Councils across Scotland are facing a collective hole in their finances amounting to nearly half a billion pounds for the coming year, as a trade union warns the shortfall will threaten further cuts to services. New research by Unison found that across the nation’s 32 local authorities, the predicted funding gap for 2024/25 stands at £487.8 million.
It is one of the biggest shortfalls of any nation or region across the UK, with only London and the south east of England facing bigger shortfalls in their finances. However, when measured as a proportion of predicted net revenue budget, Unison said the situation in Scotland means the gap in Scotland accounts for three per cent of the expected budget . That is the lowest proportion of any UK nation or region, and well under the UK average of 4.
96 per cent. Across the UK, Unison said that the predicted funding gap facing all councils is in excess of £4 billion, a figure it said was “way beyond” any previous estimates. It warned that “massive cuts” were likely to essential services and public sector jobs as a consequence, with local authorities also forced to sell off land, buildings, and other capital assets in an attempt to balance the books.
The analysis, detailed in the union’s report, Councils on the Brink, shows Scotland’s most northerly local authority is among those UK councils faced with one of the largest predicted funding gaps as a proportion of its predicted net revenue budget. The estimated £48.8m gap a.