Executive Summary
This proposal outlines the projected revenue and expenditure for the Product Engineering Division for the financial year ending 31 March 2027. Following strong performance in FY 2025/26, the division is seeking approval for an 18% increase in operating budget to accelerate product development, expand the engineering team, and invest in cloud infrastructure to support anticipated customer growth of 35%.
The net surplus projection of £412,000 reflects disciplined cost management alongside planned investment in headcount and tooling. All figures are presented in GBP and have been reviewed by the CFO.
Revenue Projections
| Revenue Stream |
Description |
Amount |
| SaaS Subscriptions |
Recurring licence revenue — existing & new customers |
£2,800,000 |
| Professional Services |
Implementation, training, and consultancy |
£480,000 |
| Marketplace Add-ons |
Third-party integrations and premium modules |
£165,000 |
| Support Contracts |
Priority and enterprise support tiers |
£95,000 |
Expense Breakdown
| Category |
Description |
Amount |
| Headcount |
Salaries, NI, and pension — 34 FTEs (incl. 4 new hires) |
£1,980,000 |
| Cloud Infrastructure |
AWS hosting, storage, and data services |
£420,000 |
| Software & Tooling |
Dev tools, SaaS licences, security platforms |
£215,000 |
| Marketing |
Demand generation, events, content production |
£180,000 |
| T&E |
Business travel, client entertainment, conferences |
£88,000 |
| Contingency |
5% operational reserve |
£165,000 |
| Total Expenses: | £3,048,000 |
| Net Surplus / (Deficit): | £492,000 |
Assumptions
1. Revenue growth of 35% year-on-year is based on confirmed pipeline and contracted renewals constituting 72% of the total revenue target.
2. Four engineering hires are assumed to be on-boarded by Q1 FY 2026/27; salaries reflect current market rates for mid-senior software engineers in the UK.
3. AWS costs include a committed-use discount of 18% negotiated under the existing enterprise agreement.
4. All figures exclude capital expenditure, which is budgeted separately under the IT CapEx programme.
5. Exchange rate risk on USD-denominated tooling licences is hedged at the treasury level and not reflected here.
Approval
Approver Name: Jonathan Crestwood
Approver Title: Chief Financial Officer