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West Dunbartonshire Council · 26 August 2026
Back to West Dunbartonshire Council — 26 August 2026 and its agenda
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Agenda West Dunbartonshire Council Date: Wednesday, 26 August 2026 ___________________________________________________________________ Time: 16:00 ___________________________________________________________________ Format: Hybrid meeting ___________________________________________________________________ Contact: Carol-Ann Burns, Senior Democratic Services Officer Email: carol-ann.burns@west-dunbarton.gov.uk committee.admin@west-dunbarton.gov.uk Dear Member Please attend a meeting of West Dunbartonshire Council as detailed above. Members will have the option to attend the meeting remotely or in person at the Civic Space, 16 Church Street, Dumbarton. The business is shown on the attached agenda. Yours faithfully PETER HESSETT Chief Executive Page 1
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Distribution:- Provost Karen Murray Conaghan Councillor June McKay Councillor James Bollan Councillor John Millar Councillor Kevin Crawford Councillor Lawrence O’Neill Councillor Ian Dickson Councillor Lauren Oxley Councillor Diane Docherty Councillor Chris Pollock Councillor Fiona Hennebry Councillor Martin Rooney Councillor Gurpreet Singh Johal Councillor William Rooney Councillor Daniel Lennie Councillor Gordon Scanlan Councillor David McBride Councillor Hazel Sorrell Councillor Jonathan McColl Councillor Clare Steel Councillor Michelle McGinty Councillor Sophie Traynor Chief Executive Chief Officers Date of issue: 13 August 2026 Audio Streaming Audio recordings of the meeting (including the attendance or contribution of any party participating or making a contribution) will be published on the Council’s website and the Council’s host’s webcast/audio stream platform. You should be aware that the Council is a Data Controller under the General Data Protection Regulation. Data collected during this audio stream will be retained in accordance with the Council’s Privacy Notice* and Retention Schedules including, but not limited to, for the purpose of keeping historical records and making those records available via the Council’s internet site. Page 2
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WEST DUNBARTONSHIRE COUNCIL WEDNESDAY, 26 AUGUST 2026 AGENDA 1 STATEMENT BY CHAIR – AUDIO STREAMING The Chair will be heard in connection with the above. 2 APOLOGIES 3 DECLARATIONS OF INTEREST Members are invited to declare if they have an interest in any of the items of business on the agenda and the reasons for such declarations. 4 RECORDING OF VOTES The Council is asked to agree that all votes taken during the meeting will be carried out by roll call vote to ensure an accurate record. 5 MINUTES OF PREVIOUS MEETING 9 – 24 Submit, for approval as correct record, the Minutes of Meeting of West Dunbartonshire Council held on 17 June 2026. 6 OPEN FORUM The following Open Forum question has been submitted:- Question from Sister Rita Dawson MBE Council recognises the significant contribution that St Margaret of Scotland Hospice makes to the local community, by providing compassionate care and support to those living with life-limiting illness and their families. Council is asked whether it wishes to reaffirm its on-going support for the Hospice and to confirm its ongoing commitment to supporting Sister Rita, the staff, volunteers and all at St Margaret of Scotland Hospice as it moves forward into its Next Chapter, ensuring that its important legacy and vital services continue for future generations. 7/ Page 3
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7 AUDITED 2024/25 WEST DUNBARTONSHIRE COUNCIL TO FOLLOW ANNUAL ACCOUNTS Submit report by the Chief Officer – Resources providing Members with the opportunity to scrutinise and approve the 2024/25 Audited Annual Accounts for West Dunbartonshire Council. 8 2024/25 WEST DUNBARTONSHIRE COUNCIL ANNUAL 25 – 139 AUDIT REPORT Submit report by the Chief Officer – Resources:- (a) providing the 2024/25 Annual Audit Report to Members and the Controller of Audit prior to approving the 2024/25 Audited Annual Accounts for the Council; and (b) providing an update on the external audit of the Council’s Annual Accounts for the year ended 31 March 2025. 9 FINANCIAL REGULATIONS UPDATE 141 – 197 Submit report by the Chief Officer – Resources seeking approval of West Dunbartonshire Council’s revised Financial Regulations. 10 LONG TERM FINANCIAL STRATEGY 199 – 226 Submit report by the Chief Officer – Resources updating the Council’s long term financial strategy which was last updated in December 2023. 11 QUARTERLY TREASURY MANAGEMENT UPDATE TO 227 – 234 30 JUNE 2026 Submit report by the Chief Officer – Resources providing an update on Treasury Management activity for the first quarter of the 2026/27 financial year from 1 April 2026 to 30 June 2026. 12 GENERAL SERVICES REVENUE BUDGETARY CONTROL 235 – 262 REPORT TO 30 JUNE 2026 (PERIOD 3) Submit report by the Chief Officer – Resources advising of the 2026/27 Revenue Budget position at 30 June 2026 and the forecast position of the General Fund Reserve as at 31 March 2027. 13/ Page 4
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13 GENERAL SERVICES CAPITAL BUDGETARY CONTROL 263 – 281 REPORT 2026/27 TO 30 JUNE 2026 (PERIOD 3) Submit report by the Chief Officer – Resources providing an update on the General Services capital financial performance to 30 June 2026. 14 HOUSING REVENUE ACCOUNT BUDGETARY CONTROL 283 – 288 REPORT TO 30 JUNE 2026 (PERIOD 3) Submit report by the Chief Officer – Resources advising on the 2026/2027 HRA revenue budget position on 30 June 2026 and the forecast position for HRA reserves on 31 March 2027. 15 HOUSING REVENUE ACCOUNT (HRA) CAPITAL BUDGETARY 289 – 296 CONTROL REPORT TO 30 JUNE 26 (PERIOD 3) Submit report by the Chief Officer – Resources providing an update on the HRA capital programme to 30 June 2026. 16 NOTICE OF MOTIONS (a) Motion by Councillor Jim Bollan – Assessment of Medical Applications Council agrees to an urgent review of the number of officers assessing medical applications from housing applicants seeking a suitable Council tenancy. It is currently taking around 5-6 months to process these requests, which is completely unacceptable given the broad range of medical conditions these applicants have; to do this, we need to recruit additional staff with the cost being funded from HRA reserves. A report back to the next Council meeting should be arranged. (b) Motion by Councillor Lawrence O’Neill – Yoker Athletic Football Club’s 140th Anniversary Council congratulates Yoker Athletic Football Club on this, their 140th Anniversary, having been founded in 1886. Most of that period has been spent playing at Holm Park, Clydebank. Council acknowledges the important part that they have played in grassroots football and promotion of sport within the community. Page 5
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Winners of the Scottish Junior Cup in 1932/33 season and finalists again in 1935/36 and most recently in season 2021/22. Having gained promotion at the end of last season, they are now playing from a further redeveloped Holm Park and in West of Scotland Football League Division 2 and (at time of motion submission) have a 100% record thus far. Council congratulates all who have been involved in the club since its formation in 1886 and thanks all volunteers, committee members, players, staff and their supporters and would ask if the Council, through the Provost’s office, could provide some small token of appreciation on this 140th Anniversary. (c) Motion by Councillor Lawrence O’Neill – Faifley Parish Church Anniversaries Council congratulates the congregation and members of the Faifley Parish Church who will celebrate the 70th Anniversary of the Church Hall and 60th Anniversary of the White Church, on the weekend of Saturday, 19th and Sunday, 20th September this year. Now officially known as Faifley & Duntocher Parish Church, following a recent merger with Duntocher Trinity Church, they play a huge role within the community – many services, weddings and funerals have been undertaken by the Reverend Gregor McIntyre and his predecessors. The buildings also host Faifley Upcycling; Faifley Foodshare & Pantry; wider social roles with Street Connect; Support to the African community and other New Scots; various clubs and groups as well as assisting the Council deliver Shine and Summer activities within the area. During the Covid-19 pandemic which closed our schools, they were willing volunteers to help us ensure that the local school children were fed throughout periods of closure. The Parish will be hosting an Open Day on Saturday, 19th September 2026 from 10:30am – 3pm with an exhibition of photos, memorabilia and videos over the last 70 years. The next day, Sunday 20th September 2026, there will be a church morning service at 11am celebrating both anniversaries, followed by a community BBQ. Council, through the office of the Provost, may wish to mark these events with a small token of recognition. Page 6
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(d) Motion by Councillor Michelle McGinty – Commonwealth Games Medal Winner This Council congratulates Caitlin Kelly on her outstanding achievement in winning a bronze medal at the Commonwealth Games. Council recognises that representing Scotland on the international stage is a tremendous honour and that becoming the first female boxer to secure a medal for Team Scotland at a Commonwealth Games is a testament to Caitlin's dedication, perseverance, and sporting excellence. Council notes the inspiration that Caitlin's success provides to young people across West Dunbartonshire and beyond, demonstrating the rewards that can be achieved through hard work, commitment, and determination. Council further acknowledges the support provided throughout Caitlin's sporting journey by her family, coaches, teammates, and the wider local community, whose encouragement has helped contribute to this remarkable accomplishment. Request for the Chief Executive or Provost to write to Caitlin Kelly conveying the Council's congratulations and best wishes for her future sporting career. (e) Motion by Councillor Hazel Sorrell – Congratulations to Singer Station on Breaking the Mould Council notes the outstanding achievement of Singer Station and all those involved in the production of the musical Breaking the Mould. Council recognises the dedication, creativity and hard work demonstrated by the cast, production team, volunteers and supporters in bringing this ambitious project to life, showcasing the rich cultural talent that exists within West Dunbartonshire. Council further notes that community-led arts initiatives such as Breaking the Mould play a vital role in enriching local life, providing opportunities for people of all ages to participate in the arts, build confidence, develop skills and strengthen community connections. Council acknowledges the positive contribution that Singer Station continues to make to the local cultural landscape, helping to celebrate the area's heritage while inspiring future generations of performers and creatives. Page 7
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Therefore, Council agrees to congratulate everyone involved in Singer Station and Breaking the Mould on their success, thank them for their contribution to the cultural life of West Dunbartonshire, and wish them every success in their future productions and endeavours. (f) Motion by Councillor Sophie Traynor – Stepping Stones Council recognises that Stepping Stones is an invaluable organisation here in West Dunbartonshire. They have built up a network of peer led support that has been instrumental in helping people improve their mental health and has been a lifeline in many of our residents’ darkest days. In this their 35th anniversary year Council congratulates Stepping Stones on all they have achieved and wishes them every success in their essential work. Council asks that a civic reception be organised as a token of our thanks to this organization. Page 8
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WEST DUNBARTONSHIRE COUNCIL At a Hybrid Meeting of West Dunbartonshire Council held in the Civic Space, 16 Church Street, Dumbarton on Wednesday, 17 June 2026 at 4.00 p.m. Present: Provost Karen Murray Conaghan, and Councillors Jim Bollan, Kevin Crawford, Ian Dickson, Diane Docherty, Gurpreet Singh Johal, Daniel Lennie, David McBride, Michelle McGinty, June McKay, John Millar, Lawrence O’Neill, Lauren Oxley, Chris Pollock, Martin Rooney, William Rooney, Gordon Scanlan, Hazel Sorrell, Clare Steel and Sophie Traynor. Attending: Peter Hessett, Chief Executive; Laurence Slavin, Chief Officer – Resources, and Section 95 Officer; Graeme Forrester, Manager of Democratic and Registration Services (Legal Officer); Amanda Graham, Chief Officer – Citizen, Culture and Facilities; Victoria Rogers, Chief Officer – People and Technology; Peter Barry, Chief Officer – Housing Services; Gail Macfarlane, Chief Officer – Roads and Neighbourhood; Gillian Hamilton, Chief Officer – Education; Beth Culshaw, Chief Officer – West Dunbartonshire Health and Social Care Partnership (HSCP); Julie Slavin, Chief Financial Officer; Carol Alderson, Finance Manager; Michelle Lynn, Asset Manager; Michael Mulgrew, Planning, Building Standards and Environmental Health Manager; and Carol-Ann Burns, Senior Democratic Services Officer. Also Attending: Caleb Oguche, External Audit Senior Manager, and Gillian McConnachie, Shared Chief Internal Auditor, Forvis Mazars. Apologies: Apologies for absence were intimated on behalf of Councillors Fiona Hennebry and Jonathan McColl. Provost Karen Murray Conaghan in the Chair STATEMENT BY CHAIR – AUDIO STREAMING Provost Murray Conaghan advised that the meeting was being audio streamed and broadcast live to the internet and would be available for playback. ITEM 5 Page 9
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DECLARATIONS OF INTEREST It was noted that there were no declarations of interest in any of the items of business on the agenda. URGENT ITEMS OF BUSINESS; MOTION BY COUNCILLOR LAUREN OXLEY – ‘CELEBRATING JOHN MCGINN AND SCOTLAND’S HISTORIC WORLD CUP VICTORY’ AND MOTION BY COUNCILLOR MICHELLE MCGINTY – ‘CONGRATULATIONS TO RENTON BOXER CAITLIN RAINEY’ The Provost advised that she had accepted requests from Councillors Oxley and McGinty for motions concerning, respectively, John McGinn and Caitlin Rainey. The Provost advised that these items would be considered at the end of the meeting. RECORDING OF VOTES The Council agreed that all votes taken during the meeting would be carried out by roll call vote to ensure an accurate record. OPEN FORUM The Council noted that no open forum questions had been submitted by members of the public. MINUTES OF PREVIOUS MEETING The Minutes of Meeting of West Dunbartonshire Council held on 29 April 2026 were submitted and approved as a correct record. MINUTES OF MEETING OF AUDIT COMMITTEE The Minutes of Meeting of the Audit Committee held on 18 February 2026 were submitted and noted and all decisions contained therein were approved. Page 10
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DC24/108/PPP: ERECTION OF RESIDENTIAL-LED (CLASS 8, CLASS 9 AND SUI GENERIS) MIXED USE DEVELOPMENT INCLUDING CLASS 1A (RETAIL), CLASS 3 (RESTAURANTS AND CAFES), SUI GENERIS HOT FOOD TAKEAWAYS/PUBLIC HOUSES, CLASS 4 (OFFICE), CLASS 10 (NON RESIDENTIAL INSTITUTIONS) AND CLASS 11 (LEISURE) WITH ASSOCIATED OUTDOOR SPACE AND PUBLIC REALM WORKS, ACCESS, LANDSCAPING, PARKING AND INFRASTRUCTURE AT ARTIZAN CENTRE, COLLEGE WAY, DUMBARTON BY WEST DUNBARTONSHIRE COUNCIL A report was submitted by the Chief Officer – Regulatory and Regeneration seeking determination of a planning application for a national development, the site of which sits within the Clyde Mission area as set out in National Planning Framework 4, and therefore, under the terms of the approved Scheme of Delegation, was required to be determined by Full Council. After discussion and having heard the Planning, Building Standards and Environmental Health Manager in further explanation and in answer to Members’ questions, the Council agreed:- (1) to approve the application subject to the conditions set out in Section 9 of Appendix 1 to the report (shown as Appendix 1 to these Minutes); and (2) to note: (i) that by so having determined to approve the application, subject to conditions, the application would require to be notified to the Scottish Ministers under The Town and Country Planning (Notification of Applications) (Scotland) Direction 2009 as SEPA had objected in principle to the development; (ii) should West Dunbartonshire Council remain consenting authority for the application, a notification to Scottish Ministers under the Town and Country Planning (Notification of Applications) (10 or more homes on non-allocated land) (Scotland) Direction 2025 would be required. FINANCIAL UPDATE A report was submitted by the Chief Officer – Resources providing an update on the financial challenges facing the Council and the estimated 2027/28 to 2031/32 revenue budget gaps. After discussion and having heard the Chief Officer – Resources in further explanation and in answer to Members’ questions, the Council agreed to note the updated position regarding projections for the Council’s estimated revenue budget gaps in 2027/28-2031/32, particularly the updated estimated mid-range 2027/28 budget gap of £10.005m. Page 11
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2025/26 UNAUDITED WEST DUNBARTONSHIRE COUNCIL AND COMMON GOOD AND TRUST ANNUAL ACCOUNTS A report was submitted by the Chief Officer – Resources providing a copy of the unaudited 2025/26 West Dunbartonshire Council Annual Accounts and information regarding the 2025/26 outturn as set out in the draft accounts. After discussion and having heard the Chief Officer – Resources in further explanation and in answer to Members’ questions, the Council agreed:- (1) to note the outcome of the self-evaluation process in considering how the Council currently meets the agreed Code of Good Governance, together with the issues identified and improvement actions; (2) to approve the actions identified by management in the Annual Governance Statement to improve internal controls; (3) to note the unaudited 2025/26 West Dunbartonshire Council Annual Accounts which incorporates the Annual Governance Statement; (4) to note the unaudited 2025/26 Common Good and Trust Funds Annual Accounts; and (5) to delegate authority to the Audit Committee to formally approve the audited accounts. AUDITED 2024/25 WEST DUNBARTONSHIRE COUNCIL ANNUAL ACCOUNTS Members noted that it had not been possible for a report on this matter to be provided in time for the present meeting and that the report would instead be submitted to the Meeting of Council being held on 26 August 2026. 2024/25 WEST DUNBARTONSHIRE COUNCIL ANNUAL AUDIT REPORT Members noted that it had not been possible for a report on this matter to be provided in time for the present meeting and that the report would instead be submitted to the Meeting of Council being held on 26 August 2026. GENERAL SERVICES REVENUE BUDGETARY CONTROL REPORT TO 31 MARCH 2026 (DRAFT OUTTURN) A report was submitted by the Chief Officer – Resources advising on the draft outturn position of the 2025/26 Revenue Budget and the level of the General Fund Reserve as at 31 March 2026. Having heard the Chief Officer – Resources in further explanation, the Council agreed:- Page 12
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(1) to note the overall favourable variance (underspend) on the General Fund Revenue Budget of £7.236m, an improvement in forecast of £4.090m since last reported (£3.146m); (2) to note a projected favourable variance (underspend) on the General Services Delivery Budget of £1.797m (0.60% of total budget), an improvement in forecast of £2.108m since last reported (£0.311m adverse at period 10); (3) to note a projected in-year use of earmarked reserves of £3.027m, offset by a transfer in of £8.439m to earmarked reserves and a transfer from unearmarked reserves of £1.173m thus increasing the overall forecast earmarked balance to £15.406m; and (4) to approve the transfer from free reserves of £2.260m to the Early Severance/Voluntary Early Retirement Reserve and £1.180m to the Smoothing Fund. GENERAL SERVICES CAPITAL BUDGETARY CONTROL REPORT 2025/26 TO 31 MARCH 2026 (DRAFT OUTTURN) A report was submitted by the Chief Officer – Resources providing the draft outturn on the General Services capital financial performance to 31 March 2026. After discussion and having heard the Chief Officer – Resources in further explanation and in answer to Members’ questions, the Council agreed:- (1) to note the draft outturn of the 2025/26 General Services capital budget; (2) to note the recurring budget underspend and 8 completed projects detailed in Appendix 2 to the report; and (3) to note the reprofiling of the budgets of 50 projects noted in Appendix 3 to the report (£10.264m) over the project life. HOUSING REVENUE ACCOUNT OUTTURN FOR FINANCIAL YEAR 2025/2026 A report was submitted by the Chief Officer – Resources advising of the Housing Revenue Account outturn position for 2025/2026. After discussion and having heard the Chief Officer – Resources in further explanation and in answer to Members’ questions, the Council agreed:- (1) to note the HRA outturn 2025/26 surplus of £0.512m, a projected favourable variance (underspend) of £0.477m; and (2) to note the 31 March 2026 HRA reserve position of £1.122m which was £0.038m below the HRA prudential target of £1.160m. Page 13
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HOUSING REVENUE ACCOUNT CAPITAL OUTTURN FOR FINANCIAL YEAR 2025/2026 A report was submitted by the Chief Officer – Resources advising of the Housing Revenue Account capital outturn position for 2025/2026. Having heard the Chief – Resources Officer in further explanation, the Council agreed to note the outturn position against the 2025/26 HRA capital plan. CREMATORIUM A report was submitted by the Chief Officer – Roads and Neighbourhood providing the information requested in the amendment agreed at the Infrastructure, Regeneration and Economic Development Committee meeting on 20 May 2026 in relation to weekend access to the Hall of Remembrance at Clydebank Crematorium. SUSPENSION OF STANDING ORDERS Having heard the Provost and following discussion, the Legal Officer advised that a suspension of Standing Order 29(c) would be required to be agreed in order that a proposed motion by Councillor Bollan could be considered. The Council agreed the suspension of the Standing Order. ADJOURNMENT The Provost adjourned the meeting for a short recess. The meeting reconvened at 5.00 p.m. with all those Members and officers listed in the sederunt present. After discussion and having heard from the Chief Executive, Councillor McBride moved:- That the Council agrees:- (1) to note the actions taken by the Service to deliver the saving option agreed in March 2026; (2) to note the costs set out within paragraph 4.6 of the report; and (3) to reinstate access to view the Book of Remembrance on Saturdays and Sundays with additional costs to be funded from reserves. As an amendment, and noting that any potential additional costs would be funded from reserves, Councillor Bollan moved:- Council agrees to reverse the cut made to Crematorium Services on 4.3.2026 contained in Ref 2627 RNO6. Page 14
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The reason for this proposal is that the report presented was incomplete by not advising Council that the saving of £480 per week was against an income of around £1,542 per week for a Saturday, resulting in a loss of income to WDC of around £53,000 a year. This is an extremely sensitive issue for the public in West Dunbartonshire and it is important that the Council correct the situation by re-instating the cremation services on a Saturday. While the additional income of around £53,000 a year for WDC is welcome, the increased service to bereaved families is hugely more important. Councillor Martin Rooney then seconded Councillor McBride’s motion, and Councillor McKay seconded Councillor Bollan’s amendment. On a roll call vote being taken between the amendment (Councillor Bollan) and the motion (Councillor McBride), 13 Members voted for the amendment, namely Provost Murray Conaghan and Councillors Bollan, Crawford, Dickson, Docherty, Lennie, McKay, O’Neill, Oxley, Pollock, Scanlan, Steel and Traynor, and 7 Members voted for the motion, namely and Councillors Singh Johal, McBride, McGinty, Millar, Martin Rooney, William Rooney and Sorrell. The amendment was accordingly declared carried. VACANCIES ON COUNCIL COMMITTEES A report was submitted by the Chief Officer – Regulatory and Regeneration requesting the Council fills the current list of vacancies on council committees, working groups, joint boards and outside bodies. After discussion, Councillor Scanlan moved:- Council notes the vacant spaces on committees, outside bodies and working groups. Council proposes the following elected members to fill the following vacancies:- Audit Committee – Provost Karen Murray Conaghan. Cultural Committee – Councillor Kevin Crawford. Educational Services Committee – Councillor Chris Pollock. Planning Committee and Local Review Body –- Councillor Sophie Traynor. West Dunbartonshire Health and Social Care Partnership (Joint Board) & HSCP Audit and Performance Committee – Councillor Sophie Traynor. Page 15
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West of Scotland Archaeology Service Joint Committee - Councillor Chris Pollock. Visitor Levy Advisory Forum – Councillor Ian Dickson. North Strathclyde Area Support Team (local authority member) - Councillor Lauren Oxley. Councillor Martin Rooney asked Councillor Scanlan if he would be willing to accept the following addendum to his motion:- Educational Services Committee – Councillor Jonathan McColl. Licensing Committee – Councillor Jonathan McColl. Cost of Living Working Group – Councillor Jonathan McColl. Visitor Levy Advisory Forum – Councillor Martin Rooney and Cllr David McBride. Councillor Scanlan confirmed his acceptance of the addendum, and the Council agreed the motion with addendum. NOTICE OF MOTIONS Motion by Councillor William Rooney – 10 Years of Clydebank Men’s Shed Clydebank Men’s Shed will celebrate its tenth anniversary with an open day on the 5th of August 2026. The Men’s Shed was established in 2016 and is marking ten years of supporting men in Clydebank and beyond. Clydebank Men’s Sheds plays an important role as community hub where men connect through shared activities, foster solidarity, and form lasting friendships. Over the last decade, it has been vital to help to tackle isolation and support mental health and wellbeing. Council agrees to recognise and promote the positive impact Clydebank Men's Shed has had on men’s health and wellbeing over the past ten years, and we recognise the work of all those involved and wish them continued success over the coming years. The Council agreed the motion. Page 16
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Motion by Councillor Hazel Sorrell – Marking Twenty Years of Haldane Youth Services Haldane Youth Services is a registered charity providing afterschool activities and youth provision for children and young people aged 4–24 in West Dunbartonshire. This year the group will celebrate two decades of dedicated service to children, young people, families, and the wider community across West Dunbartonshire. Haldane Youth Services aim is to make a positive and lasting difference to the lives of young people and their families by: Raising aspirations and broadening horizons. Encouraging confidence and increasing self-esteem. Giving young people a voice within their community. Rewarding commitment and positive social interaction. Supporting young people to make healthy lifestyle choices. The group also work closely with local primary and secondary schools to ensure our support is accessible, familiar, and rooted in the community. Since opening in 2006, Haldane Youth Service has grown from a small volunteer-led project into a trusted community organisation delivering high-quality programmes that promote wellbeing, confidence, leadership, and positive futures. The Council notes that Haldane Youth Services is celebrating its 20th Anniversary, on Saturday 27th June at the Annex Building Old Jamestown Primary, Main Street, Jamestown. Finally, this Council thanks all the staff and the volunteers - past and present - for all they have done over the past twenty years to help make Haldane Youth Services such a great success. The Council agreed the motion. URGENT MOTIONS Motion by Councillor Lauren Oxley – Celebrating John McGinn and Scotland's Historic World Cup Victory Council notes with immense pride that Clydebank’s own John McGinn scored the goal that secured Scotland’s first World Cup victory for the men’s team since 1990 - a historic moment for our country. Page 17
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McGinn is a proud Bankie who has gone on to build an inspirational career in football, playing in the Premier League and being called up to play for Scotland’s National Team on more than 50 occasions. Throughout his success, he continues to return to his hometown and has been a consistent supporter of local schools, businesses and organisations. His affection for Clydebank and the local people who have supported him throughout his journey was also highlighted in the recent BBC documentary “In Search of the Beautiful Game”, hosted by fellow Bankie Kevin Bridges, in which they revisited some of the places that helped shape them and put the town on the map. McGinn’s journey from local pitches in Clydebank to representing Scotland on the world stage is an inspiration to children and young people across West Dunbartonshire. It demonstrates that with hard work and perseverance, young people achieve their dreams and aspirations, regardless of where they come from. Council congratulates John McGinn and the entire Scotland squad on their historic win and wishes them the best of luck for the remainder of the tournament. The Council agreed the motion. Motion by Councillor Michelle McGinty – Congratulations to Renton Boxer Caitlin Rainey That this Council congratulates Caitlin Rainey, an outstanding boxer from Renton, on her selection to represent Team Scotland at the Commonwealth Games in Glasgow this summer. The Council recognises that Caitlin has earned her selection through hard work, dedication, and exceptional sporting talent, including winning a bronze in the European Under-23 Championships in 2024. Understands that Caitlin is one of eleven boxers, five of them women who will make their Boxing debut at the games. Caitlin's achievement is not only a source of real pride to her family, Renton and wider West Dunbartonshire but brings real inspiration to young people, especially young women in our local area. The Council wishes Caitlin every success as she prepares to compete in Glasgow 2026 and looks forward to watching her journey in the competition. The Council agreed the motion. DATE OF NEXT MEETING Members are requested to note that the next ordinary meeting of West Dunbartonshire Council is scheduled to be held on 26 August 2026. Page 18
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The meeting closed at 5.52 p.m. Page 19
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APPENDIX 1 9. CONDITIONS 1. The development to which this permission relates must be commenced no later than eight years from the date of this permission. Reason: To be in compliance with Section 59(2A) (b) of the Town and Country Planning (Scotland) Act 1997, as amended. 2. That prior to the submission of the first application for the approval of matters specified by condition, a detailed phasing plan for the entire application site showing the relevant phases and anticipated timescales for the development of each phase, and the inter-relationship of the phases shall be submitted for the further approval of the Planning Authority. All applications for the approval of matters specified by condition shall thereafter either demonstrate compliance with the agreed phasing plan or include an updated phasing plan for approval. Development shall at all times proceed in accordance with the most up- to-date approved phasing plan unless otherwise first agreed in writing by the Planning Authority. Reason: To ensure the appropriate phasing for the comprehensive delivery of the development of the site. 3. No development shall commence within any phase of the development until such time as approval of the detailed design, layout and other matters associated with that development phase, (hereinafter called "the matters specified in conditions") has been granted by the Planning Authority. These matters are as follows: a. the siting, design, external appearance and external materials of all buildings and other structures, including floor plans and elevations. Full specifications of all materials must be submitted and samples submitted to the Planning Authority on request. the means of access to, and layout of, the site, including car parking provision inclusive of disabled bays, and the provision of electric vehicle charging, cycle parking provision and servicing arrangements in so far as is required. b. the details of, and timetable for, the implementation of the hard and soft landscaping for the site, including details of maintenance arrangements. c. full details of the design and location of all boundary walls and fences. d. details of existing and proposed site levels and site sections. e. details of flood mitigation measures. f. the provision of surface water drainage works incorporating Sustainable Drainage Systems (SuDS). For the avoidance of doubt, the submitted details shall be in accordance with CIRIA C753, the SUDS Manual and Sewers for Scotland This shall also demonstrate that all surface water is intercepted within the site. g. the disposal of sewerage. h. details of the storage and collection of waste and recycling from the development. i. detailed information on biodiversity enhancement measures to be incorporated into the development. j. details of tree protection during the construction phase. k. full details of the incorporation of low and zero carbon infrastructure into the development. Page 20
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l. an updated noise impact assessment specifically considering the detail of the development comprising that phase and any required noise mitigation measures shall be submitted. m. an updated air quality assessment specifically considering the detail of the development comprising that phase and any required air quality mitigation measures shall be submitted. n. a detailed report on the extent, scale and nature of any contamination for each development parcel/phase shall be carried out with a detailed remediation strategy and implementation plan detailing the measures necessary to bring the site to a condition suitable for the intended use. o. A Green and Active Travel Plan. Reason: In order to ensure that the development is of an acceptable appearance and character and that all associated technical issues are addressed. 4. That as part of the first application for matters specified by condition as required in connection with condition 3, a site-wide water environment investigation and assessment shall be submitted to and approved in writing by the Planning Authority. The report shall be prepared by a suitably qualified person and as a minimum shall include the following: a. Suitable and sufficient monitoring from across the entire site in order to identify the extent, scale and nature of contamination with regards to the water environment. b. An appropriate level of assessment in accordance with current guidance that identifies the key receptors and the significance of any pollutant linkages found to be present. Should a significant pollutant linkage be identified on the site then a site wide preliminary remedial options appraisal is to be provided that demonstrates whereabouts on the site remediation is considered likely. Any measures identified in the report shall be implemented as approved within a timescale agreed with the Planning Authority. Reason: To protect the wider environment and to ensure that the site is suitable for its intended use. 5. If there is a requirement to either re-use site won material or to import material then the assessment criteria and sampling frequency that would adequately demonstrate its suitability for use shall be submitted to and approved by the Planning Authority prior to any material being re-used or imported. In addition to this and in accordance with BS3882:2015 and BS8601:2013, material to be used in the top 300mm shall also be free from metals, plastic, wood, glass, tarmac, paper and odours. On completion of the works and at a time and or phasing agreed by the Planning Authority, the developer shall submit a verification report containing details of the source of the material and appropriate test results to demonstrate its suitability for use. Reason: To protect public health and to ensure that the site is suitable for its intended use. 6. The presence of any previously unexpected contamination that becomes evident during the development of the site shall be reported to the Planning Authority in Page 21
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writing within one week, and work on the site shall cease. At this stage, if requested by the Planning Authority, an appropriate investigation and risk assessment shall be undertaken and a remediation scheme shall be submitted to and approved by the Planning Authority prior to the recommencement of site works. The approved details shall be implemented as approved. Reason: To protect public health and to ensure that the site is fit for its intended use. 7. That all surface water shall be intercepted within the site both during construction and on completion of the development. Full details of measures to ensure that surface water run-off is contained within the site shall be submitted to and approved in writing by the Planning Authority prior to the commencement of any works on site. The measures shall be implemented and maintained as approved. Reason: In the interest of management of surface water and drainage infrastructure. 8. Notwithstanding condition 3 above, no residential property shall be occupied until the contents of a Travel Information Pack which encourages reduced dependency on the private car by highlighting the location of local amenities, public transport services and active travel routes is submitted to and approved in writing by the Planning Authority. Thereafter, on the occupation of each residential property, the approved Travel Information Pack shall be provided to new residents. Reason: In the interests of encouraging sustainable travel habits 9. That unless otherwise first agreed in writing by the Planning Authority as part of any application for maters specified by condition for any phase of the development, a Construction Traffic Management Plan shall be submitted which shall include, but shall not necessarily be limited to the following: a. A construction programme b. details of wheel washing and road cleaning; c. hours of operation of site traffic; d. construction vehicle routes; e. prohibited routes; f. hours of deliveries; g. access to the site; h. construction traffic signage; i. parking locations of construction vehicles, site operatives and contractors which shall include staff parking out with the public road. Thereafter, construction traffic shall be managed in accordance with the approved arrangements at all times unless first otherwise agreed in writing by the Planning Authority. Reason: To ensure all matters relating to construction traffic are managed in an appropriate manner in the interests of road and pedestrian safety. 10. That unless otherwise first agreed in writing by the Planning Authority as part of any application for maters specified by condition for any phase of the development, a Construction Environmental Management Plan (CEMP) shall be Page 22
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submitted to and approved in writing by the Planning Authority. The CEMP shall include: a. A site specific CEMP outlining the details of all construction works and mitigation to be undertaken in relation to that phase together with an indicative timetable of activities. a. Hours of work associated with that phase for all works and ancillary operations (including piling) which are audible at the site boundary (or at such other place(s) as may first be agreed in writing with the Planning Authority) b. The hours of all delivery and other traffic arriving and leaving the site. c. A site waste management plan (dealing with all aspects of waste produced during the construction period) d. Details of the formation of the construction compound, welfare facilities, materials storage areas and stockpiles, car parking, compound lighting and boundary fencing e. A drainage management strategy for the site and a detailed drainage f. management plan, addressing the management of surface, ground and wastewater arising during construction. This shall demonstrate that all surface water is intercepted within the site during the construction period. g. Details for the sewage disposal and/or treatment from onsite welfare facilities The CEMP for each phase of the development shall thereafter be implemented on site as approved unless otherwise first agreed in writing by the Planning Authority. Reason: To ensure that construction is undertaken in an appropriate manner and to protect the amenity of nearby residents during the construction period. 11. No piling works shall be carried out until a method statement has been submitted to and approved in writing by the Planning Authority. This statement shall include an assessment of the impact of the piling on surrounding properties, taking into account the guidance contained in BS 6472-1: 2008 'Evaluation of Human Response to Vibration in Buildings'. It shall detail any procedures which are proposed to minimise the impact of noise and vibration on the occupants of surrounding properties. This statement shall be prepared by a suitably qualified person, and the piling works shall thereafter be carried out in accordance with the approved method statement. Reason: To minimise noise and disturbance to neighbouring residents/occupants during construction. 12. Unless otherwise approved in writing by the Planning Authority, no development shall commence on site until such time as a scheme for the control and mitigation of dust has been submitted to and approved in writing by the Planning Authority. The scheme shall identify likely sources of dust arising from the development or its construction and shall identify measures to prevent or limit the occurrence and impact of such dust. The approved scheme shall thereafter be implemented fully prior to any of the identified dust generating activities commencing on site and shall be maintained thereafter, unless otherwise approved by the Planning Authority. Reason: To minimise the occurrence of dust, in the interests of the amenity of the area. Page 23
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13. That as part of the first application for matters specified by condition as required in connection with condition 3, full details of the implementation of a programme of archaeological works in accordance with a written scheme of investigation be submitted for consideration by the Planning Authority in consultation with the West of Scotland Archaeology Service. Thereafter the developer shall ensure that the programme of archaeological works is fully implemented as agreed and that all recording and recovery of archaeological resources within the development site is undertaken to the satisfaction of the Planning Authority in agreement with the West of Scotland Archaeology Service. Reason: In the interests of the recording of antiquity. 14. All recommendations set out in Chapter 5 of the Preliminary Ecological Appraisal Report dated 21st February 2024 shall be followed to the satisfaction of the Planning Authority inclusive of the requirement for further survey work as may be required to inform any future application for approval of matters specified by condition under condition 3 above. Reason: In the interests of the protection of biodiversity. 15. Prior to the occupation of the first residential property within the site, the developer shall install the necessary infrastructure to enable the full development and all associated properties to be connected to the existing fibre optic network, where available in West Dunbartonshire, and in accordance with the relevant telecommunications provider’s standards. Reasons: In the interests of providing effective telecommunications connections. Page 24
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WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer – Resources Council: 26 August 2026 ___________________________________________________________________ Subject: 2024/25 West Dunbartonshire Council Annual Audit Report 1. Purpose 1.1 The purpose of this report is to present West Dunbartonshire Council’s (the Council) 2024/25 Annual Audit Report to Members and Controller of Audit prior to approving the 2024/25 Audited Annual Accounts for the Council. 1.2 The report provides Members with an update on the external audit of the Council’s Annual Accounts for the year ended 31 March 2025. 2. Recommendations 2.1 Members are requested to consider the Annual Audit Report to Members and Controller of Audit 2024/25 for the Council – Appendix 1 to this report. 3. Background 3.1 Forvis Mazars (Mazars) have been appointed as the Council’s external auditors from financial year 2022/23 for a period of five years. 3.2 The Council’s unaudited 2024/25 Annual Accounts, including the Group Accounts, were reported to Council on 18 June 2025 and submitted to the Accounts Commission on 28 June 2025, in accordance with established deadlines. 3.3 As the external auditor of the Council, it is Mazar’s responsibility to undertake their audit work in accordance with International Standards on Auditing, the principles contained in the Code of Audit Practice issued by Audit Scotland in June 2021 and the ethical standards issued by the Auditing Practices Board. 4. Main Issues 4.1 The audit of the 2024/25 accounts is substantially complete; however, the Annual Audit Report identifies that, at the time of preparing the report, some minor matters remain outstanding. In addition, Mazars have noted they expect to issue an unqualified opinion on the annual accounts. 4.2 The findings of the audit are contained within the annual audit report for which is appended to this report (Appendix 1). ITEM 8 Page 25
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4.3 The report confirms that the audit work performed has not identified any significant control deficiencies and has identified one material misstatement which has been corrected. This is detailed on page 7 of the external auditor’s report (Appendix 1). 4.4 The report identifies eight recommendations for improvement for the Council (see Appendix A of the Annual Audit Report). The report also details the Council’s management responses in relation to these recommendations and provides an update on the recommendations identified in the 2022/23 or 2023/24 Annual Audit Report (six of which have been noted as complete). 4.5 Any recommendations for improvement set out in the annual audit report are of reduced value, as we have been unable to incorporate them into the 2025/26 financial year as they were communicated too late and as resources are tied up responding to audit queries there is limited time to implement changes. 4.6 The Audit Opinion is detailed on page 5 of the report which advises that Mazars expect to issue an unqualified opinion on the Council’s Annual Accounts and the Charities Annual Accounts. 4.7 Page 27 of the report makes reference to two uncorrected misstatements: Forvis Mazars has estimated a £4.299m overstatement in housing stock valuation because the social housing discount was not applied to the market-value of buy-back properties held on the balance sheet. The Council has made the decision not to adjust the value, as the external valuer advised that the EUV-SH methodology is complex and requires full recalibration of Beacon assumptions, rent differentials and asset-type inputs, rather than a desktop adjustment based on high- level indices. As the buy-backs will be reflected in the full valuation of housing stock as at 31 March 2026 , and given the uncertainty over the reliability of the audit estimate, this has been left as an unadjusted audit difference. A £1.061m balance sheet adjustment to adjust the carrying value of the Council’s PPP and Finance Lease liabilities due to updates to the PPP and DBFM accounting models. 4.8 Page 107 of the Annual Audit Report makes reference to the potential of additional fees being charged as a consequence of ‘overruns’. There is a process by which Mazars need to make representation to Audit Scotland to justify charging additional fees, after which the Council will be contacted. Council will be aware that the Chief Executive has formally raised dissatisfaction with the Mazars audit in previous years and formally requested a rebate on previous audit fees which neither party agreed to. Any claim for additional fees due to overruns will be initially reviewed by the Chief Officer Page 26
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Resources to assess the reasonableness of the claim and ensure the root cause of any overrun is properly identified and apportioned. 5. People Implications 5.1 There are no people implications in relation to this report. 6. Financial and Procurement Implications 6.1 There are no financial and procurement implications in relation to this report. 7. Risk Analysis 7.1 No risk analysis was required 8. Equalities Impact Assessment (EIA) 8.1 No equalities impact was required in relation to the production of this report. 9. Consultation 9.1 The views of all Chief Officers have been requested on this report and feedback incorporated herein. 10. Strategic Assessment 10.1 The report is in relation to a statutory function. As such, it does not directly affect any of the strategic priorities Laurence Slavin Chief Officer – Resources Date: 13 August 2026 Person to Contact: Carol Alderson, Finance Manager Email: carol.alderson@west-dunbarton.gov.uk Appendices: Appendix 1 – Proposed 2024/25 Annual Audit Report Background Papers: Draft Annual Accounts 2024/25 to Council – 17 June 2025 Page 27
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Annual Audit Report West Dunbartonshire Council– year ended 31 March 2025 August 2026 APPENDIX 1 Page 28
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Annual Audit Report Letter Audit Committee West Dunbartonshire Council 16 Church Street [Dumbarton G82 1QL 12 August 2026 Forvis Mazars 100 Queen Street Glasgow G1 3DN Dear Committee Members and Controller of Audit, Annual Audit Report – Year ended 31 March 2025 We are pleased to present our Annual Audit Report for West Dunbartonshire Council for the year ended 31 March 2025. The purpose of this report is to summarise our audit findings and conclusions. This report has been prepared in accordance with the responsibilities set out within the Audit Scotland’s Code of Audit Practice (“the Code”). This report is intended solely for the Audit Committee for the purpose of communicating certain matters that, in our professional judgement, are relevant to your oversight of the financial reporting process. Except where required by law or regulation, it should not be used, quoted or made available to any other parties without our prior written consent. We appreciate the courtesy and co-operation extended to us by West Dunbartonshire Council throughout our audit. We would be happy to discuss the contents of this report, or any other matters regarding our audit, with you in more detail. Yours faithfully Tom Reid Forvis Mazars LLP Forvis Mazars LLP – 100 Queen Street, Glasgow- G1 3DN Tel: 0141 227 2400 – www.forvismazars.com/uk Forvis Mazars LLP is the UK firm of Forvis Mazars Global, a leading global professional services network. Forvis Mazars LLP is a limited liability partnership registered in England and Wales with registered number OC308299 and with its registered office at 30 Old Bailey, London, EC4M 7AU. Registered to carry on audit work in the UK by the Institute of Chartered Accountants in England and Wales. Details about our audit registration can be viewed at www.auditregister.org.uk under reference number C001139861. VAT number: GB 839 8356 73Page 29
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 3 Contents 01 Executive summary 02 Status of our audit 03 Audit approach and risk summary 04 Significant findings 05 Significant control deficiencies 06 Summary of misstatements 07 Fraud considerations 08 Wider Scope 09 Best Value Appendix A: Internal control conclusions Appendix B: Draft management representation letter Appendix C: Draft audit report Appendix D: Confirmation of our independence Appendix E: Other communications Appendix F: Wider scope and Best Value ratings This document is to be regarded as confidential to West Dunbartonshire Council. It has been prepared for the sole use of the Audit Committee as the appropriate sub-committee charged with governance by the Council. No responsibility is accepted to any other person in respect of the whole or part of its contents. Our written consent must first be obtained before this document, or any part of it, is disclosed to a third party. Page 30
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Please adhere to these instructions when utilising this slide: You have the flexibility to choose a colour for the background of the cover pages, divider slides, and closing slides from the following options: - white, - Indigo Dye, - True Blue, - or any colour from the ‘Vision’ colours palettes (see slide 2). 01Executive Summary Page 31
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 5 Executive summary Scope We have been engaged to audit the financial statements of West Dunbartonshire Council for the year ended 31 March 2025 which are prepared in accordance with the Code of Practice on Local Authority Accounting in the United Kingdom 2024-25. We have conducted our audit in accordance with International Standards on Auditing (UK) (‘ISAs’), relevant ethical and professional standards, and the requirements set out in the Audit Scotland’s Code of Audit Practice 2021. Our responsibilities and powers are derived from our appointment by the Accounts Commission under the Part VII of the Local Government (Scotland) Act 1973. Audit status Our audit procedures are now substantially complete for the year ended 31 March 2025. Please refer to the ‘Status of our audit’ section for a list of significant audit matters outstanding at the date of this report. We will provide an update to the Audit Committee on completion of those outstanding matters through our final annual audit report. Areas of focus and audit approach, and significant findings We made no changes to our initial risk assessment and one change to our planned group audit approach that was communicated to the Audit Committee in our Annual Audit Plan. Please see page 14 for details. Our significant risks and other areas of focus, are set out in the ‘Audit approach and risk summary’ section, with a summary of our audit approach over those areas. Significant findings from our audit are set out in the ‘Significant findings’ section. Significant control deficiencies We did not identify any significant deficiencies in internal control. The non-significant control observations that we have identified to date are set out in ‘Appendix A: Internal control conclusions’. Audit misstatements A summary of the adjusted and unadjusted misstatements above our reporting threshold, we have identified, is set out in the ‘Summary of misstatements’ section. We identified one material misstatement which was adjusted by management. This related to an increase in Public Private Partnership and Finance Lease Liabilities resulting from IFRS 16 remeasurement. See page 7 for full details. Audit opinion At the time of issuing this report and subject to the satisfactory conclusion of our remaining audit work, we anticipate issuing an unqualified opinion, without modification, as set out in Appendix C. Wider scope We identified a significant risk in relation to financial sustainability but anticipate having no significant risks to report in relation to the financial management; vision, leadership and governance; and use of resources to improve outcomes arrangements that the Council has in place. Further details have been provided in section ‘Wider scope and Best Value’ of this report. Page 32
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 6 Executive summary (continued) Best Value We anticipate having no risks in arrangements to report in relation to the arrangements that the Council has in place to secure economy, efficiency and effectiveness in its use of resources. Further details have been provided in section ‘Wider scope and Best Value’ of this report. Management Commentary and Annual Governance Statement opinion We anticipate that we will have no matters to report in respect of the Management Commentary or the Annual Governance Statement preparation as it is consistent with the financial statements and has been prepared in accordance with statutory guidance issued under the Local Government in Scotland Act 2003 and Delivering Good Governance in Local Government Framework 2016. Our proposed Management Commentary and Annual Governance Statement opinion is included in the draft auditor’s report in Appendix C. Matters on which we report by exception We are required by the Accounts Commission for Scotland to report to you if, during the course of our audit, we have found that adequate accounting records have not been kept; the financial statements and the audited part of the Remuneration Report are not in agreement with the accounting records; or we have not received all the information and explanations we require for our audit. We have nothing to report in respect of these matters. Other information We are required to report on whether the other information (comprising of the Management Commentary, Annual Governance Statement, Statement of Responsibilities and the unaudited parts of the Remuneration and Staff Report), is materially inconsistent with the financial statements; is materially inconsistent with our knowledge obtained in the course of the audit; or is materially misstated. No inconsistencies have been identified and we have issued an unmodified opinion in this respect. Wider reporting powers Section 101 of the Local Government (Scotland) Act 1973 requires us to give any person interested, the opportunity to question us about the accounting records of the Council and to consider any objection made to the accounts. We confirm that no such correspondence from electors has been received. Reporting to the group auditor The Council is below the threshold for auditor assurance set by the Scottish Government for all public bodies in Scotland. We are therefore not required to perform any examination of the Council’s Whole of Government Accounts return. However, we will submit the required assurance statement to the National Audit Office on conclusion of our audit. Page 33
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 7 Executive summary (continued) Qualitative aspects of Council’s accounting practices We have reviewed Council’s accounting policies and disclosures and conclude that they comply with the Code of Practice on Local Authority Accounting in the United Kingdom 2024-25, appropriately tailored to the Council‘s circumstances. Draft accounts were received from the Council on 30 June 2025. Officers provided an updated set of accounts on 1 December 2025 reflecting agreed adjustments from the 2023/24 audit, which was completed on 31 October 2025. The accounts were of reasonable quality; however, we identified several disclosure misstatements through our audit work. See Section 6 for details. We also found issues with the quality of some of the working papers submitted by officers. Significant matters discussed with management During our audit, we communicated the following significant matters to management: Liabilities From Service Concession Arrangements. The Council has a Public Private Partnership (PPP) contract for the provision of three secondary schools and one primary school, and a Design-Build-Finance-Maintain (DBFM) contract for one secondary school. The contracts include the build of the schools as well as their maintenance and provision of related facilities over the period of each contract. Effective from 1 April 2024, Local Authorities are required to adopt the new International Financial Reporting Standard, IFRS 16. This standard introduces a ‘Right of Use’ asset category on the Balance Sheet, along with the recognition of corresponding lease liabilities. The Code of Practice on Local Authority Accounting in the United Kingdom 2024/25 requires local authorities, on adoption of IFRS 16, to reassess and remeasure PPP/PFI liabilities as at 1 April 2024 where the contractual payment profile gives rise to variable lease payments that affect the measurement of the lease liability. Management's initial assessment was that no remeasurement was required on transition to IFRS 16, or at subsequent indexation dates, as the contracts incorporate a fixed annual indexation rate of 2.5%. Management concluded that the lease payments were fixed and therefore did not trigger remeasurement of the PPP lease liability. As part of our audit procedures, we identified that the annual payments were not fixed but linked to the Retail Price Index. Therefore, the arrangements are subject to the remeasurement requirements of IFRS 16. Following this review, officers reassessed the accounting treatment and undertook a remeasurement of the PPP liabilities for both contracts as at 1 April 2024. This resulted in management adjusting lease liabilities and related balances within the financial statements. These had the effect of increasing PPP and Finance Lease Liabilities by £22.0m. The impact of these adjustments is detailed in Section 6 of this report. Page 34
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 8 Executive summary (continued) Significant difficulties during the audit We draw the following matters to your attention and, where appropriate, explain how these matters were overcome. We found issues with the quality of some of the working papers submitted by officers. These included those supporting the leases and exit packages transactions, balances and disclosures, and the consolidation schedules supporting the group accounts. Officers subsequently provided updated working papers which supported the information we were auditing. There were several areas where officers did not provide us with requested working papers and supporting information until later in the audit. These included: • Invoices and bank statements for income and expenditure samples. • Supporting documentation for debtors and creditors samples. • Supporting documentation for assets under construction. • Confirmation of the status of legal matters. We acknowledge the complexity involved in tracing bank statement information for our sampled items. We will continue to work with officers to ensure our requests are clearly communicated. Other matters of significance We encountered no other significant difficulties during our audit and had no significant disagreements with management. There was effective co-operation and communication between Forvis Mazars, management, and the Audit Committee during our audit. All requested information and explanations have been provided to us. Other matters we are required by ISA (UK) 260 Communication with Those Charged with Governance to communicate to you have been set out in Appendix E. Page 35
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Please adhere to these instructions when utilising this slide: You have the flexibility to choose a colour for the background of the cover pages, divider slides, and closing slides from the following options: - white, - Indigo Dye, - True Blue, - or any colour from the ‘Vision’ colours palettes (see slide 2). 02Status of our audit Page 36
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 10 Status of our audit Our audit work is substantially complete and there are currently no matters of which we are aware that would require modification of our audit opinion, subject to the satisfactory resolution of the outstanding matters set out below. Status High - Likely to result in a material adjustment or a significant change to disclosures in the financial statements. Medium - Potential to result in a material adjustment or a significant change to disclosures in the financial statements. Low - Not considered likely to result in a material adjustment or a change to disclosures in the financial statements. N/A - Work on Wider Scope and Best Value arrangements therefore no risk of adjustment to the financial statements. Audit quality control and completion procedures: Our audit work is undergoing the final stages of review. In addition, there are residual procedures to complete, including updating post balance sheet event considerations to the point of issuing the opinion, obtaining final management representations and agreeing adjustments to the final set of accounts. Low Annual Report and Accounts and letter of representation: We will complete our final review of the annual report and accounts upon receipt of the signed version of the accounts and letter of representation. Low Page 37
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Please adhere to these instructions when utilising this slide: You have the flexibility to choose a colour for the background of the cover pages, divider slides, and closing slides from the following options: - white, - Indigo Dye, - True Blue, - or any colour from the ‘Vision’ colours palettes (see slide 2). 03Audit approach and risk summary Page 38
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 12 Audit approach and risk summary Changes to our audit approach Except for the change to our Group audit approach detailed on page 13, there are no other changes to the audit approach we communicated in our Annual Audit Plan, issued on 10 December 2025. Materiality Our provisional materiality at the planning stage of our audit was set at £11.468m for the Council and £11.588m for the Group using a benchmark of 2% of Gross Expenditure at Surplus/deficit on Provision of Services level as per the Annual Audit Plan. Our provisional performance materiality was set at £7.454m for the Council and £8.112m for the Group. Provisional clearly trivial threshold was £0.344m for the Council and £0.348m for the Group. In determining the overall materiality levels, we made the following significant judgements; • that the main users of the financial statements are the Scottish Government, other Local Authorities, Regulators, Elected Members, Local Communities, and other Stakeholders; • that the primary aggregate that users tend to focus on is gross revenue expenditure at surplus/deficit level, as it reflects the extent of services delivered by the Council; • that users of the financial statements and decision makers (the Council, Audit Committee and Scottish Government) have an understanding of the inherent uncertainties around accounting estimates and judgements; • that setting 2% of the chosen benchmark is consistent with the prior period and, as part of our audit, we have gained an understanding that the Council has a well established and experienced finance team capable of applying the relevant accounting standards; and • that Audit Committee members demonstrate an ability to scrutinise financial information at a high level. In determining the performance materiality levels, we made the following significant judgements; • that we are now in the third year of our audit appointment and therefore have a more mature and detailed understanding of the Council’s operations, risks, and financial environment; • that the financial reporting process involves significant journal adjustments, which increases the risk of misstatement; • that the Council has a strong control environment, which reduces the likelihood of pervasive misstatements; • that the Council’s transactions are neither few nor straightforward; • that errors identified in previous audits were not recurring in nature; • that we have not identified significant errors in prior periods; and • management has demonstrated a willingness to promptly identify, disclose, and correct errors. Based on the final financial statement figures, and other qualitative factors listed above, the final overall materiality we applied was £11.806m for the Council and £11.924m for the Group, final performance materiality: £7.674m for the Council and £8.347m for the Group; final clearly trivial threshold: £354k for the Council and £358k for the Group. We maintained a specific materiality of £1k for senior councillors and senior employees' remuneration and pension benefits, £5k (one banding) for other employees' remuneration, and £50k for exit packages disclosed in the Remuneration Report. Page 39
