William Eichler 16 January 2023

Holyrood accused of ‘confusing’ council funding claims

Holyrood accused of ‘confusing’ council funding claims image
Image: jax10289 / Shutterstock.com.

Local authority leaders in Scotland have accused the Scottish government of ‘confusing’ the public over local government spending and called for ‘clarity and consistency’.

The local government body COSLA estimates that councils in Scotland require £1bn extra in real terms but instead have ended up with £38m from Holyrood.

In a recent report by the Accounts Commission, the Scottish government was quoted as saying there had been both real and cash terms increases of £2.2bn between 2013-14 and 2022-23.

In 2013-14, the local government funding settlement was worth £10.3bn. A decade later it was £12.5bn.

COSLA said that while this does equate to a £2.2bn cash increase, it is money that is ‘heavily ring fenced’ that cannot be spent on core services.

According to a COSLA spokesperson, this represents ‘a real terms cut’ as directed funding for core services and local priorities has stayed the same over the last decade while pressures on council budgets have increased.

COSLA’s resources spokesperson Cllr Katie Hagmann commented: ‘The reality of having the same amount of money this year as 10 years ago for core services is a real terms cut. As well as increasing costs, this money is also now required to deliver more services than it was 10 years ago – Scotland’s population has increased, the number of households has gone up, COVID has left a legacy of support needs for the most vulnerable and as people live longer, their care needs have become more complex. This is just a snapshot of the demands being faced by councils, not to mention inflation and energy costs.’

‘We owe it to our communities to be clear, consistent and transparent about the starting point and how much less, in reality, councils have to spend year on year on the services that our communities rely on,’ she added.

A Scottish government spokesperson said: 'The Scottish government’s settlements from the UK Government have suffered a decade of austerity with average real terms cuts of over 5%, equating to a loss of £18bn.

'Despite this, we have listened to councils and are increasing the resources available to local government by over £570m, a real terms increase of £160.6m or 1.3%.'

However, Cllr Hagmann said: 'For 2023-24, Scottish government has stated that councils have seen a "£570m increase in their budgets” but the reality is, that only £38m of this can go towards pressures such as inflation, pay and service demand with the rest for policy commitments that are already in the system, for example £100m to meet Real Living Wage commitments in social care.

'To put this into perspective, a 1% increase in pay across the Local Government workforces equates to around £100m. £38m will not go very far, especially when combined with energy price hikes, supporting the most vulnerable and our commitments to tackle the climate emergency.'

SIGN UP
For your free daily news bulletin
Highways jobs

Group Leader Plans & Environment M200

Charnwood Borough Council
Grade MGT5 (SCP 146-149) £57,869 - £62,052 + £4,000 Annual Market Supplement until 13 March 2028 (pay award pending)
Charnwood is a vibrant and exciting borough with a population of 183,000 located between the three cities of Leicester, Nottingham and Derby. Charnwood
Recuriter: Charnwood Borough Council

Project Manager

Durham County Council
£50,269 to £54,495 p.a. (Grade 14) Pay Award Pending
An exciting opportunity has arisen for a Project Manager to join the Digital Programme and Communities team. If you have extensive experience in lead Durham
Recuriter: Durham County Council

Education Welfare Officer

Durham County Council
£28,142 - £31,022 pro rata
Required from September 2026 We are looking for an Education Welfare Officer to work with our pastoral team. The objective of the team is to ensure t Durham
Recuriter: Durham County Council

Cook

Durham County Council
£24,796 - £25,185 pro rata
Permenant, part time required from 1 Septmeber 2026 32.5 hrs per week. The Governors of Evergreen Primary School are delighted to invite applications Newton Aycliffe
Recuriter: Durham County Council

Specialist Support Interpreter

Durham County Council
Grade 6 - £28,142 - £31,022 hourly rate on a pro-rata basis (Pay Award Pending)
The ESOL department is a busy area of DurhamLearn (part of Durham County Council’s Education and Skills department) delivering a range of educational Durham
Recuriter: Durham County Council
Linkedin Banner