People living in the Stirling Council area will see their council tax rise to 8.8% from April 1 as part of the local authority’s 2025-26 budget decisions.
Councillors voted in favour of leading party Labour’s budget proposal during a full council meeting on Thursday (February 27).
The motion passed by 12 votes to 11, after a majority of councillors rejected the SNP’s proposed amendment to Labour’s budget, after some heated back and forth between council members.
Stirling Council is tasked with saving enough cash to plug a £12.3 million shortfall during 2025-26.
The Scottish Government will provide £8.3m to the council, with £4.2m left after ring-fencing to address cost pressures.
Controversial proposed cuts ditched
Earlier this week, a host of harsh proposed cuts to public services across Stirling were scrapped ahead of the final budget decision.
These included the suggested axing of both mental health support and music tuition in schools, a reduction in library opening hours, and the slashing of charity funding.
The proposals were dropped after locals strongly opposed many of the money-saving measures during a public consultation.
However, as well as the council tax hike, Stirling residents will still see car parking costs increase in some areas as a result of the newly approved budget.
How much more council tax will I have to pay?
Those on the lowest council tax band will pay an extra £87 per year, rising to £320 for the highest band.
A band-D property will go up by £130.
According to Stirling Council, every 1% increase in council tax equates to around an extra £0.6m for the local authority.
The new prices will be as follows:
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- Band A – £1,074.59 (up from £987.67)
- Band B – £1,253.68 (up from £1,152.28)
- Band C – £1,432.78 (up from £1,316.89)
- Band D – £1,611.78 (up from £1,481.50)
- Band E – £2,117.82 (up from £1,946.53)
- Band F – £2,619.29 (up from £2,407.44)
- Band G – £3,156.58 (up from £2,901.27)
- Band H – £3,949.09 (up from £3,629.68)
This does not include water or waste water charges.
When presenting Labour’s budget motion, council leader Gerry McGarvey welcomed the Scottish Government’s decision to lift its council-tax freeze and allow local councils to set their own rates again.
He said the 8.8% jump was “still higher than we would have liked”.
National Insurance increase will eat into council budget
During Thursday’s council meeting, independent councillor for Bannockburn Alasdair MacPherson highlighted that the UK Government’s upcoming employers’ National Insurance rise will add an additional £4m pressure on Stirling Council’s finances.
This will mean around 3% of council tax cash will be spent on employers’ National Insurance.
The council’s chief finance officer confirmed this, saying promised Scottish Government funds to help with the shortfall will only cover around 60% of Stirling Council’s expected increased National Insurance costs.
Bickering between councillors
Prior to the budget decision, several councillors took swipes at each other, with Stirling East’s Gerry McLaughlan of the SNP calling Labour’s proposed budget “lazy” and “apathetic”.
Stirling West Conservative councillor Neil Benny supported Labour’s motion, calling for cooperation between parties within the council.
He said the Conservatives had worked with the Labour administration on the budget, adding: “By God, do I wish the SNP had been at those meetings.”
Labour and Conservative members accused the SNP contingent of refusing to work collaboratively.
But Forth and Endrick’s Rosemary Fraser argued that her party had offered to form an official coalition with Labour, which was rejected.
Ahead of the vote, Mr McLaughlan said: “Our budget is the best budget. It will get voted down because the deal’s been done under the table.”
But Mr McGarvey argued that the Labour and SNP budgets were ostensibly the same, saying: “There’s not a cigarette paper between the budget motion and the amendment.”
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