City set to lose £48 million a year after tax changes

MSP Willie Rennie. Picture; Toby Williams
MSP Willie Rennie. Picture; Toby Williams
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EDINBURGH is set to lose £48 million a year thanks to changes in council tax, Liberal Democrats have claimed.

The Scottish Government is increasing tax rates for more expensive homes, but the £100m raised across Scotland as a result will be directed straight to schools.

The Lib Dems compared the amount expected to be generated in each council area with pupils’ eligibility for free school meals – the measure ministers say they will use to redistribute the cash.

Party leader Willie Rennie said: “This analysis shows Edinburgh residents are to be hit by a £78m tax hike but just £30m of it could come back to improve schools in the Capital.

“These new figures end any pretence that local taxation is for local services.

“The SNP is intent on strengthening its stranglehold on local government, forcing councils to collect more tax and hand it straight to ministers 
to spend elsewhere in the country.

“People rightly expect their council tax to go towards delivering local services.

“They will be outraged the Scottish Government, too timid to increase the taxes it directly controls, is demanding local authorities do the dirty work so it can be seen spending the cash.”