SNP plan to devolve some powers to new regional authorities and boost pay for 'dual mandate' councillors

Under the draft plans, local councils are poised to be replaced with between six and 10 regional authorities.

The draft plans, published by the Scottish government, would also see as many as 160 communities authorities set up to ensure local democracy in decision-making and specific community-based responsibilities.

The plans come as part of John Swinney’s flagship public sector reform strategy, which will attempt to cut millions of pounds from the public sector as the SNP government grapples with a revenue day-to-day spending budget gap of more than £2 billion by the end of the decade. The spending pressures are part of SNP ministers’ overall budget black hole, including capital spending projects of almost £5bn.

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A consultation paper published by the Scottish government, argues there is “a need for regional authorities, alongside more decentralised community authorities”.

The document added: “The government’s opening proposition for discussion is that our current local government arrangements are replaced with a smaller number, six to 10, of regional authorities focussing on strategic decision-making.”

The initial proposals include potentially devolving some housing, planning and transport powers, currently held by Holyrood, to the new regional authorities.

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The document states: “We would propose that regional authorities would have an enhanced role in regional economic development and business support – to enable them to make decisions and deliver projects that reflect local strengths, opportunities and ambitions. 

“This would include housing, with some functions and responsibility shared with More Homes Scotland, strategic planning, alongside a national planning hub, employability support, aligned to economic development and skills with the potential for greater national commissioning and/or coordination, and relevant areas of transport, including regional transport partnerships and potentially some functions currently with Transport Scotland.”

The proposals also highlight the potential creation of “a substantial number, 120-160, of community authorities focused on local decision-making.”

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Under the draft plans, it is proposed that councillors would be elected for the same wards and would sit “on both the community authority and on the associated regional authority”.

The document added: “This would improve local decision-making and enable greater strategic working, without the necessity of a further layer of elections or creating additional tiers of bureaucracy.”

The plans would also “prompt serious consideration” councillors to be paid more for their extra responsibilities and time required by holding “dual mandates”. The basic annual salary for councillors in Scotland is £25,982 .

Separate arrangements are expected to be drawn up for Scotland’s island communities.

Scottish Labour local government spokesperson, Joe Fagan, warned that “the Scottish Government must not blunder into another reorganisation”.

He added: “Any reforms must be made in partnership with local government and backed up with fair funding for local services.”

Deputy First Minister, Jenny Gilruth, said: “Reforming Scotland’s public sector is about delivering the best public services for people across Scotland.

“We need to ensure investment is focused on frontline delivery, with the right staff in the right roles to empower communities and deliver real improvements in public services.”

She added: “Some decision making is best delivered at national level and regional level while others better sit closer to communities and we must get that balance right.

“Existing local government responsibilities could also be extended, including enhanced roles in economic development and business support so that individual areas can reflect local strengths and ambitions.

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“These proposals are intended to provide a starting point to facilitate debate and discussion as we work to deliver reforms that strengthen public services and improve outcomes for the people and communities we serve.”

President of local authority umbrella group, Cosla, Shona Morrison, said: “Today’s statement gives some clarity to the Scottish government’s intentions around the future of local government and public service reform.

“Cosla has been clear that public service reform will only succeed if it is rooted in communities and that any changes to our governance landscape must enhance local democracy and bring decisions closer to communities.”

She added: “Councils will engage with ministers to shape the future of local democracy. We will not support reforms that dilute local democracy or remove accountability from the people we serve.

“Cosla’s membership will consider these proposals from Scottish government and continue constructive dialogue on what may be a fundamental restructuring of governance in Scotland.”