This item was published during the term of a previous administration that ended in April 2007
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Finance Minister responds to council tax figures
12/02/2004
The stability of three-year budgets allows local authorities to plan ahead when setting council tax levels, Finanace and Public Services Minister Andy Kerr said today.
Most local authorities have now set their council tax levels for 2004-05 in line with, or less than, indicative figures announced last year, underlining the benefits of three year budgets.
The Executive is supporting this with an adjusted increase of 6.5 per cent in funding in 2004-05.
Mr Kerr emphasised that the Executive is determined to ensure council taxpayers enjoy improved delivery of public services in return for increased investment.
He said:
"The Executive is committed to the improved delivery of public services. Local government has a crucial role to play in delivering that goal - and that is why we have given local authorities the freedom, flexibility and funding to deliver this shared priority.
"Scottish local authorities will receive an adjusted increase of 6.5 per cent in funding in 2004-05. This settlement has ensured that local authorities set their council tax at levels similar to those announced provisionally last year.
"That is the biggest benefit of three year budgets - they give our councils financial stability and lets them plan ahead with certainty. The fact that most councils tax levels are similar to provisional figures shows that this system is working.
"The setting of council tax figures is a matter for local authorities, but the funding the Executive is giving local authorities should ensure they can meet the commitment they made to local people with their provisional figures. "I believe our councils are already making progress in improving public service delivery - but there is no doubt we can do better and drive up standards further. That has to be the prize for all local authorities.
"There has been considerable debate about council tax over the past few weeks but the end result of this is that the average rise in Scotland has been below five per cent.
"I am surprised that two councils have not managed to set their council tax in line with expectations. I respect the right of councils to make local decisions but I am interested, in order to ensure efficiency and value for money for local people, in why they went against national trends."