Councillors agree ‘one-off’ budget

Councillors have given a preliminary thumbs-up to what has been called a “one-off budget for uncertain times” by the Orkney Islands Council (OIC) leader James Stockan.

The budget, which came before OIC’s Policy and Resources Committee yesterday morning, will see council tax rise by 4.79 per cent, if it is given final approval at a forthcoming meeting of full council,

It was also agreed that £83.9 million should be spent on running council services in 2019-2020. A savings target of £350,000 for the next financial year was agreed — considerably less than the average savings of £1.6 million made each year by the council between 2011 and 2019. However, the committee heard that the target for 2019-2020 can be achieved without the need to reduce the council’s workforce.

Mr Stockan, said: “We face unique and difficult circumstances in setting a budget for the year ahead and our deliberations today and over the past six months reflect this.

“Uncertainty surrounds the Brexit process, but it seems certain there will be an impact on our community whatever the outcome. On top of that, uncertainty remains over how much support we will receive from the Scottish Government to run our inter-islands ferries — as we continue to argue for fair funding.

“Our aim is to set a one-off budget for uncertain times and avoid making the year ahead even more challenging for the council and community we serve. Savings are needed, but we have sought to minimise cuts to services by increasing our income — by introducing new charges for example.

“We will also need to draw down £6.1 million from the council’s reserves. This is considerably higher than the usual contribution and would be unsustainable if it was to continue year after year.”

At yesterday’s meeting councillors also recommended that:

• Council Tax charges should rise by 4.79 per cent, which would increase the Band D annual charge from £1100 to £1153.

• Existing fees and charges for Council services should increase by at least 3 per cent from Apri 1l. Exceptions would include Orkney Ferries fares, fees for planning applications and building warrants, licensing, trade waste collections, and social care charges that are set by legislation.

• Following a recent consultation exercise, new charges should be introduced for electric vehicle charging; replacement refuse bins; collecting and kennelling stray dogs; planning permission amendments; and caravans, motorhomes and tents using carparks and other council land.

• Following the same exercise, there should be above-average increases in charges for longer-than-permitted stays at car parks; special collections and disposal of bulky household waste (but not in the North and South Isles); and road closures for road works.

The committee’s recommendation that Council Tax bills in Orkney should increase by 4.79 per cent from April 1 would bring in an additional £415,800 in revenue for OIC. An increase in the number of Band D properties will result in an additional income of £142,200, with a surcharge on empty properties expected to raise £67,700 over the year ahead.

For more on this story pick up a copy of tomorrow’s edition of The Orcadian.