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Council claim £400million of government funding missing over five years

The note which will be distributed
The note which will be distributed

Aberdeen has been “plundered” of nearly £400million of Scottish Government funds over the past five years, according to new council figures.

The ruling Labour group has calculated that if the Scottish average funding had been allocated then the local authority would have an extra £396million- enough for around 24 primary schools.

The party, currently in the midst of its local election campaign, last night claimed a new funding formula was needed.

It plans on distributing bank notes touting the £400million figure, Nicola Sturgeon and a “promise to plunder” around Aberdeen ahead of the vote on May 4.

The figure has been arrived from the Scottish average funding level of £1,788 per head versus the Aberdeen average which is £1,440 per head.

Party financiers have then multiplied the additional £348 by the 228,000 population of the city, and then multiplied again by the five years of the Labour-led administration to arrive at nearly £400million.

This year the council has received around £101million in general revenue funding, the main monies given by the Scottish Government to council, while Dundee received more than £212million.

The Scottish average is £207million.

Council finance convener Willie Young said the city may not have needed to add to the council’s long term debt – set to hit £1billion – with the extra funds.

He said: “We have figured out that these extra funds would have allowed us to build the new conference centre without borrowing or build the equivalent of 24 primary schools.

“We believe that Aberdeen deserves at least the Scottish average.

“I think this shocking figure will really show what the Scottish Government thinks about Aberdeen.”

But SNP group leader Stephen Flynn said: “It’s fascinating to see that Labour are still relying on Willie Young’s calculator to make sweeping statements on funding – none of which notes that it was actually the SNP who introduced the 85% funding floor nor addresses any variances at all such as the attainment fund or additional social care monies.

“If Willie Young and his Labour colleagues really cared about the funding which Aberdeen receives then why did they throw their toys out of the pram and leave CoSLA – the collective forum through which the funding formula is agreed?”

A Scottish Government spokesman added: “Funding allocations for all councils including Aberdeen are calculated using the needs-based formula agreed with COSLA.

“Aberdeen City Council’s share of the overall potential increase in spending power in 2017-18 to support local authority services had originally amounted to an additional £12.7million or 3.6%. However, as the council decided to freeze the council tax, they have decided to forego further additional revenue income of £3.5million leaving their revised increased support for services at £9.2million or 2.6%.

“Aberdeen’s funding for 2017-18 includes an additional £10million over and above their needs-based formula share of the revenue funding as a result of the Scottish Government’s 85% funding floor. Since the introduction of the floor in 2012 Aberdeen has been allocated more than £42million more than their needs-based formula funding allocation.”