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Shetland Council Faces £134 Million Funding Gap, Warns Accounts Commission

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Key Points
  • Shetland Islands Council faces a £134.3 million funding gap by 2029/30, per the Accounts Commission.
  • Auditors warn the council's reliance on reserves is unsustainable and requires urgent action.
  • The council acknowledges tough decisions are needed but specifics remain undetailed.

3 million funding gap by 2029/30. According to the Accounts Commission, the council's reliance on financial reserves to balance its budget is unsustainable. ' However, he added, 'But the council continues to draw on its reserves to balance its budget.

' Shetland Islands Council admits tough decisions will need to be made to close the projected funding gap. ' The Accounts Commission warns councillors and officials need to take a more long-term approach to finances. Auditors remain concerned about the pace at which the council is delivering its change programme.

People living on Shetland are getting a good service right now and we've seen some improvements in how the council is run since we last reported.

Andrew Burns, Deputy chair of the Accounts Commission

But the council continues to draw on its reserves to balance its budget. That's unsustainable and will impact future generations if not addressed.

Andrew Burns, Deputy chair of the Accounts Commission
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