Dundee City Council is staring down the barrel of a £15.6m shortfall in their efforts to balance next year’s budget.
It is the equivalent of a near 30% hike in council tax unless drastic savings are made.
The figures outlining the local authority’s bleak financial position were revealed in a report due to go before the city governance committee on Monday.
It’s outlined the council will likely be required to make savings from across areas including children and families services, city development and corporate costs.
The £15.6m savings requirement amounts to a 9% reduction across seven service areas.
This, the report adds, represents an “exceptional challenge”, with the level of funding needed to deliver a balanced budget equivalent to a 29% increase in council tax.
Savings options explored
To help councillors set a balanced budget, officers have been identifying potential savings that could be implemented.
These include savings that would impact services provided throughout the city by the council.
They are also looking at ways to generate income to the local authority, including fees and charges to ensure that the costs of service provision are fully recovered.
Savings in staffing costs are also being examined.
Leisure and Culture Dundee will be asked to identify how savings could be made from their management fee.
The arms-length organisation is funded through a combination of this, which is paid by DCC, and income generated through charging for their attractions.
Any savings will be informed through a review into their funding which was approved by councillors in August.
Further reports on potential savings will be presented to councillors in due course.
The 2025/26 Dundee City Council budget will be set in February.
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