Capital Plan Monitoring Report - for the year ending 31 March 2025
Argyll and Bute Council · 26 June 2025
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ARGYLL AND BUTE COUNCIL COUNCIL FINANCIAL SERVICES 26 JUNE 2025 CAPITAL PLAN MONITORING REPORT – FOR THE YEAR ENDING 31 MARCH 2025 1.0 EXECUTIVE SUMMARY 1.1 This report provides a summary of the financial position and progress on delivery of the approved 2024-27 Capital Plan as at 31 March 2025. It provides details of the actual expenditure incurred during the financial year 2024-25 and the forecast outturn across future years, in comparison to the approved Capital Plan budget for each service. 1.2 A number of budget changes have been made to the Capital Plan since last reporting to reflect previous approvals. There are no further changes to previously reported reprofiling of expenditure across 2024-25 and future years, at this stage. Any 2024-25 budget over or underspends will be rolled forward and reprofiled across 2025-26 and future years, as part of the year end process. 1.3 Financial Position: • 2024-25 Actual Outturn – Actual gross capital expenditure for the financial year totals £48.553m, compared to a profiled annual revised budget of £70.588m, giving rise to an underspend for the year of £22.035m (31.2%). Project specific income totals £4.523m, resulting in project actual net expenditure of £44.030m in 2024-25. The actual borrowing required to finance capital expenditure incurred during 2024-25 is lower than originally estimated at £28.717m. • Total Capital Plan Forecast Outturn – Forecast outturn gross expenditure on the total Capital Plan is £189.728m, compared to a budget of £189.611m, resulting in a forecast overspend of £0.117m (0.06%). Additional resources of £0.117m have been approved as part of the 2025-26 budget process to meet this forecast overspend. 1.4 Capital Plan risks may impact the delivery of the plan within available resources and target timescales. The monitoring and review of specific Capital Plan risks will continue to be undertaken on an ongoing basis and reported to the Policy and Resources Committee, as part of future capital monitoring reports. 1.5 It is recommended that Council: • Note the actual expenditure incurred during the financial year 2024-25 and progress on delivery of the Capital Plan as at 31 March 2025; and • Approve the updated Capital Plan, as detailed within Appendix 1.
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ARGYLL AND BUTE COUNCIL COUNCIL FINANCIAL SERVICES 26 JUNE 2025 CAPITAL PLAN MONITORING REPORT – FOR THE YEAR ENDING 31 MARCH 2025 2.0 INTRODUCTION 2.1 This report provides a summary of the financial position and progress on delivery of the approved 2024-27 Capital Plan as at 31 March 2025. 2.2 It provides details of the actual expenditure incurred during the financial year 2024-25 and the forecast outturn across future years, in comparison to the approved Capital Plan budget for each service. 3.0 RECOMMENDATIONS 3.1 It is recommended that Council: • Note the actual expenditure incurred during the financial year 2024-25 and progress on delivery of the Capital Plan as at 31 March 2025; and • Approve the updated Capital Plan, as detailed within Appendix 1. 4.0 BUDGET CHANGES 4.1 Following the decision at Policy and Resources Committee on 9 December 2021, the Rothesay Pavilion project was put on pause, whilst potential funding options were being considered. At the budget meeting in February 2023, additional funding was allocated to this project, which will allow the project to progress towards successful delivery, by supporting completion of certain work stages. Further funding was allocated at the budget meeting in February 2024 for stages 2 and 3 to complete the project. Since last reporting, the Capital Plan has been updated to incorporate previous approvals relating to Phase 1, 2 and 3 of the Rothesay Pavilion project. Gross expenditure has been increased by £20.559m in this respect (£0.559m 2024/25, £10m 2025/26 and £10m future years), while project specific income has been increased by £11.7m (£6.7m 2025/26 and £5m future years). 4.2 The council’s funding bid to the Scottish Government’s Learning Estate Investment Programme (LEIP) for a new school campus on Mull was successful. At its meeting of 24 April 2024, Council agreed to use up to £5m of the previously earmarked LEIP funding to commence the Business Case, undertake engagement, commence site selection processes and establish governance arrangements. At its meeting of 27 February 2025, Council approved the preferred site at Tobermory South and agreed to progress with the Outline Business Case on that basis. At this stage, the Capital Plan does not provide for the potential delivery of a new school. Any future spending commitments and funding frameworks in this respect will be subject to Council approval and will be built into the Capital Plan at that point. However, the gross expenditure budget has been increased by £0.208m to reflect actual spend incurred during 2024/25 on approved preparatory works.
