“There will not be enough money next year to provide everything communities want us to. The huge budget gap, and growing demand for council-funded services, will significantly affect what we can do. We want to provide the services our communities want. But council services need council funding. I would encourage everyone to back fair funding for ɬ’s council services.”
With one of the most difficult budget positions of recent years expected for 2026/27, Councillor Ross Moreland, Policy Lead for Finance Services set out the financial challenges facing the area’s council services:
“I am sometimes asked why there are council budget gaps every year. Very simply it’s because demand and costs for services increase, but our funding doesn’t match those increases and can go down.
Just some examples of what needs funding - the council transports 3,000 school children to school every day in term time. Our school and public transport service contracts increased by £1.7 million between 2024 and 2025 alone and are expected to go up again next year. At the same time costs of transport for young people with additional support needs went up by £500,000.
Maintaining the buildings and IT equipment for our school pupils is costing £655,000.
Budget pressures will be unrelenting into next year with increases expected for example of £800,000 for schools residential accommodation for vulnerable children, £2.4 million for waste management to comply with the national landfill ban, and another £500,000 for older people services. I could go on.
Communities have the chance to join us in campaigning for funding for council services in ɬ by simply saying ‘yes’ to fair funding.”
The council works through CoSLA (Convention for Scottish Local Authorities) to raise the case for funding with the Scottish Government, the main provider of funding for local government.
Estimates show the council is facing another £15 million funding gap next year, rising to £58 million over the next five years.
Council Leader, Councillor Jim Lynch, said:
“We all use council services in some way every day. There’s no getting away from the harsh fact that bridging another £15 million budget gap next year will need very difficult decisions.
Tell us you support fair funding for your council services and we’ll take that feedback to CoSLA as part of campaigning for funding to sustain services.”
As well as pressure on budgets for running services, the council faces significant projects costs to improve our infrastructure.
A recent example was the £2.5 million cost for re-building one of the area’s 900 bridges, irreparably damaged in a storm (Balliemore in Glen Lean). Or the estimated £96 million investment needed for one of its 36 piers and harbours (Craignure on Mull).
Please say yes to fair funding
