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Moray Council leader could resurrect tax hike plan

Council leader, Stewart Cree. Picture by Gordon Lennox
Council leader, Stewart Cree. Picture by Gordon Lennox

The leader of Moray Council has revealed the authority could resurrect plans to increase council tax – with the public’s backing.

Stewart Cree has appealed for a meeting with new Holyrood finance boss, Derek Mackay, where he plans to lay bare the authority’s accounts.

The cash-strapped council faces a £14million budget shortfall that must be met by March 2018.

Officers will launch public consultation events this summer, which detail a package of “unpalatable” cuts that could be made to help balance the books.

The proposals include axeing swimming pools, libraries, school crossing patrollers and a community bus service.

But Mr Cree said that even if the authority enacted every “swingeing” cut, it would only recoup half of the money it needs to save.

Yesterday, he revealed he plans to tackle Holyrood ministers over the funding system he claims has damaged the council’s funds.

And he said that – faced with dramatic reductions in services – the people of Moray could rally behind proposals to increase council tax, and force the government to remove a cap on any increase.

Mr Cree believes the council’s doomed move to raise the levy by 18% in January was key in persuading the government to allow local authorities to increase it in forthcoming budgets.

But he said that a cap of 3% on any rise is “a freeze by another name”.

He added: “Our proposal to increase council tax was no political stunt.

“At that time, I had a 50/50 response from people for and against the suggestion but that situation may have changed now.

“A 3% council tax increase would bring us an added £1million, but our shortfall is £14.3million.

“Nobody wants to pay any more, council tax is a sensitive issue.

“But there is a duty on all of us as citizens to stand back from self-interest and look at the wider picture.

“Our consultation is about trying to get the public to consider the value of our services, and it could be that they want more power over how the council is funded.”

Mr Cree said that Holyrood “must play its part” in helping to redress the council’s budgetary woes.

He said: “I want to meet Mr Mackay and I will put all our cards on the table, face up.

“I will invite him to look at our accounts and tell me where he thinks we could make further savings.

“We have not been profligate, we have increased reserves in tough financial times.

“But we could shut every library and every swimming pool, and cut an entire layer of management, and still be in a lot of trouble.

“The government seems to think it can reduce our funding and expect us to make allowances for that – but that isn’t realistic anymore.

“I genuinely believe the government can’t just wash its hands of this and let the council take the blame for these unpopular cuts.

“These are the inevitable consequences of not being able to meet our budget.

Mr Cree said he is “hopeful” that Mr Mackay’s brief as Cabinet Secretary for Finance and the Constitution will allow him to concentrate more on local government funding than his predecessor, John Swinney.

During a full council meeting last Wednesday, Moray councillors agreed to progress a string of suggested budget cuts to public consultation.

The talks will take place over the summer, and residents will be invited to have their say online and in person.