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4.3 Both gross expenditure and project specific income budgets have been increased by £1.215m (£1.155m 2024/25 and £0.060m 2025/26) to reflect additional project capital income from grants or other contributions. In addition, gross expenditure budgets have been increased to reflect capital funded from current revenue budgets in 2024/25 (£1.511m). 4.4 There are no further changes to previously reported reprofiling of expenditure across 2024-25 and future years, at this stage. Any 2024-25 budget over or underspends will be rolled forward and reprofiled across 2025-26 and future years, as part of the year end process. The reprofiling of gross expenditure and, where applicable, associated project specific income will be reflected within future 2025-26 Capital Plan monitoring reports. 4.5 It should be noted that debt charges arising from the Harbour Investment Programme will be funded from additional revenue income, over the life of the project. This programme is now included within the Capital Plan on a gross expenditure basis. Prudential borrowing in this respect is included within the council’s overall borrowing requirement to finance capital spending plans and is reflected within the approved Treasury Management Strategy. However, it is recognised within the revenue budget, that additional debt charges arising from this investment will be met by additional revenue income, over the life of the project. There is, therefore, no overall impact on the General Fund in respect of this prudential borrowing. 4.6 It should also be noted that the council holds earmarked reserve balances, available to meet the costs arising from capital investment. A strategic approach to the use of these reserve balances will be undertaken by the Section 95 officer, in order to manage the impact of debt charges on the revenue budget and to safeguard the longer term financial sustainability of the council. 4.7 Budget changes approved in respect of the new Capital Plan 2025-28 at the Council meeting of 27 February 2025 will be incorporated into future capital monitoring reports from 2025-26. This includes additional resources of £0.117m in respect of the forecast overspend on the overall Capital Plan, as outlined at paragraph 6.9.
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5.0 UPDATED CAPITAL PLAN 5.1 The table below provides a summary of the updated Capital Plan investment or gross expenditure budget, incorporating the changes outlined in Section 4, across services, while a more detailed analysis is given within Appendix 1. 2024-25 £m 2025-26 £m Future Years £m Total £m Executive Directorate (Douglas Hendry): Education 10.120 2.946 1.988 15.054 Facility Services - Shared Offices 1.552 3.681 0.667 5.900 Major Projects/CHORD 5.167 10.849 10.000 26.016 Executive Directorate (Kirsty Flanagan): ICT 1.419 1.281 0.820 3.520 Roads and Infrastructure 40.858 48.548 34.418 123.824 Development and Economic Growth 7.121 1.104 0.000 8.225 Health and Social Care Partnership 3.164 2.084 0.000 5.248 Live Argyll 1.187 0.169 0.468 1.824 Total 70.588 70.662 48.361 189.611 5.2 After accounting for project specific capital income of £20.814m (£7.452m 2024- 25, £8.362m 2025-26 and £5.000m future years), the budgeted net expenditure on the Capital Plan over 2024-25 and future years totals £168.797m (£63.136m 2024-25, £62.300m 2025-26 and £43.361m future years). 5.3 Details of the overall funding framework for budgeted gross capital expenditure over 2024-25 and future years is set out in the table below. 2024-25 £m 2025-26 £m Future Years £m Total £m Gross Capital Expenditure 70.588 70.662 48.361 189.611 Funded by: Project Specific Income 7.452 8.362 5.000 20.814 General Capital Grant 13.482 11.178 8.834 33.494 Asset Sales 0.612 0.750 0.500 1.862 Earmarked Reserves/Revenue 17.089 5.577 5.030 27.696 Borrowing 31.953 44.795 28.997 105.745 Total Funding 70.588 70.662 48.361 189.611 5.4 As outlined at paragraph 4.5, there are a number of projects where the annual debt charges are expected to be fully offset by revenue budget savings, either
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through increased income or reduced expenditure, over the useful life of the project deliverables, with no impact on Council Tax. This is generally referred to as prudential borrowing and accounts for £84.321m of the overall borrowing requirement in the above table, largely in respect of the Harbour Investment Programme but also in respect of TIF projects. 6.0 SUMMARY FINANCIAL POSITION 6.1 Actual Outturn 2024-25 The estimated spend for 2024-25 has been monitored and reviewed on an ongoing basis throughout the year, and regularly reported to the Policy and Resources Committee. Actual gross capital expenditure of £48.553m was incurred during 2024/25, in comparison to the profiled annual revised budget of £70.588m. This gives rise to an underspend of £22.035m (31.2%), in comparison to the annual estimate. 6.2 Actual project specific income totalled £4.523m, resulting in actual net expenditure of £44.030m for the year. This gives rise to an underspend of £19.106m (30.3%), in comparison to the profiled annual revised budget of £63.136m. 6.3 The following table provides a summary of the actual gross expenditure incurred during 2024-25, in comparison to the revised budget for the year, by project type and across services. 2024-25 Gross Expenditure Project Type: Revised Budget £m Actual £m Variance Under / (Over) £m Asset Sustainability 30.303 25.295 5.008 Service Development 13.201 6.523 6.678 Strategic Change 27.084 16.735 10.349 Total 70.588 48.553 22.035 Service: Education 10.120 7.618 2.502 Facility Services - Shared Offices 1.552 0.435 1.117 Major Projects/CHORD 5.167 4.026 1.141 ICT 1.419 1.742 (0.323) Roads & Infrastructure 40.858 28.724 12.134 Development & Economic Growth 7.121 2.272 4.849 Health & Social Care Partnership 3.164 2.695 0.469 Live Argyll 1.187 1.041 0.146 Total 70.588 48.553 22.035 6.4 The decrease in the actual outturn from the revised estimate relates to project slippage from 2024/25 into future years. An explanation of significant movements (>£0.5m) in actual project gross expenditure from the original 2024- 25 annual profiled budget is given in Appendix 2.
