Query over Highland Council finances as opposition councillors take issue with unclaimed funds
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An SNP councillor said there are “£10 million cash that should be sitting in our bank account” and asked for reassurance invoices would go out this financial year.
Councillor Derek Louden spoke out a meeting of Highland Council's corporate resources committee.
He was referencing a long-running dispute between NHS Highland and the council over the true cost of adult social care, which the council pays the health board to deliver.
Chief executive officer Liz Denovan said her team would issue the invoices at the earliest opportunity, but her statement did not reassure SNP councillors.
“These invoices have been outstanding for months,” Cllr Raymond Bremner said. “I don’t think ‘as soon as’ is going to cut the mustard here.”
Cllr Louden added: “What’s concerning me is the invoice is very large. It’s only sent once a quarter but this dispute has been going on for a year.”
He suggested the council invoice for the bulk of the amount now, then move to dispute resolution over the remaining balance.
Cllr Jimmy Gray, however, soundly rejected this approach, describing the situation as a “moving feast” and claiming that invoicing now would expose the council to “huge risk”.
At this point, council chief executive Donna Manson joined the debate. She said that discussions with NHS Highland are legally underpinned by the partnership agreement between the health board and council.
She said meetings take place every week to find a way forward, and members will be kept informed.
The NHS debate was one part of a discussion of Highland Council finances at the meeting.
Net revenue spend to the end of quarter three is £232.6m with a slight overspend of £179,000.
The council agreed a sum of money to support High Life Highland’s rising pandemic costs. Without the High Life Highland bail-out, the council say it would have reported a £2.2m underspend.
The finance papers identify a series of risks in the years ahead. These include teachers’ pay rises, inflation and Scottish Government spending commitments.
Cllr Louden took issue with this, pointing out that the council received £100m in Scottish Government grants last year.
Successive councillors – including administration members – called for more detail in the financial reporting.
Budget leader Alasdair Christie made a commitment to address the format of reports in the next council term.
