Scottish police face £85m funding gap, warns Audit Scotland

Scottish policing faces a potential funding gap of £85m by 2018-19, Audit Scotland has warned.

The financial watchdog said it is now “critical” Police Scotland and the Scottish Police Authority (SPA) develop a long-term financial strategy.

It comes more than two years on from the Auditor General Caroline Gardner first calling for a strategy to be put in place.

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The Audit Scotland report coincides with the HM Inspector of Constabulary in Scotland (HMICS) warning that the current staffing situation within the single service is “not sustainable” . 

Finance Secretary John Swinney confirmed earlier this week that Police Scotland would receive additional “transformation funding” to the tune of £55m next year.

Swinney, who was unveiling his draft budget for 2016-17, also vowed to protect the frontline policing budget in real terms for the duration of the next parliament, equivalent to £100m over five years.

However, an assumed one per cent real terms budget increase for every year through to 2020-21 could still see a funding gap of over £80m emerge by 2018-19 “unless additional savings are made”, declared Audit Scotland.

The watchdog said incomplete records and poor financial management delayed an audit of the SPA’s accounts and “substantial corrections” were needed before completion.

Gardner said: “Police Scotland is one of our largest and most important public bodies. I first reported on the need for a long-term financial strategy for the service in November 2013.

“What was once important has now become critical, given the scale of the challenges ahead.

“The Scottish Police Authority and Police Scotland must collectively provide stronger leadership in strategic and operational financial management. This is essential if they are to deliver effective modern policing for the public and ensure their long-term financial sustainability.”

The SPA intends to approve a financial strategy covering the period to 2025/26 by the end of March.

The Scottish Government confirmed on Wednesday that it will maintain police officer numbers above 17,234 in 2016-17, despite pressure to review the 1,000 extra officers policy, which dates back to 2007.

HMICS said the commitment is a welcome one, but “can only remain effective and efficient” whilst officers continue to perform operational policing roles.  

“In the absence of a long term vision of policing, a wider workforce strategy and a clear financial strategy, there is a real risk that financial savings will continue to focus primarily on reducing police staff,” said Penman.

“Through our various inspections, I have observed the reduction in skilled police staff, increases in overtime and increased use of police officers in corporate functions and other settings, including projects.

“This is not sustainable in the medium to longer term and there is a need to accelerate the development of a wider workforce strategy that articulates the optimum balance of police officers and police staff needed to deliver the policing of Scotland within a balanced budget.”

Officers and staff remain strongly committed to providing a good service to communities across Scotland “in often challenging circumstances”, he added.

Meanwhile, Penman suggested that Scotland’s historic low in recorded crime is unlikely to continue as Police Scotland improves its approach to cyber crime.