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6.5 The following table shows the actual gross capital expenditure and how this was financed, in comparison to the revised budget. 2024-25 Capital Finance Revised Budget £m Actual £m Variance Under / (Over) £m Gross Capital Expenditure 70.588 48.553 22.035 Financed by: Project Specific Income 7.452 4.523 2.929 General Capital Grant 13.482 13.482 0.000 Asset Sales 0.612 0.318 0.294 Revenue/Reserves 17.089 1.513 15.576 Total Financing 38.635 19.836 18.799 Borrowing Requirement 31.953 28.717 3.236 6.6 The actual gross capital expenditure incurred during the year impacts the associated actual project specific income. It is also worth noting that it has been possible, within the debt charges revenue budget capacity, to borrow for expenditure, previously assumed to be met from reserves, providing flexibility in the financing of future capital investment plans. As a result of these changes, the actual borrowing requirement for 2024-25 is now £28.717m. This represents a reduction of £14.553m (33.6%) from the original estimated net financing need for the year of £43.270m, as outlined within the approved Treasury Management Strategy 2024-25. 6.7 Further details of the impact of the actual gross capital expenditure on the authority’s underlying need to borrow for capital purposes (Capital Financing Requirement) are outlined within the Treasury Management Annual Report 2024/25. 6.8 Forecast Outturn – Total Capital Plan 2024-27 The forecast outturn gross expenditure on the total Capital Plan is £189.728m, compared to a budget of £189.611m, resulting in a forecast overspend of £0.117m (0.06%). Additional resources of £0.117m have been approved as part of the 2025-26 budget process to meet this forecast overspend.
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6.9 The table below provides a comparison of the Capital Plan forecast gross expenditure with the approved budget, by project type and across services. A more detailed analysis across specific projects is provided at Appendix 1. Total Capital Plan Gross Expenditure Project Type: Revised Budget £m Forecast Outturn £'000 Variance Under / (Over) £'000 Asset Sustainability 57.823 57.877 (0.054) Service Development 15.618 15.655 (0.037) Strategic Change 116.170 116.196 (0.026) Total 189.611 189.728 (0.117) Service: Education 15.054 15.054 0.000 Facility Services - Shared Offices 5.900 5.900 0.000 Major Projects/CHORD 26.016 26.042 (0.026) ICT 3.520 3.520 0.000 Roads & Infrastructure 123.824 123.915 (0.091) Development & Economic Growth 8.225 8.225 0.000 Health & Social Care Partnership 5.248 5.248 0.000 Live Argyll 1.824 1.824 0.000 Total 189.611 189.728 (0.117) 6.10 As at 31 March 2025, there are a total of 160 projects within the overall Capital Plan. There are no projects experiencing significant financial issues. However, the level of budget reprofiling into future years may be indicative of delays in progress on project delivery. 7.0 STRATEGIC CHANGE PROJECTS 7.1 Detailed information in respect of the Strategic Change projects within the Capital Plan is provided within Appendix 3. For completeness, this also includes prior year spend of £133.388m. For each project, this gives details of the forecast expenditure against the approved budget; the start and anticipated completion date; and an assessment of risk, using a RAG status. Where the RAG status of a project is not Green, an explanation is provided. 8.0 CAPITAL PLAN RISKS 8.1 There are a number of specific capital programme risks that require to be monitored and reviewed on an ongoing basis, and which will require to be managed within available resources. The monitoring and review of these risks will continue to be undertaken on an ongoing basis, with actions put in place to continue to mitigate or manage these risks, as far as possible. Actions to manage financial risk within available resources may include reprofiling, project redesign, re-engineering or curtailment, and the re-prioritisation of uncommitted resources across the programme. An update on risks will be reported regularly to Policy and Resources Committee, as part of future capital programme monitoring reports.
