“Record investments in roads, vital social care support, lifeline for library and leisure services, investment for local areas, and valued local services protected, along with the jobs needed to deliver them. Today’s decisions avoid brutal losses of service and keep vital support there for our communities.”
Argyll and Bute Council today set a budget to address a gap of more than £13 million in the council’s 2026-27 budget for day-to-day services.
Councillor Jim Lynch, Leader of the Council said:
“This year has been one of the most challenging budgets this council has faced. Services and support that we know people rely on were going to be lost to the budget black hole.
The council continues to deliver millions of pounds of efficiencies. But the scale of the budget gap meant that increasing council tax had to be part of budget decisions, to save vital services that many people have told us really matter to them. This decision is easy to criticise, extremely difficult to take, but the responsible choice given what it makes possible. It saves services and investment that protect and develop the wellbeing and economy of Argyll and Bute.”
Savings proposals rejected include the closure, sale or transfer of all public toilets, closure of walk-in customer service points, reduction in the roads winter maintenance (gritting) and street sweeping services, the loss of environmental wardens, and the reduction of funding for leisure and library services delivered through Live Argyll. The budget gap had also included multi-million pound cost pressures from the growing demand for social care services for elderly and vulnerable people.
These decisions also saved 30 people’s jobs required to deliver services.
With national funding, council savings of £4.6 million, and a council tax increase of 9.7%, budget decisions today include:
- Record investment of £24 million in the Roads Reconstruction Budget, over two years, 2026-2028
- £6 million Weather Resilience Fund to restore and repair infrastructure on which day-to-day community life depends.
- Increasing funding to the HSCP (Health and Social Care Partnership) by more than £4 million taking the total to £93.1 million in 2026/27. This investment provides vital life enabling/saving support to our most vulnerable people.
- Freezing school meal charges
- Providing £72,000 to foodbanks across Argyll and Bute and its islands to help those in need (£6,000 each to 12 foodbanks)
- £220,000 funding dedicated to local areas, through area committees and community councils
The value of these investments alone equal the value of around a 7% council tax increase.
As well as continuing to fund the wide range of council services, the budget also provides support for leisure, tourism, and regeneration initiatives including:
- Increased funding in library and leisure services delivered through Live Argyll – increase in 2026/27 of £154,000
- CHARTS (Culture, Heritage and Arts)- £95,000
- Argyll and the Isles Tourism Co-operative - £75,000
- Mactaggart Leisure Centre, Islay - £30,000
- Community Sports payments for shinty and rugby development in 2026/27 - £20,000
Councillor Ross Moreland, Policy Lead for Finance Services said:
“We are asked sometimes why the council always has a budget gap. Councils depend on national funding as well as council tax. No council has enough. On top of that Argyll and Bute faces particular issues – our geography demands significant services most other councils do not deliver, namely air and sea transport; it can also make services more expensive to deliver, with our population spread widely across the second biggest mainland council areas and highest number of island communities.
Decisions made today deal with the harsh reality of local government finance and keep council services and support there for people who need them."
Setting the budget included the council delivering £3.1 million of management and operational savings, £1.5 million in debt charges due to prudent management, and losing posts.
Council Tax to be paid for chargeable dwelling in Band “D” is £1,783.33, an increase of 9.7%.
Information is available on the website about council tax reduction benefits for those in greatest need.
Notes
- FTE (full time equivalent) jobs saved – 19.8
- FTE jobs lost – 16.4
- Public toilets –the council has heard from community groups who are interested in taking some public toilets on to run at a local level and will work to explore what might be possible.
