Key points from North & South Ayrshire's annual council budgets

Both local authorities have risen council tax by 5% as they looked to plug funding gaps in what was their 'most difficult' budget to date.

Author: Josh CarmichaelPublished 2nd Mar 2023
Last updated 2nd Mar 2023

North and South Ayrshire local authorities approved their ‘most difficult’ budget yet for 2023/24 yesterday.

Both council areas will see a rise in council tax by 5 per cent as they looked to fill multi-million-pound gaps in their budgets.

South Ayrshire face a gap of £37 million over the next three years, while North Ayrshire Council said they face a funding cut of £10 million for this year alone.

So, what were the key points in each budget?

North Ayrshire

There was speculation ahead of this years North Ayrshire budget, that the £10 million gap in funding would put the Irvine Harbour Arts Centre at risk of closure, and further speculation of a similar outcome for Arran Outdoor Education Centre.

However, they were both taken off the table as potential victims of cuts after public outcry.

Councillors also agreed to retain financial support to community groups for Christmas lights, continue to provide free food waste liners while increasing Penalty Charge Notices to the maximum amount when the Decriminalisation of Parking Enforcement is introduced.

Investments

The SNP lead administration said they were putting a ‘clear focus on measures to help mitigate spiralling costs for families during the current cost-of-living crisis

That comes in the form of a new ‘Early Intervention Fund’ which was shaped by a consultation ahead of the budget.

The North Ayrshire Council website states the fund will have three main elements:

• A further £400,000 a year for the next three years to provide early intervention support for children, young people, and families and to address ongoing Cost-of-Living Crisis. This will build on previous investments and focus on areas such as childcare and parental employability, transport, ongoing support for Cost of the School Day, including food, clothing and digital inclusion and support for third sector organisations who are delivering services within their communities.

• As part of the £1.4million investment to support the work of the Child Poverty and Cost-of-Living Board, it is proposed that £100,000 of this is earmarked for a community transport pilot, which aims to help those who are cut-off and suffering from social isolation.

• An additional £100,000 will build on the previous £258,000 investment to help people maximise income from benefits and secure consistent information, including reliable debt advice.

Cuts

• 5% rise in council tax from April 1st

• Rent rates for council tenants will also go up by £4.99 per week for 2023/24, or 6.42 per cent.

• It is anticipated that the equivalent of 26.9 full-time council posts will be removed although there will be no compulsory redundancies.

• A NAC statement read: “The bulk of these were approved in previous budgets and are aimed at having minimal impact on frontline services.”

North Ayrshire say they’re anticipating further financial challenges in the coming years with indicative funding gaps of £12.8m and £10.6m for 2024/25 and 2025/26 respectively.

South Ayrshire

It was a frustrating day for opposition in South Ayrshire yesterday as former council leader and SNP councillor Peter Henderson accused the process of being undemocratic. Each motion came down to a casting vote by the Lord Provost with the conservative budget being pushed through in the end.

Council leader Martin Dowey told West FM he could’ve done with cutting absolutely nothing, but the reality was that funding is dwindling for local government.

His administration have put a strong focus on investing in golf courses and pushing on with the return of the international air show, as well as spending £10 million on the Citadel Lesiure Centre over the next four years.

Investments

• £5 million will be invested to upgrade Darley and Belleisle Golf Courses over the next three years to ensure they are kept in top condition for players.

• £10 million is being invested in the Citadel Leisure Centre over the next four years to improve the facility.

• £250,000 investment in the International Ayr Show – Festival of Flight

• £96 million is being invested in our Health and Social Care Partnership, an increase of 3.4% on previous years.

• £2.6 million will be spent to improve attainment across the area and over £9 million will be invested in the expansion of Early Learning and Childcare.

• a continued investment of £88 million into the Ayrshire Growth Deal and committing a further £55 million for regeneration activity within the project.

Cuts

• 5% rise in council tax

• Ayrshire Roads Alliance service redesign and transformation - £200,000

• Increase in school meal prices by 20p to £2.35 and £2.45 in Primary and Secondary

• Increase in school meal price for teaching staff by £1 plus plus VAT

• Reducing the Clothing grant eligibility criteria to the Scottish Government Level

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