Report Summary
This report provides members of the Resources Committee with an an an update on the financial position of the SPA and Police Scotland for quarter one (Q1) of the financial year 2024-25. Members are invited to discuss the contents of the report and Appendix A (Finance Report) and approve the contents of Appendix B (Budget Revision). This was presented for discussion at the meeting on 20 February 2024.
To access the full document please open the PDF document above.
To view as accessible content please use the sections below. (Note that tables and some appendixes are not available as accessible content).
Meeting
The publication discussed was referenced in the meeting below
Resources Committee - 13 August 2024
Date : 13 August 2024
Location : online
Background
The Board approved the 2024-25 annual budget on 21 March 2024 which set out the spending plans for Police Scotland, Forensic Services and SPA Corporate regarding revenue, capital, and reform for the coming financial year.
The Authority received a core revenue funding increase of £75.7m (5.6%), £18.4m of which was required to meet the additional cost of the 2023-24 pay award.
Anticipated cost pressures (premises costs, new technology, ill health retirals, injury pensions), inflationary pressures and assumptions for 2024-25 pay have also been included within the budget build. The budget allocation for 2024-25 includes a core budget for a maximum of 16,600 officers (plus externally funded additionality e.g. Local Authorities) and police staff at 2023-24 budgeted levels.
A change in the employer pension contribution rates payable has resulted in a short-term benefit for the organisation. As this is a non-recurring benefit, it cannot be used to fund ongoing pressures and will therefore be utilised to fund VR/VER exit packages in 2024-25.
The budget report highlighted the key budgeting assumptions that are sensitive to change, and which could result in a material change to the 2024-25 budget. The overall financial position will continue to be monitored and reported throughout the year.
Capital funding of £66.1m (including capital receipts and IFRS 16 adjustments) has been confirmed for 2024-25, representing an uplift of £11.7m (22.1%). While the capital settlement is an improvement on the flat cash of the previous year, it is less than requested through the budget proposal submitted to Scottish Government and as such an element of prioritisation has had to take place.
Similar to previous years, £25.0m has been ring-fenced to support reform and transformation.
Capital and reform allocations have been made in line with the Chief Constables priorities of service delivery against areas of greatest threat, risk and harm, strong investment in digital capabilities, focus on change that most benefit our communities and people and spend to save initiatives.
