Renfrewshire Council

Council budget

Managing Renfrewshire Council's finances over the next three years, what our council budget is, what we spend it on, the cost-of-living crisis, what we need to do, what happens next.

Managing Renfrewshire Council's finances over the next three years

 

This video explains our council budget, what we spend it on and what we need to do because of the cost-of-living crisis.


What our council budget is

Renfrewshire Council currently has a budget of £480m a year.

Almost 80% of our funding comes from the Scottish Government and 20% is raised through Council Tax.

The Council budget sets out our revenue and capital spending for the financial year, which runs from 1 April to 31 March.

Revenue is the day-to-day running costs to provide services and includes salary and wage costs, property costs, supplies and services, administration costs, interest payments and repayment of debts. Capital spending is what we spend on our council owned buildings and assets.

At the Council budget meeting, any increase to the rate of Council Tax and any increase to service charges and housing rent is also agreed.


What we spend it on

Two thirds of our budget is fixed and spent on children's and adult services including:

  • running our schools
  • looking after children and young people in care
  • supporting people with disabilities and mental health problems 
  • supporting and providing care for vulnerable older people.

The rest supports services for everyone, like waste collection, street cleaning and lighting, roads and parks, ensuring our neighbourhoods are safe, clean and green for everyone who lives, learns, plays and works here.

There's also dedicated spend on environment and infrastructure, which includes all our recycling, roads maintenance, street cleaning and towards the upkeep and maintenance of all council facilities.

We also provide funds for OneRen to operate the region's libraries, museums and sports facilities.

See the details of the Council budget for 2022 to 2023.


The cost-of-living crisis

As a council we have already reduced our annual spending by around £160 million by transforming services and by working smarter. 

The cost of services we provide, like household costs are increasingly significantly due to inflation, increased cost of materials, and rising energy and fuel costs.

This is at a time when more people will need our support and when the 80% funding from the Scottish government is not expected to increase.


What we need to do

Our budget needs to be reduced by £35m over the next three years.

As almost two thirds of our annual £480m budget is fixed, like schools and the social services, we will not reduce the budget in these areas.

We will have a much smaller budget of £175m each year to work with. This means we will have to review and change how we deliver public services and stop doing some things that we did before.

The decisions we make will be based on our values, fair, helpful, collaborative and learning, what communities have told us about the challenges you face, and the places and services important to you and your families. 


What happens next

We have a significant challenge ahead, but we will continue to work with communities and partners who help us deliver social change.

We are committed to protecting priority council services and supporting the most vulnerable people in Renfrewshire.