Highland Council Financial Update

13th December 2024

Members have considered an update on the Council's medium term financial plan and the impact of the UK and Scottish Governments’ budgets on the coming year’s funding settlement.

The position is currently looking more positive than initially planned for, however more detail needs to be worked through.

There is still some uncertainty around Highland’s share of the funding allocation and also on the uplift relating to employer NIC.

The report considered by Council provided an update to the forecast remaining gap after agreed savings, of £38-54m over three years.

The report also considered what level of capital investment may be possible for the Council’s ambitious investment plan. 

Convener of the Highland Council Bill Lobban said: "Our strategy is to plan for 3 years ahead as part of our medium term financial strategy, which was been highlighted by Audit Scotland as sound financial practice in their most recent annual report. The Report acknowledges “the council’s effective and appropriate arrangements to secure sound financial management", noting the Council having “appropriate and effective financial management arrangements in place.

“The Council has in the past made, and continues to make, significant progress regarding delivering improved efficiency and savings in service delivery, to manage its financial position.  Around £200m savings have been delivered over the past 10 years, and the Council has agreed plans for £54m savings over the current 3 year period. This has contributed to a more positive and sustainable financial position. I have never felt so positive about delivering the Council’s ambitious investment programme.”

Leader of the Highland Council Raymond Bremner said: “The outlook for this council is very positive. We will continue to make savings and efficiencies to provide the best value for public money, and improved, more sustainable services for our communities into the future.

“Sound financial management and innovation is fundamental to our transformation and investment plans. This is illustrated today by the comprehensive progress report on the initial phase of our Highland Investment Plan which aims to deliver £2.1bn of investment in Highland communities over the next 20 years.”

Find out more about our budget and tell us more at www.highland.gov.uk/budget

 

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