£1bn 15-year council capital plan approved

Highland Council has agreed a 15-year capital plan with a £1 billion investment in schools, roads and flood schemes.

At Friday’s full meeting of the local authority, budget leader Councillor Alasdair Christie called the medium-term financial plan a ‘holistic, inclusive and horizon scanning’ vision.

‘This is a good news story,’ said Councillor Christie. ‘It’s a £939m investment in education, property and the maintenance and safety of our buildings. It will create jobs and opportunities across Highland.’

Councillor Christie said this was the first time that the council had produced a 15year vision – made up of five years’ firm commitments, five years’ indicative spend and five years’ showing ‘where we want to be’.

However, his administration colleague Matthew Reiss resigned as vice-chair of corporate resources committee saying it was only 20 per cent affordable.

He added that major infrastructure projects including the Corran ferry, Stromeferry bypass and waste-to-energy plant were all under threat.

Conservative group leader Councillor Andrew Jarvie dubbed the ‘long list’ the ‘long grass’.

Council leader Margaret Davidson insisted that the projects were priorities.

‘We need more capital and we’re not finding it, so we’re asking for help,’ she said.

The report states that larger capital spends require additional external funding, or a means of becoming self-sustaining.

The state of Highland’s roads – and the blame for their condition – continued to divide opinion. Councillor Jarvie said the capital commitment was ‘nowhere near good enough.’

He tabled an amendment that the entire capital plan should be delayed for discussion at a special meeting of the council.

Councillors at last week’s economy committee heard that 39 per cent of Highland roads needed to be repaired, and the council needed to spend £26m each year for ‘steady state’ – ie to stop the roads deteriorating further.

The council has committed just £8m in capital from 2023.

‘This is nowhere near good enough,’ said Councillor Jarvie. ‘The £26m should be sewn into the fabric of the budget. If we can’t sustain that we’ll continue to decay.’

Councillor Peter Saggers summed it up briefly: ‘We can’t afford to do half of what we’d like to do and there’s no hope of Edinburgh riding to the rescue.’

Councillor Davidson acknowledged that while officers were still combing through the detail, it appeared that the Scottish Government grant to Highland Council represented flat cash. ‘If that’s the case we need to find savings to invest more in our roads. We can’t keep dipping into our reserves.

‘Our roads need capital but they also need revenue to rebuild the service,’ she said.

SNP and administration members voted together to defeat Mr Jarvie’s amendment, and Highland Council’s capital plan was agreed.