Facts and Figures

2014/15

FACTS & FIGURES 2012/13

CONTENTSIntroduction 2-3

Funding Aberdeenshire 4

The 2014/19 Revenue Budgets 5

2014/15 Revenue Budget 6-8

Council Tax Levels in Scotland 9

Housing Revenue Account (H 10

2014/15 Capital Budget 11

Staffing Statistics 12

Aberdeenshire Services 13-14

Glossary of Financial Terms 15-17

Housing Revenue Account (HRA)

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Introduction by Alan Wood, Head of Finance of Aberdeenshire Council

This brief guide to Aberdeenshire’s Revenue Budgets for 2014/19 and Capital Budget for 2014/15 is intended to be used as a handy at-a-glance reference to the main financial and statistical elements of the Council’s activities.

Government Grant figures for 2014/15 have been released. The Council has continued to prepare a five-year budget demonstrating the long term approach to ensuring the financial stability of the Council. Medium and longer-term financial planning is essential, particularly in the current economic climate as the Council has to review spending priorities, make choices and realign service provision with the Council's Strategic Priorities.

The Council has produced a 5 year budget for the period 2014/19.

The Revenue Budget is balanced for 2014/15. Further work is required to review priorities and budget requirements to enable the delivery of a balanced budget position over years 2, 3, 4 and 5.

The focus of budget work this year was on balancing the 2014/15 budget at a realistic and deliverable level. One of the main drivers to achieve this was to make the link between last year's actual position, the current year's forecast position and future years budgets i.e. a

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holistic budget process. All political parties review the Council’s strate-gic priorities and consider budgets in that context.

Aberdeenshire Council continues to be the 3rd worst funded Council in Scotland in terms of government grant per head of population. Our grant for 2014/15 is 12% below the Scottish average, and the Council will continue to argue for a review of the grant distribution methodology and a fairer share for the residents and businesses of Aberdeenshire.

In common with all other Scottish councils, Aberdeenshire agreed to a freeze in Council Tax for 2014/15 and deliver key Scottish Government policy outcomes, to receive an increased level of grant funding. However this represented a 0% change over the 2013/14 cash position. Failure to agree these conditions would have led to a cut of around 1.2%.

Alan WoodHead of Finance

More detailed information on the Council and its finances may be obtained from :-

The Head of FinanceWoodhill HouseWestburn RoadAberdeen AB16 5GB

(Tel 08456 08 12 07) or by visiting the Council’s website at www.aberdeenshire.gov.uk

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Revenue Support Grant 57%

Fees & Charges 7%

Business Rates 14%

Council Tax 22%

FUNDING - ABERDEENSHIRE

The sources of money to pay for spending in 2014/15 are Aggregate External Finance (comprising Revenue Support Grant and Business Rates), Fees & Charges and Council Tax.

The figure for Aggregate External Finance (AEF) is worked out by a com-bination of the relative spending need of each council, and the amount of grant which the Scottish Government decides should be paid to councils in total.

Business Rates are collected by councils from businesses in their area, and paid over to the Scottish Government, who then re-distributes the total back to councils. The difference between the sum of these two elements of AEF and each council's total AEF is paid in the form of the Revenue Support Grant.

The difference between the total to be spent, and the money paid by the Scottish Government is met by local residents from Fees & Charges and Council Tax.

2014/15 2015/16 2016/17 2017/18 2018/19£m £m £m £m £m

Revenue Support Grant 315.3 315.3 315.3 315.3 315.3

Business Rates 81.3 81.3 81.3 81.3 81.3

Fees & Charges 39.3 40.3 41.1 42.0 42.9

Council Tax 121.1 122.6 125.1 126.3 127.6

557.0 559.5 562.8 564.9 567.1

Actual Data in rela-tion to government funding for 2015/16, 2016/17, 2017/18 and 2018/19 has not been issued by the Scottish Government.

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THE 2014/19 REVENUE BUDGETS

The aim of the Council’s five year Revenue Budget is to provide a clear basis for forward planning. Firm figures for grants have been issued and Council Tax calculated for 2014/15.

The total gross expenditure for 2014/15 is £557m, an increase of 1.3% compared to 2013/14. Government Grants and Business Rates of £396.6m finance 71% of this total. The Council Tax payers’ contribu-tion is £121.1m. Assuming a 98½% collection rate, this gives a Band D equivalent Council Tax of £1,141.

