Let’s talk about council spending
Overview
Let’s talk about council spending
Like all councils, Fife is experiencing a rising demand for services, particularly as the cost of living continues to impact people and families across Fife. Tackling poverty and inequality is a priority and the council focusses on support to help people increase their income, meet rising fuel bills and access quality food and housing.
Last year, Fife Council spent over £528 million on education, schools and childcare - and £249m on health and social care, supporting people facing a range of health problems. Together these services use over two thirds of the council’s total budget.
Council funding and spending information (click to open)
Council Services
The Council provides services like education, social work, housing, roads, and leisure activities.
Revenue Spending
Revenue spending means the everyday costs of running these services. This includes staff wages, running costs, interest payments, and paying back loans.
Most of this spending (except for council housing) comes from the General Fund, which is paid for by a mix of fees and charges, government grants, business rates, and council tax.
Council housing costs are mostly covered by rent.
Fees and Charges
The Council earns money from things like care home fees, school meal charges, and charges for using Council facilities.
Government Funding and Business Rates
The Government gives money to councils through General Revenue Grant and Non-Domestic Rates (business rates). The total amount is guaranteed, but how it’s split can change.
This system is designed so that if all councils spent what the Government thinks they need, they would all charge the same Council Tax.
Some grants are ring-fenced, meaning they must be spent on specific services.
Council Tax
Council Tax is the only part of Council funding that the Government doesn’t set. It pays for the remaining costs in the General Fund.
Council Tax is charged on every property in the Council area, with some discounts and exemptions.
Fife’s financial position is stronger than many other councils. Prudent use of resources and careful investment has meant council tax rates have stayed among the lowest in Scotland, and bigger cuts to services seen elsewhere have been avoided. But we’ll need to do more over the next few years to balance the books and protect our strong position for the future.
Last year councillors outlined a 3-year budget to help with forward planning. This included an intention to increase council tax by 5% in 2026/27. Although we won’t know how much our government grant for 26/27 is until the Scottish budget in January, current estimates assume a £5 million gap between income and expenditure for next year, rising to £36m by 2028/29.
Council tax information (click to open)
| Ranking (2024/25 Band D order | Council | Band D Charge 2024/25 £ |
Band D Charge 2025/26 £ |
Band D Increase £ |
Change |
|---|---|---|---|---|---|
| 1 | Midlothian | 1,515 | 1,666 | 151 | 10.0 |
| 2 | Aberdeen City | 1,490 | 1,636 | 147 | 9.8 |
| 3 | Argyll & Bute | 1,479 | 1,626 | 146 | 9.9 |
| 4 | Stirling | 1,482 | 1,612 | 130 | 8.8 |
| 5 | Glasgow City | 1,499 | 1,611 | 112 | 7.5 |
| 6 | East Ayrshire | 1,487 | 1,606 | 119 | 8.0 |
| 7 | Dundee City | 1,486 | 1,605 | 119 | 8.0 |
| 8 | East Dunbartonshire | 1,416 | 1,600 | 184 | 13.0 |
| 9 | Clackmannanshire | 1,411 | 1,594 | 183 | 13.0 |
| 10 | East Lothian | 1,436 | 1,579 | 144 | 10.0 |
| 11 | Falkirk | 1,364 | 1,577 | 213 | 15.6 |
| 12 | Orkney Islands | 1,369 | 1,575 | 205 | 15.0 |
| 13 | Moray | 1,431 | 1,574 | 143 | 10.0 |
| 14 | Renfrewshire | 1,436 | 1,573 | 136 | 9.5 |
| 15 | South Ayrshire | 1,453 | 1,569 | 116 | 8.0 |
| 16 | City of Edinburgh | 1,448 | 1,564 | 116 | 8.0 |
| 17 | West Dunbartonshire | 1,399 | 1,560 | 161 | 11.5 |
| 18 | North Ayrshire | 1,452 | 1,554 | 102 | 7.0 |
| 19 | Inverclyde | 1,547 | 1,551 | 4 | 0.3 |
| Scotland Average | 1,418 | 1,550 | 132 | 9.3 | |
| 20 | Perth & Kinross | 1,404 | 1,537 | 133 | 9.5 |
| 21 | Aberdeenshire | 1,393 | 1,533 | 139 | 10.0 |
| 22 | East Renfrewshire | 1,415 | 1,528 | 113 | 8.0 |
| 23 | Highland | 1,427 | 1,527 | 100 | 7.0 |
| 24 | West Lothian | 1,391 | 1,515 | 124 | 8.9 |
| 25 | Fife | 1,385 | 1,499 | 114 | 8.2 |
| 26 | Scottish Borders | 1,356 | 1,492 | 136 | 10.0 |
| 27 | Angus | 1,317 | 1,462 | 145 | 11.0 |
| 28 | Dumfries & Galloway | 1,335 | 1,455 | 120 | 9.0 |
| 29 | North Lanarkshire | 1,321 | 1,453 | 132 | 10.0 |
| 30 | Na h-Eileanan Siar | 1,291 | 1,388 | 97 | 7.5 |
| 31 | Shetland Islands | 1,261 | 1,387 | 126 | 10.0 |
| 32 | South Lanarkshire | 1,301 | 1,379 | 78 | 6.0 |
Without any other action we’d need a 7.5% council tax rise to cover costs next year. But there are options as to how we spend or save, and we would like your input to help develop these - for next year and beyond.
Areas
- All Areas
Audiences
- Anyone from any background
Interests
- Budgets and finances
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