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

 

Related Businesses

 

Related Articles

Today : Local Authority

Additional school in-service days agreed - Helping teachers prepare for major curriculum changes

Local councils will be able to request up to two extra in-service days this academic year, so that teachers can prepare for the most significant curriculum changes in more than a decade.   The Scottish Negotiating Committee for Teachers (SNCT) which brings together the Scottish Government, local authority body COSLA, and teaching unions has agreed up to two additional in-service days, which will form part of multi-year support for implementation of the updated curriculum.  

Today : Local Authority

The Payday Heist: Why Your Payroll System Might Be a Fraudster’s Easiest Target

Imagine a dedicated employee logs into their bank account on payday, only to find it completely empty.  When they contact HR, the records show their salary was successfully processed but sent to an entirely different bank account.  

Today : Local Authority

Paper Targets vs. Human Crises: The Reality of the Highland Housing Strategy

The Highland Council’s newly unveiled Strategic Housing Investment Plan (SHIP) 2027–2032 paints a glossy, optimistic picture of the region's future.   It promises a steady pipeline of 700 affordable homes a year, framed alongside a booming £10–£16 billion "Growth Deal" linked to green freeports and renewable energy expansion.  

Yesterday : Local Authority

Highland Council Housing Investment: £84 Million Programme Faces Delays as Building Costs Rise

Highland Council is forecasting expenditure of almost £75 million on its housing capital programme during 2026/27, against an original budget of nearly £84 million, as rising building costs, project delays and the availability of additional government funding influence its investment plans.   A Housing Revenue Account (HRA) capital monitoring report, covering expenditure to 31 August 2026, is being considered by the Housing and Property Committee on 4 November.  

Yesterday : Local Authority

Highland Council's Housing and Property Plans: Progress Being Made, But Costs and Contractor Shortages Remain a Problem

Highland Council is making progress on a range of housing and property projects, but rising construction costs, shortages of contractors and uncertainty over future funding continue to threaten delivery.   A progress report covering the second quarter of 2026/27 is being considered by the Housing and Property Committee on 4 November.  

Yesterday : Local Authority

Almost 2,500 Empty Homes in Highland: Can the Council Turn Empty Properties into Much-Needed Housing?

Highland Council is stepping up its efforts to bring long-term empty properties back into residential use, but early results from its £1 million Empty Homes Challenge Fund suggest that turning the policy into actual homes may prove more difficult than anticipated.   A report going before the Council's Housing and Property Committee on 4 November provides an update on the strategy introduced in November 2025.  

Yesterday : Local Authority

Highland Housing: Homelessness Reaches Record Level Despite Good Council Performance

The number of people presenting as homeless in the Highlands has reached its highest level in three years, highlighting the growing pressure on housing services despite some encouraging performance figures from Highland Council.   A report covering the six months from April to September 2026 is being considered by the Council's Housing and Property Committee on 4 November.  

3/11/2026 : Local Authority

 
Highland's Growth Ambitions: Billions in Investment Promised, But Can the Numbers Really Add Up?

Highland Council has set out an ambitious vision for the economic future of the Highlands, with the possibility of attracting between £10 billion and £16 billion of public and private investment over the next 25 years.   On paper, it is an impressive prospect.  

3/11/2026 : Local Authority

Caithness Committee approves six Community Regeneration Fund applications - £237,155

The Caithness Area Committee which met (Monday 2 November 2026) has approved six applications submitted to the Community Regeneration Fund (CRF).   This approval securing significant investment to support local projects that will benefit communities across the north.  

31/10/2026 : Local Authority

Caithness at the Sharp End: Broadband, Buses and Public Services Under Pressure

From the loss of a direct bus link to Inverness to uncertainty over rural broadband, a difficult council budget and the future of community organisations, the past week has provided plenty for Caithness residents to think about.  But there have also been celebrations, local achievements and signs of community spirit.