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‘Real headache finding cash to pay for bypass’

‘Real headache finding cash to pay for bypass’

Aberdeenshire Council is struggling to source funds to pay back its share of the bill for the Aberdeen bypass, according to the local authority’s leader.

In an exclusive interview with the Press and Journal, Jim Gifford revealed that AWPR payments were the biggest budgeting issue his council faced.

While the budget has recovered this year after three consecutive underspends of more than £20million, Mr Gifford said that finding £75million to pay for the road was still a challenge.

Aberdeen City Council’s finance convener, Willie Young, says that his authority is also struggling and accused the government of moving the goalposts.

But Transport Scotland says that an agreement is in place between the Scottish Government and both Aberdeen City and Shire councils which allows the authorities to borrow up to £70million each for the project.

Mr Gifford said: “While the budget is looking much better than previous years the only uncertainty is the money for the AWPR.

“Last year we set £10million aside from the underspend because the money was available and we knew that we had to pay for the road. But we still don’t know where the other £65million will come from.

“The figure has risen so steeply from what was first agreed that it is difficult to budget for.”

Mr Young added: “We have all got problems finding our AWPR money – you can borrow all you want, but you still have to pay it back.

“In 2003 the figure both councils agreed to was £21million and that has spiralled out of control.

“What is worse is that councils in Fife and the central belt aren’t having to pay anything for the new Forth crossing.

“I think both councils should be lobbying the government as we are the lowest funded authorities in Scotland.

“We will be sitting down with the leader and deputy leader of Aberdeenshire Council next month and from that we will hopefully be contacting the government to look at the situation.”

A government spokes-man has said that the councils are getting a fair deal.

He said: “We are already meeting 81% of the costs of the northern and southern leg elements of the AWPR – both Aberdeen and Aberdeenshire Councils have previously agreed to contribute 9.5% each.

“The cost of the Fastlink section of the AWPR and the Balmedie to Tipperty project will be met entirely by the Scottish Government.

“Local government has been treated very fairly under the SNP administration despite the UK Government’s cuts to the Scottish Budget – and both Aberdeen and Aberdeenshire Councils continue to receive their fair share of this funding.”