Local Government Finance (Scotland) Order 2007

Part of the debate – in the Scottish Parliament at 4:18 pm on 7 February 2007.

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Photo of Maureen Watt Maureen Watt Scottish National Party 4:18, 7 February 2007

Members who were elected in 1999 may recall that one of the Parliament's first debates was on the report of the commission that was set up to examine the relationship between the new Scottish Parliament and local government, which was greeted with much support from throughout the parties. The McIntosh report stressed the importance of parity of esteem for the new Parliament and local authorities and the importance of engaging the electorate through subsidiarity and local decision making. It is to the shame of the Liberal-Labour Government that the optimism of the new beginning and the new optimism for local government have vanished. Instead, the Government has reduced local authorities to bodies that do its bidding.

The room for manoeuvre for local authorities to do anything innovative and new has disappeared as their budgets have been reduced. Local government is charged with delivering the services that matter most to citizens and which impact most on their daily lives, including education, social work and environmental services. No local authority argues with the contention that not enough money follows new legislation, which is demonstrated most graphically by the free personal care policy, although the same applies to other matters. According to a report by Professor Arthur Midwinter, Aberdeen City Council's grant-aided expenditure for children's services is £10 million per annum, which is 113 per cent less than the amount that is spent.

It is likely that £8 million will be slashed from Aberdeen City Council's social work budget in 2007-08, and that will lead to cuts in services for the most vulnerable people in society. Because of cuts in its funding, the voluntary sector is under pressure too. Many groups will have to dip into whatever reserves they have. That situation is unsustainable.

As Mike Rumbles said, Aberdeenshire Council has the fourth-lowest AEF per head of population—its figure is more than 10 per cent lower than the Scottish average. I am glad that Mr McCabe wants a review of the needs-based assessment of grant, and I am sure that that will be welcome in Aberdeen and Aberdeenshire. However, it will come too late for the disabled in Aberdeenshire, because the council, looking for cuts, is forcing people to choose between concessionary taxi charges or exemption from parking restrictions.