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Kirsty Flanagan Executive Director / Section 95 Officer 09 June 2025 Policy Lead for Finance and Commercial Services – Councillor Ross Moreland APPENDICES: Appendix 1 – Updated Capital Plan, including 2024/25 actual and future years forecast gross expenditure Appendix 2 – Explanation of Significant Variances/Reprofiling Appendix 3 – Strategic Change Projects For further information contact: Carolyn Earl, Interim Head of Financial Services carolyn.earl@argyll-bute.gov.uk 9.0 IMPLICATIONS 9.1 Policy None 9.2 Financial Provides information on 2024-25 actual capital expenditure and an update on forecast Capital Plan spend across future years 9.3 Legal None 9.4 HR None 9.5 Customer Service None 9.6 Risk There are risks to the delivery of the Capital Plan within available resources and delivery timescales and these continue to be monitored and reviewed. 9.7 Climate Change The Council is committed to addressing climate change via delivery of projects within the Capital Plan. 9.8 Fairer Scotland Duty None 9.9 Equalities – protected characteristics None 9.10 Consumer Duty None 9.11 Island Communities None 9.12 Children’s Rights and Wellbeing None
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Capital Plan 2025-28 APPENDIX 1 Budget Monitoring as at 31 March 2025 Service Category Project 2024-25 Budget £000s 2024-25 Actual £000s Sum of 2024- 25 Variance Total Plan Budget £000s Total Plan Forecast £000s Total Variance (Over)/Under £000s Education Asset Sustainability Block Allocation - Education 278 0 -278 2,266 2,266 0 Digital Inclusion 20-21 9 0 -9 9 9 0 Early Learning Centres - CFCR 762 762 0 762 762 0 Free School Meals 0 -20 -20 434 434 0 Pre-5's/Nurseries 0 0 0 0 0 0 Preliminary RAAC Investigation 3,200 3,031 -169 4,206 4,206 0 Primary Schools 3,013 2,056 -957 4,293 4,293 0 Primary Schools - CFCR 329 329 0 329 329 0 School Houses - Housing Quality Standard 0 0 0 0 0 0 Secondary Schools 1,086 1,052 -34 1,312 1,312 0 Secondary Schools - CFCR 122 122 0 122 122 0 Asset Sustainability Total 8,799 7,332 -1,467 13,733 13,733 0 Service Development Bowmore Primary School - Gaelic Medium Grant 47 16 -31 47 47 0 Bowmore Primary School - Pre Five Unit 0 0 0 0 0 0 Clyde Cottage - 600 hours provision 0 0 0 0 0 0 CO2 Monitoring - Covid Mitigation in Schools 113 0 -113 113 113 0 Craignish Primary School - Pre Five Extension (600 hours funding) 0 0 0 0 0 0 Early Learning and Childcare 0 0 0 0 0 0 Early Learning and Childcare - 1140 Hours 243 62 -181 243 243 0 Early Learning and Childcare - 1140 Hours - CFCR 0 0 0 0 0 0 Iona Primary School - Pre Five Unit (600 hours funding) 0 0 0 0 0 0 Islay High & Rosneath PS Pitches 0 0 0 0 0 0 Sandbank Gaelic Pre Five Unit 0 0 0 0 0 0 Service Development Total 403 78 -325 403 403 0 Strategic Change Campbeltown Schools Redevelopment 38 0 -38 38 38 0 Dunoon Primary School 232 0 -232 232 232 0 Kirn Primary School 34 0 -34 34 34 0 Mull Joint Campus 208 208 0 208 208 0 Replacement of Oban High School 406 0 -406 406 406 0 Strategic Change Total 918 208 -710 918 918 0 Education Total 10,120 7,618 -2,502 15,054 15,054 0 Shared Offices Asset Sustainability 52 Sinclair Street Flats - CFCR 0 0 0 0 0 0 5-7 East Clyde Street - Coastal Communities Fund 6 7 1 396 396 0 Argyll House, Dunoon 1 -2 -3 1 1 0 Asbestos Capital Property Works 0 0 0 0 0 0 Block Allocation 259 0 -259 1,068 1,068 0 Bowmore Area Office 0 0 0 0 0 0 Burnett Building 107 34 -73 107 107 0 Capital Property Works 0 0 0 0 0 0 Fire Risk Assessment Works 0 0 0 0 0 0 Graham Williamson IT Building 20 19 -1 20 20 0
