Glasgow won't sell its treasures to settle equal pay claims.

City Council leader denies the bill could reach £1 billion

Published 23rd Aug 2018

The leader of Glasgow City Council's warning the cost of settling equal pay claims will have a "very significant financial impact'' but denied they will have to sell off civic treasures like the painting Christ of St John on the Cross by Salvador Dali.

Susan Aitken says suggestions the final bill for settling with thousands of low-paid women could end up between £500m and £1 billion are figures "plucked out of thin air''.

A report from the Accounts Commission found that the council is facing a period of "unprecedented financial pressure'' as, in addition to dealing with the equal pay claims, it is facing a funding gap of £129 million over the next three years.

It warned that these financial pressures may have an impact on how the council delivers public services.

Ms Aitken said the council hopes to minimise the impact on services and is not considering selling off any assets.

Options available to local authorities could include borrowing and maximising the income from assets.

Ms Aitken said the council hopes to have an agreed negotiated settlement figure by the end of the year and to start paying that out in the next financial year.

The Accounts Commission report found Glasgow City Council has made steady progress over the last decade and has a clear plan to tackle the city's challenges.

It has made £102.5 million of savings over the last two years.

Graham Sharp, chair of the Accounts Commission, said: "The scale and complexity of Glasgow's socio-economic challenges are unique in Scotland and, like all local authorities, it's facing considerable financial pressures.

"The council has made steady progress since our last report and has a good track record in making savings, but we are seriously concerned about the impact that resolving equal pay claims could have on how the council delivers public services, and we will be continuing to take a close interest in that issue."