A 10% council tax rise for Argyll and Bute is being considered, administration councillors have admitted.
The Argyll Lomond and Isles Group (TALIG) has made the decision in the face of “enormous” challenges relating to the budget, which the council will set next month.
Any council tax rise would be at odds with the pledge made by Scottish First Minister Humza Yousaf in October that the charge would be frozen across Scotland.
But in a statement issued to the Local Democracy Reporting Service, TALIG councillors say they have been left with no choice but to consider the increase.
The ruling group is made up of Conservatives and Liberal Democrats along with some independent councillors.
Gary Mulvaney, the policy lead for finance and commercial services, said: “The council revenue budget has seen over £70m of cuts since 2010.
“As it stands today, we still look over the precipice, with over a £20m revenue gap projected in the next few years.
“In addition, the capital funding from the SNP Government has significantly reduced over the years and as a result of this and pressures outwith our control we are now faced with a current capital gap in excess of £20m.
“Meeting as a group last weekend it was clear to us that the funding being offered by the Scottish Government to freeze council tax this year was inadequate.
“The Scottish Government speak of increases, but when you look at the detail and do the calculations, there are cuts, plain and simple. No amount of SNP spin can disguise that.
“Faced once again with unpalatable options for a balanced budget this year and with a need to think about next year too, we reluctantly considered that a council tax rise of 10% would be needed to protect the services people in Argyll and Bute rely on.”
Council leader Robin Currie said there had been ‘real anger’ over the announcement of a council tax freeze at the SNP’s party conference last year
“This shows a Scottish Government turning their backs on the Verity House agreement, which only a few months ago gave the promise of respect for local accountability and decision-making,” he added.
“As an administration we will continue to work with COSLA (Convention of Scottish Local Authorities) to press the Scottish Government for fair funding to save our services.
“However, with the current offer we will have no choice but to consider increasing council tax by 10%.
“This is not a position I want, as I recognise there are huge pressure on household finances at this time.
“I would encourage people to seek advice to make sure they receive any council tax reductions they may be entitled to.
“In addition, it may be possible to pay council tax over 12 months instead of 10 which could also help by giving a consistent lower payment each month to budget for.
“I know that a council tax rise will affect people across Argyll and Bute, but the buck for this rests well and truly with the Scottish Government. They have consistently failed to deliver the resources needed for the services run by councils, and this is the result.
“The alternative to not increase council tax would mean drastic cuts to many of the council services, indeed getting rid of some services altogether and I don’t think that is something our communities want.”
The council is due to set its budget on Thursday, February 22. Information is expected in the build-up to that meeting about what other service cuts and changes, if any, will be considered.
The Scottish Government has been contacted for comment.
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