Extra funding dependent on council tax freeze, says Robison

Local authorities will only be able to access more than £60 million in extra funding if they implement the Scottish Government’s council tax freeze, the Deputy First Minister has said.

This week, Argyll and Bute Council became the first to go against the proposals from ministers, increasing the levy by 10%.

The vote on the issue took place the day after Shona Robison said £62.7 million more than initially planned would be made available to councils.

But she said on Friday that access to a share of the funding would be contingent on councils agreeing to implement the council tax freeze.

In a statement, Ms Robison said the Scottish Government was facing “difficult choices” on spending.

“I have written to Cosla to provide as much assurance as I can around any changes to funding which may result from the UK Government’s spring Budget.

“In addition to the £14 billion settlement for councils I set out in December, a further £62.7 million will be made available to them in 2024-25 subject to improved funding being confirmed through the spring Budget,” she said.

“This extra funding is conditional on councils agreeing to the council tax freeze, which remains a priority for the Scottish Government and would benefit council taxpayers across Scotland during the cost-of-living crisis.”

But the decision has caused anger among local authorities, which accused Ms Robison of interfering in their budget-setting processes.

Speaking following a meeting of council leaders on Friday, Katie Hagmann, the resources spokeswoman for local authority body Cosla, said: “Council leaders were absolutely clear today that it is not appropriate for Scottish Government ministers to interfere in the democratic decision-making of councils.

“Leaders also reaffirmed in the strongest possible terms the principle that it should be for individual local authorities to set their own level of council tax without sanction or financial detriment imposed by Scottish Government.

“Leaders were clear that given the financial situation in which councils find themselves as a result of the proposed Scottish Budget, recurring penalties in relation to setting council tax levels should not be applied.”

Ms Hagmann also said she was seeking assurance from the Scottish Government there would be no more council tax freezes for the rest of the parliamentary session.

On Thursday, Ms Robison said she hoped Argyll and Bute Council would reconsider its decision.