Aberdeenshire residents will face a 10% increase in council tax from April as the local authority grapples with a rapidly ageing population and a £30 million financial gap.
The tax hike, approved by councillors in a 43-21 vote on Thursday, February 27, will see the annual charge for a Band D property jump from £1,393.42 to £1,532.76.
For those paying the lowest rates, this means an extra £92.90 on their annual bill.
Council leader Gillian Owen warned that without the savings being implemented, an even more dramatic 17% increase would have been necessary. The council has also approved indicative increases of 8% for both 2026/27 and 2027/28.
The tax increase comes as Aberdeenshire faces significant demographic shifts that are putting pressure on public services.
“The demography of Aberdeenshire is one where the child and working population is decreasing, in contrast to our pensionable population,” explained Mrs. Owen. “Those living in the region aged over 85 is projected to rise by 37% by 2030. That is a huge shift in the ageing population who require different support from the council and care services.”
According to council documents, Aberdeenshire has one of the fastest aging populations in Scotland, with a 28% increase in people of retirement age. This demographic change is creating substantial pressure on health and social care services.
The council’s budget includes nearly £14 million in savings across various services. Among the cuts approved are:
- Reduced nursery provision during holiday periods
- Elimination of meals and snacks in early learning settings
- A 15% price increase for school meals for P6 and P7 pupils
- Phasing out the provision of emergency sandbags and flood defenses
- Switching off residential streetlights between 1-5am
The council will also end its funding for Homestart Garioch over the next three years, despite opposition concerns that this would leave vulnerable families without support.
Mrs. Owen highlighted that social care is funded by both the council and NHS, with the local authority required to cover 43% of costs. The Aberdeenshire Health and Social Care Partnership is facing a £26 million overspend this year.
“The need to find additional funding for the health and social care partnership will directly impact on council services,” she said. “There is simply no way to find the extra money needed for care services in the next few years without going further and deeper into council cuts than ever before.”
Deputy Council Leader Anne Stirling acknowledged the difficult decisions being made: “Today, I’m aware that the focus is naturally drawn to what we’re stopping or changing but I do think it’s important to reflect that we remain a major provider of services to our communities.”
Describing the administration’s budget as “a good financial plan for next year and beyond,” Mrs. Owen added: “Our residents won’t find the changes easy, but Aberdeenshire Council is not alone in facing these challenges. The whole of the public sector is facing similar – and in some cases much worse – financial positions.”
The council will spend approximately £802 million in the coming financial year, as part of a wider billion-pound investment in local services from revenue, housing, and capital programs.
