Swinney’s budget branded ‘catastrophic’ for council jobs and services

John Swinney’s latest budget plans will be “catastrophic” for jobs and services in Scotland’s councils, local authority leaders have warned.

The Deputy First Minister has allocated £10.3 billion for local government as part of his spending plans for 2016.

The local government body Cosla said this amounted to a £350 million cut, with the group’s president David O’Neill saying: “Whatever way they spin it, this is an ‘austerity’ budget of straight political choice – how else could you describe a low spend, low tax budget that will cost 15,000 council jobs.”

He added: “Cosla got a very clear steer from council leaders this afternoon that the package of measures for local government is totally unacceptable.

“This is a budget that hits the council workforce in terms of job losses, it hits the child in care, it hits the elderly struggling with dementia and the vulnerable adults, all of whom solely rely on the support that only a council can provide.

“Make no mistake this is a budget that has been made in Scotland and imposed on Scottish local government. The 3.5% cut (£350 million) coming to us next year cannot be laid at Westminster’s door this time around as we all know that the Scottish Government got a cash increase.”

Mr O’Neill insisted: “A cut of 3.5% is catastrophic for jobs and services within Scottish local government because the harsh reality is that it actually translates to real job cuts that hit real families, in real communities throughout Scotland. Everyone will be hurt by this.

“This budget could only have been constructed by someone who has no responsibility for service delivery and who clearly does not understand the reality on the ground or the impact it will have on those struggling in Scotland.”

Mr Swinney said his budget “delivers a strong but challenging financial settlement for local government”.

He stated: “Despite ongoing cuts to our budget as a result of the UK Government’s continuing austerity programme, the Scottish Government has always treated local government very fairly, with settlements maintained on a like-for-like basis over 2012-16.

“So local government in Scotland starts from a healthy base compared to the position in England, where councils faced a real-terms cut in funding.”

The deal for next year will see a £250 million transfer of funds from the NHS to local authorities to improve social care.

“It will mean that fewer people need to go to hospital, but it will also ensure that where hospital is necessary, people will return home more quickly,” Mr Swinney said.

There will also be £88 million for authorities to maintain teacher numbers at the current level and £70 million to freeze council tax payments in Scotland for the ninth consecutive year.

The Deputy First Minister said: “Our funding proposal protects shared priorities and maintains pace of reform. I fully understand the pressures on local government budgets and we will consult with local government over the terms and implementation of the local government finance settlement.”

But Grahame Smith, the general secretary of the Scottish Trades Union Congress, warned: “The scale of cuts being imposed on local government will mean significant pain for vulnerable people who rely most on local services, not to mention the hard-pressed staff who provide them.”

Cameron Buchanan, of the Scottish Conservatives, accused the Deputy First Minister of a “devastating £300 million stealth cut to Scotland’s local communities”.

The Tory MSP said: “Faced with a choice between taking responsibility and passing the buck, the Finance Secretary has simply handed cuts to local government while protecting the SNP’s favourite election giveaways.

“Everything from schools, care homes and local roads are going to be hit by Mr Swinney’s axe to local councils. The situation certainly won’t be helped with the SNP announcing a council tax freeze for the ninth consecutive year.

“In one breath, the SNP complains about austerity from the UK Government. In the next, it then passes on huge cuts to local councils. It is classic SNP tactics: apportion blame, refuse to take responsibility and pass the buck on to someone else.”

Unison Scottish regional secretary Mike Kirby said: “Unison Scotland recognises that Tory austerity restricts the options available in the Spending Review.

“However, it’s unacceptable that local government is bearing the brunt of cuts yet again.

“We’re now in the eighth year of the council tax freeze that limits how they can respond. This can’t continue. We need to discuss how to fund council services properly as they play a crucial role in everyone’s health and well-being.”

The leader of Stirling Council, Johanna Boyd, said: “As a council providing vital services to some of society’s most vulnerable people in the face of ongoing financial constraints, this draft budget will come as a hammer blow to our communities and our staff.

“It is absolutely crucial that we have adequate funding to function and to continue to provide the services that our residents rely on every day, and we must now see real progress on an alternative funding model for local government.”

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