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Helensburgh and Lomond Civic Centre 178 178 0 178 178 0 Hill Street Dunoon Rewire 0 0 0 0 0 0 Kilmory Castle 0 0 0 1,545 1,545 0 Legionella Control Works 12 12 0 12 12 0 Manse Brae District Office 0 0 0 0 0 0 Manse Brae Roads Office 0 0 0 0 0 0 Our Modern Workspace 542 91 -451 542 542 0 Tobermory Area Office 2 2 0 2 2 0 Asset Sustainability Total 1,127 341 -786 3,871 3,871 0 Strategic Change Campbeltown Office Rationalisation 1 0 -1 1 1 0 Clean Energy - NDEEF1 124 94 -30 332 332 0 Clean Energy - NDEEF2 0 0 0 1,140 1,140 0 Helensburgh Office Rationalisation (FPB,REC) 300 0 -300 300 300 0 Net Zero 0 0 0 256 256 0 Strategic Change Total 425 94 -331 2,029 2,029 0 Shared Offices Total 1,552 435 -1,117 5,900 5,900 0 ICT Asset Sustainability Block Allocation - ICT 0 0 0 880 880 0 PC Replacement 561 602 41 1,230 1,230 0 Server Sustainability 488 770 282 888 888 0 Telecomms Network 88 88 0 240 240 0 Asset Sustainability Total 1,137 1,460 323 3,238 3,238 0 Service Development Applications Projects 282 282 0 282 282 0 Service Development Total 282 282 0 282 282 0 ICT Total 1,419 1,742 323 3,520 3,520 0 RIS Asset Sustainability Acquisition of Glen Loin Car Park, Arrochar - CFCR 28 28 0 28 28 0 Block Allocation 0 0 0 3,601 3,601 0 Bridge Strengthening 136 118 -18 1,634 1,634 0 Bute Sea Wall Repairs 274 111 -163 633 633 0 Claonaig Landslip 1,570 1,630 60 1,600 1,612 12 Coastal Change Adaptation 126 179 53 425 425 0 Coastal Protection 196 2 -194 696 696 0 Environmental Projects 721 133 -588 821 821 0 EV Quick Chargers 52 21 -31 52 52 0 Flood Prevention 1,197 1,260 63 1,697 1,697 0 Footway Improvements 219 122 -97 219 219 0 Gartbreck - Capping 194 237 43 194 236 42 Glengorm - Capping 0 0 0 0 0 0 Glengorm - Cell and Transfer Station (PB) 249 -1 -250 249 249 0 Helensburgh CHORD - Signage etc 10 0 -10 10 10 0 Helensburgh Flood Mitigation 0 0 0 427 427 0 Investment in Active Travel 200 0 -200 200 200 0 Lighting 325 374 49 694 694 0 Local Bridge Maintenance Fund 213 257 44 4,990 4,990 0 Plant and Machinery 9 9 0 9 9 0 Play Park Renewal 547 21 -526 938 938 0 POPs Waste 86 0 -86 86 86 0 Public Convenience Upgrades 118 78 -40 227 227 0 RIS - Roads Plant and Equipment - CFCR 135 135 0 135 135 0
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Roads Reconstruction 8,043 7,514 -529 10,043 10,043 0 Roads Reconstruction - Helensburgh CHORD 47 10 -37 47 47 0 Roads Reconstruction - Oban CHORD 3 0 -3 3 3 0 Roads Safety and Improvement Fund 170 170 0 230 230 0 Storm Costs Provision 0 0 0 0 0 0 Tobermory Car Park 96 0 -96 96 96 0 Asset Sustainability Total 14,964 12,408 -2,556 29,984 30,038 54 Service Development Campbeltown Old Quay 0 0 0 0 0 0 Cuan Ferry - Hitrans 0 0 0 0 0 0 Depot Rationalisation 10 15 5 10 10 0 EV Infrastructure Fund 56 19 -37 56 56 0 Fleet Management 258 0 -258 258 258 0 Fleet Management - Prudential Borrowing 2,152 1,879 -273 2,652 2,652 0 Jackson's Quarry Refurbishment 0 0 0 0 0 0 Lismore Ferry Replacement 35 0 -35 35 35 0 Lochgilphead Depot Rationalisation 115 240 125 115 115 0 Oban Bus Congestion - Bus Partnership Fund 0 0 0 0 0 0 Oban Depot Development -35 3 38 -35 2 37 Preliminary design for Regional Transport projects (tif) 16 0 -16 16 16 0 Public Transport Operation Vehicles 233 233 0 233 233 0 Weather Incident 3,208 1,961 -1,247 4,308 4,308 0 Witchburn Road Demolition 0 0 0 0 0 0 Zero Waste Scotland - Recycling Improvement Fund 63 63 0 63 63 0 Service Development Total 6,111 4,413 -1,698 7,711 7,748 37 Strategic Change Blackhill Depot - BMW 0 0 0 0 0 0 Campbeltown Flood Scheme 1,780 1,238 -542 2,191 2,191 0 Harbour Investment Programme Non PB 53 0 -53 53 53 0 Harbour Investment Programme PB 17,650 10,601 -7,049 83,264 83,264 0 Street Lighting LED Replacement 300 64 -236 621 621 0 Strategic Change Total 19,783 11,903 -7,880 86,129 86,129 0 RIS Total 40,858 28,724 -12,134 123,824 123,915 91 DEG Service Development Albert Pier Demolition - Crown Estate Funding 0 2 2 0 0 0 Ardrishaig North Active Travel 49 86 37 49 49 0 Arinagour, Coll - Site Investigation