Meeting of the Parliament 11 June 2025
In its reports over the past three years, the Accounts Commission has confirmed that there has been a real-terms funding increase for local government—there has not been a reduction in council funding but, rather, a real-terms increase in council funding.
On the issue of how the funding formulas take account of rurality, the first thing to note is that those decisions are made by the Convention of Scottish Local Authorities, and it is difficult to change formulas that the 32 local authorities have agreed among themselves. I have some sympathy with those who question whether issues such as rurality and deprivation are adequately covered by the formulas that COSLA has agreed with the 32 local authorities, but it would be very unwise of me to try to overrule something that has been collectively agreed by the 32 local authorities.
We will continue to discuss with COSLA the best way to ensure that all local authorities in all parts of Scotland get a fair settlement, but that decision is primarily one that is made by the 32 local authorities.