Council tax will rise by 3% in April in Aberdeenshire.
The below-inflation increase will see a 75p a week rise for those in Band D properties, or £39.02p a year.
Councillors agreed this morning to the rise on a 57 – 3 vote (with four councillors declining to vote).
The proposal was backed by the administration (Conservatives, Liberal Democrats and independents) and the opposition (SNP, Labour and independents), but was opposed by Alba councillors who wanted a tax freeze. The Green group of two councillors proposed a 5.4% rise, which gained no other support.
The administration group pledged that 0.5% of the council tax rise will be earmarked for an infrastructure fund to improve roads, bridges and buildings.
Council tax equates to 20% of the local authority’s budget, with the balance coming from government grants and charges.
A cost of living payment of £150 will be made to households with a council tax band of A to D, previously announced by Westminster and passed to the Scottish Government in recognition of the rising cost of living, in particular on food and energy.
Full council also heard that there are no plans to introduce a workplace parking levy, new powers which are being given to councils by the Scottish Government.
A detail budget on how council funds will be spent in the coming financial year will presented to the next full council meeting on 9 March.
Councillors also agreed – without the need for a vote – to increase council house average weekly rents by 1.5% from 1 April, with an annual review thereafter for 2023/24.
The new average weekly rent will rise by £1.26 to £85.37.
A notional rent increase of 2.5% for 2023/24 and 3% for 2024/25 was also agreed, subject to tenant consultation and further consideration and approval by the Communities Committee.
The number of mainstream houses held in 2022/23 is expected to increase from 13,070 to 13,272 by 31 March 2023. These additional units, together with the rental rise of 1.5%, will result in an overall budgeted rental income for 2022/23 of £58.8m.
The graphic comes from the council.
It really is time for council taxes to be reviewed and updated. Where is it fair to only charge the top rated properties at just over 3 times the increase of the lowest rated, when the value of these properties from lowest to highest must be a much much higher multiple. Pressure should be put on the SNP government to fulfil one of their long standing promises and ease the burden on those with the lowest income, from paying a relatively higher proportion of their income.
As you rightly say, the SNP pledged over the years to change or replace council tax, but nothing significant has happened.