Scottish Local Government Financial Statistics 2013-14

1. Local Government Revenue Expenditure and Income

1.1 Total Revenue Expenditure and Income

The Police and Fire Reform (Scotland) Act 2012 made changes to the way police and fire services are delivered in Scotland. From 1 April 2013 police and fire services are delivered by new central government bodies - Police Scotland and the Scottish Fire and Rescue Service - and not local government. Due to the way these services were delivered and funded whilst part of local government it is not possible to remove all police and fire income and expenditure from prior years' statistics. As such 2013-14 values are not strictly comparable with previous years.

Total gross revenue expenditure by local government in Scotland in 2013-14 was £15.3 billion. Of this, £0.83 billion of expenditure was for the provision of housing through the Housing Revenue Account (HRA).

Net Revenue Expenditure to be met from government grant, local taxation and reserves was £11.7 billion.

Table 1.1 details revenue income and expenditure for 2013-14. The biggest single element of gross expenditure were operating costs (which includes property costs, supplies and services costs, transport and payments to agencies and other bodies) which account for £6.54 billion of all expenditure. The second largest element was employee costs which account for £6.16 billion.

Transfer payments are those made to individuals for which no goods or services are received in return by the local authority. The majority of transfer payments are housing benefits which make up £1.78 billion of the total of £2.05 billion. An adjustment for Inter Account and Inter Authority Transfers is made to the gross expenditure to take account of transfers between local authorities and between different services within an authority and ensure that expenditure is not counted twice.

HRA

The Housing Revenue Account (HRA) records income and expenditure relating to local authority housing stock. Whilst most other local authority services are funded through a combination of non-domestic rates and council tax income plus Government grants, the HRA is a ring-fenced account, and expenditure is funded by housing rents and Government subsidies.

Trading Services

Trading service accounts cover the finances of local authority operated services that are commercial in nature. They are financed by the charges made by a local authority to the recipients of the services they provide.

The main trading services are local authority transport (buses, ferries and other Local Authority transport undertakings), fishery harbours and markets and other trading services (including airports, other harbours and bridges).

Table 1.1 - Total Revenue Expenditure and Income, 2013-14

		£thousands
	General Fund Services1	HRA Housing Services	Total
EXPENDITURE
Employee Costs	6,025,452	133,774	6,159,226
Premises Related Costs	928,627	360,029	1,288,656
Transport Related Expenditure	433,682	5,219	438,901
Supplies and Services	1,256,610	71,525	1,328,135
Third Party Payments	3,458,505	24,904	3,483,409
Operating Costs	6,077,424	461,677	6,539,101
Transfer Payments	2,049,333	4,657	2,053,990
Support Services	758,994	70,151	829,145
Revenue Contribution to Capital Expenditure	106,589	187,153	293,742
Adjustment for Inter Account and Inter Authority Transfers	-532,934	-26,704	-559,638
Gross Expenditure	14,484,858	830,708	15,315,566
INCOME
Specific Revenue Grants	8,584	3,673	12,257
General Capital Grant used to fund grants to third parties	125,312	0	125,312
Other Central Government Grants - Housing Services	1,612,393	0	1,612,393
Other Central Government Grants - Other	214,452	2,299	216,751
Government Grants2	1,960,741	5,972	1,966,713
Other Grants reimbursements and Contributions	770,662	3,209	773,871
Customer and Client Receipts	1,243,867	1,073,362	2,317,229
Income	3,975,270	1,082,543	5,057,813
Service Net Revenue Expenditure/Income(-)	10,509,588	-251,835	10,257,753
Net Revenue Expenditure (with Specific Grants Added Back In)	10,518,172	-248,162	10,270,010
Finance Costs (net of investment income)	589,303	135,615	724,918
Surplus(-)/deficit from Significant Trading Operations	-30,724	0	-30,724
Statutory repayment of debt	598,150	115,626	713,776
Net Revenue Expenditure to be financed from General Revenue Grant, Local Taxation and Reserves	11,674,901	3,079	11,677,980

1. Includes trading services and non-HRA housing. For a breakdown of expenditure in these areas, refer to Table 1.2 and Annexes A and B.
2. Excluding General Revenue Funding
Source: Local Financial Returns – LFR 00

1.2 General Fund Revenue Expenditure and Income

The highest spending service in the General Fund is education which had net expenditure of £4.60 billion, which makes up 44% of net expenditure. Of this total £1.77 billion was spent on primary education and £1.87 billion on secondary education with the remainder spent on pre-primary, special and community education. Excluding Police & Fire, Education's share of total net expenditure has stayed the same at around 44% over the seven years to 2013-14.

Social work is the next largest service with net expenditure of £3.04 billion (29% of total net expenditure). Data on social work expenditure is collected on the basis of client groups. Of the client groups identified in the LFRs, older persons has the highest expenditure of £1.32 billion followed by children and families with £0.84 billion and adults with learning disabilities with £0.50 billion. A full breakdown of expenditure by sub-service is available in Annex A.