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 13 Group audit approach As set out on the following page, we have made changes to the group audit approach we communicated in our Annual Audit Plan, issued on 10 December 2025. Draft accounts were received from the Council on 1 December 2025. Use of experts We used the work of management experts to assist us to obtain sufficient appropriate audit evidence on specific items of the financial statements as detailed below Audit approach and risk summary (continued) We have provided our consideration of our independence as part of the Council engagement in Appendix C. Itemof account Management’sexpert Our expert Valuation of Property,Plant and Equipment Newmark GeraldEve LLP We did not engage an internal expert but took into consideration relevant information available from third parties. Net Defined Benefit Liability/Surplus Hymans Robertson Weidentified PwC as an auditor’s expert.PwC assisted in providing assurance over pension calculations and assumptions. Wealso identified EY, auditors of theFund Administrator(Strathclyde Pension Fund), as another auditor.Werequested and obtained assurances under Audit Scotland’s protocol. Remeasurement assessment of Liabilities From Service Concession Arrangements MUFG Pension & Market Services We did not engage an internal expert but took into consideration relevant information available from third parties. Financial InstrumentsFair value Calculations and Disclosures MUFG Pension & Market Services We did not engage an internal expert but took into consideration relevant information available from third parties. Page 40
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 14 Audit approach and risk summary (continued) Changes to our audit approach Set out below are the changes we made to our audit approach since we issued our Annual Audit Plan on 10 December 2025. Area Audit approach per the Annual Audit Plan Updated audit approach Reasons for the change in approach West Dunbartonshire Integration Joint Board (IJB) – joint venture / group component In our Annual Audit Plan, we identified the IJB as a material component of the Group. Accordingly, the IJB was scoped in for review as part of our group audit approach. We reassessed the component’s materiality during the audit, and after taking account of consolidation adjustments and the net impact on the group financial statements, we concluded that the IJB is not material to the group. As a result, the component was removed from scope for detailed audit review. The revised assessment reflects further work we carried out to understand the group structure and consolidation process. The IJB is significant on a gross basis, however consolidation adjustments materially reduce its impact on the group’s financial position and performance. On this basis, the component no longer meets the threshold for group materiality, and we considered excluding it from detailed review to be appropriate and consistent with auditing standards and professional judgement. Page 41
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 15 Audit approach and risk summary (continued) Significant risks Fraud risk Judgement Error Substantive audit procedures Tests of controls Misstatement identified Control recommendations Conclusion Page ref to finding Management override of controls (applies to Council and Group) Yes No No Yes No No Yes Risk satisfactorily addressed 18 Valuation of property, plant and equipment (applies to the Council only) No Yes Yes Yes No Yes Yes Risk satisfactorily addressed 19 Valuation of the net defined benefit (liability)/ surplus (applies to the Council only) No Yes Yes Yes No Yes Yes Risk satisfactorily addressed 20 Application of the new accounting standard for leases – IFRS 16 (applies to the Council only) No Yes Yes Yes No No Yes Risk satisfactorily addressed 21 Liabilities From Service Concession Arrangements (applies to the Council only) No Yes Yes Yes No Yes No Risk satisfactorily addressed 22 Page 42
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 16 Audit approach and risk summary (continued) Overview of our group audit approach The Accounts Commission engaged us to audit the group financial statements of West Dunbartonshire Council. Based on our risk assessment and the financial information for the year ending 31 March 2025, we determined that certain components consolidated into the group financial statements should be subject to either a full scope audit or a specific scope audit, as set out in the table below. In addition, to address risks of material misstatement in the group financial statements across components, we also determined that certain components that are not individually material to the group and which do not, at a component-level, possess risks of material misstatement of the group financial statements on an individual component basis, should be subject to audit procedures, as set out in the table below along with the scope of the audit procedures performed. Component name % (of net operating activity) Location Auditor Scope Changes to scope since planning? West Dunbartonshire Council 98 Dumbarton, Scotland Forvis Mazars LLP A full audit of the component’s financial information No West Dunbartonshire Integration Joint Board - Dumbarton, Scotland Forvis Mazars LLP Not in scope Yes. See page 13 Dunbartonshire and Argyll and Bute Valuation Joint Board - Dumbarton, Scotland Forvis Mazars LLP Not in scope No West Dunbartonshire Leisure Trust 2 Dumbarton, Scotland Wbg (Audit Limited) Not in scope No Clydebank Property Company - Clydebank, Scotland Azets Not in scope No West Dunbartonshire Energy Limited Liability Partnership - Clydebank, Scotland Azets Not in scope No Dumbarton Common Good - Dumbarton, Scotland Forvis Mazars LLP Not in scope No West Dunbartonshire Council Charitable Trusts 2 Dumbarton, Scotland Forvis Mazars LLP Not in scope No Audit scope definitions Full scope audit: an audit of the component’s financial information prepared for group reporting purposes using component performance materiality. Audit of account balance(s), class(es) of transaction, and/ or disclosures(s): an audit of specific account balance(s), class(es) of transaction, and/ or disclosure(s) included in the component’s financial information prepared for group reporting purposes, using component performance materiality. Page 43
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 18 Significant findings The significant findings from our audit include our conclusions regarding the significant risks we identified and other key areas of judgement, which are set out in this section. Significant risks Management override of controls (applies to Council and Group) Description of the risk This is a mandatory significant risk on all audits due to the unpredictable way in which such an override could occur. Management at various levels within an organisation are in a unique position to perpetrate fraud because of their ability to manipulate accounting records and prepare fraudulent financial statements by overriding controls that otherwise appear to be operating effectively. Due to the unpredictable way in which such override could occur there is a risk of material misstatement due to fraud on all audits. You should assess this risk as part of your oversight of the financial reporting process blank How we addressed this risk We addressed this risk through performing audit work over: • accounting estimates: by evaluating the methods and assumptions used by management to develop the estimate; • journal entries: testing journals that meet our fraud risk criteria and other adjustments made in preparing the financial statements; and • significant transactions: considering and testing any significant transactions outside the normal course of business or otherwise unusual. For the group, we reviewed the consolidation adjustments made by officers in preparing the group financial statements. blank Audit conclusion We identified 4,247 manually posted journals and 208,413 automated journals that met our fraud risk criteria. After investigation, we found no evidence that these were fraudulent. We did, however, find 14 manual journals and 200,000 automated journals posted without a description. Through discussions with officers and analysis of the ledger we were able to determine what these journals related to and that they were appropriate. See page 86 for full details and our recommendation to management. Our work has provided the assurance we sought in response to the risk of management override of controls and there are no other issues to bring to your attention. Page 45
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 19 Significant findings (continued) Significant risks (continued) Valuation of property, plant and equipment (applies to the Council only) Description of the risk The Council held land and buildings (including council dwellings) with a net book value of £1.03 billion at 31 March 2025. The Council has adopted a rolling revaluation model with other land and buildings revalued over a five-year cycle. This may result in individual assets not being revalued for several years. This increases the risk of misstatement for those assets that have not been revalued in recent years. Valuations are based on specialist and management assumptions, with a high degree of estimation. We have determined there is a significant risk of material misstatement from assumptions that are incorrect and/or not supported by relevant evidence being applied. blank How we addressed this risk We addressed this risk by: • assessing the scope and terms of engagement with the Valuer; • assessing the competence, skills and objectivity of the Valuer; • assessing how management use the Valuer’s report to value land and buildings included in the financial statements; • testing the accuracy of the data used in valuations; • challenging the Council and Valuer’s assumptions and judgements applied in the valuations; • reviewing the valuation methodology used, including the appropriateness of the valuation basis; • considering the reasonableness of the valuation by comparing the valuation output with market intelligence; • testing a sample of revaluations in the year, by agreeing the revaluations recorded in the Annual Accounts to the Valuer’s reports. As part of this testing, we checked whether the movements have been accounted for in accordance with the Code; • challenging management’s assessment for those assets not subject to valuation in the year; • checking market movements to assess the materiality of potential movement for 2024/25 for those valued on Existing Use Value on a market comparable basis; and • for those valued on a Depreciated Replacement Cost basis, which would be impacted by changes in build costs during the year, we tested management’s analysis of changes in the Build Costs Information Service (BCIS) index and assess any decisions management make in this regard. blank Audit conclusion We identified one immaterial unadjusted misstatement for the valuation of housing stock acquisitions (see page 27). We have also raised two control deficiencies relating to review of council dwellings enhancement expenditure and assets with nil net book value, and one ongoing prior year control recommendation on the completeness of the fixed asset register. See Appendix A for full details. Our work has provided the assurance we sought in response to the risk associated with valuation of property, plant and equipment and there are no other issues to bring to your attention. Page 46
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 20 Significant findings (continued) Significant risks (continued) Valuation of the net defined benefit (liability)/ surplus (applies to the Council only) Description of the risk The Council’s net defined benefit liability was £37 million as at 31 March 2024. Estimation of the net pension asset or liability depends on several complex judgements which are sensitive to changes. These include the discount rate used, the rate at which salaries are predicted to increase, inflation rates and life expectancy. Due to the high degree of estimation uncertainty associated with the valuations, we have determined there is a significant risk in this area. blank How we addressed this risk We addressed this risk by: • challenging the reasonableness of the Actuary’s assumptions that underpin the relevant entries made in the financial statements; • critically assessing the competency, objectivity and independence of the Actuary; • liaising with the auditors of the Pension Fund Administrator to gain assurance that the overall procedures and controls in place at the Pension Fund are operating effectively; • comparing assumptions to expected ranges; • reviewing the accuracy and completeness of the membership data used by the actuary in preparation of the Actuary’s valuation report; • independently obtaining confirmation of pension contributions, benefits paid and any material transfers from the Pension Fund Administrator and comparing with the data used by the Actuary in the actuarial valuation; and • agreeing data in the Actuary’s valuation report for accounting purposes to the relevant accounting entries and disclosures in the Council’s financial statements. blank Audit conclusion We identified one uncorrected disclosure misstatement due to the external auditor of Strathclyde Pension Fund reporting an unadjusted error in the Fund’s 2024/25 annual accounts from understatement of private equity, debt and infrastructure and direct portfolio assets (see page 32). We have also made one control recommendation for management to implement a formal process to evidence review of actuarial reports (see page 82). Our work has provided the assurance we sought in response to the risk associated with valuation of the net defined benefit liability and there are no other issues to bring to your attention. Page 47
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 21 Significant findings (continued) Significant risks (continued) Application of the new accounting standard for leases – IFRS 16 (applies to the Council only) Description of the risk Effective from 1 April 2024, Local Authorities are required to adopt the new International Financial Reporting Standard, IFRS 16. This standard introduces a ‘Right of Use’ asset category on the Balance Sheet, along with the recognition of corresponding lease liabilities. It applies to all types of leases, including property, land, vehicles, plant, and equipment where the Council is the Lessee. IFRS 16 significantly changes how operating leases are accounted for by requiring, for lessees, the recognition of both assets and liabilities for rights and obligations previously classified under operating leases. Given the complexity of this accounting standard, there is a risk that the Council may not have a complete and accurate record of the leases it holds. There is also a risk that the right-of-use asset and lease liability may not have been correctly calculated on the leases the Council has applied the standard to. blank How we addressed this risk We addressed this risk by: • evaluating the design and implementation of controls that the Council has in place over the adoption of the new standard; • reviewing procurement and contract registers for potential lease arrangements, including embedded leases; • performing inquiries with management about lease identification processes; • substantively testing the calculations of lease liabilities and right-of-use assets, where material, to ensure these have been appropriately calculated in accordance with the new accounting standard; • reviewing peppercorn and other leases requiring special consideration; • comparing assumptions to expected ranges; • reviewing the disclosures made in the financial statements to ensure they are adequate, sufficient, and in line with the Code. blank Audit conclusion We found a deficiency with management’s approach to measure right-of-use assets and lease liabilities as at 1 April 2024. This resulted in trivial differences between management’s calculations and our independent recomputation. See page 82 for full details and our recommendation to management. Our work has provided the assurance we sought in response to the risk associated with application of IFRS 16 for leases and there are no other issues to bring to your attention. Page 48
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 22 Significant findings (continued) Significant risks (continued) Liabilities From Service Concession Arrangements (applies to the Council only) Description of the risk The Council has a Public Private Partnership (PPP) contract for the provision of three secondary schools and one primary school, and a Design-Build- Finance-Maintain (DBFM) contract for one secondary school. The contracts include the build of the schools as well as their maintenance and provision of related facilities over the period of each contract. The assets used to provide services at the schools are recognised on the Council’s Balance Sheet as operational assets and as a finance lease liability. The Council has recognised an asset of £136 million and a liability of £86.4million for PPP and DBFM in its 2023/24 annual accounts. The Code, in implementing IFRS 16, requires local authorities to remeasure their PPP liabilities as at 1 April 2024. The method of accounting for service concession arrangements can be complex and involves management judgement. There is a risk of material misstatement if the Council does not appropriately account for its service concession arrangements. blank How we addressed this risk We addressed this risk by: • updating our understanding of the service concession arrangements at the Council; • reviewing the inputs to current financial models to ensure they have been appropriately updated and for any substantial changes; • testing material inputs into the model and agreeing outputs to the financial statements; • reviewing the PPP models for remeasurement calculations or management rationale for not remeasuring the liability in line with IFRS 16; and • reviewing accounting policies and other related disclosures in the financial statements to ensure they are in line with the Code. blank Audit conclusion Management's initial assessment was that no remeasurement was required on transition to IFRS 16, or at subsequent indexation dates, as the contracts incorporate a fixed annual indexation rate of 2.5%. Management concluded that the lease payments were fixed and therefore did not trigger remeasurement of the PPP lease liability. We identified that the annual payments were not fixed but linked to the Retail Price Index. Therefore, the arrangements are subject to the remeasurement requirements of IFRS 16. Following this review, officers reassessed the accounting treatment and undertook a remeasurement of the PPP liabilities for both contracts as at 1 April 2024. This resulted in management adjusting the lease liabilities and related balances within the financial statements. This had the effect of increasing PPP and Finance Lease Liabilities by £22.0m (see page 28). We also identified an immaterial prior period unadjusted misstatement resulting from updates to the PPP and DBFM accounting models (see page 27). Our work has provided the assurance we sought in response to the risk associated with liabilities from service concession arrangements and there are no other issues to bring to your attention. Page 49
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 23 Significant findings (continued) Wider responsibilities – statutory reporting The 1973 Act allows any persons interested to inspect the accounts to be audited and the underlying accounting records of the Council. The act also allows any persons interested to object to the accounts. No such objections have been raised. We are required to notify the Controller of Audit when circumstances indicate that a statutory report may be required. • Section 102(1) of the 1973 Act allows us to prepare a report to the Commission about the Council’s accounts; matters that have arisen during the audit that should be brought to the attention of the public; or the performance of the Council in their duties relating to Best Value and community planning. The Controller of Audit plans to make a report on Best Value to the Commission under Section 102(1) of the 1973 Act in September 2026. This will be based on evidence collected in the 2022/23, 2023/24, and 2024/25 annual audits of the Council. • Section 102(3) of the 1973 Act allows us to make a special report to the Commission if an item of account is contrary to law; there has been a failure on someone’s part to bring into account a sum which ought to have been brought into account; a loss has been incurred or deficiency caused by the negligence or misconduct of a person, or by the failure of a body to carry out a duty imposed on them by any enactment; or a sum which ought to have been credited or debited to one account of a body has been credited or debited to another account and the body has not taken, or is not taking, steps to remedy the matter. No such reports have been prepared. • Section 97A of the 1973 Act allows us to undertake or promote comparative and other studies to make and publish recommendations for the securing by local government bodies of Best Value, improving economy, efficiency and effectiveness in the provision of services by local government bodies and improving the financial or other management of local government bodies. No such recommendations have been prepared. Page 50
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 25 Significant control deficiencies As part of our audit, we obtained an understanding of the Council’s internal control environment and control activities relevant to the preparation of the financial statements, which was sufficient to plan our audit and determine the nature, timing, and extent of our audit procedures. Although our audit was not designed to express an opinion on the effectiveness of the Council’s internal controls, we are required to communicate to the Audit Committee any significant deficiencies in internal controls that we identified in during our audit. Deficiencies in internal control A deficiency in internal control exists if: • A control is designed, implemented, or operated in such a way that it is unable to prevent, detect, and/ or correct potential misstatements in the financial statements; or • A control that is necessary to prevent, detect, and/ or correct misstatements in the financial statements on a timely basis is missing. The purpose of our audit was to express an opinion on the financial statements. As part of our audit, we have considered the Council’s internal controls relevant to the preparation of the financial statements to design audit procedures to allow us to express an opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Council’s internal controls or to identify any significant deficiencies in their design or operation. The matters reported in this section of our report are limited to those deficiencies and other control recommendations that we have identified during our normal audit procedures and which we consider to be of sufficient importance to merit being reported. If we had performed more extensive procedures on internal control, we might have identified more deficiencies to report or concluded that some of the reported deficiencies need not in fact have been reported. Our comments in this section should not be regarded as a comprehensive record of all deficiencies that may exist or improvements that could be made. Significant deficiencies in internal control A significant deficiency in internal control is one which, in our professional judgement, has the potential for financial loss, damage to reputation, or a loss of information which may have implications on the achievement of business strategic objectives. Our view is that observations categorised as a significant deficiency is of sufficient importance to merit the attention of the Audit Committee. We have not identified any significant deficiencies in the Council’s internal controls as at the date of this report. Other observations We also record our observations on the Council’s internal controls where, in our professional judgement, there is a need to strengthen internal control or enhance business efficiency that do not constitute significant deficiencies in internal control but which we view as being important for consideration by management. The other control deficiencies that we have identified as at the date of this report are set out in ‘Appendix A: Internal control conclusions’. Page 52
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 27 Summary of misstatements Unadjusted misstatements Our overall materiality, performance materiality, and clearly trivial (reporting) threshold were reported in our Annual Audit Plan, issued on 10 December 2025. The final overall materiality we applied was £11.806m for the Council and £11.924m for the Group, final performance materiality: £7.674m for the Council and £8.347m for the Group; final clearly trivial threshold: £354k for the Council and £358k for the Group. We maintained a specific materiality of £1k for senior councillors and senior employees' remuneration and pension benefits, £5k (one banding) for other employees' remuneration, and £50k for exit packages disclosed in the Remuneration Report. Management has assessed the misstatements in the table below as not being material, individually or in aggregate, to the financial statements and does not plan to adjust. We only report to the Audit Committee unadjusted misstatements that are either material by nature or which exceed our reporting threshold. Details of unadjusted misstatement (Current period) Entity Nature CIES CIES Balance Sheet Balance Sheet Blank Counci l Blank Blank Dr (£ ‘000) Cr (£ ‘000) Dr (£ ‘000) Cr (£ ‘000) Dr: Cost of services expenditure Cr: Property, Plant and Equipment (Council Dwellings) The Council recognised new housing stock acquisitions in the period since the last full housing stock valuation at market value. Council dwellings should be valued at EUV-SH. We have used the most recent social housing discount factor used by the external valuer of 40.9% to calculate this adjustment. Council Judgemental 4,299 4,299 Details of unadjusted misstatement (Prior period) Dr: PPP and Finance Lease Liabilities Cr: General Fund Balance To adjust 31 March 2024 carrying values of the PPP and Finance Lease Liabilities due to updates to the PPP and DBFM accounting models. Council Factual 1,061 1,061 Aggregate effect of unadjusted misstatements blank blank 4,299 1,061 5,360 We will obtain written representations confirming that, after considering the unadjusted misstatements, both individually and in aggregate, in the context of the financial statements taken as a whole, no adjustments are required. Page 54
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 28 Summary of misstatements Adjusted misstatements The misstatements in the table below have been adjusted by management. We report all individual misstatements above our reporting threshold that we identify during our audit and which management had adjusted and any other misstatements we believe the Audit Committee should be made aware of. Details of adjustment Entity Nature CIES CIES Balance Sheet Balance Sheet Blank Dr (£ ‘000) Cr (£ ‘000) Dr (£ ‘000) Cr (£ ‘000) Dr: Property. Plant and Equipment (Other Land and Buildings) Cr: PPP and Finance Lease Liabilities Recognition of the increase in PPP and Finance Lease Liabilities resulting from IFRS 16 remeasurement. See page 7 for full details. Council Factual 21,984 21,984 Dr: Services Expenditure (Education, Learning and Attainment ) Cr: Property. Plant and Equipment (Other Land and Buildings) Impairment charge recognised against the increase in asset carrying amounts generated by the IFRS 16 remeasurement. Council Factual 21,984 21,984 Dr: Capital Adjustment Account Cr: General Fund Balance Statutory reversal of impairment loss recognised following IFRS 16 remeasurement, transferred from the General Fund to the Capital Adjustment Account. Council Factual 21,984 21,984 Aggregate effect of unadjusted misstatements blank blank 21,984 43,968 65,952 Page 55
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 29 Summary of misstatements (continued) Disclosure misstatements We identified the following disclosure misstatements during our audit that have been corrected by management: Details of disclosure adjustments Management commentary • Corrections to headline financial figures (e.g. funding, net expenditure, reserves) to ensure consistency with the audited financial statements. • Alignment of Housing Revenue Account and Balance Sheet disclosures to underlying notes and primary statements. • Removal of outdated or inaccurate narrative. • Improvements to internal consistency across tables and narrative explanations. • Inclusion of additional information explaining unmet targets in the financial performance Indicators. Annual governance statement • Update to the commencement period of the new approach to auditing Best Value. Remuneration Report • Corrections to member roles, titles and committee responsibilities, ensuring disclosures reflect actual governance arrangements. • Updates to pension disclosures and contribution rates to ensure accuracy and clarity. • Amendments to exit package disclosures and bandings to align with underlying payroll records and working papers. • Minor narrative and cross reference corrections to improve consistency and accuracy. Property, Plant and Equipment and Leases (IFRS 16) • Updates to ensure proper presentation of Right of Use assets in accordance with the Code. • Correction to capital financing, commitments and lease disclosures. • Alignment of operating lease disclosures with transition to IFRS 16. Useable and Unusable Reserves • Inclusion of missing summary disclosure for unusable reserves balances. • Correction of technical reserve movements, including revaluation reserve entries and pension-related adjustments. • Update to remaining amortisation period disclosures to reflect current estimates. Page 56
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 30 Summary of misstatements (continued) Disclosure misstatements (continued) Details of disclosure adjustments Housing Revenue Account • Correction of classification and mapping issues within the HRA statement (no impact on net position). • Minor correction to average rent calculation due to formula error. • Inclusion of additional information explaining unmet targets in the financial performance indicators. Council Tax and Non Domestic Rates (NDR) Income • Correction of prior year comparative figures in Council Tax base disclosures. • Amendment of prior year NDR figures to align with signed accounts. • Removal of outdated or inaccurate narrative. • Improvements to internal consistency across tables and narrative explanations. • Inclusion of additional information explaining unmet targets in the financial performance indicators. Related Parties And Other Notes • Adjustments to related party balances to agree with final audited entity accounts. • Updates to financial instruments, debtors and termination benefits disclosures to reflect accurate balances. Corrections to classification and presentation issues across notes. Pensions • Correction of contribution rates and disclosures. • Updates to IAS 19 disclosures and descriptions for consistency with underlying calculations. • Refinement of narrative explanations to improve technical accuracy. Page 57
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 31 Summary of misstatements (continued) Details of disclosure adjustments Accounting Policies • Enhancements to improve completeness and transparency, including: - Accruals threshold disclosures - IFRS 16/Right of Use asset accounting - Cash and cash equivalents policy. • Updates to improve completeness and transparency around accruals threshold disclosures, IFRS 16/Right of Use asset accounting and cash and cash equivalents policy • Corrections to ensure compliance with the Code, including infrastructure asset relief period and removal of duplicated or outdated text. • Updates to reflect actual accounting practices applied. Group Accounts • Multiple adjustments to ensure alignment with audited subsidiary accounts (WDLT, CPC, Energy LLP, VJB). Including corrections to: - intercompany balances - net assets values and movements - cash flow statement classification and amounts. • Updates to narrative to reflect actual financial performance (e.g. loss vs surplus). • Improvements to accuracy and internal consistency across group disclosures. There were other adjustments for minor consistency and presentational matters. Disclosure misstatements (continued) Page 58
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 32 Summary of misstatements (continued) Uncorrected disclosure misstatements We identified the following disclosure misstatements during our audit that have not been corrected by management: Note 22 Defined Benefit Pension Scheme The external auditor of Strathclyde Pension Fund reported an unadjusted error in the Fund’s 2024/25 annual accounts due to understatement of private equity, debt and infrastructure and direct portfolio assets. We have apportioned this error to the Council based on its share of the Fund’s assets. This results in the fair value of plan assets being understated by £2,479k in the Council’s accounts. This adjustment would have no overall impact on the Comprehensive Income and Expenditure Statement or Balance Sheet due to application of the asset ceiling accounting adjustment which limits the Council’s ability to recognise a pension asset. We will obtain written representations confirming that, after considering the unadjusted disclosure misstatements, both individually and in aggregate, in the context of the annual report and financial statements taken as a whole, no adjustments are required. Page 59
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 34 Fraud considerations We have a responsibility to plan and perform our audit to obtain reasonable assurance that the financial statements are free from material misstatement, whether due to fraud or error. Your responsibilities Management has primary responsibility for the prevention and detection of fraud. It is important that management, with your oversight, place a strong emphasis on fraud prevention, which may reduce opportunities for fraud to take place, and fraud deterrence, which could persuade individuals not to commit fraud because of the likelihood of detection and punishment. This involves a commitment to creating a culture of honesty and ethical behaviour which is reinforced by your active oversight. Our responsibilities We have a responsibility for obtaining reasonable assurance that the financial statements taken as a whole are free from material misstatement, whether due to fraud or error. The distinguishing factor between fraud and error is whether the underlying action that results in a misstatement is intentional or unintentional. Two types of intentional misstatements are relevant to us – misstatements resulting from fraudulent financial reporting, and misstatements resulting from the misappropriation of assets. ISA presumed fraud risks As set out in the ‘Audit approach and risk summary’ section, the risk of fraud in management override of controls was identified as a significant risk. Our overall approach to fraud Inquired with management, the Audit Committee and internal audit Assignment and supervision of appropriate audit personnel Evaluated the selection and application of accounting policies Obtained written representation from management Incorporated elements of unpredictability into our audit procedures Maintained professional scepticism Our overall conclusion We did not identify any actual or suspected fraud involving the group or component management, employees with significant roles in the group’s internal control or others, where the fraud resulted in a material misstatement in the group financial statements. Page 61
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Commentary on Wider Scope Overall Summary Page 63
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 37 Commentary on Wider Scope Wider Scope summary As auditors appointed by the Accounts Commission, our wider scope responsibilities are set out in the Code of Audit Practice 2021 and sits alongside Best Value requirements detailed in the Local Government (Scotland) Act 1973. The Code requirements broaden the scope of the 2024/25 audit and allow us to use a risk-based approach to report on our consideration of the Council’s performance of best value and community planning duties and make recommendations for improvement and, where appropriate, conclude on the Council’s performance. The Code’s Wider Scope framework is categorised into four areas: • financial management; • financial sustainability; • vision, leadership and governance; and • use of resources to improve outcomes. Overall summary by reporting criteria From the satisfactory conclusion of our audit work, we have the following conclusions: Reporting criteria Commentary page reference Identified significant risks? Actual risks identified? Other recommendations made? Financial management 38 No No No Financial sustainability 42 Yes – see risk 1 on page 43 Yes – see recommendation 1 on page 47 No Vision, leadership and governance 48 No No No Use of resources to improve outcomes 52 No No Yes – see recommendation 1 on page 56 Page 64
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Commentary on Wider Scope Financial management Financial management is concerned with financial capacity, sound budgetary processes and whether the control environment and internal controls are operating effectively. Page 65
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 39 Financial management Our overall assessment Area assessed Our findings Our judgements Significant risks identified Financial management culture Financial forecasting is well embedded across the Council. The Council adopts long term financial strategies, multi-year budget planning and a ten-year capital strategy. Officers carry out biannual reviews to ensure financial forecasts are aligned to strategic priorities and adequately consider the Council’s long-term financial stability. Regular financial discussions between Chief Officers and service managers inform strategic decisions such as planning for potential pension liabilities, cashflow management, and long-term financial sustainability. The Council’s budget setting process is inclusive and iterative, with public consultation and phased decision making across several consultation stages to align available resources with strategic priorities. The persistent financial pressures faced by the Council means that budget options are focused on closing funding gaps, which can limit opportunities for more priority driven investment. However, savings plans are central to the Council’s financial strategy. These are formally risk assessed, and are monitored throughout the year, with accountability clearly assigned to Chief Officers and progress reported to elected members. The Council has an extensive capital programme requiring significant financing to see projects through to completion. This has contributed to the Council’s relatively high level of borrowing. The Council’s unaudited borrowing liability at 31 March 2026 is £872.1m (£457.7m for General Services and £414.4m for the Housing Revenue Account), with annual loan charge costs of approximately £49m (£22m for General Services and £27m for the Housing Revenue Account). The Council recognises the risk of borrowing, including the impact interest rate rises will have on borrowing rates and the long-term pressure of borrowing costs on its revenue budget. Officers have monitoring controls in place and actively consider the viability of capital projects in terms of affordability, which they would adjust where necessary. Overall, the Council’s financial management culture is appropriate and effective. Reporting to senior management and Council is timely, transparent, and aligned with production of the annual accounts. This supports effective oversight and decision-making. The Council’s financial forecasting and savings planning are embedded practices that reflect a proactive approach to managing constrained resources. No significant issues identified. Page 66
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 40 Financial management (continued) Our overall assessment Area assessed Our findings Our judgements Significant risks identified Financial management culture (continued) In 2024/25, the Council reported a deficit in the provision of services of £25.9m and a reduction in the General Fund of £2.9m, representing an overspend of 1% against the revised budget. This reflected planned use of reserves, lower than anticipated capital receipts, reduced government funding, inflationary pressures, rising interest rates, and increased service demand. Accountability The Council has well functioning budgetary control arrangements that support timely and accurate financial reporting. Monthly budget monitoring meetings with Chief Officers and service managers enable early identification and investigation of variances, while regular reporting to elected members provides clear visibility over in year performance, emerging pressures, future budget gaps, and planned mitigations. Quarterly updates to the budget for the year are presented to Council which include explanations for variances and forecasts for cumulative funding gaps, demonstrating accountability and highlighting changes in cost pressures. Officers also present budgetary control reports to Council and service committees four times a year. The Council reinforces accountability through compliance with relevant governance frameworks and financial reporting standards, adhering to the CIPFA/LASAAC Code. This is supported by structured scrutiny via the Audit Committee. Equalities impact assessments and treasury management reviews provide assurance that public funds are used appropriately and that wider impacts are considered. The Council’s short term financial forecasting is reliable and is refreshed regularly. This demonstrates the Council’s responsiveness to changing circumstances. Overall, the Council has a history of producing accurate, standards compliant annual accounts and managing in year budgets effectively, as confirmed by previous audits. However, longer term forecasting remains more uncertain due to external factors such as fluctuations in government funding, inflation, and interest rates. This is evidenced by changes in forecast budget gaps, for example from £29.5m for 2027/28 in June 2023 to £26.9m in October 2024. While these shifts illustrate the challenges of long-term financial planning, the Council mitigates this risk by regularly updating forecasts and using the latest information to support reasonable and informed financial planning decisions. The Council’s accountability arrangements are functioning effectively. The budgetary control framework provides clear, timely and transparent reporting that supports informed decision-making. Variances are well-explained, and financial performance information is reliable and subject to appropriate scrutiny. While longer-term forecasting is inherently uncertain, the Council demonstrates a reasonable and proactive approach to updating its assumptions. No significant issues identified. Page 67
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 41 Financial management (continued) Our overall assessment Area assessed Our findings Our judgements Significant risks identified Arrangements to prevent and detect fraud, error and other irregularities, bribery and corruption The Council has effective arrangements in place to prevent and detect fraud, error, and irregularity, underpinned by comprehensive financial regulations. These reflect current legislation and good practice, clearly defining responsibilities for financial stewardship, procurement, delegated authority, and compliance for both officers and members. Explicit processes for reporting breaches and adherence to codes of conduct demonstrate that expected standards of behaviour are actively promoted and embedded across the organisation. Internal control is further supported by a well-established governance framework, including: • a whistleblowing policy; • regular financial monitoring reports to senior officers and councillors; • a strategic risk register; and • annual risk-based internal audit work. Internal Audit operates independently under a revised 2025 Internal Audit Charter aligned with the Global Internal Audit Standards. It reports risk-rated findings and graded opinions to the Audit Committee, ensuring control weaknesses are identified, escalated, and addressed appropriately. The finance function is led by qualified and experienced staff, including CIPFA-qualified professionals with significant public-sector and audit experience. Roles are clearly defined across key areas such as statutory accounts, budgeting, council tax and Non-Domestic Rates compliance, supported by training. However, the Council has ongoing resourcing pressures, with several experienced staff approaching retirement . The Council recognises these risks and has begun to respond through graduate recruitment and succession planning, although these arrangements are not yet fully embedded. Overall, the Council’s arrangements for preventing and detecting fraud, error, and irregularity are effective and reflect a generally sound control environment. No significant issues identified. Page 68
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Commentary on Wider Scope Financial sustainability Financial sustainability looks forward to the medium and longer term to consider whether the body is planning effectively to continue to deliver its services or the way in which they should be delivered. Page 69
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 43 Financial sustainability Financial sustainability Significant risks Wehave outlined below the significant risks in arrangementsthat we have identified as part of our continuous planning procedures,and the work undertakento respond to each of those risks. SignificantRisk in Arrangements Identified Work undertaken and the resultsof our work 1 Financialsustainability The council has forecasted significant cumulative budget gaps rising from £9.2 million in 2025/26 to £51 million in 2029/30. This is a potential risk to its financial sustainability, and its ability to maintain its services for the people of West Dunbartonshire. Work undertaken We reviewed the Council’s: • long term financial strategy (LTFS) and reserves approach; • financial position and track record in delivering planned recurrent and non recurrent savings in 2024/25; • financial performance and planning updates for 2025/26, including impact on general reserves balances; • budgetary control and financial reporting to Members; and • progress in developing plans to address future years’ budget gaps. Results of our work ▪ The Council has a policy on reserves and balances which: ▪ outlines the legislative and regulatory framework underpinning the creation, use or assessment of the adequacy of reserves; ▪ identifies the principles to be employed in assessing the adequacy of its balance and reserves; and ▪ sets out arrangements for the creation, amendment and use of reserves and balances. ▪ The Council continues to report regularly on reserves levels through its budgetary control reports. These are reported to the Corporate Services Committee and general services reports are presented to Council meetings. ▪ The Council’s reserves are currently insufficient to meet projected medium to long term funding gaps, which are forecast to rise to £52.9m by 2030/31, compared with total reserves of £13.1m at 31 March 2025, of which only £3.6m is unearmarked. Reserves fell due to overspends in the year. The Council’s policy is to rebuild reserves over time and find additional sources of funding and savings to bridge gaps. Utilisation of reserves is a last resort. At Period 7 (December 2025), uncommitted reserves were forecast to be £66k above the 3% prudential target at 31 March 2026, which indicates that the Council has made some progress in rebuilding reserves. Page 70
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 44 Financial sustainability (continued) Financial sustainability (continued) Significant risks (continued) . SignificantRisk in Arrangements Identified Work undertaken and the resultsof our work 1 ▪ The Council has implemented a range of measures to address funding gaps, including savings programmes, vacancy controls, use of reserves, and capital reductions. Measures such as use of reserves provide short term stability but are not sustainable given the scale and recurring nature of the challenge. Some of the measures taken by the Council have provided recurring savings but these are not sufficient to bridge future funding gaps. ▪ The Council agreed a balanced budget for 2025/26, including £4.6m of savings to address a £9.9m funding gap. Financial updates during the year indicate a forecast favourable underspend, with reserves expected to remain above the 3% prudential target at 31 March 2026. ▪ The Council continues to demonstrate good practice in financial reporting, through regular budgetary control reports that cover revenue and capital performance, significant variances, savings delivery and scenario planning. Budget working groups support early identification and scrutiny of savings proposals. Conclusion The Council continues to face significant financial sustainability challenges, with substantial projected medium to long term funding gaps and limited reserves capacity. Further progress is required to strengthen long term financial and reserves planning and to deliver the transformational change necessary to address the scale of the financial challenge. See recommendation 1 on page 47. Page 71
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 45 Financial sustainability (continued) Our overall assessment Area assessed Our findings Our judgements Significant risks identified Financial planning The Council has well-established financial planning arrangements, with regular budget updates, in-year monitoring, and multi-year financial forecasts that clearly outline projected budget gaps and the key drivers behind them. Financial updates presented to Council set out five-year budget forecasts, updated for changes in inflation, interest rates and Scottish Government funding. The general services budget paper presented to Council in March 2025 set out the following potential cumulative budget gaps after agreed savings measures: • 2025/26 - £5.571m • 2026/27 - £16.304m • 2027/28 - £25.786m • 2028/29 - £40.779m • 2029/30 - £49.863m. This reflects recognised medium- and long-term pressures including sustained reductions in Scottish Government funding, rising social care demand, unfunded pension and pay costs, and volatility in borrowing costs. The Council demonstrates awareness of these pressures through scenario modelling, sensitivity analysis and risk reporting, and the issues are routinely discussed at Council and committee meetings. However, the Council’s financial position is very challenging, and it recognises it is unsustainable to rely on reserves to manage short-term deficits. This is clear when you compare the cumulative budget gap against £3.6m of uncommitted reserves at 31 March 2025. The Council’s reserves policy is underpinned by clear governance arrangements, including a prudential target and formal recovery requirement if the target threshold is breached. The annual budget reports to Council include estimated prudential targets and reserve balances for the coming year, laying out any expected use of reserves where needed. The Council has well-established financial planning arrangements that effectively identify medium- and long-term risks, but its capacity to address these risks remains limited. The Council’s reliance on reserves and service reductions to close budget gaps indicates the challenges it faces in securing its long-term financial sustainability. A robust plan and strategy will be required to address its longer-term funding gaps. Financial sustainability – Level 1 The Council continues to face a very challenging financial position. This presents a risk to its financial sustainability, and its ability to maintain the services it provides to the people of West Dunbartonshire. See page 47 for further information and our recommendations made to the Council. Page 72
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 46 Financial sustainability (continued) Our overall assessment Area assessed Our findings Our judgements Significant risks identified The Council’s Long-Term Financial Strategy includes medium to long term projections for revenue and capital positions, but does not forecast reserve levels. Financial planning could be improved by including scenario modelling and reserves projections over the long term. This would allow reserve recovery plans to be proactively identified and implemented. In June 2025, the Council identified a short-term pressure on its 2025/26 budget with an £8.3m budget gap, driven by rising borrowing costs, demand pressures and uncertainty around Health and Social Care Partnership funding. Our review of the 57 savings proposals for 2025/26 highlighted cost efficiencies are increasingly based on reductions to frontline and community services, including Education, Roads & Greenspace, and Community and Leisure services. This raises concerns over the sustainability of the Council’s current approach to recovery and saving plans. Page 73
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 47 Financial sustainability (continued) Identified risks in financial sustainability arrangements and recommendations for improvement As a result of our work we have identified risks in the Council’s financial sustainability arrangements. These identified risks have been outlined in the table below. We have assigned priority rankings to each of them to reflect the importance that we consider each poses to your organisation and, hence, our recommendation in terms of the urgency of required action; see Appendix F for further details. Bl an k Financial sustainability significant risks identified Recommendation for improvement Council’s response and implementation timescale 1 Financial sustainability – Level 1 The Council is forecasting cumulative budget gaps rising from £5.21m in 2026/27 to £52.88m by 2030/31. It understands the scale and drivers of its medium and long-term financial pressures, but its capacity to respond to these is constrained by limited reserves and reliance on service reductions to balance budgets. It is unsustainable for the Council to continue to rely on reserves and other short-term measures to address funding gaps. The Council should ensure it has a clear approach to addressing its longer-term financial challenges, including the extent to which this will be supported by use of reserves. This includes ensuring its reserves and financial strategy are aligned. Management’s response: No assumptions are made about use of reserves to balance annual budgets as it is recognised the use of reserves is a short-term fix and does not address the longer-term financial challenges. The Council has a well-established budget working group process which meets at least three times a year to consider options for addressing budget gaps. Saving options developed through that process are predominantly recurring in nature so contribute toward setting an annual budget and future budget gaps. The Council’s medium to long term financial strategy is to be reviewed and a revised version submitted to Council in October 2026 Responsible officer: Chief Officer Resources Implementation date: 28 October 2026 Page 74
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Commentary on Wider Scope Vision, leadership and governance Vision, Leadership and Governance is concerned with the effectiveness of scrutiny and governance arrangements, leadership and decision making, and transparent reporting of financial and performance information. Page 75
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 49 Vision, leadership and governance Our overall assessment Area assessed Our findings Our judgements Significant risks identified Clarity of plans to implement the vision The Council has a clearly articulated strategic vision, set out in the 2022–2027 Strategic Plan, supported by well-defined priorities and a coherent set of performance indicators. The four priority areas— Our Communities, Our Environment, Our Economy, and Our Council, provide a structured framework that guides operational activity, resource allocation and performance monitoring. This vision is consistently reflected across delivery plans, strategic performance indicators and the Annual Report 2024/25. The “golden thread” between high-level priorities, service-level actions and performance outcomes shows that the Council’s vision is embedded in decision-making, evaluation and forward planning. Strategic actions for the 2025/26 period further align with these priorities, indicating that the Council has clear arrangements in place to translate vision into operational delivery. The Council’s strategic vision is clear and well-embedded across its planning and performance framework. The alignment between the Strategic Plan, delivery plans and performance reporting demonstrates that arrangements to implement the strategic vision are well-structured and consistently applied. No significant risks identified. Strategy and priorities The Council’s strategic priorities are aligned to community needs and partner objectives and are informed by engagement including annual community budget conversations, Citizens’ Panel feedback, and targeted outreach to seldom-heard groups. The Council’s strategic planning approach involves service-level 'Strategic Needs Assessments' providing a detailed understanding of demographic, social, economic and service-demand trends. These assessments guide annual Delivery Plans and will support the development of the next five-year Strategic Plan (2027–2032). The Council’s strategy and priorities are well aligned to community needs and partner objectives. No significant risks identified Page 76
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 50 Vision, leadership and governance (continued) Our overall assessment (continued) Area assessed Our findings Our judgements Significant risks identified Governance arrangements The Council’s governance framework is built around full Council meetings, service-specific committees, and the Audit Committee. Council and Audit Committee meetings are consistently well attended, with councillors demonstrating an appropriate level of scrutiny and challenge. Governance arrangements are appropriate and appear to operate effectively. The Annual Governance Statement confirms alignment with the CIPFA/SOLACE Framework, supported by a Local Code of Corporate Governance. This includes an established risk-management framework. The Council has well-structured performance management arrangements, which link Delivery Plan actions to key performance indicators, strategic indicators, risk registers and benchmarking results. Regular mid-year and year-end performance reporting enables members to assess progress and measure impact and outcomes. Overall, the Council has well-structured and effective governance arrangements. These arrangements support informed decision-making and oversight. No significant risks identified. Page 77
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 51 Vision, leadership and governance (continued) Our overall assessment (continued) Area assessed Our findings Our judgements Significant risks identified Financial and performance information The Council’s performance reporting is clear and comprehensive with regular mid-year and year-end performance and financial reporting. This includes reporting through the audited annual accounts, budgetary control reports, and strategic performance updates. These reports include key financial variances, savings progress, and service-level performance indicators. The Council has established annual service delivery plans that set out specific improvement actions and KPIs. This sits within a wider governance framework that includes annual Chief Officer self-assessments, internal audit scrutiny and tracked improvement actions, ensuring plans are regularly updated and evidence-based. Internal audit is well-integrated into management and governance processes. Risk-based plans are developed with Chief Officers, and findings are acted upon through a structured response. Internal audit findings directly inform the Annual Governance Statement, demonstrating effective use of independent assurance. Strategic Plan indicators have defined targets, trend data and RAG status, supported by extensive year-on-year comparisons and national benchmarking through the Local Government Benchmarking Framework. Delivery Plans convert strategic priorities into service-level KPIs and risk registers, creating a clear flow from corporate objectives to measurable outcomes. The Council produces regular, clear and comprehensive financial and performance reporting information. No significant risks identified. Page 78
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Commentary on Wider Scope Use of resources to improve outcomes Audited bodies need to make best use of their resources to meet stated outcomes and improvement objectives, through effective planning and working with strategic partners and communities. This includes demonstrating economy, efficiency, and effectiveness through the use of financial and other resources and reporting performance against outcomes. Page 79
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 53 Use of resources to improve outcomes Our overall assessment Area assessed Our findings Our judgements Significant risks identified Resources deployed to improve strategic outcomes The Council can demonstrate a clear link between financial resources and the strategic outcomes achieved. Financial planning, performance frameworks and delivery plans ensure that spending is aligned with strategic priorities, while capital and revenue outturn reporting provides transparent evidence of what is being delivered through that investment. Outcomes are further tracked through Strategic Plan indicators and participation in the Local Government Benchmarking Framework, showing how resource deployment contributes to service-level and strategic results. The Council understands its key cost drivers including inflation, interest rate volatility, unfunded pay awards and rising demand in social care, which informs budget setting and resource allocation. However, these pressures continue to grow at a pace that exceeds the impact of current improvement activities. The Council has implemented alternative delivery models in several areas, including: • digital modernisation through "Fit for Future“ • process redesign under the Standard Operating Model • automation of high-volume transactions • shared-service arrangements such as the joint Internal Audit & Fraud service with Inverclyde Council. Some models, such as revised school transport arrangements are forecast to deliver significant recurring savings. However, the Council’s financial and staff capacity constraints has limited the progress of other initiatives. The Council makes effective use of resources to support improved outcomes, with clear links between spending, delivery and performance. The Council has implemented alternative service delivery models in several areas; however, resource constraints have affected its ability to make further progress. No significant risks identified. Page 80
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 54 Use of resources to improve outcomes Our overall assessment Area assessed Our findings Our judgements Significant risks identified Needs of service users being met The Council demonstrates a commitment to incorporating resident views into service delivery and decision-making through a range of engagement mechanisms, including public consultations, Budget Conversations, a Citizens Panel, surveys, and targeted outreach via community facilities such as libraries. These approaches are complemented by initiatives such as the ‘Working4U’ service, which supports digital inclusion and helps broaden participation, with engagement outcomes publicly reported to ensure transparency and inform priorities. The Council uses detailed delivery plans to guide how each service contributes to its strategic priorities. These plans outline specific actions, address performance challenges, and reflect service-level priorities. Each plan includes measurable performance indicators and annual targets, allowing the Council to track progress and drive continuous improvement. Updates are reported mid-year and at year- end to service committees and are made publicly available on the Council’s website, ensuring transparency and accountability. The Council demonstrates effective use of engagement and feedback mechanisms to ensure resources are aligned with the needs of service users, and resident views materially influence service planning and budget decisions. No significant risks identified. Page 81
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 55 Use of resources to improve outcomes (continued) Our overall assessment Area assessed Our findings Our judgements Significant risks identified Arrangements to deliver continuous improvements in priority services The Council provides transparent and robust information on service improvement through the Annual Report, Management Commentary and performance reporting frameworks. This includes measurable examples of improvement, such as top-five national performance in narrowing the attainment gap, progress on City Deal and Levelling Up projects, expansion in housing stock, and strengthened community programmes. The Council can demonstrate sustained positive progress in educational attainment, positive destinations, housing delivery, community support and major regeneration activity. Benchmarking through the Local Government Benchmarking Framework (LGBF) indicates that for 2024/25 roughly half of indicators have improved and that the Council performs at or above the Scottish average in several areas. Some of the other LGBF indicators, however, indicate a risk around the Council’s ability to deliver continuous improvements in services. For instance, the ratio of financing costs to net revenue stream for the general fund is 7.3% for 24/25, compared the Scottish average of 6%. High borrowing and financing costs will constrain budgets and the Council’s ability to fund improvement in priority services. The Council’s pace and depth of improvement is not yet sufficient to ensure services are sustainable in the longer-term and to realise its strategic priorities. Individual transformation initiatives (e.g., chatbot automation, housing system modernisation and the Glencairn House redevelopment) show clear benefits but lack the scale to have a significant impact. Performance against the 2022–27 Strategic Plan is mixed. Of the 50 Strategic Plan indicators, 30 were met or exceeded service, 11 narrowly missed target and nine significantly missed targets. There was under-performance in some areas such as environmental quality, neighbourhood maintenance, customer experience and resident satisfaction. Targets were exceeded in areas including education attainment, use of landfill and number of online transactions. The Council has arrangements in place that support continuous improvement in priority services, and measurable progress is evident across several key outcome areas. The Council must ensure the pace and depth of improvement is sufficient to ensure it achieves its strategic priorities and sustains the level and quality of services expected by residents, particularly in the context of escalating financial risks. Conclusion If the pace of improvement does not accelerate, the Council risks declining service quality and reduced public satisfaction. This may undermine the Council’s ability to deliver its strategic priorities. See page 56 for further information and our recommendations made to the Council. Page 82
