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An error occurred while searching, try again later.Scotland’s councils face a £647 million budget gap despite 6% increases, forcing service cuts and reserve depletion while local government workers battle for decent pay amid the continuing cost-of-living crisis, reports BRENDA AITCHISON

THEY say that a week is a long time in politics, so how does almost one year on from a Labour government being formed in Westminster feel like? It is fair to say that it hasn’t delivered the feel-good factor for working people.
Cuts are still being implemented, and the cost-of-living crisis doesn’t appear to be disappearing anytime soon. This is set against the backdrop of horrific international politics causing heartbreaking loss of life. Billionaires battling it out to further increase their wealth and power. You can see why some people feel overwhelmed and powerless, disengaging from politics, and others seek solace in the clickbait of unchecked rhetoric.
But that is not the way forward, and trade unions are ideally placed within our workplaces to engage and educate, showing that there are positive solutions which will make a difference both here and internationally.
So, how are local government workers doing in June 2025? Well, unfortunately, we are embroiled in another year, another battle for a decent pay increase. Our lives, like those of so many working people in Scotland, are no better than last year.
The cost-of-living crisis continues, with poor pay offers, overwork, and feeling the brunt of public service cuts. The demand for public services has not decreased; rather, the demand is increasing year on year. Huge cuts in health and social care which will affect our most vulnerable citizens and their families. Closure of libraries, reduction in community support services, providing only critical services. But surely all services are critical if the demand for those services is still there.
At the end of last month, the accounts commission issued its report relating to local government budgets for 2025-26. The assessment makes for grim reading, while budgets have gone up by 6 per cent this year, councils across Scotland noted a £647 million difference between anticipated expenditure and the funding and income they receive.
In plain language, this is what is known as the budget gap. These are eye-watering figures — so how do councils try to balance their books? They cut services, restructure services, use their reserves, increase charges or introduce new charges for services which had previously been provided free.
The commission warns that difficult decisions lie ahead with regard to what services can be provided and in what way, and at what cost. The reserves are being used to the tune of £113m across councils in Scotland, but what happens when this money is gone?
Unison has and will continue to argue that we need to look at our taxation system and make it far more progressive. That old phrase that “those with the broadest shoulders” makes perfect economic and political sense. Public services need to be properly funded and not carried out on the cheap. Social care alone costs £4 billion out of a total of £18bn revenue budget, so the need to address the funding issue is crucial. This needs a bold political vision and the will to drive this change forward.
Local government services cover so many different areas of work housing, social work, planning, environment services, libraries, museums, parks, and so many more. All of which impact us in our communities every day, some services we use all the time, some we may not use now, but may need them in the future.
These services and jobs need to be valued, and those workers rewarded with decent pay increases. These workers are part of the community and spend their pay in the community, which in turn keeps other workers in employment in sectors like retail, hospitality and leisure.
Unlike billionaires, we do not squirrel money away in offshore accounts; we spend and that brings benefit into the community, along with tax income for national government. The Scottish parliament election is just under one year away, we need bold choices for Scotland. We need to value the services and value our pay.
Brenda Aitchison is a Unison local government committee member.