and Preliminary development Consultancy Services 90 110 20 90 90 0 CFCR - Tier 1 Active Travel Route Design and Planning 93 103 10 93 93 0 Cycleways - H&L (FSPT) 497 208 -289 497 497 0 Dunoon Cycle Bothy 179 109 -70 179 179 0 Dunoon STEM Hub 2,382 19 -2,363 2,382 2,382 0 Gibraltar Street Public Realm Improvements 97 95 -2 97 97 0 Glenmorag Car Park PC 4 4 0 4 4 0 Helensburgh Public Realm - Arts Strategy Fund 25 1 -24 50 50 0 Hermitage Park 26 0 -26 26 26 0 Nature Restoration Fund 835 26 -809 1,244 1,244 0 Rural Growth Deal 1,080 459 -621 1,080 1,080 0 Safe Streets, Walking and Cycling (CWSS) 635 268 -367 1,018 1,018 0 SPT - bus infrastructure 25 0 -25 25 25 0 Town Centre Funds 334 278 -56 334 334 0 West Coast UAV Innovation Logistics and Training Hub 0 0 0 0 0 0
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Service Development Total 6,351 1,768 -4,583 7,168 7,168 0 Strategic Change 01 TIF - Lorn/Kirk Road 1 0 -1 1 1 0 09 TIF - Oban Airport Business Park 482 491 9 482 482 0 Oban Business Park - Buliding Costs (Not TIF Funded) 0 13 13 0 0 0 TIF - Halfway House Roundabout 287 0 -287 574 574 0 Strategic Change Total 770 504 -266 1,057 1,057 0 DEG Total 7,121 2,272 -4,849 8,225 8,225 0 HSCP Asset Sustainability Ardfenaig 15 15 0 15 15 0 Better Neighbourhood Services Kintyre 0 0 0 0 0 0 Block Allocation 0 0 0 0 0 0 Capital Property Works 0 0 0 9 9 0 Digitalising telecare 0 0 0 0 0 0 Dunoon Hostel 0 0 0 0 0 0 Eadar Glinn 34 31 -3 59 59 0 East King Street Childrens Home 0 0 0 0 0 0 Glencruitten Hostel 301 271 -30 301 301 0 Gortonvogie 0 0 0 0 0 0 Greenwood/Woodlands 16 1 -15 16 16 0 HSCP - 102 East King Street "Jean's Bothy" - Rewire - 23-24 4 3 -1 4 4 0 Kintyre Care Home 47 103 56 720 720 0 Lochgilphead Resource Centre 0 0 0 0 0 0 Lorn Resource Centre 33 33 0 33 33 0 Rothesay Community Education Centre 0 0 0 0 0 0 Shellach View 22 -1 -23 22 22 0 Struan Lodge Boiler 134 49 -85 700 700 0 Thomson Home Rothesay 21 36 15 797 797 0 Tigh An Rudha HFE 2,483 2,129 -354 2,518 2,518 0 Tobermory Top Flat 0 0 0 0 0 0 Asset Sustainability Total 3,110 2,670 -440 5,194 5,194 0 Service Development Dunclutha Childrens Home 54 25 -29 54 54 0 Service Development Total 54 25 -29 54 54 0 HSCP Total 3,164 2,695 -469 5,248 5,248 0 Live Argyll Asset Sustainability Aqualibrium 63 113 50 167 167 0 Capital Property Works 12 0 -12 394 394 0 Corran Halls Gaelic Centre 19 0 -19 105 105 0 Kintyre Community Education Centre 7 7 0 7 7 0 LA - Indoor Cycles 62 62 0 62 62 0 Lochgilphead Community Ed Centre 411 377 -34 411 411 0 Lochgilphead Library Relocation 0 0 0 0 0 0 Queen's Hall - Legionella Works 4 0 -4 4 4 0 Queen's Hall - Partition Wall 0 0 0 0 0 0 Riverside Leisure Centre - Cladding Upgrade 0 0 0 0 0 0 Riverside Leisure Centre - Health Suite Upgrade 140 127 -13 140 140 0 Riverside Leisure Centre - Spa Pool Upgrade 0 0 0 0 0 0 Rothesay Swimming Pool 24 -2 -26 89 89 0 The Moat Centre 393 372 -21 393 393 0 The Moat Centre - Heating Upgrade 0 0 0 0 0 0 Victoria Halls, Helensburgh 31 28 -3 31 31 0
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Asset Sustainability Total 1,166 1,084 -82 1,803 1,803 0 Service Development Riverside Leisure Centre Refurbishment 0 -43 -43 0 0 0 Service Development Total 0 -43 -43 0 0 0 Strategic Change Carbon Management 21 0 -21 21 21 0 Strategic Change Total 21 0 -21 21 21 0 Live Argyll Total 1,187 1,041 -146 1,824 1,824 0 CHORD Strategic Change CHORD - Dunoon 23 4 -19 23 23 0 CHORD - Helensburgh -Public Realm Imprv 25 3 -22 25 25 0 CHORD - Oban 500 -50 -550 579 579 0 CHORD - Rothesay 4,013 3,936 -77 24,013 24,013 0 Helensburgh Waterfront Development 281 -162 -443 281 281 0 HWD - FFE 34 0 -34 34 34 0 Kilmory Business Park Phase 2AA 291 295 4 1,061 1,087 26 Strategic Change Total 5,167 4,026 -1,141 26,016 26,042 26 CHORD Total 5,167 4,026 -1,141 26,016 26,042 26 Overall Total 70,588 48,553 -22,035 189,611 189,728 117
