People living in Aberdeenshire are bracing themselves for the worst council tax “super hike” anywhere in Scotland, according to new analysis.
And one Foveran woman says she cannot understand how the local authority can justify considering eye-watering increases to balance the books when family budgets are so stretched.
It comes days after the Scottish Government’s decision to lift the freeze on increases without any cap on how high bills could surge.
Rhona’s story
Rhona Inglis, 60, has lived in Foveran near Ellon since 1993 with her disabled husband, Doug. She is currently working for a property developer, while Doug is retired.
Rhona and Doug stay in a Band F home but because of a reduction related to Doug’s disability, they currently pay around £215 each month.
If the council goes ahead with its plans, it would mean an increase of more than £36 every month from April. Rhona fears many people simply will not be able to afford such a large rise when other bills are also increasing.
She said: “It really is a worry. My husband doesn’t have much of a pension, he’s disabled and at home all day.
“I’m the only earner so when prices go up, it’s all on my wage. He gets no extra benefits or anything.
“Every penny counts in this day in age and the price of everything is going up.”
What are councils going to charge?
Perth and Kinross Council has already agreed council tax will rise by a total of 25% over the next three years, with the first 10% increase planned for April next year.
Several other local authorities are also either planning or consulting on 10% increases, including Angus, East Lothian and West Dunbartonshire.
Budget strategy papers in Aberdeenshire estimate a 17% increase to council tax would be required to balance the books, with a projected cumulative increase of 67% over the next four years.
However, bosses asked local residents to take part in a survey last month on budget ideas that included measures such as cutting school staff, ending flood protection activity and a 20% council tax hike.
The latest budgets analysis was prepared by the Alba party based on revenue plans released for all Scottish council areas.
The party’s Holyrood leader Ash Regan said the SNP government had “stepped in the right direction” with its own budget but feared lifting the freeze could see Scots hit with huge bills.
She said: “Our shared goal in the short term must be to safeguard household budgets in the final budget position that Parliament will vote on early next year.”
The Scottish Government’s draft budget, which set out £63 billion in spending plans, included a total of £15 billion in funding for councils.
But Dr João Sousa, deputy director of the Fraser of Allander Institute, warned having no cap on council tax rises will “shift a lot of responsibility – and a lot of the risk” onto local government.
Asked if Scotland’s council tax system needs to be overhauled, he said: “I think the system at least needs to be revalued and that is something the Institute has been calling for across many years and we will continue to do so.”
The last council tax freeze was one of the first policy announcements of Humza Yousaf’s tenure as first minister.
Finance Secretary Shona Robison, who served as his deputy, announced this week it will be scrapped.
Cosla, the organisation that represents councils, warned ahead of the decision that council tax increases will be needed to protect vital services.
But Ms Robison claimed increases would be kept to a minimum because of a proposed £1 billion uplift in funding.
She said: “I don’t think there’s any administration of any political colour that will want to look at citizens in the eye, given this settlement, and increase the council tax beyond what is required.”
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