More council cutbacks to cover costs - John McLellan
All Scottish councils face a massive budget problem with an Accounts Commission report last May estimating the cumulative total “budget gap” between revenue and expenditure for the 32 authorities will be around £780 million by 2026/27.
In Edinburgh it’s expected to be £29.8m next year and £18.4m in 2026/27, a cumulative total of £48.2m.
This is by no means the worst position, but given gaps of this size can’t possibly be bridged by council tax rises, there are only three ways to cover costs; savings, eating into reserves and increasing other revenues. It explains Edinburgh’s enthusiasm for the tourist tax, but don’t expect to see the benefit in your council xax bill.
Budgets have been largely balanced through savings, and this year Edinburgh’s corporate services directorate “back of house” costs is expected to deliver just over £1m of cutbacks, and a report to today’s finance committee explains it should achieve a reduction of £769,000.
But what about the rest? The report reveals that the so-called redeployment pool – staff whose jobs have been made redundant, but the council can’t lay off – is costing £238,000. A different report reveals this is ten individuals who are essentially being paid to do nothing because of the no compulsory redundancy policy.
Euphemistically, this is referred to as a “budget pressure” but which the rest of us would know as a waste of money. Remember this when your Council Tax soars, your parking permit or garden bin charge rises or your local library closes.