Council tax across Perth and Kinross to rise by 9.5%

A nationwide freeze on the levy ends in April meaning local authorities can increase it by however much they like.

Council tax across Perth and Kinross to rise by 9.5%Adobe Stock

Perth and Kinross councillors have voted for a 9.5% council tax rise.

The SNP administration’s budget was approved by elected members on Wednesday, February 26, by 26 votes to 13 with one abstention.

In response to recent campaigning, the council has committed an additional £1m over the next two years to maintain the current library and museum services; a decision on the PH2O leisure facility will be made in June.

At the start of the meeting, councillors battled to be heard over a musical protest taking place directly outside the council chambers on Perth’s High Street.

Young musicians – who benefit from the council’s Instrumental Music Service – drummed up support to reverse cuts approved at last year’s budget meeting.

Presenting the SNP administration’s budget to councillors, council leader Grant Laing told councillors: “We are also investing £170,000 to maintain the Instrumental Music Service provision at current levels, and adding £75,000 over three years for the continuation of Scottish Pipes and Drums tuition, ensuring that this valuable cultural education continues.”

The noisy outside protest was being made as deputations were being made to councillors. Petitioners asked councillors to commit to building a better leisure facility than the PH2O building currently proposed at Thimblerow and to spare five rural libraries from closure.

The deputation by PH2O petitioner Bobby Brian – read out to councillors on his behalf – accused elected members of having “willingly neglected and turned their back on the people of Perth” by voting through a watered down version of what was originally proposed for Perth’s replacement leisure facility.

The current PH2O proposal features an eight-lane 25m pool, 12.5m by 8.5m teaching pool (both with movable floors), an indoor play area (potential Clip n’ Climb or other family play activity), games hall, gym, studios and cafe.

The “family-friendly” swimming offering voted through by councillors in September was to have programmed weekend/holiday inflatable sessions and a toddler splash pad area next to the teaching pool.

The petition called for the new sports centre to include: a purpose-built leisure pool with flumes, kids’ water play park (similar to the current Monkey Jungle at Perth Leisure Pool), a 25m six/eight-lane training pool, ice rink, large commercial gym (similar to what was at Bell’s Sport Centre before its closure), fitness studios, sports halls, bowling hall/events hall capable of holding events currently held at Dewars.

Hannah Wickes urged councillors – on behalf of the Save Our Rural Libraries group – to reverse proposals to close Alyth, Auchterarder, Birnam, Comrie and Scone libraries from closure.

Council leader Grant Laing thanked both petitioners for their contributions.

He said: “On the PH2O petition, I note the points made by the petitioner, but move to reject the petition on the basis that officers have already been instructed by council to bring back options on leisure water and progress towards the community-led ice sports facility at Dewars, which we will consider in June.

“On the libraries petition, I also note the points made by the petitioner, and am pleased to say that I am committing an additional £1m over the next two years to maintain current service provisions for libraries and museums.

“But, it is essential that the community members who have petitioned us today bring the same energy they have brought to campaigning, to helping plan a sustainable future for their libraries.

“By offering the funding over two years, this will allow time in the first year to design the approaches for each community, with the second year of funding helping to support the transition.”

He tabled a proposal to raise council tax by 9.5% in 2025/26 and 2026/27 and by 6% in 2027/28.

The Strathtay ward councillor said: “For a number of years this council has taken what have been often difficult decisions to agree budget reductions to balance the increasing costs of providing core services and growing levels of need, all while either maintaining a national council tax freeze or keeping the increase as low as possible. This approach is simply not sustainable.”

Cllr Laing cited the “significant” increases in health and social care costs, with an additional £8m being allocated into health and social care.

Deputy leader Eric Drysdale cited the changes to National Insurance employer contributions and rising wage bills as further financial pressures.

The SNP Perth City Centre councillor said: “These are challenging financial times, exacerbated by many factors over which this council has no control most notably the changes to Employers’ National Insurance being introduced by the UK Government in April which alone will cost Perth and Kinross Council £5.4m each year.

“Also, current pay claims well in excess of current and projected inflation rates are a further potential risk factor. The impact of these factors on council tax required to ensure we balance the books is obviously significant.”

Cllr Drysdale also announced plans to support economic development in Perth and Kinross.

He said: “We’re investing £450,000 over the next three years in providing apprenticeship and training opportunities tailored to industry needs that will help give more young people the chance to kick-start their careers, and earn while they learn.

“To support the growth of rural skills and employment opportunities, which can help tackle rural poverty by providing skilled jobs where people live, we’re also providing £150,000 to support rural employment initiatives.

“We are also demonstrating our commitment to growing a resilient, stronger economy in Perth and Kinross by investing an extra £7m to make £9m in total for the Commercial Property Investment Programme.”

The SNP budget – which included several amendments from every political group – was approved. The SNP budget was supported by 26 votes from the SNP, Liberal Democrats and Independents. The Conservative budget was supported by all 13 councillors. Labour councillor Alasdair Bailey abstained.

The council’s longest serving councillor – Liberal Democrat elected member Willie Robertson praised the collaborative approach and said: “It’s one of the most satisfying budgets I have sat through.”

Independent councillor Dave Cuthbert – whose group tabled the lowest council tax increase of seven per cent – said the 9.5% rise was “reasonable” given the financial situation and “isn’t ripping people off”.

Labour councillor Alasdair Bailey was not convinced.

Bailie Bailey said: “Council tax is a regressive tax. Increasing it disproportionately impacts those on lower incomes.”

He added: “I worry further that many of today’s budget proposals are inefficient. They spend money only to avoid hard choices in this chamber.”

Conservative group leader John Duff said: “It is highly surprising that the SNP have chosen to inflict a 9.5% council tax increase on the hard-pressed residents of Perth and Kinross, completely contrary to the views of the local SNP MSP, the First Minister John Swinney. He indicated that such rises were totally unnecessary.

“At a time when every penny has to be a prisoner for so many of our council taxpayers, with a high cost of living and energy prices due to increase yet again, this increase will hurt.

“We made every effort to keep our proposed increase down and set it at a more reasonable eight per cent. We would have liked to have gone lower, but years of chronic underfunding of councils by the SNP have meant real terms cuts to our budget.”

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