Forbes says row over £155m for councils is ‘storm in teacup’
Scotland’s finance minister has said a row over a £155 million coronavirus financial boost due to local authorities is a “storm in a teacup” as she was accused of “micro-managing” budgets and stoking a “war” between councils.
Kate Forbes told MSPS Cosla should decide how UK government money should be allocated to Scotland’s 32 local authorities and she was awaiting its guidance, as she was put under pressure by opposition MSPS about why the cash had not been delivered directly to councils.
The £155m has come to the Scottish Government through Barnett consequentials after the UK government increased its financial support for local authorities in England. However the money has yet to reach Scottish councils and Ms Forbes last week told council leaders to use financial reserves to deal with an increased demand on services.
Scottish Labour’s Sarah Boyack said Ms Forbes was “micro-managing” council budgets and said local authorities were “increasingly unhappy with the lack of support they’ve received”.
But Ms Forbes hit back, saying: “This appears to me as a storm in a teacup. My letter made clear I was awaiting confirmation of funding from local authorities in terms of their need, that was an agreed position with Cosla. I’ve agreed we will pass on that funding in full, but Cosla should inform how that money is allocated, not members in this chamber.”
Ms Boyack said that Ms Forbes should “apologise” for hercommentswhichsmacked “of arrogance” and “an almost wilful ignorance of the tremendous pressure councils are under.”
Scottish Conservative Graham Simpson also demanded to know when councils would receive the cash, and he refuted a claim by Ms Forbes that she was waiting for a “cost exercise” to be completed by Cosla.
Ms Forbes said that she was “happy to confirm again” that the money would be passed on to councils.
Councillor Gail Macgregor, Cosla’s resources spokesperson, said the decision to pass the £155m in full to councils was a positive step in the right direction.