News

Funding of £12.5 billion for local councils

Published: 20 Dec 2021 17:56

Support for vital public services.

Details have been published of how the £12.5 billion in Scottish Government funding for 2022/23 will be distributed to local authorities. 

The settlement represents a total cash increase of £917.9 million or 7.9%, which is the equivalent of a real terms rise of 5.1% to support vital local government services.

It includes a real terms increase in day-to-day revenue funding of 4.9%, compared with the 2021/22 draft budget.

In addition, The Scottish Government has responded to requests by councils for more financial flexibility by enabling them to make their own local decisions on council tax.

Finance Secretary Kate Forbes said:

“The 2022/23 Budget confirms that, even in the face of the economic uncertainty caused by the pandemic, we are providing councils with a real terms increase to their budgets for the coming year of more than 5%.

“Local authorities are key partners with government as we tackle the pandemic and protect our communities, businesses and public services. As we move forward, they will play an important leadership role in creating a greener, fairer and more prosperous Scotland.

“This settlement reflects that and includes protection to the core budget in cash terms, an extra £554 million for health and social care, £145 million for additional teachers and support staff and £94 million to support the expansion of free school meals.

“I have been clear that this Budget has required difficult choices. But I am determined that councils should be fairly funded within the limited resources we have available.”

Background

LOCAL GOVERNMENT FINANCE 2022-23: TOTAL REVENUE SUPPORT

 

2021-22

2022-23

Increase

Increase

Local Authority

£m

£m

£m

%

Aberdeen City

376.0

390.6

14.7

3.9

Aberdeenshire

479.2

499.6

20.4

4.3

Angus

226.9

237.9

11.0

4.8

Argyll & Bute

213.3

219.7

6.4

3.0

Clackmannanshire

105.7

110.2

4.5

4.2

Dumfries & Galloway

314.6

329.0

14.4

4.6

Dundee City

327.7

338.0

10.2

3.1

East Ayrshire

256.9

268.7

11.8

4.6

East Dunbartonshire

208.0

217.7

9.7

4.7

East Lothian

194.7

203.6

8.9

4.5

East Renfrewshire

196.1

205.5

9.4

4.8

Edinburgh, City of

831.9

872.9

41.1

4.9

Eilean Siar

101.6

103.7

2.1

2.1

Falkirk

315.7

327.6

11.9

3.8

Fife

725.3

760.8

35.5

4.9

Glasgow City

1,362.9

1,407.9

44.9

3.3

Highland

506.3

523.6

17.3

3.4

Inverclyde

181.9

187.8

5.9

3.3

Midlothian

183.7

190.3

6.6

3.6

Moray

180.2

188.9

8.8

4.9

North Ayrshire

303.9

314.5

10.6

3.5

North Lanarkshire

691.2

719.4

28.2

4.1

Orkney

82.7

83.9

1.2

1.5

Perth & Kinross

281.3

294.8

13.5

4.8

Renfrewshire

351.2

365.2

13.9

4.0

Scottish Borders

233.2

243.0

9.8

4.2

Shetland

97.3

98.8

1.6

1.6

South Ayrshire

223.7

235.8

12.1

5.4

South Lanarkshire

625.8

651.9

26.1

4.2

Stirling

188.7

196.1

7.4

3.9

West Dunbartonshire

207.4

213.5

6.1

2.9

West Lothian

353.3

369.7

16.4

4.6

Undistributed

115.1

482.9

367.8

319.4

Scotland

11,043.4

11,853.6

810.2

7.3

This publication starts the formal consultation period on the 2022/23 local government settlement. The final allocations will be published following approval by the Scottish Parliament.

Full details of the provisional allocations, including capital allocations, were published today in the Local Government Finance Circular 9/21