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 56 Use of resources to improve outcomes (continued) Identified risks in Use of resources to improve outcomes and recommendations for improvement As a result of our work we have identified risks in the Council’s use of resource to improve outcomes. These identified risks have been outlined in the table below. We have assigned priority rankings to each of them to reflect the importance that we consider each poses to your organisation and, hence, our recommendation in terms of the urgency of required action; see Appendix F for further details. Bl an k Use of resources to improve outcomes significant risks identified Recommendation for improvement Council’s response and implementation timescale 1 Progress in delivering strategic priorities – Level 2 The Council has a clear strategic framework, but improvement activity is not progressing at a pace sufficient to mitigate its financial and operational pressures. Its performance reporting against the 2022–27 Strategic Plan shows mixed progress, with under performance in areas including environmental quality, neighbourhood maintenance, customer experience and resident satisfaction. If the pace and depth of improvement does not accelerate, the Council risks declining service quality and reduced public satisfaction. This may undermine its ability to deliver its strategic priorities. The Council should review the areas where it is not on track to achieve its strategic priorities and identify actions to address this. Management’s response: The Council acknowledges and will continue to focus on the small number of indicators not on track. These largely relate to satisfaction and perception measures which are influenced by the ongoing financial challenge and reflect wider national trends. All areas are supported by action plans and regular performance monitoring. In addition, further analysis has been undertaken to better understand the drivers of dissatisfaction, with survey questions strengthened to require respondents to provide reasons where negative views are expressed. This will support more targeted, evidence-based improvement actions while ensuring continued oversight of progress across all priorities. Responsible officer: Chief Executive Implementation date: Ongoing Page 83
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Please adhere to these instructions when utilising this slide: You have the flexibility to choose a colour for the background of the cover pages, divider slides, and closing slides from the following options: - white, - Indigo Dye, - True Blue, - or any colour from the ‘Vision’ colours palettes (see slide 2). 09Best Value Page 84
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 58 Best Value (continued) Overall summary by reporting criteria From the satisfactory conclusion of our audit work, we have the following conclusions: Reporting criteria Commentary page reference Identified risks? Actual risks identified? Other recommendations made? Best Value 59 No No One prior year recommendation is still to be fully implemented, see pages 68 and 69. Effectiveness of performance reporting 70 No No No Thematic reviews 73 No No Yes – see recommendations on pages 73 and 74. Statutory Performance Indicators 77 No No One prior year recommendation is still to be fully implemented, see pages 79. Page 85
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 59 Best Value Best Value summary Under the Code of Audit Practice, the audit of Best Value is fully integrated within our annual audit work. We are required to assess the seven Best Value themes at the Council over the period of the audit appointment. We have used a risk-based approach that is proportionate to the size and type of the body, to assess whether the Council has made proper arrangements for securing Best Value and is complying with its community planning duties. We have also followed up on previously reported Best Value findings and have assessed the pace and depth of improvement implemented by the Council. At least once every five years, the Controller of Audit will report to the Accounts Commission on the Council’s performance in meeting its Best Value duties. We conduct thematic reviews as directed by the Accounts Commission. In 2024/25 this will be about transformation. We have prepared a separate management report to document the findings of this work which can be found on Audit Scotland’s website: BV 24-25 West Dunbartonshire Council. Performance Audit and Best Value staff also prepare a report for the Controller of Audit using information and judgements on the pace and depth of continuous improvement reported in this Annual Audit Report. The Controller of Audit Report for West Dunbartonshire Council will be presented to the September 2026 Accounts Commission meeting. At the planning stage of the audit, we undertook work to understand the arrangements that the Council has in place under each of the reporting criteria and we considered whether there were any risks to our audit in those arrangements. We have kept our understanding of arrangements under review and updated our risk assessment throughout the audit to reflect emerging issues that may suggest significant risks in arrangements exist. The following slides outline the work that we have undertaken for each of the seven Best Value themes and any improvements or risks in arrangements that have been identified as part of our assessment. We have reported recommendations for the risks identified. Page 86
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 60 Best Value (continued) Our overall assessment of the Best Value themes (continued) Area assessed Our findings Our judgements Service improvement considerations Significant risks identified Vision and leadership See page 47 for the findings of our wider scope work on vision and leadership The Council’s strategic vision is clear and well-embedded across its planning and performance framework. The alignment between the Strategic Plan, delivery plans and performance reporting demonstrates that arrangements to implement the strategic vision are well-structured and consistently applied. The Council’s strategy and priorities are well aligned to community needs and partner objectives. None identified. No significant risks identified. Governance and accountability See page 48 for the findings of our wider scope work on governance. Overall, the Council has well-structured and effective governance arrangements. These arrangements support informed decision-making and oversight. None identified. No significant risks identified. Effective use of resources See page 51 for our findings on how the Council is ensuring its resources are deployed to improve strategic outcomes. The Council makes effective use of resources to support improved outcomes, with clear links between spending, delivery and performance. The Council has implemented alternative service delivery models in several areas; however, resource constraints have affected its ability to make further progress. None identified. No significant risks identified. Page 87
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 61 Best Value (continued) Our overall assessment of the Best Value themes (continued) Area assessed Our findings Our judgements Service improvement considerations Significant risks identified Partnerships and collaborative working The Council works closely with Community Planning West Dunbartonshire (CPWD) to deliver partnership-led approaches that respond directly to community need. In 2024/25, CPWD adopted a themed focus on anti-poverty activity, including a geographically targeted pilot and the establishment of the Family Prosperity Network, bringing together third-sector partners and employers to address child poverty. This approach reflects feedback gathered from residents and community groups and demonstrates effective use of local insight to inform partnership work. The Council also has a range of partnership and collaborative initiatives to improve outcomes and achieve efficiencies. This includes a Net Zero Cooperation Agreement with Glasgow City Council to deliver shared priorities such as electric waste vehicles, active travel, and sustainability, helping to reduce duplication and generate financial savings. The Council has demonstrated effective partnership working that supports community led outcomes, secures significant external investment, and promotes collaboration across local, regional, and national initiatives. However, the Council’s limited use of formal shared service arrangements indicates there is further scope to improve partnership and collaborative working with public sector partners. None identified. No significant risks identified. Page 88
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 62 Best Value (continued) Our overall assessment of the Best Value themes (continued) BV 24-25 West Dunbartonshire Council Area assessed Our findings Our judgements Service improvement considerations Significant risks identified At a national level, the Council participates in initiatives such as the Digital Office and SOLACE workstreams, which provide access to tools, training, and collaborative forums on digital transformation and artificial intelligence. While partnership working is well established strategically, officers noted that formal shared service arrangements with other councils remain limited, reflecting a wider sector challenge. Further detail on these themes and partnership approaches is set out in the Best Value Thematic Review Report published on the Audit Scotland website: BV 24-25 West Dunbartonshire Council. Page 89
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 63 Best Value (continued) Our overall assessment of the Best Value themes (continued) BV 24-25 West Dunbartonshire Council Area assessed Our findings Our judgements Service improvement considerations Significant risks identified Working with communities The Council applies a service design approach through its Fit for Future reviews, actively involving users in service redesign, supported by staff training and established communities of practice. Engagement with pupils and parents during the school catering review directly informed changes to service delivery, demonstrating responsiveness to feedback. The Glencairn House project is currently underway, with Dumbarton’s oldest building being transformed into a state-of-the-art library, museum, and community hub. This project involved extensive consultation, including surveys and drop-in sessions, and received strong community support. Targeted engagement with seldom heard groups shaped accessible design features and programme content. The Council conducts quarterly telephone satisfaction surveys and uses a Citizens Panel to capture wider user views. Feedback is reported to the Corporate Management Team and published on the Council’s public performance reporting webpages, promoting transparency. Further detail is available in our Best Value Thematic Review Report published on the Audit Scotland website: BV 24-25 West Dunbartonshire Council The Council includes community consultation as a key part of service redesign and transformation projects. It also regularly seeks more general feedback from its residents. None identified. No significant risks identified. Page 90
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 64 Best Value (continued) Our overall assessment of the Best Value themes (continued) Area assessed Our findings Our judgements Service improvement considerations Significant risks identified Sustainability We did not assess this theme in 2024/25. N/A N/A N/A Fairness and equality We did not assess this theme in 2024/25. N/A N/A N/A Page 91
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 65 Best Value (continued) Follow up of previously-reported recommendations We are required to follow up Accounts Commission findings, Controller of Audit recommendations and any outstanding improvement actions reported in Best Value Assurance Reports and Annual Audit Reports. In October 2025 we reported two new recommendations to the Council to address risks identified from our Best Value audit and concluded that a previous recommendation was still unresolved. As part of our work in 2024/25, we followed up the progress made by the Council against the recommendations made and determined whether the risk(s) remained during the year. b l a n k Best Value finding as previously reported Management response and implementation timeframe Work undertaken and judgements made in 2024/25 Conclusions reached 1 Workforce data – Level 2 The Council should ensure workforce data allows officers to identify resource gaps and supports succession planning. Management Response: Action is agreed as already part of planned developments to console. Responsible officer: Chief Officer P&T/Strategic People & Change Manager Implementation timescale: March 2025 Progress against the recommendation During 2024/25, the Council strengthened its workforce planning arrangements by updating its Workforce Planning Toolkit, which is a set of practical resources designed to help managers forecast staffing and plan for future skills. The Council also introduced Succession Planning Guidance in February 2025, which explains how to identify critical roles, assess successors, and create development plans. This guidance was supported by standard templates, including a succession planning status sheet to record risks, readiness levels, and priority actions for key posts. The Council launched Phase 1 of succession planning for senior leadership roles in March 2025. This included issuing an information pack to senior managers outlining the process, timelines, and tools available, and providing support through People & Change advisers. In addition, the Council enhanced its Workforce Planning Console, the main digital system used by managers to access real-time workforce data. Complete The Council has implemented the core elements needed to use workforce data effectively for identifying resource gaps and supporting succession planning. Governance, tools, and system improvements are in place, and managers are engaging with them. Remaining enhancements (such as predictive analytics) are planned for future phases of the work programme.. Page 92
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 66 Best Value (continued) Follow up of previously-reported recommendations (continued) b l a n k Best Value finding as previously reported Management response and implementation timeframe Work undertaken and judgements made in 2024/25 Conclusions reached New features added during the year included: • A tool to analyse voluntary severance and early retirement trends • Integration of training records and skills passports so managers can see completed and outstanding learning • A new Finance dashboard to support workforce cost planning. While these developments represent good progress, advanced features such as automated workforce forecasting and predictive analytics are still under development and not yet available for routine use. Training sessions were delivered to managers to improve understanding and use of the console. Usage data shows a significant increase, from an average of eight daily users in April 2024 to 31 by March 2025, indicating wider adoption across services. Page 93
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 67 Best Value (continued) Follow up of previously-reported recommendations (continued) b l a n k Best Value finding as previously reported Management response and implementation timeframe Work undertaken and judgements made in 2024/25 Conclusions reached 2 Hybrid and flexible working policy– Level 3 The Council should develop a new flexible/hybrid working policy or update its existing policy. Management’s response: Action is agreed as already part of planned policy review and will likely only require an update. Responsible officer: Chief Officer P&T/Strategic People & Change Manager Implementation date: December 2024 Progress against the recommendation The Council updated its Flexible Working Policy in April 2024 to reflect current legislation and modern working practices. The updated policy formally links to Remote Working Guidance, which sets out different work styles (such as home-based, mobile, and hybrid arrangements), and to the new Right to Disconnect Guidance introduced in July 2024. This guidance explains how employees can switch off outside working hours and includes practical advice on email etiquette, meeting scheduling, and wellbeing. To support managers in applying the policy consistently, the council issued Manager’s Guidance on Processing Flexible Working Requests in July 2024. This provides step-by-step instructions, timelines, and template letters for approvals and appeals. Complete The Council has updated its policy and supporting guidance to reflect current practice and legislative requirements. Page 94
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 68 Best Value (continued) Follow up of previously-reported recommendations (continued) b l a n k Best Value finding as previously reported Management response and implementation timeframe Work undertaken and judgements made in 2024/25 Conclusions reached 3 Staff absence– Level 2 Some staff are finding the pace of change challenging and staff absence remains an issue. The council is taking positive steps to try and address this and should continue to explore opportunities for improvement. Further recommendation The Council should implement a focused attendance improvement plan that strengthens early intervention, enhances management capability, and uses data more effectively to address the main drivers of short-term absence. This should be supported by clearer performance measures to assess the impact of wellbeing initiatives on reducing absence and associated costs Management’s response: After the improvement in sickness absence in 2023/24 there has been a slight increase in 2024/25 to 14.34 FTE days per FTE employee. This was the first time sickness absence levels had increased since 2021/22 and is in the context of high sickness absence levels in the wider UK labour market as evidenced by the 2025 CIPD Health and Wellbeing at Work Report. Additionally, sickness absence to date in 2025/26 has reduced compared to the same period in 2024/25 indicating a more positive position than the previous year. Additional provisions to support employee wellbeing have been introduced through changes to the family friendly leave policies such as neo natal leave, paternity leave and shared parental leave. Improvements have been made to ensure absence data is available to managers in real time at an individual and service level to support good management practice. Responsible officer: Chief Officer People & Technology Implementation date: N/A – measures to manage sickness absence are part of routine ongoing activity. Progress against the recommendation The Council continues to promote employee wellbeing support, with strong increases in employee engagement. Vivup (employee benefits platform) registrations rose by 82%, and My Money Matters (financial wellbeing platform) saw a 51% increase, giving staff easier access to wellbeing and financial resources. The Council has launched a new Vivup-led Employee Assistance Programme, offering self-help tools, counselling and immediate support. A refreshed Cycle to Work scheme is also now available year-round with a wider range of suppliers. The 2024/25 LGBF data showed sickness absence increased to 15.9 FTE days per FTE employee, which is a 5.3% increase from 23/24 and above the Scottish local authority average of 14.5 days. The top reasons for absence remain minor illness, personal stress and acute medical conditions. Ongoing The Council has made progress in addressing staff absence and wellbeing. It has implemented a broader and more accessible wellbeing framework, strengthened attendance management processes, and enhanced reporting capability within its workforce systems. There is also evidence of increased employee engagement with the wellbeing offer and improved management oversight of attendance. However, despite these developments, sickness absence remains a significant and persistent challenge. While the Council has taken forward the actions set out in its earlier improvement plan, further work is required to ensure these measures lead to sustained improvements in attendance outcomes. Page 95
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 69 Best Value (continued) Follow up of previously-reported recommendations (continued) b l a n k Best Value finding as previously reported Management response and implementation timeframe Work undertaken and judgements made in 2024/25 Conclusions reached Officers presented an 'Employee Wellbeing - Annual Update 2024/25' paper to Joint Consultative Forum in June 2025. This provided a detailed analysis and update on wellbeing and attendance up until 31 March 2025. Some of the key findings include: • The proportion of absence that is considered long term has decreased and is down to approximately 66%, a decrease of 14% compared to 2023/24. Long Term illness being over four weeks off at any time. • From 1 April 2024 to 31 March 2025, a total of 66,606 FTE days were lost due to sickness absence across the Council. • The estimated cost of lost productivity from absences was £11.8m. Management response: In June 2026 a report will be presented to Joint Consultative Forum confirming that FTE days lost has decreased by 1,381 compared to the previous year. Additionally in 2025/26, a review of Employee Wellbeing continued using the Council’s ‘Fit for Future’ approach. This holistic review focuses on the application of the Supporting Employee Wellbeing policy and has already delivered improvements to the return-to-work process, will improve data quality, reporting and reduce manual effort through automation. Work is now underway on managing intermittent absences, with early improvements identified. During 2026/27, these changes will continue to be implemented and work will begin on long-term absence management process. Improved data will then inform stronger management support and clearer evaluation of intervention effectiveness. Responsible officer: Chief Officer People & Technology Timescale: 31 March 2027 Page 96
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 70 Best Value (continued) Effectiveness of performance reporting Effective performance management arrangements should be in place to promote the effective use of the local authority’s resources. Performance is systematically measured across all areas of activity, and performance reports are regularly scrutinised by managers and elected members. The performance management system is effective in addressing areas of underperformance, identifying the scope for improvement and agreeing remedial action. We have outlined below a summary of what the Council is reporting in relation to service performance including the Council’s assessment of progress against its service priority measures and reporting on its relative performance (from the Local Government Benchmarking Framework and other information used locally). Effectiveness of performance reporting theme Our findings Our judgements Our conclusions Significant risks identified Effective performance management The Council demonstrates a well-established approach to performance management that supports continuous improvement and transparent accountability. Strategic priorities are clearly defined within the Strategic Plan 2022–27, supported by measurable outcomes, indicators and detailed delivery plans that ensure a clear line of sight from high-level objectives to operational activity. Regular reporting to elected members provides a balanced, evidence-based view of progress, highlighting both areas of strong performance and those requiring improvement. Variances are consistently explained, and the Council takes corrective action through targeted improvement plans, recovery measures and strengthened governance oversight. Public performance reporting is clear and accessible, incorporating comparative analysis through the LGBF and presenting multi-year trends that help residents understand how the Council is performing over time. Engagement with communities is well embedded through surveys, Citizens’ Panels, budget consultations and service-specific engagement, and this feedback is actively used to contextualise performance trends and inform improvement activity. The Council has effective performance management arrangements in place, with clear targets, regular and transparent reporting, and a structured approach to identifying and addressing under-performance. Improvement actions are consistently developed, monitored and aligned to strategic priorities, demonstrating active management and a clear commitment to continuous improvement. The overall framework provides assurance that performance is being effectively managed. The Council has effective performance management arrangements in place. No significant risks identified. Page 97
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 71 Best Value (continued) Effectiveness of performance reporting (continued) Effectiveness of performance reporting theme Our findings Our judgements Our conclusions Significant risks identified While some strategic risks around financial sustainability, workforce resilience and environmental targets remain challenging, the Council’s performance framework provides a robust foundation for managing these pressures. Overall, the evidence indicates that the Council has the key characteristics of effective Best Value: clear priorities, transparent reporting, active performance management and a commitment to continuous improvement. Page 98
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 72 Best Value (continued) Effectiveness of performance reporting (continued) Effectiveness of performance reporting theme Our findings Our judgements Our conclusions Significant risks identified Improvement plans The Council’s mid-year performance report demonstrates that the Council puts improvement plans in place when targets are missed, with services identifying reasons for under-performance and setting clear corrective actions. Improvement actions are supported by robust data, including benchmarking through the LGBF, citizen and service-user feedback, financial and workforce analysis, and risk assessments that highlight where further action is required. Examples such as responses to rising youth homelessness, recycling improvements, reserve recovery actions, and service redesigns in neighbourhood services show that the Council identifies under-performance early and puts practical mitigation in place. The Annual Report 2024/25 demonstrates that the majority of internal indicators show positive progress, with 60% meeting or exceeding annual targets (rising to 82% when narrowly missed targets are included). The LGBF data for 2024/25 shows that an average of 56.9% of indicators have improved since the base year in 2010/11, with the Council’s performance falling slightly below this benchmark, with 54.6% improving. This places the Council 20th out of 32 in Scotland. The year-on-year comparison is 45.37% in improvements on indicators. This is an improvement form the prior year where only 35.24% were shown to have improved in the year. As reported in the Wider Scope section of this report, some of the LGBF indicators indicate a risk around the Council’s ability to deliver continuous improvements in services (see page 53). The Council has effective improvement plans, with under-performance identified early and supported by clear, targeted actions that are monitored through established governance processes. However, its current pace and depth of improvement is not yet sufficient to ensure it achieves its strategic priorities and sustains the level and quality of services expected by residents, particularly in the context of escalating financial and operational risks. The Council acknowledges the breadth of challenges and has improvement plans in place to mitigate the risk of falling performance. It should ensure these cover areas where it is not on track to achieve its strategic priorities (see recommendation 1 on page 54). No significant risks identified. Page 99
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 73 Best Value (continued) Thematic reviews The Accounts Commission reports nationally on thematic aspects of local government bodies’ approaches to, and performance in, meeting their Best Value and community planning duties. As appointed auditors of the Council we are required to report on Best Value and related thematic work as prescribed by the Accounts Commission. For the thematic work in 2024/25, we are required to carry out an overview of transformation. As part of this review, we are required to report on the areas documented in the table below. The full thematic review report for the Council can be found on the Audit Scotland website: BV 24-25 West Dunbartonshire Council. Thematic themes Our findings Our judgements Risks identified Transformation planning The Council’s Strategic Plan sets out a clear commitment to service improvement and transformation, supported by well defined priorities and performance reporting. While transformation activity is embedded across services and linked to strategic objectives, there is no single, standalone transformation programme bringing together all projects and workstreams, which limits visibility of collective progress and impact. Although transformation initiatives are contributing to savings and informing budget decisions, the Council recognises they will not, on their own, address medium and long term financial challenges. The absence of consolidated monitoring of transformation costs and benefits means the Council cannot clearly demonstrate how transformation activity supports long term financial sustainability, despite otherwise robust performance monitoring against Strategic Plan priorities. The Council has a clear strategic direction and effective performance reporting arrangements. However, the Council does not monitor and report on the overall costs, savings and outcomes from its transformation projects. There is also no consolidated public reporting on transformation. This weakens the Council’s ability to evidence how transformation supports long term sustainability. Reporting Transformation Outcomes (Level 2) Risk: The council cannot measure and demonstrate to stakeholders how effectively it is delivering its service improvement and modernisation strategic priorities. Recommendation: The council should review how it reports on transformation to ensure it can clearly demonstrate the costs, savings and outcomes from transformation projects to stakeholders. Management’s response: The Council will carry out a review of current transformation reporting to ensure it provides a balance between proving sufficient information to stakeholders and not creating an excessive demand on limited resource. Any identified changes to current reporting will be implemented in the 2027/28 financial year. Responsible officer: Chief Executive Officer Implementation date: 31 March 2027 Page 100
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 74 Best Value (continued) Thematic reviews (continued) Thematic themes Our findings Our judgements Risks identified Programme management The Council has put in place formal governance arrangements to oversee transformation activity, including the Strategic Risk and Resilience Strategic Reflective Review Panel and the Transformation and Visioning Board. A consistent corporate approach to project management is in place, and work is ongoing to further strengthen project and change management disciplines across the organisation. The Council’s Digital and Change teams possess strong specialist expertise and actively engage with national networks and best practice. However, these teams are small and operate with limited capacity, restricting the Council’s ability to deliver transformation at the scale and pace required to meet its ambitions. Senior leadership receives regular and structured updates on transformation progress through bi monthly reports to the Transformation and Visioning Board, alongside financial monitoring via Budgetary Control Reports. While elected members receive information on savings delivery through budget processes and senior officer updates, they do not have full oversight of wider transformation outcomes, limiting their ability to assess the overall effectiveness and impact of transformation activity. The council’s Digital and Change teams have specialist skills and are well connected to national networks. However, these are small teams with limited capacity. Resourcing and capacity to deliver transformation (Level 2) Risk: The council does not have sufficient resources to deliver transformation at the scale and pace it desires. Recommendation: The council should review whether it has sufficient resources to achieve its service improvement and modernisation priorities and, if necessary, consider options for increasing capacity. Management response: The Council has recently reviewed capacity to support the delivery of transformation and put in place funding to secure additional capacity to support fit for future reviews. Responsible officer: Chief Executive Officer Implementation date: 31 March 2026 Page 101
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 75 Best Value (continued) Thematic reviews (continued) Thematic themes Our findings Our judgements Risks identified Partnership working and community engagement The Council works effectively with partners, including through Community Planning West Dunbartonshire and national collaborations, to support transformation activity, access external funding and share expertise. This partnership working enhances the Council’s ability to deliver more complex change initiatives. All Council engagement activity is co-ordinated through the engaging communities framework led by the Council’s performance and strategy team. This includes project-based engagement and all wider consultation activity undertaken by the Council, including the budget conversation. Community engagement is embedded within transformation activity and has influenced decisions in specific projects, such as catering services and cultural regeneration. However, engagement activity is largely project based and is not coordinated through a single corporate transformation framework. The Council demonstrates awareness of the impact of transformation on vulnerable groups and has taken steps to mitigate risks such as digital exclusion. Equality Impact Assessments are undertaken for major projects, supported by targeted engagement with seldom heard communities. The Council demonstrates good partnership working and consideration of equality impacts. However, engagement and inclusion activity is fragmented across projects. This limits assurance that transformation is being delivered consistently and inclusively at a corporate level. No significant issues identified. Page 102
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 76 Best Value (continued) Thematic reviews (continued) Thematic themes Our findings Our judgements Risks identified Impact of transformation The Council has defined success measures for major transformation projects, focusing mainly on financial savings and operational efficiencies, with limited reporting on wider social or equality outcomes. While individual projects demonstrate clear benefits, there is no consolidated corporate overview of transformation benefits. Progress is communicated through committee reports, Strategic Plan updates and public performance reporting. However, there is no single, consolidated public report that brings together the overall impact and outcomes of the Council’s transformation activity. The Council can evidence benefits at individual project level and communicates progress through existing reporting channels. However, the absence of consolidated oversight and public reporting limits transparency and understanding of the overall impact of transformation. Reporting Transformation Outcomes (Level 2) See page 73 for details of the risk, recommendation and management’s response. Page 103
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position Best Value (continued) Best Value (continued) 77 Statutory PerformanceIndicators Weare requiredto reporton the Council’s effectivenessand appropriatenessof arrangementsin place forcomplying with the Direction issued in December 2021, including the balance and timeliness of reportingtomembersalong with its accessibility forcitizens and communities. Thetable below details our overall assessmentof theCouncil’s statutoryperformanceindicators arrangements: Council’s arrangements Our findings Our judgements Risks identified StatutoryPerformance Indicator1: Improving local services and local outcomes Statutory Performance Indicator (SPI) 1 requires a council to report its performance in improving local public services and progressagainst agreed desired outcomes. The council’s public performance reporting (PPR) provides a clear, accessible, and balanced overview of how services are performing against priorities, drawing on a wide range of indicators, trend data, and narrative explanation. Reports present performance openly, highlighting both achievements (e.g., targets exceeded across education, leisure, and waste reduction) and areas where performance is below target, with transparent explanations and planned improvement actions. The use of multi-year trend data, citizen feedback, and contextual narrative ensures that reporting is balanced and easy to understand, giving residents and elected members a well-rounded picture of progress against strategic priorities over time. The Annual Report 2024/25, which is published on the PPR area of the Council’s website, clearly demonstrates strong community engagement by incorporating extensive resident feedback throughout its performance sections. Each strategic priority includes findings from large-scale public surveys such as the Telephone Survey with 900 residents and the Citizens’ Panel with 309 participants, summarising what residents said about services and satisfaction with how the Council runs things. The PPR area also has a dedicated 'Comparative Performance' section, comparing the Council’s performance with all Scottish councils, its designated family-group peers through the LGBF, and against its own prior year performance. The Council’s public performance reporting is clear, balanced and accessible, providing strong transparency over service performance. It makes effective use of trend data, benchmarking and resident feedback to present a well-rounded view of progress. This supports informed scrutiny by elected members and enhances accountability to the public. No significantissues identified. Page 104
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position Best Value (continued) 78 Statutory PerformanceIndicators(continued) Council’s arrangements Our findings Our judgements Risks identified StatutoryPerformance Indicator2: Demonstrating Best Value Under SPI 2 requirements,councils must reportboth their own evaluations and thoseconductedby external audit, scrutiny, and inspection bodies regardingtheir performancein meeting the duty of Best Value. Additionally, councils are expected to disclose how they have responded to these assessments.This ensures transparencyand accountability in public service delivery and continuous improvement. The Council demonstrates clear and well-established arrangements for assessing performance against its Best Value duty, supported by Strategic Plan reporting, benchmarking through the LGBF, self evaluation and service level reviews. These assessments are subject to elected member scrutiny and external audit, with improvement actions identified, monitored and linked to agreed management responses. However, one outstanding issue remains from prior year audit follow ups, relating to SPI2 expectations of visibility of school inspection reports and associated action plans. Our recommendation remains outstanding regarding the accessibility of information on external scrutiny and inspection outcomes, particularly school inspection reports and related action plans. While the Council responds to external assessments, it does not yet clearly publish its own consolidated account of how it has addressed findings from audit and inspection bodies. The Council has robust processes for assessing and scrutinising Best Value performance. However, transparency over how external inspection findings are addressed could be improved. Addressing this would strengthen public accountability and assurance over how the Council is demonstrating Best Value. See page 79 for furtherinformation and follow up on our recommendations made to the Council. Page 105
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position Best Value (continued) Best Value (continued) 79 Follow up of previously-reported recommendations We are required to follow up findings from our review of statutory performance indicators in the previous years. In October 2025 we reported one recommendation to the Council to address risks identified from our review of statutory performance indicators . As part of our work in 2024/25, we followed up the progress made by the Council against the recommendations made and determined whether the risk(s) remained during the year. Best Value findingas previously reported Management response and implementation timeframe Work undertaken and judgements made in 2023/24 Conclusionsreached 1 SPI 2: Demonstrating Best Value (Level 2) The Council does not fully comply with the requirements of SPI 2. Recommendation – The Council should ensureit publishes details of how it has responded to external audit and inspection reports. ManagementResponse: Work is ongoing and is targeted to be complete by the end of 2025 Responsible officer:Chief Officer Education Implementationdate: 31 December 2025 Progress against the recommendation We made enquiries with officers on progress inspected the Council website and other publications. The Council has continued to improve public access to school level inspection and performance information, with individual school webpages now acting as the primary access point. Education Scotland inspection reports are directly linked where available, alongside School Improvement Plans, Standards and Quality Reports and School Handbooks, with clearer signposting from central Education and Schools pages. Some schools do not yet have inspection reports due to inspection cycles and records management. The Council has made good progress in implementing our recommendation. Work is ongoing to finalise webpage layout and present the wider service improvement framework consistently and accessibly, with further updates planned through 2026. Ongoing The recommendation is partially implemented. The remaining work relates to finalising webpage structure and navigation which officers aim to be complete during 2026. Management response: Educational Services are on track to complete the actions by October 2026. Work is underway to review all school websites to ensure they are aligned with the adapted format and content on the Council homepage with work planned for the summer period to adapt the webpage layout. Responsibleofficer: Chief Officer Education Timescale: October 2026 Page 106
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Please adhere to these instructions when utilising this slide: You have the flexibility to choose a colour for the background of the cover pages, divider slides, and closing slides from the following options: - white, - Indigo Dye, - True Blue, - or any colour from the ‘Vision’ colours palettes (see slide 2). Appendices A: Internal control conclusions B: Draft management representation letter C: Draft audit report D: Confirmation of our independence E: Other communications F: Wider scope ratings G: Current year updates, forthcoming accounting & other issues A Page 107
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 81 Appendix A: Internal control conclusions Other deficiencies in internal control A deficiency in internal control exists if: • A control is designed, implemented, or operated in such a way that it is unable to prevent, detect, and/ or correct potential misstatements in the financial statements; or • A control that is necessary to prevent, detect, and/ or correct misstatements in the financial statements on a timely basis is missing. The purpose of our audit was to express an opinion on the financial statements. As part of our audit, we have considered the Council’s internal controls relevant to the preparation of the financial statements to design audit procedures to allow us to express an opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Council’s internal controls or to identify any significant deficiencies in their design or operation. The matters reported in Appendix A are limited to those deficiencies and other control recommendations that we have identified during our normal audit procedures and which we consider to be of sufficient importance to merit being reported. If we had performed more extensive procedures on internal control, we might have identified more deficiencies to report or concluded that some of the reported deficiencies need not in fact have been reported. Our comments in Appendix A should not be regarded as a comprehensive record of all deficiencies that may exist or improvements that could be made. This Appendix sets out the internal control observations that we have identified as at the date of this report. These control observations are not, in our view, significant control deficiencies but have been reported to management directly and are included in this report for your information. In our view, there is a need to address the deficiencies in internal control set out in this section to strengthen internal control or enhance business efficiency. Our recommendations should be actioned by management in the near future. Page 108
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 82 Appendix A: Internal control conclusions (continued) Other recommendations in internal control Lease Remeasurement – Design/Implementation Description of deficiency Management used an incremental borrowing rate (IBR) derived from the weighted average of existing borrowings as at May 2025 to measure right-of-use (ROU) assets and lease liabilities as at 1 April 2024. This is not aligned with the IFRS 16 requirement to determine an entity-specific IBR at the lease commencement date. This resulted in trivial differences between management’s calculations and our independent recomputation. Potential effects Incorrect application of the incremental borrowing rate may result in misstated lease liabilities and ROU assets. Recommendation Management should ensure that the incremental borrowing rate is determined using relevant and up-to-date information at the lease commencement date, with appropriate review and documentation controls in place. Management response: The application of an incremental borrowing rate to inform the 2025/26 draft annual accounts will be reviewed and any required adjustments made as part of the audit process. Responsible officer: Chief Officer Resources Implementation date: 30 November 2026 Review of Actuarial Assumptions– Design/Implementation Description of deficiency The Finance Manager performs a review of the IAS 19 report prepared by the actuary to ensure the actuarial assumptions are reasonable for financial reporting purposes. This includes an assessment of key assumptions against PwC guidance. However, no documentation is retained to evidence this review. Potential effects The Council cannot demonstrate that actuarial assumptions have been appropriately reviewed and validated. Recommendation Management should implement a formal process to evidence the review of actuarial reports, including retaining a record of review. Management response: The review of the IAS 19 report will be documented by the Finance Manager and approved by the Chief Officer Resources. Responsible officer: Chief Officer Resources Implementation date: 31 August 2026 Page 109
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 83 Appendix A: Internal control conclusions (continued) Other recommendations in internal control Privileged Accounts (Agresso) – Design/Implementation Description of deficiency We identified that an officer responsible for posting journals holds two separate user accounts within Agresso, the Council’s financial reporting and accounting system. Potential effects The existence of multiple user accounts held by a single individual increases the risk of unauthorised activities going undetected. This includes inappropriate system changes, data manipulation, or misuse of information. To mitigate the risk the Council maintains an audit log to retrospectively verify all actions taken within Agresso, ensuring that any system access can be reviewed and confirmed. Recommendation Management should review: • access permissions to ensure they are appropriate and in accordance with job responsibilities; and • compensating controls to ensure they appropriately mitigate the identified risk where full segregation of duties cannot be achieved. Management response: Management considers the compensating controls in place mitigate the identified risk to an acceptable level and that the officer’s access permissions are appropriate and necessary to minimise disruption to the finance system. Removing the second user role at this stage would create greater operational risk, as it would increase reliance on ICT support and could lead to increased system downtime. Following the move to the new cloud-based finance system in 2027/28, the two user profiles will no longer be required. All users will instead have a single profile with access permissions aligned to their role. Responsible officer: Chief Officer Resources Implementation date: 1 April 2027 Impairment Review – Design/Implementation Description of deficiency The Council is unable to evidence a detailed annual review of council dwellings enhancement expenditure to support its conclusion that this should be fully recognised on a cost basis. Potential effects The value of council dwellings may be materially misstated, particularly if enhancement expenditure between formal valuations continues to be material. Recommendation Management should consider more frequent valuation of its housing stock. It should also formally evidence its annual consideration of the value added to council dwellings by enhancement expenditure. It should consider how its valuer can support it with this exercise. Management response: Consideration will be given to the costs and benefit of performing a more frequent valuation of housing stock. This needs to find a balance between use of public money and the extent to which the balance sheet may be misstated for a limited period. An annual exercise will be implemented to review the accounting treatment of enhancement expenditure. Responsible officer: Chief Officer Resources Implementation date: 31 March 2027 Page 110
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 84 Appendix A: Internal control conclusions (continued) Other recommendations in internal control Assets with Nil Net Book Values – Design/Implementation Description of deficiency We identified several assets within the asset classes of other land and buildings, industrial units, infrastructure assets and vehicles, plant and equipment that were fully depreciated despite continuing to be used by the Council. Potential effects The useful lives assigned to assets may not appropriately reflect the actual usage of the asset. Recommendation Officers should review the accounting policy for depreciation to ensure it is appropriate. Management response: The Council is in the process of implementing a new financial ledger system which will provide an asset register as a core module. Part of this exercise will include the review of assets transferred from the current spreadsheet-based asset register to ensure their useful lives and net book values are appropriate. Fully depreciated assets will be considered as part of this exercise. Responsible officer: Chief Officer Resources Implementation date: 1 April 2027 Expected Credit Loss (ECL) provision – Design/Implementation Description of deficiency We identified that there is no documented evidence to support the management’s review of Expected Credit Loss (ECL) bad debt provisions. Potential effects Management do not appropriately review and challenge the judgements and methodology for the ECL provisions, which increases the risk that debtor balances are misstated. Recommendation Officers should fully document ECL reviews, including the basis for key assumptions, and evidence of management challenge and approval. Management response: Approval of the bad debt provision was provided verbally by the Chief Officer Resources in 2024/25. In 2025/26 this has been corrected and approval has been provided in writing. Responsible officer: Chief Officer Resources Implementation date: Complete Page 111
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 85 Appendix A: Internal control conclusions (continued) Other recommendations in internal control Register of Interest Review – Design/Implementation Description of deficiency We identified that the current procedures for compiling and reviewing the register of elected member and senior officer interests do not sufficiently assess the relevance of disclosures, resulting in the inclusion of outdated information. Potential effects The inclusion of irrelevant historic information may obscure significant current interests, reduce the usefulness of the register, and make it more difficult for officers to identify potential related party relationships or transactions. Recommendation The Council should ensure the register of interest is regularly reviewed and updated and review the appropriateness of the guidance it provides to individuals completing returns. Management response: The Council is required to retain a register of interest for elected member’s full term of office and for 10 years after their term of office ceases. Elected members will be reminded of the requirement to keep the register up to date. Responsible officer: Chief Officer Regulatory and Regeneration Implementation date: 31 July 2026 Timeliness of Bank Reconciliation Reviews – Design/Implementation Description of deficiency During our review of bank reconciliations, we noted that in some instances the certification and review of reconciliations was not completed on a timely basis. We identified three monthly bank reconciliations which were signed off two months after they were initially prepared and a further four monthly reconciliations which were signed off one month after preparation. Potential effects Delays in review increase the risk that errors, omissions, or unauthorised transactions are not identified and corrected promptly. Recommendation The Council should ensure bank reconciliations are reviewed and certified on a timely basis, with monitoring to ensure compliance and escalation where delays occur. Management response: The need to prioritise work due to resource pressures means there have been occasions where the second review of bank reconciliations have not been carried out in as timely a manner as would be preferable. However, it is important to recognise that the performance of the reconciliations have been carried out in a timely manner. Finance will endeavour to improve the timely performance of the second review in 2026/27. Responsible officer: Chief Officer Resources Implementation date: 31 July 2026 Page 112
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 86 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points We set out below an update on internal control points raised in prior periods. Journals with no description Description of deficiency As part of our testing to address the risk of management override of controls, we obtained the Council’s complete ledger and analysed the manual entries using our data analytics software. This included extracting any journal entries which did not have a description. We found 305 instances of journals posted without a description. This is a small proportion of the 31,457 journals processed during the year, however we identify this as a characteristic of a high-risk journal as having no description makes it very difficult to identify what the journal relates to and its appropriateness. Potential effects Descriptions on journal entries assist in understanding the nature of the entry and whether it is appropriate. The absence of descriptions increases the risk of fraud or error in the Council’s financial records. Recommendation Management should ensure all journal entries include a suitable description for why the entry has been made. 2024/25 update Ongoing: During our 2024/25 testing, we found 14 manual journals posted without a description. We extended our analysis to automated journals this year and found 200,000 automated journals posted without a description. Through discussions with officers and analysis of the ledger we were able to determine what these journals related to and that they were appropriate. Management response: Automated journals are run on a daily basis and are very low risk as they are system generated without manual intervention. They predominantly allocate cash to customer accounts. Introducing manual intervention to add descriptions would create an extreme resource pressure with no added value and introduce a risk to the process. Manual journals with no description have reduced from 305 to 14 so there has been a clear improvement. We will continue to keep processing of manual journals under review. Responsible officer: Chief Officer Resources Implementation date: Ongoing Page 113
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 87 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points We set out below an update on internal control points raised in prior periods. Lease register Description of deficiency During our 2023/24 review of lease disclosures within the financial statements, we observed that the lease register had not been updated to reflect changes in lease agreements or the removal of expired lease arrangements. This issue was also identified in the prior period, with management previously committing to ensure the register would be kept up to date. Potential effects Failure to maintain an accurate lease register may result in incomplete or incorrect lease disclosures in the financial statements. This could lead to inaccurate financial reporting and non-compliance with accounting standards. Recommendation Management should regularly review and update the lease register, ensuring that all new, modified, and expired lease agreements are accurately recorded. This process should be embedded in the financial reporting cycle and supported by appropriate oversight to ensure the completeness and accuracy of lease disclosures. 2024/25 update Ongoing: The agreed management target date for resolution remains 31 March 2027. Management response: A review will be conducted of the procedures to manage the lease register with identified improvement actions implemented. This will be carried out in conjunction with the roll out of the new financial ledger system to enable officers to ensure we make best use of any available functionality within the new system. Responsible officer: Chief Officer Resources Implementation date: 31 March 2027 Page 114
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 88 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points (continued) Fixed Assets Register Description of deficiency The fixed asset register provided to audit did not reconcile to the non-current asset balances in the annual accounts. Over the course of the audit officers updated the register and, although the overall difference is now trivial, it still does not fully reconcile. Potential effects Discrepancies between the fixed asset register and the annual accounts may result in incorrect or incomplete disclosures. Recommendation Officers should review and update the fixed asset register to ensure it is accurate and complete. 2024/25 update Ongoing: The fixed asset register initially provided by officers did not reconcile to the property, plant and equipment balance in the annual accounts. Officers updated the register during the audit, and the remaining variance is now trivial, however a full reconciliation has not yet been achieved. The Council is progressing a project to replace its financial reporting system, including full integration of a fixed asset register, to reduce risks arising from the current spreadsheet- based approach. The new system is expected to be implemented in the 2027/28 financial year. Management response: This issue has been progressed, and further improvement will be delivered through the implementation of the new financial ledger system. This will include carrying out an exercise to ensure uploaded data reconciles to the financial statements. Responsible officer: Chief Officer Resources Implementation date: 31 March 2027 Page 115
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 89 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points (continued) Bank reconciliations Description of deficiency Our review of bank reconciliations identified a significant number of unmatched reconciling items dating back to the 2019/20 financial year. This had resulted from challenges officers had matching transactions relating to virtual credit cards between the financial ledger and bank statements. Potential effects Delays in clearing reconciling items identified in bank reconciliations increases the risk of fraud and error in the financial statements. Recommendation Officers should work to complete the exercise to review and clear all historic transactions with the virtual credit cards. 2024/25 update Ongoing: The issue has not yet been fully resolved. While the Council continues to address legacy unmatched transactions, we noted that new unmatched items are accumulating through the virtual credit card process. We also identified unmatched transactions relating to legal expenses. Officers explained that these arose following staff departures within the legal department, which delayed the completion of reconciliations. Management response: Management accept this is an ongoing issue and we will continue to focus on trying to clear historic reconciling items. Responsible officer: Chief Officer Resources Implementation date: 31 December 2027 Page 116
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 90 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points (continued) User Access Review Description of deficiency We identified that the Council is not following its policy of performing periodic review of user access to the Agresso, Financial Ledger, system. We found, at the time of testing, that the last review was carried out in November 2021. The last comprehensive review, where managers were asked to review if system users in their team had changed post, responsibilities or left, was carried out in 2019. Potential effects Unauthorised users could have inappropriate access to systems which increases the risk of data breaches and fraud. Recommendation The Council should ensure Agresso user accounts are reviewed on a regular basis to verify: - that the user account is still valid (i.e. that the user account should be active); - access rights granted to the user account are aligned with the employee's functions within the Council. 2024/25 update Ongoing: The recommendation is still to be resolved by management. Management response: Management accept that regular reviews of Agresso user access are not carried out. This is due to a need to commit limited resource to areas of work where most value can be delivered. It is further noted there are compensatory controls in place to minimise risk including segregation which means no single user can prepare an entry and approve it. Consideration will be given to how efficiently user access reviews can be carried out when the new financial ledger system is implemented. Responsible officer: Chief Officer Resources Implementation date: 1 April 2027 Page 117
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 91 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points (continued) IT System Backup management policy Description of deficiency We noted that, while systems are subject to backup protocols, the Council has no central backup policy. Potential effects The absence of clear guidance could increase the risk of data loss and impact business continuity. Recommendation The Council should implement a central backup policy covering: • location of backups • monitoring of backup jobs • retention timelines • testing of data restoration • disaster recovery (including testing). 2024/25 update Complete: The Council’s ICT Backup Policy was adopted in November 2025 and covers the areas outlined above. Page 118
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 92 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points (continued) Review of Assets Under Construction Description of deficiency During our review of asset transfers we found that assets with a carrying value of £4.2 million were transferred to their appropriate operational asset classes in 2023/24 despite the assets becoming operational in the previous financial year. This findings prompted officers to conduct a further review, resulting in the additional transfer of completed assets totalling £5.0 million and a restatement of the prior period financial statements. Potential effects Incomplete recognition of operational assets leads to inaccurate financial reporting and misstatement of asset values. It also results in depreciation not being applied in line with the Council’s accounting policy, which can affect both the accuracy of the financial statements and asset management records. Recommendation Management should establish a routine and timely review process for Assets Under Construction to ensure that completed assets are promptly recognised as operational and depreciation is correctly applied. 2024/25 update Complete: We did not identify any significant issues with the schedule of Assets Under Construction. Page 119
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 93 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points (continued) Exit package disclosure Description of deficiency Our review of the exit package disclosure identified several inconsistencies with supporting employee records, including duplicate employee entries, discrepancies in employee names across systems, and the inclusion of West Dunbartonshire Leisure Trust (WDLT) staff. Potential effects Inaccurate or incomplete exit package disclosures may lead to misstatements in the financial statements and incorrect reporting. Recommendation Management should ensure exit package data is appropriately reviewed and reconciled to data held in the HR and payroll systems. 2024/25 update Complete: Except for one disclosure misstatement, which officers have corrected, our testing did not identify any significant consistency issues between the exit package disclosure and supporting employee records. Page 120
