Council agrees tax freeze for 7th year in a row

The Highland Council has agreed to freeze the Council Tax for a seventh successive year and confirmed a budget of £563.697 million for 2014-15.

The Council Tax bands are: Band A: £775.33; Band B: £904.56;  Band C: £1,033.78; Band D: £1,163.00; Band E: £1,421.44; Band F: £1,679.89; Band G: £1,938.33; Band H: £2,326.00.

A final tranche of budget adjustments amounting to £3.561 million – added to the £12.148 million of savings already identified in February 2013 – were agreed allowing the budget process to be concluded two months ahead of the typical special  February budget meeting.

The budget of £563.697 million includes an estimated grant settlement of £451.444 from the Scottish Government and income from the Council Tax of £112.253 million. It also takes account of £3 million to be spent on preventative measures in relation to children and older people and a 1% increase in pay for staff.

The Council will begin work early in the new year on a new five-year revenue budget.  Members were advised that some tougher times lie ahead, with potential savings totalling up to £80 million equivalent to 3% per annum, required over the period to 2018/19.

Councillor Dave Fallows, Chair, Finance Housing and Resources Committee, said: “Setting the budget for 2014/15 now, allows time space over the next 12 months for the Council to consider options for addressing the substantial challenges ahead. We will be consulting widely and dealing with saving options as sensitively as possible.”

The Council agreed that council house rents for 2014-15 will be set by the Finance Housing and Resources Committee at its meeting on Wednesday 22 January, next year.