Caithness Map :: Links to Site Map Great value Unlimited Broadband from an award winning provider  

 

Highland Council Budget Details Showing A Huge Covid 19 Deficit Submitted To Cosla

8th May 2020

The Highland Council has, along with other Scottish Local Authorities, submitted details to COSLA of the potential impact of COVID 19 on its revenue and capital budgets.

The Council has estimated potential income losses and additional costs up to £87.5 M which would be off-set in part by savings across a variety of service areas. This would result in an estimated net impact on the Council's budgets in excess of £80M due to COVID-19.

The local authority estimates that £25.5 M of income from fees and charges, such as car parking fees and planning fees, could be lost over the financial year; Council tax income may be £5M less than budgeted; and loss of recharge income linked to the Council's capital plan and other services could amount to £13M.

The Council estimates that costs of the response to COVID-19, such as running Community Hubs, providing food to vulnerable groups and childcare to key workers, may cost £5M over a 6 month period; and that increased service demands on welfare and social care may amount to £7M.

Additional Service costs including the Council’s waste, housing, supply teachers and staffing are estimated in the order of £9M; and contractual costs linked to delays in the delivery of the Council’s capital programme may also cost £9M. The impact on key service level agreements could total £6M.

Importantly, added to this, the Council will face significant challenges in delivering previously approved budget savings of £8M.

The Council’s budget will be the focus of a meeting of the Council in June; and Council officers are in ongoing discussions with COSLA about support from the Scottish Government.

Budget Leader, Cllr Alister Mackinnon said: "Officers are continuing to assess the impact that the pandemic is having on the council’s financial position, while managing the response to the emergency and the risks presented to the Budget.

"What is unfolding is a very complex picture with many unknowns that are affecting the Council’s financial position as its responds to COVID-19. Looking ahead, once the Scottish Government’s full package of financial support to local authorities is known, we will need to reassess our financial position and implement a plan for recovery."

 

Related Businesses

 

Related Articles

4/6/2020
First full meeting of Recovery Board meets
The first full meeting of the Highland Council Recovery Board met (virtually) today (4 June 2020).  The full membership reflects political balance with 11 Members and 3 senior officers.  
4/6/2020
First full meeting of Recovery Board meets
The first full meeting of the Highland Council Recovery Board met (virtually) today (4 June 2020).  The full membership reflects political balance with 11 Members and 3 senior officers.  
4/6/2020
Public Praised As 14 Highland Household Waste And Recycling Centres Successfully ReopenThumbnail for article : Public Praised As 14 Highland Household Waste And Recycling Centres Successfully Reopen
On Monday (1 June) The Highland Council reopened 14 Household Waste and Recycling Centres across the Highlands to allow people to drop off their garden waste and bagged household waste.   The last few days have been a success with the phased approach to the re-opening working well.  
3/6/2020
Budget impact of Covid-19 on Highland Council
Councillors taking part in today's virtual Corporate Resources Committee were left in no doubt about the significant and serious impact COVID-19 continues to have on the budget of The Highland Council.   The scale and immediacy of financial challenges to be faced were laid out in a report that modelled two different potential scenarios - in the ‘mid case' scenario, a budget gap of £65.7m is projected, and in the most severe, a potential gap of £96.9m is projected.  
3/6/2020
Council Reports A Successful Year End Position For 2019-20
The Highland Council has reported a successful year end position for 2019-20 delivering £18M of a 3-year savings plan and an underspend of £7.526m.  The Council's unearmarked reserves, which act as a general contingency against unforeseen events or to meet unbudgeted costs, stand at £15.451M at 31 March 2020, having almost doubled over the year due to the in-year budget surplus.  
1/6/2020
Parents Encouraged To Apply For Best Start Grant School Age Payment
Extra cash in the pockets of low income families Eligible parents of children aged four and five are being encouraged to apply for financial support worth £250.   The one-off £250 payment is currently open to eligible families with a child who was born between 1 March 2015 and 29 February 2016 and who is old enough to start primary one this year.  
30/5/2020
Essential works to commence on Inverness West Link
Works on the Inverness West Link Stage 2 were suspended on the 24 March 2020 following COVID-19 guidance from the Scottish Government.   The Highland Council has been in dialogue with Contractors RJ McLeod and has agreed that essential works are required to begin to address safety issues but primarily the works to be undertaken are to provide for physical distancing and encourage active travel, walking, wheeling and cycling as part of, and to augment the successful Spaces for People project.  
30/5/2020
Over 5,500 Highland businesses helped by COVID-19 small business and self-catering grant schemesThumbnail for article : Over 5,500 Highland businesses helped by COVID-19 small business and self-catering grant schemes
The COVID-19 small business and self-catering grant schemes, set up to help companies stay in business during the coronavirus crisis, have now paid out £59,628,750 to over 5500 Highland businesses.   The Council has now processed 99% of the applications received since the grant schemes opened.  
29/5/2020
Schools Re-opening Guidance
Blueprint for safe return to classes.   Detailed guidance on practical measures to allow schools to re-open on 11 August has been published.  
28/5/2020
Back to school and learning - ‘carefully and gradually'
The Highland Council is assessing the implications of the First Minister's announcements made on the 21st May about the first stage relaxation of lockdown, concerning teachers and other education staff returning to the workplace during June to prepare for the return to school and settings on 11th August.   Highland Council's Education Committee Chair, Cllr John Finlayson said: "The return to workplace and Highland schools for our Education staff will have to be undertaken carefully and gradually.  

[Printer Friendly Version]