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 94 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points (continued) Non-Domestic Rates (NDR) Description of deficiency There was no evidence to confirm that timely and sufficient reviews are being conducted on the Non-Domestic Rates (NDR) system. This was highlighted by several errors identified and reported during our 2023/24 certification exercise. Potential effects Inadequate review processes may result in undetected errors within the NDR system, potentially leading to misstatements in the Council’s financial reporting. Recommendation Management should implement and document a formal review process for the NDR system, ensuring that regular and robust checks are performed. 2024/25 update Complete: We did not identify any significant issues with the NDR system. Page 121
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 95 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points (continued) Property, plant and equipment: Gross Internal Areas Description of deficiency We identified some differences between property gross internal areas per the Council’s records and those use by the external valuer in its 2023/24 valuations. We obtained reasonable explanations for the differences and confirmed that overall, the differences would not result in the revalued properties being materially misstated individually or in total. Potential effects Incomplete and/or incorrect property information limits the Council’s ability to review and challenge the valuations made by its external valuer. This increases the risk of misstatement in the annual accounts. Recommendation Officers should: • Review and update the Council’s records to reflect any changes arising from capital works or operational changes. • Work with the external valuer to ensure greater consistency in source data ahead of future valuation cycles. • Introduce a reconciliation step during the valuation process to identify significant gross internal area variances for review. 2024/25 update Complete: We did not identify any significant issues related to the use of gross internal areas for the properties revalued in year. Page 122
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 96 Appendix A: Internal control conclusions (continued) Follow up on previous internal control points (continued) Creditors overstatement Description of deficiency We identified a number of errors in the disclosures of debtors and creditors. This had the effect of reducing both assets and liabilities by £3.222 million. Potential effects There is a risk that the figures in the Balance Sheet are overstated. Recommendation Management should review the year-end procedures to ensure that debtors and creditors are correctly accounted for. 2024/25 update Complete: From our review of the 2024/25 schedules, we did not find similar issues with debtors and creditors. Page 123
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 97 Appendix B: Draft management representation letter Forvis Mazars 100 Queen Street Glasgow G1 3DN XX June 2026 Dear Tom Reid, West Dunbartonshire Council- Audit for Year Ended 31 March 2025 This representation letter is provided in connection with your audit of the financial statements of West Dunbartonshire Council (the Council) for the year ended 31 March 2025 for the purpose of expressing an opinion as to whether the financial statements give a true and fair view in accordance with the CIPFA/LASAAC Code of Practice on Local Authority Accounting in the United Kingdom 2024/25 (the Code), and applicable law. I confirm that the following representations are made on the basis of enquiries of management and staff with relevant knowledge and experience (and, where appropriate, inspection of supporting documentation) sufficient to satisfy myself that I can properly make each of the following representations to you. My responsibility for the financial statements and accounting information I believe that I have fulfilled my responsibilities for the true and fair presentation and preparation of the financial statements in accordance with the Code, as amended by applicable law. My responsibility to provide and disclose relevant information I have provided you with: • access to all information of which I am aware that is relevant to the preparation of the financial statements such as records, documentation and other material; • additional information that you have requested from us for the purpose of the audit; and • unrestricted access to individuals within the Council and Group you determined it was necessary to contact in order to obtain audit evidence. I confirm as Chief Officer- Resources that I have taken all the necessary steps to make me aware of any relevant audit information and to establish that you, as auditors, are aware of this information. As far as I am aware there is no relevant audit information of which you, as auditors, are unaware. I confirm that there is no information provided to you as part of the audit that I consider legally privileged. Page 124
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 98 Appendix B: Draft management representation letter (continued) Accounting records I confirm that all transactions that have a material effect on the financial statements have been recorded in the accounting records and are reflected in the financial statements. All other records and related information, including minutes of all Council and committee meetings, have been made available to you. Accounting policies I confirm that I have reviewed the accounting policies applied during the year in accordance with International Accounting Standard 8 and consider these policies to faithfully represent the effects of transactions, other events or conditions on the Council and Group’s financial position, financial performance and cash flows. Accounting estimates, including those measured at fair value I confirm that the methods, significant assumptions and the data used by the Council and Group in making the accounting estimates, including those measured at fair value, are appropriate to achieve recognition, measurement or disclosure that is in accordance with the applicable financial reporting framework. Contingencies There are no material contingent losses including pending or potential litigation that should be accrued where: • information presently available indicates that it is probable that an asset has been impaired or a liability had been incurred at the balance sheet date; and • the amount of the loss can be reasonably estimated. There are no material contingent losses that should be disclosed where, although either or both the conditions specified above are not met, there is a reasonable possibility that a loss, or a loss greater than that accrued, may have been incurred at the balance sheet date. There are no contingent gains which should be disclosed. All material matters, including unasserted claims, that may result in litigation against the Council and Group have been brought to your attention. All known actual or possible litigation and claims whose effects should be considered when preparing the financial statements have been disclosed to you and accounted for and disclosed in accordance with the Code, as amended by applicable law. Laws and regulations I confirm that I have disclosed to you all those events of which I am aware which involve known or suspected non-compliance with laws and regulations, together with the actual or contingent consequences which may arise therefrom. The Council and Group has complied with all aspects of contractual agreements that would have a material effect on the accounts in the event of non-compliance. Page 125
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 99 Appendix B: Draft management representation letter (continued) Fraud and error I acknowledge my responsibility as Chief Officer- Resources for the design, implementation and maintenance of internal control to prevent and detect fraud and error and I believe I have appropriately fulfilled those responsibilities. I have disclosed to you: • all the results of my assessment of the risk that the financial statements may be materially misstated as a result of fraud; • all knowledge of fraud or suspected fraud affecting the Council and Group involving: o management and those charged with governance; o employees who have significant roles in internal control; and o others where fraud could have a material effect on the financial statements. I have disclosed to you all information in relation to any allegations of fraud, or suspected fraud, affecting the Council and Group’s financial statements communicated by employees, former employees, analysts, regulators or others. Related party transactions I confirm that all related party relationships, transactions and balances, have been appropriately accounted for and disclosed in accordance with the requirements of the Code, as amended and applicable law. I have disclosed to you the identity of the Council and Group’s related parties and all related party relationships and transactions of which I am aware. Impairment review To the best of my knowledge, there is nothing to indicate that there is a permanent reduction in the recoverable amount of the property, plant and equipment and other assets below their carrying value at the balance sheet date. An impairment review is therefore not considered necessary. Charges on assets All the Council and Group's assets are free from any charges exercisable by third parties except as disclosed within the financial statements. Future commitments The Council and Group has no plans, intentions or commitments that may materially affect the carrying value or classification of assets and liabilities or give rise to additional liabilities. Page 126
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 100 Appendix B: Draft management representation letter (continued) Service Concession Arrangements I am not aware of any material contract variations, payment deductions or additional service charges in 2023/24 in relation to the Council and Group’s service concession arrangements that you have not been made aware of. Subsequent events I confirm all events subsequent to the date of the financial statements and for which the Code, as amended by the Code Update and applicable law, require adjustment or disclosure have been adjusted or disclosed. Should further material events occur after the date of this letter which may necessitate revision of the figures included in the financial statements or inclusion of a note thereto, I will advise you accordingly. Impacts of Russian Forces entering Ukraine I confirm that I have carried out an assessment of the potential impact of Russian Forces entering Ukraine on the Council and Group, including the impact of mitigation measures and uncertainties, and that the disclosure in the Annual Report and the subsequent events note 29 to the financial statements fairly reflects that assessment. Tariffs I confirm that I have carried out an assessment of the potential impact of changes in US trade policy in respect of tariffs, including the impact of reciprocal tariffs by other countries, including the impact of mitigation measures and uncertainties, and that the disclosure in the Annual Report and the subsequent events note 29 to the financial statements fairly reflects that assessment. Going concern To the best of my knowledge there is nothing to indicate that the Council and Group will not continue as a going concern in the foreseeable future. The period to which I have paid particular attention in assessing the appropriateness of the going concern basis is not less than twelve months from the date of approval of the accounts. Annual Governance Statement I am satisfied that the Annual Governance Statement (AGS) fairly reflects the Council and Group’s risk assurance and governance framework and I confirm that I am not aware of any significant risks that are not disclosed within the AGS. Management Commentary The disclosures within the Management Commentary fairly reflect my understanding of the Council and Group’s financial and operating performance over the period covered by the financial statements. Page 127
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 101 Appendix B: Draft management representation letter (continued) Unadjusted misstatements We confirm that the effects of the uncorrected misstatements are immaterial, both individually and in aggregate, to the financial statements as a whole. A list of the uncorrected misstatements is attached to this letter as an Appendix 1. Wider scope and Best Value arrangements I confirm that I have disclosed to you all findings and correspondence from regulators for previous and ongoing inspections of which I am aware. In addition, I have disclosed to you any other information that would be considered relevant to your work on wider scope review and Best Value arrangements. Yours faithfully, Chief Officer- Resources XX August 2026 Page 128
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 102 Independent auditor’s report to the members of West Dunbartonshire Council and the Accounts Commission Report on the audit of the financial statements Opinion on the financial statements We certify that we have audited the financial statements in the annual accounts of West Dunbartonshire Council and its group (“the Council”) for the year ended 31 March 2025 under Part VII of the Local Government (Scotland) Act 1973. The financial statements comprise the group and council-only Comprehensive Income and Expenditure Statements, Balance Sheets, Movement in Reserves Statements, Cash Flow Statements, the council-only Movement on the Housing Revenue Account Statement, the Housing Revenue Account Income and Expenditure Statement, the Council Tax Income Account, the Non-domestic Rates Income Account, Common Good Fund, Trust Funds and notes to the financial statements, including material accounting policy information. The financial reporting framework that has been applied in their preparation is applicable law and UK adopted international accounting standards, as interpreted and adapted by the Code of Practice on Local Authority Accounting in the United Kingdom 2024/25 (the 2024/25 Code). In our opinion the accompanying financial statements: • give a true and fair view of the state of affairs of the Council and its group as at 31 March 2025 and of its income and expenditure of the Council and its group for the year then ended; • have been properly prepared in accordance with UK adopted international accounting standards, as interpreted and adapted by the 2024/25 Code; and • have been prepared in accordance with the requirements of the Local Government (Scotland) Act 1973, The Local Authority Accounts (Scotland) Regulations 2014, and the Local Government in Scotland Act 2003. Basis for opinion We conducted our audit in accordance with applicable law and International Standards on Auditing (UK) (ISAs (UK)), as required by the Code of Audit Practice approved by the Accounts Commission for Scotland. Our responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the financial statements section of our report. We were appointed by the Accounts Commission on 18 May 2022. Our period of appointment is five years, covering 2022/23 to 2026/27. We are independent of the Council and its group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK including the Financial Reporting Council’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. Non-audit services prohibited by the Ethical Standard were not provided to the Council. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going concern basis of accounting We have concluded that the use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Appendix C: Draft audit report Page 129
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 103 Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the ability of the Council and its group to continue to adopt the going concern basis of accounting for a period of at least twelve months from when the financial statements are authorised for issue These conclusions are not intended to, nor do they, provide assurance on the current or future financial sustainability of the Council and its group. However, we report on the Council's arrangements for financial sustainability in a separate Annual Audit Report available from the Audit Scotland website. Risks of material misstatement We report in our Annual Audit Report the most significant assessed risks of material misstatement that we identified and our judgements thereon. Responsibilities of the Chief Officer-Resources and the Audit Committee for the financial statements As explained more fully in the Statement of Responsibilities, the Chief Officer- Resources is responsible for the preparation of financial statements, that give a true and fair view in accordance with the financial reporting framework, and for such internal control as the Chief Officer- Resources determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Chief Officer- Resources is responsible for assessing the ability of the Council and its group to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless there is an intention to discontinue the operations of the Council and its group. The Audit Committee is responsible for overseeing the financial reporting process. Auditor’s responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities outlined above to detect material misstatements in respect of irregularities, including fraud. Procedures include: • using our understanding of the local government sector to identify that the Local Government (Scotland) Act 1973, The Local Authority Accounts (Scotland) Regulations 2014, and the Local Government in Scotland Act 2003 are significant in the context of the Council and its group; • inquiring of the Chief Officer- Resources as to other laws or regulations that may be expected to have a fundamental effect on the operations of the Council and its group; Appendix C: Draft audit report (Continued) Page 130
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 104 Appendix C: Draft audit report (continued) • inquiring of the Chief Officer- Resources concerning the policies and procedures of the Council and its group regarding compliance with the applicable legal and regulatory framework; • discussions among our audit team on the susceptibility of the financial statements to material misstatement, including how fraud might occur; and • considering whether the audit team collectively has the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations. The extent to which our procedures are capable of detecting irregularities, including fraud, is affected by the inherent difficulty in detecting irregularities, the effectiveness of the Council‘s controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud are inherently more difficult to detect than irregularities that result from error as fraud may involve collusion, intentional omissions, misrepresentations, or the override of internal control. The capability of the audit to detect fraud and other irregularities depends on factors such as the skilfulness of the perpetrator, the frequency and extent of manipulation, the degree of collusion involved, the relative size of individual amounts manipulated, and the seniority of those individuals involved. A further description of the auditor’s responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report. Reporting on other requirements Opinion prescribed by the Accounts Commission on the audited parts of the Remuneration Report We have audited the parts of the Remuneration Report described as audited. In our opinion, the audited parts of the Remuneration Report have been properly prepared in accordance with The Local Authority Accounts (Scotland) Regulations 2014. Other information The Chief Officer- Resources is responsible for the other information in the annual accounts. The other information comprises the Management Commentary, Statement of Responsibilities, Annual Governance Statement and the unaudited part of the Remuneration Report. Our responsibility is to read all the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon except on the Management Commentary and Annual Governance Statement to the extent explicitly stated in the following opinions prescribed by the Accounts Commission. Page 131
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 105 Appendix C: Draft audit report (continued) Opinions prescribed by the Accounts Commission on the Management Commentary and Annual Governance Statement In our opinion, based on the work undertaken in the course of the audit: • the information given in the Management Commentary for the financial year for which the financial statements are prepared is consistent with the financial statements and that report has been prepared in accordance with statutory guidance issued under the Local Government in Scotland Act 2003; and • the information given in the Annual Governance Statement for the financial year for which the financial statements are prepared is consistent with the financial statements and that report has been prepared in accordance with the Delivering Good Governance in Local Government: Framework (2016). Matters on which we are required to report by exception We are required by the Accounts Commission to report to you if, in our opinion: • adequate accounting records have not been kept; or • the financial statements and the audited part of the Remuneration Report are not in agreement with the accounting records; or • we have not received all the information and explanations we require for our audit. We have nothing to report in respect of these matters Conclusions on wider scope responsibilities In addition to our responsibilities for the annual accounts, our conclusions on the wider scope responsibilities specified in the Code of Audit Practice, including those in respect of Best Value, are set out in our Annual Audit Report. Use of our report This report is made solely to the parties to whom it is addressed in accordance with Part VII of the Local Government (Scotland) Act 1973 and for no other purpose. In accordance with paragraph 108 of the Code of Audit Practice, we do not undertake to have responsibilities to members or officers, in their individual capacities, or to third parties. Tom Reid, Director For and on behalf of Forvis Mazars LLP 100 Queen Street Glasgow G1 3DN XX August 2026 Page 132
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 106 Appendix D: Confirmation of our independence We communicate any matters which we believe may have a bearing on the independence or the objectivity of Forvis Mazars LLP and the audit team. As part of our ongoing risk assessment, we monitor our relationships with you to identify any new actual or perceived threats to our independence within the regulatory or professional requirements governing us as your auditors. We confirm that no new threats to independence have been identified since issuing our Annual Audit Plan and therefore we remain independent. Page 133
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 107 Appendix D: Confirmation of our independence (continued) Fees for work as the Council’s auditor We reported our proposed fees for the delivery of our work under the Code of Audit Practice in our Annual Audit Plan presented to the Audit Committee on 10 December 2025. Having substantially completed our work for the 2024/25 financial year, we can confirm that our fees are as follows: Area of work 2024/25 fees 2023/24 fees Auditor remuneration £276,620 £265,740 Pooled costs £6,950 £9,680 Contribution to PABV costs £64,060 £67,130 Sectoral cap adjustment (£6,220) (£7,270) Additional fees for the audit of net defined benefit liability/surplus. £0 £4,208 Additional fees due to overruns TBC £7,707 Additional fees for additional work required due to the application of accounting standard IFRS 16 (Leases). See pages 20 and 21 for details of the audit procedures we performed. TBC £0 Total fees £TBC £347,195 Fees for other work We confirm that we have not undertaken any non-audit services for the Council in the year. Fees for audit of Charitable Trusts The audit fee in the table does not include the cost of auditing the West Dunbartonshire Council Charitable Trusts. Having completed our work for the 2024/25 financial year, we can confirm that our fee for this audit was £10,190 (2023/24 fees were £10,000). Services provided by Forvis Mazars LLP associated entities or network firms We provide audit services to the following group entities; • West Dunbartonshire Integration Joint Board with a total fee of £34,000 (2023/24 fee was £33,360) • Dunbartonshire and Argyle and Bute Valuation Joint Board with a total fee of £9,990 (2023/24 fee was £9,774). Page 134
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 108 Appendix E: Other communications blank Other communication Response Compliance with Laws and Regulations We have not identified any significant matters involving actual or suspected non-compliance with laws and regulations. We will obtain written representations from management that all known instances of non-compliance or suspected non-compliance with laws and regulations whose effects should be considered when preparing financial statements have been disclosed. External confirmations We did not experience any issues with respect to obtaining external confirmations. Related parties We did not identify any significant matters relating to the audit of related parties. We will obtain written representations from management confirming that: a. they have disclosed to us the identity of related parties and all the related party relationships and transactions of which they are aware; and b. they have appropriately accounted for and disclosed such relationships and transactions in accordance with the requirements of the applicable financial reporting framework. Going Concern We have not identified any evidence to cause us to disagree with the Chief Officer- Resources that West Dunbartonshire Council will be a going concern, and therefore we have not identified any evidence to cause us to consider that the use of the going concern assumption in preparation of the financial statements is not appropriate. We will obtain written representations from management, confirming that all relevant information covering a period of at least 12 months from the date of approval of the financial statements has been taken into account in assessing the appropriateness of the going concern basis of preparation of the financial statements. Page 135
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 109 Appendix E: Other communications (continued) blank Other communication Response Subsequent events We are required to obtain evidence about whether events occurring between the date of the financial statements and the date of the auditor’s report that require adjustment of, or disclosure in, the financial statements are appropriately reflected in those financial statements in accordance with the applicable financial reporting framework. We will obtain written representations from management that all events occurring subsequent to the date of the financial statements and for which the applicable financial reporting framework requires adjustment or disclosure have been adjusted or disclosed. Matters related to fraud Our audit was designed to obtain reasonable assurance whether the financial statements as a whole are free from material misstatement due to fraud. Please refer to the section titled ‘Fraud considerations’ for our fraud considerations and conclusion. We will obtain written representations from management and, where appropriate, the Audit Committee, confirming that a. they acknowledge their responsibility for the design, implementation and maintenance of internal control to prevent and detect fraud; b. they have disclosed to the auditor the results of management’s assessment of the risk that the financial statements may be materially misstated as a result of fraud; c. they have disclosed to the auditor their knowledge of fraud or suspected fraud affecting the entity involving: i. management; ii. employees who have significant roles in internal control; or iii. others where the fraud could have a material effect on the financial statements; and d. they have disclosed to the auditor their knowledge of any allegations of fraud, or suspected fraud, affecting the entity’s financial statements communicated by employees, former employees, analysts, regulators or others. Page 136
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 110 Appendix E: Other communications (continued) here blank Other communication Response System of Quality Management To address the requirements of ISQM (UK) 1, our firm’s System of Quality Management team completes, as part of an ongoing and iterative process, a number of key steps to assess and conclude on our firm’s System of Quality Management, including: • Ensuring there is an appropriate assignment of responsibilities under ISQM (UK) 1 and across Leadership • Establishing and reviewing quality objectives each year, ensuring ISQM (UK) 1 objectives align with our firm's strategies and priorities • Identifying, reviewing, and updating quality risks each quarter, taking into consideration a number of input sources (such as FRC / ICAEW review findings, internal monitoring findings, findings from our firm’s root cause analysis and remediation functions, etc.) • Identifying, designing, and implementing responses as part of the process to strengthen our firm's internal control environment and overall quality • Evaluating responses and remediating control gaps or deficiencies We perform an evaluation of our system of quality management on an annual basis. Our latest evaluation was performed as of 31 August 2025. Details of that assessment and our conclusion are set out in our 2024/2025 Transparency Report, which is available on our website here. National Fraud Initiative The National Fraud Initiative (NFI) in Scotland is a counter-fraud exercise led by Audit Scotland and overseen by the UK’s Cabinet Office, designed to prevent and detect fraud. The NFI uses data analytics to compare information held on individual by different public bodies to highlight the existence of fraud or error. We reviewed the Council’s participation in the NFI exercise. We concluded that the NFI exercise is well integrated into Council processes. However, resource constraint appears to limit its effectiveness in timely investigation and resolution of high risk and other matches. Page 137
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Title position Maximum vertical position for content Minimum vertical position for content Subtitle position 111 Appendix F: Wider Scope and Best Value ratings We need to gather sufficient evidence to support our commentary on the Council’s arrangements and to identify and report on any risks. We will carry out more detailed work where we identify significant risks. Where significant risks are identified we will report these to the Council and make recommendations for improvement. In addition to local risks, we consider challenges that are impacting the public sector as a whole. We have assigned priority rankings to each of the risks identified to reflect the importance that we consider each poses to your organisation and, hence, our recommendation in terms of the urgency of required action. The table below describes the meaning behind each rating that we have awarded to each wider scope area based on the work we have performed. Rating Description Level 1 The identified risk and/or significant deficiency is critical to the business processes or the achievement of business strategic objectives. There is potential for financial loss, damage to reputation or loss of information. The recommendation should be taken into consideration by management immediately. Level 2 The identified risk and/or significant deficiency may impact on individual objectives or business processes. The audited body should implement the recommendation to strengthen internal controls or enhance business efficiency. The recommendations should be actioned in the near future. Level 3 The identified risk and/or significant deficiency is an area for improvement or less significant. In our view, the audited body should action the recommendation, but management do not need to prioritise. Page 138
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Contact Forvis Mazars www.auditregister.org.uk The contents of this document are confidential and not for distribution to anyone other than the recipients. Disclosure to third parties cannot be made without the prior written consent of Forvis Mazars LLP. Forvis Mazars LLP is the UK firm of Forvis Mazars Global, a leading global professional services network. Forvis Mazars LLP is a limited liability partnership registered in England and Wales with registered number OC308299 and with its registered office at 30 Old Bailey, London, EC4M 7AU. Registered to carry on audit work in the UK by the Institute of Chartered Accountants in England and Wales. Details about our audit registration can be viewed at www.auditregister.org.uk under reference number C001139861. VAT number: GB 839 8356 73 © Forvis Mazars 2024. All rights reserved. Contact Tom Reid Director Tel: +44 7816 354 994 Tom.Reidl@mazars.co.uk Page 139
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WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer - Resources Council - 26 August 2026 Subject: Financial Regulations Update 1. Purpose 1.1 The purpose of this report is to seek Members’ approval of West Dunbartonshire Council’s (the Council) revised Financial Regulations. 2. Recommendations 2.1 It is recommended the Council approves the revised Financial Regulations, as attached to this report at Appendix 1. 3. Background 3.1 The Council is required in terms of section 95 of The Local Government (Scotland) Act 1973, to make arrangements for the proper administration of its financial affairs - the Financial Regulations form part of these governance arrangements. 3.2 The Council’s Financial Regulations were last updated in August 2023. 3.3 The proposed revisions are mainly to ensure the financial regulations remain aligned to other Council governance documents and current practice. 4. MAIN ISSUES 4.1 The Financial Regulations have been fully reviewed and updated. The majority of the updates are relatively minor in nature and relate to job title changes, grammatical corrections and minor typos etc. This cover report is not intended to highlight these minor changes which do not materially change the regulations, and the governance set out in them. 4.2 There are however more significant changes which it is important to highlight. These are highlighted in Table 1. ITEM 9 Page 141
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Table 1- Significant Changes to the Financial Regulations Regs Ref Previous Version Revised Version Rationale A8 Not applicable – this is a new provision. A new section has been added setting out delegated authority to respond to emergency situations. Included to provide clarity on the authority and process to be followed where urgent decisions are required in an emergency. B2 Prepare a revised Long- term Finance Strategy for the Council each financial year as part of the estimates process Prepare a revised Long-term Finance Strategy for the Council to be reviewed at least once every three years, with this supplemented by updated budget forecasts being presented to Council at least three times a year Updated to provide flexibility in the timing of updates to the Long-term Finance Strategy, reflecting the inclusion of more regular financial updates within the annual reporting cycle. B5 Thereafter the Council shall review the capital programme and approve a revised programme, as appropriate. The Council will review and approve the capital programme, as required. Any amendments to the Capital Programme during the financial year will be reported to Council through the Capital Budgetary Control Reports with Council approval required for any increase in capital expenditure. Updated to reflect the revised capital approval and reporting arrangements now in place. C7(ii) Each Chief Officer shall submit to the relevant Service Committee on a regular basis, a statement comparing expenditure and income with their service area budget. Each Chief Officer will provide the required information to the Chief Officer Resources to inform the regular monitoring reports referenced at C7 (i). Updated to more accurately reflect reporting arrangements. M1 Council will set the budget and determine the majority of the grants to be paid Corporate Services Committee will set the budget and determine the majority of the grants to be paid Updated to reflect the new process introduced in Page 142
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November 2025 where grants are awarded on a 3 year basis. 5. PEOPLE IMPLICATIONS 5.1 None directly from this report 6. FINANCIAL AND PROCUREMENT IMPLICATIONS 6.1 There are no direct financial or procurement implications arising from this report however implementing the proposed revisions in this report will provide greater clarity on roles, responsibilities and procedures relating to procurement. 7. RISK ANALYSIS 7.1 The revisions will introduce greater clarity of procurement which will minimise the risk of breach of procurement regulations and the risk that best value is not being achieved. 8. EQUALITIES IMPACT ASSESSMENT (EIA) 8.1 There are no equalities impacts in relation to this report. 9. CONSULTATION 9.1 The views of relevant Chief Officers have been requested on this report and feedback incorporated herein. 10. STRATEGIC ASSESSMENT 10.1 The proposed revisions to the Financial Regulations will ensure that the Council operates best practice procurement policies and procedures which will enable the Council to lever its spend to optimise contribution to the Council’s strategic priorities. …………………………………. Laurence Slavin Chief Officer – Resources Date: 26 August 2026 Person(s) to Contact: Carol Alderson, Finance Manager Email: carol.alderson@west-dunbarton.gov.uk Appendix: Appendix 1 Revised Finance Regulations Background Papers Page 143
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Previous reviews of Financial Regulations considered by Council in August 2023, August 2019, October 2017, December 2016, October 2013, November 2011, June 2011 and June 2006. Page 144
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Official WEST DUNBARTONSHIRE COUNCIL WEST DUNBARTONSHIRE COUNCIL FINANCIAL REGULATIONS (Updated August 2026) Page 145
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Official INDEX A. FINANCIAL ADMINISTRATION A1 Responsibility of the Council A2 Best Value A3 Section 95 Officer A4 Depute Section 95 Officer A5 Section 95 Officer as Adviser A6 Chief Officers Responsible for Resources A7 Chief Officers to consult Section 95 Officer A8 Role of Chief Executive, Chief Officers and the Director of the Health & Social Care Partnership (H&SCP) B. ESTIMATES B1 Form of Estimates B2 Preparation of Estimates B3 Determination Process B4 Report on the Estimates B5 Long Term Capital Programme B6 Authority to proceed with Capital Projects B7 Updates to Capital Programmes C. CONTROL OF EXPENDITURE C1 Need for Budgetary Provision C2 Virement C3 Updates to Capital Programmes C4 Overspendings C5 Report on Capital and Revenue Schemes C6 Loan Consents C7 Responsibility for Budgetary Control D. CONTROL OF INCOME D1 Determination and Alteration of Charges D2 Accounting Arrangements D3 Notification of Income to Chief Officer Resources D4 Write-Offs D5 Benefit Overpayment D6 Treatment of Monies Collected D7 Forms, Books and Tickets D8 Personal Cheques D9 Transfers of Money D10 Exchequer Grants Page 146
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Official E. STORES, INVENTORIES AND COSTING E1 Costing Systems and Stores Control E2 Custody of Stores and Stocktaking E3 Write-Offs or Surpluses of Stores E4 Disposal of Surplus Plant, Equipment, furnishings, materials, etc. E5 Inventories E6 Stock Levels F. BANKING, CONTROL OF CHEQUES, BORROWING, INVESTMENTS AND TRUST FUNDS F1 Arrangements with Bankers F2 Payments into Bank F3 Cheque Control F4 Code of Practice for Treasury Management F5 Treasury Policy Statement F6 Aggregation F7 Delegation to Section 95 Officer F8 Investments F9 Borrowing F10 Deposit of Trust Funds F11 Registrar of Bonds and Mortgages F12 Control of Charitable Funds F13 Reports by the Chief Officer Resouces G. ORDERING of SUPPLIES, WORKS & SERVICES; AND PAYMENT OF ACCOUNTS G1 Official Requisition and Orders G2 Exemption from Official Requisition and Orders G3 Central Purchasing and Standardisation G4 Check on Supplies, Works and Services Undertaken G5 Certification by Chief Officer G6 Separation of Duties G7 Authorised Signatures G8 Duplicate Invoices, etc. G9 Corporate Services (Finance) Service area Checks G10 Amendments to Payments Vouchers G11 Electronic Procurement G12 Employee Code of Conduct H. ACCOUNTING H1 Accounting Procedures and Records H2 Internal Checks Page 147
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Official H3 Year-end Accounting Returns H4 Year-end Final Accounts I. INTERNAL AUDIT I1 Continuous Internal Audit I2 Authority of Audit I3 Contract Audit I4 Business Irregularities J. CASH IMPREST AND PURCHASE CARDS J1 Provision of Imprest J2 Bank Accounts for Imprest Holders J3 Exclusion of Income Collected J4 Limit on Expenditure – Cash Imprest J5 Limit on Expenditure – Purchase Cards J6 Statement of Account - Imprest J7 Accounting for Purchase Card Expenditure J8 Termination as Imprest Holder / Purchase Card Holder J9 Insurance Cover K. CLAIMS FOR EXPENSES AND ALLOWANCES K1 Arrangements for Claims K2 Regulations for Elected Members Allowances & Expenses K3 Submission of Claims K4 Payment of Claims for Elected Members K5 Certification of Claims L. SALARIES, WAGES AND PENSIONS L1 Arrangements for Payments L2 Application of National Agreements L3 Notification L4 Appointments L5 Form and Certification of Records M. GRANTS, CONTRIBUTIONS AND SUBSCRIPTIONS TO OTHER BODIES AND PERSONS M1 Administration and Payment M2 Applications M3 Application of Section Q: The Procurement Financial Regulations N. CAPITAL REVENUE AND RENEWAL FUNDS N1 Policy for Administration N2 Council Consideration O. SECURITY Page 148
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Official O1 Responsibility for Security O2 Limits to Cash Holdings O3 Safe Keys O4 Computer Security O5 Pre-printed/Pre-signed Cheques, Etc. P. INSURANCE P1 Chief Officer Resources Responsible for Insurance P2 Notification of Risks P3 Notification of Claims P4 Fidelity Guarantee Insurance P5 Review of Insurance Cover Q. PROCUREMENT - CONTRACTS FOR SUPPLIES, WORKS, AND SERVICES Q1 Application of these Procurement Financial Regulations Q2 Standing Orders Q3 Pre-requisites for Procurement Q4 Value of Contracts Q5 Above £50,000 Disaggregation Q6 Contracts Governed by these Financial Regulations Q7 Specific Exemptions to these Financial Regulations Q8 Application of and Departure from the Requirements of these Financial Regulations Q9 Procurement Responsibility for Contracts Q10 Contract Strategy and Contract & Supplier Management Q11 Minimum Contract Provisions Q12 Contract Documents Q13 Supplementary Procedures Q14 Lists Q15 Compliance with Public Contracts Scotland Regulations 2015 and 2016 and EU Procurement Directives (if appropriate) Q16 Choice of EU Procurement Procedure Q17 Advertising and Publicity for Contracts Q18 Social Care and Other Specific Services Procurement Q19 Restricted Procedure Q20 Open Procedure Q21 Negotiated Procedure With / Without Prior Publication Q22 Competitive Procedure with Negotiation, the Competitive Dialogue Procedure and Innovation Partnerships Q23 Contracts Utilising Framework Agreement and Dynamic Purchasing System Page 149
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Official Q24 E-procurement Q25 Electronic Reverse Auctions Q26 Advanced Payments Q27 Contract Variation Q28 Contract Database Q29 Reports on Procurement Matters Q30 Payment Arrangements Q31 Pecuniary Interest of Members or Officers R. COMPLIANCE OF MEMBERS AND OFFICERS R1 Members Code R2 Officers Code R3 Scheme of Delegation R4 Other Regulations S. OBSERVANCE OF FINANCIAL REGULATIONS S1 Responsibility of Chief Officers S2 Breach of Regulations T. REVIEW OF FINANCIAL REGULATIONS T1 Review of Financial Regulations Page 150
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Official WEST DUNBARTONSHIRE COUNCIL – FINANCIAL REGULATIONS A GENERAL INTERPRETATION The Financial Regulations set out the framework for the proper administration, stewardship and control of West Dunbartonshire Council’s (the Council) financial affairs. They apply to all elected members, officers, services, committees, boards, joint arrangements, partnerships and any person or organisation acting on behalf of the Council. It is the duty of each Chief Officer to ensure all employees and agents of the Council are made aware of the Regulations and the requirement to comply with them. The Regulations form part of the Council’s wider governance framework and must be read alongside the Council’s Standing Orders, Scheme of Delegation, Anti-Fraud and Corruption arrangements, Treasury Management Strategy, Procurement Strategy and other relevant policies and procedures. These Regulations are made in accordance with Section 95 of the Local Government (Scotland) Act 1973, which requires every local authority to make arrangements for the proper administration of its financial affairs and to ensure the proper officer of the authority has responsibility for those affairs. The Chief Officer Resources has been designated as "the proper officer" and shall be responsible for advising the Council on financial matters including the determination of accounting policies. The fundamental principles of corporate governance should be reflected in all areas of the Council business including: • Public funds must be used lawfully, properly, economically, efficiently and effectively. • Financial decisions must support Best Value, sound governance, transparency and accountability. • Budgets must be realistic, approved, monitored and controlled. • Responsibility for authorising, recording, processing and reviewing financial transactions must be clearly separated wherever practicable. • Financial risks must be identified, assessed, managed and reported. • All officers and members must act with integrity and avoid conflicts of interest The Council has a statutory duty to secure Best Value in accordance with the Local Government in Scotland Act 2003. This requires the Council to make arrangements to secure continuous improvement in the performance of its functions while maintaining an appropriate balance between quality and cost, and having regard to economy, efficiency, effectiveness, equal opportunities requirements and sustainable development. Page 151
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Official All financial decisions, systems and procedures should support the achievement of Best Value by ensuring resources are planned, allocated, monitored and reviewed in a way that demonstrates sound governance, accountability, transparency and the effective use of public funds. A. FINANCIAL ADMINISTRATION A1 Responsibility of the Council The Council is responsible for monitoring its finances. A2 Elected Members Elected members are responsible for approving the Council’s budget, policy framework, financial strategy, treasury management arrangements and major financial decisions in accordance with the Council’s governance arrangements. Members must scrutinise financial performance and ensure the Council maintains effective stewardship of public resources. A3 Section 95 Officer The Section 95 Officer is the designated Officer responsible for the proper administration of the Council’s financial affairs under section 95 of the Local Government (Scotland) Act 1973. The Section 95 Officer role, undertaken by the Chief Officer Resources, is responsible, under the general direction of the Council for the proper administration of the Council’s financial affairs. It is the duty of the Council to make arrangements which secure best value, including continuous improvement in the performance of the authority’s functions. In addition to what is set out in these Regulations, the Section 95 Officer may issue financial instructions to amplify or clarify these Regulations. Other Chief Officers may also issue financial instructions relating to the functions and operation of their services, following consultation with the Section 95 Officer. A4 Depute Section 95 Officer In the absence of the Section 95 Officer the Finance Manager will act as the Section 95 Officer. A5 Section 95 Officer as Adviser As the Council’s financial adviser, the Chief Officer Resources will report to the Council with respect to the level of resources proposed to be utilised in each financial year and will keep the Council and relevant Committees informed with respect to its finances and financial performance. A6 Chief Officers Responsible for Resources Chief Officers (as defined as such within the Council’s Standing Orders) and Health and Social Care Partnership (HSCP) Heads of Service are responsible for the security, custody and control of all resources relating to their service areas including but not limited to buildings, plant, materials, cash and stores. A7 Chief Officers to Consult Section 95 Officer Page 152
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Official Each Chief Officer and HSCP Heads of Service must consult the Chief officer Resources before incurring any provisional or other commitment, or before reporting to the Council or to a committee, on any matter that is likely to have a material impact on the Council’s finances. Matters covered by approved budgets are excluded from this requirement. The question of materiality will be the subject of consultation with the Chief Officer Resources and, if appropriate, the Chief Executive. Any guidance issued on materiality will form part of these Regulations. A8 Role of Chief Executive, Chief Officers and the Chief Officer of the Health & Social Care Partnership (H&SCP) Unless otherwise stated, the title “Chief Officer” applies also to the Chief Executive and the Chief Officer of the HSCP for the purposes of describing their role in relation to these Regulations. EMERGENCY AUTHORITY Where an emergency makes it impossible to obtain the necessary Committee approval in terms of the Financial Regulations or Standing Orders before committing the Council to expenditure, the following action must be taken: Where there is immediate danger to life or property, or a need to prevent suffering or severe inconvenience, all necessary steps should be taken to remove the immediate danger. Homologation of the action taken should be obtained from the next available Committee. In other emergencies the Chief Executive must be advised of the following, prior to works being carried out or any other appropriate action taken, or any commitment being entered into: (a) The nature of the problem. (b) The likely consequences of delay. (c) Approximate costs and timescale involved. (d) Longer term solutions (where appropriate). The Chief Officer Resources and the Council Leader must be advised at the earliest opportunity of the above matters and of any action taken. In all such cases, the Chief Executive is authorised to approve or not to approve the proposed action. Quotes should be obtained where practicable. A retrospective advisory report must be submitted to Committee at the earliest opportunity. B. ESTIMATES B1 Form of Estimates Subject to the direction of the Council, the detailed form of capital and revenue estimates shall be determined by the Chief Officer Resources in accordance with normal professional practice. B2 Preparation of Estimates It shall be the duty of the Chief Officer Resources to: Page 153
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Official • prepare a revised Long-term Finance Strategy for the Council to be reviewed at least once every three years, with this supplemented by updated budget forecasts being presented to Council at least three times a year • prepare annual revenue and capital estimates for all services of the Council, including such supporting information, assumptions, risks and funding proposals as are necessary to support informed decision- making. Chief Officers must provide the Chief Officer Resources, by the dates and in the format specified, with all necessary information required to prepare the estimates for their service areas/services, including pressures, saving proposals, income assumptions, grant funding, service risks, workforce implications and any other matters likely to have a financial impact. B3 Determination Process Following preparation, the estimates will be collated and considered in the guidelines as agreed by the Council. After consideration, the estimates and any recommendations, financial assumptions, risks and supporting information will be submitted to the Council, together with a report by the Chief Officer Resources, for consideration in setting budgets, Council Tax and rent increases, in line with the timelines agreed by Council. B4 Report on the Estimates The Council will consider the estimates, make any amendments it considers appropriate, and approve the revenue budget, capital programme and associated funding arrangements. The inclusion of items in approved revenue or capital budgets will constitute authority to the relevant officer, in terms of the Scheme of Delegation, to incur that expenditure. The Council will determine the level of Council Tax and Council Housing rent levels. B5 Long Term Capital Programme A capital programme will be prepared annually by the Chief Officer Resources, in consultation with Chief Officers and having regard to the Council’s asset management arrangements, capital investment priorities, affordability, funding availability and deliverability. The programme will be submitted through the appropriate governance route, including consideration by the Strategic Asset Management Group and thereafter by the Corporate Management Team, before submission to the full Council for approval. The Council will review and approve the capital programme, as required. Any amendments to the Capital Programme during the financial year will be reported to Council through the Capital Budgetary Control Reports with Council approval required for any increase in capital expenditure. In preparing and approving the capital programme, the Council will have regard to the CIPFA Prudential Code for capital finance in local authorities. The key objectives are to ensure that capital investment plans are affordable, prudent and sustainable; that treasury management decisions are taken in accordance with good professional practice; that capital planning is supported by proper business case development and option appraisal and consistent with Best Page 154
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Official Value. The Code sets out minimum prudential indicators which must be used and factors that must be taken into account. B6 Authority to Proceed with Capital Projects Save as provided in this Regulation B6, the inclusion of a project in the capital programme does not itself, authorise expenditure. Standing Orders will be applied and any required Council approval given prior to any expenditure. Recurring capital budgets included in the approved capital programme may be incurred without further project-specific approval where the nature and purpose of the expenditure have already been approved. New capital projects or material changes to existing projects included in the capital programme are subject to the approval of an appropriate business case by the Strategic Asset Management Group (SAMG) before being submitted to Council for approval, as required by the Council’s governance arrangements. B7 Urgent Updates to Capital Programmes Where an unforeseen issue would materially alter the assumptions, cost, funding, scope, timing or deliverability of an approved capital programme and approval is required prior to the next appropriate Council, then the relevant Chief Officer, following consultation with and approval by the Chief Executive, Chief Officer Resources and the relevant Convener, may amend the programme necessary. Any such amendment must be reported to the next appropriate meeting of the Council and relevant Committee as part of the usual Budgetary Control Reporting and monitoring arrangements. C. CONTROL OF EXPENDITURE C1 Need for Budgetary Provision No expenditure may be incurred unless included in the approved annual estimates or authorised by a supplementary estimate approved by the Council after the submission of a report thereon. All expenditure must be lawful, properly authorised, supported by available resources and consistent with the principles of Best Value. C2 Virement Revenue Virement is the approved transfer of budget provision between subjective headings (types of expenditure), income headings, services, service areas or between capital projects. Virement may be exercised as outlined below: • Chief Officers may vire between subjective headings within a service to a maximum of £100,000 with the approval of the Chief Officer Resources. Any virement above £100,000 requires the approval of the Chief Officer Resources and the relevant Committee. Page 155
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Official • Chief Officers may vire between services within their service areas with the approval of the Chief Officer Resources and the relevant Committee or Council (e.g. in a virement that affects more than one Committee). • Chief Officers may vire between service areas only with the agreement of all Chief Officers concerned; the approval of the Chief Officer Resources and the relevant Committees or Council. • All virements will be treated as permanent budget changes, i.e. carried forward into future years, unless they are specifically highlighted as being ‘one-off’ at the time the virement is requested. • Head Teachers are constrained as to their powers as set out in the Delegated Management of Resources Scheme (DMR), such virements are not regarded as permanent. Capital • Chief Officers may vire between approved capital projects up to a maximum of £100,000 with the agreement of all Chief Officers concerned and the approval of the Chief Officer Resources, providing the virement does not materially alter the approved scope, funding strategy or deliverability of the projects affected. • Any capital virement above £100,000 requires the agreement of all relevant Chief Officers, the approval of the Chief Officer Resources, in consultation with the relevant Service Convener, and approval by Council. • A Chief Officer may exercise virement in either the revenue or capital budget to meet any immediate need arising from an emergency, subject to notifying the Chief Officer Resources, Chief Executive, Leader and/or Depute Leader and relevant Service Convenor of the action taken. This will be reported to Council or Committee in line with the Standing Orders, Scheme of Delegation and these Financial Regulations. C3 Updates to Capital Programmes In line with regulation B7 above, such changes to the capital programme will not constitute a virement and the process for authorisation of such a change is as described at B7. C4 Overspends Where it appears that the approved expenditure within any service area may be significantly exceeded or the amount of approved income may fall significantly short of the estimate, the relevant Chief Officer must consult with the Chief Executive and the Chief Officer Resources, and report the estimated variance, the reason for it, the financial and service implications, and the options for corrective action to the Council or relevant committee. C5 Report on Capital and Revenue Schemes No capital work outwith the approved capital programme, (unless agreed by the Chief Executive as relatively minor and of an urgent nature), and no major revenue project (even where included in the annual estimates) may commence Page 156
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Official unless it has been reported by the relevant Chief Officer to the Strategic Asset Management Group where applicable for capital projects, and to the relevant service Committee or Council for approval. C6 Loan Consents Subject to C5 above, no capital expenditure will be incurred unless the relevant Chief Officer has confirmed that the expenditure is included within the approved capital programme and is covered by appropriate resources. C7 Responsibility for Budgetary Control (i) Chief Officer Resources: The Chief Officer Resources is responsible for providing Chief Officers with regular budget monitoring information, normally every two to three months, comparing approved budgets with actual and forecast income and expenditure for each service area. The Chief Officer Resources will submit regular monitoring reports to the Council and Service Committees, a statement comparing expenditure and income with the approved budget. Highlighting material variances, in excess of £50,000, financial risks and proposed corrective actions. (ii) Chief Officers: Each Chief Officer is responsible for managing income and expenditure within the approved budget for their service area and to ensure expenditure is properly authorized, necessary, affordable and consistent with these Financial Regulations. Each Chief Officer will provide the required information to the Chief Officer Resources to inform the regular monitoring reports referenced at C7 (i). Where it is forecast the total income or expenditure for a Service or a capital project is likely to vary materially from the approved budget, the relevant Chief Officer, after consultation with the Chief Officer - Resources, will inform the Council or relevant Service Committee and report any corrective action necessary to avoid exceeding the budget allocation for a service or a capital project. D. CONTROL OF INCOME D1 Determination and Alteration of Charges Charges for Supplies, Works or Services supplied by the Council must not be introduced, varied or withdrawn without the approval of the Council (or appropriate Service Committee where authority has been delegated), unless an alteration is required arising from a change in legislation. D2 Accounting Arrangements The Chief Officer Resources is responsible for ensuring that financial and accounting arrangements are in place for the proper recording of all monies due to the Council and for the proper collection, custody, control, banking and control of all cash received by all service areas of the Council. Page 157
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Official D3 Notification of Income to Chief Officer Resources The general expectation is that service users will pay for services provided by the Council either in advance or at the point of delivery. Where this is not practicable details of charges requiring to be invoiced to service users must be promptly notified to the Chief Officer Resources in a form approved by him. All accounts for income due to the Council shall be issued by or under arrangements approved by the Chief Officer Resources. D4 Write-Offs Individual sums due to the Council and exceeding £5,000 (excluding VAT) must not be written-off without consideration by the appropriate service Committee or Council. Sums up to £5,000 may be written off on the authority of the Chief Officer Resources if satisfied that the debt cannot reasonably be recovered. D5 Benefit Overpayment An overpayment of Housing Benefit or Council Tax Reduction will be recoverable, except when arising from a “technical error” and where the claimant (or someone acting on their behalf) could not reasonably have been expected to realise that an overpayment had occurred. D6 Treatment of Money Collected All employees handling receipts of cash should be aware of the Council’s Money Laundering Procedures. All funds received on behalf of the Council in any service area and in any form shall be deposited with the Council’s bankers in accordance with arrangements approved by the Chief Officer Resources. No deduction may be made from such funds unless specifically authorised by the Chief Officer Resources. D7 Forms, Books and Tickets All official forms, books and tickets for the disbursement and collection of monies, whether these are electronic-based or paper-based, shall be in a form approved by the Chief Officer Resources. D8 Personal Cheques and Purchase Cards Personal cheques must not be cashed out of the money held on behalf of the Council. Council purchase cards must only be used for authorized Council business and must not be used for personal purposes. D9 Transfers of Money All transfers of official money from one employee to another will be evidenced in the records of the service areas concerned and acknowledged by the signature of the receiving officer. D10 Grant Funds Chief Officers must provide the Chief Officer Resources with all information necessary to identify, claim, record, monitor and comply with the terms and conditions of grants due to the Council. Grant income must be used only for the purposes for which it has been awarded, unless otherwise permitted by the grant conditions. Page 158
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Official E. STORES, INVENTORIES AND COSTINGS E1 Costing Systems and Stores Control Arrangements established by Chief Officers for costing systems, stock control and stores management must be approved by the Chief Officer Resources. These arrangements must be reviewed annually by the relevant Chief Officers to ensure they remain effective and consistent with the Council’s financial management requirements. E2 Custody of Stores and Stocktaking Each Chief Officer is responsible for the care, custody, security and control of stores and equipment within their service area. Chief officers must ensure that stocktaking is carried out at regular intervals as agreed with the Chief Officer Resources, and appropriate records are maintained. E3 Write-Offs or Surpluses of Stock No entries will be made, in the records, to write-off stock deficiencies or to bring surpluses into account unless authorised by the Chief Officer Resources, who may refer such adjustments to the Council. The Chief Officer Resources may issue guidance, from time to time, on this subject and such guidance will form part of these Regulations. E4 Disposal of Surplus Plant, Equipment, furnishings, materials, etc. Usable surplus plant, equipment, furnishings, materials and similar items must not be disposed of without prior consultation with the Chief Officer Resources. Where such items are no longer required by the holding service area, consideration must first be given to whether they can be used by another service area. If no internal use can be identified, the items should be advertised for sale, where appropriate. Where sale is not practicable, the items may be offered to community groups, subject to ensuring that they are safe, fit for purpose and disposed of in accordance with any relevant legal, financial, procurement or asset management requirements. E5 Inventories All service areas will maintain inventories of furniture, fittings, equipment (including IT equipment), plant, machinery and other assets as determined by the Chief Officer Resources. E6 Stock Levels Stocks and stores must not be held in excess of normal requirements except in special circumstances and with the approval of the committee concerned. Stock levels should be reviewed regularly to ensure that holdings remain necessary, economical and proportionate. F. BANKING, CONTROL OF CHEQUES, BORROWING, INVESTMENT AND TRUST FUNDS F1 Arrangements with Bankers Page 159
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Official All arrangements with the Council’s Bankers relating the Council’s bank accounts must be made by, or under arrangements approved by, the Chief Officer Resources. F2 Payments into Bank All funds received on behalf of the Council must be paid into the Council’s bank account daily or at other intervals approved by the Chief Officer Resources. F3 Cheque Control All cheques must be ordered, controlled and issued on behalf of the Council by, or under arrangements approved by, the Chief Officer Resources. Cheques must be signed, digitally authorised or otherwise the Chief Officer Resources, or by another officer authorised by him to do so. F4 Code of Practice on Treasury Management The Council adopts CIPFA’s “Code of Practice for Treasury Management in the Public Services”. F5 Treasury Policy Statement The Council will approve a Treasury Management Strategy, including the annual investment strategy and associated prudential and treasury indicators, before the start of each financial year or as otherwise required by legislation, statutory guidance or professional codes. F6 Aggregation All funds (other than miscellaneous balances such as imprest accounts, cash floats and deposit receipts) in the hands of the Council shall be aggregated for the purposes of treasury management and shall be under the control of the Chief Officer Resources. F7 Delegation to Section 95 Officer All executive decisions on borrowing, investment or financing shall be delegated to the Chief Officer Resources, or through him to his staff, who shall be required to act in accordance with CIPFA’s ‘Code for Treasury Management in Local Authorities’ and the Council’s approved Treasury Management Strategy, treasury management practices, prudential indicators and any relevant statutory guidance. F8 Investments All investments of funds under the Council’s control shall be made in the name of the Council or in the names of nominees approved by the Council and comply with the Council’s Investment Strategy, as approved by Council annually. F9 Borrowing All borrowing must be undertaken in the name of the Council and in accordance with the Council’s approved Treasury Management Strategy, capital financing requirements, prudential indicators and any relevant statutory guidance. Page 160
