Item 11 - Appendix 2
West Dunbartonshire Council · 27 May 2026
Back to Corporate Services Committee — 27 May 2026 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
Page 1
2026/27 RESOURCES Appendix 2: Resources Delivery Plan 2026/27 ITEM 11 - APPENDIX 2
Page 2
Contents` 1. Introduction .................................................................................................................................................................................................... 2 2. Performance Review ...................................................................................................................................................................................... 2 3. Strategic Assessment .................................................................................................................................................................................... 5 4. Resources .................................................................................................................................................................................................... 12 Appendix 1: Action Plan .......................................................................................................................................................................................... 14
Page 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 2025/26 performance, focusing on: • 2025/26 Delivery Plan year-end progress • Local Government Benchmarking Framework (LGBF) comparative performance • Citizens’ Panel feedback • Complaints. This review highlighted our key achievements and challenges in 2025/26. These are summarised below. Key Achievements in 2025/26 Finance • Implemented new processes across finance to streamline the year end timetable and presented the 2024/25 Annual Accounts to Council by the 18 June 2025, two months earlier than previous year ensuring draft Accounts were submitted by the statutory deadline. • Delivered service and financial returns to public sector bodies. • Supported transformation projects within the Council and completed procurement exercise for a new financial ledger system. • Continued to refine Revenue and Capital reporting.
Page 4
• Developed a revised team structure, scheduled for implementation in 2026/27, to ensure operational resilience following anticipated retirement of senior team members within the same period. • Upgraded the cash receipting system to enhance security and Payment Card Industry compliance. • Introduced automation to streamline the reconciliation and banking processes. • Identified an opportunity to terminate £33.1m of long-term fixed rate loans in return for a discounted repayment amount. The total discount for early repayment was £4.3m which was used to rebuild the Council and HRA reserves. Business Support • Processed £0.5m in Clothing Grants to parents and carers of 3,764 school pupils. • Processed £2.8m in Discretionary Housing Payments to assist 4,112 vulnerable tenants with housing costs. • Processed £22.3m in Housing Benefit payments to assist residents with housing costs. • Processed £10.1m 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. • Continued to develop automations across the council services to aid challenging budget savings targets. Internal Audit & Fraud • Three new reports were received through the National Fraud Initiative exercise comparing CTRS data to HMRC data. Matches identified are being investigated and at 31 March 2026, 59 overpayments totalling £176,174 have been identified and are now being recovered. • Finalised the 2024/25 annual audit plan and progressed the 2025/26 audit plan. • Delivered actual recoveries and re-billings of £300,870 (1 April 2025 to 31 March 2026) through the Corporate Fraud Team. Asset Management • Progressed the delivery of the Glencairn House project which is an ambitious heritage-led regeneration initiative to transform a historically significant building into a vibrant cultural and community hub, preserving its architectural character while introducing modern facilities. Practical completion has been achieved, however post completion a snagging issue has been identified and this is currently being rectified. • Delivered the Faifley Campus project which is a £34.5million investment to create a modern, purpose-built campus that brings together education, community, and leisure facilities under one roof and provides state-of-the-art classrooms, flexible learning spaces, and enhanced digital infrastructure to support improved educational outcomes.
Page 5
• Played a pivotal role in advancing the development phase of the Exxon City Deal Project, a major regeneration initiative designed to unlock economic growth and improve connectivity across West Dunbartonshire. This phase focused on complex preparatory work, including extensive stakeholder engagement with landowners, statutory bodies, and community representatives to ensure alignment with planning and infrastructure requirements. • Played a critical role in the successful refurbishment of Council depots and the school estate, ensuring these operational hubs remain fit for purpose and compliant with health, safety, and environmental standards and embed sustainability principles, incorporating energy efficient systems, improved insulation, and low-carbon materials to reduce environmental impact and support the Council’s net-zero targets. • Completed the Posties Park project which was a flagship development to transform Posties Park into a state-of-the-art sports hub, delivering on the Council’s commitment to high-quality facilities that promote community engagement, health, and leisure. Originally moved to Asset Management in January 2025, the project overcame earlier delays and was successfully managed to ensure steady progress and adherence to the revised schedule. By completing and renaming the development as Lachie Stewart Memorial Park in October 2025, the Council has delivered a sustainable, inclusive facility that enhances local wellbeing and supports active lifestyles. Key Challenges in 2025/26 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. • Maintaining the level of service delivery with conflicting pressures and resource constraints. • Collaborating with External Audit to work to restore the audit timetable to its planned schedule while the finance team balance competing demands and sustaining continuity of service delivery and continue to ensure timely delivery of all required outputs such as the 2026/27 budget, budgetary control reporting and other local authority returns. • Continuing to manage cost pressures within the services and deliver a balanced budget. Business Support • Collection of rent arrears was impacted by reductions in direct deductions from 25% to 15% due to the DWP’s Fairer Repayment Rate. This reduction of 10% from April 2025 across all deductions which impacted collection rates. • Collection of council tax was also impacted by Fairer Repayment Rate, increased cost of living pressures along with the 11.5% Council Tax increase in 2025/26.
