South Ayrshire agrees Council Tax increase as last local authority sets budget

south-ayrshire-councilSouth Ayrshire Council has become the last local authority in Scotland to agree its budget for the year ahead and the 21st to approve a three per cent rise in Council Tax.

The decision to increase Council Tax was taken as councillors agreed a revenue budget of £192 million – as well as a delegated budget of £69m for the South Ayrshire Health and Social Care Partnership – for 2017/18 and a six-year capital investment programme of £145m for 2017/18-2022/23.

The £69 million delegated to the Integrated Joint Board (which is responsible for allocating the Partnership’s budget) includes an extra £1.5 million for health and social care in recognition of the pressure and demand for services.

Councillors also agreed funding to create a dedicated £1m Change Fund that will be invested in health and social care improvement projects, which will help some of the most vulnerable people in local communities.

An extra £1m has been allocated to the Invest South Ayrshire programme, which is designed to attract businesses and jobs to the area, helping local people and the local economy. In addition, councillors approved £500,000 to support the continued development of the Ayrshire Growth Deal.

To deliver benefits right at the heart of communities, the council agreed to invest more than £80,000 in each of the six ‘localities’ in South Ayrshire to be used as part of the successful participatory budgeting programme, which allows local people to determine where funding goes at a local level.

Councillor Bill McIntosh, leader of South Ayrshire Council, said: “In the final budget from this Council, I’m very proud that – despite the savage cuts from the Scottish Government – we have delivered a balanced budget that continues to invest in our people and communities. This is all down to the prudent financial management we have shown over the past five years.

“The 2017/18 budget includes extra monies for health and social care, the economy, and participatory budgeting, which is a highly successful initiative that has well and truly empowered our communities and put them right at the heart of decision-making.

“We know how important public services are to our communities and we have worked hard to minimise the potential impact of any funding gap on service delivery – which is why we made the decision to plug more than £5m of the gap from our surplus reserves.

“It’s also why we’ve had no real choice but to raise Council Tax for the first time in a decade. This is not a decision we have taken lightly, but as a necessary response to the harsh cuts placed on us by the Scottish Government.

“Unfortunately, for some households, the relatively small increase agreed by the council today – which amounts to a rise of between 44p and £1.63 per week – is compounded by the national changes to the highest Council Tax bands, which we have no discretion to change.

“It’s never easy to balance the books, but the approach agreed today allows us to do this without cutting jobs and without the need to close down any services, which is certainly a positive. We know the financial challenges will continue for the next administration in the months and years ahead, but our careful and considered budgeting leaves this council on a sound footing for the future.”

Councillor John McDowall, depute leader of the council, added: “Local public services impact on everyone’s everyday lives and we have worked tirelessly to provide the best services possible with available resources. However, it’s become increasingly clear over the last five years that it’s local services that have had to face the brunt of cuts from Holyrood, and we have done everything we can to lessen that impact – including, today, raising the Council Tax.

“Our budget for 2017/18 is testament to our commitment to deliver for our communities. It’s using the money we have available in the best possible way to increase investment where it’s needed most and where it will deliver the biggest benefits.

“To that end, I’m especially pleased that, as well as increasing the base funding we provide to the Health and Social Care Partnership, we have created a dedicated Change Fund for health and social care. This makes £1m available to the Partnership – subject to successful investment proposals – to deliver innovative and transformational projects that make a real difference for people. This is an exciting initiative and it will be fascinating to see what comes out of it.

“Despite the major financial challenges we have faced – and we know there’s more to come – we have produced yet another efficient, effective and balanced budget that will make life better for our people and communities. We can all be proud of that.”

All 32 councils have now set their Council Tax rates for the following year:

Freeze:

  • Aberdeen City Council
  • Inverclyde Council
  • North Lanarkshire Council
  • Renfrewshire Council
  • South Lanarkshire Council
  • Stirling Council
  • West Dunbartonshire Council
  • West Lothian Council
  • 2% rise

    • Perth & Kinross Council
    • 2.5% rise:

      • Aberdeenshire Council
      • Dundee City Council
      • 3% rise:

        • Angus Council
        • Argyll & Bute Council
        • City of Edinburgh Council
        • Clackmannanshire Council
        • Comhairle Nan Eilean Siar (Western Isles) Council
        • Dumfries & Galloway Council
        • East Ayrshire Council
        • East Dunbartonshire Council
        • East Lothian Council
        • East Renfrewshire Council
        • Falkirk Council
        • Fife Council
        • Glasgow City Council
        • Highland Council
        • Midlothian Council
        • Moray Council
        • North Ayrshire Council
        • Orkney Islands Council
        • Scottish Borders Council
        • Shetland Islands Council
        • South Ayrshire Council
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