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Official F10 Deposit of Trust Funds All persons acting as trustees shall deposit all securities, funds, etc., relating to the Trust with the Chief Officer Resources unless the trust deed provides otherwise. Thereafter these funds will be invested as appropriate. F11 Registrar of Bonds and Mortgages The Chief Officer Resources shall be the Council’s registrar of stocks, local bonds and mortgages, except where an external Registrar is appointed by the Council. The Chief Officer Resources must maintain proper records of all borrowing of funds undertaken by the Council. F12 Control of Charitable Funds The Chief Officer Resources must ensure the proper and safe custody, administration and control of all charitable funds held by the Council. Expenditure from such funds must be made only in accordance with the relevant trust deed, charitable purpose, applicable law and any conditions attached to the fund. F13 Reports by Chief Officer Resources The Chief Officer Resources will submit the Treasury Management Strategy, including the annual investment strategy and associated prudential and treasury indicators, to the Council for approval before the start of each financial year. The Chief Officer Resources shall report (as a minimum) twice annually to the Council on the Treasury Management operation and on the exercise of the Treasury Management powers delegated to him. One such report shall be a mid-year update and the other shall be the Annual Treasury management Report for presentation by 30 September following the end of the financial year to which it relates. G. ORDERING OF SUPPLIES, WORKS & SERVICES; AND PAYMENT OF ACCOUNTS The Council’s Purchase to Pay Framework must be read in conjunction with these Financial Regulations and complied with, when a contract for works, supplies and services is being procured or paid for. G1 Official Requisitions and Orders All Supplies, Works and Services supplied to, or carried out for, the Council shall be ordered or confirmed by means of an official requisition or order, unless an exemption applies under G2. Official requisitions and orders must be raised through a system approved by the Chief Officer Resources and authorised only by officers approved by the relevant Chief Officer. Each Chief Officer must review authorised officers regularly to ensure that access and approval limits remain appropriate. G2 Exemption from Official Requisition or Order An official requisition or order is not required for supplies of public utility services, recurring or periodical payments (such as professional subscriptions), petty cash purchases or point of sale corporate purchase card transactions Page 161
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Official such as travel expenses, sustenance, event bookings or venue reservations where pre-payment is required. The procurement requirements of Section Q of these Financial Regulations still apply. G3 Central Purchasing and Standardisation Each requisition and order shall comply with any directions of the Council with respect to central purchasing, approved contracts and the standardisation of supplies, works and services. G4 Check on Supplies, Works and Services undertaken Each Chief Officer must ensure that all supplies, works and services received or undertaken are checked against the relevant requisition, order, contract or agreement and are confirmed as satisfactory in respect of quantity, quality, price and performance before payment is authorised. G5 Certification by Chief Officer Each Chief Officer must ensure that payment vouchers and invoices are certified only when the following requirements have been met: • the Supplies, Works or Services to which the account relates have been received, carried out, examined and approved and are in accordance with the relevant order, contract or agreement • the prices, extensions, calculations, trade discounts, other allowances, credits and tax treatment are correct • the expenditure has been properly incurred, is within approved budget provision and complies with standing orders, the scheme of delegation, procurement requirements and authorised expenditure limits have been observed • appropriate entries have been made in inventories, stores records or asset records books where required • the correct expenditure code, cost centre or project code are entered on the document for payment. Officers who authorise payment vouchers or invoices should be familiar with the general VAT rules of the Council as defined within the VAT Guidance and must ensure that VAT is treated correctly. Once approved the voucher or invoice, must be processed through the approved system, for payment. G6 Separation of Duties Each Chief Officer must ensure that appropriate separation of duties is maintained between officers who raise or authorise requisitions and orders, those who confirm receipt of goods, works or services, and those who certify invoices for payment. Certification may be completed by an authorised officer through a manual or electronic process, or through electronic invoice matching within a system approved by the Chief Officer Resources. Page 162
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Official G7 Authorised Signatories The Chief Officer Resources will maintain approved records of officers authorised to certify payment vouchers or invoices in each service area. Where manual certification is used, specimen signatures may be required. Where electronic systems are used, authorisation will be controlled through approved system access, workflow and approval limits. G8 Duplicate Invoices, etc. Payment will not be made from duplicate, replacement or copy invoices unless the Chief Officer (or other officer delegated authority to do so by the Chief Officer) confirms on the appropriate batch slip that the amounts have not been previously paid. G9 Further Invoice Checking The Chief Officer Resources shall supplement the service area checks on payment of accounts as he considers necessary. G10 Amendments to Payment Vouchers Any amendment to a payment voucher or invoice must be clear, authorised and supported by an audit trail. Where amendments are made manually, they must be made in ink, initialled by the officer making the amendment and accompanied by a brief explanation where the reason is not self-evident. G11 Electronic Procurement The above requirements apply equally to orders and payments made through approved electronic systems including purchase cards. Each Chief Officer must ensure that all staff using electronic approved systems comply with the relevant authorisation levels, approval workflows, system controls and thresholds embedded within the systems. G12 Employee Code of Conduct All employees involved in purchasing supplies, works or services must comply with the Employee Code of Conduct and all relevant procurement policies, procedures and guidance issued by the Procurement Manager. Officers must also comply with guidance on gifts, hospitality and declarations of interest. H. ACCOUNTING H1 Accounting Procedures and Records All accounting procedures, accounting records and financial systems of the Council shall be determined by, or approved by the Chief Officer Resources. The Council’s accounts and accounting records must be compiled by, or under the direction of, the Chief Officer Resources in accordance with proper accounting practice and statutory requirements. Page 163
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Official H2 Internal Checks The provision of information about sums due to or by the Council and the process of calculating, checking and recording these sums, shall be separated as completely as possible from the duty of collecting, disbursing, or authorising payment of such sums. Officers charged with the duty of examining and checking the accounts of cash transactions shall not themselves be engaged in any of these transactions. H3 Year End Accounting Returns Chief Officers must submit the following information to the Chief Officer Resources annually by the dates specified: • year-end inventories of stocks, stores and plant in hand at the year-end • inventories of equipment and furnishings in hand at the appropriate date • year-end cash imprest statements and reconciliations • details of sums due to or by the Council and remaining unpaid at the year- end • any other information necessary to close the Council’s accounts at the year end and support the completion, audit and publication of the Council’s annual accounts. H4 Year-End Final Accounts Chief Officers must provide all information requested by the Chief Officer Resources and comply with deadlines set for the completion, audit and publication of the Council’s annual accounts. I. INTERNAL AUDIT AND VALUE FOR MONEY I1 Continuous Internal Audit The Internal Audit Service is a statutory assurance function that provides an independent and objective opinion to the organisation on the adequacy and effectiveness of the control environment. The control environment comprises the systems of governance, risk management and internal control. The remit of the service is to objectively examine, evaluate and report on the adequacy of internal control as a contribution to the proper, economic, efficient and effective use of resources throughout the Council’s activities. A continuous internal audit, under the independent control and direction of the Chief Officer Resources, as described in the Council’s Internal Audit Charter and in accordance with the Public Sector Internal Audit Standards (PSIAS), shall be undertaken. I2 Authority of Audit The Chief Officer Resources or his authorised representatives shall have authority to: • enter any Council premises or land at all reasonable times. • have access to all records, documents, correspondence, systems and data relating to financial and other transactions of the Council Page 164
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Official • require and receive explanations concerning any matter under examination • require any employee of the Council to produce cash, stock, equipment or any other Council property under his/her control. All requests for information, records, files or explanations made by Internal Audit to officers or Members shall be provided within the timescales specified by Internal Audit. Further governance in relation to the provision of the Internal Audit Function is detailed in the Internal Audit Charter which is approved by the Council’s Audit Committee. I3 Contract Audit The Audit Manager or an authorised representatives, subject to the consent of the Chief Officer Resources, shall have authority to engage the services of professional persons from appropriate Council service areas to assist in the examination of contracts under review or investigation by Internal Audit. I4 Business Irregularities/Disciplinary Policy The Council’s procedure on business irregularities is contained as an appendix in the Council’s Disciplinary Policy. Where it is suspected or known that business irregularities have occurred including misappropriation or embezzlement of monies, materials etc, fraudulent activity, misuse of Council resources or other improper conduct, the Council Business Irregularity Procedure must be followed. The matter must be reported immediately to the Chief Officer Resources and the Chief Officer People and Technology, who will contact Internal Audit for further details on how to proceed (including determination of who will carry out any subsequent investigation). Where any suspicion relates to maladministration the matter should also be reported to the Council’s Monitoring Officer. All Chief Officers must make arrangements within their own service area to ensure that, where it is suspected or identified that business irregularities have or may have occurred, the matter will be reported immediately to the Chief Officers – Resources / People and Technology. Examples of such irregularities include but are not limited to: • misappropriation or embezzlement of funds, materials etc. placed in the employee’s charge • intentional distortion, falsification or concealment of records for any fraudulent or improper purposes • misuse of the Council’s ICT infrastructure including systems, data and information. Anonymous allegations and all categories of protected disclosure identified within the Council’s Policy in relation to the Public Interest Disclosure Act 1998 are covered by these Regulations. Page 165
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Official J. CASH IMPRESTS AND PURCHASE CARDS J1 Provision of Imprest The Chief Officer Resources may provide cash imprest accounts, cash floats and purchase cards as he considers appropriate to officers of the Council for the purposes of defraying petty cash and other authorised expenditure. J2 Bank Accounts for Imprest Holders The Chief Officer Resources may open bank accounts for imprest holders where it is considered appropriate and in no circumstances shall the imprest holder overdraw the account. It shall be a standing instruction to the Council’s bankers that an imprest holder’s account shall not be overdrawn. Bank accounts may not be opened or amended by any officer other than the Chief Officer Resources, or his nominated deputes. J3 Exclusion of Income Collected Income received on behalf of the Council must not be paid into an imprest account but must be banked or paid to the Council in accordance with these regulations. Any bank interest earned on, or charges applied to, an imprest account must be remitted separately and immediately to the Chief Officer Resources and will not be left in the imprest bank balance. J4 Limit on Expenditure – cash imprest Payments must be limited to minor items of expenditure and any other items approved by the Chief Officer Resources. J5 Statement of Account – Imprest An officer responsible for an imprest account must, when requested, give to the Chief Officer Resources a certificate of the balance on his/her imprest account in line annual guidance issued by the Chief Officer Resources. Payments must be supported by a receipted voucher (with appropriate VAT information as required) where required by the Chief Officer Resources. J6 Limit on Expenditure – Purchase Cards Individual officers shall have limits placed on the use of purchase cards in terms of purpose and value of expenditure, by transaction and in total per month. J7 Accounting for Purchase Card Expenditure Relevant officers must review and approve all expenditure on the online purchase card system, in accordance with the published timetable. Payments must be supported by a receipted voucher (with appropriate VAT information as required) as required by the Chief Officer Resources. J8 Termination as Imprest Holder / Purchase Card Holder Imprest: on leaving the employment of the Council or otherwise ceasing to be entitled to hold an imprest advance, the officer must account to the Chief Officer Resources for the amount advanced and return any balance in accordance with arrangements approved by the Chief Officer Resources. Page 166
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Official Purchase Cards: on leaving the employment of the Council or otherwise ceasing to be authorised to hold a Purchase card relevant officers shall surrender their purchase card to their line manager, who will advise Chief Officer Resources immediately of the change to allow the card to be cancelled and access removed. J9 Insurance Cover The Chief Officer Resources will ensure that appropriate insurance cover is obtained for all cash imprest accounts and purchase card accounts and for the officers responsible for them, where cover is required. K. CLAIMS FOR EXPENSES AND ALLOWANCES K1 Arrangements for Claims The Chief Officer People and Technology in consultation with the Chief Officer Regulatory and Regeneration is responsible for making arrangements for the administration and regulation of claims for expenses and allowances to Members, employees of the Council and other approved bodies. K2 Regulations for Elected Members Allowances and Expenses The Chief Officer Regulatory and Regeneration shall at all times make the current regulations on expenses and allowances available to Members. K3 Submission of Claims All claims for payment of travelling allowances, subsistence allowances, car allowances and incidental expenses must be submitted via the Council’s HR and Payroll system (or directly via payroll where system access is unavailable) to an authorised officer (usually line manager) at regular intervals for approval. Such payments must not be made from imprest accounts without the express authority of the Chief Officer Resources. All such expenses shall as far as practicable be paid through approved payroll processes, or as approved through use of Council purchase card. K4 Payment of Claims for Elected Members Payments to Members, of claims for expenses and allowances, will be made by the Chief Officer People and Technology upon receipt of the required information duly completed. Expense claims should be submitted no later than three months from date of expenditure being incurred. K5 Certification of Claims The certification of claims shall mean that the certifying officer is satisfied that the journeys were authorised, the expenditure properly and necessarily incurred and that the allowances are properly payable by the Council. L. SALARIES, WAGES AND PENSIONS L1 Arrangements for Payments The payment of salaries, wages, pensions, compensation and other emoluments to all employees or former employees of the Council shall be Page 167
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Official made by the Chief Officer People and Technology or under arrangements approved and controlled by them. L2 Application of National Agreements The Chief Officer People and Technology is responsible for the application of all appropriate wages and salary agreements to all employees of the Council, elected members and relevant partner bodies (i.e. West Dunbartonshire Leisure Trust and Dunbartonshire and Argyll and Bute Valuation Joint Board). L3 Notification The Chief Officer People and Technology must be notified as soon as possible, in an agreed form, of all matters affecting employment related payments in particular: • appointments, resignations, dismissals, suspensions, secondments and transfers • absences from duty for sickness or other reasons, apart from approved leave • changes in remuneration, pay awards and agreements of general application • information required to maintain records of service for superannuation, income tax and national insurance. The Chief Officer, People & Technology will keep all Chief Officers informed about changes in conditions of service, pension benefits and other related matters. L4 Appointments Appointments of all employees shall be made in accordance with the regulations of the Council and the approved establishments, grades and rates of pay. L5 Form and Certification of Records Time records or other pay documents must be in a form prescribed or approved by the Chief Officer People and Technology. Approval of pay documents will be provided electronically through workflow procedures established within the Council’s Workforce Management System. M. GRANTS, CONTRIBUTIONS AND SUBSCRIPTIONS TO OTHER BODIES AND PERSONS M1 Administration and Payment All grants (other than Common Good and Community Chest), contributions and subscriptions must be administered through processes approved by the Chief Officer Resources, under delegated powers, and in consultation with the relevant Committees. For the Common Good Fund, Corporate Services Committee will set the budget and determine the majority of the grants to be paid. Any remaining Page 168
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Official Common Good funds available for grant payment will be administered and paid by the Chief Officer Resources in consultation with the Corporate Services Committee, except where the Council specifies alternative arrangements. Community Chest grants will be administered and paid by the West Dunbartonshire Community Volunteer Service and reported in detail to the Corporate Services Committee annually. M2 Applications All applications for grants and subscriptions must be accompanied, where appropriate by them applicant organisation’s accounts and any other relevant information required to support assessment of the application. The Chief Officer Resources may be asked to report on such information where required. M3 Application of section Q: Procurement Financial Regulations When awarding grants which may involve the delivery of Supplies, Works and Services, due consideration must be given to the provisions of section Q of these Financial Regulations, regardless of the source and/or nature of any funding provided. M4 Real Living Wage The Scottish Government’s default position is that, from 1 July 2023, all Council grant recipients via Scottish Government funding will be required to pay at least the real Living Wage and provide appropriate channels for effective workers' voice as a minimum standard. The Council must maintain a record of any agreed exemptions and provide updates to the Scottish Government in the format and timescale to be advised by the Fair Work Policy team. N. CAPITAL, REVENUE AND RENEWAL FUNDS N1 Policy for Administration The Council will determine the policy on the administration and use of capital, revenue and renewal funds. N2 Council Consideration The Council, at the consideration of the budget, shall take into account the allocation of resources, and the approved policy for their use. O. SECURITY O1 Responsibility for Security Each Chief Officer is responsible for maintaining appropriate security arrangements for all buildings, stock, stores, furniture, equipment, cash, information and other assets under their control. They must consult the Chief Officer Resources where security arrangements are considered defective or where special security arrangements may be required. Regular review of such security arrangements shall be carried out by the Chief Officers. Responsibility Page 169
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Official for information security rests with Chief Officer Regulatory and Regeneration and responsibility for ICT security rests with the Chief Officer People and Transformation. O2 Limits to Cash Holdings Maximum limits for cash holdings must be agreed with the Chief Officer Resources and must not be exceeded without their express approval. O3 Safe Keys Keys to safes and similar receptacles are to be securely held by those responsible for them at all times. The loss of any such keys must be reported immediately to the Chief Officer Resources. A register of all such key-holders will be kept by each Chief Officer. O4 Computer Security The Chief Officer People and Technology is responsible for maintaining appropriate security and privacy as regards information held in the Council’s computer installations or for their use. Each Chief Officer is responsible for ensuring that information held within their respective service area is managed securely and in accordance with the Council’s policies and procedures.. O5 Pre-printed and Pre- signed Cheques, etc. The Chief Officer Resources is responsible for ensuring that secure arrangements exist for pre- printed/pre-signed cheques, stock certificates, bonds and deeds and other financial documents. P. INSURANCE P1 Chief Officer Resources Responsibility for Insurance Subject to the general supervision of the Council, the Chief Officer Resources will arrange and maintain appropriate insurance cover for all Council activities. They will also manage and negotiate insurance claims, in consultation with Chief Officers, where necessary. P2 Notification of Risks Chief Officers must promptly notify the Chief Officer Resources of all new or increased risks, including changes to properties, vehicles, equipment, activities, contracts or service delivery arrangements, and of any deletions or reductions in risk affecting their service areas. P3 Notification of Claims Chief Officers will immediately notify the Chief Officer Resources in writing of any loss, liability or damage or any event likely to give rise to an insurance claim. P4 Fidelity Guarantee Insurance All appropriate employees of the Council will be covered by fidelity guarantee insurance. Page 170
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Official P5 Review of Insurance Cover The Chief Officer Resources will periodically review all insurance arrangements in consultation with the Chief Officers as appropriate, to ensure cover remains adequate and aligned to the Council’s risk profile. Q. PROCUREMENT: CONTRACTS FOR SUPPLIES, WORKS AND SERVICES (THE PROCUREMENT FINANCIAL REGULATIONS) Interpretive Note There are, throughout Section Q of the Financial Regulations, references to EU Directives, EU Procurement Law and OJEU. Some of these references remain in the main regulations relating to Regulated Procurement - the Public Contracts (Scotland) Regulations 2015. Therefore where they appear in the Financial Regulations, they shall be deemed to refer to the applicable provision or requirement in terms of the Public Contracts (Scotland) Regulations 2015. Q1 Application of these Procurement Financial Regulations Except where an explicit decision by a meeting of Council or a Committee having delegated authority for the matter in question exists, these Financial Regulations will apply subject to the undernoted further caveats. Where strict application of these Procurement Financial Regulations would be likely to place the Council in conflict with any applicable law, the Procurement Financial Regulations will be read with the omission of any offending provision and in the manner which best protects the Council’s interests. For the avoidance of doubt, no failure to comply with these Procurement Financial Regulations will have any negative bearing on the vires of any action or the validity of any Contact following on such action where the action would otherwise be within the Council's powers and the Contract would otherwise be valid. Q2 Standing Orders These Procurement Financial Regulations shall be read in conjunction with and subject to the provisions of Parts III and Part IV of the Standing Orders relating to Officers Delegated Powers and to Procurement, Contracts and Tendering respectively. No provision in these Procurement Financial Regulations will be taken to extend or limit the vires of the Council to act in a manner which conflicts with the natural meaning of the Standing Orders. As provided for in Section S of these Financial Regulations, all Officers of the Council are required to adhere to their terms. In the event of any conflict between these Procurement Financial Regulations and Standing Orders, the provisions of the Standing Orders will have precedence. However, this provision will not have the effect of removing the requirement to comply with these Procurement Financial Regulations simply on the basis of that permissive provision of the Standing Orders does not specify Page 171
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Official any qualification or condition on its application. Where these Procurement Financial Regulations contain provisions which qualify or place conditions on any permission granted in any Standing Order, officers shall have regard to such permission as so qualified or made conditional. Q3 Pre-requisites for Procurement No procurement activity will commence unless, and until, each of the following conditions have been met: • Sufficient budgetary provision exists (Capital, Revenue or both) in terms of the Standing Orders and these Financial Regulations; • Express Council, Committee or other relevant delegated authority has been granted in accordance with Standing Orders or the Council's Scheme of Delegation, (noting that the threshold for this approval is of a higher value than Q6.2 below and that approval can also be sought for subsequent delegation of approval of contract award from committee to relevant Chief Officer where award is within original specification and budget). • For procurement assessed as medium to high complexity and for procurement with a value above the thresholds in Standing Order 36.4, (other than emergency placements for social care, or education), a commodity / contract strategy, in a format approved and signed by the Procurement Manager, has been agreed. Q4 Value of Contracts 1. In estimating the value of a contract for the purposes of these Procurement Financial Regulations, the following direct and indirect costs (total cost of ownership “TCO”) must be accounted for: a. The capital cost of the acquisition of any assets, relevant revenue costs and one-off payments e.g. for acquisition of licenses. b. External training costs for training which requires to be undertaken as a direct result of the supplies, works or services acquired under the contract. c. Support services provided by or through the supplier on an ongoing basis for the duration of the contract. Where the period of required support is indefinite, the estimate should be based a period of 48 months. d. Additional third party works, supplies or services, associated with, or necessary to support the contract and its deliverables. e. Annual recurring maintenance or license costs associated with the contract and its deliverables. f. Disposal costs of any supplies at the end of the supplies’ useful life. g. The value of any works concession or service concession to the Council. The value of a works concession or service concession Page 172
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Official contract is calculated by the value of the benefit to the supplier in terms of revenue / turnover rather than the rebate coming back to the Council. 2. If there is any doubt regarding the appropriateness of the inclusion of any cost in the contract value estimate, the Procurement Manager must be consulted. 3. For every schedule of rates contract, following discussion with the Procurement Manager, the Chief Officer of the procuring service shall set an indicative total value for the contract prior to procurement documentation being issued. If there is any doubt about the anticipated duration of the continuing supply, the Procurement Manager must base the estimate of the value of the contract on a period of 48 months. Q5 Above £50,000 Disaggregation It is not permitted to deliberately divide any procurement exercise or divide into two or more contracts if the intention in doing so is to avoid the application of any financial thresholds in these Procurement Financial Regulations, Standing Orders, Domestic Law or the EU Procurement Directives (if appropriate). Q6 Contracts Governed by these Financial Regulations 1. In these Procurement Financial Regulations, the word “contract” will apply to any arrangement for provision of works, supplies or services to the Council including in so far as relevant, any framework agreement or dynamic purchasing system; either solely or along with others, either written or unwritten by which, legally enforceable rights and responsibilities are created for the parties to the arrangement. 2. Subject as undernoted, the full provisions of the Financial Regulations following in this Section Q, will only apply to procurements having a value of £50,000 and above. 3. For the avoidance of doubt, individual arrangements where the primary purpose is the supply of funding, either by or to the Council, e.g. loans, bonds, securities, grants (other than where the Council receives works, supplies or services or derives any benefit from them) or other financial instruments, will not be a contract for the purposes of these Financial Regulations, notwithstanding that some strictly limited and ancillary provision of works, supplies or services may also be involved. 4. Further, subject to the provisions of Domestic Legislation and case law, no arrangement will be classed as a contract for the purposes of these Financial Regulations, where the Council: a. solely or predominantly sells or acquires land or rights in land; b. provides works, supplies or services for third parties; Page 173
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Official c. performs the functions of or delivers services to another public body in accordance with The Local Authorities (Goods & Services) Act 1970; d. receives works, supplies or services from another body where the Council is permitted to receive them without the requirement to tender in accordance with The Local Authorities (Goods & Services) Act 1970; e. performs for or receives services from (a) an arms-length organisation whether wholly or partly owned by the Council or (b) a wholly owned subsidiary or group company of the Council, provided the arrangement is compliant with Domestic Law and EU Law (if appropriate). 5. Notwithstanding that an arrangement may not be classed as a contract for the purposes of these Procurement Financial Regulations under this Section Q, the wider Financial Regulations will still apply to the arrangement. Q7 Specific Exemptions to These Financial Regulations Notwithstanding that they may otherwise fail to be viewed as works, supplies or services to the Council, the following shall be exempt from the scope of these Financial Regulations any arrangement: a. where the Council seeks or receives legal advice, assistance or an opinion from Junior or Senior Counsel, a Professor of Law, a Solicitor Advocate or in the case of an opinion only, a Law Society of Scotland Accredited Specialist solicitor recognised as having particular expertise in the subject matter of the opinion b. where the Council disposes of surplus or scrap materials and equipment previously used by the Council, except where such disposal is, or is part of, a contract for which the Council pays (in cash or kind) a value of £50,000 and above c. for the commissioning of theatrical, musical, dramatic or other artistic performances, subject to the prior approval of the Procurement Manager d. where the individual is nominated by a third party or agreed between the parties under a Dispute Resolution Procedure within a contract provided such nomination is compliant with Domestic and, where appropriate EU Law. Q8 Application of and Departure from the Requirements of these Financial Regulations 1. These Procurement Financial Regulations will apply to all contracts for works, supplies and services except in the following circumstances: Page 174
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Official a. Where a proviso within the Standing Orders, or the Officers Scheme of Delegation expressly permits or requires the Chief Executive, Chief Officer or Chief Officer to act in a manner which may not be in accordance with these Financial Regulations, but that only to the extent that such express permission or requirement requires, and subject to such subsequent reporting as such provision may require. b. Where a departure is expressly agreed by a meeting of Council or the appropriate Service Committee, in advance of such departure in these circumstances, the Procurement Manager will be consulted before any report seeking such departure is taken to the meeting of Council, or the appropriate Service Committee. c. Where in the express and written opinion of i) the Section 95 Officer, or ii) the Chief Officer Regulatory and Regeneration, the application of the Financial Regulations would be such as to impose a financial, reputational or legal penalty upon the Council or may significantly impede the Council in the performance of its statutory duties such that it would be perverse to strictly apply these Financial Regulations. d. Where the strict application of these Financial Regulations would place the Council in conflict or mean non-compliance with the provisions of any funding arrangement; and subject to the Domestic Procurement Thresholds not being breached; where such funding, i) makes a substantial contribution to any contract for works, supplies and services; and ii) there is no opportunity to renegotiate the terms of any such funding within a timescale which permits the drawdown of the funds or the performance of the contract in accordance with its aims. However, in such circumstances, any relevant requirements of the Domestic Procurement Law shall be complied with. e. Where the Council is entitled, as a member of a consortium, or is otherwise permitted to utilise a framework agreement, or dynamic purchasing system; which is compliant with Domestic Law and EU Procurement Directives (where appropriate) (the rules and procedures of such consortium or framework agreement, or dynamic purchasing system; will, where in conflict with these Procurement Financial Regulations, have precedence, save insofar as these Financial Regulations relate to internal procedures only or insofar as they are a direct translation of any Standing Order or aspect of the Scheme of Delegation. 2. With the exception of those provided for within the Standing Orders and Scheme of Delegation; and those determined by Council or Committee such provisos will only be exercised after consultation with the Procurement Manager and will be reported to the first appropriate Committee where expenditure exceeds or is likely to be valued at Page 175
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Official at or higher than the appropriate threshold in Standing Order 36(4). Q9 Procurement Responsibility for Contracts 1. The Procurement Manager is ultimately responsible for determining whether a procurement is low / medium / high complexity. 2. The procuring service is responsible for all low complex procurements and works procurements below £2,000,000 where these procurements will be directly awarded through a framework agreement in accordance with Service Led Low Complex Procurement guidance issued by the Procurement Manager. 3. The Procurement Manager is responsible for all medium and high complexity procurements and where directly awarding the procurement through a framework agreement is not the most appropriate means of fulfilling the requirement, the Procurement Manager shall be responsible for low complex procurements and works procurements with a value £50,000 or more. Q10 Commodity / Contract Strategy and Contract & Supplier Management 1. Where the need is identified through the commodity / contract strategy, the Procurement Manager may require that relevant Chief Officer to ensure that the following provisions will be adhered to which may include: a. Appointing an experienced sponsor. b. Establishing and maintaining a project team until the contract has been put in place, with the right expertise which will include a project manager, lead officer, contract owner and appropriate representation from the Corporate Procurement Unit; Finance Services; Legal Services and any further officers required. c. Defining the project stakeholders and communicating with the stakeholders at regular intervals. d. Defining the required works, supplies and/or services. e. Developing, reviewing and finalising an options appraisal and / or business case that shall include an analysis of cost, time, resources, quality, risk and deliverability. f. Defining a clear, concise and unambiguous specification / scope. g. monitoring and controlling the specification / scope throughout the procurement and contract period. Page 176
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Official h. Managing the relationship between the Council and the successful supplier. i. Ensuring that the Contract & Supplier Management Policy is adhered to and that contract owners have an understanding of the supplier contractual obligations and their own responsibilities with regards to identifying warning signs and whistleblowing of suspected modern slavery Q11 Minimum Contract Provisions Except in circumstances where the Procurement Manager and Chief Officer Regulatory and Regeneration agree otherwise, every contract must be: 1. in the name of West Dunbartonshire Council 2. in probative writing 3. subject to the Laws of Scotland 4. subject to the agreed exclusion or amendment of any such provisions in terms of the Financial Regulations, Q.12 hereof, including all provisions required by the Standing Orders or Financial Regulations, Q.11 hereof. Q12 Contract Documents 1. With the exception of the specification or scope of the contract requirements, the procurement documents in respect of all contracts shall be prepared by the Procurement Manager in consultation with the Chief Officer of the procuring service(s). The terms and conditions of the contract must be prepared in consultation with the Chief Officer – Regulatory & Regeneration. 2. With the exception of framework agreement call-offs; dynamic purchasing system call-offs and emergency placements, the Single Procurement Document (ESPD) must be used in all procedures. 3. The Procurement Manager may also, after consultation with the Chief Officer – Regulatory & Regeneration as aforesaid; make use of procurement documents prepared by the Crown Commercial Service, Scotland Excel or the Scottish Procurement and Commercial Service area or any other public sector body, amended as appropriate, where permitted by those bodies to do so. It is the Procurement Manager's responsibility to ensure that the procurement documents are suitable for the contract. 4. For repeat requirements and contracts which are agreed in advance to fall within particular categories, the Procurement Manager may dispense with consultation with the Chief Officer – Regulatory & Regeneration, subject to their consulting in the Page 177
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Official event of any particularly onerous or unusual requirement arising during the course of any procurement; and subject to any agreed terms and conditions being reviewed annually with the Chief Officer – Regulatory & Regeneration to ensure their continued relevance, accuracy and fitness for purpose. Q13 Supplementary Procedures The Procurement Manager may, following consultation with the Corporate Management Team and any relevant officers, as determined by the subject matter, issue supplementary procedural notes (“Supplementary Procedures”) to be read in conjunction with these Procurement Financial Regulations; and complied with when a contract for works, supplies and services is being sought. These additional procedures will be notified to all Chief Officers who will ensure their distribution to and compliance by all relevant employees. Q14 Lists 1. The Council will not operate a list for the pre-selection of suppliers to tender. 2. A properly constituted framework agreement or dynamic purchasing system, either operated by the Council or a third party, under which the Council is legally entitled to procure, will not be classed as a List for the purposes of these Procurement Financial Regulations. 3. For the avoidance of doubt, the Council may retain records of recent suppliers’ health and safety vetting to ensure that the tendering health and safety processes remain efficient. Such vetting must be approved by the Procurement Manager in consultation with the Chief Officer Regulatory and Regeneration and must not prevent any bidder from submitting more up to date information. Q15 Compliance with Domestic Procurement Law and EU Procurement Directives (if appropriate) For Procurement Manager led procurements, where an existing framework agreement or dynamic purchasing system is not being used, the Procurement Manager shall include within the Contract Notice, a web link to the Public Contracts Scotland-Tenders portal from where the electronic Invitation to Tender, including the Single Procurement Document (SPD), can be immediately accessed. Q16 Choice of Procurement Procedure For Procurement Manager led procurements, the Procurement Manager will, following consultation with the Chief Officer with responsibility for the proposed contract, agree the appropriate procurement procedure to be followed, which may include use of an existing framework agreement or dynamic purchasing system. The agreed procedure will be identified as part of the contract strategy. The Procurement Manager shall ensure that the contract is advertised, tendered, evaluated and awarded in compliance with Domestic Page 178
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Official Law or the EU Directives (if applicable) or the rules of the existing framework agreement or dynamic purchasing system. Q17 Advertising and Publicity for Contracts For Procurement Manager led procurements, the Procurement Manager, must comply with the provisions relating to advertising of contracts in Domestic Procurement Law and the following procedures shall apply: 1. The Council is not required to advertise contracts for social and other specific services falling below the Domestic Procurement Threshold or where a contract awarded usig an existing framework agreement or dynamic purchasing system is to be used. 2. In general such contracts will be advertised on the Public Contracts Scotland portal. The Procurement Manager may also authorise the advertisement of the contract in any other appropriate way such as in trade journals or newspapers. 3. The Procurement Manager shall ensure that the Council’s own website contains links to the Public Contracts Scotland portal. Q18 Social Care and Other Specific Services Procurement 1. For all procurement of Social Care, Education and other Specific Services to which the Provisions of Schedule 3 (Social and Other Specific Services) of the Public Contracts (Scotland) 2015 applies (”the Light Touch Regime”), a direct award without competition may be made so long as all legislative requirements are met and where appropriate Scottish Government and COSLA guidance on the Procurement of Care and Support Services should be followed. 2. For service led procurements, the appropriate Chief Officer has full authority to place Contracts up to the threshold of the Light Touch Regime following any required consultation, provided budgetary provision exists with no further report to Council or Committee being required. For Procurement Manager led procurements, the appropriate Chief Officer will have full authority to place Contracts up to the threshold of the Light Touch Regime following consultation with the Procurement Manager, provided budgetary provision exists with no further report to Council or Committee being required. 3. Where either budgetary provision does not exist, or the limit of the Light Touch Regime Threshold will be exceeded and where there is a need for an emergency placement for social care or education, and where that means the contract needs to be put in place before the authority is given by Council, Committee or other relevant authority then, once the contract has been placed, a report will be sent to the next available Council or Committee notifying the award and explaining the reason for the placement, subject always to the overriding duty to protect the Page 179
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Official Personal Data and privacy of the individual or individuals in receipt of the services. 4. For service led procurements, the service must ensure that a notice of Contract Award has been published in the PCS – Quick Quote portal in accordance with Service Led Low Complex Procurement issued by the Procurement Manager. For Procurement Manager led procurements, the Procurement Manager will ensure that a notice of Contract Award has been published in the Public Contracts Scotland portal. Q19 Restricted Procedure For Procurement Manager led procurements, in accordance with the agreed contract strategy, the Procurement Manager may approve the use of the Restricted Procedure which shall be conducted in accordance with these Procurement Financial Regulations. In particular: 1. The Procurement Manager will ensure that any Contract Notice and procurement documentation contain sufficient information to enable any potential bidder to determine whether they are interested in bidding for the contract; including i) the subject matter of the contract, ii) its duration, iii) reference to selection criteria, iv) estimated commencement date and where v) appropriate and available, its estimated value. The notice must also specify a date and time by which requests to be selected to tender must be received. This date and time must be no sooner than 10 working days from the date the notice is published and where the spend is likely to exceed the Domestic Procurement Thresholds, no less than those timescales prescribed by the Domestic Procurement Law. 2. The SPD in terms agreed between the Procurement Manager and the Chief Officer or Chief Officer of the procuring Service(s), shall be issued by the Procurement Manager to all potential bidders responding to the notice issued. 3. The Procurement Manager together with officers from the procuring service(s) and other officers with relevant input e.g. Finance and Legal Services; will evaluate the SPD, strictly in accordance with the established selection criteria. 4. No bidder may be invited to tender unless they have successfully complied with the Council’s competence, experience, capacity, financial and health and safety checks and have met all other criteria to be invited to tender as set out in the SPD, issued. 5. A sufficient number of bidders must be invited to tender to ensure genuine competition, which should not, except with the express agreement of the Procurement Manager, be fewer than five. Where fewer than five bidders express an interest, all those bidders meeting the minimum selection criteria, must be invited to tender. Page 180
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Official 6. The Procurement Manager will be responsible for issuing the Invitation to Tender. 7. All Invitation to Tenders will include the final date and time for receipt of the tenders by the Council. The Invitation to Tenders’ must also include the award criteria weightings for the award of the contract and a summary of the evaluation process to be used. 8. The Procurement Manager will coordinate and respond to all tender correspondence, queries and clarifications throughout the tender process; including seeking input as required from the procuring service and other relevant areas of expertise within the Council. 9. The Procurement Manager will consider and respond to any requests for extensions to the tender period, having regard to the terms of any request and any input from the procuring service(s). 10. The Procurement Manager together with officers from the procuring service(s) will evaluate the tenders strictly in accordance with the established award criteria. 11. In the event of any matter being unclear to those conducting the evaluation, the Procurement Manager will arrange for clarification or verification of matters within any tender. In the event of such clarification or verification revealing a matter which may be common to one or more tenders, the Procurement Manager may, following verification of such with those bidders as appear appropriate, determine that the impact of any such issue on the evaluation be applied to all those to which the matter applies. 12. On completion of the evaluation of bids and subject to the necessary checks and consents having been obtained, the Procurement Manager shall close the competitive stage of the tendering process. 13. If not previously delegated by a service committee or Council, where the expenditure is from £213,477 for supplies and services, £663,540 for Light Touch Regime services or £2,000,000 for works (inclusive of VAT), the Procurement Manager will submit a report to the Tendering Committee for approval to award the contract. 14. Subject to authority to award the contract from the Tendering Committee, service committee or Council as appropriate, the Procurement Manager shall advise all unsuccessful bidders in writing of Page 181
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Official the outcome of the tender process and may issue the Notice of Intention to Award letter to the most economically advantageous bidder. The Notice of Intention to Award letter shall confirm the Council’s intention to formally award the contract subject to agreement of any outstanding matters not conclusively addressed in terms of the tender process. This may include any changes to terms and conditions or commercial terms including price, deemed necessary to best deliver the purpose of the proposed contract. Changes which materially alter aspects of the contract such that the outcome of the tender process may have been different; will not be permitted. 15. Where the contract value exceeds the Domestic Procurement Thresholds – Public Contracts (Scotland) Regulations 2015, the Procurement Manager will implement the relevant standstill period, including issue of the relevant standstill letters to all bidders, in accordance with the requirements of the Domestic Procurement Law. 16. Following conclusion of any outstanding matters with the most economically advantageous bidder and compliance with any relevant standstill period, the Chief Officer of the procuring service(s) may instruct the Chief Officer Regulatory and Regeneration to enter into a binding contract in accordance with Financial Regulations, Regulation Q.11) - Minimum Contract Provisions. 17. The Procurement Manager will ensure that all lawful, appropriate and necessary feedback is delivered to unsuccessful bidders. 18. The Procurement Manager will ensure that a Contract Award Notice is published in the Public Contracts Scotland portal within 30 calendar days of the Letter of Award being signed by the successful supplier(s). Q20 Open Procedure For Procurement Manager led procurements, in accordance with the agreed contract strategy, the Procurement Manager may approve the use of the single stage Open Procedure which shall be conducted in accordance with these Procurement Financial Regulations. In particular: 1. The Procurement Manager will ensure that any Contract Notice or procurement documentation will state the selection criteria, award criteria, weightings for the award of the contract, a summary of the evaluation process and must contain sufficient information to enable any potential suppliers to determine whether they are interested in bidding for the contract. This should include the subject matter of the contract, its duration, estimated commencement date and where appropriate its estimated value. The Contract Notice or procurement documentation must also specify a date and time by which tenders must be received. This date and time must be no sooner than 10 Page 182
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Official working days from the date the notice is published and where the spend is likely to exceed the Domestic Procurement Thresholds, no less than those timescales prescribed by the Domestic Procurement Law. 2. The Procurement Manager shall include within the Contract Notice, a web link to the Public Contracts Scotland-Tenders portal from where the electronic Invitation to Tender, including the SPD, can be immediately accessed or in exceptional circumstances e.g. where a tender is being invited under an existing multi-supplier framework agreement, will advise potential bidders of how procurement documentation including an Invitation to Tender, can be obtained. 3. The Procurement Manager together with officers from the procuring service(s) and other officers with relevant input e.g. Finance and Legal Services; will evaluate the SPD, strictly in accordance with the established selection criteria. 4. The Procurement Manager will co-ordinate and respond to all tender correspondence, queries and clarifications throughout the tender process; including seeking input as required from the procuring service(s) and other relevant areas of expertise within the Council. 5. The Procurement Manager will consider and respond to any requests for extensions to the tender period, having regard to the terms of any request and any input from the procuring service(s). 6. The Procurement Manager together with officers from the procuring service(s); will evaluate the tenders, strictly in accordance with the established award criteria. 7. In the event of any matter being unclear to those conducting the evaluation, the Procurement Manager will arrange for clarification or verification of matters within any tender. In the event of such clarification or verification revealing a matter which may be common to one or more tenders, the Procurement Manager may, following verification of such with those bidders as appear appropriate, determine that the impact of any such issue on the evaluation be applied to all those to which the matter applies. 8. On completion of the evaluation of bids and subject to the necessary checks and consents having been obtained, the Procurement Manager shall close the competitive stage of the tendering process. Page 183
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Official 9. If not previously delegated by a service committee or Council, where the expenditure is from £213,477 for supplies and services, £663,540 for Light Touch Regime services or £2,000,000 for works (inclusive of VAT), the Procurement Manager will submit a report to the Tendering Committee for approval to award the contract. 10. Subject to authority to award the contract from the Tendering Committee, or if previously delegated, the Service Committee / Council, the Procurement Manager shall advise all unsuccessful bidders in writing of the outcome of the tender process and may issue the Notice of Intention to Award letter to the most economically advantageous bidder. The Notice of Intention to Award letter shall confirm the Council’s intention to formally award the contract subject to agreement of any outstanding matters not conclusively addressed in terms of the tender process. This may include any changes to terms and conditions or commercial terms, including price, deemed necessary to best deliver the purpose of the proposed contract. Changes which materially alter aspects of the contract such that the outcome of the tender process may have been different; will not be permitted. 11. Where the contract value exceeds the Domestic Procurement Thresholds – Public Contracts (Scotland) Regulations 2015, the Procurement Manager will implement the relevant standstill period, including issue of the relevant standstill letters to all bidders, in accordance with the requirements of the Domestic Procurement Law. 12. Following conclusion of any outstanding matters with the most economically advantageous bidder and compliance with any relevant standstill period, the Chief Officer of the procuring service(s) may instruct the Chief Officer Regulatory and Regeneration to enter into a binding contract in accordance with Financial Regulations, Regulation Q.11- Minimum Contract Provisions. 13. The Procurement Manager will ensure that all lawful, appropriate and necessary feedback is delivered to unsuccessful bidders. 14. The Procurement Manager will ensure that a Contract Award Notice is published in the Public Contracts Scotland portal within 30 calendar days of the Letter of Award being signed by the successful supplier(s). Q21 Negotiated Procedure With / Without Prior Publication For Procurement Manager led procurements, in accordance with the agreed contract strategy, the Procurement Manager may approve the use of the Negotiated Procedure which shall be conducted in accordance with these Financial Regulations. In particular: Page 184
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Official 1. Where the Domestic Procurement Law apply to a proposed contract, the Negotiated Procedure may only be used in strict compliance with the requirements of such Domestic Procurement Law for the use of the Negotiated Procedure either with or without the publication of a Contract Notice. 2. Where the value or any other aspect of the proposed contract excludes application of the Domestic Procurement Law – Public Contracts (Scotland) Regulations 2015, the only grounds on which the Negotiated Procedure (which in this context means direct negotiations with a single supplier without competition or without further competition, with a view to awarding a contract) may be used are: a. when the value of the contract is above the Domestic Procurement Threshold for people based services b. where the Council is a member of a consortium, or is otherwise permitted to utilise a framework agreement or a dynamic purchasing system, which permits the Negotiated Procedure c. where supplies or materials are proprietary articles and or services specific to one supplier, or the an individual is recognised as the sole, or principal available expert witness in a judicial or quasi judicial situation; and following due and diligent research no reasonable satisfactory alternative supplies or services have been located d. where the contract constitutes an extension of an existing contract, provided that the extension is approved by the Council, or the appropriate Committee or where the Council is otherwise contractually bound to proceed with a single supplier. The Procurement Manager will approve the report before the report is taken to the meeting of Council or the appropriate Committee e. where the contract consists of repairs to or the supply of, parts for existing proprietary plant or machinery so as to preserve warranties or functionality which would otherwise be lost in the event of other parties repairing or supplying such plant or machinery and provided such repair or supply represents Best Value and is legally compliant f. where following one of the other procedures referred to in these Procurement Financial Regulations, there has been no successful conclusion to the Tender exercise g. where, were the contract otherwise subject to the Domestic Procurement Law, such Laws would have permitted Negotiated Procedure h. where following consideration of all the factors applying to the contract, the Procurement Manager, in consultation with the Chief Page 185
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Official Officer Regulatory and Regeneration and such other officers as they deem appropriate, and with the consent of the Chief Executive or the appropriate Chief Officers, determines that the Negotiated Procedure is manifestly in the interests of the Council and compliant with Standing Orders and applicable law. 3. In all such cases where the Negotiated Procedure is being followed, the actual process adopted will ensure fairness and compliance with best practice and a full written record of all contacts, discussions and communications with prospective suppliers shall be kept by the Procurement Manager. 4. Such negotiations will be conducted in a manner that ensures that the Council does not contract on terms that are materially less advantageous than would be the case were another available procedure adopted. 5. If not previously delegated by a service committee or Council, where the expenditure is from £213,477 for supplies and services, £663,540 for Light Touch Regime services or £2,000,000 for works (inclusive of VAT), the Procurement Manager will submit a report to the Tendering Committee for approval to award the contract. 6. Subject to authority to award the contract from the Tendering Committee or the Service Committee or Council as appropriate, the Procurement Manager may issue a Notice of Intention to Award letter to the bidder. The Notice of Intention to Award letter shall confirm the Council’s intention to formally award the contract subject to agreement of any outstanding matters not conclusively addressed in terms of the procurement process. This may include any changes to terms and conditions or commercial terms including price, deemed necessary to best deliver the purpose of the proposed contract. Changes which materially alter aspects of the contract will not be permitted. 7. Where the contract value exceeds the Domestic Procurement Thresholds – Public Contracts (Scotland) Regulations 2015, the Procurement Manager will implement the relevant standstill period, including issue of the relevant standstill letter to the bidder, in accordance with the requirements of the Domestic Procurement Law. 8. Following conclusion of any outstanding matters with the bidder and compliance with any relevant standstill period, the Chief Officer of the procuring service(s) may instruct the Chief Officer Regulatory and Page 186
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Official Regeneration to enter into a binding contract in accordance with Financial Regulations, Regulation Q.11- Minimum Contract Provisions. 9. The Procurement Manager will ensure that a Contract Award Notice is published in the Public Contracts Scotland portal within 30 calendar days of the Letter of Award being signed by the successful supplier. Q22 Competitive Procedure with Negotiation, the Competitive Dialogue Procedure and Innovation Partnerships 1. For Procurement Manager led procurements, the Procurement Manager may choose to adopt the Competitive Procedure with Negotiation or the Competitive Dialogue Procedure or an Innovation Partnership where, in their view and in consultation with the Chief Officer Regulatory and Regeneration, the other procedures referenced herein will not be effective in facilitating the award of a contract. In considering the appropriate grounds and conditions for the use of either the Competitive Procedure with Negotiation or the Competitive Dialogue Procedure or an innovation Partnership, the Procurement Manager will consider amongst other matters: a. the available resources within and willingness of the procuring service(s) to support such a process b. the extent to which dialogue with the market will assist in developing a specification or scope, terms and overall solution best suited to meet the Council’s needs. 2. Where the Procurement Manager elects to use a Competitive Procedure with Negotiation or a Competitive Dialogue Procedure or an Innovation Partnership for a below Domestic Procurement Threshold contract, the principles for such procedures as set out in the Domestic Procurement Law shall be followed insofar as reasonable and practicable. 3. If not previously delegated by a Service Committee or Council, where the expenditure is from £213,477 for supplies and services, £663,540 for Light Touch Regime services or £2,000,000 for works (inclusive of VAT), the Procurement Manager will submit a report to the Tendering Committee for approval to award the contract. 4. Where the contract value exceeds the Domestic Procurement Thresholds, the Procurement Manager will implement the relevant standstill period, including issue of the relevant standstill letter to the Page 187
