Murdo has expressed his concerns after the Accounts Commission revealed on Thursday that Perth and Kinross Council faces a budget gap of £20.7m in 2026/27.
This alarming figure was released by Audit Scotland’s Account Commission, who have warned that Local Authorities will have to “stop, reduce or significantly redesign services” to address the funding gaps. Perth and Kinross Council is shown to have the 7th largest gap of the 32 local authorities in Scotland.
The report has highlighted the “significantly reduced capital settlement” from the Scottish Government to councils – a 15% reduction for 2026/27 – which is strangling councils’ ability to invest in crucial infrastructure.
Murdo has voiced ‘serious concerns’ about the future financial viability of Perth and Kinross Council if significant measures are not taken to address the funding gap by the Scottish Government and by the council in its spending decisions.
Commenting, Murdo said, “these figures released today by the Accounts Commission are extremely concerning.
“Sadly, local authorities took a big hit at the last budget announced by the SNP Government and now we are seeing the financial reality of this. Local authorities such as Perth and Kinross and Fife, have significant revenue gaps and these are projected to widen, despite large increases in council tax earlier this year.
“The government has prioritised out-of-control welfare spending, vanity projects such as independence reports, £1bn prisons and ferries that don’t work. Years of this economic mismanagement have landed us in a situation where local councils now face serious pressures.
“My Scottish Conservatives colleagues and I will continue to call on the government to increase local government spending”
