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Scottish councils face £96m NI black hole
Coins in a Saltire purse

SCOTTISH councils face a £96 million bill to cover the rise in employers’ National Insurance (NI) contributions, Cosla has warned. 

The local government association spoke out after Scottish Finance Secretary Shona Robison announced on Tuesday that her government would only meet 60 per cent of authorities’ extra costs.

Cosla resources spokeswoman Katie Hagmann said: “This leaves the remaining 40 per cent with no additional funding, leaving a gap of £96m.

“Difficult decisions will still need to be made as councils look to protect essential front-line services.”

Ms Robison said she would “continue to press the UK government to fund the costs of its policy.”

A British government spokesperson has said support will be forthcoming. 

But as the haggling continues, STUC general secretary Roz Foyer said that “this is no time for the political blame game,” adding: “We supported the tax-raising measures within the UK Budget.

“That support made the assumption the UK government would see sense and ensure no harm, indirect or not, would befall Scotland’s public services.

“We would urge both sides to get round the table and work together for the greater good of our communities.”

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