Island councillors have approved a 7.5% increase in Council Tax.
Western Isles households will start paying the rise from April.
Comhairle nan Eilean Siar faced a recommendation to put it up by 8% when setting
its budget yesterday (Monday) but agreed to a SNP Group motion to cap the figure
at 7.5%.
SNP Group Leader, Frances Murray, who tabled the proposal, seconded by Convener Kenneth
Macleod, said money allocated by Depute First Minister, Shona Robison, to mitigate
the effects of a hike in employer National Insurance rates could make up the difference.
A separate bid by SNP councillor Gordon Murray for a lower increase of 3% was defeated
by 26-2 at the full council meeting.
Later Frances Murray said: “There is no doubt that there are heavy financial burdens
on people in our communities at present, whether as a result of the two Child Cap,
the cancellation of most Winter Fuel Payments, or the increases in energy prices.
In light of this, it is incumbent on us to ensure that our Council Tax rate increase
is as low as possible.
“However, the effect of the hike in the employer National Insurance rate is particularly
noticeable in Scotland, as we have a proportionately bigger public sector. This is
even more true of our own situation in the Comhairle, where we deliver most services
‘in house’. It is inevitable that this Westminster decision will lead to increased
Council Tax rates. The effect of the increase was simply not thought out by the Chancellor
in her autumn statement.
“When inflation is factored in, with the recent rise driven by higher energy prices
as a result of broken promises by the Labour Government, councils everywhere face
difficult decisions, whilst trying to protect services and jobs."
She continued: “In these circumstances, we need to ensure that the money allocated
by the Scottish Government to mitigate the National Insurance rise must be passed
on to our population.
“It would be great to be in a position to suggest a lower figure, but we also have
to be pragmatic. When we look around the country at some of the rates being set elsewhere,
7.5% compares quite favourably. Only this afternoon, an increase of 15% was proposed
in Orkney.”
Ms Murray urged for as much support as possible to continue to be offered to people
in need in island communities. She also commended the work of the Islands Cost Crisis
Emergency Fund (ICCEF) in alleviating hardship.
Western Isles Council Tax rises by 7.5%
26 February 2025