Falkirk Council facing 'unprecedented' budget gap

Falkirk Council faces an unprecedented budget gap that could lead to service cuts and council tax rises, councillors have been warned.

Chief executive Kenneth Lawrie urged councillors think about a financial strategy that he said would help plan for the future.

Chief finance officer Amanda Templeman said the council aims to lower spending by "transformational projects".

The comments were made at a meeting discussing its financial strategy.

Ms Templeman said the volatility of the economy meant that accurate predictions were impossible but rising interest rates would inevitably have a major impact on the council's spending plans.

Conservative and Labour councillors refused to back a financial strategy that would include increasing council tax by 4% every year for five years.

Ms Templeman said such an increase would help the district reach the Scottish average over a five-year period.

SNP councillor Gary Bouse said that having such a low income from council tax over many years now had "cost the council millions".

The meeting heard that while the strategy would set out the council's intentions, any rise in council tax would have to be agreed as usual at the annual budget setting meeting in February.

Story provided by local democracy reporter Kirsty Paterson