Page 6
• Managing levels of service delivery with the levels of resource reductions across business support and other services that had a direct impact on the collection work of the Corporate Debt Section with residents requiring additional financial and personal support. 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 /Inverclyde Council Shared Services Committee agreed to note the continuation of shared Internal Audit and Fraud management arrangements between the two councils in the short to medium term and that wider discussions would 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 Council meeting, elected members supported a small expansion to the number of posts covered under the existing shared arrangement with Inverclyde Council. Recruitment to these posts was not successful, however discussions with a third council, East Dunbartonshire, were progressed in late 2025 for a shared management arrangement across the three Councils which will be implemented from 2026/27. Asset Management • Staff turnover, coupled with the time required to recruit, and train employees, continued to present significant challenges and is expected to remain a pressure point into 2026/27. Retaining skilled staff and accelerating onboarding processes will be critical to maintaining service continuity and delivering planned projects. • The national skills shortage of qualified and experienced officers in Asset Management has led to a reduced workforce and increased demands on existing teams. This has required the introduction of alternative service delivery models, including greater use of external consultants and shared service arrangements, which will need careful management to ensure quality and cost control. • Increasing supply chain issues driven by rising energy, transport, and raw material costs, continue to impact the availability of labour and materials and ultimately project costs and delays. 3. Strategic Assessment The Resources management team completed a strategic assessment to determine the major influences on service delivery and priorities in 2026/27. The key factors are summarised below.
Page 7
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 2027/28 of £10.905m rising to £44.028m by 2030/31. 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 2026/27. 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 which are subject to global supply chain pressures and price volatility • Labour costs which are impacted by national skills shortages and recruitment challenges • Transport fuel costs which are influenced by energy markets trends and inflation • Capital plan delivery which is exposed to delays and cost escalation due to procurement and contractor availability From an Asset Management perspective, additional sensitivity arises from: • Property maintenance and lifecycle costs, which can increase significantly due to inflation in construction and compliance requirements. • Land acquisition and disposal values, which fluctuate with market conditions and economic uncertainty. • Sustainability and compliance investments, where costs for energy efficient upgrades and carbon reduction measures may rise due to regulatory changes and technology pricing.
Page 8
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 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. Consequently, a steering group and project team were set up to oversee the introduction of a new cloud-based FMS, with the procurement of the new system completed in 2025/26. In 2026/27, we will commence the implementation phase with a proposed go-live date at the end of March 2027. 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 2026/27, 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 2026/27, we will continue to pursue automation opportunities across the Council to improve efficiency.
Page 9
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 2026/27, we will monitor progress against the Framework and the disposal of key strategic sites and provide an annual update on progress. We are in the process of phasing out the reliance placed on capital receipts as part of the annual budget setting process. Income from Non-Operational Portfolio In addition to generating capital receipts through disposals, the Council’s non-operational property portfolio continues to provide an important source of recurring income. Asset Management actively manages these assets (such as leased commercial properties, industrial units, and land holdings) to maximise rental income and ensure strong occupancy levels. This involves regular lease reviews, rent negotiations, and proactive marketing of vacant units, alongside maintaining compliance with statutory obligations and delivering value for money. By optimising the performance of the non-operational portfolio, the Council secures a sustainable revenue stream that supports service delivery and reduces reliance on one-off capital receipts. Looking ahead to 2026/27, Asset Management will continue to monitor market conditions, explore opportunities for portfolio rationalisation, and identify potential for income growth through strategic investment and improved asset utilisation. Review Non-Domestic Rates of Operational Portfolio Asset Management has continued to review and monitor Non-Domestic Rates (NDR) liabilities across the Council’s operational property portfolio to ensure accuracy and value for money. This work involves validating rateable values, challenging discrepancies, and identifying opportunities for reliefs or exemptions where applicable. The review process also supports budget forecasting and financial planning, as NDR represents a significant cost for operational assets such as schools, offices, and depots. By maintaining up-to-date property data and engaging with the Assessor’s Office, Asset Management ensures compliance while actively seeking to minimise unnecessary expenditure. Looking ahead, the team will continue to explore efficiency measures, including rationalisation of underutilised space and leveraging changes in property use to reduce rate liabilities, contributing to the Council’s wider financial sustainability objectives. Artizan 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 Artizan in Dumbarton