An overview of the position is shown below:-

2013/14 REVENUE BUDGET

2014/15 2015/16 2016/17 2017/18 2018/19

£m £m £m £m £m

Gross Expenditure 557.0 559.5 562.8 564.9 567.1

Aggregate Ext Finance (396.6) (396.6) (396.6) (396.6) (396.6)

Fees & Charges (39.3) (40.3) (41.1) (42.0) (42.9)

Council Tax 121.1 122.6 125.1 126.3 127.6

Council Tax (Band D) £1,141 * * * *

* not available

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2014/15 REVENUE BUDGET

Council Tax

The Band D Council Tax for 2014/15 is £1,141 and the 2013/14 figure of £1,141 represents a 0% increase from the previous financial year.

The Band D wastewater and domestic water charges of £410.85 set by Scottish Water for 2014/15 has increased by 1.6% since 2013/14.

The overall increase at tax payer level is 0.4%.

The number of Band D equivalent properties in 2014/15is estimated to be 107,788.

The expected collection rate is 98½%.

Each £1 of Council Tax raises about £100,000.

Band £ £ £

A 0 - 27,000 760.67

B 27,001 - 35,000 887.44

C 35,001 - 45,000 1,014.22

D 45,001 - 58,000 1,141.00

E 58,001 - 80,000 1,394.56

F 80,001 - 106,000 1,648.11

G 106,001 - 212,000 1,901.67

H over 212,000 2,282.00

Business Rates 2013/14 2014/15

Rateable value up to £35,000 46.2p per £ 47.1p per £

Rateable value over £35,000 47.1p per £ 48.2p per £

Council Tax Reduction

Estimated number of CouncilTax Payers on Council Tax

Reduction12,160

Estimated value of Council Tax Reduction during 2014/15

£7,900,000

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2014/15 REVENUE BUDGET

Analysis of Budgeted Net Expenditure by Service

ServiceBudget £'000 %

Cost per Headof Population

£

Trading Activities (3,076) (0.6) (12.04)

Education, Learning & Leisure 302,622 56.1 1,184.43

Housing & Social Work 135,739 25.2 531.27

Infrastructure Services 101,600 18.9 397.65

Joint Board Requisitions and

Misc Services1,953 0.4 7.64

538,838 100.0 2,108.95

Adjustment for Capital Charges (21,104) (82.60)

517,734 2,026.35

Housing & Social Work 25.2%

Joint Board Requisitionsand Misc Services 0.4%

Infrastructure Services 18.9%

Trading Activities (0.6%)

Education, Learning & Leisure 56.1%

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2014/15 REVENUE BUDGET

Analysis of Budgeted Net Expenditure by Type

ServiceBudget £'000 %

Staff Costs 313,544 44.6

Premises Costs 41,985 6.0

Administration Costs 17,040 2.4

Transport Costs 41,950 6.0

Supplies & Services 114,244 16.2

Third Party Payments 139,631 19.9

Operating Costs 5,077 0.7

Capital Charges 29,785 4.2

703,256 100.0

Deduct:

Income - Fees & Charges (39,308)

Transfer payments (146,214)

Net Expenditure 517,734

Financed by:

Government Grants 315,284 60.9

Non-Domestic Rates 81,309 15.7

Council Tax 121,141 23.4

517,734 100.0

Third Party Payments 19.9%

Supplies & Services 16.2%

Transport Costs 6.0%

Premises Costs 6.0%

Administration Costs 2.4%

Staff Costs 44.6%

Capital Charges 4.2%

Operating Costs 0.7%

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COUNCIL TAX LEVELS IN SCOTLAND

Band D Charges 2013/14 £

2014/15 £

SCOTTISH MAINLAND COUNCILS

Aberdeen City 1,230 1,230

Aberdeenshire 1,141 1,141

Angus 1,072 1,072

Argyll & Bute 1,178 1,178

Clackmannanshire 1,148 1,148

Dumfries & Galloway 1,049 1,049

Dundee City 1,211 1,211

East Ayrshire 1,189 1,189

East Dunbartonshire 1,142 1,142

East Lothian 1,118 1,118

East Renfrewshire 1,126 1,126

Edinburgh (City of) 1,169 1,169

Falkirk 1,070 1,070

Fife 1,118 1,118

Glasgow City 1,213 1,213

Highland 1,163 1,163

Inverclyde 1,198 1,198

Midlothian 1,210 1,210

Moray 1,135 1,135

North Ayrshire 1,152 1,152

North Lanarkshire 1,098 1,098

Perth & Kinross 1,158 1,158

Renfrewshire 1,165 1,165

Scottish Borders 1,084 1,084

South Ayrshire 1,154 1,154

South Lanarkshire 1,101 1,101

Stirling 1,197 1,197

West Dunbartonshire 1,163 1,163

West Lothian 1,128 1,128

SCOTTISH ISLAND COUNCILS

Eilean Siar (Western Isles) 1,024 1,024

Shetland 1,053 1,053

Orkney 1,037 1,037

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HOUSING REVENUE ACCOUNT (HRA)

