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

Senior/Principal Regeneration Officer

Fareham Borough Council
£45,465 - £55,379
Our town centre regeneration is moving from planning to delivery, and we're looking for someone who wants to help make regeneration happen. Fareham, Hampshire
Recuriter: Fareham Borough Council

Waste Enforcement Manager

London Borough of Richmond upon Thames and London Borough of Wandsworth
Salary From £50,484- £61,167 Depending on skills
Job Title-Waste Enforcement Ma... London, Wandsworth, United Kingdom
Recuriter: London Borough of Richmond upon Thames and London Borough of Wandsworth

Vocational Trainer - Beauty Therapy and Nails

Essex County Council
Up to £34668.0000 per annum
Vocational Trainer - Beauty Therapy and NailsPermanent, Part Time£34,668 per annum (full time equivalent)Location
Recuriter: Essex County Council

Vocational Trainer - Hairdressing

Essex County Council
Up to £34668.0000 per annum
Vocational Trainer - HairdressingPermanent, Part Time£34,668 per annum (full time equivalent)Location
Recuriter: Essex County Council

Vocational Trainer - Hairdressing

Essex County Council
Up to £34668.0000 per annum
Vocational Trainer - HairdressingPermanent, Part Time£34,668 per annum (full time equivalent)Location
Recuriter: Essex County Council
Linkedin Banner