Glasgow City Council facing £50m spending gap over next two years

Sep 27 2012

Glasgow City Chambers picture gallery Image 9

GLASGOW City Council chiefs have revealed a need to make savings of almost £50 million over the next two years.

The local authority's financial forecast for 2013-15 calculated a spending gap of £48.8 million.

Now fears have been raised over job losses and cuts in services as the city's leaders look to scale back their spending.

The report to members said: "Since 2010-11 the council has experienced year-on-year cash reductions in its settlement from the Scottish Government resulting from the current economic climate and the UK Government's reduction in public sector finances.

"Although the overall Scottish local government budget will be standstill over the three-year period 2012-15 the methodology used to distribute funds means that individual local authority budgets will still be subject to fluctuation.

"For Glasgow, the result is that over the next two years, the council's revenue allocation will continue to reduce in cash terms."

A council spokesman said no plans have been made yet for how the savings will be made.

"This forecast sets out the financial challenges facing all Scottish local authorities now and in the foreseeable future," he said.

"We have taken some difficult decisions in the last few years and over the autumn we will be putting together a package which will continue to take the city forward."