HRA Summary Budget 2014/15

ServiceBudget £'000 %

Staff Costs 8,747 21.8

Premises Costs 17,038 42.5

Administration Costs 3,952 9.9

Transport Costs 235 0.6

Supplies & Services 1,406 3.5

Third Party Payments 820 2.0

Capital Financing Costs 7,858 19.7

40,056 100.0

Total Expenditure 40,056

Total Income (52,566)

Surplus (12,510)

Improvement Fund

Opening Balance 0

Surplus Transferred (12,510)

Used to Fund Capital Programme 12,510

Closing Balance 0

Premises Costs 42.5%

Staff Costs 21.8%

Capital Financing Costs 19.7%

Administration Costs 9.9%

Third Party Payments 2.0%

Supplies & Services 3.5%

Transport Costs 0.6%

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CAPITAL BUDGET 2014/15

ALL SERVICES(Excluding Housing Revenue Account) £'000

Fleet Vehicles and Quarry Plant 5,715

Education, Learning & Leisure 68,710

HR&OD & ICT 11,987

Planning & Environmental Services 4,671

Housing & Social Work 13,949

Transportation & Infrastructure 53,649

158,681

Financed By:

Borrowing 99,815

Capital Grant 45,639

Capital Receipts 1,793

Capital Financed from Current Revenue 11,434

158,681

HOUSING REVENUE ACCOUNT £'000

Expenditure on Public Housing 46,178

Financed by:

Capital Financed from Current Revenue 12,510

Usuable Capital Receipts 11,878

Borrowing 21,790

46,178

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STAFFING STATISTICS

Budgeted Number for 2014/15 (full time equivalent)

