Mounting pressures from inflation, increasing costs and demand are exceeding the Scottish Government’s additional investment in Scotland’s councils. In 2025/26 councils received over £15 billion in government funding, with more money set to be raised from council tax and charges for some services. With communities paying more for services, their expectations are increasing.
The Scottish National Investment Bank will not be able to end its reliance on public funding unless ministers can make a case for UK Treasury rules to change.
The bank was launched in 2020 to independently invest in commercial projects that will help address the climate crisis, boost innovation, and improve the wellbeing of communities. It has made good progress since then. By the end of 2024/25, it had:
Tackling climate change is one of the greatest challenges we face – and public audit has a clear role to play. Experts have warned that urgent and decisive action is needed to reduce greenhouse gas emissions and build resilience to the impacts of climate change.
An ambitious plan to improve transport, roads and buildings, as well as a greater shift to using digital to deliver services, has the potential to transform the Highland Council’s services over the next 20 years.
Delivering its capital programme could prove challenging. Borrowing costs are high compared to the Scottish average. Councillors and senior officers need to be confident these plans are affordable.
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Argyll and Bute Council has a real opportunity to harness a long-standing culture of innovation as it looks to close a funding gap of nearly £29 million, rethink how services are delivered and ensure it has a stable workforce.
In a new report, the Accounts Commission recognises the council has delivered significant, recurring savings, at a time when all councils are facing pressures from rising demand and increasing costs. Now the council needs to take a more strategic approach to transformation and redesigning services, to help make the savings needed.
A Scottish Government agreement with GPs to improve general practice has failed to deliver on several of its commitments.
The 2018 General Medical Service (GMS) contract aimed to address the financial pressures and growing workloads facing GPs, and to improve patients’ access to care. However, seven years on:
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Community health and social care finances are increasingly precarious. Integration Joint Boards (IJBs) must urgently work with their partners in the NHS and councils to reform how they deliver services to achieve financial sustainability.
