Edinburgh residents face 5% council tax hike as council sets budget

Residents in Scotland’s capital will face a 5% council tax hike following a heated debate over the annual budget on Thursday.

City of Edinburgh Council met on Thursday to set the budget for the 2023-24 financial year amid an estimated £79 million shortfall.

The council is currently run by a minority Labour administration with 12 councillors whose budget failed to pass at the six hour-long meeting on Thursday.

Following this, Labour councillors then backed a Liberal Democrat motion which sets out savings such as withdrawing the commitment to no compulsory redundancies and outsourcing cleansing and waste service to the private sector, according to papers submitted ahead of the meeting.

The meeting has provoked reaction across Edinburgh’s political parties, with former council leader and SNP group leader Councillor Adam McVey calling for the resignation of current leader, Cammy Day.

Mr McVey tweeted: “Labour ‘administration’ budget defeated. Labour instead backed the Lib Dem budget in full.

“If my budget had been voted down as Council Leader I’d have had the integrity to resign.”

The Labour group did see one resignation on Thursday, as suspended councillor Ross McKenzie tendered his resignation over what he said was his “exclusion” from the budget process.

Green councillors “tactically voted” to ensure the Labour budget fell after they felt the administration’s budget failed to address climate change.

Co-convener of the Green group on the City of Edinburgh Council, Alys Mumford said: “This was a hard decision for our group, no doubt about it.

“But when you are dealing with a stitch up, sometimes you need to take brave choices. Edinburgh doesn’t have the budget it needs today.

“But we do have a slight glimmer of hope that we will see action for climate justice.”

Leader of the Liberal Democrats on City of Edinburgh Council, Kevin Lang, said he was “delighted” his party’s budget was passed.

He said: “I’m delighted that a majority of Edinburgh councillors backed the Liberal Democrat budget motion today.

“Thanks to the Lib Dems, over £5 million of school cuts have now been stopped. We promised to stop this assault on education and we delivered.

“Our budget will also see a huge investment of extra money into addressing the dreadful state of Edinburgh’s roads and pavements, with extra money too for parks and street cleaning.

“Our council tax rise of 5%, lower than both Labour and SNP budgets, also means better news for residents during this cost-of-living crisis.

“We have always promised that Liberal Democrat councillors would focus on what matters most. We are delighted to have got a budget through that does just that.”

But unions say they are “devastated” at the budget.

Unite’s City of Edinburgh Council branch said: “Devastated the Lib Dem budget passed at City of Edinburgh Council, with its proposals to end the no compulsory redundancy pledge and privatise waste and cleansing services.

“Time for council workers to stand together and fight.”