Martin Ford 10 March 2022

Uncertain future for Scottish councils' finances

Uncertain future for Scottish councils finances image
Image: Becky Stares / Shutterstock.com

Councils in Scotland face an uncertain future, according to a financial watchdog.

A report by the Accounts Commission found that while local authorities have bolstered their reserves over the past year overall funding has fallen in the longer-term as the sector prepares to address challenges.

Accounts Commission chair, William Moyes, said: ‘Councils face serious challenges, driven by financial constraints, increasing demands on service and resource.’

The commission’s overview of local government finances in Scotland during 2020-21 found total funding and income increased by 10% to reach £1.8bn.

However, excluding Scottish Government funding to deal with the COVID-19 pandemic, councils have had their funding reduced in real terms by 4.2% since 2013-14.

The Accounts Commission highlighted issues around ring-fencing restricting local authorities’ ability to respond to emerging pressures.

The report highlighted challenges on the horizon beyond COVID-19, including pre-existing cost and demand pressures, delivering net-zero ambitions, improving economic growth, and tackling child poverty.

Mr Moyes said uncertainty around funding needed to be resolved to allow councils to revise long-term financial plans.

He added: ‘While councils must address longer-term financial planning, having in place funding certainty, beyond a one-year settlement from the Scottish Government, remains a critical issue.’

SIGN UP
For your free daily news bulletin
Highways jobs

Chief Quality Officer

Alternative Futures Group
£150,892 plus car allowance (£8,153-£10,192)
At Alternative Futures Group, we believe quality is not measured by processes alone. It is measured by the difference we make to people's lives. Hybrid / North West
Recuriter: Alternative Futures Group

Procurement Assistant Manager - Part Time

Essex County Council
£24681.0000 - £29037.0000 per annum
Procurement Assistant ManagerFixed Term, up to 18 months (March 2028) Part Time, 25 hours per weekUp to £ 29,037 per annum pro-rata Location
Recuriter: Essex County Council

Procurement Assistant Manager - Full Time

Essex County Council
£36529.00 - £42976.0000 per annum
Procurement Assistant Manager - Full TimeFixed Term, up to 18 Months (March 2028) Full Time, 37 Hours Per WeekUp to £42,976 per annum plus Flexible Wo England, Essex, Chelmsford
Recuriter: Essex County Council

Youth Justice Practitioner

Essex County Council
£38487.0000 - £51834.0000 per annum
Please note that visa sponsorship is not available for this role. Applicants must have a current, unrestricted right to work in the UK.Here in Essex, England, Essex, Epping
Recuriter: Essex County Council

Part Time Learning Support Assistant

Essex County Council
Up to £25959.00 per annum + Pro Rata
Part Time Learning Support AssistantPermanent, Part Time£25,959 Per Annum, Full Time EquivalentLocation
Recuriter: Essex County Council
Linkedin Banner