Local council services are funded via two types of budgets

Capital and Revenue

Capital

Capital is money that can only be used once for long term investments - new or upgraded roads, schools, building extensions, new play parks are just some examples of capital projects. These are one off investments, and they are not reoccurring costs.

• Here is the detailed Capital budget information [487KB]

Revenue

Revenue pays for the day to day services - similar to your household bills - things that always require funding. Some examples include waste services, transport, environment services, the day-to-day running of schools and social care services.

• Here is the detailed Revenue budget information [1MB]

Housing

Housing budgets are agreed and funded separately

The Housing Capital Investment Programme for 2023/24 to 2027/28 was approved at a meeting of West Lothian Council on Tuesday 7 February alongside the approval of the Housing Revenue Account Budget covering the same period. 

• Housing Capital Investment Programme for 2023/24 to 2027/28 [5MB]

Budget at a glance

West Lothian Council today (21 February) agreed its Revenue Budget for next year (2023/24) which will see £525 million being invested in local services and support for local people, families and communities.

A Council Tax increase of 5.8% for all bands has been approved for 2023/24, which is below the current rate of inflation. Council Tax rates in West Lothian will remain below the Scottish average.

 The 5.8% increase will generate income of £5.431 million that will be spent on delivering, protecting and improving local services in West Lothian and will help to prevent a number of proposed service savings measures being implemented. There are discounts and exemptions in place to reduce Council Tax for the most vulnerable in society, including the Council Tax Reduction Scheme.

Where will the council's budget be spent?

Approximately 80% of the council's total revenue budget will be spent on three priority areas, Education, Social Care and Operational Services.

Education will continue to see the largest single investment with £218.5 million being spent next year.

Over £131 million will be invested in Social Policy (with the majority of the funding delegated to the Integration Joint Board) which includes social work, care at home,  care for vulnerable people and care homes.

Nearly £62.1million will be spent in Operational Services - which covers many vital local services such as roads, waste disposal, parks, maintenance of open spaces, flood prevention, community transport, subsidies for public transport, recycling centres and street cleansing/facilities management, which includes janitorial, cleaning and catering staff.

The council has also agreed a five-year revenue budget strategy and a detailed revenue budget for the next three-years which includes savings measures that will allow the council to balance its budget.

• Details can be found within the Revenue budget paper [1MB]

Why is there a budget gap?

The council have significant and sustained budget pressures caused by increasing costs and a growing population, which is combined with insufficient levels of Scottish Government grant funding. The Scottish Government provides the council with 80% of its budget and grant from the Government is expected to be less than required for the council to deliver essential local services. This results in a budget gap. The council has to reduce spending and change some local services as they are legally required to close the budget gap and balance their budget.

Over the next five years the council estimate that they will have to make savings of approximately £39.4 million pounds with £15.5 million of savings required in 2023/24.

A number of budget saving measures have been approved which will allow the council to balance its budget. Savings measures overall will be implemented over the next five years with some measures being implemented from April 2023.

At a glance: Service changes approved

• Summary of approved budget saving measures can be found within the Revenue budget papers [1MB]

Here are some examples of approved budget saving measures:

• Considering where numbers of community centres could be reduced with minimum impact on local communities
• Removal of the concessionary rail scheme
• Closure of the animal attraction at Beecraigs Country Park
• Reduced winter maintenance service whilst maintaining the statutory obligations
• Revised community recycling centre opening hours (all sites will remain open)
• Changes and reductions to management structures and internal workforce changes
• Continue breakfast club provision but realign and match the level of service with the funding received from the Scottish Government
• Continue Instrumental Music provision but realign and match the level of tuition with the funding received from the Scottish Government
• Support West Lothian Leisure to become fully self-funded with no requirement for a management fee from the council
• Reduction in energy savings (heating, renewables and swimming pools)
• Closure of seven automated public toilets and other property budget savings (the toilets at Livingston South Station, Bathgate Acredale, Broxburn and Linlithgow Water Yett will remain open and the other five will close).

The council's budget savings measures also include changes that will reduce staff numbers. Although some areas of the council will see growth, overall staffing numbers are expected to reduce by approximately 41 (Full time equivalent) over the next three years.

Officer proposals that have not been agreed

A motion was agreed by the council which means that a number of proposed budget saving measures originally proposed will now not be implemented. The income generated from the increase in Council Tax will be used to help protect these services and allow the council to fund these services in future.

• Here is a link to the approved motion [97KB]

These services will therefore continue to be provided:

• subsidised bus & demand responsive transport
• Mainstream school transport
• street crossing patrol
• festive lighting
• free garden (brown) waste collection
• standalone libraries
• Four automated public toilets (see above details)

The motion approved by the council also asked council officers carry out a comprehensive review of all council funded transport services including subsidised bus transport, demand responsiveness transport and mainstream transport.

Council Tax at a glance

A Council Tax increase of 5.8% for all bands has been approved for 2023/24, which is below the current rate of inflation.

This equates to an extra £1.47 per week for a band D property.  If Council Tax had been frozen in 2023/24, the council would have had to reduce spending on local services further and this would have had further implications for future years.

The 5.8% increase will generate income of £5.431 million in 2023/24 that will be spent on delivering, protecting and improving local services in West Lothian and will help to prevent a number of proposed service savings measures being implemented.

There are discounts and exemptions in place to reduce Council Tax for the most vulnerable in society, including the Council Tax Reduction Scheme.

Council Tax levels will be kept under review for 2024/25 and 2025/26.