Inverclyde Council has approved its budget for the next year.

The council’s overall budget of £227 million and a three-year capital budget to fund infrastructure costs of nearly £68m was approved at a meeting today, Thursday 2 March 2023.

At the budget meeting, a 5.3 percent council tax increase for Inverclyde was also agreed which increases the Band D level by £71.96 a year to £1,429.77 – or an extra £1.38 per week.

Inverclyde Council Leader, Councillor Stephen McCabe, said: “I am pleased we have been able to reach an agreement this year on a balanced budget but that is, unfortunately, where the good news ends. Setting a budget is always a challenge and it would be fair to say that the pressure on local government finances only makes that job harder. It could be argued that it is made harder than it needs to be with year-on-year poor settlements for councils, and an inability to achieve long-term planning in council finances across the country.

“Yet again this year has brought a very poor financial settlement from the Scottish Government for local government. I am grateful to the united voices in this council and across the country who have put political differences aside to join forces to highlight the damage this is causing to local government across the country.

“COSLA has estimated the overall recurring real-terms cut to councils’ core revenue funding to be around £1bn and required that settlement to just stand still. The final settlement falls very short of that.

“Despite pleas from all levels of government, including from our own elected members, chief financial officers, and trade unions, our collective concerns about the lack of funding and necessity for a fair settlement have not been heard.

“To put it into context, our council tax level is not the highest increase in the country – it’s around the average – and represents an annual rise of one percent during my 16 years as a council leader. But this is also the biggest single increase in that time.

“During that same period, the council will have agreed savings of over £71m, an average of £4.5m per year. Again for some context, that sum is more than double the budget of the Environment, Regeneration and Resources Directorate and more than the funding we allocate to the Health and Social Care Partnership. This simply cannot continue. Something has to change.

“Today I thank my fellow councillors, council management and staff, and members of the public for helping us deliver a balanced budget, which we are legally obliged to do.

“I also offer, on behalf of everyone, my apologies to those who are losing their jobs, having to pay higher taxes and fees, and suffering reduced services in order that a balanced budget could be delivered.”

The full budget details are available on the council website at www.inverclyde.gov.uk/meetings/meeting/2535 and the budget meeting is available to watch on the council’s YouTube channel at www.youtube.com/InverclydeCouncil.