The processes deployed in collection of monies owed to the Council are inefficient and ineffective resulting in money not collected on time or having to be written off. Ryan Chalmers Increase in the level of rent arrears due to the level of Welfare Reform changes and general state of economy The Council sees an increase in its level of rent arrears due to lower disposable income and national changes to the national benefits regime and the ongoing economic position Ryan Chalmers Maintaining Council Assets that are fit for purpose The risk that the Council's assets and facilities are not fully fit for purpose with consequent adverse impact on our ability to deliver efficient and effective services. Assets included in this assessment: the Council’s property portfolio. Michelle Lynn
Page 19
19 Our residents are engaged and empowered 2025/26 Performance Indicator Target Owner Percentage of council resources directed by communities 1% Carol Alderson; Colin Smith; Elaine Troup Action Due Date Owner Engage with relevant community groups over the potential to lease Dalmuir Golf Course 31-Mar-2026 Michelle Lynn Strong financial governance and sustainable budget management (Service Objective) 2025/26 Performance Indicator Target Owner Amount of free reserves as a percentage of the prudential reserve target - HRA 100% Carol Alderson Amount of free reserves as a percentage of the prudential reserve target - General services 100% Carol Alderson Percentage variance to budget projected (General Services budget) 0% Carol Alderson Percentage of Audit Plan completed 85% Andi Priestman Action Due Date Owner Develop and refine capital and revenue reporting processes 31-Mar-2026 Carol Alderson
Page 20
20 Risk Description Current Assessment Target Assessment Owner Failure to provide a reasonable level of assurance on the Council's governance, risk management and internal control procedures Internal Audit is unable to provide a reasonable level assurance on the Council's governance, risk management and internal control arrangements. Andi Priestman Failure to meet statutory deadlines for external returns (including HMRC) and financial statements Finance Services failing to meet statutory deadlines resulting in lost revenue or penalty costs Carol Alderson Financial projections are significantly incorrect Financial projections for both capital and revenue are significantly incorrect resulting in insufficient reserves being held. Laurence Slavin Significant financial funding reductions / limitations from Scottish Government It is expected that the Council will continue to be faced with significant real term funding reductions from the Scottish Government settlement. This is based on local government settlements in recent years and an ongoing narrative about limited funds available to support public services. This coincides with a period where costs and demographic pressures are continuing to rise in relation to social care, significant inflationary increases, the impact of increases in the bank interest rate on the cost of borrowing and pay award Laurence Slavin
Page 21
21 Risk Description Current Assessment Target Assessment Owner pressures linked to inflation. Whilst there are ongoing discussions between the Scottish Government and Local Government on reducing the ring fencing of funding, the reality is that material elements of funding remain ring fenced which significantly restricts how the Council can most effectively use the funds made available to it.
Page 22
No embedded text on this page.