Council 'needs clear plan to tackle £81m budget gap'

Aberdeenshire Council needs to set out how it plans to tackle an £81m budget gap in the coming years, Scotland's public spending watchdog has said.

A report from the Accounts Commission described the local authority as "well-run", but warned it faced challenges, such as an ageing population.

It said the council's projected budget gap was among the largest in Scotland.

The council said the report recognised the significant financial challenges it faced, and it looked forward to discussing the findings and using the recommendations.

The watchdog said the projected funding gap over 2025/26 to 2029/30 was £81.4m.

It said "strong collaborative leadership between councillors and senior officers" was needed.

The Accounts Commission said the council had clear priorities, with the performance of many services improving, but highlighted challenges created by its geography and ageing population.

The report said the council was working to address significant financial and service pressures across local health and social care services, but significant change was needed to ensure it can continue to deliver local services in an affordable way.

Accounts Commission chair Jo Armstrong said: "Whilst this is a well-run council, there is a clear need to set out how it will plan and deliver savings through transformation.

"The council's projected budget gap is amongst the largest in Scotland.

"The importance of the council meeting its own June deadline to deliver its plans for savings and transformation is critical."

Aberdeenshire Council chief executive Jim Savege said it was pleasing that strong connections with communities had been highlighted and it had been recognised as a well-run council.

"The report recognises the significant financial challenges we are navigating, and that a clear plan of savings and transformation is critical for us to achieve financial stability over the coming years," he said.

"With that in mind, we look forward to discussing the findings in more detail and using the recommendations that follow to underpin our activities over the months ahead."

Last month, the local authority decided that council tax would rise by 10%.