Local authorities in Scotland must urgently transform how they work if they are to ‘sustainably maintain services’, a public finance watchdog has said.
The Accounts Commission has warned local government is facing a funding gap of £585m next year, increasing to £780m by 2026-27.
In a new report, the watchdog acknowledges councils have been reforming how they deliver services, but emphasised the pace of transformation must increase.
‘The unprecedented financial and service demand pressures mean there is an urgent need for the local government sector to transform how it operates if it is to sustainably maintain services,’ the report states.
The commission called for more ‘effective collaboration’ across the sector and urged councils to ‘prioritise and urgently progress’ the delivery of local transformation plans.
Accounts Commission member Jennifer Henderson commented that councils had been transforming how they delivered services for years.
However, she added that growing demand and ongoing financial pressures meant councils must now move with ‘an ambition and pace’ not yet seen.