Page 10
town centre. Planning permission has been approved and a contractor appointed. In 2026/27, we will complete the redevelopment in line with the agreed plan and report progress to the Levelling Up Project Board. Faifley Community Campus Development 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 brings together a range of education and community facilities within the Faifley Schools Community Campus. Following planning approval and the start of construction in February 2024, Phase1 was completed in 2025/26. This has delivered modern, purpose-built school buildings for St Joseph’s and Edinbarnet Primary Schools, integrated early learning and childcare facilities, and shared community spaces designed to support local engagement and wellbeing. The campus includes state-of-the-art classrooms, digital learning infrastructure, sports facilities, and landscaped outdoor areas, all built to high sustainability standards with energy-efficient systems and low-carbon materials. Governance and oversight have continued through the dedicated Learning Estate Project Board, with regular updates provided to the Education Committee and Council via budgetary reports. The completion of Phase 1 represents a major milestone in creating a vibrant, inclusive hub for education and community life in Faifley. Work is now progressing on the second and final phase of the project, due for completion in 2026/27. This will focus on demolishing the old buildings and creating new car parking and external landscaped spaces, including an all-weather sports pitch and multi-use games area. Building Upgrades The 2026/27 programme for delivering corporate asset building upgrades will focus on renovation, remodelling, and refreshing key corporate buildings in line with the objectives of the Corporate Asset Management Plan. This includes improving building functionality, compliance with statutory standards, and enhancing energy efficiency to support the Council’s net-zero ambitions. Works will target priority assets identified through condition surveys and lifecycle assessments, ensuring investment is directed where it delivers the greatest operational and financial benefit. Upgrades will incorporate modernised office layouts to support hybrid working, improved accessibility, and sustainability measures such as LED lighting, insulation improvements, and low-carbon heating systems. In 2026/27, we will progress the building upgrades programme in accordance with the agreed plan and timeframe, while maintaining robust governance, cost control, and stakeholder engagement to minimise disruption and deliver long-term value. Depot Refurbishment The Council’s depot estate has been identified as no longer fit for purpose, impacting operational efficiency and compliance. Following a comprehensive review and feasibility assessment, it was agreed that refurbishment of the existing estate offered the most cost-effective solution compared to a full new-build programme. In 2026/27, the Depots Project Board will continue to lead the delivery of the refurbishment
Page 11
programme, building on the progress achieved in 2025/26. This phase will focus on modernising facilities to meet health and safety standards, improving welfare areas for staff, upgrading fleet maintenance workshops, and incorporating sustainability measures such as energy-efficient lighting, improved insulation, and low-carbon heating systems. The programme will also address site security, digital connectivity, and layout optimisation to support operational needs and future service delivery models. Robust governance and stakeholder engagement will remain central to ensure works are delivered on time, within budget, and with minimal disruption to frontline services. Asset Related Council Savings In line with the Council’s agreed savings options for 2026/27, a number of initiatives involve changes to the Council’s asset base that will require dedicated support from the Asset Management team. These initiatives include rationalisation of underutilised properties, space optimisation within corporate buildings, and potential disposal or repurposing of non-essential assets to reduce operating costs and generate income. Throughout the year, Asset Management will work in close partnership with relevant services to develop detailed implementation plans, ensuring that changes are delivered in a way that supports service continuity and compliance with statutory obligations. The team will also provide technical advice, property data analysis, and project management expertise to enable informed decision-making and timely delivery of agreed savings. By embedding sustainability and efficiency principles into these initiatives, Asset Management will help the Council achieve its financial targets while maintaining a fit-for-purpose estate that supports operational needs. 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. 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. We conducted a gap analysis of our internal audit practice against the new Global Internal Audit Standards and CIPFA’s new Code of Practice in 2025/26 and identified and implemented actions to ensure compliance. In 2026/27, we will continue to embed the new standards and Code of Practice within the internal audit’s team’s methodologies and processes.
