Item 13 - Appendix 2
West Dunbartonshire Council · 13 May 2026
Back to Housing & Communities Committee — 13 May 2026 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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WEST DUNBARTONSHIRE COUNCIL HRA REVENUE BUDGETARY CONTROL 2025/26 ANALYSIS FOR VARIANCES OVER £50,000 MONTH END DATE 31 January 2026 PERIOD 10 Budget 2025/26 Forecast Spend 2025/26 £000 £000 £000 % Employee Costs 7,855 8,043 188 2% Main Issues Mitigating Action Anticipated Outcome Budget 2025/26 Forecast Spend 2025/26 £000 £000 £000 % Property Costs 1,264 1,523 259 20% Main Issues Mitigating Action Anticipated Outcome Variance Analysis Variance Analysis Subjective Analysis Forecast Variance 2025/26 RAG Status Subjective Description Employees charged directly to the HRA. Variance Narrative Recruitment of critical posts and higher employer national insurance costs are creating a cost pressure. The forecast also incudes a cost pressure for a higher than estimated pay settlement. Employees received a 4% pay award for 2025/26, the estimates included a 3% provision. Management will target staffing efficiencies, including tighter controls on staff recruitment and overtime. A year end overspend. Subjective Analysis Forecast Variance 2025/26 RAG Status Subjective Description HRA property costs out with the repair and maintenance of council dwellings. This includes rates for shops and offices, utility costs, insurance, cost of HRA offices. Variance Narrative Council agreed at the October 2025 meeting to an early termination of the owners' block building insurance contract. The early termination requires the HRA to pay a termination fee of £187,000. None A year end overspend. ITEM 13 - APPENDIX 2
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 HRA REVENUE BUDGETARY CONTROL 2025/26 ANALYSIS FOR VARIANCES OVER £50,000 MONTH END DATE 31 January 2026 PERIOD 10 Budget 2025/26 Forecast Spend 2025/26 £000 £000 £000 % Repairs & Maintenance 12,173 12,435 262 2% Main Issues Mitigating Action Anticipated Outcome Budget 2025/26 Forecast Spend 2025/26 £000 £000 £000 % Open Space Maintenance 908 664 (244) -27% Main Issues Mitigating Action Anticipated Outcome Budget 2025/26 Forecast Spend 2025/26 £000 £000 £000 % Bad Debt Provision 1,119 1,269 150 13% Main Issues Mitigating Action Anticipated Outcome Subjective Analysis Forecast Variance 2025/26 RAG Status Variance Analysis Subjective Description Subjective Description Responsive and planned repair and maintenance services to houses and lockups and income recovered from tenant rechargeable and owner occupier repairs. Variance Narrative A high volume of repair orders and ongoing inflationary pressures are driving up costs, with the most significant pressure across responsive repair budgets. Officers have reviewed the repairs spend and identified a potential saving against the 2025/26 repair and maintenance revenue budget by transferring qualifying repair spend to the HRA capital programme, primarily revenue funded works that extends asset lifespan. Furthermore, Electrical Installation Condition Report (EICR) spend that is complementary to the environmental sensor installation programme has also been funded from the HRA capital programme. A year end overspend. Variance Analysis Subjective Analysis Forecast Variance 2025/26 RAG Status Variance Narrative Greenspace works across HRA open space. Ad-hoc greenspace works within the curtilage of void properties and within properties let to the homeless service. Variance Narrative Officers have reviewed the frequency and specification of greenspace works and targeted spending reduction in line with tenant priorities. None A year end underspend. Variance Analysis Subjective Analysis Forecast Variance 2025/26 RAG Status Subjective Description Provision for uncollected rent across range of HRA debts, including rent arrears, rechargeable repairs and factoring services. The Council needs to make prudent provision for the non collection of HRA debt. HRA debt has been increasing as officers more stringently apply the rechargeable repairs policy for repairs caused by tenant neglect / abuse. These debts are difficult to collect because tenants often have multiple other debts with the council and others. A review of the bad debt provision has identified a need to further increase the amount set aside for irrecoverable debt. Housing and corporate debt staff continue to work closely to maximise contact with customers with debt and to put in place reasonable affordable repayment plans that take account of customers personal circumstances. A year end overspend.
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 HRA REVENUE BUDGETARY CONTROL 2025/26 ANALYSIS FOR VARIANCES OVER £50,000 MONTH END DATE 31 January 2026 PERIOD 10 Budget 2025/26 Forecast Spend 2025/26 £000 £000 £000 % Void Loss (Council Tax / Lost Rents) 831 1,125 294 35% Main Issues Mitigating Action Anticipated Outcome Budget 2025/26 Forecast Spend 2025/26 £000 £000 £000 % Loan Charges / CFCR 29,055 27,269 (1,786) -6% Main Issues Mitigating Action Anticipated Outcome Budget 2025/26 Forecast Spend 2025/26 £000 £000 £000 % House Rental Income (55,961) (56,198) (237) 0% Main Issues Mitigating Action Anticipated Outcome A year end overspend. Variance Analysis Subjective Analysis Forecast Variance 2025/26 RAG Status Subjective Description Lost rental income for void houses and lockups and the cost of council tax on long term void properties. Variance Narrative Void numbers and council tax payments for longer term void houses are forecast to exceed budget. Although there has been an overall reduction in voids being delayed due to meter issues, there still remains a smaller number of longer-term properties with complex meter issues that are causing delays with the utility companies. Officers will continue to work with utility companies to find solutions for these complex meter issues. The service is also working with the council tax team / the assessor service to secure maximum relief for several of our longer-term void properties. Housing staff will continue to engage with utility companies to highlight meter issues that are preventing properties being available for let. Housing and Building Services staff will continue to prioritise the repair and subsequent allocation of longer term void properties. Housing staff will continue to develop and argue the case for additional council tax relief. Variance Analysis Variance Analysis Subjective Analysis Forecast Variance 2025/26 RAG Status Subjective Description Loans Fund repayments and the payment of interest and expenses on outstanding HRA debt. Variance Narrative HRA capital debt at 31 March 2025 was lower than forecast and this has reduced debt servicing costs across debt repayment and debt interest. Furthermore, HRA capital spend 2025/26 is forecast to be less than budget, lowering the HRA borrowing requirement in 2025/26 and, consequently, lowering interest payments. Finally, Council agreed in October 25 to transfer £1.992m of Energy Efficiency Scotland Area Based Scheme (EESABS) funding to the HRA. This funding will be used to reduce HRA capital debt, thereby lowering HRA debt interest payments. None. A year end underspend. A prudent approach was taken when setting the income budget from 2025/26 given the uncertainty over the timing of new build and buy back properties being available for rent. A mid-year review has forecast rental income to be above budget. None. A year end over-recovery Subjective Analysis Forecast Variance 2025/26 RAG Status Subjective Description Income from the letting of housing stock to tenants and to the homeless service. Variance Narrative