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Orkney's council tax could rise by 15% Orkney's council tax could rise by 15%
(about 7 hours later)
A full meeting of Orkney Islands Council will be asked to vote on the recommendation at a later dateA full meeting of Orkney Islands Council will be asked to vote on the recommendation at a later date
Councillors in Orkney have voted narrowly in favour of a proposed 15% increase in the islands' council tax - after rejecting a suggested rise of 20%.Councillors in Orkney have voted narrowly in favour of a proposed 15% increase in the islands' council tax - after rejecting a suggested rise of 20%.
Officials had recommended putting the rate up by 11%, but councillors voted 11-10 in favour of 15%.Officials had recommended putting the rate up by 11%, but councillors voted 11-10 in favour of 15%.
A full meeting of the council will be asked to approve the rate.A full meeting of the council will be asked to approve the rate.
Shetland Islands Council has agreed to a 10% increase in bills, while Western Isles authority Comhairle nan Eilean Siar is expected to agree to an 8% rise. Shetland Islands Council has agreed to a 10% increase in bills, while Western Isles authority Comhairle nan Eilean Siar has agreed on a 7.5% rise.
For an average band D property, the increases would mean an annual bill of:For an average band D property, the increases would mean an annual bill of:
Orkney - £1,574.59Orkney - £1,574.59
Shetland - £1,386.67Shetland - £1,386.67
Western Isles - £1,394.01 Western Isles - £1,378.67
Shetland islanders will see their bills rise by 10%Shetland islanders will see their bills rise by 10%
In Orkney, the proposed increase is forecast to raise an extra £1.7m for the council.In Orkney, the proposed increase is forecast to raise an extra £1.7m for the council.
It has identified the need for £700,000 savings, increasing charges for its services by 10% and introducing new charges for services such as telecare.It has identified the need for £700,000 savings, increasing charges for its services by 10% and introducing new charges for services such as telecare.
It faces using up to £20m from its reserve fund to maintain its services.It faces using up to £20m from its reserve fund to maintain its services.
An 8% rise has been proposed in the Western Isles A 7.5% rise has been agreed in the Western Isles
Shetland's deputy leader Gary Robinson said the 10% rise would help the island authority to get back to a more sustainable position.Shetland's deputy leader Gary Robinson said the 10% rise would help the island authority to get back to a more sustainable position.
He said Shetland had had the lowest council tax rate in Scotland for years.He said Shetland had had the lowest council tax rate in Scotland for years.
Council officials had been recommending a rise of 5%.Council officials had been recommending a rise of 5%.
The local authority is still expected to need to draw about £36m from its reserves to balance its new budget.The local authority is still expected to need to draw about £36m from its reserves to balance its new budget.