QUARTERLY FINANCIAL PERFORMANCE REPORT

Members considered the report which provided an update on the financial position of the SPA and Police Scotland for quarter one of the financial year 2025-26. James Gray (JGray) referred to the paper and highlighted that a detailed analysis of overtime spend and TOIL buy back during summer months would be a focus of the next report. Whilst there is some contingency for overtime, revenue spend needs to be managed carefully. Capital is currently showing an amber delivery and is slightly behind profile however Period 4 figures show an uptick in spend. Capital spend without fleet is double what is was last year, due to estates. Whilst it needs monitored carefully JGray stated there was confidence that the full capital will be spent.

In discussion the following matters were raised:
• Members heard the Resources Committee requested further assurance on progress to address the amber capital issue and discussed the need to ensure that implementation of savings happened on a recurring basis. DCCSmith advised that to remain at Officer number targets, work was ongoing to ensure staff are recruited with the right capabilities. Members heard an Efficiencies and Benefits plan will be presented to the Budget Development Group which would detail progress made and future plans.
• Referencing the capital planning taskforce and dependencies on estates for capital, Members sought assurance on the allocation of resources against each project. JGray responded that the transition year for estates allowed the organisation to identify what needed to be maintained, and estates in most need were identified jointly by officers and the estates team. As such, 11 buildings will see interior upgrades. Members heard the Assets Management plan has identified that estates in the west are most in need. DCCSmith advised that estates were included in the change and transformation plan, and operational leads and the estates chief officer will jointly support the next phase of planning. Members were assured plans and progress would be reported to the Authority.
• In response to a question on timelines and estates alignment for community hubs, DCCConnors advised that the community model of policing pilot in Clackmannanshire will go live in September 2025 with a full concept expected within the next 4 or 5 months. Members were assured this would be fitted into the estate’s masterplan.
• Noting capital issues within Forensic Services and Police Scotland, the Chair questioned how resourcing issues can be resolved. JGray advised it had been a challenge to deliver year on year capital growth as the allocation timing only provides a 12-week lead up time meaning resourcing models are not in place with enough time. JGray stated that a multi-year allocation would be more helpful for resource planning and DCCSmith added that the annualised nature of budget setting led to continual reprioritisation which is not an effective way of working.
• Members were informed information relating to cash releasing efficiency savings would be provided to the Budget Development Group.

Members noted the report.