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Official bidder, in accordance with the requirements of the Domestic Procurement Law. 5. Following conclusion of any outstanding matters with the bidder and compliance with any relevant standstill period, the Chief Officer of the procuring service(s) may instruct the Chief Officer Regulatory and Regeneration to enter into a binding contract in accordance with the Financial Regulations, Regulation Q.11- Minimum Contract Provisions. 6. The Procurement Manager will ensure that a Contract Award Notice is published in the Public Contracts Scotland portal within 30 calendar days of the Letter of Award being signed by the successful supplier. Q23 Contracts Utilising Framework Agreement and Dynamic Purchasing System Call-offs Subject to the Below the Light Touch Regime Threshold for Social and Other Specific Services; or; the Restricted Procedure; or; the Open Procedure; or; the Negotiated Procedure; being followed: 1. For service led procurements, or in accordance with the agreed contract strategy for Procurement Manager led procurements, both may approve a recommendation for a contract being awarded under a framework agreement without being required to seek further competition amongst the suppliers on the framework agreement, in accordance with the below noted procedure: a. For multiple supplier framework agreements, the framework agreement must clearly set out how the service or the Procurement Manager will select a supplier for direct award. For example, by ranking the suppliers using the original framework agreement award criteria and selecting the highest scoring supplier who is capable of fulfilling the contract. b. The invitation shall specify the closing date and time for submission of the direct award procedure. The time limit fixed for the return shall take into account factors such as the complexity of the subject matter and the time needed to prepare a submission but, in any event, shall be not less than 10 working days from the date the invitations are issued. c. For service led procurements, the service will co-ordinate and respond to all direct award correspondence, queries and clarifications throughout the direct award process; including seeking input as required from other relevant areas of expertise within the Council. For Procurement Manager led procurements, the Procurement Manager will co-ordinate and respond to all direct Page 188
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Official award correspondence, queries and clarifications throughout the direct award process; including seeking input as required from other relevant areas of expertise within the Council. d. For service led procurements, the service will evaluate the direct award response, strictly in accordance with the established award criteria. For Procurement led procurements, the Procurement Manager will evaluate the direct award response, strictly in accordance with the established award criteria. e. For service led procurements, in the event of any matter being unclear to those conducting the evaluation, the service will arrange for clarification or verification of matters within any direct award procedure. For Procurement Manager led procurements, in the event of any matter being unclear to those conducting the evaluation, the Procurement Manager will arrange for clarification or verification of matters within any direct award procedure. f. For service led procurements, the service will consider and respond to any request for an extension to the direct award period, having regard to the terms of any request. For Procurement Manager led procurements, the Procurement Manager will consider and respond to any request for an extension to the direct award period, having regard to the terms of any request. g. For service led procurements, on completion of the evaluation of a bid and subject to the necessary checks and consents having been obtained, the service shall close the direct award process. For Procurement Manager led procurements, on completion of the evaluation of a bid and subject to the necessary checks and consents having been obtained, the Procurement Manager shall close the direct award process. 2. Where a framework agreement has been established but it does not lay down all of the terms of a proposed contract including, for example, where a new item can legitimately be added to the framework agreement; or for a dynamic purchasing system; the Procurement Manager may either hold a mini competition procedure under the framework agreement or dynamic purchasing system; in accordance with the below noted procedure: a. Every supplier on the framework agreement; or dynamic purchasing system; capable of performing the contract shall be issued with an invitation to take part in the mini competition. All invitations shall be issued at the same time; Page 189
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Official b. The invitations shall specify the closing date and time for submission of the mini competition procedure. The time limit fixed for the return shall take into account factors such as the complexity of the subject matter and the time needed to prepare a submission but, in any event, shall be not less than 10 working days from the date the invitations are issued; c. The Procurement Manager will co-ordinate and respond to all mini competition correspondence, queries and clarifications throughout the mini competition process; including seeking input as required from the procuring service(s) and other relevant areas of expertise within the Council; d. The Procurement Manager together with officers from the procuring service(s) will evaluate the mini competitions responses, strictly in accordance with the established award criteria; e. In the event of any matter being unclear to those conducting the evaluation, the Procurement Manager will arrange for clarification or verification of matters within any mini competition. In the event of such clarification or verification revealing a matter which may be common to one or more mini competition bidders, the Procurement Manager may, following verification of such with those mini competition bidders as appear appropriate, determine that the impact of any such issue on the evaluation be applied to all those to which the matter applies; f. The Procurement Manager will consider and respond to any requests for extensions to the mini competition period, having regard to the terms of any request and any input from the procuring service(s); g. On completion of the evaluation of bids and subject to the necessary checks and consents having been obtained, the Procurement Manager shall close the competitive stage of the mini competition process. 3. If not previously delegated by a service committee or Council, where the expenditure is from £213,477 for supplies and services or £663,540 for Light Touch Regime services (inclusive of VAT), for service led procurements, the service will submit a report to the Tendering Committee for approval to award the contract. Further, if not previously delegated by a service committee or Council, where the expenditure is from £213,477 for supplies and services, £663,540 for Light Touch Regime services or £2,000,000 for works (inclusive of VAT), for Page 190
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Official Procurement Manager led procurements, the Procurement Manager in conjunction with the service, will submit a report to the Tendering Committee for approval to award the contract. 4. For service led procurements, subject to authority to award the contract from the Tendering Committee, service committee or Council where appropriate, having been obtained, the service may issue a Notice of Intention to Award letter to the direct award bidder. The Notice of Intention to Award letter shall confirm the Council’s intention to formally award the contract subject to agreement of any outstanding matters not conclusively addressed in terms of the direct award. This may include any changes to terms and conditions or commercial terms, including price, deemed necessary to best deliver the purpose of the proposed contract. Changes which materially alter aspects of the contract such that the outcome of the direct award process may have been different; will not be permitted. 5. For Procurement led procurements, subject to authority to award the contract from the Tendering Committee, service committee or Council as appropriate, having been obtained, the Procurement Manager shall advise all unsuccessful mini competition bidders in writing of the outcome of the mini competition process and may issue a Notice of Intention to Award letter to the direct award bidder or most economically advantageous mini competition bidder. The Notice of Intention to Award letter shall confirm the Council’s intention to formally award the contract subject to agreement of any outstanding matters not conclusively addressed in terms of the direct award / mini competition process. This may include any changes to terms and conditions or commercial terms, including price, deemed necessary to best deliver the purpose of the proposed contract. Changes which materially alter aspects of the contract such that the outcome of the mini competition process may have been different; will not be permitted. 6. For service led procurements, where the contract value exceeds the Domestic Procurement Thresholds, the service may implement a voluntary standstill period, including issue of the voluntary standstill letter to the direct award bidder. For Procurement Manager led procurements, where the contract value exceeds the Domestic Procurement Thresholds, the Procurement Manager may implement a voluntary standstill period, including issue of the voluntary standstill letters to the direct award bidder or mini competition bidders. 7. Following conclusion of any outstanding matters with the direct award bidder or most economically advantageous mini competition bidder, the Page 191
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Official Chief Officer of the procuring service(s) may instruct the Chief Officer Regulatory and Regeneration to enter into a binding contract in accordance with Financial Regulations, Regulation Q.11- Minimum Contract Provisions. 8. The Procurement Manager will ensure that all lawful, appropriate and necessary feedback is delivered to unsuccessful mini competition bidders. 9. For service led procurements, the service must notify the direct award supplier via the PCS – Quick Quote portal in accordance with Service Led Low Complex Procurement issued by the Procurement Manager. For Procurement Manager led procurements, the Procurement Manager will ensure a Contract Award Notice is published in the Public Contracts Scotland portal within 30 calendar days of the Letter of Award being signed by the successful supplier. Q24 E-procurement E-procurement shall generally be used for contracts let by the Council including direct awards and mini competitions where permitted unless there are valid and substantial reasons for not doing so. In applying e-procurement the following processes and procedures will apply: 1. Where e-procurement is to apply, no offer submitted will be considered unless it is received via the Council's approved e-procurement system; in the format requested and prior to the deadline for the receipt of offers as stated by the Council in the procurement documents unless a valid and legally competent reason for not doing so e.g. defect in the system, has been highlighted by a bidder at or prior to the deadline for the receipt of submissions. 2. For service led procurements, the procuring service shall ensure that each offer is kept unopened in a single secure electronic mailbox via PCS Quick Quote and cannot be opened before the deadline. 3. For Procurement Manager led procurements, the Procurement Manager shall ensure that each offer is kept unopened in a single secure electronic mailbox (either PCS Quick Quote or PCS Tender) that cannot be opened before the deadline. 4. Both the service and the Procurement Manager shall ensure that a record is maintained showing the time and date of receipt of all procurements. 5. For Procurement Manager led procurements, the Procurement Manager may authorise, in consultation with the procuring service(s), Page 192
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Official the extension of the deadline for the receipt of procurements in the following circumstances: i) prior to any procurement being received by the Council; or (ii) where, following procurements being received but before the Council is able to open those procurements due to the functionality of the e-procurement system, a bidder notifies a material error in the documentation issued by the Council or the e-procurement system, or indicates to the Council any credible and reasonable ground it may have to challenge the Council were such an extension not granted. In the circumstances in (ii) above, any bidder who has already submitted a procurement shall be given the opportunity to re-submit their procurement. 6. For Procurement Manager led procurements, all procurements shall be opened immediately one after the other during one session. The bidders Technical Envelope in the e-procurement system shall be evaluated firstly. When the bidder’s Technical Envelope has been evaluated the Technical Envelope will be closed. The bidders Commercial Envelope will be evaluated next. When the bidder’s Commercial Envelope has been evaluated the Commercial Envelope will be closed. The Procurement Manager shall ensure that a record showing the particulars of each procurement received and the date and time when those tenders were opened shall be kept. Q25 Electronic Reverse Auctions 1. The Procurement Manager may authorise the carrying out of an electronic reverse auction (e-auction) where they are satisfied that the likely benefit of such will outweigh the costs and that the e- auction is in accordance with the Domestic Procurement Law. The following provisions will apply in the event of any e-auction: a. An e-auction may only be carried out where the possibility of the use of an e-auction has been stated in the procurement documents issued to bidders and, where the Domestic Procurement Law applies, in the Contract Notice published in the Public Contracts Scotland portal. b. Before the Procurement Manager can authorise an e-auction, they must ensure that a full initial evaluation of tenders has been undertaken in accordance with the award criteria set and with the weighting fixed for them. All bidders who have submitted admissible tenders shall be invited simultaneously by electronic means to submit new prices and/or new values. Page 193
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Official c. Throughout each phase of an e-auction the Procurement Manager shall instantaneously communicate to all bidders involved, at least sufficient information to enable them to ascertain their relative rankings at any moment. The Procurement Manager may also, at any time, announce the number of participants in that e-auction however at all times, the names of bidders will be kept anonymous. 2. Any e-auction will be subject to such additional procedural requirements as the Procurement Manager in consultation with the Chief Officer Regulatory and Regeneration considers necessary. Q26 Advanced Payments 1. Advance payments to suppliers (i.e. payments made before equivalent value is received in return) should be exceptional, and should only be considered if a Best Value case can be made for them (e.g. a price discount commensurate with the value of the funds in question) and if all reasonable steps have been taken to protect public funds. 2. Interim payments are made at a prescribed stage or at intervals during the progress of a project. Interim payments may have an element of prepayment. 3. The Domestic Procurement Law which protects the right of all potential suppliers to compete on equal terms must be complied with. It would not be acceptable, for example, to offer advance payments to the successful supplier to secure a further price advantage. Q27 Contract Variation 1. Contract variation includes the option to increase the amount of works, supplies or services acquired under the contract, to increase the duration of the contract, as well as the option to increase the value of the contract. 2. Where a contract has been advertised in accordance with the Domestic Procurement Law and it becomes apparent to the Chief Officer or Chief Officer of the procuring service(s) that the value of the contract as previously reported to the appropriate Committee is likely to be exceeded, the Chief Officer shall consult with the Procurement Manager for advice on what action requires to be taken. 3. Where a contract has not been advertised under the Domestic Procurement Law and the increase in the value of the contract is such that the Domestic Procurement Thresholds is likely to be exceeded, no further orders shall be made under the contract until the Chief Officer has obtained advice from the Procurement Manager on what action Page 194
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Official requires to be taken save where withholding such further orders in the interim would constitute a breach of any contractual provision or legislative requirement. 4. Notwithstanding Financial Regulations, 21.1.(ii).(d) – Negotiated Procedure, in all cases, where the value of the contract exceeds the Domestic Procurement Thresholds and the estimated net cumulative additional cost is more than the greater of £100,000 or 25%, of which is the greater; of the approved contract value, the Chief Officer in consultation with the Procurement Manager, shall ensure that a report on the matter is submitted to the next meeting of the Council or relevant Committee where the original budget allocation was approved. Q28 Contract Database 1. The Procurement Manager shall maintain a register of all contracts. For service led procurement, the procuring service(s) shall log details of the planned contract with the Procurement Manager through populating the contract award notice on PCS Quick Quote by providing all information deemed necessary by the Procurement Manager to create a record of the contract within the Contracts Database. 2. For contracts valued at £50,000 and above, the Procurement Manager will complete the Contracts Database. Q29 Reports on Procurement Matters No report will be submitted to Council or Committee seeking to undertake a procurement from £50,000 (exc. of VAT) or approval to award a supplies or services contract from £213,477 (inclusive of VAT), or a Light Touch Regime services contract from £663,540 (inclusive of VAT), or a works contract from £2,000,000 (inclusive of VAT), unless the Procurement Manager has first been consulted and their comments noted in the report. Q30 Payment Arrangements All payment arrangements will be fully compliant with Domestic Legislation and will be fully documented in any procurement documentation. Q31 Pecuniary Interest of Members or Officers Where a Member or officer involved in a contract has a pecuniary interest in that contract, he/she must declare that interest and abide by the provisions of the Ethical Standards in Public Life etc. (Scotland) Act 2000, the Councillors’ Code of Conduct and any guidance made there-under and the Council Code of Conduct for Employees. Evaluation must always make sure equal treatment is undertaken in a proportionate, objective, transparent and non-discriminatory manner. The evaluation panel should be able to withstand any scrutiny. It is the responsibility of all evaluation team members to complete a conflict of interest Page 195
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Official form prior to evaluation of each tender and to ensure that this includes any potential conflict of interest which would prevent them from making a fair and objective tender assessment. For Procurement Led tenders, evaluators will be issued this form for completion. For any department led procurements, evaluators must make the procurement team aware of any potential conflicts. R. COMPLIANCE OF MEMBERS AND OFFICERS R1 Members’ Code All Members must observe and comply with the Councillor's Code of Conduct issued by the Scottish Ministers in terms of the Ethical Standards in Public Life etc. (Scotland) Act 2000 and any guidance made hereunder. R2 Officers’ Code All officers must observe and comply with the Council’s Code of Conduct for Employees. R3 Scheme of Delegation Officers may only exercise such functions and powers as are delegated to them by Council or Committee or under the Scheme of Delegation. R4 Other Regulations All Members and officers must comply with the undernoted regulations in conjunction with these financial regulations: • Council Standing Orders including Contract Standing Orders; • Council Treasury Management Policy Statement; and • Member / Officer Protocol. S. OBSERVANCE OF FINANCIAL REGULATION S1 Responsibility of Chief Officers Each Chief Officer is responsible for ensuring that these Financial Regulations are made available to all relevant employees and other persons within their service area, and that appropriate arrangements are in place to support compliance. S2 Breach of Regulations Any breach or non-compliance with these Financial Regulations must, on discovery, be reported immediately to the Chief Officer Resources who will discuss the matter with the Chief Executive and / or any other relevant Chief Officer as appropriate in order to determine the proper action to be taken through consideration of the following: • Code of Conduct for Employees and associated Guidance on offers of gifts, hospitality and declaring Interests. • Counter Fraud and Corruption Strategy. • Business Irregularity procedures. Page 196
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Official T. REVIEW OF FINANCIAL REGULATIONS T1 Review of the Financial Regulations The Chief Officer Resources will review the Financial Regulations as circumstances require, and submit any proposed amendments to Council for approval. Page 197
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WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer - Resources Council: 26 August 2026 Subject: Long Term Financial Strategy 1. PURPOSE 1.1 This report updates the Council’s long term financial strategy which was last updated in December 2023. 2. RECOMMENDATIONS 2.1 Members are asked to endorse the medium to long term financial strategy for the Council and approve the Council’s reserves and balances policy detailed in appendix 1 to the Long-Term Financial Strategy. 3. BACKGROUND 3.1 Audit Scotland recommend that all councils should have long term financial strategies in place, ideally covering five to ten years. The strategy, attached as Appendix 1 sets out: the economic and national context within which the Council operates medium to longer term forecasts for the revenue budget including assumptions about key variables such as Scottish Government funding, pay awards, inflation and cost pressures the Council’s council tax rate in relation to rates across Scotland the position in relation to the Council’s general fund reserve future revenue risks and issues issues relating to financing the Council’s capital plan the Council’s reserves and balances policy. 4. MAIN ISSUES 4.1 The Council’s Long Term Financial Strategy is one of the Council’s key strategic documents which supports the delivery of the Council’s Strategic Plan by: outlining the Council’s high level financial position over the life of the strategy planning for a sustainable revenue budget and capital investment programme which support the Council’s key priorities ensuring the Council is fully aware of the financial challenges and uncertainties that it faces and is in a strong position to continue to deliver the best possible quality and range of services within available resources ITEM 10 Page 199
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increasing the wider community’s understanding of the Council’s financial position and the challenges it is facing in balancing its budget. 4.2 The Strategy was last approved by the Council on 20 December 2023 although it should be noted that the Council is provided with updates on financial assumption and the future revenue budget gaps at least four times a year through the Financial Update reports. 4.3 The strategy provides financial estimates for the period 2027/28 to 2031/32 in detail and also considers longer term issues beyond that five year window that the Council needs to be sighted on. It is based on a set of assumptions and provides a range of potential scenarios and the financial implications. 4.4 Exhibit 1 summarises the total cumulative budget gaps in the best case, mid- range and worst case scenarios. It illustrates that, in the mid-range scenario the Council are faced with a budget gap of £10.005m in 2027/28 rising cumulatively to £52.161m by 2031/32. It also shows that the cumulative 5 year gap ranges from £49.225m in the best-case scenario to £55.368m in the worst case. Exhibit 1 – Estimated Budget Gaps (Cumulative) – Scenario Analysis Scenario 2027/28 2028/29 2029/30 2030/31 2031/32 £000 £000 £000 £000 £000 Best Case 7,069 21,393 31,263 40,192 49,225 Mid-Range 10,005 24,329 34,198 43,128 52,161 Worst Case 13,212 27,536 37,406 46,335 55,368 4.5 In addition to providing revenue projections and assumptions the Strategy also sets out the position in relation to the economic and national context within which the Council operates and provides information on the Council’s council tax rate, general fund reserve, Council’s capital plan and treasury management. 4.6 The medium-term estimates and assumptions detailed in the Strategy will continue to be reviewed on a regular basis and reported to the Council as part of regular Financial Update reports. 4.7 The Strategy also incorporates the Council’s reserves and balances policy which Committee is asked to approve. 5. PEOPLE IMPLICATIONS 5.1 The strategy itself does not have any direct implications on the workforce; however any cost reducing options generated to close the projected budget gaps will almost certainly have implications for the workforce. 6. FINANCIAL AND PROCUREMENT IMPLICATIONS 6.1 The strategy does not have any direct financial implications. However, it does Page 200
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identify in future years the Council is facing budget gaps which will require Council decisions to mitigate. There are no direct procurement implications arising from this report. 7. RISK ANALYSIS 7.1 There are a number of assumptions within the Financial Strategy, a number of which are outwith the direct control of the Council – such as pay awards, inflation and the Scottish Government financial settlement. These assumptions as currently applied result in the identified budget gaps. The gaps could vary from those indicated if the Council identifies further cost pressures or mitigates some. 8. EQUALITIES IMPACT ASSESSMENT (EIA) 8.1 None directly from this report but any proposals to address the estimated budget gap will need to consider equality issues. 9. CONSULTATION 9.1 The assumptions and cost pressures built into the Long-Term Financial Strategy are considered by the Senior Management Team on an ongoing basis and the views of Legal Services have been requested on this report. 10. STRATEGIC ASSESSMENT 10.1 Proper budgetary control and sound financial practice are cornerstones of good governance and support Council and officers to pursue the strategic priorities of the Council’s Strategic Plan. 10.2 The General Services revenue budget contributes to all categories by providing funding in specific areas to help the Council achieve and develop these priorities. Laurence Slavin Chief Officer - Resources Date: 26 August 2026 Person to Contact: Laurence Slavin, Chief Officer - Resources E-mail: laurence.slavin@west-dunbarton.gov.uk Appendix 1 – West Dunbartonshire Council Long Term Financial Strategy Background Papers Budget Report to Council – 4 March 2026 Financial Update Report to Council – 17 June 2026 Page 201
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FINANCIAL STRATEGY August 2026 Page 202
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Page | 2 Table of Contents Section Page 1. Introduction 3 2. Economic Context and Outlook 4 3. Scottish Government Medium Term FInanical Strategy and Financial Sustainability Delivery Plan 5 4. Revenue Budget 5 5. Reserves 13 6. Revenue Outlook Beyond 5 Years – Risks and Issues 16 7. Capital Plan 16 8. Treasury Management 18 9. Housing Revenue Account 19 10. Conclusion 19 11. Appendix 1 – Policy on Reserves and Balances 21 Page 203
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Page | 3 1. Introduction 1.1 West Dunbartonshire Council (the Council), like all councils, faces significant financial challenges and is required to operate within tight fiscal constraints for the foreseeable future due to the continuing difficult national economic outlook and increased demand for services. This Financial Strategy (the Strategy) recognises the Council’s duty to set a prudent, sustainable budget, and seeks to provide a foundation for the provision of value for money in the delivery of Council services in the longer term. 1.2 The Strategy is an important component of the Council’s financial planning process. It underpins the longer term sustainability of the Council. The primary purpose of the Strategy is to ensure the Council lives within its means, balancing expenditure against the income raised through government grants, Non-Domestic Rates, Council Tax and fees and charges. As such the Strategy is a key tool to help ensure that: • resources are deployed to facilitate delivery of the Council’s strategic objectives with decisions on that deployment made within the appropriate financial context • Elected Members can take full account of the impact of decisions on the overall financial position of the Council in the short, medium and long term • the Council has a comprehensive balanced budget for General Services and the Housing Revenue Account (HRA) • there is a clear financial planning link between Council decisions on capital planning and the General Fund and HRA revenue budgets • resources are invested effectively, efficiently and on a sustainable basis • there is an ongoing focus on securing efficiencies across the Council and closing our budget gaps • there is a clear understanding of the challenges and risks that impact on the Council’s finances. 1.3 The adoption of a medium to longer term approach for financial planning enables the Council to plan the delivery of service changes across financial years through modernising services, investing in new technology, and in developing its strategic partnerships to provide longer term benefits. Whilst it is hoped this approach enables required service change to be delivered in a more planned manner and reduces the need for reactive cuts to services, that expectation needs to be considered alongside the fact that the Council continues to be in a period of single year settlements which doesn’t provide any degree of financial certainly into the medium term. Furthermore ring fencing of funding can limit what the Council can do and additional policy and legislative implications, not always fully funded, puts financial pressures on councils. 1.4 The Strategy planning approach encompasses a longer term 10 year look forward that seeks to identify the challenges facing the Council. There is however, nothing to indicate that Local Government will receive a real terms Page 204
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Page | 4 funding boost in the medium term over and above the implementation of Scottish Government policies and national initiatives. In this context it is likely that Local Government in Scotland is faced with a continuing reduction in resources which will have a clear impact on service delivery. Given the current level of uncertainty surrounding future funding, it is therefore considered that a strategy covering the period 2027/28 to 2031/32 in detail with very high level estimates for 2032-2036 is reasonable and appropriate for planning purposes. 1.5 The Strategy makes a number of key estimates and assumptions. These will continue to be reviewed on a regular basis and reported to the Council as part of regular Financial Updates 1.6 The inclusion of information in the Strategy does not infer approval and all financial estimates and issues will have to be subject to approval through the budget process. 2 Economic Context and Outlook 2.1 The economic health of the UK and Scotland is important context for the Financial Strategy. Public services are effectively funded through income from taxes which increase when the economy is performing strongly and decrease when the economy takes a downturn. 2.2 As in recent years, economic growth remains low. In March 2026 the Office of Budget Responsibility published their updated economic and fiscal outlook in which they state they expect real terms gross domestic product (GDP) growth to slow from 1.4% in 2025 to 1.1% in 2026 before increasing to 1.6% in the period 2027-2030. The 1.1% forecast in 2026 is a reduction of 0.3% on the November 2025 forecast which reflects weaker than expected GDP outturns at the end of 2025. 2.3 This low growth means tax receipts are not growing fast enough and as a result there is less money available for public services. The money that is available must be allocated between health, defence, further education, local government and other areas. 2.4 Over the course of 2025 the bank base rate has reduced from 4.5% in February to 3.75% in December and the Bank of England voted to hold the rate at 3.75% at their last meeting in April 2026. When deciding to hold it at 3.75% they specifically noted • the war in the Middle East disrupting transportation and supply of energy resulting in price increases • inflation rising to 3.3%, higher than predicted in February 2026 (before the start of the war) and an expectsation it will increase further during 2026 • an expectation that energy price rises will have knock-on effects; as businesses’ bills go up. Page 205
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Page | 5 2.5 The ongoing concerns around the persistence of inflation, which is rising faster than expected, and that higher inflation potentially becoming embedded in consumer behaviour through higher pay claims and expected shop price rises could make it more difficult for the Bank of England to achieve the 2% inflation target, meaning interest rates could stay higher for longer. 2.6 In summary the continuing and volatile pressures experienced by local government throughout the UK has resulted in some councils facing extreme financial hardship and crisis. Members will already be aware that councils in England have experienced severe financial problems leading to some Section 151 Officers (S95 in Scotland) issuing formal S114 Notices to cease all but essential spend. There are inevitable questions around whether councils experiencing significant financial pressure remain a “going concern” and whilst this has been isolated to English councils so far, Scottish councils are in no ways immune from it. This may lead to greater emphasis from external auditors on the assurance and demonstration of financial management and resilience for local authorities. 3 Scottish Government Medium Term Financial Strategy and Financial Sustainability Delivery Plan 3.1 The Scottish Government’s Medium Term Financial Strategy was published in June 2025 covering the period 2025/26 to 2030/31. It estimates a funding gap of almost £5 billion, for both revenue and capital spending, in the period to 2029/30. Spending requirements continue to outpace funding growth and it is therefore inevitable that difficult decisions will need to be taken. 3.2 Alongside the Medium Term Financial Strategy, the Scottish Government published the Financial Sustainability Delivery Plan which sets out a number of approaches that the Scottish Government may take to tackle the revenue funding gap outlined in their Medium Term Financial Strategy. This includes a reduction in workforce of 0.5% per annum and the need for public sector efficiencies and reform. 4 Revenue Budget Aggregated External Finance Settlement 4.1 Mainstream funding support for Local Government from the Scottish Government is collectively known as Aggregate External Finance (AEF) and comprises: • General Revenue Grant to support expenditure on all Council Services. • A distribution of funding from the National Non-Domestic Rates Pool. • Ring-fenced grants which must be used for specified purposes. 4.2 Approximately 78% of the Council’s budget is supported by Aggregated External Finance from the Scottish Government. This includes general revenue grant, specific grants and Non Domestic Rate income. The Page 206
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Page | 6 remaining 22% is made up from Council Tax and other Council sources of finance e.g. fees and charges and rental income. Consequently the Council has limited access to levers to influence income levels. In addition the Scottish Government currently produces single year financial settlements for Local Government making it extremely challenging for the Council to accurately estimate future funding levels. The breakdown of the Council’s 2026/27 budgeted revenue income is shown in Exhibit 1. Exhibit 1 – West Dunbartonshire Budgeted Revenue Income 4.3 The Scottish Government Three Year Spending Review published in January 2026 outlines multi-year spending plans for various portfolios spanning from 2026/27 to 2028/29. This is summarised in Exhibit 2 and illustrates that Local Government funding, in cash terms, is expected to decrease slightly over the three-year period. The real term impact of this (taking inflation into account) is a continuing erosion of core funding for councils as a “flat-cash” settlement requires councils to absorb inflationary pressures and unfunded elements of and pay awards. Page 207
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Page | 7 Exhibit 2 – Summary of Scottish Government Portfolio Three Year Spending Plans as per January 2026 Spending Review) Portfolio 2026/27 £m 2027/28 £m 2028/29 £m Change over three year period £m % Change over three year period Local Government 14,783 14,772 14,773 -10 -0.07% Finance (excluding Local Government) 421 363 365 -56 -13.30% Health and Social Care 21,952 22,786 23,896 1,944 8.86% Social Justice 8,024.3 8,485.7 8,875.7 851 10.61% Education & Skills 3,556.1 3,594.5 3,592.1 36 1.01% Justice & Home Affairs 4061 3,890.8 3,680.4 -381 -9.37% Transport 3,952.4 4,053.2 4,335.1 383 9.68% Deputy First Minister, Economy and Gaelic 1,362.3 1,342.9 1,264.2 -98 -7.20% Housing 1,205.3 1,272.7 1,370.0 165 13.66% Rural Affairs, Land Reform & Islands 1,111.4 1,116.9 1,128.7 17 1.56% Climate Action and Energy 435.8 434.8 433.4 -2 -0.55% Constitution, Eternal Affairs & Culture 397.5 445.9 437.8 40 10.14% Crown Office & Procurator Fiscal Service 248.6 246.8 245.3 -3 -1.33% Scottish Parliament and Audit Scotland 166 163 168 2 1.20% Total Scotland 61,677 62,968 64,565 2,888 4.68% 4.4 The Scottish Government has historically provided one year funding settlements to Local Authorities which has impacted on the ability to plan over the longer term with certainty. Single year settlements from Scottish Government have required the Council to make assumptions in the revenue plan from years 2-5 and plan on that basis. For financial year 2026/27 another one year settlement was provided in January 2026 however the spending review summarised in exhibit 2 provides an indication of future funding levels without being definitive. 4.5 Looking forward, the direcition of travel for funding as set out in the Scottish Government Spending Review pressures being experienced at a Scotland and UK wide level, drive a broad expectation that resources for local government services will continue to be constrained for the foreseeable future. Each 1% deviation from a flat cash position settlement accounts for Page 208
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Page | 8 around £2.7m of movement in funding. A robust multi-year funding settlement from Scottish Government including clarification on ring-fencing of funding remains an aspiration for local government and it is hoped this may be forthcoming in future years. 4.6 Financial Update Reports The Council’s future revenue budget gap is updated with the latest assumptions and reported to Council as part of Financial Update reports provided by the Chief Officer Resources. These report the projected gap over a five year period which provides a longer term view of the Council’s estimated budget gap. Scenario Planning 4.7 The Financial Update reports uses scenario planning to present estimates using a best case, mid-range and worst case scenario. Scenario planning is an alternative to conventional forecasting that is better suited to an environment with numerous uncertainties. Conventional forecasting encourages organisations to focus on a narrow range of possibilities centred on a single view about the most likely future outcome. Scenario planning, in contrast, does not attempt to use a series of static assumptions to predict the future. Rather, it generates a dynamic series of plausible outcomes that generates a range of possibilities. Relatively small variations in assumptions can lead to fairly significant changes in the outcome. Whilst the outcome will no doubt differ from the scenarios outlined here, they provide a useful illustration of the overall financial envelope. Note that best case, mid-range and worst case scenarios are only applied to material areas of expenditure. Budget Gap Assumptions 4.8 The future year assumptions used when projecting future year budget gaps are set out in Exhibit 3. Exhibit 3– Future Year Budget Assumptions Assumption Best Case Mid-Range Worst Case Scottish Government Funding 0.5% Increase Flat Cash 0.5% Decrease Pay Award 3% 3% 4% Strathclyde Pension Fund Contribution Rate 13% 15% 17.5% General Non-Pay Inflation £500,000 £500,000 £500,000 Unidentified Cost and Demand Pressures £1,000,000 £1,000,000 £1,000,000 Sales, Fees & Charges 5% Increase 5% Increase 5% Increase Council Tax Increase No assumption No assumption No assumption Page 209
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Page | 9 Council Tax Base Growth 0.5% 0.5% 0.5% Expenditure Baseline 4.9 The starting point for forecasting, is to use the current year’s expenditure budget as the baseline. The Council agreed the 2026/27 budget at its meeting on 4 March 2026. The agreed budget provides a base budget of £325.673m (£227.937m for general services and £97.736m for the Health and Social Care Partnership (HSCP)). Future expenditure budgets are then forecast taking account of base budget adjustments, known unavoidable cost pressures, profiling of previously taking saving options, and estimates/ assumptions around issues such as pay awards, incremental pay progression, and non pay inflation including utility costs and changes in interest rates. This is summarised in Exhibit 4 to provide a projected 2027/28 expenditure budget of £333.969m Exhibit 4 – 2027/28 Base Budget Calculation £,000 2026/27 Base Budget 325,673 Additional RSG 2026/27 – Early Learning Childcare 248 Additional RSG 2026/27 - Mansion Tax 345 Base Budget Adjustments 80 Employee Costs (adjusted for anticipated reduction in pension contribution) 4,640 Non-Pay Inflation 1,348 Cost and Demand Pressures 3,463 Increase in Sales, Fees and Charges (increased income) (471) Profiling of Prior Year Saving Options (1,357) 2027/28 Baseline Budget 333,969 Income Projections 4.10 The key sources of income for the Council are Aggregate External Finance, other UK or Scottish Governement funding, Council Tax and, where appropriate, use of reserves. Note Sales Fees and Charges is an income but the way the Council’s budget gap is created these are netted off against expenditure which is why they are referenced in the expenditure section above. Exhibit 5 sets out the breakdown of the projected mid-range income in 2027/28 based on current assumptions. Exhibit 5 – 2027/28 Mid-Range Projected Income £,000 Aggregate External Finance 267,822 Council Tax 50,019 Other Funding (Extended Producer Responsibility) 2,397 Use of Reserves (release from temporary pension reserve) 3,726 2027/28 Projected Income 323,964 Page 210
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Page | 10 Five Year Budget Gap (2027/28 to 2031/32) 4.11 Based on the assumptions summarised above the extrapolcatyed five year budget gap in the mid-range is summarised in Exhibit 6. Exhibit 6 – Five Year Budget Gap – Mid-Range Scenario 2027/28 £,000 2028/29 £,000 2029/30 £,000 2030/31 £,000 2031/32 £,000 Base Budget 325,673 333,969 344,782 354,866 364,224 Additional committed RSG 2026/27 593 0 0 0 0 Base Budget Adjustments 80 927 0 (650) 0 Employee Costs 4,640 6,611 6,788 6,970 7,159 Non-Pay Inflation 1,348 1,375 1,382 1,388 1,388 Cost and Demand Pressures 3,463 2,697 2,434 2,195 1,695 Sales, Fees and Charges (471) (495) (520) (545) (572) Previous Saving Options (1,357) (302) 0 0 0 Expenditure 333,969 344,782 354,866 364,224 373,894 Aggregate External Finance (267,822) (267,822) (267,822) (267,822) (267,822) Council Tax (50,019) (50,234) (50,449) (50,877) (51,514) Other Funding (2,397) (2,397) (2,397) (2,397) (2,397) Use of Reserves (3,726) 0 0 0 0 Total Income / Funds Available (323,964) (320,453) (320,668) (321,096) (321,733) Budget Gap (Cumulative) 10,005 24,329 34,198 43,128 52,161 Budget Gap (Cumulative) 10,005 14,324 9,869 8,930 9,033 4.12 Exhibit 7 sets out a best case, mid-range and worse case analysis based on the assumptions set out in Exhibit 3. Exhibit 7 – Best Case, Mid-Range and Worst-Case Summary Scenario 2027/28 £000 2028/29 £000 2029/30 £000 2030/31 £000 2031/32 £000 Best Case 7,069 21,393 31,263 40,192 49,225 Mid-Range 10,005 24,329 34,198 43,128 52,161 Worst Case 13,212 27,536 37,406 46,335 55,368 Council Tax Income Page 211
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Page | 11 4.13 Council Tax income accounts for approximately 14% of the Council’s funding and is an extremely important consideration for the Strategy and the budget setting process. Council Tax and Fees and Charges are the only income streams over which the Council has control, albeit these areas can be subject to Scottish Government direction. No assumptions are made about council tax increases when preparing financial updates. The setting of Council Tax is subject to a political decision and is the means by which the Council, can determine the extent they want to use Council Tax to deliver a legal balanced budget. 4.14 The Council’s level of Council Tax is broadly in line with the Scottish average. In 2026/27, the Council increased Council Tax by 7.8% resulting in a Band D annual charge of £1,681.53. This provided a further £3.541m to fund the delivery of crucial Council services. This places the Council at position 17 out of the 32 Scottish councils. A comparison of the Council’s Band D charge with other Scottish councils and the Scottish average is shown in Exhbit 8. Exhibit 8 – Scotland Wide 2026/27 Band D Council Tax Rates Rank Council 26/27 Band D (exc Water & Sewerage) 1 Midlothian £1,816.16 2 Argyll & Bute £1,783.33 3 Stirling £1,752.91 4 East Dunbartonshire £1,751.67 5 Aberdeen City £1,747.54 6 Moray £1,731.13 7 Dundee City £1,729.76 8 East Ayrshire £1,717.28 9 Falkirk £1,714.84 10 Glasgow City £1,706.50 11 East Lothian £1,697.62 12 South Ayrshire £1,694.96 13 Renfrewshire £1,690.55 14 Aberdeenshire £1,686.04 15 North Ayrshire £1,685.84 16 Clackmannanshire £1,683.67 17 West Dunbartonshire £1,681.53 18 Inverclyde £1,673.85 19 Perth & Kinross £1,673.84 20 Orkney Islands £1,669.07 21 Highland £1,633.99 Page 212
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Page | 12 22 West Lothian £1,627.59 23 City of Edinburgh £1,626.05 24 East Renfrewshire £1,620.14 25 Scottish Borders £1,618.52 26 Angus £1,598.65 27 Dumfries & Galloway £1,578.66 28 Fife £1,573.70 29 North Lanarkshire £1,554.56 30 Comhairlie Nan Eilean Siar £1,505.50 31 Shetland Islands £1,487.90 32 South Lanarkshire £1,468.48 Scottish Average £1,661.93 4.15 In previous years the Scottish Government has frozen or capped Council Tax increases. It remains to be seen if this will be the case in 2027/28 or future years. This would be an extremely challenging position for the Council and would require significantly more savings to be identified to support financial sustainability 4.16 A 1% rise in Council Tax equates to £0.498m of additional income. The impact of Council Tax increases of between 7.5% and 15%, has been calculated and is summarised in Exhibit 9. It also shows the weekly increase for Band D households, assuming they have no discounts or exemptions applied to their bill. Exhibit 9 - Impact of Council Tax Increases Council Tax Band 2026/27 Council Tax (£) 7.5% Increase (£) 10% Increase (£) 12.5% Increase (£) 15% Increase (£) A 1,121.01 1,205.09 1,233.11 1,261.14 1,289.16 B 1,307.86 1,405.95 1,438.65 1,471.34 1,504.04 C 1,494.70 1,606.80 1,644.17 1,681.54 1,718.91 D 1,681.53 1,807.64 1,849.68 1,891.72 1,933.76 E 2,209.34 2,375.04 2,430.27 2,485.51 2,540.74 F 2,732.48 2,937.42 3,005.73 3,074.04 3,142.35 G 3,293.00 3,539.98 3,622.30 3,704.63 3,786.95 H 4,119.75 4,428.73 4,531.73 4,634.72 4,737.71 Band D Weekly Increase (£) 2.43 3.23 4.04 4.85 Total Additonal Revenue (£m) 3.735 4.980 6.225 7.470 Page 213
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Page | 13 5 Reserves 5.1 The Council maintains a number of funds and balances, known as Reserves, which are reported to Elected Members as part of the budgetary control reports at regular intervals during the financial year. The existence and management of adequate reserves is a fundamental aspect of any sound financial strategy. 5.2 The Council holds reserves for four main purposes: 1. a working balance to help cushion the impact of uneven cash flows 2. a contingency to cushion the impact of unexpected events or emergencies 3. a means of building up funds, often referred to as earmarked reserves, to meet known or predicted liabilities. 4. statutory reserves which are set aside for specific purposes including maintenance of assets, income from the sale of assets which must be used to offset capital expenditure or associated loan charges. 5.3 The Council/s reserves strategy is based on maintaining an agreed General Fund contingency level (prudential target) of 2.5% of the budgeted net expenditure (net of requisitions) for the subsequent year. The adequacy of the prudential target is subject to annual review and was decreased to from 3% to 2.5% from 2026/27 onwards. Should this contingency have to be utilised the S95 Officer is required to put a recovery plan in place immediately to ensure the Council’s contingency balance is restored. 5.4 The strategy also assumes the continued use of earmarked reserves. In this way, earmarked reserves can be separated from the core General Fund Reserve which allows the Council to track the underlying reserves position. Earmarked Reserves are reviewed annually as part of the budget process and reported as part of the routine budgetary control reports. 5.5 The Council’s usable reserves are: • General Fund Revenue Reserve - held for services provided by the Council through Revenue Support Grant. It represents the Council’s contingency for unforeseen/ unquantifiable events and includes balances the Council has agreed to earmark for specific purposes. It excludes the Housing Revenue Account. • Housing Revenue Account Revenue Reserves – The Council is required to record all revenue expenditure and income relating to the provision of council dwellings and related services.. • Capital Receipts Reserve - capital receipts from asset sales are retained within this reserve and used to fund planned capital expenditure. • Capital Grant and Receipts Unapplied Reserve - Grants and other contributions given to the Council are retained within this reserve until all conditions agreed by the grant provider are satisfied. Page 214
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Page | 14 • Capital Items Replacement Fund - This reserve holds funds which are retained and used for the renewal or repair of school non-current assets. General Fund Revenue Reserve 5.6 Exhibit 10 shows how the general fund revenue reserve, and its component parts, have changed over the five year period 2021/22-2025/26 (note the 2025/26 figures are based on the unaudited accounts). Exhibit 10 – General Fund Revenue Reserve 5 Year Analysis 5.7 Exhibit 10 illutrates that the level of unallocated reserves dipped under the prudential target in 2024/25 with the position only relatively recently recovered. This means the Council’s financial stability is still vulnerable with there being limited capacity to absorb funding settlements which do not reflect inflation, or inflationary pressures exceeding assumptions. Note that the spike in both the overall general fund balance, and levels of earmarking in 2022/23 were largely as a consequence of the application of an accounting flexibility for service concession arrangements which resulted in the repayment of the service concession liability being reprofiled over the asset life, therefore extending the repayment period. This resulted in a material increase in the overall General Fund balance and the overall level of earmarking as agreed by Council in December 2022. 5.8 As at 30 June 2026, based on the 2026/27 period 3 budgetary control report to Council on 26 August 2026, the projection of the Council’s general fund balance at 31 March 2027 is summarised in Exhibit 11: Exhibit 11 – Projected 31/03/2027 General Fund Revenue Reserve Summary £m £m Prudential Target 5.510 Balance Below Prudential Target 1.221 Page 215
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Page | 15 Total Unearmarked 4.289 Total Earmarked 10.059 Overall Total Reserves 14.348 5.9 Exhibit 11 highlights that, based on the forecast 2026/27 outturn as at 30 June 2026, the Council is projected to hold unearmarked reserves which are £1.221m below the 2.5% Prudential Target policy. Finance will continue to work with the services to try to mitigate the projected overspends. If this is not successful then a recovery plan will be required in order to rebuild the Council’s reserves. 5.10 Exhibit 12 summarises the £10.060m of earmarked reserves which are projected to be held at 31 March 2027 held for specific purposes Exhibit 12 – Projected 31/03/2027 Earmarked Reserves Reserve Description 31/03/27 Balance (£) Intromissions Future liability for historic child abuse cases 347,000 Previous provision for equal pay/holiday pay Equal pay/holiday pay claims and associated legal expenses 179,591 Employability Development and delivery of key employability initiatives to support vulnerable groups 221,000 Extended Producer Responsibility Deliver future recycling initiatives 675,000 Refugee Resettlement Resettlement costs if there is a timing difference between expenditure and grant income. 499,255 Empty Home Interest free/ low interest loans to property owners to renovate or bring empty properties back into use 150,000 CCTV Network Upgrade Costs of the CCTV project 21,000 School Meal Cost Hardship Fund Assist families just above eligibility threshold for free school meals who have been unable to pay for a school meal 9,768 Support for Apprenticeships Support the Apprenticeship Investment Programme 50,000 Leisure for children during holiday times Payments for holiday activities provided over Easter, summer and autumn 72,840 Family fun day events Family fun days over a four year period 16,000 Assist local food hubs Provision of food parcels 9,000 Voluntary Redundancy & Early Retirement Funding for voluntary redundancy and early retirement 2,313,897 Smoothing Fund Offset service overspends where delivery of savings/efficiencies hasve been delayed 1,770,756 Reduction in Strathclyde Pension Fund Contribution Build up of the SPFO saving to be used to balance the budget in future years as agreed in 2023/24. 3,724,758 Total 10,059,865 Page 216
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Page | 16 5.11 Appendix 1 to this report details the Council’s Policy on Reserves and Balances. 6 Revenue Outlook Beyond 5 Years – Risks and Issues 6.1 Beyond five years, prediction become even more difficult. There are a number of uncertainties which may emerge and will have a bearing on the quantum of funds available to the Scottish Government and the distribution of that Scottish Government funding to local authorities. 6.2 The further we look into the future the greater the uncertainty about the financial challenges the Council will face. There are a number of further key issues and risks which may impact on the Council’s finances and future projections. These include: • future decisions of the Scottish Government regarding protection afforded to Local Government or other parts of the national budget • impact of population change/ demographic shifts on funding levels • impact of any new or revised legislation placing additional requirements on local authorities not supported by full funding • pay awards, both in terms of the totality of the award and the complexity • general inflation including energy and fuel costs • changes to pension contributions arising from the triennial review of Strathclyde Pension Fund • costs associated with sustainability including waste disposal and recycling • potential variation of tax raising powers, including the future of Council Tax and Non-Domestic Rates • rising demand and cost on Council Services due to demographic pressures • current global, UK and Scottish economic situation, impacted by the middle east conflict, and the medium-term impact on inflation and interest rates. 6.3 Whenever possible, future costs associated with issues such as those listed in paragraph 6.2 are built into future budget gaps if they can be reasonably estimated. Where it is not possible to estimate them with any degree of accuracy they will be highlighted as unquantifiable future cost pressures and/or future financial risks. 7 Capital Plan Financing the Capital Plan 7.1 The capital plan is funded by the Scottish Government (General Capital Grant and Specific Ring-Fenced Capital Grants), other capital grants, capital Page 217
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Page | 17 receipts from asset disposals, revenue contributions, earmarked reserves, and prudential borrowing. 7.2 The Scottish Government receive a grant for capital spending from the UK Government which is then allocated to individual councils. West Dunbartonshire Council receives approximately £6m per annum and this is expected to remain fairly constant for the next 4-5 years. Any spend above this level, not funded from other grants, is funded through borrowing which incurs interest charges. As such the Council’s revenue budget is inextricably linked to the financing of its capital expenditure. Consequently, when there is sustained pressure on the revenue budget this in turn causes pressure on capital finance and on the management of the capital programme and the debt and borrowing requirement that arises from it 7.3 Capital spend funded from borrowing results in loan charges until the borrowing is fully repaid. Exhibit 13 shows how the Council’s ten year capital plan between 2025/26 and 2035/26 (approved by Council in March 2026) is projected to be funded. Exhibit 13 – Funding the Capital Plan Source of Funding 25/26 (£,000) 26/27 (£,000) 27/28 (£,000) 28/29 (£,000) 29/30 (£,000) 30/31 (£,000) 31/32- 35/36 (£,000) Total (£,000) % of Total Resources Carried Forward 5,521 1,618 0 0 0 0 0 7,139 2.7%General Services Capital Grant 12,804 6,806 5,618 5,618 5,618 5,618 28,090 70,172 26.4% Ring-fenced Government Grant funding 14,945 7,088 396 396 396 396 1,980 25,597 9.6% Match-funding/other grants & contributions 1,812 3,007 912 818 818 818 4,090 12,275 4.6% Prudential Borrowing 23,933 37,262 19,177 36,150 4,733 4,668 23,044 148,967 56.1% Funded from Revenue 0 400 100 100 100 100 500 1,300 0.5% Total 59,015 56,181 26,203 43,082 11,665 11,600 57,704 265,450 100.0% 7.4 Exhibit 13 illustrates that 56% of the Council’s capital plan is funded from prudential borrowing. The current financial climate, and in particular, current bank interest rates, is having a significant impact on both the affordability and delivery of the capital programme. The repayment of borrowing used to fund capital creates a future revenue budget commitment over the entirety of the anticipated lifespan of the new asset. Additional borrowing to fund more expensive capital projects will increase the Council’s overall debt position and will accrue substantial interest charges. These pressures are not unique to the Council and are being faced by all councils. 7.5 Decisions on capital spend will need to focus on obtaining best value for money for the Council, including prioritisation to ensure the continued delivery of essential services, a focus on mitigation of key areas of risk and consideration of available external funding, new income generation opportunities and budget efficiency savings that can be achieved. 7.6 Another method of funding additional capital is through spend to save schemes where the savings in the revenue budget are used to fund the Page 218
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Page | 18 increase in loans charges to service additional borrowing. It is assumed that projects of this nature are cost neutral game in terms of forecasting, however, there could be additional revenue savings depending on the business case. Spend to save schemes need to be subject to robust financial assessment before consideration is given to their implementation. 8 Treasury Management 8.1 The Council is required to operate a balanced budget, which broadly means that cash raised during the year will meet cash expenditure. Part of the treasury management operation is to ensure that this cash flow is adequately planned, with cash being available when it is needed. Surplus monies are invested in low-risk counterparties or instruments commensurate with the Council’s low risk appetite, providing adequate liquidity initially before considering investment return. The second main function of the treasury management service is the funding of the Council’s capital plans. As set out in paragraph 7.4 these capital plans provide a guide to the borrowing needs of the Council, essentially the longer-term cash flow planning to ensure that the Council can meet its capital spending obligations. This management of longer-term cash may involve arranging long or short-term loans or using longer term cash flow surpluses. On occasion any debt previously drawn may be restructured to meet Council risk or cost objectives. 8.2 The Council’s Finance Team engage regularly with the the Council’s Treasury advisors, MUFG Corporate Markets in relation to forecast interest rates and options consider in relaton to Treasury Management. MUFG most recent interest rate forecast for Bank Rates and Public Works Loan Board (PWLB) borrowing rates is summarised in Exhbit 14. Exhibit 14 – Bank Interest / PWLB Rates Projection June 2026 – March 2029 Page 219
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Page | 19 8.3 Exhibit 14 shows a steady downward path for both the projected bank rate and PWLB borrowing rates from June 2026 to March 2029. The projected Bank Rate remains at 3.75% through to June 2027, then falls to 3.50% in September 2027, before settling at 3.25% from March 2028 onward. PWLB rates follow a similar downward trend, with shorter maturities: (5 Year PWLB) falling from 5.00% to 4.10%, while the 10 Year PWLB declines from 5.50% to 4.60%. Longer-term rates remain higher throughout the period but also ease.The 25 Year PWLB drops from 6.00% to 5.10%, and the 50 Year PWLB falls from 5.80% to 4.90%. Overall, the table suggests borrowing costs are expected to moderate gradually, while the yield curve remains upward sloping, with longer maturities carrying higher rates than the bank rate and shorter PWLB maturities. This supports an ongoing strategy to reschedule maturing debt for shorter time periods instead of tying the Council into higher rates for an extended period of years. 9 Housing Revenue Account 9.1 The Council is required to maintain a separate Housing Revenue Account covering income and expenditure in respect of specified houses, buildings, and land. There is a legal requirement for Housing Revenue Account income and expenditure to be in balance at the end of each financial year. 9.2 The Housing Revenue Account expenditure budget for 2026/27 is set at £60.880m, an increase of £4.100m (7.2% over the previous year’s figures). The Housing Revenue Account is financed almost entirely by rents and other charges paid by Council tenants and cannot be funded in any way from the General Fund and revenue raised through the Council Tax (other than in the event the HRA has a deficit and no reserves with which to absorb it). The largest budget lines in HRA revenue are for repairs £12.668m and the repayment of loan charges £30.449m. 9.3 The Housing Revenue Account capital programme must be met from existing resources or funded through prudential borrowing. The 2026/27 budget is £58.434m of which £24.613m is for new build housing and the buy-back programme. HRA capital is funded by £13.064m of grant / owner contributions with a balance of £45.370m funded through prudential borrowing. 9.4 Since the repayment of loan charges makes up 50% of the HRA revenue budget, fluctuation in borrowing interest rates can have a significant impact on the HRA finances. A 30 year HRA business plan is used to look at the longer term viability of the HRA account. 10 Conclusion 10.1 The Council has effective financial management with elected members provided with appropriate information on funding gaps and saving options to enable them to make soundly based decisions when setting the budget. Sound financial management and transparency will continue to be crucial in Page 220
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Page | 20 the years ahead as the Council progresses this Financial Strategy and takes action to close the projected budget gap. 10.2 This financial strategy is deliberately disciplined. It does not rely on reserves to balance future years budgets, makes no assumptions in relation to funding growth beyond prudent assumptions in relation to the local government settlement and does not commit the Council to ambitious plans which it cannot afford to sustain. 10.3 The Council is forecast to have a budget gap of £52.2m for the period 2027/28 to 2031/32 based on current assumptions and the medium risk scenario. Financial planning will be key to meeting the challenges around resources and future funding and this Strategy will prepare the Council to take the necessary actions to counter the pressures and close the budget gap. Page 221
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Page | 21 Appendix 1 – Policy on Reserves and Balances Introduction A key component to sound financial and risk management is that the Council maintains adequate reserves and balances to meet known future commitments or expenditure arising from unforeseen, unexpected or emergency situations. Where appropriate, this policy adopts: • Local Authority Reserves and Balances (LAAP Bulletin 99) • The Statutory Basis for Accounting and Disclosing Reserves in Local Authorities in Scotland • CIPFA/LASAAC Code of Practice on Local Authority Accounting in the United Kingdom The purpose of this policy is to: • outline the legislative and regulatory framework underpinning the creation, use or assessment of the adequacy of reserves • identify the principles to be employed by the Council in assessing the adequacy of the Council’s balance and reserves • indicate how frequently the adequacy of the Council’s balances and reserves will be reviewed • set out arrangements relating to the creation, amendment and use of reserves and balances. The Council has a range of reserves and balances. These fall into two categories: • Usable Reserves • Unusable Reserves. Usable Reserves These are reserves available for use by the Council. They are held on the Council’s Balance Sheet for use, as appropriate, through this Policy. Usable Reserves are held for four main purposes: • A working balance to help cushion the impact of uneven cash flows - this forms part of general reserves. • A contingency to cushion the impact of unexpected events or emergencies. • A means of building up funds to meet unknown or predicted liabilities. • statutory reserves which are set aside for specific purposes including maintenance of assets, income from the sale of assets which must be used to offset capital expenditure or associated loan charges. For each reserve held, there should be a clear protocol on: Page 222