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Classification: OFFICIAL APPENDIX 2 Capital Projects With Slippage over £0.500m 2024-25 Gross Capital Expenditure Project Original Budget £m Actual £m Slippage £m Explanation Bute Sea Wall Repairs 0.633 0.111 0.522 Works originally expected to start and complete during 2024-25. However, works actually only started late into Quarter 4. Therefore, there has been slippage into 2025- 26. Campbeltown Flood Scheme 1.780 1.238 0.542 The contract for the Property Flood Resilience Works was originally expected to be awarded during 2024-25, however, this has now slipped into 2025-26. Clean Energy - NDEEF2 0.590 0.000 0.590 A new Scottish Government framework, provisionally referred to as ‘NDEEF2’, will replace the framework followed for the delivery of NDEEF1. There has been a delay in the new framework being made available to the Council and as such, it has not been possible to progress the project during 2024-25. This has resulted in slippage into future years. Dunoon STEM Hub 2.427 0.019 2.408 This project was delayed while the Rural Growth Deal was being finalised, resulting in slippage into future years. Environmental Projects 0.721 0.133 0.588 Works originally included within the 2024-25 expenditure profile, now to be delivered in future years comprise the following: 1. Campbeltown Kilkerran North Extension 2. Achnabreac Lochgilphead 3. Calgary - Extension 4. Sandbank - Extension Torlochan Phase 1 5. Strachur - New Cemetery Site 6. Kingarth - Second Extension
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Classification: OFFICIAL Harbour Investment Programme 24.050 10.601 13.449 Iona Breakwater was originally planned to commence early 2024-25, with the majority of works being completed within the financial year, however, this was delayed due to licencing complications. Contractors have mobilised and works will now be completed during 2025-26. Port Askaig’s new Islay vessel enabling works have been delayed, with slippage into 2025-26. Progress with the initial identified design has been paused, in order to investigate options for a more cost effective solution, based on feedback from community consultation. Kilmory Business Park Phase 2AA 1.035 0.295 0.740 The original expenditure profile was based on estimated start dates, while legal agreements, required to progress the project, were being finalised. Works actually only commenced on the project in December 2024, with slippage into 2025/26. Nature Restoration Fund 0.835 0.026 0.809 The expenditure originally profiled for 2024-25 reflected slippage from prior years. Spending plans have been developed during the year and have now been determined, with a number of projects to be delivered in 2025-26. Struan Lodge 0.700 0.049 0.651 Struan Lodge rewire was forecast to start in 2024-25, however, this project is now on hold and under review. In the meantime, this project has been slipped to 2025-26, pending the outcome of the review. Street Lighting LED Replacement 0.621 0.064 0.557 This profiling has been revised to reflect the remaining works to be undertaken during 2025-26, covering a portion of heritage lanterns and columns, as well as further savings generating upgrades that are still to be identified. Roads Reconstruction 8.043 7.516 0.527 A number of schemes, originally planned for delivery during 2024-25, have been delayed into 2025-26. The majority of slipped schemes were on Islay and were not completed during 2024-25 due to staff shortages, delays in mobilising contractors and asphalt recycler plant, and difficulties in getting the required materials from the mainland across to Islay via ferry (capacity is limited and is used to prioritise the provision of lifeline services). Play Park Renewal 0.547 0.021 0.526 The expenditure originally profiled for 2024-25 reflected slippage from prior years. Works commenced during the year, however, progress and spend was limited due to time required for consultation with the Community Council and procurement process, with slippage into future years. Total 41.982 20.073 21.909
