What do budget cuts mean for public services?
Local Government pre-devolution
Scottish local government was organised
into its current size in 1996 by the then
UK Conservative Government
The re-organisation was seen as a
political ploy to break up Labour’s control
of large local authorities and create
smaller, suburban, more affluent
authorities, which, perhaps be more
supportive of the Conservatives
There are 32 local authorities in
Scotland. Many are very different, but
others, particularly neighbouring ones,
are very similar in size, composition and
need
Local Government and the 1999 - 2007 Labour/Lib Dem Scottish Executive
The 1999-2007 Scottish
Executives clearly had better
relations with local
Government than the
Conservatives had.
But, there was concern that
new, national initiatives, such
as the Curriculum for
Excellence, were creeping
into local authorities’
treasured areas.
The New Scottish Politics
In 2007, not only did the
SNP takeover from Labour at
Holyrood, the SNP replaced
Labour as the largest party in
local government.
Most of Scotland’s local
authorities are no longer run
by Labour, but a variety of
coalitions and minority
administrations.
Multi-party local government
In 2007, the STV destroyed
Labour’s power base in Scottish
local authorities.
Coalition government is now the
norm in Scotland.
South Lanarkshire and East
Dunbartonshire Councils, for
example, have a
Labour/Conservative coalition,
something which would have
been unthinkable prior to
devolution.
SNP Scottish Government
Being a minority
Government, the SNP has
struggled to pass its
budgets and in 2009
abandoned its manifesto
pledge to abolish the
Council Tax.
It has however established
a freeze on Council Tax
increases and set up a
“concordat” with local
authorities.
SNP abandon plans to abolish Council Tax
The Concordat
•The Concordat agreed in 2007
between the SNP Scottish
Government and COSLA is based
upon:
•Reducing “ring fencing” of projects
by the Scottish Government
•Freezing Council Tax increases
•Establishing Single Outcome
Agreements (SOAs)
SOAs
Single Outcome Agreements
(SOAs) are agreed by each
individual council and the
Scottish Government.
They mean a focus on Inputs,
Outputs and Outcomes.
For example, in education, a
SOA for a local authority
means that it must focus on
Education Cabinet Secretary Mike Russell
Inputs: More teachers
Outputs: Smaller class sizes
Outcomes: Successful
learners, confident
individuals, effective
contributors and responsible
citizens (The Curriculum for
Excellence).
Council Tax freeze
COSLA agreed to freeze Council Tax
increases until 2010 in return for small
annual increases in funding and greater
control over spending decisions (the
reductions in ring-fencing)
Councils have been required to make
“efficiency savings”
COSLA has been delighted with the
reductions in ring-fencing.
The reductions in ring fencing mean
that it is the councils who will make
more of these decisions not the
Scottish government.
What is still ring-fenced?
Some local authority
spending remains
ring-fenced.
•Police
•Criminal Justice
•Social work
•Housing support
grant
•Hostels grant
•Determined to
Succeed
•Safer routes to school
funds
•Gaelic
What is no longer ring-fenced?
Delivery of Scottish Government commitments
Councils are expected to deliver on the
Scottish Government’s election
commitments;
•Have 1000 more police officers
•Cut business rates
•Show year on year improvements in
school buildings and class sizes
•Increase personal care payments
•Have more respite for carers
And.. provide free school meals for P1P3
A Concordat?
Scottish Labour claims that local
authorities were being made to deliver
key national policies with no extra
money.
It claims that the SNP has not given
local authorities the funds they were
promised.
But, COSLA signed up to the
Concordat.
Who will get the blame if/when
services are cut?
Will it be local government or the
Scottish Government?
“The concordat is a con”
Andy Kerr MSP
In the light of Westminster-led budget
cuts, COSLA is understood to wish to
end the freeze on Council Tax
increases.
Scottish Government climb downs
The maximum class size of
18 in P1-P3 is now an “aim”,
rather than a “pledge”.
The Council Tax will not be
abolished, as envisaged at the
start of the Concordat.
Many local authorities
simply do not have the
money to pay for free
school meals in P1-P3.
The age of austerity
In order to deal with the budget
deficit, brought on by the bail-out of
the banks, new Chancellor George
Osborne introduced an Emergency
Budget in June 2010.
There will be annual cuts in Scottish
public spending of around 4% for
the next four to five years.
Emergency Budget 2010
1 in 3 Scots works in the public
sector. 95% of Scottish children go
to state schools. Almost everyone in
Scotland will be affected by the cuts.
SNP Government response
Finance Secretary
John Swinney pledged
to protect Health
spending. But this
means that spending
in other areas will be
cut more.
He also agreed with
Westminster that the
full budget cuts in
Scotland would be
delayed for one year.
But, this could mean
more severe cuts in
years to come…
Local authorities and the cuts
Examples: Cuts in school
transport, museums and
sports centres, police
overtime.
Redundancies are being
made and posts unfilled.
There are increases in
charges for breakfast clubs,
special refuse uplifts and blue
badges for disabled drivers
COSLA is angry at Health
being disproportionately
protected. It is angry at the
degree to which local
authorities will have to cut jobs
and services.
The survival of the Concordat
is in jeopardy.
UNISON protest against the cuts, Glasgow 2010