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Page | 22 • the reason for/purpose of the reserve • how and when the reserve can be used • a process and timescale for review of the reserve to ensure ongoing relevance and adequacy. The Usable Reserves held by the Council are: (a) General Fund Revenue Reserve The General Fund is held for all services provided by the Council through Revenue Support Grant provided by the Scottish Government and Council Tax paid by residents within the Council area. It excludes the Housing Revenue Account (HRA), which is funded from tenant rents. (b) HRA Revenue Reserve The Council is required by the Local Government and Housing Act (Scotland) 1987 to keep a HRA which records all revenue expenditure and income relating to the provision of council dwellings and related services. The use of this account is prescribed by statute and the Council is not allowed to use it to fund expenditure for non-housing related services. For both the General Fund and the HRA Reserves the level and utilisation of reserves will be determined formally by the Council, informed by the advice and judgement of the Section 95 Officer (Chief Officer Resources). Where the Section 95 Officer’s advice is not accepted, this should be recorded formally in the minutes of the appropriate Council meeting. The balance of these reserves normally comprises three elements: • Funds that are earmarked or set aside for specific purposes (in Scotland, the Council cannot have a separate Earmarked Reserve within the Balance Sheet, but can highlight elements of the General Fund Reserve balance required for specific purposes). • Funds which are not earmarked for specific purposes, but are set aside to deal with unexpected events or emergencies. Currently using a risk based assessment, the Council has a specific policy agreed each year and at present this ‘prudential target’ is set at 2.5% of net expenditure (excluding requisitions). • Funds held in excess of the prudential target and the identified earmarked sums. Reserves of this nature can be spent or earmarked at the discretion of Members. Principles to assess the adequacy of the reserves In order to assess the adequacy of unallocated reserves, the S95 officer should take account of strategic, operational and financial risks facing the Council. The assessment should include external risks (e.g. environmental or economic factors) as well as internal risks (e.g. the ability to deliver planned efficiency savings). Use of unallocated reserves Balancing the annual budget by drawing on unallocated reserves may be a legitimate short term option. However, CIPFA has commented that councils should be wary about the one-off use of reserves to deal with shortfalls in current funding or Page 223
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Page | 23 for recurring expenditure. The Council’s finance strategy makes no assumption about use of reserves to balance budgets. (c) Capital Receipts Reserve Under Schedule 3, paragraph 22 of the Local Government (Scotland) Act 1975, capital receipts on the sale of non-current assets received by the Council are retained within this Reserve until capital expenditure dictates the required use for the funds. Receipts for both General Fund and HRA are held separately, as specified above. Any receipts unused at 31 March will be held on the Balance Sheet as at that date. (d) Capital Grant and Reserves Unapplied Reserve Grants and other contributions given to the Council are retained within this Reserve until all conditions agreed by the grant provider are satisfied. The use of this fund is specified within the CIPFA/LASAAC Code of Practice on Local Authority Accounting in the United Kingdom, as revised each year. Any grants unapplied at 31 March will be held on the Balance Sheet as at that date. (e) Capital Items Replacement Fund (Other Reserve) Scottish Councils have explicit statutory powers under schedule 3 of the Local Government (Scotland) Act 1975 to establish Renewal and Repairs Funds. This reserve is used for the purpose of defraying expenditure to be incurred in repairing, maintaining and renewing any buildings, works, plant, equipment or articles belonging to the authority. At present the Council only holds one such fund, which is held within the Education Service. Separate and specific guidance is available for the use of this Fund. Funds are used for the renewal or repair of school non-current assets, with funds being linked specifically to the individual schools committing their budget for the purpose of repairs and renewals at a future date. (f) Capital Reserve This reserve is used to defray any expenditure of the Council to which capital is properly applicable, or in providing money for repayment of the principal of loans. It holds income (either specific capital receipts income or agreed contributions from revenue) which has been earmarked by Council for the funding of the Public Private Partnership (PPP) unitary charge on a specific annual phased amount. The PPP unitary charge liability can be split into revenue and capital related charges and this Reserve is used specifically to help fund the capital related charges. The Funds can be added to this Fund as agreed by Council (e.g. the sale of specific Education non- current assets) or at the discretion of the Section 95 Officer (i.e.in the event of a review identifying a risk of shortfall in the funding structure over the life of the project). Unusable Reserves These are reserves that are not available for use by the Council. They arise from the reconciliation of accounting requirements driven by reporting standards and statutory requirements. They are not resource-backed and are held on the Council’s Balance Sheet for use as appropriate through the CIPFA/LASAAC Code of Practice on Local Authority Accounting in the United Kingdom. The Unusable Reserves held by the Council are: Page 224
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Page | 24 (a) Capital Adjustment Account The Capital Adjustment Account absorbs the timing difference arising from the different rates at which assets are depreciated under proper accounting practice and are financed through the capital controls system. The account contains revaluation gains accumulated on property, plant and equipment before 1 April 2007, the date that the Revaluation Reserve was created to hold such gains. (b) Revaluation Reserve The Revaluation Reserve contains the unrealised gains arising from increases in the value of its property, plant and equipment (and intangible assets). The balance is reduced when assets with accumulated gains are: • re-valued downwards or impaired and the gains are lost • used in the provision of services and the gains are consumed through depreciation • disposed of and the gains are realised. The reserve contains only revaluation gains accumulated since 1 April 2007, the date that the reserve was created. Accumulated gains arising before that date are consolidated into the balance on the Capital Adjustment Account. (c) Pension Reserve The Pension Reserve absorbs the timing differences arising from the different arrangements for accounting for post-employment benefits and for funding benefits in accordance with statutory provisions. The Council accounts for post-employment benefits in the Comprehensive Income and Expenditure Statement as the benefits are earned by employees accruing years of service, updating the liabilities recognised to reflect inflation, changing assumptions and investment returns on any resources set aside to meet the costs. However statutory arrangements requires benefits earned to be financed as the Council makes employer’s contributions to pension funds or eventually pays any pension for which it is directly responsible. The debit balance on the pensions reserve therefore shows a substantial shortfall in the benefits earned by past and current employees and the resources the Council has set aside to meet them. The statutory arrangements will ensure that funding will have been set aside by the time the benefits come to be paid. (d) Employee Statutory Adjustment Account The Employee Statutory Adjustment Account absorbs the differences that would otherwise arise on the general fund/ HRA balance from accruing for compensated absences earned but not taken in the year, e.g. annual leave entitlement carried forward at 31 March. Statutory arrangements require that the impact on the General Fund balance is neutralised by transfers to or from this account. (e) Financial Instruments Adjustment Account The Financial Instruments Adjustment Account absorbs the timing difference arising from the different arrangements for accounting for income and expenses relating to certain financial instruments and for bearing losses or benefiting from gains per statutory provisions. The Council uses the account to manage premiums paid on the early redemption of loans. Premiums are debited to the Comprehensive Income and Expenditure Statement when they are incurred, but reversed out of the General Page 225
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Page | 25 Fund balance to the account in the Movement in Reserves Statement. Over time, the expense is posted back to the General Fund balance in accordance with statutory arrangements for spreading the burden on council tax. Accounting and Disclosure Expenditure should not be charged direct to any reserve. Any movement within Revenue Reserves is accounted for as an appropriation and is transparent. Entries within a reserve are specifically restricted to ‘contributions to and from the consolidated Income and Expenditure Account’ with expenditure charged to the service revenue account. The appropriation is made from the reserve to the Movement in Reserves to neutralise the impact on the Council Tax or the Housing Rents. Any revision to this Policy (including creation or amendment to any reserve or use of any reserve) requires to be reported, considered and approved by Council. Page 226
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WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer - Resources Council: 26 August 2026 ––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––– Subject: Quarterly Treasury Management Update to 30 June 2026 1. Purpose 1.1 This report presents updated West Dunbartonshire Council (the Council) on Treasury Management activity for the first quarter of the 2026/27 financial year from 1 April 2026 to 30 June 2026. 2. Recommendations 2.1 It is recommended Council notes the Treasury Management activity for the quarter ended 30 June 2026. 3. Background 3.1 The Council manages its treasury activities in line with the CIPFA Code ‘Treasury Management in the Public Services’. The Code requires the Council to produce reports on its Treasury Management policies, practices and activities on a regular and ongoing basis. The Council fulfils these obligations, in part, by the preparation of this Treasury Management Monitoring report produced on a quarterly basis, encompassing a review of performance. Quarterly reporting of these treasury management prudential indicators is now a recommended part of the governance framework for local authorities. 3.2 The Council’s Treasury Management Strategy 2026/2027 and Treasury and Prudential Indicators 2026/27 to 2035/36 were approved by Council at its meeting on 25 March 2026. The Treasury activity undertaken in the first quarter of 2026/27 reflects the key requirements of the Council’s 2026/27 Treasury Management Strategy. 4. Main issues 4.1 UK Economic update *Source – MUFG Treasury Management Update, Quarterly Report, 30th June 2026 • The first quarter saw the economy starting to falter with a 0.1% month of month fall in real GDP in April • Inflation is currently around 2.8% ITEM 11 Page 227
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• Bank of England has left the base rate at 3.75% as the economy remains weak The economy performed well in the early stages of the energy shock, with GDP rising by a strong 0.6% quarter on quarter between January and March. But that will likely be the high point of the year. Indeed, the 0.1% month on month fall in real GDP in April was the first decline since August 2025 and brought the first signs that the economy is starting to crack. CPI inflation held steady in May at 2.8%. There wasn’t much support to inflation from energy effects. The 0.3% month on month fall in fuel prices was smaller than the 1.6% month on month drop last May and meant fuel inflation rose only a bit from 23.0% to 24.6%. After rising to 129.6%, heating oil inflation eased to 95.6%. And the 13.5% rise in the Ofgem utility price cap, which will add 0.6 percentage points (ppts) to CPI inflation, doesn’t take effect until 1st July. With food & drink inflation easing to its lowest rate since late 2024, higher energy costs do not seem to be boosting other items of the CPI just yet. There were two Monetary Policy Committee (MPC) meetings this quarter. The first, on 30th April, saw the Bank Rate stay at 3.75% with an 8-1 split vote in favour of that decision. One member dissented and voted for a 0.25% increase to 4%, citing inflation concerns, something generally noted as a primary concern within the minutes and reflecting heightened caution due to potential energy supply shocks caused by the Middle East conflict. By the time the MPC next met on 18th June, the split widened, with two members voting to raise rates to 4%. However, with headline CPI inflation sticking at 2.8%, the market’s sentiment that there may, but only may, be a need for a single rate increase over the next few months seems to be aligned to the way the MPC is thinking and is also similar to our own view of rates staying at 3.75% but with upside risk. 4.2 Interest Rate Forecast The Council’s Treasury advisors, MUFG Corporate Markets, provided the following interest rate forecast as at 25 March 2026 for Bank Rates and Public Works Loan Board (PWLB) borrowing rates. There has been no change to the rates following receipt of this forecast. Table 1: MUFG Corporate Markets Interest rate review as at 25 March 2026. Page 228
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4.3 Investments and Benchmarking Cash flow, uncertainty, and the need to maintain liquidity, has meant the Council has held most of its cash balances in Money Market Funds and with the Debt Management Office. The rate of return on Money Market Fund investments has increased during the quarter. All investment decisions are taken with reference to CIPFA’s Code of Practice on Treasury Management where security of funds is the overriding consideration, then liquidity and finally yield. As at 30 June 2026, the Council held cash balances of £36.232m, of which £1.232m was immediately available in the Council’s bank account and a further £35m immediately available from holdings in Money Market Funds and deposits held with the Debt Management Office. The Council’s investment portfolio for the first quarter of 2026/27 is shown in the following Table: Table 2: Investment portfolio at 30 June 2026 Short term investments Counterparty Total investments at start of quarter £’000 Total investments 30 June 2026 £’000 Interest rate at start of quarter % Interest rate 30 June 2026 % Type Banks Instant Access Virgin Money Bank (Main bank) 1,520 1,232 3.65 3.65 DMO 7,000 15,000 3.70 3.70 Money Market Funds Instant Access Federated 5,000 5,000 3.82 4.01 Blackrock 5,000 5,000 3.76 3.82 State Street 5,000 5,000 3.78 3.85 Abrdn 5,000 5,000 3.80 3.85 Total Investments 28,520 36,232 Page 229
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Table 3: Benchmark Investment Returns 2026/27 Benchmark period Benchmark return as 30 June 2026 1 Month 3.74% 3 Months 3.75% 6 Months 3.76% 12 Months 3.95% *The rates shown above are based on the backward-looking Sterling Overnight Index. Source MUFG Executive Summary 30/06/2026 4.4 Borrowing Requirement and Debt The Council's underlying need to borrow to finance capital expenditure, termed the Capital Financing Requirement (CFR) is shown below. The 2026/27 CFR is expected to increase as a result of additions to the capital plan. Table 4: Borrowing Requirement (CFR) 2026/27 31 March 2026 Actual £’000 31 March 2027 Budget Estimate £’000 Projected as at June 2026 £’000 Total CFR 923,501 983,180 996,082 4.5 Borrowing Outturn for 2026/27 The approved Capital programmes for both the General Fund and the HRA for 2026/27 indicated additional external borrowing would need to be undertaken to finance capital expenditure within the year. During the period to 30 June 2026, the Council undertook borrowing from the Public Works Loan Board of £45m in June 2026. MUFG Corporate Markets, the Council’s treasury management advisers, provided information on the economic outlook and interest rate forecast to enable the Council to make an informed decision on borrowing. The duration of the loans was short and medium terms on the expectation of a forecast reduction in the bank rate. It is anticipated that the Council will refinance the debt as it falls due at a lower interest rate. Following the additional borrowing being undertaken, the Council remains in an under borrowed position. The Council's external borrowing position as at 30 June 2026 and expected year end position is illustrated in the undernoted table: Page 230
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Table 5: External borrowing at 2026/27 Actual March 2026 £’000 Actual June 2026 £’000 Projected March 2027 £’000 Local Authority Loans 250,500 217,500 265,500 PWLB 573,419 602,236 586,419 Market Loans 32,300 32,300 32,300 Other long-term liabilities 1,424 1,424 1,424 Long Term Liabilities - PFI 78,508 78,508 78,508 Total 936,151 931,968 964,151 The level of borrowing is forecast to increase by the end of 2026/27. This is on the basis that no new external borrowing is undertaken during the remainder of the year. 4.6 External Debt At the end of the quarter, total external debt amounted to £899.7m, a reduction of £36.4m. This was primarily due to repayment of existing local authority loans falling due for repayment, from PWLB borrowing undertaken of £45m in the current quarter. 4.7 Borrowing in Advance of Need The Council has not borrowed in advance of need in the three months ended 30 June 2026 and has no intention to borrow in advance during the remainder of 2026/27. 4.8 Debt Rescheduling Debt rescheduling opportunities have been very limited in the current economic climate, given the consequent structure of interest rates. Consequently no debt rescheduling has been undertaken to date in the current financial year. 4.9 Compliance with Prudential Limits The Operational Boundary is the limit beyond which external debt is not normally expected to exceed. In most cases, this would be a similar figure to the CFR but may be lower or higher depending on the levels of actual debt. Page 231
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The Authorised Limit for External Borrowing – This is a key prudential indicator and represents a control on the maximum level of borrowing. This represents a legal limit beyond which external debt is not allowed to exceed. Table 6 shows that actual borrowing did not exceed the target indicators for the quarter. Table 6. Target Indicators 2026/2027 £000 Actual Borrowing June 2026 £000 Operational Boundary (Exc Long Term Liability) 991,819 853,460 Authorised Limit (Exc Long Term Liability) 1,081,985 853,460 CFR 983,180 853,460 5. Resource issues While interest rates have risen over the past few years, Bank base rates are now starting to reduce. In relative terms rates remain high compared to the past decade and UK Government targets. The Council has focused on accessing short-term rather than long-term borrowing on the basis that rates are expected to fall further. The use of short- term borrowing does however have associated risks such as market rates increasing, and/or appropriate borrowing not being available when required. This approach is kept under regular review and may be changed depending on the prevailing short and long- term rates. The use of short-term borrowing does mitigate the risk of locking into long- term borrowing when rates are forecast to fall in the coming months. 6. Option Appraisal 6.1 No option appraisal was required for this report. 7. People Implications 7.1 There are no people implications. 8. Financial and Procurement Implications 8.1 There are no direct financial or procurement implications arising from this report. Page 232
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9. Risk Analysis 9.1 The main risks are as follows: (a) Capital inflation may increase capital expenditure levels, which in turn may affect the capital financing and borrowing requirement leading to an increase in borrowing, assuming no additional capital receipts are available. (b) The risk of counterparties default (i.e. loss of principal sum invested) however the Council has robust controls included within its treasury management and investment strategies that help minimise this risk. 10. Equalities Impact Assessment (EIA) 10.1 No equalities impact assessment was required in relation to this report. 11. Environmental Sustainability 11.1 No assessment of environmental sustainability was required in relation to this report. 12. Consultation 12.1 The views of Legal Services have been requested on this report who advised there are no issues or concerns. 13. Strategic Assessment 13.1 Proper budgetary control and sound financial practice are cornerstones of good governance and support Council and officers to pursue the 5 strategic priorities of the Council’s Strategic Plan. 13.2 Treasury management contributes to the Financial Strategy via the interdependency that exists between pro-active treasury management and the formulation of long-term financial plans. ______________ Laurence Slavin Chief Officer – Resources Date: 27 July 2026 Person to Contact: Lynsey Dickson, Finance Business Partner Council Offices, Church Street, Dumbarton Page 233
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E-mail: lynsey.dickson@west-dunbarton.gov.uk Background Papers: Treasury Management Strategy – Council 25 March 2026 and Audit Committee 10 June 2026 Wards Affected: All Wards Page 234
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WEST DUNBARTONSHIRE COUNCIL Report by the Chief Officer – Resources Council – 26th August 2026 ___________________________________________________________________ Subject: General Services Revenue Budgetary Control Report to 30th June 2026 (Period 3) 1. Purpose 1.1 The purpose of this report is to advise Council of the 2026/27 Revenue Budget position at 30 June 2026 and the forecast position of the General Fund Reserve as at 31 March 2027. 2. Recommendations 2.1 Council is asked to: i) note the overall adverse variance (overspend) on the General Fund Revenue Budget of £1.788m (0.55% of the total budget). £1.665m (0.51%) of this relates to General Services Delivery Budget and £0.123m (0.04%) relates to non-service budgets. ii) note the current projected use of earmarked reserves of £8.788m. 3. Background 3.1 At the meeting of West Dunbartonshire Council (the Council) on 4 March 2026, members agreed the revenue estimates for 2026/2027. A total net budget of £325.673m was approved for General Services. 3.2 Since the budget was agreed, additional funding has been provided by the Scottish Government of £0.593m, resulting in a revised total net budget of £326.266m. Service £m £m Agreed budget 6 March 2025 325.673 Additional Resources: Additional ELC funding for sustainable rates Education 0.248 Council Tax Revaluation Mansion Tax VJB requisition 0.345 Total Additional Resources 0.593 Revised Budget as at Period 3 326.266 ITEM 12 Page 235
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4. Main Issues Service Delivery Position 4.1 The summary report at Appendix 1 highlights a projected adverse variance (overspend) against General Services Delivery of £1.665m (0.51% of the total budget), £0.123m on non-service budgets making an overall projected adverse variance of £1.788m. Appendix 2 provides more detailed service reports by Chief Officer. The main reason for this overspend is detailed in the table below with explanations provided in Appendix 3. Service Variances £m £m Resources: • Adverse variance within Finance due to turnover saving not achieved in year • Other variances across the service 0.080 (0.009) 0.071 Regulatory & Regeneration: • Favourable variance due to vacancies • Adverse variances due to an overspend on supplies & services, partially offset by additional income. • Under recovery in income mainly due to a reduction in pest control and sequestration income. (0.019) 0.065 0.054 0.100 People & Technology: • Adverse variance within ICT due to turnover saving not achieved in year • Adverse variance within Central Admin Support due to turnover saving not being achieved (£74k) and increased cost of postage (£45k) • Other variances across the service 0.065 0.119 0.052 0.236 Citizens, Culture and Facilities: • Adverse variance anticipated within Events due to the costs associated with the Pipe Band Championship • Other variances across the service 0.035 0.022 0.057 Education: • Adverse variance on the cost of long-term absence teaching cover • Increase in SPT Bus Contracts • Other variances across the service 0.852 0.178 (0.036) 0.994 Roads & Neighbourhood Services: • Favourable variance within Roads due to vacancies and an underspend on street lighting; offset by an overspend on rates and transport costs. • Adverse variance within Waste Services mainly due to turnover saving not achieved in year, partially offset by an underspend on waste (0.107) 0.161 Page 236
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disposals costs and additional income from brown bin permits • Adverse variance within Grounds Maintenance & Street Cleaning due to an under recovery in income due to a reduction in the level of works undertaken in 2026/27. There are also overspends on staff costs due to turnover not being achieved and increased property costs. • Adverse variance within Burial Grounds due to the turnover saving not being achieved and a reduction in sales income from Burials • Adverse variance within Crematorium due to the turnover saving not being achieved and a reduction in sales income from Cremations • Other variances across the service 0.167 0.068 0.051 0.014 0.354 Housing & Employability: • Favourable variance within Homelessness • Services due to employee vacancies • Adverse variance in relation to Resettlement Services due to the uncertainty of future grant income • Other variances across the service (0.295) 0.201 (0.023) (0.117) Miscellaneous Services: • Small underspends across the service (0.030) (0.030) Adverse variance in Service Delivery at Period 3 1.665 Non-Service Budgets: • Loan Charges • Adjustment to non-GAE allocation following review of CSA model. 0.600 (0.477) 0.123 Adverse variance in Non-Service Budget 0.123 General Fund variance as at Period 3 1.788 4.2 Information on any projected annual variances in excess of £0.050m are highlighted and noted within Appendix 3, with additional information on action being taken to minimise or mitigate overspends where possible. Earmarked Reserve Position 4.3 As part of the 2026/27 budget, it was agreed to use £6.243m of strategic reserves to balance the budget. 4.4 Services are forecasting the use of £1.890m of operational earmarked reserves in 2026/27. In addition, there is a further use of £0.654m forecast from strategic reserves making the total use of strategic reserves £6.897m. Full details are provided in Appendix 4. 4.5 The Council’s General Fund contingency (Prudential Target) is set at 2.5% of net expenditure for 2026/27 as agreed 4 March 2026 and amounts to £5.510m. After taking into consideration the forecast adverse position of Page 237
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£1.788m, the Council is currently forecast to be £1.221m below the current Prudential Target as at 31 March 2027. Finance will continue to work with the services to try to mitigate the projected overspends. 4.6 Appendix 5 shows the latest position in respect of Unallocated and Earmarked Reserves and shows the projected balance as at 31 March 2027: Unearmarked Balance (£m) Earmarked Balance (£m) Total General Fund Reserves (£m) As at 31 March 2026 6.077 18.847 24.924 Projected in year use of reserves (1.788) (2.545) (4.333) Budgeted use of reserves 0.000 (6.243) (6.243) Projected Balance as at 31 March 2027 4.289 10.059 14.348 Monitoring of Efficiencies 4.7 A list of agreed efficiencies and management adjustments totalling £4.105m is shown within Appendix 6. Current indications show that £3.746m (91%) is on target to be achieved. 5. Option Appraisal 5.1 No option appraisal was required for this report. 6. People Implications 6.1 There are no people implications. 7. Financial and Procurement Implications 7.1 The report notes the projected in-year financial position for the General Services revenue budget. 8. Risk Analysis 8.1 The main risks are as follows: (a) The present variances should be viewed in the knowledge that there are a number of variable factors which could arise between now and 31 March which could affect the year end; (b) As a consequence of current market conditions, capital receipts may either not be received or they may be less than anticipated. The budget assumption is that all capital receipts achieved in 2026/27 will be used for principal and premium repayments within the loan charges budget. Any shortfall in capital receipts below that budgeted amount will adversely affect the revenue budget position. This is being closely monitored and any issues will be reported to Council; Page 238
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(c) As a consequence of current market conditions, inflation remains volatile and interest rates are reducing more gradually than initially anticipated. To forecast for the full year costs budget assumptions have been required (particularly around energy costs and interest rates). These assumptions continue to change regularly and therefore it is likely that the projected year end budgetary position will change from that reported. 9. Equalities Impact Assessment (EIA) 9.1 No equalities impact assessment was required in relation to this report. 10. Environmental Sustainability 10.1 No assessment of environmental sustainability was required in relation to this report. 11. Consultation 11.1 All services involved in delivering the revenue budget have been consulted in the compilation of this report. 12. Strategic Assessment 12.1 Proper budgetary control and sound financial practice are cornerstones of good governance and support Council and officers to pursue the strategic priorities of the Council’s current Strategic Plan. This report forms part of the financial governance of the Council. __________________ Laurence Slavin Chief Officer – Resources Date: 26 August 2026 __________________________________________________________________ Person to Contact: Carol Alderson. Finance Manager Council Offices, Church Street, Dumbarton E-mail: carol.alderson@west-dunbarton.gov.uk Appendices: Appendix 1 - Revenue Budgetary Control 2026/27 – Corporate Summary; Appendix 2 - Revenue Budgetary Control 2026/27 – Chief Officer Summaries; Appendix 3 - Analysis of Revenue Variances over £50,000; Appendix 4 - Monitoring of Earmarked Balances Appendix 5 - Reconciliation of General Fund Reserves Appendix 6 - Monitoring of Efficiencies Page 239
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Background Papers: • Ledger output – Period 3; • General Services Revenue Estimates 2026/27 Wards Affected All Wards Page 240
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 1 REVENUE BUDGETARY CONTROL 2026/27 SUMMARY PERIOD END DATE 30 June 2026 Total Budget Spend to Date Projected Spend Use of Earmarked Reserves Variance after the use of Earmarked Reserves Annual RAG Status £000 £000 £000 £000 % £000 £000 Resources 6,096 7,630 6,167 71 1.2% 0 71 Regulatory and Regeneration 5,092 1,267 5,890 798 15.7% 698 100 People & Technology 11,563 3,873 11,862 299 2.6% 63 236 Citizens, Culture and Facilities 20,848 5,216 20,925 77 0.4% 20 57 Education, Learning and Attainment 139,552 34,885 140,645 1,094 0.8% 100 994 Roads and Neighbourhood 19,661 5,696 21,278 1,617 8.2% 1,263 354 1,287 230 1,170 (117) -9.1% 0 (117) Miscellaneous Services 8,416 2,492 8,787 371 4.4% 401 (30) Requisition (VJB) 1,453 363 1,453 0 0.0% 0 0 Requisition (SPT) 1,611 403 1,611 0 0.0% 0 0 Requisition (HSCP) 97,736 24,434 97,736 0 0.0% 0 0 General Services Delivery sub-total 313,315 86,489 317,524 4,209 1.3% 2,545 1,665 Non-Service Budgets Loan Charges 22,958 5,740 23,558 600 2.6% 0 600 Capital Receipts used to fund Loan Charges (2,384) 0 (2,384) 0 0.0% 0 0 Non GAE Allocation (7,623) (1,906) (8,100) (477) 6.3% 0 (477) Non-Service Budget sub-total 12,951 3,834 13,074 123 0.9% 0 123 Total Expenditure 326,266 90,323 330,598 4,332 1.3% 2,545 1,788 Council Tax (49,804) (12,451) (49,804) 0 0.0% 0 0 Revenue Support Grant (167,838) (41,960) (167,838) 0 0.0% 0 0 Non Domestic Rates (99,984) (24,996) (99,984) 0 0.0% 0 0 Central Government Funding (2,397) 0 (2,397) 0 0.0% 0 0 Use of reserves (6,243) 0 (6,243) 0 0.0% 6,243 0 Total Resources (326,266) (79,407) (326,266) 0 0.0% 6,243 0 Net Expenditure 0 10,916 4,332 4,332 0.0% 8,788 1,788 Department Summary Variance Housing and Employability General Services Delivery Page 241
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2026/27 RESOURCES SUMMARY PERIOD END DATE 30 June 2026 Total Budget Spend to Date Projected Spend Use of Earmarked Reserves Variance after the use of Earmarked Reserves Annual RAG Status £000 £000 £000 £000 % £000 £000 330 4 318 (12) -4% 0 (12) 1,727 470 1,806 80 5% 0 80 2,201 1,239 2,201 0 0% 0 0 2,690 588 2,690 (1) 0% 0 (1) 438 162 460 21 5% 0 21 (29) 0 (29) 0 0% 0 0 (1,117) (80) (1,102) 15 -1% 0 15 1,177 388 1,189 12 1% 0 12 (1,321) 4,857 (1,366) (46) 3% 0 (46) 0 1 0 0 0% 0 0 6,096 7,630 6,167 71 1% 0 71 Total Net Expenditure Finance Cost of Collection of Council Tax Cost of Collection of Rates Rent Rebates & Allowances Corporate Asset Maintenance Office Accommodation Corporate Assets Variance Service Summary Service / Subjective Summary Finance Service Centre Audit Revenues & Benefits Page 242
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2026/27 REGULATORY AND REGENERATION SUMMARY PERIOD END DATE 30 June 2026 Total Budget Spend to Date Projected Spend Use of Earmarked Reserves Variance after the use of Earmarked Reserves Annual RAG Status £000 £000 £000 £000 % £000 £000 1,395 382 1,431 36 3% 0 36 666 157 691 24 4% 0 24 (213) (22) (202) 11 -5% 0 11 877 191 812 (65) -7% 0 (65) 684 23 972 288 42% 253 35 709 163 717 8 1% 0 8 Economic Development 974 374 1,468 494 51% 445 49 5,092 1,267 5,890 798 16% 698 100 Democratic and Registration Service Legal Services/Trading Standards Licensing Environmental Health Planning Variance Total Net Expenditure Service / Subjective Summary Service Summary Procurement Page 243
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2026/27 PEOPLE AND TECHNOLOGY PERIOD END DATE 30 June 2026 Total Budget Spend to Date Projected Spend Use of Earmarked Reserves Variance after the use of Earmarked Reserves Annual RAG Status £000 £000 £000 £000 % £000 £000 1,033 255 1,060 27 3% 0 27 2,006 462 2,093 87 4% 63 24 5,414 2,491 5,479 65 1% 0 65 Central Administration Support 3,110 665 3,230 120 4% 0 120 - - - - 0% 0 (0) 11,563 3,873 11,862 299 3% 63 236 Variance Total Net Expenditure Transactional Services Provision for Legal Fees & Settlements Information Services Strategic People and Change Service / Subjective Summary Service Summary Page 244
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2026/27 CITIZENS, CULTURE AND FACILITIES PERIOD END DATE 30 June 2026 Total Budget Spend to Date Projected Spend Use of Earmarked Reserves Variance after the use of Earmarked Reserves Annual RAG Status £000 £000 £000 £000 % £000 £000 298.00 77.00 328.00 30.00 10% 0 30 1,516.00 406.00 1,525.00 9.00 1% 0 9 237.00 56.00 243.00 6.00 3% 0 6 Clydebank Town Hall 340.99 39.55 340.99 - 0% 0 0 Libraries 2,014.00 93.04 2,026.00 12.00 1% 10 2 Arts and Heritage 301.00 74.00 264.00 37.00- -12% 0 (37) Catering Services 5,905.46 1,642.07 5,905.46 - 0% 0 0 Building Cleaning 2,180.47 487.52 2,180.47 - 0% 0 0 Building Cleaning PPP 30.98- 394.21 30.98- - 0% 0 0 Facilities Assistants 2,676.97 593.60 2,676.97 - 0% 0 0 Facilities Management 630.07 134.05 630.07 - 0% 0 0 Events 19.00 70.00 54.00 35.00 184% 0 35 Leisure Management 4,526.00 1,097.67 4,537.00 11.00 0% 10 1 Registrars Service 156.00 33.00 167.00 11.00 7% 0 11 School Crossing Patrollers 77.55 18.53 77.55 - 0% 0 0 20,847.52 5,216.25 20,924.52 77.00 0% 20 57 Variance Total Net Expenditure Citizen Services Service / Subjective Summary Service Summary Communications & Marketing Performance & Strategy Page 245
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2026/27 EDUCATION, LEARNING AND ATTAINMENT PERIOD END DATE 30 June 2026 Total Budget Spend to Date Projected Spend Use of Earmarked Reserves Variance after the use of Earmarked Reserves Annual RAG Status £000 £000 £000 £000 % £000 £000 Primary Schools 35,783 8,884 36,386 603 2% 0 603 Secondary Schools 36,670 9,733 37,188 519 1% 0 519 Specialist Educational Provision 25,218 5,113 25,171 (47) 0% 0 (47) Psychological Services 812 95 763 (49) -6% 0 (49) Sport Development / Active Schools 627 589 627 0 0% 0 0 Early Education 21,451 4,732 21,706 255 1% 0 255 PPP 13,929 4,506 13,833 (96) -1% 0 (96) Creative Arts 687 171 690 3 0% 0 3 Curriculum for Excellence 72 9 72 0 0% 0 0 Central Admin 948 552 969 21 2% 100 (79) Workforce CPD 290 61 279 (11) -4% 0 (11) Performance & Improvement 558 97 535 (23) -4% 0 (23) Education Development 2,509 343 2,426 (83) -3% 0 (83) 139,552 34,885 140,645 1,094 1% 100 994 Variance Service Summary Service / Subjective Summary Total Net Expenditure Page 246
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2026/27 ROADS AND NEIGHBOURHOOD PERIOD END DATE 30 June 2026 Total Budget Spend to Date Projected Spend Use of Earmarked Reserves Variance after the use of Earmarked Reserves Annual RAG Status £000 £000 £000 £000 % £000 £000 Transport, Fleet & Maintenance Services 0 386 0 0 0% 0 0 Roads Services 2,647 929 2,540 (107) -4% 0 (107) Outdoor Services 270 32 283 13 5% 0 13 Burial Grounds (87) 35 (19) 68 -79% 0 68 Crematorium (957) (123) (906) 51 -5% 0 51 Waste Services 11,059 1,428 11,220 161 1% 0 161 Depots 0 139 0 0 0% 0 0 Ground Maintenance & Street Cleaning 5,023 1,998 5,190 168 3% 0 168 Shared Prosperity Fund 0 164 809 809 0% 809 (0) Working 4 U 1,706 708 2,160 454 27% 454 0 19,661 5,696 21,278 1,617 8% 1,263 354 Service / Subjective Summary Service Summary Variance Total Net Expenditure Page 247
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2026/27 HOUSING AND EMPLOYABILITY PERIOD END DATE 30 June 2026 Total Budget Spend to Date Projected Spend Use of Earmarked Reserves Variance after the use of Earmarked Reserves Annual RAG Status £000 £000 £000 £000 % £000 £000 Homelessness Services 925 37 630 (295) -32% 0 (295) Resettlement Services 0 105 201 201 0% 0 201 Private Sector Housing 16 4 16 0 0% 0 0 Private Sector Housing Grant 48 13 47 (1) -2% 0 (1) Energy Efficiency Scotland Area Based Scheme 0 0 0 0 0% 0 0 Anti Social Behaviour & CCTV 298 71 276 (22) -7% 0 (22) 1,287 230 1,170 (117) -9% 0 (117) Variance Total Net Expenditure Service / Subjective Summary Service Summary Page 248
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 REVENUE BUDGETARY CONTROL 2026/27 MISCELLANEOUS PERIOD END DATE 30 June 2026 Total Budget Spend to Date Projected Spend Use of Earmarked Reserves Variance after the use of Earmarked Reserves Annual RAG Status £000 £000 £000 £000 % £000 £000 7,069 2,196 7,440 371 5% 401 (30) 1,347 296 1,347 0 0% 0 0 8,416 2,492 8,787 371 4% 401 (30) Variance Total Net Expenditure Service / Subjective Summary Chief Executive and Chief Officers Service Summary Sundry Services Page 249
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2026/27 ANALYSIS FOR VARIANCES OVER £50,000 PERIOD END DATE Total Budget Projected Spend Use of EMR Variance after the use of EMR £000 £000 £000 £000 % Finance 1,727 1,806 0 80 5% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Legal Services/Trading Standards 877 812 0 (65) -7% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Information Services 5,414 5,479 0 65 1% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Central Administration Support 3,110 3,230 0 120 4% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome An adverse variance is shown within employee costs, as a result of the annual turnover target not being achieved. Overall, the WDC turnover target is expected to be achieved, consistent with previous years. Adverse variance £74k adverse employee costs due to turnover savings currently forecast to be below target. £45k adverse variance arising from increased postage costs . Outsourced printing budget centralised in CAS for FY27. Mitigating actions, including reducing postal notifications, have already been implemented; however, the service continues to face an ongoing cost pressure of £45k based on FY26 spend. Overall, the WDC turnover target is expected to be achieved, consistent with previous years. Adverse variance This service area provides general ICT support to the Council and also supports transformational change and modernisation of working practices through technology. People & Technology None required. Favourable Variance The service provided by this area deals with Accountancy, Capital, Treasury, Reconciliations and Cash An adverse variance is shown within employee costs, as a result of the annual turnover target not being achieved. Achieving the turnover target is dependent on employees vacating their posts. As such there is no specific action that can be taken to ensure the target is achieved. In the event that any vacancies do arise consideration will be given to delaying recruitment to help achieve the turnover target. Adverse variance 30 June 2026 Budget Details Resources Variance Analysis RAG Status Regulatory and Regeneration This services provides legal advice to the Council. The main reason for this favourable variance is due to the current level of vacancies within the service (£96k), partially off-set by sequestration income being lower than anticipated (£26k). The remaining variance (£5k) is due to various small adverse variances across the service area. This services deals with administration functions within the Authority. Page 250
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2026/27 ANALYSIS FOR VARIANCES OVER £50,000 PERIOD END DATE Total Budget Projected Spend Use of EMR Variance after the use of EMR £000 £000 £000 £000 % 30 June 2026 Budget Details Variance Analysis RAG Status Primary Schools 35,783 36,386 0 603 2% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Secondary Schools 36,670 37,188 0 519 1% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Early Education 21,451 21,706 0 255 1% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome PPP 13,929 13,833 0 (96) -1% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Central Admin 948 969 100 (79) -8% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome This service area includes Vale of Leven, Clydebank High and St Peter the Apostle High Schools and St Eunan's Primary School. The costs charged to this service are Property costs and the Unitary charge. The favourable variance is due to an underspend on utility costs. none necessary This service area covers Education Directorate The favourable variance is due to underspends on general supplies & services as well as lower Free School Meal holiday payments caused by a continued reduction in pupil numbers. none necessary favourable variance favourable variance This adverse variance against employee costs (£394k) is a result of the turnover target not being achieved. This is partly offset by lower property costs (£56k) and greater income (£88k) particularly from pre-entitlement hours . none possible adverse variance This service area includes all Primary Schools. There is a projected employee cost overspend of £565k, primarily due to the increased requirement for cover arrangements associated with long-term teaching staff absences. SPT bus contracts have come in higher than budget (£56k).There are some minor favourable variances across property costs. Wider action on long-term sickness management being enhanced further adverse variance This service area includes all Secondary Schools. There is a projected employee cost overspend of £287k, primarily due to the increased requirement for cover arrangements associated with long-term teaching staff absences. SPT bus contracts have come in higher than budget (£122k). The balance of the adverse variance is largely attributable to turnover not being achieved and miscellaneous variances across the service. Wider action on long-term sickness management being enhanced further adverse variance This services area includes all Early Years establishments within West Dunbartonshire. Education , Learning and Attainment Page 251
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2026/27 ANALYSIS FOR VARIANCES OVER £50,000 PERIOD END DATE Total Budget Projected Spend Use of EMR Variance after the use of EMR £000 £000 £000 £000 % 30 June 2026 Budget Details Variance Analysis RAG Status Education Development 2,509 2,426 0 (83) -3% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Roads Services 2,647 2,540 0 (107) -4% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Burial Grounds (87) (19) 0 68 -79% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Crematorium (957) (906) 0 51 -5% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome This service provides burial services within the Council area The service is forecasting an overspend of £68k. £30k within employee costs due to turnover savings not being achieved and £38k in income due to the number of burials anticipated. The number of burials may change throughout the year and the anticipated outcome will be updated accordingly. The service will continue to monitor and review all other areas of expenditure. An overspend is anticipated at the year end. This service provides crematorium services within the Council area There is a projected overspend on employee costs partly due to not achieving turnover and partly due to the reintroduction of Saturday openings for cremations. There is also a forecast under recovery in income of £46k due to the number of cremations being lower than budgeted. The number of cremations may change throughout the year and the anticipated outcome will be updated accordingly. The service will continue to monitor and review all other areas of expenditure. Overspend anticipated. This service relates to Roads operations, design, structures, street lighting, road safety and school crossing patrols Employee costs are expected to underspend by £71k due to current levels of vacancies within the service. Rates within property costs are higher than budgeted resulting in an overspend of £42k and transport and plant is showing an overspend of £59k mainly due to the anticipated internal fleet maintenance charge for vehicles operated by the service. Street lighting within supplies and services is expected to underspend by £170k, which is due to previous reductions in the cost of electricity after budgets were allocated and agreed. The remaining £33k is due to various small variances across the service. The service will continue to monitor all spend across the service. Underspend This service includes spend in areas such as technician service, language programmes and senior phase programme. The favourable variance is due to an underspend on employee costs none necessary favourable variance Roads and Neighbourhood Page 252
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2026/27 ANALYSIS FOR VARIANCES OVER £50,000 PERIOD END DATE Total Budget Projected Spend Use of EMR Variance after the use of EMR £000 £000 £000 £000 % 30 June 2026 Budget Details Variance Analysis RAG Status Waste Services 11,059 11,220 0 161 1% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Ground Maintenance & Street Cleaning 5,023 5,190 0 168 3% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Homelessness Services 925 630 0 (295) -32% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Resettlement Services 0 201 0 201 0% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome The service supports refugees to settle and integrate within local communities. Grant funding is dependent on the number of individuals settling within the area. The early forecast is for service expenditure to exceed grant funding by £200,000. Maximise grant income through successful claims to UK and Scottish governments. Year end overspend. The Service will continue to monitor and review costs and reduce overspends as appropriate. An overspend is anticipated Provision of grounds maintenance and street cleaning services. Staff costs are showing an overspend of £24k due to full turnover not being fully achieved. It is projected that property costs will overspend by £32k mainly due to utility costs and water rates being higher than anticipated. Income is showing an under recover by £121k due to a reduction in the level of works that will be undertaken in 2026/27. The remaining £9k is due to an underspend on supplies and services. Housing and Employability The service seeks to prevent homelessness occurring across the authority and improves access to support services. Vacant posts across the service will deliver an employee cost underspend. None A year end underspend Waste Collection and Refuse disposal services Employee costs are projected to be overspent by £257k mainly due to turnover savings not being met. Supplies and services are expected to underspend by £79k mainly due to tonnage costs for waste disposal being lower than budgeted and income is showing an over recovery of £42k due mainly due the sale of additional brown bin permits. The remaining £25k is due to various small adverse variances across the service. The Service will continue to monitor and review costs and reduce overspends as appropriate. Overspend anticipated. Page 253
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 3 REVENUE BUDGETARY CONTROL 2026/27 ANALYSIS FOR VARIANCES OVER £50,000 PERIOD END DATE Total Budget Projected Spend Use of EMR Variance after the use of EMR £000 £000 £000 £000 % 30 June 2026 Budget Details Variance Analysis RAG Status Loan Charges 22,958 23,558 0 600 3% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Non GAE Allocation (7,623) (8,100) 0 (477) 6% Service Description Main Issues / Reason for Variance Mitigating Action Anticipated Outcome Interest and other charges on council borrowing Loan charges are projected to be higher than budget due to interest rates continuing to increase at a faster rate than forecast as a result of the current economic climate. None possible at present Year end overspend is anticipated Other The central support allocation was reviewed as part of the 2025/26 year-end process, and the budget was reduced before the review had been fully concluded. The projection now reflects the outcome. None Underspend anticipated This budget represents the recharge of central support services to non GAE services ie HRA and capital Page 254
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EARMARKED BALANCES 2026/27 BY CHIEF OFFICER SERVICE Revised 26/27 Estimate 26/27 Actual Spend 26/27 Probable Outurn To be carried forward into 27/28 Description £ £ £ £ 1 Intromissions 147,000 401,000 200,000- 347,000 Build up of reserve to pay for future liability for historic child abuse cases (as agreed at Council october 2024). Top up 26/27 £200k 2 Regulatory - New document management system 30,430 30,430 30,430 - The Planning and Building Standards require a new document management system to replace the current system. The current timeline is to procure over two years due to the different stages in the process and the time needed to undertake them. 3 Developer Contributions 222,455 222,455 - These are financial or in-kind contributions received from developers and are associated with specific agreements. They need to be retained and used for the purposes specified in the individual agreements. 4 Energy Efficiency 325,000 325,000 - A number of projects have been identified as follows: implementation of heat recovery strategy at Clydebank Crematorium, replacement of heating valves at St Mary's PS Duntocher, Replacement of controls at Kilbowie ELC, Boiler Replacements and upgrading of controls at Kilbowie Primary and OHR, Lighting upgrades at BAM schools and other sites. 5 OD & Change Training Budget 8,773 8,773 - Funding allocated to meet defined training needs expect to spend Q3/Q4 6 Previous provision for equal pay/holiday pay 179,591 270 179,591 Balance for outstanding equal pay/holiday pay claims and associated legal expenses. RESOURCES REGULATORY & REGENERATION PEOPLE & TECHNOLOGY Page 255
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EARMARKED BALANCES 2026/27 BY CHIEF OFFICER SERVICE Revised 26/27 Estimate 26/27 Actual Spend 26/27 Probable Outurn To be carried forward into 27/28 Description £ £ £ £ 7 Modern Apprentice 106,581 106,581 - The Balance will be used as part of the four year modern apprenticeship programme to cover payment across financial years. The funding will be fully utilised in year five of the programme. 8 Employability 442,000 221,000 221,000 This fund will be used for the development and delivery of key employability initiatives to support vulnerable groups allowing for continued support over a longer period of time. 9 Community Renewal Fund 9,220 9,220 - The balance will be used to cover premises costs at the Levengrove Training Centre and aligns with the Community Renewal Fund priorities; to ensure the continued delivery of Project Search. A specialist employability programme for young people with autism and/or learning disabilities. Secure, appropriate, and fully‑equipped premises are essential for delivering the intensive, on‑site training, employer engagement, and workplace readiness activities that underpin the Project Search model. 10 UK Shared Prosperity 808,895 808,895 - The fund represents the UKSPF Grant allocation 25/26. The carry forward has been applied under fund flexibility extention rules to enable the completion of UKSPF outcomes up until the new programme end date of September 2026. 11 UKSPF community grants 2,641 2,641 - Community Benefit grants are donations made to W4U for activities/items selected from WDC wishlist as detailed on WDC webpage. Funds are for specific items of expenditure and do not relate to general revenue items of WDC. There is no restriction that donations have to be spent within the financial year. 12 Extended Producer Responsibility 675,000 675,000 This fund will be used to deliver future recycling initiatives ROADS & NEIGHBOURHOOD Page 256
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EARMARKED BALANCES 2026/27 BY CHIEF OFFICER SERVICE Revised 26/27 Estimate 26/27 Actual Spend 26/27 Probable Outurn To be carried forward into 27/28 Description £ £ £ £ 13 Refugee Resettlement 499,255 499,255 EMR to be used to cover resettlement costs in future years if there is a timing difference between expenditure and Scottish Government grant income. 14 Empty Home 150,000 150,000 EMR to be used to provide interest free or low interest loans to property owners to renovate or bring their empty properties back into use, for sale of rental. 15 CCTV Network Upgrade 21,000 21,000 Contribution for the costs of the CCTV project. 16 Set up a an energy Household Energy Support Fund using £250,000 3,425 3,425 - Fund set up to support residents who require crisis support to ensure their properties remain heated. 17 Cost of Living 1: Enhancement to the Schools Summer Programmed. £100,000 per year for 4 years. 100,283 85,916 100,283 - Balance from £100k to be used to cover holiday activities outwith summer period (as reported to Education Committee Sept 2025) 18 Cost of Living 2: Create a 4 year School Meal Cost Hardship Fund to help families struggling with the cost of living. £60,000 per year. 9,768 - 9,768 To cover the cost and assist families just above to eligibility threshold for free school meals who have been unable to pay for a school meal. £50,401 released for 2026/27 budget. 19 Cost of Living 3: Additional Support for Apprenticeships. £50,000 per year for 4 years. 100,000 50,000 50,000 The Apprenticeship Investment Programme being part of a broader programme which is over a four year period. Payments can cover more than one financial year and therefore the reserves ensures continuity of the programme. 20 Cost of Living 4: Fund the successful spending on Sport & Leisure for children during holiday times for the next 4 years. £45,000 per year. 82,840 10,000 10,000 72,840 Additional payments to WDLT for holiday activities (eg gym and swimming classes) provided over Easter ,summer and autumn 21 Cost of Living 6: Transitional Funding Support to Y-Sort-It over 4 years. £39,000 per year 39,000 39,000 - Transitional funding support for Y-Sort It over a four year period to give them time to secure external funding. 22 Cost of Living 7: Introduce a programme of creative engagement and learning focused on supporting people through recovery and improving wellbeing. £5,000 per year for 4 years. 10,000 10,000 10,000 - Reserve will be fully utilitsed in 26/27. 23 Provide 64,000 for family fund day events in 2023/24 and the following three years (approx 32 events at £2,000 per event) 16,000 - 16,000 Provision of Family fun days within West Dunbartonshire Council over a four year period This is year three of the four years and therefore £16k will be carried forward into 2026/27 to be used. HOUSING & EMPLOYABILITY COST OF LIVING Page 257
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EARMARKED BALANCES 2026/27 BY CHIEF OFFICER SERVICE Revised 26/27 Estimate 26/27 Actual Spend 26/27 Probable Outurn To be carried forward into 27/28 Description £ £ £ £ 24 Transfer to Foodbank support fund 120,000 120,000 120,000 - 26/27 Commitment to support foodbanks as approved by Council March 2026 25 £12k over 4 years to Renton Community Food Hub from April 2024 to March 2028 (formerly Tontine Food Parcels) 6,000 3,000 3,000 3,000 Subsidy provided to food banks over a three year period to assist with the provision of food parcels. 26 £12k over 4 years to Lomond Food Pantry from April 2024 to March 2028 6,000 3,000 3,000 3,000 Subsidy provided to food banks over a three year period to assist with the provision of food parcels. 27 £12k over 4 years to Time for Tully from April 2024 to March 2028 6,000 3,000 3,000 3,000 Subsidy provided to food banks over a three year period to assist with the provision of food parcels. 29 Flourishing Faifley 1,550 1,550 1,550 - Cover the running costs of the group’s ceramics club, enabling it to remain low cost, promote social inclusion, and help alleviate some of the impacts of the cost of living crisis.30 Bankie Talk 2,150 2,150 2,150 - Providing revenue funding to ease financial pressures and allow them to focus on future proofing the service. 31 Whitecrook Community action Group 3,000 3,000 3,000 - To support families who require assistance, we will provide food parcel service Whitecrook Community Action Group with £3000 to support the delivery of 200 family (two adults, two children) food parcels. 32 Glenhead Community Centre, Duntocher 7,000 7,000 7,000 - Support towards the costs of refurbishment to create a low-cost soft play facility for families, including a dedicated sensory room. Providing support towards the cost of the works TOTAL USE OF SERVICE RESERVES 4,140,857 680,316 1,890,403 2,250,454 Page 258
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 4 MONITORING OF EARMARKED BALANCES 2026/27 BY CHIEF OFFICER SERVICE Revised 26/27 Estimate 26/27 Actual Spend 26/27 Probable Outurn To be carried forward into 27/28 Description £ £ £ £ 33 Voluntary Redundancy & Early Retirement Reserve 2,913,897 600,000 2,313,897 Funding for voluntary redundancy and Early retirement linked to 25/26 savings. 34 Smoothing Fund 1,824,973 54,217 1,770,756 The smoothing fund is being used to offset service overspends where savings/efficiencies have not been achieved in year. See Appendix 6 for details of where the smoothing fund has been applied (£504k). 35 Reduction in Strathclyde Pension Fund Employer Contribution 9,056,000 5,331,242 5,331,242 3,724,758 Build up of the SPFO saving to be used to balance the budget in future years as agreed in 2023/24. 36 2026/27 Budgeted use of reserves 911,758 911,758 911,758 - As agreed at the budget meeting on 4 March 2026 -reserves to be used to balance the 2026/27 budget TOTAL USE OF STRATEGIC RESERVES 14,706,628 6,243,000 6,897,217 7,809,411 TOTAL USE OF EARMARKED RESERVES 18,847,485 6,923,316 8,787,620 10,059,865 STRATEGIC RESERVES Page 259
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 5 RECONCILIATION OF GENERAL FUND RESERVES Unearmarked Balance Earmarked Balance (further detail at Appendix 4) £(m) £(m) £(m) £(m) Balance on General Fund as at 31 March 2026 (Unaudited) 25.163 Earmarked as at 31 March 2026 18.847 Other Reserves (0.239) Closing General Fund Balance 24.924 Operational service use of reserves (1.890) Less Earmarked Balances (18.847) Use of strategic reserves (0.654) Unearmarked Balance as at 31 March 2026 (draft) 6.077 Budgeted use of reserves (6.243) Total Use of Reserves as at Period 3 (8.788) Forecast favourable/(adverse) service outturn (1.665) Forecast favourable/(adverse) non service outturn (0.123) Earmarked Balance as at 31 March 2027 10.060 Transfer to/(from) general reserves as at Period 3 (1.788) Forecast unallocated Balance as at 31 March 2027 4.289 Prudential Target (2.5%) - agreed 4 March 2026 5.510 Forecast unallocated Balance Above/(Below) Prudential Target (1.221) Page 260
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 6 MONITORING OF EFFICIENCIES AND MANAGEMENT ADJUSTMENTS 2026/27 Efficiency Detail Ref Source Chief Officer Budgeted Amount £000 Projection of Total Saved £000 Projection of Total Not Saved £000 Comment 1 Parking Enforcement RN05 Prior yr G Macfarlane 325 175 150 The implementation of DPE commenced in Autumn 2025. There was a part year income received in 2025/26. It is not anticipated that the full saving will be achieved due to various factors inlcuding a change in behaviours wherby drivers are parking legally and fines being paid at the reduced rate rather than the full rate 2 Office/ Depot Rationalisation SDP05 Prior yr L Slavin 380 176 204 Relates to two properties (Kilbowie Road and Elm road where tenants have yet to be identified. 24/25 shortfall to be funded from the smoothing fund. In 2025/26 a full review will be carried out on rental income and a cost pressure considered for 2026/27. 3 Communities Team RR01 March 2026 Saving A Douglas 42 42 - Fully Achieved 4 Assistance to Businesses RR08 March 2026 Saving A Douglas 10 10 - Fully Achieved 5 SECONDMENT TO CLYDEBANK NEIGHBOURHOOD BOARD 2627 RR02 March 2026 Mgt Adj A Douglas 42 42 Fully Achieved 6 CAPACITY FUNDING - PLAN FOR NEIGHBOURHOODS 2627 RR03 March 2026 Mgt Adj A Douglas 34 34 - Fully Achieved 7 PLANNING, ENV HEALTH & BUILDING STANDARDS 2627 RR06 March 2026 Mgt Adj A Douglas 16 16 - Fully Achieved 8 BUSINESS GATEWAY 2627 RR07 March 2026 Mgt Adj A Douglas 10 10 - Fully Achieved 9 MERGER OF MANAGER ROLES 2627 RR09 March 2026 Mgt Adj A Douglas 25 25 - Fully Achieved 10 RR13 - review environmental health RR13 March 2025 Mgt Adjustments A Douglas 7 7 Fully Achieved 11 RR17: Reduce Trading Standards team RR17 March 2025 Savings A Douglas 25 25 The saving has been achieved in the service through the delay in filling other posts. 12 RR18: Reduce Records Management team RR18 March 2025 Savings A Douglas 41 41 Fully Achieved 13 RR19: Close Clydebank Registration Office RR19 March 2025 Savings A Graham 9 9 Fully Achieved 14 Review of Contact Centre CCF03 March 2026 Saving A Graham 15 15 - Fully Achieved 15 Reduction in Performance and Strategy Team CCF09 March 2026 Saving A Graham 25 25 - Fully Achieved 16 Reduction in WDLT Management Fee CCF10 March 2026 Saving A Graham 253 253 - Fully Achieved 17 FM OPERATING MODEL 2627 CCF12 March 2026 Mgt Adj A Graham 250 250 - Saving anticipated to be achieved 18 DELETION VACANT FM SUPPORT POST 2627 CCF13 March 2026 Mgt Adj A Graham 40 40 - Fully Achieved 19 CCF18: Reduction in Arts and Heritage Option 1: 1.5 FTE reduction. CCF18 March 2025 Savings A Graham 50 50 - Fully Achieved 20 CCF04- Review Facilities Mgt Operating Model CCF04 March 2025 Mgt Adjustments A Graham 100 100 - Saving anticipated to be achieved 21 CCF09: Reduce Contact Centre by 2 FTE - option 2 CCF09 March 2025 Savings A Graham 30 30 Fully Achieved 22 Out of School Care Option 1 EDU 09 March 2026 Saving G Hamilton 14 14 - 23 Instrumental Music Service (IMS): EDU 12 March 2026 Saving G Hamilton 23 23 - 24 Senior Phase Transport Option 1 EDU15 March 2026 Saving G Hamilton 44 44 - 25 Reduction in Management Funding for ELC provision EDU19 March 2026 Saving G Hamilton 46 46 - 26 Reduction in Temporary Teaching Posts EDU20 March 2026 Saving G Hamilton 228 228 - 27 Roll related Clerical Hour Allocation EDU23 March 2026 Saving G Hamilton 60 60 - 2023/24 Efficiencies not achieved 2026/27 Efficiencies and Management Adjustments Page 261
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 6 MONITORING OF EFFICIENCIES AND MANAGEMENT ADJUSTMENTS 2026/27 Efficiency Detail Ref Source Chief Officer Budgeted Amount £000 Projection of Total Saved £000 Projection of Total Not Saved £000 Comment 28 RIGHT SIZE FREE SCHOOL MEALS ETC 2627 EDU18 March 2026 Mgt Adj G Hamilton 128 128 - 29 ELC EDUCATION SUPPORT OFFICER POST 2627 EDU24 March 2026 Mgt Adj G Hamilton 18 18 - 30 EDU25- Redesign Leadership in children, young people and familities team EDU25 Dec 24 Savings Options G Hamilton 21 21 31 EDU16 - Reduce secondary school clerical staff EDU16 March 2025 Mgt Adjustments G Hamilton 40 40 32 2627 EDU01 ASN School Transport 2627 EDU01 Dec 25 G Hamilton 75 75 33 2627 EDU02 School fridges 2627 EDU02 Dec 25 G Hamilton 6 6 34 EDU03: Reduce Education Maintenance Allowance to statutory level and reduce carers enhancement - Option 3 EDU03 March 2025 Savings G Hamilton 39 39 35 EDU11:Shared Head at two early learning centres (Clydebank and Whitecrook) EDU11 March 2025 Savings G Hamilton 16 16 36 EDU14: Align funding for 1140 hours for 3 year olds with statutory guidance Option 2 EDU14 March 2025 Savings G Hamilton 74 74 37 EDU20: Remove secondary school registration EDU20 March 2025 Savings G Hamilton 189 189 38 Working4U Restructure Option 2: RN05 March 2026 Saving G Macfarlane 123 123 - This has been achieved and fully implemented with 2 posts deleted from the establishment, reduction in hours for staff and movement of core funded staff to deliver against externally funded projects. 39 Crematorium Weekend Operations RN06 March 2026 Saving G Macfarlane 5 - 5 This option has been reversed per Council meeting June 2026 40 Reduce number of Apprentices RN09 March 2026 Saving G Macfarlane 115 115 - Fully implemented. Reduced number of apprentices recruited 41 Street Sweeping and Litter Collection of Trunk Road RN11 March 2026 Saving G Macfarlane 50 50 - Fully implemented. Reduction in service scheduled into plans 42 Purchase of vehicles to replace hire cars RN14 March 2026 Saving G Macfarlane 20 20 - 10 vehicles have been ordered to replace current hire and leased vehicles. 43 SEPARATION OF GARDEN/FOOD WASTE 2627 RN12 March 2026 Mgt Adj G Macfarlane 50 50 - Awaiting new vehicles and working on contracts. 44 2627 RN02 CCTV upgrade at Depots 2627 RN02 Dec 25 G Macfarlane 80 80 This has been achieved and fully implemented 45 Review of Office Accommodation RES04 March 2026 Saving L Slavin 25 25 - 46 Review Municipal Buildings RES19 March 2026 Saving L Slavin 16 16 - 47 Review use of depot rental charges RES20 March 2026 Saving L Slavin 75 75 - 48 2627 RES06 CTAX Debt & Rev and customs pilot 2627 RES06 Dec 25 L Slavin 100 100 - Fully Achieved 49 2627 RES09 Pat testing costs 2627 RES09 Dec 25 L Slavin 36 36 - 50 2627 RES11 CTAX income 2627 RES11 Dec 25 L Slavin 250 250 Fully Achieved 51 RES 09 - Review of charges for use of offices by external parties RES09 Dec 2024 Savings Options L Slavin 8 8 - 52 RES05: Review Council Tax and Benefits Service RES05 March 2025 Savings L Slavin 14 14 Fully Achieved 53 RES06: Reduce Corporate Debt team RES06 March 2025 Savings L Slavin 23 23 Fully Achieved 54 RES08: Reduce number of caretakers RES08 March 2025 Savings L Slavin 8 8 Fully Achieved 55 Reduce CCTV Team 25% Option 1 HE02 March 2026 Saving P Barry 14 14 - Fully Achieved 56 HE04: CCTV Service Reduction Option 2 HE04 March 2025 Savings P Barry 31 31 Fully Achieved 57 Reduction in Corporate Training Budget PT11 March 2026 Saving V Rogers 15 15 - Saving anticipated to be achieved 58 365 LICENCE SAVINGS 2627 PT06 March 2026 Mgt Adj V Rogers 60 60 - Fully Achieved 59 REDUCE ICT SUPPORT 2627 PT07 March 2026 Mgt Adj V Rogers 32 32 - Fully Achieved 60 PT08 - Review compliance with strategic operating model to identify areas where teams or post can be merged PT08 March 2024 Mgt Adjustments - split equally across all CO V Rogers 50 50 - 61 EDU25- Redesign Leadership in children, young people and familities team PT08 Dec 24 Savings Options V Rogers 15 15 - 62 PT14 - People & Change Team Restructure PT08 March 2025 Savings V Rogers 35 35 - 63 2627 PT04 CAS Team Leader 2627 PT04 Dec 25 V Rogers 49 49 Fully Achieved 64 2627 PT05 ICT SOM Compliance 2627 PT05 Dec 25 V Rogers 31 31 Fully Achieved 65 PT18: Outsource Print Room function PT18 March 2025 Savings V Rogers 25 25 Staff reductions fully achieved TOTAL AGREED SAVINGS OPTIONS & MANAGEMENT ADJUSTMENTS 4,105 3,746 359 Page 262
