Years of underfunding of local services by the Scottish Government has forced councillors in Aberdeenshire to announce a 3% rise in Council Tax, according to North East MSP Mike Rumbles.
The move follows a decade long freeze imposed by the Scottish Government and a substantial fall in revenue for the Council which dropped from £429.6 million in 2009/10 to £412.8 million in 2018/19.
The block grant that the council receives from the Scottish Government is also among the lowest in the country. With Aberdeenshire only getting 88.5% of Scottish average AEF (Aggregate External Finance), per head of population. The 3% rise in Council Tax is expected to raise approximately £4 million for the council.
Mr Rumbles said: “Continued underfunding of our local services has forced this decision on the council. While the increase is a modest three percent, which is the rate of inflation, it is absolutely necessary to protect against the worst of the damage imposed by the Scottish Government.
“Everyone is fed up with this hopeless Scottish Government using the North East as a ‘cash cow’ and underfunding our services. I would not be surprised if Aberdeen City Council, which has a similarly abysmal deal from the Scottish Government, is also forced to increase its Council Tax this year.”
Deputy Leader of the Council Peter Argyle added: “I am disappointed that so many of our local MSPs supported this year’s Scottish Government budget, a budget that will have a real impact on the services we are able to deliver to their constituents.
"Our local finances have been cut in real terms every year for a decade, that is funding needed for our schools, roads and care services.
"At the same time we face significant budget pressures from inflation, a changing population demographic and ever-increasing demand for the services we provide. This year's budget has had to identify over £20 million in savings just to stand still, with further savings to meet the Scottish Government's cut to our grant.
“That is why we are proposing a modest three percent increase in Council Tax. The only alternative would have been a further £4 million of cuts to the services we provide.
“Every government, past and present, has used the North East to help fund services across the country. We have consistently been one of the worst funded local authority areas in Scotland. The squeeze cannot continue. It is time that the SNP Government gave us a fair share of public expenditure so we can deliver for the people of Aberdeenshire.”
ENDS
Notes for editors:
- Funding as a Percentage of Scottish Average 2018/19 (Per Finance Circular 5/2017 - Updated 23.01.18):
|
AUTHORITY |
AEF 2018/19 |
AEF per head as percentage of Scottish Average 2018/19 |
|
|
£ |
|
|
Aberdeen City |
317.358 |
79.38% |
|
Aberdeenshire |
403.767* |
88.53% |
|
Angus |
194.950 |
96.19% |
|
Argyll & Bute |
190.478 |
125.68% |
|
Clackmannanshire |
91.664 |
102.62% |
|
Dumfries & Galloway |
276.665 |
106.38% |
|
Dundee City |
285.866 |
110.84% |
|
East Ayrshire |
218.987 |
103.02% |
|
East Dunbartonshire |
178.944 |
95.66% |
|
East Lothian |
166.326 |
91.86% |
|
East Renfrewshire |
173.320 |
106.22% |
|
Edinburgh, City of |
693.635 |
78.63% |
|
Eilean Siar |
94.030 |
200.96% |
|
Falkirk |
269.373 |
97.17% |
|
Fife |
615.119 |
95.49% |
|
Glasgow City |
1,204.384 |
112.57% |
|
Highland |
431.947 |
105.77% |
|
Inverclyde |
159.688 |
115.97% |
|
Midlothian |
152.878 |
99.19% |
|
Moray |
153.602 |
91.92% |
|
North Ayrshire |
264.407 |
111.86% |
|
North Lanarkshire |
593.267 |
100.49% |
|
Orkney |
67.680 |
178.07% |
|
Perth & Kinross |
240.065 |
91.59% |
|
Renfrewshire |
299.518 |
97.88% |
|
Scottish Borders |
199.299 |
100.04% |
|
Shetland |
79.400 |
196.75% |
|
South Ayrshire |
194.410 |
99.37% |
|
South Lanarkshire |
541.676 |
98.21% |
|
Stirling |
161.707 |
99.16% |
|
West Dunbartonshire |
181.775 |
116.29% |
|
West Lothian |
304.946 |
97.33% |
|
|
|
|
|
Total Scotland |
9,401.131 |
100.00% |
*Additional Scottish Budget funding of Revenue Grant for 2018/19 is £9.039 million bringing the total to £412.806 million.
- 10 Year Funding Aberdeenshire Council:
|
Financial |
General |
Non-Domestic |
Ring-Fence |
|
|
Year |
Revenue |
Rates |
Grants |
Total |
|
|
£m |
£m |
£m |
£m |
|
2018-19 |
290.216 |
110.710 |
2.841 |
403.767* |
|
2017-18 |
308.956 |
95.828 |
4.940 |
409.724 |
|
2016-17 |
314.451 |
98.451 |
0.030 |
412.932 |
|
2015-16 |
325.154 |
95.217 |
0.037 |
420.408 |
|
2014-15 |
329.847 |
86.371 |
0.084 |
416.302 |
|
2013-14 |
335.743 |
78.947 |
0.084 |
414.774 |
|
2012-13 |
342.555 |
73.370 |
17.344 |
433.269 |
|
2011-12 |
344.117 |
68.670 |
17.143 |
429.930 |
|
2010-11 |
320.764 |
96.621 |
18.797 |
436.182 |
|
2009-10 |
307.646 |
100.659 |
21.330 |
429.635 |
|
|
3,219.449 |
904.844 |
82.630 |
4,206.923 |
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