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Scottish budget 2016/17: John Swinney defends council budget cuts Scottish budget 2016/17: John Swinney defends council budget cuts
(35 minutes later)
Scotland's Finance Secretary John Swinney has defended his budget decision to cut local government revenues by 3.5% for 2016/17.Scotland's Finance Secretary John Swinney has defended his budget decision to cut local government revenues by 3.5% for 2016/17.
He told BBC Radio Scotland's Good Morning Scotland programme that in England councils had faced reductions of about 27%.He told BBC Radio Scotland's Good Morning Scotland programme that in England councils had faced reductions of about 27%.
But the Scottish Lib Dems said the cuts were a "significant hit". But local government body Cosla said the cuts were "totally unacceptable".
Mr Swinney's budget, delivered on Wednesday, pledged no change to income tax and a continued council tax freeze.Mr Swinney's budget, delivered on Wednesday, pledged no change to income tax and a continued council tax freeze.
The minister said his government had been fair to Scotland's 32 councils over many years.The minister said his government had been fair to Scotland's 32 councils over many years.
He said: "If you compare the situation of Scottish local government with English local government - English local government over the last few years has gone down by 27% in its funding and Scottish local government is essentially had flat cash from the Scottish government for a number of years so it starts from a much higher baseline figure for the provision of local authority service." He said: "If you compare the situation of Scottish local government with English local government - English local government over the last few years has gone down by 27% in its funding and Scottish local government has essentially had flat cash from the Scottish government for a number of years, so it starts from a much higher baseline figure for the provision of local authority service."
Mr Swinney argued that the revenue reduction had to be seen in the context of funding increases elsewhere.Mr Swinney argued that the revenue reduction had to be seen in the context of funding increases elsewhere.
He explained: "Now the reduction of 3.5% is in resource terms, but that is not the only thing you have to look at.He explained: "Now the reduction of 3.5% is in resource terms, but that is not the only thing you have to look at.
"You have to look at the fact I announced one of the largest reforms in the delivery of health and social care there has been since the foundation of the National Health Service in 1948 with an injection from the health resources of £250m into the delivery of health and social care services at local level.""You have to look at the fact I announced one of the largest reforms in the delivery of health and social care there has been since the foundation of the National Health Service in 1948 with an injection from the health resources of £250m into the delivery of health and social care services at local level."
Other measures proposed by Mr Swinney included; 'We got a huge cash cut'
However, Councillor Michael Cook, who is vice president of Cosla which represents most Scottish councils, said the cut to council funding was the result of policy choices by the Scottish government rather than a "pass-on" from Westminster.
He told BBC Radio Scotland's Good Morning Scotland programme: "Not only have we got a huge cash cut, but we have massive additional pressures and all of this boils down to a picture of job losses and services slashed.
"An assessment has been done in relation to the potential job impact and that looks like 15,000 jobs - that is equivalent to 50 Tata steelworks and that is the nature of the pressure that we are talking about."
Mr Cook said the "firm view" of local authorities was that the council tax freeze was not fully funded by the Scottish government, and that a 3.5% cut in their budget was "unprecedented".
Other measures in Mr Swinney's budget included;
Conservative MSP Murdo Fraser said Mr Swinney was right not to change income tax and to continue the council tax freeze.Conservative MSP Murdo Fraser said Mr Swinney was right not to change income tax and to continue the council tax freeze.
However, he added: "The squeeze is nowhere near the levels that John Swinney was suggesting - but he had the answer himself.However, he added: "The squeeze is nowhere near the levels that John Swinney was suggesting - but he had the answer himself.
"He could have chosen, if he wanted, to take a different route. He could have chosen to have more resources available to him by using the tax powers that the SNP have been campaigning for, for years and he bottled it.""He could have chosen, if he wanted, to take a different route. He could have chosen to have more resources available to him by using the tax powers that the SNP have been campaigning for, for years and he bottled it."
'Budget for an election'
Willie Rennie, leader of the Scottish Liberal Democrats, said Mr Swinney had chosen not to end austerity, although he had had the opportunity to do so.Willie Rennie, leader of the Scottish Liberal Democrats, said Mr Swinney had chosen not to end austerity, although he had had the opportunity to do so.
On local government cuts, the MSP said: "Local government has been hit significantly in this budget. He has hidden that in the statement but the impact on local government is significant. That's our schools and that's our care services and the services that everyone relies on in their community."On local government cuts, the MSP said: "Local government has been hit significantly in this budget. He has hidden that in the statement but the impact on local government is significant. That's our schools and that's our care services and the services that everyone relies on in their community."
Labour's Jackie Baillie said that the finance secretary had produced a "budget for an election".Labour's Jackie Baillie said that the finance secretary had produced a "budget for an election".
She added: "This is not a long term anti-austerity budget and we felt that the opportunity was there to take a three-year look at the finances of the country, but to do so in conjunction with the new powers we know are coming to the Scottish Parliament - powers over taxation and welfare."She added: "This is not a long term anti-austerity budget and we felt that the opportunity was there to take a three-year look at the finances of the country, but to do so in conjunction with the new powers we know are coming to the Scottish Parliament - powers over taxation and welfare."