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Strategic Change Projects - Cumulative Spend, Start/Finish Dates and Project Risks APPENDIX 3 Strategic Change Projects Prior Years Spend £'000 Current Year Spend £'000 Total Project Forecast £'000 Total Project Budget £'000 Project Start Date Estimated Completion Date Project Risks Identified Explanation Campbeltown Flood Scheme 13,748 1,238 15,939 15,939 01/08/2016 31/03/2025 Green Snagging period CHORD Oban 7,326 -50 7,905 7,905 27/10/2016 31/03/2026 Green Issues with contract close out impacting on timescales. CHORD Rothesay 21,401 3,936 45,414 45,414 01/05/2024 31/03/2025 Green Project recommenced and on track Harbour Investment Programme 9,295 10,601 92,612 92,612 01/04/2017 31/03/2028 Green Project in progress Dunoon Primary 10,637 0 10,869 10,869 18/12/2014 30/04/2020 Green Physically complete - negotiations with contractor delaying payment of final sums outstanding. Replacement of Oban High 2,844 0 3,250 3,250 24/04/2014 31/01/2019 Green Physically complete - negotiations with contractor delaying payment of final sums outstanding. Clean Energy - NDEEF1 1,109 94 1,441 1,441 01/04/2021 31/03/2025 Green Slippage into 25-26 anticipated (and reported) with retentions likely to be payable in future financial years. Clean Energy - NDEEF2 0 0 1,140 1,140 01/04/2024 31/03/2027 Green Street Lighting LED Replacement 3,279 64 3,900 3,900 01/08/2016 31/12/2025 Green Tender for final package of works still to be awarded. Helensburgh Waterfront Development 24,111 -162 24,426 24,426 01/04/2017 31/03/2025 Green Physically complete, retentions outstanding TIF - Halfway House Roundabout 66 0 640 640 tbc tbc Green Scope of project still to be determined - budget to be reprofiled. Kirn Primary School 10,085 0 10,119 10,119 24/04/2014 31/10/2017 Green Physically complete - negotiations with contractor delaying payment of final sums outstanding. Helensburgh Office Rationalisation 11,538 0 11,838 11,838 25/04/2013 31/12/2022 Green Physically complete - project subject to legal dispute. CHORD Dunoon 12,499 4 12,522 12,522 03/02/2012 09/03/2018 Green Physically complete - negotiations with contractor regarding potential construction defect. Kilmory Business Park Phase 2AA 60 295 1,147 1,121 01/02/2022 01/09/2025 Green Development Agreement still to be concluded. Carbon Management - Non Education 29 0 50 50 01/04/2015 31/12/2025 Green Projects being determined. Campbeltown Office Rationalisation 595 0 596 596 01/02/2015 31/03/2019 Green Project complete in full - no further expenditure expected. TIF - Oban Airport Business Park 505 491 987 987 22/01/2015 31/12/2025 Green Campbeltown Schools Redevelopment 2,092 0 2,130 2,130 16/02/2012 30/11/2018 Green Physically complete - negotiations with contractor delaying payment of financial sums outstanding. CHORD - Helensburgh - Comet Works 0 3 25 25 01/04/2023 31/03/2025 Green Art project proposed for 24-25. TIF - Lorn/Kirk Road 2,169 0 2,170 2,170 22/01/2015 31/03/2021 Green Project complete in full - no further expenditure expected. Mull Joingt Campus 0 208 208 208 01/04/2024 31/03/2030 Green Net Zero 0 0 256 256 01/04/2025 31/03/2026 Green Strategic Change Total 133,388 16,722 249,584 249,558 Project Risk Classifications: Green - Risks can be managed and are viewed as stable or reducing. Amber - Risks are increasing but are still manageable. Red - Risks are increasing or have increased to such an extent they may affect delivery of the project. Capital Expenditure Dates Risks