Council Tax

Question Time — Scottish Executive — General Questions – in the Scottish Parliament at 11:41 am on 13 September 2007.

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Photo of Richard Simpson Richard Simpson Labour 11:41, 13 September 2007

To ask the Scottish Executive whether it intends to impose a freeze on council tax levels. (S3O-586)

Photo of John Swinney John Swinney Scottish National Party

The Government's intention is that the council tax freeze will be achieved through constructive discussion and agreement with local authorities.

Photo of Richard Simpson Richard Simpson Labour

As it is now clear that the cabinet secretary is not going to take the powers to deliver a council tax freeze, it has become another soundbite pledge that the SNP has dropped.

Many support services for children and vulnerable families are provided by voluntary organisations, such as the HopScotch Children's Charity stepping stones project in my region. Will the cabinet secretary guarantee that he will provide central funding to make up for the inevitable shortfall that will result from the freeze? If not, is he prepared to preside over cuts in services to our most vulnerable children and families for the first time since the Thatcher era?

Photo of John Swinney John Swinney Scottish National Party

For the first time in many years, a constructive discussion is going on between central Government and the local authorities. The Government is determined to pursue that discussion. As I told Parliament last week, I have met 18 local authorities and have scheduled meetings with others. In those discussions, I am determined to ensure that we support the continuation and development of our excellent public services. I am also determined to guarantee that, for the first time in a long time, the Government will work with local authorities to provide respite to hard-pressed council tax payers. I would have thought that Richard Simpson would find that agenda worthy of support.

Photo of Elaine Murray Elaine Murray Labour

Will the cabinet secretary commit to funding fully the cost of freezing council tax rates in Dumfries and Galloway? If not, and if Dumfries and Galloway Council feels compelled to increase council tax rates, what will he do?

Photo of John Swinney John Swinney Scottish National Party

As I said in my response to Dr Simpson, the Government is determined—I am determined—to hold constructive discussions with the local authorities to seek agreement on a council tax freeze. In fact, very shortly, I will meet the leader and chief executive of Dumfries and Galloway Council to take forward issues that they have raised, which I acknowledge have to be addressed as part of the local authority settlement. However, the most effective way in which to take forward this line of argument is to seek agreement with the local authorities on working together to deliver excellent public services and some respite from council tax for council tax payers.

Photo of Derek Brownlee Derek Brownlee Conservative

In its constructive discussions with the local authorities and as part of its view of an appropriate level of local government funding, will the Government take account of the very different efficiency levels in local authorities across the country? Will he ensure that the impacts of any council tax freeze or local government settlement that the Government introduces will not hit disproportionately councils that have already taken difficult decisions to become more efficient and give those that have not done so a relatively easy ride?

Photo of John Swinney John Swinney Scottish National Party

As Mr Brownlee will be aware, the Government has made it clear that we expect local authorities to take full part in the 1.5 per cent efficiency gains targets that the Government has set. In my experience, local authorities have contributed a significant amount to that agenda in recent years, as the published reports from the predecessor Administration highlight.

Obviously, local authorities are self-governing organisations that are entitled to take their own decisions. The Government will work with local authorities across a range of areas such as on delivering outcome agreements, simplifying the regulatory burden on local authorities, reducing the level of ring fencing and enhancing the responsibilities of local authorities. We will work with councils on our agenda for public sector reform and to reduce the burden of council tax on individual council tax payers.