Page 12
Shared service internal audit Discussions with Inverclyde Council and East Dunbartonshire Council over the future shared management delivery model for Internal Audit and Fraud were progressed in late 2025 and this will be implemented from 2026/27. 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 2026/27. Appendix 1 sets out the action plan to address them. It also includes: • 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 2026/27 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 13
4. Resources Finance Resources has a net revenue budget of £6.209m and a capital budget of £13.049m in 2026/27. 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 Gross Expenditure 2026/27 (£m) Gross Income 2026/27(£m) Net Expenditure 2026/27 (£m) Capital Budget 2026/27(£m) (Figures subject to ongoing verification) Audit 0.387 0.057 0.330 0.000 Finance 1.862 0.135 1.727 0.554 Rent Rebates & Allowances 32.426 30.225 2.201 0.000 Revenue & Benefits 3.159 0.443 2.716 0.000 Finance Service Centre 0.545 0.069 0.476 0.000 Cost of Collection of Rates 0.091 0.120 -0.029 0.000 Cost of Collection of Council Tax 0.074 1.162 -1.088 0.000 Office Accommodation 1.538 0.396 1.142 0.000 Central Repairs & Maintenance 1.453 0.000 1.453 0.000 Corporate Asset Maintenance 2.729 2.729 0.000 12.495 Corporate Assets 2.712 5.431 -2.719 0.000 Total 46.976 40.767 6.209 13.049
Page 14
Employees Employee Numbers The headcount and full-time equivalent staff in each service area (as of 31 March 2026) are as follows: *Figures do not reflect matrix management arrangements and resources shared with other services. Absence The 2025/26 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 2025/26. 2025/26 Absence Quarter 1 Quarter 2 Quarter 3 Quarter 4 Annual FTE days lost per FTE employee Resources 4.45% 4.25% 5.68% 3.33% 11.38 Council Wide Total 6.17% 5.39% 7.2% 7.65% 14.38 Service Area Headcount FTE Audit & Fraud 4 3.1 Finance 35 31.6 Asset Management* 20 19.2 Business Support 75 67.5 Total 134 121.4
Page 15
Appendix 1: Action Plan Please Note: PI targets for 2026/27 are indicative until 2025/26 year-end data is available. 1. Our Communities Our residents are supported to increase life and learning skills Action Due Date Owner Complete the Faifley Community Campus 31-Mar-2027 Michelle Lynn 2. Our Environment Our neighbourhoods are sustainable and attractive Action Due Date Owner Progress the building upgrades programme 31-Mar-2027 Michelle Lynn
Page 16
3. Our Economy Our area has the infrastructure for sustainable and inclusive growth where businesses can flourish Performance Indicator 2026/27 Owner Target Number of invoices paid within 30 calendar days of receipt as a percentage of all invoices paid 91% Ryan Chalmers Action Due Date Owner Complete the Artizan redevelopment 31-Mar-2027 Michelle Lynn Our partnerships support economic development to deliver increased prosperity for our area Performance Indicator 2026/27 Owner Target Time for processing applications for new Housing Benefits claims from application receipt date to the day the claim is decided 25 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 17
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-2027 Laurence Slavin Develop and implement employee life cycle plans in line with the People First Strategy to attract and retain the workforce 31-Mar-2027 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-2027 Laurence Slavin Develop and implement learning and development plans and development opportunities to improve capabilities and resilience within the workforce. 31-Mar-2027 Laurence Slavin Our Council is adaptable and focused on delivering best value for our residents Performance Indicator 2026/27 Owner Target 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 % of total rent due 99.4% Ryan Chalmers Percentage of capital receipts achieved as forecast 90% Michelle Lynn
Page 18
Performance Indicator 2026/27 Owner Target Percentage of income from non-operational portfolio achieved as forecast 85% Michelle Lynn Cost of collecting council tax per dwelling £2.00 Ryan Chalmers Percentage of income due from council tax received by the end of the year 93.9% 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 9% 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 % of total revenue budget 11% Carol Alderson Action Due Date Owner Commence the implementation of the new Financial Management System 31-Mar-2027 Carol Alderson; Arun Menon Review ways of decreasing corporate debt through continued improvements to debt collection processes in relation to sundry, non-domestic rates, Council Tax and rent 31-Mar-2027 Ryan Chalmers Review ways to improve rent collection rates in conjunction with Housing and W4U 31-Mar-2027 Ryan Chalmers Maximise automation opportunities across the Council 31-Mar-2027 Arun Menon Progress the disposal of key strategic sites 31-Mar-2027 Michelle Lynn Maximise income from non-operational portfolio 31-Mar-2027 Michelle Lynn
Page 19
Action Due Date Owner Review non-domestic rates of operational portfolio 31-Mar-2027 Michelle Lynn Progress the depot refurbishment programme 31-Mar-2027 Michelle Lynn Develop and implement plans and support services to achieve the asset related savings agreed by Council 31-Mar-2027 Michelle Lynn Progress the implementation of the Global Internal Audit Standards and CIPFA’s Code of Practice within the internal audit team’s methodologies and processes 31-Mar-2027 New Shared Internal Audit Manager Progress a shared service internal audit service 30-Jun-2026 Laurence Slavin 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 are the Council’s property portfolio. Michelle Lynn
Page 20
Our residents are engaged and empowered Performance Indicator 2026/27 Owner Target Percentage of council resources directed by communities 1% Carol Alderson; Colin Smith Strong financial governance and sustainable budget management (Service Objective) Performance Indicator 2026/27 Owner Target 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% New Shared Internal Audit Manager
Page 21
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. New Shared Internal Audit Manager 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 the Council will continue to be faced with significant real term funding reductions from the national settlement. This is based on local government settlements in recent years (with the exception of 2025/2026). This coincides with a period where costs and demographic pressures are continuing to rise in relation to social care, significant inflationary increases and pay award pressures linked to inflation. Laurence Slavin