Councillor Jack Cruickshanks (Angus Council) and Councillor Dennis Leask (Shetland Islands Council).

There were no declarations of interest or transparency statements intimated prior to the commencement of the meeting.

There was submitted the Minute of the meeting of the Executive Sub-committee held on 22 August 2025.

DECIDED: That the Minute be approved.

Under reference to item 4 of the Minute of the meeting of the Joint Committee held on 20 June 2025, there was submitted a report by the Treasurer relative to the Annual Audit Report on the Annual Accounts 2024/25. The findings of the appointed auditor, Azets, were presented in the Annual Audit Report, which formed Appendix 1 to the report. The Audited Annual Accounts 2024/25 formed Appendix 2 to the report.

DECIDED: 

(a) That the findings of the 2024/25 audit as contained in the external auditor's Annual Audit Report, attached as Appendix 1 of the report, be noted; and

(b) That the Scotland Excel 2024/25 Audited Annual Accounts, attached as Appendix 2 of the report, be approved for signature.

There was submitted a report by the Chief Executive of Scotland Excel relative to Scotland Excel’s response to the Scottish Government consultation on ‘Financial transparency and profit limitation in children’s residential care’, a copy of which was appended to the report.

Members provided feedback in relation to several points in the draft consultation response, feedback included: highlight the need for a proportional approach and change activity to be carefully considered and phased; strengthen points around ensuring activity in this area adds value and the work is not disproportionate to the value added; strengthen points around resource implications for all in the sector as well as the potential need for highly specialist accountancy input; highlight difficulties in achieving comparable data (and link to disproportionate effort point); emphasise the risk of provider withdrawal and potential detrimental impact on young people; Include the need to consider debt repayment; highlight need for clear definitions (profit, surplus, normal operating costs, excess profit); and expand point on potential complexity related to inter-company charges.

DECIDED: 

(a) That the proposed approach to the consultation response, as set out in the report, be agreed; and

(b) That the feedback provided in relation to the draft response be noted and the final version of the consultation response be updated to reflect the points discussed.

There was submitted a report by the Chief Executive of Scotland Excel relative to supporting employee attendance and highlighting the absence rate in the organisation and the support mechanisms implemented to support staff members. The report intimated that Scotland Excel worked to an absence rate of below 4% and provided detail on the latest absence figures for the 12-month period to July 2025 which showed an average rate of 2.4%. 

DECIDED: That the contents of the report be noted.

DECIDED: That it be noted that the next meeting of the Executive Sub-committee would be held at 9.30 am on 24 October 2025.