Funding deal for Edinburgh Council 'worst since devolution'

The leader of the City of Edinburgh Council said the proposed government funding deal for the authority is the worst since devolution.

Andrew Burns said the authority would get £37m less government cash to spend on local services.

BBC Scotland analysis suggested the total amount of government money going to Edinburgh would fall by £7m.

However, the total included the council's share of a national fund which must go to headteachers.

Edinburgh has not yet confirmed whether it will propose putting up the council tax by 3% for everyone to help make up for the loss of government money.

The council is expected to decide on cuts and savings in February.

Andrew Burns said the authority would get £37m less government cash to spend on local services

Mr Burns said in a blog: "As things stand at the moment, year-on-year, we've got some £37m less revenue from the Scottish government this year, than last, to spend on services.

"That's on top of recent, and recurring, revenue reductions all of which has led to the council having well over 1,300 less people in employment than two years ago.

"And this is all against a backdrop of the Scottish government actually receiving, year-on-year, more revenue this year than last, from the Westminster government.

"Yes, we're now allowed to raise council tax by up to 3%, and I welcome that flexibility being returned to local government, and yes, any additional monies from the adjusted E/F/G/H Council Tax bands will also remain with local government.

"I warmly welcome that, and want to thank Derek Mackay for actually listening to the arguments from councils on that specific point.

"But I cannot welcome a general revenue grant settlement for Edinburgh, that sees the funding received from the Scottish government being reduced, this year compared to last, by some £37m."

Additional sources of support

A Scottish government spokesman said: "The 2017-18 draft budget local government finance settlement figures, taken together with the opportunity to raise additional council tax, provide a package of measures that confer additional spending power to support local government services of £241 million or 2.3% based on the LG Finance settlement presentation.

"In addition to their core grant, councils will receive their share of £120m for schools, £107m for social care and £111m in additional revenue from reform of council tax bands.

"To compare the 2016-17 local government budget figure with the draft budget figure for 2017-18 is misleading as over £160m was added to the local government total between the draft and final budget stages in 2016-17.

"Such a comparison takes no account of the additional sources of support available to local government in 2017-18."