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Aberdeenshire Council makes last-minute changes to £40m budget savings plan, in face of health crisis

Aberdeenshire Council Leader Jim Gifford (left) and Deputy Leader Peter Argyll
Aberdeenshire Council Leader Jim Gifford (left) and Deputy Leader Peter Argyll

Aberdeenshire Council has agreed measures to save almost £40 million in its latest budget – but some proposed cuts were scrapped to help the region through the coronavirus pandemic.

In order to balance its books ahead of the next financial year, the authority yesterday agreed a raft of cost-saving initiatives from almost every part of the organisation.

But three potential options for savings were taken off the table at the eleventh hour by council leader, Jim Gifford, to assist the local economy in the face of the coronavirus outbreak.

The cancelled measures were moves to extend pay and display car parks, cut support for Aberdeenshire businesses and axe a regeneration officer post, which combined would have saved the cash-strapped council £162,000.

Deputy leader Peter Argyle also announced a temporary freeze on payment for the council’s off-street pay and display car parks for the duration of the pandemic.

In his speech to councillors, some of whom were not present but attended via video link, Mr Gifford also unveiled a £200,000 community resilience fund to help Aberdeenshire residents through the health crisis.

He said: “Now, more than ever, we need to come together to support and look after each other. I hope this fund will make this important work a little easier”.

A number of other cost-saving options were approved, including increased charges for music tuition in schools and using drones to inspect infrastructure in need of improvement.

It is anticipated that, as a result of the almost £40 million of savings, around 65.5 full time positions will be lost – although measures are in place to prioritise voluntary redundancies and other options instead of compulsory job losses.

Last month council tax was increased by the maximum allowed sum of 4.84% to help reduce the need for even more severe cuts.

Councillors also agreed new changes to council procedures during the virus pandemic, including a focus on using the internet instead of face-to-face communication for council meetings and other business.

Over the next three months, 19 of 66 planned meetings have been cancelled, and in the event of significant numbers of councillors or officers being unable to work or attend events, committees could continue with reduced, politically proportional numbers.

The background

The ruling Tory/Liberal Democrat budget was approved by 34 votes against the 19 votes in favour of the opposition’s plans, with three no-votes registered.

The opposition group, comprised of SNP councillors and Labour’s Alison Evison, put forward an alternative package designed to balance the authority’s finances in a different way.

Councillors on the other side of the chamber suggested an £850,000 community resilience package, £850,000 for combating climate change and a number of other measures.

The opposition also proposed cutting £650,000 from the roads maintenance budget.

In her speech, Mrs Evison said the coronavirus pandemic will invariably impact council services.

She said: “In many ways our budget now seems an aspiration – and it must be caveated with a huge dose of reality and an acknowledgement that the council may be forced to stop doing some things and start working in totally new, as yet unidentified, ways.”

Richard Thomson, leader of the SNP group, added: “In the current uncertainty, the council will need to do all it can to preserve business as usual as far as possible, in terms of maintaining services and protecting the most vulnerable.

“For that reason, I don’t think anyone really believes that the budget that’s been set today will necessarily reflect what actually happens over the next year.”