Cash increase for South Ayrshire Council

Dec 19 2008 by Cheryl McEvoy

SOUTH Ayrshire Council will receive a 4.9 per cent increase in funding from the Scottish Government next year.

MSP Adam Ingram revealed that the council will share in a £11.7 billion funding boost to public services.

He says that the cash will be used to help fund free personal care, police, fire services and teachers pensions.

And the SNP politician explained that £70 million will also be available to freeze council tax for the second year in a row.

He said: “I warmly welcome the news that South Ayrshire council will receive a 4.9 per cent increase in funding next year.

“The Scottish Government has removed unnecessary and restrictive ring-fencing and given councils greater freedom and flexibility to do their jobs while increasing the proportion of the Scottish Government's overall budget going to local government and this trend will continue with an increase in funding to £11.7 billion.”

Accounting rules will also be amended to ensure that no council has to make provision in their 2009/10 budget for lost deposits with Icelandic banks.

South Ayrshire had £5 million deposited by Landsbanki when it went bust.

This change will give councils time to adjust their financial plans once the position on recovering the money is clearer.