Western Isles council faces significant challenges
- Published
The Accounts Commission said Comhairle nan Eilean Siar was a strong advocate of the islands, but faces critical challenges
The Accounts Commission has raised concerns about staffing and "significant" financial challenges facing Comhairle nan Eilean Siar.
The watchdog said the council had responded well to the Covid pandemic and had improved education services while supporting the local economy.
But it warned the Western Isles' local authority did not have an effective financial strategy.
It also said depopulation was part of the comhairle's workforce challenges.
In a new report, external, the Accounts Commission said the council was a strong advocate of the Western Isles, and worked well with its partner organisations.
The public services watchdog also highlighted the local authority's work growing the local economy.
It said the comhairle supported the highest proportion of unemployed people into work in Scotland - at 21% compared with a national average of 6% for Scottish councils.
The Western Isles also has Scotland's second highest rate of start-up businesses supported by the national Business Gateway scheme, while the comhairle's Covid-19 economic recovery grant scheme was supporting existing and new businesses.
'Effective planning'
But the Accounts Commission warned of its concerns about the local authority's overall performance and challenges it faced.
It said there was not an effective medium or long term financial strategy in place and had only partly realised ambitions savings following a redesign of services.
The commission also said the comharlie had seen the largest decrease in funding in real terms of any Scottish local authority in recent years.
On staffing - the comhairle employs 1,600 full-time workers - the watchdog said the pay gap between male and female employees was the second largest of Scotland's 32 councils.
The report also had a warning that depopulation and difficulties recruiting staff were a "critical challenge" to sustaining services on the islands.
The commission said the comhairle should ensure it had the leadership capacity to fulfil its ambitious plans for the economy and repopulation.
Chairman William Moyes said: "The comhairle must urgently develop a prioritised action plan to address the serious issues it faces.
"It already has some of the elements it needs to make fundamental changes. It has an ambitious vision for the future and works well with communities and other partners."
He added: "But without clear strategic direction and leadership from its councillors, supported effectively by officers, as well as crucial effective financial and capital planning, it remains uncertain whether the comhairle can achieve the improvements it needs to make."
The council said it welcomed the report and was pleased there was acknowledgement of many successful initiatives. It also accepted it faced challenges.
Leader Paul Steele said: "No-one recognises more than the comhairle the challenges of depopulation, providing social care and tackling fuel poverty.
"We note the findings of the Accounts Commission and remain committed to working for our communities in a challenging financial climate exacerbated by Covid and Brexit."