Perth and Kinross Council is considering a substantial 10% council tax increase to address the growing financial challenges in funding essential services such as health, social care, and education. SNP council leader Grant Laing highlighted the pressing need for more funding as the demands on the local authority continue to rise. However, PKC Labour councillor Alasdair Bailey suggested that such steep tax hikes may not be necessary if the Scottish Government utilises the funding allocated by the UK Government in the recent Westminster budget.
The proposed council tax rise would be part of a three-year plan, with indicative increases of 10% for 2026/27 and 6% for 2027/28, aimed at providing stability and predictability in budget planning. This strategy aims to ensure the proper allocation of resources to meet the increasing demands for public services, especially in the areas of complex care for adults and support for children with additional needs in schools.
PKC Liberal Democrat councillor Peter Barrett criticised the previous year’s council tax freeze, describing it as “insane” and attributing it to underfunding and cuts from the SNP Scottish government. He emphasized the importance of a realistic council tax strategy to safeguard vital services and support the community amid the ongoing cost of living crisis.
Council leader Grant Laing stressed the significance of the proposed tax increase in generating over £10 million to safeguard essential services and invest in addressing poverty. He highlighted the need for bold solutions to meet the rising costs of providing crucial services for those most in need.
The final decision on the council tax levels for the upcoming budget year will be made in February. PKC councillors are deliberating on the proposal to ensure effective long-term financial planning to protect vital services and sustain investments in the community’s infrastructure. The plan includes redirecting an additional 0.25% of council tax revenue towards supporting capital projects to ensure the sustainability of these investments.
Overall, the council tax rise proposal in Perth and Kinross reflects the persistent financial challenges facing local authorities as they strive to meet the increasing demands for essential services while managing rising costs. The debate around finding a balance between funding critical services and alleviating the burden on local taxpayers underscores the complex financial landscape that councils navigate in ensuring the well-being and development of their communities.