OIC stands firm on tax position as it awaits word of funding

Orkney Islands Council (OIC) is yet to hear whether it will be getting additional funding from the Scottish Government which would allow it to freeze council tax.

On February 27, councillors agreed that they would go against recommendations for a ten per cent tax hike — but only if they received an extra £1.1million from the government.

While £900,000 of extra cash has already been green-lit by government, confirmation of the rest has had to wait until this Wednesday’s announcement of the Westminster Spring Budget. This is because any funding would be made available from Barnett consequentials handed to Scotland by the UK Government.

However, OIC confirmed this evening that it had not yet received word from Bute House on whether the extra £240,000 will be forthcoming.

A council spokeswoman said: “We understand that the Scottish Government are currently analysing the figures that have been announced by the UK Government this afternoon — and they will be in touch with us in the coming days to confirm their funding position.

“Our position remains that a local Council Tax freeze would be contingent on the funding coming through.”

Read more about OIC’s financial position in The Orcadian, available online and in shops from Thursday.