£144 million does not fully fund a council tax freeze, COSLA Resources Spokesperson Councillor Katie Hagmann has explained.
"Dissapoiningly the Scottish Budget has not provided our local authorities with a fully funded council tax freeze as expected. The Scottish Government has set aside £144m stating this will ‘fully fund’ a council tax freeze – this would only provide the income equivalent to a 5% rise.
However, Local Government’s core revenue budget was cut by £63m from the outset, essentially leaving just £81m compensation for a council tax freeze. As a result, Local Government is faced with the reality that the funding offered for a council tax freeze only equates to a 2.8% rise.
This significantly adds to the pressures faced by councils - a recent LGIU survey found that 83% of Scottish councils were looking at a minimum increase of 5%."