Local authorities learn their share of more than £10bn in funding

Incapacity benefit: Widespread changes proposed
Funding: Scottish Government's allocations announced.

Councils have been told how they will share almost £10.6bn of funds in the coming year.

Finance Secretary John Swinney set out the individual allocations for 2014-15, insisting councils have been fairly funded.

But Scottish Labour described it as "austerity plus", while the Scottish Liberal Democrats complained that some councils are being short changed.

Mr Swinney, in a statement at Holyrood, said: "There can be no argument that while times have been tight, local government has been fairly funded."

He added: "Local government provides a wide range of services and plays a major role in local partnerships that are essential to the delivery of the services that matter to the people of Scotland.

"The allocations include resources to enable local authorities to continue to freeze their council tax, which is an important measure to protect household incomes in Scotland.

"This settlement of almost £10.6bn comes at a time when, as a result of Westminster's austerity agenda, our spending power has been cut by around 11.1% in real terms between 2010-16."

The total includes about £9.6bn in day-to-day revenue spending.

The settlement also features funds to maintain the council tax freeze and a further £81m in 2014-15 to fund the additional cost of early learning and childcare provision for three and four-year-olds, increasing the number of hours per child to 600 a year.

The Scottish Government allocated £20m this year and next year in an attempt to limit the impact of changes to housing benefit, such as the cut in benefit received by those living in houses with spare rooms, a policy which has been branded a "bedroom tax" by its opponents.

Scottish Labour's Sarah Boyack voiced concerns about the impact of council budgets on service provision.

Local authorities are already being hit by the removal of poverty reduction funding, "underfunding" of the council tax freeze and the loss of local government jobs, she said.

"Today is another nail in the coffin of our broken local government finance," she said. "Our local authorities are getting austerity plus. We need a local government settlement to protect the most vulnerable in our communities, and enable our local government to do the job they were elected to do."

Willie Rennie, the Scottish Liberal Democrat leader, highlighted the way Mr Swinney split the funds.

"I am disappointed to notice that Aberdeen is again losing out on its funding," he said. "He previously promised to ensure that funding for the city did not fall below 85% of the national average. But the figures at the back of his statement today show that he has failed to meet that commitment again."

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