Service No. %

Education, Learning & Leisure

5,018 48.7

Housing & Social Work

Social Work 1,963 19.1

Housing 474 4.6

Planning & Environmental Services

Planning 181 1.8

Environmental Services 480 4.7

Transportation & Infrastructure

Transportation & Roads 242 2.4

Operations 564 5.5

Property 147 1.4

Economic Development 48 0.5

Landscape Services 20 0.2

Chief Executive

Chief Executive 50 0.5

Corporate Services

Corporate Services Directorate 24 0.2

Finance 220 2.1

Information & Communication Technology

174 1.7

Legal & Governance 83 0.8

Human Resources &

Organisational Development131 1.3

Councillors Support 5 0.0

Customer Services 40 0.4

Communications 11 0.1

Corporate Improvement 20 0.2

Graphic Design 7 0.1

Internal Audit 11 0.1

Printing 22 0.2

Office Accommodation 352 3.4

10,287 100.0

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ABERDEENSHIRE SERVICES

Education Schools/Centres Pupils Teachers

(FTE)Nursery 84 4,183 107.32

Primary 150 19,924 1,245.06

Secondary 17 14,295 1,151.62

Special Schools 4 243 53.10

Additional Support Needs Teachers 342.23

Community Centres 17

Recreation

Leisure Centres 12

Swimming Pools 14

Ski Facilities 2

Museums 6

Heritage Centres 1

Libraries 32

Libraries - Mobile 4

Housing

No. of Council Houses 12,966

Average Weekly Rent (2013/14) £60.19

Average Weekly Rent (2014/15) £62.90

Sheltered Houses 1,537

Number of Tenants receiving Housing Benefits

Council 5,994

Housing Association 2,139

Private Landlord 1,937

Social WorkNo. of

CentresNo. ofPlaces

Children's Homes 3 16

Day Centres - Older People 19 870 person places per week

Day Centres - Adults with disabilities 7 2,500 person places per week

Care Homes - Older People 8 263 registered capacity

Homes - Adults with disabilities 1 13 registered capacity

Family Centres 10

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ABERDEENSHIRE SERVICES

Planning & Environmental Services

Refuse collection - No. of properties served 116,266

Consumers/Traders enquiries 1,640

Premises with private water supply 11,019

Weights & Measures - Instrument Testing 4,400

Health & Safety - Premises Inspected 331

Animal Welfare - Farm Animal Holdings 7,843

Stray dogs uplifted 283

Food premises inspected 701

Food poisoning notifications 565

Workplace Accidents investigated 52

Planning Applications registered 3,831

Planning appeals processed 91

Building Warrants registered 3,141

Completion Certificates issued 2,767

Sustainability

Energy - CO2 emissions from Council buildings 57,887 Tonnes

Household recycling / compositing tonnage rate 36%

Schools - Percentage of schools with an Eco-Schools Award 70%

Transportation & Infrastructure

Council Roads 3,400 Miles

Bridges 1,592

Miles of Footways 968

Car Parks 113

Street Lights 42,501

Harbours 7

Transportation

Bus Shelters 764

Taxi Cards 2,710

Supported Bus Services

Aberdeenshire Local 103

Registered School Transport Services 10

Property

Industrial Estates & Business Parks 48

Businesses supported with loans or grants 34

Burial Grounds & Cemeteries 229

Play Areas 446

Country Parks 4

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Aggregate External Finance (AEF)funding determined by Central Government and out with Council con-trol. Allocated to each local authority by the Scottish Government to help finance the cost of services, AEF comprises Revenue Support Grant, Business Rate Income and Ring Fenced Grants.

Base Budgetthe cost of existing policies/services, before growth or reductions, expressed at a specified price base.

Budgetquantifies in financial terms the policies of the authority; enables financial control to be exercised during the course of the financial year.

Capitalexpenditure on fixed assets which will be of use or benefit to the Council beyond the year of account. Expenditure can be capitalised if it leads to the creation of an asset, lengthens its useful life, increases market value, or the extent to which it can be used for the purposes of the Council. Normally financed from the sale of existing assets or by borrowing over a number of years.

Capital Budgetthe total cost of the capital projects which the Council propose to under-take in a specified financial year.

Capital Financed from Current Revenue (CFCR)expenditure from within the Revenue Budget which is used to finance capital additions, at the Council’s discretion.

Capital Planapproved by Policy & Resources Committee, the Plan is a five year rolling programme reflecting Council policy, area needs and available capital funding.

Capital Receiptsincome from the sale of capital assets or income from capital grants.

GLOSSARY OF FINANCIAL TERMS

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Corporate Managementinvolves all activities which Aberdeenshire Council engages in, over and above the provision of any single service, such as meetings of the Council and local election expenses.

Deficitthe shortfall of income compared with expenditure.

Financing Coststhe cost of financing assets, including loan repayments, interest charges, leasing charges and debt management expenses.

General Fundthe fund into which Revenue Support Grant, Business Rates and Council Tax are received and out of which revenue expenditure is met. Housing expenditure and house rents are excluded.

Grant Aided Expenditure (GAE)this is a figure that is calculated by the Scottish Government for each Council. It assesses the Council's "need to spend" in relative terms to other Councils.

GAE calculations are prepared by using the Client Group Approach, a systematic means of allocating pre-determined levels of expenditure equitably among authorities. The total relative GAE is the sum of the separate assessments for individual services. The GAE estimates for each authority is used by the Scottish Government in the allocation of Aggregate External Finance (AEF).

Gross Expenditurethe total cost of providing services before deducting income such as spe-cific grants, rents, fees, charges etc.

Housing Revenue Account (HRA)an entirely self-financing account, being met by rents from Council House tenants. It shows the expenditure and income associated with providing, managing and maintaining the authorities stock of public housing.

GLOSSARY OF FINANCIAL TERMS

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Revenue Expenditurethe day-by-day running costs of services.

Revenue Support Grant (RSG)received from the Government to help finance the cost of Council services.

Ring Fenced Grantsgrants from the Scottish Government that are directed to the provision of a particular service. The number of ring fenced grants has reduced from 1 April 2008.

Five-year Budgetingthe preparation of budget for five years, which allows the Council to plan ahead for more than one year and to see clearly the impact of decisions made in year one on years two, three, four and five.

Transfer Paymentsrelate to subsidies and contributions from other bodies such as Health Boards, and income from the Council’s trading activities.

Working Balancean amount held to meet any expenses which may fall due before the money to be received, in respect of Council Tax for the next financial year, will become available.

GLOSSARY OF FINANCIAL TERMS

Produced by Aberdeenshire Council | GDT22717 | June 2014