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WEST DUNBARTONSHIRE COUNCIL Report by the Chief Officer – Resources Council: 21 July 2026 _________________________________________________________________ Subject: General Services Capital Budgetary Control Report 2026/27 to 30 June 2026 (Period 3) 1. Purpose 1.1 This report provides an update on the General Services capital financial performance to 30 June 2026. 2. Recommendations 2.1 Members are asked to: a) Note the current position of the 2026/27 General Services capital budget. b) Approve the revised completion dates in respect of 3 projects detailed in Appendix 2 and note an overspend in 1 project which currently does not require additional capital funding. c) Approve the reprofiling of 8 projects in Appendix 3 of (£4.152m) over the project life. d) Approve £0.576m of additional capital budget for vehicle replacement strategy (Para 4.9). 3. Background 3.1 On 4 March 2026 the Council approved the updated General Services Capital Plan for 2026/2027 to 2035/36. The three years from 2026/27 to 2028/29 were approved in detail with the remaining years being indicative. The budget agreed was £56.181m for 2026/27 and £352.768m for the project life budget. 4. Main Issues 4.1 Exhibit 1 sets out the revised capital budget at period 3 assuming approval by Council of all recommendations contained within this report. Exhibit 1: Revised Capital Budget as at 30 June 2026. 2026/27 (£m) Project Life (£m) Capital Budget Agreed 4 March 2026 56.181 352.768 Changes to capital budget reported on P12 Capital BCR to Council on 17 June 2026 (Para 4.7) 11.089 (0.034) New Funding – RR 14 Scottish Marine Technology Park (Para 4.8) 4.229 4.229 ITEM 13 Page 263
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New Funding – RR 15 Clydebank Pride in Place Regeneration Plan (Para 4.8) 0.360 14.936 Additional budget – RN24 Exxon City Deal (Para 4.8) 0 1.000 Recurring Projects – project life removed (Para 4.8) 0 (15.925) Adjustments to project lives (Para 4.8) (0.240) (7.397) RN 25 Active Travel (Para 4.8) 0.735 0.735 RN 34 Nature Restoration Fund (Para 4.8) 0.065 0.065 RN 39 Milton Park MUGA (Para 4.8) 0.021 0.021 Approved Capital Bid – Vehicle Replacement Strategy (Para 4.9) (Added to RN 5) 0.576 0.576 Proposed revised Capital Budget as at Period 3 73.016 350.974 Reprofiling over project life (Appendix 3) (4.152) 0 Proposed revised Capital Budget as at Period 3 subject to Council Approval 68.864 350.974 4.2 Progress against the 2026/27 capital plan is detailed in: Appendix 1 – Project Life Summary by Chief Officer Appendix 2 – Off Track Projects Appendix 3 – Changes to Capital Plan for Noting Appendix 4 – All Approved Projects 4.3 The overall programme summary report at Appendix 1 shows that planned expenditure against the budget is currently £0.223m adverse. Note Appendix 1 is constructed assuming all the changes in this report are approved. 4.4 Appendix 2 highlights 4 projects currently showing as off-track. Three of which are due to revised completion dates and one due to an overspend. • Place Based Investment (RR 6) is off track due to project development taking longer than originally anticipated. • The Scottish Marine Technology Park (RR 14) is off track due to reprofiling to align with the initial assumption when the funding was awarded. • Allotment Development (RN 16) is off track as £0.468m was spent prior to 2026/27 with a £0.024m budget in 2026/27 however at period 3 £0.109m has been spent in 2026/27. Based on the information available from the quantity surveyor an additional £0.223m is required to complete the allotments under development. The service is aware of this overspend however are not requesting additional capital funding at this point and will report to Council in the period 5 BCR in October how this overspend will be funded and managed. Early indications are that the Shared Prosperity Funding will be used to cover this overspend. Page 264
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• Free School Meals Expansion (EDUC 5) is off track due to the complexity of delivering works within an operational school environment. 4.5 Appendix 3 highlights 8 projects where the expenditure requires to be reprofiled across the project life but there is no need for additional budget. 4.6 Appendix 4 shows all projects with approved in year and project life budgets as well as anticipated expenditure. It highlights that the 2026/27 budget is £73.016m. Spend as at period 3 is £5.707m (8.26%) of the current forecast spend of £69.086m. 4.7 Changes applied from the Period 12 Capital Budgetary Report approved at Council on 17 June 2026. 4.8 Other changes to the capital plan included in the summarised plan in appendix 4 are: • New Regeneration Capital Grant Funding for Scottish Marine Technology Park (RR 14) of £4.229m. • New funding for Clydebank Pride in Place Plan (RR 15) of £0.360m in 2026/2027 and future funding of £14.576m. • Increase in capital budget for Exxon City Deal (RN 24) as agreed by Council on 29 April 2026 of £1.000m. • Removal of the recurring budgets for 2025/26 of £15.925m. • Adjustments to the project life income and expenditure for Faifley Campus of £7.397m as the income and associated expenditure is being accounted for on a revenue basis as per the funding agreement from Scottish Government. • New funding for Active Travel (RN 25) of £0.735m from the Scottish Government. • New funding for Nature Restoration Fund (RN 34) of £0.065m from the Scottish Government. • Additional funding for Milton Park MUGA (RN 39) of £0.021m from Scottish Landfill Tax. 4.9 Members are asked to approve a capital budget of £0.576m for the vehicle replacement strategy. This bid has been reviewed by the Strategy Asset Management Group who recommend that £0.576m is added to the Capital plan to allow the Roads and Neighbourhood team to replace plant and machinery which is no longer fit for purpose. There will be an annual revenue impact of £0.100m on loan charges for 7 years due to the repayment of the principal and the interest. Page 265
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This project has been included in appendix 4 (RN 5). 4.10 Play Area Upgrade Programme recurring budget (RN 18) is showing (£0.067m) in the unallocated line, this has been raised with the service to review and will provide an update in the period 5 to BCR to Council in October. Updated cost estimates indicate increased expenditure requirements associated with destination play parks and additional sites progressed through the programme. The service is reviewing the overall programme budget and external funding position and will return through a future BCR cycle with any budget realignment required to align approved budgets with the latest project costs and delivery programme. 5. Option Appraisal 5.1 No option appraisal was required for this report. 6. People Implications 6.1 There are no people implications. 7. Financial and Procurement Implications 7.1 The report notes the projected financial position for capital budgets. 8. Risk Analysis 8.1 The main risks are as follows: (a) As a consequence of current market conditions, inflation is high and interest rates continue to be volatile. To forecast for the full capital plan costs budget assumptions have been required. These assumptions continue to change regularly and therefore it is likely the projected capital plan budgetary position will change from that reported. 9. Equalities Impact Assessment (EIA) 9.1 No equalities impact assessment was required in relation to this report. 10. Environmental Sustainability 10.1 No assessment of environmental sustainability was required in relation to this report. 11. Consultation 11.1 All services involved in delivering the capital budgets have been consulted in the compilation of this report. Page 266
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12. Strategic Assessment 12.1 Proper budgetary control and sound financial practice are cornerstones of good governance and support Council and officers to pursue the strategic priorities of the Council’s current Strategic Plan. This report forms part of the financial governance of the Council. ______________ Laurence Slavin Chief Officer – Resources Date: 27 July 2026 Person to Contact: Lynsey Dickson, Finance Business Partner Council Offices, Church Street, Dumbarton E-mail: lynsey.dickson@west-dunbarton.gov.uk Appendices: Appendix 1 – Project Life Summary by Chief Officer Appendix 2 – Off Track Projects Appendix 3 – Changed to Capital Plan for Noting Appendix 4 – All Approved Projects Background Papers: General Services Capital Plan Update - Council 4 March 2026 Capital Budgetary Control Report (P12) – Council 17 June 2026 Wards Affected: All Wards Page 267
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Official# West Dunbartonshire Council Appendix 1 General Services Capital 2026/27 Summary at Period 3 Project Life Budget Project Life Forecast Spend Project Life Variance On Track Off Track £'000 £'000 £'000 Resources 55,737 55,738 0 14 0 Regulatory and Regeneration 65,894 65,894 0 6 2 Roads and Neighbourhoods 150,347 150,570 223 25 0 Education 60,543 60,543 0 3 1 HSCP 8,683 8,683 0 3 0 People and Technology 9,769 9,769 0 5 0 Total 350,974 351,197 223 56 3 Page 268
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Official# West Dunbartonshire Council Appendix 2 General Services Capital 2026/27 Projects that are Off Track at Period 3 Service Project Approved Project Life Cost Revised Project Life Cost Project Life Variance Initial Completion Date Revised Completion Date £000 £000 £000 Regulatory and Regeneration RR 6 - Place Based Investment 675 675 - 31/03/2027 31/03/2028 Regulatory and Regeneration RR 14 - The Scottish Marine Technology Park 4,229 4,229 - 31/03/2027 31/03/2028 Roads and Neighbourhood RN 16 - Allotment Development 492 715 223 31/03/2028 31/03/2028 Education EDUC 5 - Free School Meals Expansion 1,265 1,265 - 31/03/2027 31/03/2028 Project Name: Place Based Investment Project Manager: Magda Swider Initial Completion End Date: 31/03/2027 Revised End Date: 31/03/2028 How was this project initially funded: Please Detail any additional funding: Place Based investment Programme funding (PBIP) from the Scottish Goverment Why is the project classified as off track and what has caused the issues identified? What action will be taken to rectify the position? There is no requirement to take any action What are the implications on the actions proposed? Revenue Implications:- Virement Implications:- no implications Project Name: The Scottish Marine Technology Park Project Manager: Magda Swider Initial Completion End Date: 31/03/2027 Revised End Date: 31/03/2028 How was this project initially funded: Please Detail any additional funding: Why is the project classified as off track and what has caused the issues identified? What action will be taken to rectify the position? There is no requirement to take any action What are the implications on the actions proposed? Revenue Implications:- Virement Implications:- no implications no implications Part of the funding is allocated to Alexandria Main Street/Mitchell Way project which is due to start on site in early 2027. Project development has taken longer than originally anticipated. Source of Funding: no implications Regeneration Capital Grant Fund (RCGF) funding from the Scottish Government, for Malin to deliver remediation of the former Carless oil Terminal site. This reprofiing alligns with the initial assumption made when the funding was awarded. Source of Funding: Regeneration Capital Grant Fund (RCGF) funding from the Scottish Government, for Malin to deliver remediation of the former Carless oil Terminal site. This reprofiing alligns with the initial assumption made when the funding was awarded. Page 269
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Official# Project Name: Allotment Development Project Manager: Ian Bain Initial Completion End Date: 31/03/2028 Revised End Date: How was this project initially funded: Please Detail any additional funding: Prudential Borrowing Why is the project classified as off track and what has caused the issues identified? What action will be taken to rectify the position? What are the implications on the actions proposed? Revenue Implications:- Virement Implications:- Project Name: Free School Meals Expansion Project Manager: Michelle Lynn Initial Completion End Date: 31/03/2027 Revised End Date: 31/03/2028 How was this project initially funded: Please Detail any additional funding: Prudential Borrowing Why is the project classified as off track and what has caused the issues identified? What action will be taken to rectify the position? There is no requirement to take any action What are the implications on the actions proposed? Revenue Implications:- Virement Implications:- no implications This budget is proposed to be rephased to 2027/28. Planning permission has been secured and the project is progressing through detailed design, building warrant approvals and site investigations. Due to the complexity of delivering works within an operational school environment, including the need to minimise disruption to pupils and staff, the construction programme and associated expenditure are now expected to fall predominantly within 2027/28. The rephasing aligns the budget with the revised delivery programme and anticipated expenditure profile. Source of Funding: no implications Additional project life expenditure of £223k is required, comprising £205k of increased project costs and £18k of associated expenditure adjustments identified through the latest Budgetary Control Review. Corresponding adjustments have been made to ensure the project budget accurately reflects the anticipated outturn and full life cost of the project. Source of Funding: Currently no implications as no additional capital funding is being requested. Currently no implications as no additional capital funding is being requested. There are ongoing enquiries with the service over how this overspend has to be managed and funded with an update being brought to Council in the P5 Capital BCR in October. Early indications are that Shared Prosperity Funding will be used to cover this overspend. Page 270
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Official# West Dunbartonshire Council Appendix 3 General Services Capital 2026/27 Changes to Capital Plan and Implications at P3 Project - RR 4 - Regeneration/Local Economic Development Initial End Date Revised End Date Reprofiling Current Year 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/35 2035/36 Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 RR 4 Regeneration/Local Economic Development (unallocated) 15 0 0 0 475 475 475 475 475 475 2,865 RR 4a Dumbarton Visitor Gateway/Arc of Attractions 100 100 50 250 Dumbarton Waterfront Walkway - consultancy & delivery 250 550 800 Dumbarton High Street and Town Centre revitalisation 222 137 200 559 RR 4b Alexandria - Alexander Street fees 101 101 Alexandria - Mitchell Way & Main Street improvements 800 800 Alexandria - Mitchell Way - gas pipe relocation 88 88 RR 4e Balloch Pierhead Action Plan 311 83 394 5,857 RR 4 Regeneration/Local Economic Development (unallocated) Revised 31/03/2027 31/03/2027 1,234 0 0 0 0 475 475 475 475 475 475 2,850 RR 4a Dumbarton Visitor Gateway/Arc of Attractions Revised 20 100 80 50 250 Dumbarton Waterfront Walkway - consultancy & delivery Revised 10 240 550 800 Dumbarton High Street and Town Centre revitalisation Revised 222 88 0 310 RR 4b Alexandria - Alexander Street fees Revised 101 15 116 Alexandria - Mitchell Way & Main Street improvements Revised 800 800 Alexandria - Mitchell Way - gas pipe relocation Revised 88 88 RR 4e Balloch Pierhead Action Plan Revised 50 344 249 643 5,857 Explanation Project - RR 6 - Place Based Investment Initial End Date Revised End Date Reprofiling Current Year 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/35 2035/36 Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 RR 6 - Place Based Investment 675 675 Revised 31/03/2026 31/03/2028 210 465 210 675 Explanation Project - RR 14 - The Scottish Marine Technology Park Initial End Date Revised End Date Reprofiling Current Year 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/35 2035/36 Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 RR 14 - The Scottish Marine Technology Park 4,299 0 4,299 Revised 31/03/2027 31/03/2028 1,500 2,799 1,500 4,299 Explanation Project - RR 15 - Clydebank Pride in Place Regeneration Plan Initial End Date Revised End Date Reprofiling Current Year 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 RR15 - Clydebank Pride in Place Regeneration Plan 360 360 Revised 31/03/2026 31/03/2027 260 100 260 360 Explanation Project - EDUC 5 - Free School Meals Expansion Initial End Date Revised End Date Reprofiling Current Year 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 EDUC 5 - Free School Meals Expansion 1,185 1,185 Revised 31/03/2027 31/03/2028 1,000 185 1,000 1,185 Explanation Delivery of projects re-profiled to allow sufficient time for project development and procurement with budgets updated to reflect updated cost estimates.Project development of the Alexandria Main Street/Mitchell Way improvements has taken longer than originally anticipated. Progress with the delivery of the walkway is slower than anticipated and relies on cooperation with the landowners. Delivery of the Dumbarton Visitor Gateway/Arc of Attractions re-profiled to allow sufficient time for Council wide Tourism Strategy to be developed.Development of Balloch Pierhead project would be scheduled for 2027/28 and is subject to a future approval. This is a reallocation and re-profiling of the recurring budget for Regeneration/Local Economic Development which is now being split out and monitored. Place Based investment Programme funding (PBIP) is a non-competitive funding from the Scottish Government.Part of the funding is allocated to Alexandria Main Street/Mitchell Way project which is due to start on site in early 2027. Project development has taken longer than originally anticipated. Regeneration Capital Grant Fund (RCGF) funding from the Scottish Government, for Malin to deliver remediation of the former Carless oil Terminal site. This reprofiing alligns with the initial assumption made when the funding was awarded. Financial Year 2026/27 is a project development year, and only limited spend is expected on delivery. This is in line with the spend profile included in the Regeneration Plan and approved by the UK Government. Reprofiling of the funding is acceptable under the funding terms & conditions and this alligns budget with the initial assumption made when the funding was awarded. This budget is proposed to be rephased to 2027/28. Planning permission has been secured and the project is progressing through detailed design, building warrant approvals and site investigations. Due to the complexity of delivering works within an operational school environment, including the need to minimise disruption to pupils and staff, the construction programme and associated expenditure are now expected to fall predominantly within 2027/28. The rephasing aligns the budget with the revised delivery programme and anticipated expenditure profile. Page 271
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Official# Project - HSCP 2 - ICT Modernisation HSCP Initial End Date Revised End Date Reprofiling Current Year 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/35 2035/36 Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 HSCP 2 ICT Modernisation HSCP (unallocated) 72 0 0 0 0 90 87 80 90 90 509 HSCP 2a Life Lens 13 13 HSCP 2b Magic Notes 48 48 HSCP 2c Staffing 45 46 48 49 50 238 HSCP 2d ICT Device 5 5 5 5 5 25 HSCP 2f Digital Inclusion (Prevention, Early Intervention, DCE) 10 10 10 10 10 50 HSCP 2g Digital Telecare (AICO project, tec hub, new technology) 13 49 10 72 HSCP 2h HSCP Systems/Applications (new applications, scripts, automation, data utilisation) 25 49 27 26 25 152 1,107 HSCP 2 ICT Modernisation HSCP (unallocated) Revised 31/03/2027 31/03/2027 72 0 0 0 0 0 0 0 0 0 0 - HSCP 2a Life Lens Revised 13 13 HSCP 2b Magic Notes Revised 0 - HSCP 2c Staffing Revised 45 46 48 49 50 52 53 55 56 58 511 HSCP 2d ICT Device Revised 5 5 5 5 5 5 5 5 5 5 50 HSCP 2f Digital Inclusion (Prevention, Early Intervention, DCE) Revised 10 10 10 10 10 10 10 10 10 10 100 HSCP 2g Digital Telecare (AICO project, tec hub, new technology) Revised 13 15 15 15 14 14 14 5 14 14 133 HSCP 2h HSCP Systems/Applications (new applications, scripts, automation, data utilisation) Revised 25 49 27 26 25 10 5 5 5 3 180 HSCP 2i Granicus Blue Badge 13 13 HSCP 2j Website Development 48 18 20 21 107 1,107 Explanation Project - HSCP 3 - Community Alarm upgrade Initial End Date Revised End Date Reprofiling Current Year 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/35 2035/36 Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Community Alarm upgrade 55 4 0 0 42 42 0 0 0 0 143 Revised Community Alarm Upgrade 31/03/2031 31/03/2031 (4) 59 0 0 0 42 42 0 0 0 0 143 Explanation Project - P&T 1 - ICT Modernisation Initial End Date Revised End Date Reprofiling Current Year 2027/28 2028/29 2029/30 2030/31 2031/32 2032/33 2033/34 2034/35 2035/36 Total Capital Plan £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 P&T 1 ICT Modernisation (unallocated) (153) 122 0 0 0 0 0 120 436 436 961 P&T 1e Laptops for Corporate Employees 200 97 161 175 100 30 90 97 950 1,911 P&T 1 ICT Modernisation (unallocated) Revised 31/03/2027 31/03/2027 (120) 0 122 0 0 0 0 0 0 436 436 994 P&T 1e Laptops for Corporate Employees Revised 47 97 161 175 100 30 90 97 797 P&T 1i Microsoft 365 Implementation Revised 120 120 1,911 Explanation Revised cost estimates for the Microsoft 365 programme reflect expanded scope to include CoPilot, increased Sharegate licensing requirements, and additional technical complexity and costs not fully anticipated in the original plan. Additional budget is therefore required to ensure full delivery of the intended milestones. This is a reallocation and re-profiling of the recurring budget for ICT Modernisation which is now being split out and monitored. Reprofiling is required due to ongoing work to roll out the digital strategy and a review of priorities. This is a reallocation and re-profiling of the recurring budget for ICT Modernisation HSCP which is now being split out and monitored. Reprofiling is required to consolidate the 2026/27 budget with the small balancing budget from 2027/28. Page 272
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Official# Appendix 4 All Projects Approved at P3 RES Project Completion Date Revised End Date Project Life Budget Spend to 31/03/2026 Spend Projected in Current Year Projecte d Future Spend Total Projected Spend Project Variance Approved Budget 2026/27 Actual to date 2026/27 Projected Spend In Year Variance £000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 RES 1 Valuation Joint Board - Requisition of ICT Equipment 31/03/2028 31/03/2028 30 20 3 6 30 0 3 0 3 0 RES 2 Agresso Development 31/03/2027 31/03/2027 92 88 4 0 92 0 4 0 4 0 RES 4 Community Success Capital Fund 31/03/2027 31/03/2027 150 0 150 0 150 0 150 0 150 0 RES 5 Community Sports Success 31/03/2027 31/03/2027 250 54 196 0 250 0 196 0 196 0 RES 6 Dumbarton Library, Strathleven Place 31/03/2027 31/03/2027 1,590 0 1,590 0 1,590 0 1,590 0 1,590 0 RES 7 New Sports Changing Facility Dumbarton West (Old OLSP site) 31/03/2027 31/03/2027 349 18 331 0 349 0 331 (8) 331 0 RES 8 Building Upgrades and H&S - lifecycle & reactive building upgrades (unallocated) 31/03/2027 31/03/2027 13,380 0 0 13,380 13,380 0 0 0 0 0 RES 8a Whitecrook PS Cunard Condition Survey Works 31/03/2027 31/03/2027 368 0 368 0 368 0 368 0 368 0 RES 8c Fire Risk Works 31/03/2031 31/03/2031 1,750 0 350 1,400 1,750 0 350 (5) 350 0 RES 8d Health & Safety - For Works Arising 31/03/2031 31/03/2031 750 0 150 600 750 0 150 0 150 0 RES 8e ASN Adaptations 31/03/2031 31/03/2031 125 0 25 100 125 0 25 0 25 0 RES 8f Signalling/Monitoring for Alarms 31/03/2031 31/03/2031 200 0 40 160 200 0 40 0 40 0 RES 8i Knoxland Primary School - condition survey works 31/03/2027 31/03/2027 187 0 187 0 187 0 187 0 187 0 RES 8y Balloch Castle - Upgrade Windows & all required surveys 31/03/2027 31/03/2027 392 0 392 0 392 0 392 2 392 0 RES 8z Argyle Park bothy refurb 31/03/2027 31/03/2027 157 0 157 0 157 0 157 0 157 0 RES 8aa Vale Cemetary Bothy 31/03/2027 31/03/2027 53 0 53 0 53 0 53 0 53 0 RES 8ab Christie Park Workshop 31/03/2027 31/03/2027 34 0 34 0 34 0 34 0 34 0 RES 8ac Christie Park Primary School Condition Survey Works 31/03/2027 31/03/2027 315 0 315 0 315 0 315 0 315 0 RES 8ad Our Lady of Loretto Primary School Condition Survey Works 31/03/2027 31/03/2027 315 0 315 0 315 0 315 0 315 0 RES 8ae Carleith Primary School Condition Survey Works 31/03/2027 31/03/2027 315 0 315 0 315 0 315 0 315 0 RES 8af St Mary’s Primary School, Alexandria 31/03/2028 31/03/2028 331 0 0 331 331 0 0 0 0 0 RES 8ag St Mary’s Primary School,Duntocher 31/03/2028 31/03/2028 331 0 0 331 331 0 0 0 0 0 RES 8ah Lennox Primary School & ELCC 31/03/2028 31/03/2028 331 0 0 331 331 0 0 0 0 0 RES 8ai Bonhill Primary School 31/03/2028 31/03/2028 331 0 0 331 331 0 0 0 0 0 RES 8aj St Stephen’s Primary School 31/03/2028 31/03/2028 331 0 0 331 331 0 0 0 0 0 RES 8ak Goldenhill Primary School 31/03/2028 31/03/2028 331 0 0 331 331 0 0 0 0 0 RES 8al St Michael’s Primary School 31/03/2029 31/03/2029 347 0 0 347 347 0 0 0 0 0 RES 8am Our Holy Redeemer Primary School - condition survey 31/03/2029 31/03/2029 348 0 0 348 348 0 0 0 0 0 RES 8an St Martin’s Primary School 31/03/2029 31/03/2029 348 0 0 348 348 0 0 0 0 0 RES 8ao Bellsmyre Campus 31/03/2029 31/03/2029 348 0 0 348 348 0 0 0 0 0 RES 8ap Kilpatrick Primary School & Kilpatrick ASN Secondary School 31/03/2029 31/03/2029 348 0 0 348 348 0 0 0 0 0 West Dunbartonshire Council General Services Capital 2026/27 Full Project Life In Year Page 273
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Official# RES 8aq Our Lady & St Patrick’s High School 31/03/2029 31/03/2029 348 0 0 348 348 0 0 0 0 0 RES 8ar Braehead Primary 31/03/2029 31/03/2029 348 0 0 348 348 0 0 0 0 0 RES 8as Levenvale Primary School 31/03/2030 31/03/2030 365 0 0 365 365 0 0 0 0 0 RES 8at Gavinburn Primary School & ELCC 31/03/2030 31/03/2030 365 0 0 365 365 0 0 0 0 0 RES 8au Kilbowie ELCC 31/03/2030 31/03/2030 365 0 0 365 365 0 0 0 0 0 RES 8av Ferryfield ELCC 31/03/2030 31/03/2030 365 0 0 365 365 0 0 0 0 0 RES 8aw Ladyton ELCC 31/03/2030 31/03/2030 365 0 0 365 365 0 0 0 0 0 RES 8ax Lennox ELCC 31/03/2030 31/03/2030 365 0 0 365 365 0 0 0 0 0 RES 8ay Brucehill ELCC 31/03/2031 31/03/2031 383 0 0 383 383 0 0 0 0 0 RES 8az Auchnacraig ELCC 31/03/2031 31/03/2031 383 0 0 383 383 0 0 0 0 0 RES 8ba Whitecrook ELCC 31/03/2031 31/03/2031 383 0 0 383 383 0 0 0 0 0 RES 8bb Dalmonach ELCC 31/03/2031 31/03/2031 383 0 0 383 383 0 0 0 0 0 RES 8bc Gartocharn ELCC 31/03/2031 31/03/2031 383 0 0 383 383 0 0 0 0 0 RES 8bd Dalmuir ELCC 31/03/2031 31/03/2031 338 0 0 338 338 0 0 0 0 0 RES 8be Alexandria Library - condition survey works 31/03/2027 31/03/2027 0 0 0 0 0 0 0 0 0 0 RES 9 Direct Project Support (unallocated) 31/03/2027 31/03/2027 0 0 0 0 0 0 0 0 0 0 RES 9a Direct Project Support 31/03/2027 31/03/2027 15,860 0 1,586 14,274 15,860 0 1,586 130 1,586 0 RES 10 Depot Rationalisation 31/03/2027 31/03/2027 8,500 2,608 5,892 0 8,500 0 5,892 (19) 5,892 0 RES 11 Finance Ledger System 31/03/2027 31/03/2027 800 256 544 0 800 0 544 154 544 0 RES 12 Community Sports Facility at Millburn 31/03/2028 31/03/2028 500 16 104 380 500 0 104 0 104 0 RES 13 Holm Park Community Football Academy Accesibility Project 31/03/2027 31/03/2027 75 56 19 0 75 0 19 0 19 0 RES 14 4G Football pitch at Faifley Knowles 31/03/2027 31/03/2027 150 0 150 0 150 0 150 0 150 0 RES 15 Design, Creation, Installation of Digital Content for Glencairn House 31/03/2027 31/03/2027 187 0 187 0 187 0 187 0 187 0 55,737 3,116 13,458 39,164 55,738 0 13,458 255 13,458 0Total Resources Page 274
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Official# R&R Project Completion Date Revised End Date Project Life Budget Spend to 31/03/2026 Spend Projected in Current Year Projecte d Future Spend Total Projected Spend Project Variance Approved Budget 2026/27 Actual to date 2026/27 Projected Spend In Year Variance RR 4 Regeneration/Local Economic Development (unallocated) 31/03/2036 31/03/2036 2,865 0 0 2,865 2,865 0 15 0 0 (15) RR 4a Dumbarton Visitor Gateway/Arc of Attractions 31/03/2030 31/03/2030 250 0 20 230 250 0 100 0 20 (80) RR 4a Dumbarton Castle Floodlighting 31/03/2028 31/03/2028 80 0 0 80 80 0 0 0 0 0 RR 4a Dumbarton Town Centre Heritage and Place Fund contribution 31/03/2029 31/03/2029 1,075 0 75 1,000 1,075 0 75 0 75 0 RR 4a Dumbarton Waterfront Walkway - consultancy & delivery 31/03/2029 31/03/2029 800 0 10 790 800 0 0 17 10 10 RR 4a Dumbarton High Street and Town Centre revitalisation 31/03/2030 31/03/2030 559 0 0 559 559 0 0 0 0 0 RR 4a Artizan Centre further phases 31/03/2030 31/03/2030 260 0 0 260 260 0 0 0 0 0 RR 4b Alexandria - Alexander Street fees 31/03/2027 31/03/2027 101 0 101 0 101 0 101 0 101 0 RR 4b Alexandria - Mitchell Way & Main Street improvements 31/03/2027 31/03/2027 800 0 0 800 800 0 800 31 0 (800) RR 4b Alexandria - Mitchell Way - gas pipe relocation 31/03/2027 31/03/2027 88 0 0 88 88 0 88 0 0 (88) RR 4b Tourism/Heritage Strategy Capital Projects 31/03/2028 31/03/2028 200 0 0 200 200 0 0 0 0 0 RR 4c District Heating Network Expansion 31/03/2028 31/03/2028 30 0 15 15 30 0 15 0 15 0 RR 4d Long term commitment to CLO 31/03/2030 31/03/2030 200 0 50 150 200 0 50 0 50 0 RR 4e Balloch Pierhead Action Plan 31/03/2028 31/03/2028 394 0 50 344 394 0 311 0 50 (261) RR 5 Regeneration Fund 31/03/2029 31/03/2029 10,931 7,147 1,084 2,700 10,931 0 1,084 0 1,084 0 RR 6 Place Based Investment 31/03/2027 31/03/2028 2,176 1,501 465 210 2,176 0 675 12 465 (210) RR 7 Level Up Funding 31/03/2027 31/03/2027 22,420 16,871 5,549 0 22,420 0 5,549 922 5,549 0 RR 10 Clyde Mission Catalyst Fund 31/03/2027 31/03/2027 2,000 1,438 561 0 2,000 0 561 4 561 0 RR 13 Pride in Place (unallocated) 31/03/2027 31/03/2027 0 0 0 0 0 0 0 0 0 0 RR 13a Holm Park Improvement 31/03/2027 31/03/2027 240 0 240 0 240 0 240 285 240 0 RR 13b Western Titans BMX Club track improvements 31/03/2027 31/03/2027 60 0 60 0 60 0 60 0 60 0 RR 13c Playpark - Christie Park 31/03/2027 31/03/2027 300 0 300 0 300 0 300 0 300 0 RR 13d Playpark - Dumbarton common 31/03/2027 31/03/2027 300 0 300 0 300 0 300 0 300 0 RR 13e Community capital grants 31/03/2027 31/03/2027 600 0 600 0 600 0 600 0 600 0 RR 14 The Scottish Marine Technology Park 31/03/2027 31/03/2028 4,229 0 2,729 1,500 4,229 0 4,229 0 2,729 (1,500) RR 15 Clydebank Pride in Place Regeneration Plan 31/03/2036 31/03/2036 14,936 0 100 14,836 14,936 0 360 0 100 (260) 65,894 26,957 12,309 26,627 65,894 0 15,514 1,270 12,309 (3,204)Total Regulatory and Regeneration Page 275
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Official# R&N Project Completion Date Revised End Date Project Life Budget Spend to 31/03/2026 Spend Projected in Current Year Projecte d Future Spend Total Projected Spend Project Variance Approved Budget 2026/27 Actual to date 2026/27 Projected Spend In Year Variance RN 1 Infrastructure - Roads (unallocated) 31/03/2036 31/03/2036 15,351 0 87 15,264 15,351 0 87 0 87 0 RN 1a Footways - schemes developed following condition surveys 31/03/2030 31/03/2030 2,176 0 544 1,632 2,176 0 544 0 544 0 RN 1b Drainage - various locations following assessment/investigation 31/03/2030 31/03/2030 600 0 150 450 600 0 150 0 150 0 RN 1c Structures - various locations following assessment/inspection 31/03/2030 31/03/2030 600 0 150 450 600 0 150 0 150 0 RN 1d Carriageways - schemes developed following condition surveys 31/03/2030 31/03/2030 5,100 0 0 5,100 5,100 0 0 0 0 0 RN 1ag PROV Douglas Road, Dumbarton 31/03/2027 31/03/2027 10 0 10 0 10 0 10 0 10 0 RN 1ah PROV Smollet Road, Alexandria 31/03/2027 31/03/2027 15 0 15 0 15 0 15 0 15 0 RN 1ai PROV Inchconnachan Avenue / Boturich Drive Balloch 31/03/2027 31/03/2027 30 0 30 0 30 0 30 0 30 0 RN 1aj PROV Tulliechewan, Balloch 31/03/2027 31/03/2027 90 0 90 0 90 0 90 0 90 0 RN 1ak PROV Mallard Road, Faifley 31/03/2027 31/03/2027 30 0 30 0 30 0 30 0 30 0 RN 1al PROV West Thomson Street, Clydebank 31/03/2027 31/03/2027 40 0 40 0 40 0 40 0 40 0 RN 1am PROV ErskineFerry Road, Old Kilpatrick 31/03/2027 31/03/2027 30 0 30 0 30 0 30 0 30 0 RN 1an PROV Langlands Terrace, Dumbarton 31/03/2027 31/03/2027 50 0 50 0 50 0 50 0 50 0 RN 1ao PROV Glasgow Road / Dock Street, Clydebank 31/03/2027 31/03/2027 420 0 420 0 420 0 420 0 420 0 RN 1ap PROV Faifley Road, Clydebank 31/03/2027 31/03/2027 155 0 155 0 155 0 155 0 155 0 RN 1aq PROV Clyde Street Clydebank 31/03/2027 31/03/2027 100 0 100 0 100 0 100 0 100 0 RN 1ar PROV Stark Avenue, Duntocher 31/03/2027 31/03/2027 30 0 30 0 30 0 30 0 30 0 RN 1as PROV John Street - Renton 31/03/2027 31/03/2027 20 0 20 0 20 0 20 0 20 0 RN 1at PROV Strathleven Drive, Bonhill 31/03/2027 31/03/2027 80 0 80 0 80 0 80 0 80 0 RN 1au PROV Talbot Road, Balloch 31/03/2027 31/03/2027 20 0 20 0 20 0 20 0 20 0 RN 1av PROV A82 Great Western Road 31/03/2027 31/03/2027 150 0 150 0 150 0 150 0 150 0 RN 1aw PROV Sandbank Crescent, Alexandria 31/03/2027 31/03/2027 20 0 20 0 20 0 20 0 20 0 RN 1ax Carriageway Resurfacing (following assessment) 31/03/2027 31/03/2027 200 0 200 0 200 0 200 0 200 0 RN 1ay Structural Patching (following assessment) 31/03/2027 31/03/2027 200 0 200 0 200 0 200 0 200 0 RN 1az PROV Leven Street, Renton 31/03/2027 31/03/2027 10 0 10 0 10 0 10 0 10 0 RN 2 Flood Risk Management (unallocated) 31/03/2027 31/03/2027 1,080 0 0 1,080 1,080 0 0 0 0 0 RN 2b Cycle 2 flood risk actions 31/03/2030 31/03/2030 775 0 200 575 775 0 200 0 200 0 RN 3 Street lighting and associated electrical infrastructure (unallocated) 31/03/2027 31/03/2027 998 0 98 900 998 0 98 0 98 0 RN 4 Flood Prevention 31/03/2027 31/03/2027 450 388 62 0 450 0 62 0 62 0 RN 5 Vehicle Replacement (unallocated) 31/03/2027 31/03/2027 9,538 0 1,322 8,216 9,538 0 1,322 214 1,322 0 RN 5a Resources 31/03/2027 31/03/2027 43 0 43 0 43 0 43 0 43 0 RN 5c Community Connections 31/03/2027 31/03/2027 40 0 40 0 40 0 40 0 40 0 RN 5d HSCP 31/03/2027 31/03/2027 44 0 44 0 44 0 44 0 44 0 RN 5e Estate Management 31/03/2027 31/03/2027 48 0 48 0 48 0 48 0 48 0 RN 5f Facilities 31/03/2027 31/03/2027 48 0 48 0 48 0 48 0 48 0 RN 5i Housing 31/03/2028 31/03/2028 512 0 192 320 512 0 192 0 192 0 RN 5m Libraries 31/03/2027 31/03/2027 125 0 125 0 125 0 125 0 125 0 Page 276
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Official# RN 5v Waste 31/03/2028 31/03/2028 1,796 0 1,076 720 1,796 0 1,076 0 1,076 0 RN 5w Hire Replacements 31/03/2027 31/03/2027 300 0 300 0 300 0 300 0 300 0 RN 9 A813 Road Improvement Phase 1 31/03/2027 31/03/2027 1,579 1,386 193 0 1,579 0 193 0 193 0 RN 10 Traffic Signal Updates 31/03/2027 31/03/2027 300 286 14 0 300 0 14 0 14 0 RN 11 Gruggies Burn Flood Prevention 31/03/2029 31/03/2029 48,160 987 7,222 39,952 48,160 0 7,222 216 7,222 0 RN 12 River Leven Flood Prevention Scheme 31/03/2027 31/03/2027 381 181 200 0 381 0 200 0 200 0 RN 13 Public non-adopted paths and roads (unallocated) 31/03/2027 31/03/2027 1,461 0 278 1,183 1,461 0 278 49 278 0 RN 13c Dumbarton cemetery paths 31/03/2028 31/03/2028 75 0 0 75 75 0 0 0 0 0 RN 13d Old Dalnottar Cemetery 31/03/2028 31/03/2028 90 0 60 30 90 0 60 0 60 0 RN 13e Parks, cemeteries and open space non adopted paths, identified following annual review 31/03/2029 31/03/2029 342 0 109 233 342 0 109 0 109 0 RN 14 Cemetery Extension, North Dalnotter 31/03/2028 31/03/2028 264 202 62 0 264 0 62 0 62 0 RN 16 Allotment Development 31/03/2028 31/03/2028 492 468 247 0 715 223 24 109 247 223 RN 18 Play Area Upgrade Programme (unallocated) 31/03/2027 31/03/2027 733 0 (67) 800 733 0 (67) 19 (67) 0 RN 18f Central Alexandria 31/03/2027 31/03/2027 42 0 42 0 42 0 42 0 42 0 RN 18g Tullichewan 31/03/2027 31/03/2027 20 0 20 0 20 0 20 0 20 0 RN 18h Christie Park 31/03/2027 31/03/2027 10 0 10 0 10 0 10 0 10 0 RN 18i Dalmonach Park 31/03/2027 31/03/2027 25 0 25 0 25 0 25 0 25 0 RN 18j Ladyton 31/03/2027 31/03/2027 10 0 10 0 10 0 10 0 10 0 RN 18k Dillichip Park 31/03/2027 31/03/2027 10 0 10 0 10 0 10 0 10 0 RN 18l Dumbarton Common 31/03/2027 31/03/2027 10 0 10 0 10 0 10 0 10 0 RN 18m Bowling 31/03/2027 31/03/2027 25 0 25 0 25 0 25 0 25 0 RN 18n Old Kilpatrick 31/03/2027 31/03/2027 15 0 15 0 15 0 15 0 15 0 RN 18o Goldenhill Park 31/03/2027 31/03/2027 10 0 10 0 10 0 10 0 10 0 RN 18p Rosshead 31/03/2027 31/03/2027 60 0 60 0 60 0 60 0 60 0 RN 18q Kirkoswald Drive 31/03/2027 31/03/2027 50 0 50 0 50 0 50 0 50 0 RN 18r Whitecrook Park 31/03/2027 31/03/2027 50 0 50 0 50 0 50 0 50 0 RN 18s Langfaulds Crescent, Clydebank 31/03/2028 31/03/2028 25 0 0 25 25 0 0 0 0 0 RN 18t Onslow Road 31/03/2028 31/03/2028 25 0 0 25 25 0 0 0 0 0 RN 18u Whylie Park, Renton 31/03/2028 31/03/2028 25 0 0 25 25 0 0 0 0 0 RN 18v St Helena Crescent 31/03/2028 31/03/2028 25 0 0 25 25 0 0 0 0 0 RN 20 Balloch Mountain Bike Track 31/03/2027 31/03/2027 450 11 439 0 450 0 439 2 439 0 RN 23 Creation of 2 new all weather pitches at Argyll Park and Mountblow playing fields 31/03/2027 31/03/2027 1,451 49 1,402 0 1,451 0 1,402 2 1,402 0 RN 24 Exxon City Deal 31/03/2028 31/03/2028 47,942 25,738 17,186 5,018 47,942 0 17,186 3,318 17,186 0 RN 25 Active Travel 31/03/2027 31/03/2027 1,677 427 1,249 0 1,677 0 1,249 0 1,249 0 RN 29 Roads Lining and Signing 31/03/2027 31/03/2027 150 83 67 0 150 0 67 37 67 0 RN 30 Plant and Machinery Replacement (unallocated) 31/03/2027 31/03/2027 1,438 0 538 900 1,438 0 538 17 538 0 RN30a Plant and Machinery Replacement 31/03/2027 31/03/2027 0 0 0 0 0 0 0 0 0 0 RN 33 Shared Prosperity Funding - Open Places 31/08/2026 31/08/2026 396 0 396 0 396 0 396 0 396 0 RN 34 Nature Restoration Fund 31/03/2027 31/03/2027 250 81 169 0 250 0 169 1 169 0 Page 277
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Official# RN 36 Food Waste Vehicles 31/03/2027 31/03/2027 500 0 500 0 500 0 500 0 500 0 RN 37 CCTV Upgrade at Depots 31/03/2027 31/03/2027 50 0 50 0 50 0 50 0 50 0 RN 38 Gully Motor Purchase 31/03/2027 31/03/2027 275 0 275 0 275 0 275 0 275 0 RN 39 Milton Park MUGA 31/03/2027 31/03/2027 130 109 21 0 130 0 21 0 21 0 150,347 30,398 37,174 82,998 150,570 223 36,951 3,983 37,174 223Total Roads and Neighbourhood Page 278
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Official# EDU Project Completion Date Revised End Date Project Life Budget Spend to 31/03/2026 Spend Projected in Current Year Projecte d Future Spend Total Projected Spend Project Variance Approved Budget 2026/27 Actual to date 2026/27 Projected Spend In Year Variance EDUC 1 AV Equipment - Education 31/03/2030 31/03/2030 859 469 83 307 859 0 83 0 83 0 EDUC 3 Schools Estate Improvement Plan - next Phase - Faifley Campus 31/03/2027 31/03/2027 36,515 33,828 2,688 0 36,515 0 2,688 391 2,688 0 EDUC 4 Schools Estate Improvement Plan 31/03/2027 31/03/2027 21,904 20,746 1,158 0 21,904 0 1,158 1 1,158 0 EDUC 5 Free School Meals Expansion 31/03/2027 31/03/2028 1,265 80 185 1,000 1,265 0 1,185 0 185 (1,000) Total Education 60,543 55,122 4,113 1,307 60,543 0 5,114 393 4,113 (1,000) Page 279
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Official# HSCP Project Completion Date Revised End Date Project Life Budget Spend to 31/03/2026 Spend Projected in Current Year Projecte d Future Spend Total Projected Spend Project Variance Approved Budget 2026/27 Actual to date 2026/27 Projected Spend In Year Variance HSCP 1 Special Needs - Aids & Adaptations for HSCP clients (unallocated) 31/03/2027 31/03/2027 4,355 0 0 4,355 4,355 0 0 0 0 0 HSCP 1a Resources 31/03/2030 31/03/2030 909 0 229 680 909 0 229 0 229 0 HSCP 1b Stairlift 31/03/2030 31/03/2030 234 0 60 174 234 0 60 0 60 0 HSCP 1c Equipment 31/03/2030 31/03/2030 1,411 0 360 1,051 1,411 0 360 0 360 0 HSCP 1d Ceiling Track 31/03/2030 31/03/2030 32 0 8 24 32 0 8 0 8 0 HSCP 1e Physical Disabilities Aids and Adaptations 31/03/2030 31/03/2030 492 0 126 366 492 0 126 0 126 0 HSCP 2 ICT Modernisation HSCP (unallocated) 31/03/2027 31/03/2027 509 0 0 509 509 0 72 9 0 (72) HSCP 2a Life Lens 31/03/2027 31/03/2027 13 0 0 13 13 0 13 0 0 (13) HSCP 2b Magic Notes 31/03/2027 31/03/2027 48 0 0 48 48 0 48 0 0 (48) HSCP 2c Staffing 31/03/2031 31/03/2031 238 0 45 193 238 0 45 0 45 0 HSCP 2d ICT Device 31/03/2031 31/03/2031 25 0 5 20 25 0 5 0 5 0 HSCP 2f Digital Inclusion (Prevention, Early Intervention, DCE) 31/03/2031 31/03/2031 50 0 10 40 50 0 10 0 10 0 HSCP 2g Digital Telecare (AICO project, tec hub, new technology) 31/03/2029 31/03/2029 72 0 13 59 72 0 13 4 13 0 HSCP 2h HSCP Systems/Applications (new applications, scripts, automation, data utilisation) 31/03/2031 31/03/2031 152 0 25 127 152 0 25 0 25 0 HSCP 2i HSCP 2i Granicus Blue Badge 31/03/2027 31/03/2027 0 0 13 0 0 0 0 0 13 13 HSCP 2j HSCP 2j Website Development 31/03/2030 31/03/2030 0 0 48 0 0 0 0 0 48 48 HSCP 3 Community Alarm upgrade 31/03/2031 31/03/2031 143 0 59 84 143 0 55 0 59 4 Total HSCP 8,683 0 1,001 7,743 8,683 0 1,069 14 1,001 (68) Page 280
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Official# P&T Project Completion Date Revised End Date Project Life Budget Spend to 31/03/2026 Spend Projected in Current Year Projecte d Future Spend Total Projected Spend Project Variance Approved Budget 2026/27 Actual to date 2026/27 Projected Spend In Year Variance P&T 1 ICT Modernisation (unallocated) 31/03/2027 31/03/2027 961 0 0 961 961 0 (153) 0 0 153 P&T 1a PCs for Education 31/03/2034 31/03/2034 625 0 0 625 625 0 0 0 0 0 P&T 1b Laptops for Education 31/03/2034 31/03/2034 747 0 136 611 747 0 136 0 136 0 P&T 1c Chromebooks for Education 31/03/2028 31/03/2028 307 0 0 307 307 0 0 0 0 0 P&T 1d PC's for Corporate Employees 31/03/2034 31/03/2034 81 0 0 81 81 0 0 0 0 0 P&T 1e Laptops for Corporate Employees 31/03/2034 31/03/2034 950 0 47 750 797 (153) 200 (126) 47 (153) P&T 1f Mobile Phones 31/03/2033 31/03/2033 39 0 0 192 192 153 0 0 0 0 P&T 1g Public PC Replacement 31/03/2028 31/03/2028 26 0 0 26 26 0 0 0 0 0 P&T 1h Resources 31/03/2034 31/03/2034 984 0 123 861 984 0 123 0 123 0 P&T 1i Microsoft 365 Implementation Revised 31/03/2034 31/03/2034 0 0 120 (120) 0 0 0 0 120 120 P&T 2 ICT Security & DR (unallocated) 31/03/2027 31/03/2027 833 0 59 774 833 0 59 (90) 59 0 P&T 2c Replace Ageing Infrastructure Hardware 31/03/2034 31/03/2034 752 0 94 658 752 0 94 0 94 0 P&T 2d Security Compliance remediation 31/03/2034 31/03/2034 560 0 70 490 560 0 70 0 70 0 P&T 2e Security Resourcing - Security partner 31/03/2034 31/03/2034 184 0 23 161 184 0 23 0 23 0 P&T 2f Internal ICT resource recharges 31/03/2034 31/03/2034 720 0 90 630 720 0 90 0 90 0 P&T 2h Wi-Fi Technology licensing 31/03/2034 31/03/2034 720 0 90 630 720 0 90 0 90 0 P&T 2j Security Patching Improvements 31/03/2034 31/03/2034 160 0 20 140 160 0 20 0 20 0 P&T 3 365 Implementation 31/03/2027 31/03/2027 983 960 23 0 983 0 23 7 23 0 P&T 4 Development of Workforce Management System 31/03/2027 31/03/2027 110 2 108 0 110 0 108 0 108 0 P&T 5 Data Strategy 31/03/2027 31/03/2027 27 0 27 0 27 0 27 0 27 0 Total P&T 9,769 962 1,031 7,777 9,769 0 910 (208) 1,031 120 Overall Total 350,974 116,555 69,086 165,616 351,197 223 73,016 5,707 69,086 (3,929) Page 281
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Official WEST DUNBARTONSHIRE COUNCIL Report by the Chief Officer – Resources Council – 26 August 2026 ___________________________________________________________________ Subject: Housing Revenue Account Budgetary Control Report to 30 June 2026 (Period 03) 1. Purpose 1.1 The purpose of this report is to advise members on the 2026/2027 HRA revenue budget position on 30 June 2026 and the forecast position for HRA reserves on 31 March 2027. 2. Recommendations 2.1 Members are asked to: i. note the HRA revenue account is forecasting a deficit of £0.863m. If required, HRA reserves will be used to fund the deficit. ii. note that the forecast deficit would reduce HRA reserves to £0.259m on 31 March 2027, significantly less than the HRA revenue prudential target for 31 March 2027 of £1.222m. iii. note that work will continue to explore opportunities to remove the in-year deficit and to rebuild reserves, including the targeting of efficiencies across all areas of the HRA revenue account budget. 3. Background Revenue 3.1 The Council approved a 2026/2027 HRA revenue budget of £60.880m on the 4th of March 2026. A prudential reserve target of £1.222m was also set (2% of the revenue budget). HRA prudential reserves were £1.122m on 31st March 2026. 4. Main Issues 4.1 This report advises of the key issues contributing to the Housing Revenue Account (HRA) forecasting a 2026/27 deficit of £0.863m. The forecast deficit would require a call on HRA reserves and leave forecast HRA reserves of £0.259m on 31 March 2027. Using existing reserves to address the funding deficit adds risk to the wider financial position of the HRA with reduced capacity to absorb any unforeseen future costs until the HRA rebuilds its reserves. 4.2 There are a range of unfavourable / favourable variance contributing to the forecast deficit and the main variances are detailed below. ITEM 14 Page 283
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Official Adverse Variances > £50,000 Central Support Allocation - £0.535m Adverse 4.3 The draft outcome from the review of the Council’s Central Support Allocation (CSA) model during 2025/26 assessed the appropriate allocation of corporate support costs to service users including the Housing Revenue Account. The review determined that the Housing Revenue account CSA charge was understated and needed to be increased. The 2026/27 HRA CSA budget was set based on the older recharge model. Consequently, the amount that will be charged to the Housing Revenue Account in 2026/27 is projected to exceed budget and create an overspend / adverse variance. Repairs & Maintenance - £0.410m Adverse 4.4 There continue to be cost pressures due to the high demand across the responsive repair and void service. A range of mitigations are in place to minimise the cost pressure including tighter controls on contractor use and the stringent application of the rechargeable repairs policy. Loan Charges - £0.221m Adverse 4.5 The main cost pressure is a forecast increase in the interest payable on HRA capital debt. The 2026/27 HRA estimates assumed a pooled interest rate of 4.25% on HRA capital debt on 31 March 2027. The current pooled interest rate forecast is 4.4%, higher than estimated and creating a cost pressure. 4.6 Members will be aware of the significant risk and uncertainty around forecasting local authority borrowing costs and geopolitical events have contributed to an increase in the interest rates payable on new temporary and new Public Work Loans Board (PWLB) borrowing. Consequently, there is a risk of a further increase to the pooled interest rate during 2026/27. Favourable Variance > £50,000 Employee Costs - £0.335m Favourable. 4.7 The favourable variance is due to savings from vacant posts across the service and an increase in HRA employee costs recharged to non HRA revenue services including homelessness and HRA capital. 5. People Implications 5.1 There are no people implications. 6. Financial and Procurement Implications 6.1 Other than the financial position noted above, there are no financial implications of the budgetary control report. There are no procurement implications arising from this report. Page 284
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Official 7. Risk Analysis 7.1 The main financial risk is the HRA going into deficit due to unforeseen costs being identified between now and the end of the financial year. The Housing (Scotland) Act 1987 specifies that if a HRA deficit arises in any one year, the local authority must make a General Fund contribution to make good the deficit. In this event, the HRA would be expected to repay that contribution from future HRA surpluses. 8. Equalities Impact Assessment (EIA) 8.1 The report is for noting and therefore no Equalities Impact Assessment was completed for this report. 9. Consultation 9.1 All services involved in delivering the HRA revenue budget have been consulted during the compilation of this report. 10. Strategic Assessment 10.1 Proper budgetary control and sound financial practice are cornerstones of good governance and support Council and officers to pursue the five strategic priorities of the Council’s Strategic Plan. This report forms part of the financial governance of the Council. This report is for noting and, therefore, does not directly affect any of the strategic priorities. Laurence Slavin Chief Officer – Resources Date: 26 August 2026 ___________________________________________________________________ Person to Contact: Jim McCarron - Business Unit Finance Partner Telephone: 07772 322055 e-mail james.mccarron@west-dunbarton.gov.uk Appendices: Appendix 1 - Budgetary Position (Revenue) Appendix 2 - Variance analysis (Revenue) Page 285
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 1 HRA REVENUE BUDGETARY CONTROL 2026/27 PERIOD END DATE 30 June 2026 Budget 2026/27 Spend to Date 2026/27 Forecast Spend 2026/27 Annual RAG Status £000 £000 £000 £000 % Employee Costs 9,224 1,998 8,961 (263) -3% Property Costs 1,497 379 1,514 17 1% Transport Costs 207 49 203 (4) 0% Supplies, Services And Admin 471 113 507 36 8% Support Services 2,845 845 3,380 535 19% Other Expenditure 392 105 373 (19) -5% Repairs & Maintenance 12,688 2,729 13,098 410 3% Open Space Maintenance 730 183 730 - 0% Bad Debt Provision 1,269 317 1,269 - 0% Void Loss (Council Tax / Lost Rents) 1,108 270 1,081 (27) -2% Loan Charges / CFCR 30,449 7,668 30,670 221 1% Total Expenditure 60,880 14,656 61,786 906 1% House Rental Income (60,000) (15,000) (60,000) - 0% Lockup Rental Income (249) (62) (249) - 0% Other Rental income (143) (53) (162) (19) 13% Factoring Income (452) (119) (477) (25) 6% Miscellaneous Income (36) (7) (35) 1 -3% Total Income (60,880) (15,241) (60,923) (43) 0% Net Expenditure 0 (585) 863 863 Subjective Summary Forecast Variance 2026/27 Page 286
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 HRA REVENUE BUDGETARY CONTROL 2026/27 ANALYSIS FOR VARIANCES OVER £50,000 MONTH END DATE 30 June 2026 PERIOD 3 Budget 2026/27 Forecast Spend 2026/26 £000 £000 £000 % Employee Costs 9,224 8,961 (263) -3% Main Issues Mitigating Action Anticipated Outcome Support Services 2,845 3,380 535 19% Main Issues Mitigating Action Anticipated Outcome Budget 2026/27 Forecast Spend 2026/26 £000 £000 £000 % Repairs & Maintenance 12,688 13,098 410 3% Main Issues Mitigating Action Anticipated Outcome A draft review of the council’s Central Support Allocation (CSA) model during 2025/26 determined that the Housing Revenue account CSA charge was understated and needed to be increased. The 2026/27 HRA CSA budget was set based on the older recharge model. Consequently, the amount that will be charged to the Housing Revenue Account in 2026/27 will exceed budget and create an overspend / adverse variance. The Housing Service will engage with central support service managers to explore cost savings through the re-provisioning of services provided to the HRA. A year end overspend. A year end overspend. 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 continue to put in place a range of mitigation measures to minimise the overspend, including the transfer of qualifying repair spend to the HRA capital programme, primarily repair 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. Subjective Analysis Forecast Variance 2026/27 RAG Status Variance Analysis Subjective Description Centrally funded support services that support HRA revenue service delivery. Services include Revenues and Benefits, Contact Centre, HR Services, ICT Services, Corporate Administrative Support, Legal Services, Financial Services. Variance Analysis Subjective Analysis Forecast Variance 2026/27 RAG Status Subjective Description Employees charged directly to the HRA. Variance Narrative Savings from vacant posts and an increased employee cost recharge to non HRA revenue service areas will deliver an underspend. None A year end underspend Variance Narrative Page 287
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WEST DUNBARTONSHIRE COUNCIL APPENDIX 2 HRA REVENUE BUDGETARY CONTROL 2026/27 ANALYSIS FOR VARIANCES OVER £50,000 MONTH END DATE 30 June 2026 PERIOD 3 Loan Charges / CFCR 30,449 30,670 221 1% Main Issues Mitigating Action Anticipated Outcome Subjective Description Loans Fund repayments and the payment of interest and expenses on outstanding HRA debt. Variance Narrative The main cost pressure is a forecast increase in the interest payable on HRA capital debt. The 2026/27 HRA estimates assumed a pooled interest rate of 4.25% on HRA capital debt at 31 March 2027. The current forecast is for the pooled interest rate to be 15 basis points higher than estimated creating a cost pressure Officers will continue to work with external treasury advisors to structure council borrowing and the loans portfolio in a manner that minimises debt servicing costs. A year end overspend. Page 288
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Official WEST DUNBARTONSHIRE COUNCIL Report by the Chief Officer – Resources Council – 26 August 2026 ___________________________________________________________________ Subject: Housing Revenue Account (HRA) Capital Budgetary Control Report to 30 June 26 (Period 3) 1. Purpose 1.1 This report provides an update on the HRA capital programme to 30 June 2026. 2. Recommendations 2.1 Members are asked to: i) note the current position of the 2026/27 HRA capital budgets and the 5- year HRA capital plan. ii) note that project life performance will be monitored against a project life estimate of £336.506m and a project life income estimate of £53.821m, a borrowing requirement of £282.685m. iii) note that in year financial performance will be monitored against a 2026/27 capital expenditure budget of £58.434m and a 2026/27 capital income budget of £13.064m, a one-year borrowing requirement of £45.370m. iv) note that at this early stage all projects are on track regarding achieving their planned completion dates and delivering within their project life estimate. v) Note that there is an anticipated underspend of £2.340m against 2026/27 budgets reducing the forecast one-year borrowing requirement to £43.030m. 3. Background 3.1 The Council approved the HRA Capital Plan for 2026/2027 to 2030/2031 on 4 March 2026. The approved plan estimated £63.285m of capital expenditure and £16.901m of capital income in 2026/27, a one-year borrowing requirement of £46.384m. The project life borrowing requirement was £272.665m. 3.2 Since March, budget adjustments have taken place to reflect up to date information on progress delivering the plan, including the carry forward of over / underspends at the end of financial year 2025/26 and the incorporation of the latest cost and income forecasts. The adjustments result in revised capital budgets as set out in Exhibit 1. The updated borrowing requirement for 26/27 of £45.370m is £2.340m less than advised in March 2026. The project life Page 289 ITEM 15
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Official borrowing requirement increased to £282.398m because 2025/2026 underspends were brought forward into the revised capital plan. Exhibit 1: Revised HRA Capital Estimates 2026/2027 – 2030/2031 2026/27 March 26 (£m) Project March 26 (£m) 2026/27 BCR03 (£m) Project BCR03 (£m) 2026/27 Change (£m) Project Change (£m Other Capital 5.510 26.060 5.700 27.730 0.190 1.670 Component Replacement 14.600 73.000 14.600 80.083 0.000 7.083 Void Capital 5.400 27.000 5.400 26.514 0.000 -0.486 Structural & Environmental 3.400 18.600 4.521 21.890 1.121 3.290 Support Costs 3.400 17.000 3.400 17.000 0.000 0.000 More Homes 30.975 163.866 24.813 163.289 -6.162 -0.577 Total Expenditure 63.285 325.526 58.434 336.506 -4.851 10.980 Total Income -16.901 -52.861 -13.064 -53.821 3.837 --0.960 Prudential Borrowing 46.384 272.665 45.370 282.685 -1.014 10.020 4. Main Issues 4.1 Progress against the 2026/27 capital plan is detailed in: Appendix 1 – HRA Capital Summary BCR03 Appendix 2 – HRA Capital Detail BCR03 4.2 The HRA capital summary report at Appendix 1 reports that: • There are fifteen capital projects where expenditure is tracked over the multi-year life of the project and twenty-eight projects classified as rolling programme projects / contingency / fees, that is programmes of work where an annual estimate is set each year that takes account of demand, cost, and affordability. • At this early stage in the year, projected expenditure and projected income are both in line with project life estimate. 4.3 Appendix 2 shows all projects with their 2026/27 budget and their project life estimate alongside the latest projections. The appendix reports: • 2026/27 projected spend of £55.894m, a £2.540m underspend against the 2026/27 expenditure budget. • 2026/27 projected income of £13.151m, a £0.200m under-recovery against the 2026/27 income budget. • 2026/27 prudential borrowing forecast of £43.030m, £2.340m less than budget. 4.4 Commentary on the 2026/27 variances above £50,000 are set out in Exhibit 2 below. Page 290
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Official Exhibit 2: Projected Over / Underspends 2026/27 as at BCR03 Ref Project BCR03 Projection (£m) 26/27 Budget (£m) 26/27 Variance (£m) Commentary 1 EESSH compliance works Expenditure 3.500 5.000 (1.500) Underspend reflects the changing mix of the capital programme with an increased number of mixed tenure blocks that require owner consent before work can start. This necessary process delays project start. The underspend has been reprofiled to a future year. 2 Roofs Expenditure 0.900 1.500 (0.600) Underspend reflects the changing mix of the capital programme with an increased number of mixed tenure blocks that require owner consent before work can start. This necessary process delays project start. The underspend has been reprofiled to a future year. 3 Heating Works Expenditure 1.600 2.400 (0.800) Underspend reflects a reduced demand for replacement heating systems. The underspend has been reprofiled to a future year pending a review of demand across this programme. 4 Void Capital Expenditure 5.760 5.400 0.360 Overspend due to the high number of void property repairs being carried out by the in-house team and supporting contractors. The overspend has been reprofiled to a future year 5 Owner Recoveries Income -0.300 -0.500 0.200 Under-recovery of income is directly linked to the projected underspend on the roofing programme. The under-recovery has been reprofiled to a future year 4.5 Budget assumptions are required to forecast costs / income, especially where projects span multi-year and project finances have yet to be finalised. It is therefore likely that the projections will change during the year. Page 291
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Official 5. Option Appraisal 5.1 No option appraisal was required for this report. 6. People Implications 6.1 There are no people implications. 7. Financial and Procurement Implications 7.1 The report notes the projected in-year financial position for the HRA capital plan. 8. Risk Analysis 8.1 The main risks are as follows: (a) The reported variances should be viewed in the knowledge that there are several variable factors which could arise between now and 31 March which could affect the year end results for capital budgets. (b) To forecast for the full year costs budget assumptions have been required. These assumptions continue to change regularly and therefore it is likely the projected year end position will change from that reported. 9. Equalities Impact Assessment (EIA) 9.1 No equalities impact assessment was required in relation to this report. 10. Environmental Sustainability 10.1 No assessment of environmental sustainability was required in relation to this report. 11. Consultation 11.1 All services involved in delivering the capital estimates have been consulted during the compilation of this report. 12. Strategic Assessment 12.1 Proper budgetary control and sound financial practice are cornerstones of good governance and support Council and officers to pursue the strategic priorities of the Council’s current Strategic Plan. This report forms part of the financial governance of the Council. ________________ Laurence Slavin Chief Officer – Resources Date: 26 August 2026 Page 292
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Official Person to Contact: Jim McCarron Business Partner, Finance 07772 322055 E-mail: james.mccarron@west-dunbarton.gov.uk Appendices: Appendix 1 - HRA Capital Summary BCR03 Appendix 2- HRA Capital Details BCR03 Background Papers: Housing Revenue Account (HRA) Capital Investment Programme, Revenue Budget, and Rent Levels for 2026/27 - Council 4 March 2026. Wards Affected All Wards Page 293
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Period 03 - 30 June 2026 Appendix 1 Summary HRA Capital Expenditure Project Life Budget £000 Project Life Forecast Spend £000 Project Life Variance £000 Rolling Programmes Projects Projects On Track / Complete Projects Off Track Other Capital Expenditure 27,730 27,730 - 8 - - - Major Component Replacement 80,083 80,083 - 7 - - - Void Capital 26,514 26,514 - 1 - - - Structural & Environmental 21,890 21,890 - 5 - - - Support Costs 17,000 17,000 - 2 - - - More Homes Programme 163,289 163,289 - 5 15 15 - Total Expenditure 336,506 336,506 - 28 15 15 - Total Income (53,821) (53,821) - - - Total 282,685 282,685 - Page 294
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All Approved HRA Capital Projects at Period 3 Appendix 2 Project Category Planned End Date Project Life Budget Expenditure to 31/3/26 Expenditure to Date Projected Future Spend Project Life Forecast Spend Project Variance Approved Budget 2026/27 Expenditure to Date 2026/27 Projected Spend 2026/27 In Year Variance 2026/27 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000 OCE1 Special Needs Adaptations Rolling NA 3,225 - 124 3,101 3,225 - 650 124 650 - OCE2 Capitalised Minor Works Rolling NA 15,942 - 630 15,312 15,942 - 3,100 630 3,100 - OCE3 Better Homes Priority Budget Rolling NA 1,242 - 6 1,236 1,242 - 200 6 200 - OCE4 Environmental Sensors Rolling NA 6,809 - 391 6,418 6,809 - 1,500 391 1,500 - OCE5 Housing CCTV Rolling NA 100 - 35 65 100 - 100 35 100 - OCE6 QL Development Rolling NA 87 - - 87 87 - 10 - 10 - OCE7 Gypsy Travellers Site Rolling NA 135 - - 135 135 - - - - - OCE8 Airport Noise Rolling NA 190 - - 190 190 - 140 - 140 - Other Capital Expenditure 27,730 - 1,186 26,544 27,730 - 5,700 1,186 5,700 - MCR1 EESSH compliance works Rolling NA 27,916 - 298 27,618 27,916 - 5,000 298 3,500 (1,500) MCR2 Roofs Rolling NA 8,863 - 4 8,859 8,863 - 1,500 4 900 (600) MCR3 Windows / Doors Rolling NA 16,270 - 579 15,691 16,270 - 3,100 579 3,100 - MCR4 Statutory / Regulatory Compliance Works Rolling NA 999 - - 999 999 - 100 - 100 - MCR5 Heating Rolling NA 12,622 - 233 12,389 12,622 - 2,400 233 1,600 (800) MCR6 Kitchens Rolling NA 10,828 - 72 10,756 10,828 - 2,000 72 2,000 - MCR7 Bathrooms & Showers Rolling NA 2,585 - 13 2,572 2,585 - 500 13 500 - Major Component Replacement 80,083 - 1,199 78,884 80,083 - 14,600 1,199 11,700 (2,900) VOC1 Void Capital Rolling NA 26,514 - - 26,514 26,514 - 5,400 - 5,760 360 Void Capital 26,514 - - 26,514 26,514 - 5,400 - 5,760 360 STE1 Structural Works Rolling NA 2,330 - - 2,330 2,330 - - - - - STE2 Paths & Environment Rolling NA 5,922 - 220 5,702 5,922 - 1,200 220 1,200 - STE3 Asbestos Management Works Rolling NA 955 - 22 933 955 - 200 22 200 - STE4 Multi Storey Flat Strategy Rolling NA 11,562 - 5 11,557 11,562 - 2,000 5 2,000 - STE5 Cladding Remediation Works Rolling NA 1,121 - - 1,121 1,121 - 1,121 - 1,121 - Structural & Environmental 21,890 - 247 21,643 21,890 - 4,521 247 4,521 - SUP1 Salaries / Central Support / Overhead Rolling NA 17,000 - 850 16,150 17,000 - 3,400 850 3,400 - SUP2 Vehicle Replacement Programme Rolling NA - - - - - - - - Support Costs 17,000 - 850 16,150 17,000 - 3,400 850 3,400 - AHP1 Buy Backs Rolling NA 20,000 - 1,097 18,903 20,000 - 4,000 1,097 4,000 - AHP2 Demolition Programme Rolling NA 1,000 - 5 995 1,000 - 200 5 200 - AHP3 Contingency Rolling NA - - - - - - - - - - AHP4 Clydebank East Project September 25 33,554 33,554 33,554 - 33,554 - - - - - AHP5 Pappert Project September 25 9,181 9,181 9,181 - 9,181 - - - - - AHP6 Mount Pleasant Project September 25 5,364 5,364 5,364 - 5,364 - - - - - AHP7 Willox Park Phase1 Project March 26 5,601 5,416 5,416 185 5,601 - 85 - 85 - AHP8 Willox Park Phase2 Project March 28 7,030 108 122 6,908 7,030 - 500 14 500 - AHP9 Bank Street Project March 27 6,347 1,953 3,160 3,187 6,347 - 4,244 1,207 4,244 - AHP10 Bonhill Gap Sites Project September 27 9,086 5,353 6,725 2,361 9,086 - 3,400 1,372 3,400 - AHP11 West Thomson Street Project September 28 15,827 1,479 1,494 14,333 15,827 - 2,000 15 2,000 - AHP12 Silverton Project September 27 2,379 35 40 2,339 2,379 - 1,100 5 1,100 - AHP13 Queen Mary Avenue Project September 26 4,540 2,469 3,203 1,337 4,540 - 1,971 734 1,971 - AHP14 Queens Quay Site C Project March 30 5,531 31 31 5,500 5,531 - - - - - AHP15 Dennystoun Forge – New Build Project March 28 4,589 59 59 4,530 4,589 - 1,000 - 1,000 - AHP16 28 Bridge Street Project September 27 1,010 60 60 950 1,010 - 950 - 950 - AHP17 Ottawa Crescent Project September 27 6,350 413 894 5,456 6,350 - 5,150 481 5,150 - AHP18 Gray Street Project September 28 7,717 4 17 7,700 7,717 - 13 13 13 - AHP19 Future New Build & Related Regeneration Projects Rolling NA 17,183 - 17,183 17,183 - - - - - AHP20 Fees, Staffing Costs, contingency Rolling NA 1,000 - 30 970 1,000 - 200 30 200 - More Homes Programme 163,289 65,479 70,452 92,837 163,289 - 24,813 4,973 24,813 - Total Expenditure 336,506 65,479 73,934 262,572 336,506 - 58,434 8,455 55,894 (2,540) Full Project Life In Year Performance Page 295
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All Approved HRA Capital Projects at Period 3 Appendix 2 Project Category Planned End Date Project Life Budget Income to 31/3/26 Income to Date Projected Future Income Project Life Forecast Income Project Variance Approved Budget 2026/27 Expenditure to Date 2026/27 Projected Spend 2026/27 In Year Variance 2026/27 £000 £000 £000 £000 £000 £000 £000 £000 £000 £000 CAPI1 Scottish Govt Buyback Grant Rolling NA (12,000) - (52) (11,948) (12,000) - (2,400) (52) (2,400) - CAPI2 Willox Park Phase2 Project NA (2,850) (127) (127) (2,723) (2,850) - (500) - (500) - CAPI3 Bank Street Project NA (2,408) (1,307) (1,307) (1,101) (2,408) - (1,101) - (1,101) - CAPI4 Bonhill Gap Sites Project NA (4,518) (3,738) (3,738) (780) (4,518) - (780) - (780) - CAPI5 West Thomson Street Project NA (5,416) (1,485) (1,485) (3,931) (5,416) - (2,000) - (2,000) - CAPI6 Silverton Project NA (1,100) - - (1,100) (1,100) - (1,000) - (1,000) - CAPI7 Queen Mary Avenue Project NA (1,789) (1,789) (1,789) - (1,789) - - - - - CAPI8 Queens Quay Site C Project NA (4,714) (2,014) (2,014) (2,700) (4,714) - - - - - CAPI9 Dennystoun Forge – New Build Project NA (2,400) - - (2,400) (2,400) - (1,000) - (1,000) - CAPI10 28 Bridge Street Project NA - - - - - - - - - - CAPI11 Ottawa Crescent Project NA (2,800) (379) (379) (2,421) (2,800) - (2,421) - (2,421) - CAPI12 Gray Street Project NA (3,087) - - (3,087) (3,087) - - - - - CAPI13 Future new build sites & related regeneration projects Rolling NA (6,873) - - (6,873) (6,873) - - - - - CAPI14 Owners Recoveries Rolling NA (2,500) - (78) (2,422) (2,500) - (500) (78) (300) 200 CAPI15 Other Grant Rolling NA (1,361) - - (1,361) (1,361) - (1,361) - (1,361) - CAPI16 HRA Loan Repayments Rolling NA (5) - - (5) (5) - (1) - (1) - Total Income (53,821) (10,839) (10,969) (42,852) (53,821) - (13,064) (130) (12,864) 200 Prudential Borrowing Requirement 282,685 54,640 62,965 219,720 282,685 - 45,370 8,325 43,030 (2,340) Full Project Life In Year Performance Page 296