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

Head of Legal and Monitoring Officer

Powys County Council
£90,347 – £98,135 per annum/y flwyddyn
We’re seeking an energetic, innovative, and inspirational leader to join our team at Powys County Council Powys
Recuriter: Powys County Council

Market Cleaner

Wyre Borough Council
Grade 1 £12.65 per hour
We are looking to recruit a reliable and trustworthy person to join the cleaning team at the Council’s famous Fleetwood Market. Poulton-Le-Fylde, Lancashire
Recuriter: Wyre Borough Council

Procurement Officer - 12 month FTC

Essex County Council
£29053.00 - £34180.00 per annum + + 26 Days Leave & Local Gov Pension
Procurement OfficerFixed Term, Full Time£29,053 to £34,180 per annumLocation
Recuriter: Essex County Council

Systems & Project Officer

Sandwell Metropolitan Borough Council
Band E, SCP 18-25 (£31,537 - £36,363 per annum)
We are seeking an organised and detail-focused System & Project Officer to provide systems and operational support Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council

Estate Caretaker

Sandwell Metropolitan Borough Council
£25,583 - £28,824
We are looking for Estate Caretakers. Sandwell, West Midlands
Recuriter: Sandwell Metropolitan Borough Council
Linkedin Banner