21 July 2006 Latest News
“Serious strain” on funding for council services

SENIOR COUNCILLORS in Perth and Kinross are warning the council faces “very serious financial strains.”

The Courier can reveal a lack of cash “across the board” is causing grave concern in Perth’s corridors of power.

The concern is now likely to be mirrored in households across the area as minds turn to the possible impact of cash shortfalls on council tax bills.

The problems came to light as elected members discussed the “inadequate funding” for Perth and Kinross Council from the Scottish Executive for free personal care.

Budgets are being juggled as the authority spends an extra £1.6 million in a bid to cut an ever-increasing waiting list.

As things stand, 48 people in Perth and Kinross are waiting for free personal care and councillors felt their only option was to plug the gap.

Nevertheless, they are highly concerned about the potential knock-on effects of such a commitment.

Councillor Gordon Hunter, convener of the influential housing and health committee, was first to raise the issue at a meeting yesterday.

“All councils have had major difficulties in implementing the whole free personal care programme,” he said.

“It is very distressing...We in Perth and Kinross have many decent, vulnerable citizens in need of free personal care.”

However, Mr Hunter continued, “limited budgets” have made implementing the policy very difficult and there could be far-reaching consequences.

While insisting it is unfair to blame free personal care—and perhaps by association older people—for the problems, the councillor admitted budgets are becoming increasingly stretched.

“Perth and Kinross Council is facing some very serious financial strain, both this year and, perhaps more particularly, next year,” he conceded.

Despite his concerns, the councillor reaffirmed the local authority’s “total commitment” to the provision of free personal care and backed calls for an “urgent review” of funding from the executive.

Fellow councillors are also worried about Perth and Kinross Council’s finances—not just in the area of free personal care but across the range of local authority services.

“The commitment to free personal care does have financial implications,” said the council’s depute leader, Ian Miller.

“If central government does not give us enough money then it puts a strain on the tax payer.

“We will strive to ensure this does not happen, but councils are under-funded by something like £85 million across Scotland.

“That is a stark figure and something we must pursue with central government.”

His fellow depute council leader, Willie Wilson, shared his sentiments, saying, “We face some hard decisions and that will create a strain on next year’s budgets.”