The single largest income source shown in Table 1.2 are the grants received by local authorities from the Department of Work and Pensions to fund housing benefits. These grants were worth £1.78 billion in 2013-14 and are shown as part of income in non-HRA housing.

Another significant source of income is customer and client receipts (including all charges to service users) which raised £1.24 billion across all services. Social work services also receive income from the NHS to provide services, the value of these payments in 2013-14 were £0.404 billion, up slightly from £0.398 billion in 2012-13. A full breakdown of income by service can be found in Annex B.

Table 1.2 - General Fund Revenue Expenditure and Income, 2013-14

					£ thousands
	Gross Expenditure	Income	Net Expenditure	Net Expenditure as % of Total Services	Ring Fenced Revenue Grants
Education	4,805,002	200,440	4,604,562	43.8%	4,357
Cultural and Related Services	707,638	87,265	620,373	5.9%	0
Social Work	3,855,869	819,814	3,036,055	28.9%	0
Roads and Transport	684,601	224,233	460,368	4.4%	0
Environmental Services	802,911	132,515	670,396	6.4%	0
Planning & Economic Development	462,752	178,392	284,360	2.7%	0
Central Services	711,096	194,694	516,402	4.9%	0
Non-HRA Housing	2,386,681	2,059,424	327,257	3.1%	4,227
Trading Services	68,308	69,909	-1,601	0.0%	0
Net Cost of Service1	14,484,858	3,966,686	10,518,172	100.0%	8,584
Interest and Investment Income	673,808	84,505	589,303		0
Surplus/deficit from Significant Trading Operations	-30,724	0	-30,724		0
Statutory Repayment of Debt	598,150	0	598,150		0
Total1	15,726,092	4,051,191	11,674,901		8,584

Source: Local Financial Returns – LFR 00

Table 1.3 - Net Revenue Expenditure by Service, 2009-10 to 2013-14

					£ millions
	2009-10	2010-111	2011-12	2012-13	2013-14
Education	4,633	4,677	4,553	4,595	4,605
Cultural & Related Services	662	638	618	614	620
Social Work	2,825	2,861	2,873	2,962	3,036
Roads & Transport	486	503	477	487	460
Environmental Services	657	664	656	656	670
Planning & Development Services	332	313	292	283	284
Central Services 2, 3	610	553	441	412	516
Non-HRA Housing	420	394	331	316	327
Trading Services	-9	-8	-12	-4	-2
Total General Fund Expenditure excluding Police & Fire 3	10,617	10,593	10,228	10,319	10,518
Police 2	1,125	978	1,018	1,021
Fire 2	332	313	286	297
Central Services (Police & Fire) 2, 3	22	7	-22	-50
Total General Fund Expenditure	12,096	11,892	11,510	11,588	10,518

a. From 2010-11 the funding of Police Pensions changed leading to a reduction in net expenditure. Therefore police expenditure figures from 2010-11 onwards are not directly comparable with figures up to 2009-10.
2. Following the Police and Fire Reform (Scotland) Act 2012 figures for 2013-14 may not be comparable with previous years. See section 5.2 for details.
3. Police and fire board net expenditure in central services has been separated from overall general fund expenditure to allow for time series comparison.
Source: Local Financial Returns – LFR 00

Chart 1.1 shows net revenue expenditure per capita by local authority area. This includes expenditure by all local authority bodies in an area (i.e. including expenditure by councils, valuation boards and regional transport partnerships). The chart shows that on average in Scotland local government spent £2,191 per person in 2013-14, up slightly from £2,166 in 2012-13.

Chart 1.1 - Net Revenue Expenditure per Capita by Local Authority, 2013-14 (£)

Source: Local Financial Returns - LFR 00 and NRS Mid-Year Population Estimates (2013)

1.3 Revenue Expenditure Financing

Revenue expenditure by local authorities is funded by three main sources:

• Grants from Central Government
• Local Taxation (Council Tax and Non Domestic Rates)
• Sales, fees and charges for services (Customer and Client Receipts)

The main source of revenue income for local government is General Revenue Funding, (formerly referred to as the Revenue Support Grant). General Revenue Funding (GRF) is paid by the Scottish Government in support of local authorities' general net revenue expenditure.

Local taxation contributed over £4.4 billion to the funding of local government in 2013-14 and further information on these taxes is set out in the following sections. Other income is mostly composed of grants and subsidies received from central government and other parts of the public sector.

Table 1.4 - Revenue Income by Source, 2009-10 to 2013-14

					£ millions
	2009-10	2010-11	2011-12	2012-13	2013-14
General Revenue Grant1	7,757	8,149	7,790	7,782	7,225
Council Tax	1,910	1,923	1,926	1,947	1,981
Council Tax Benefit Subsidy	368	375	376	371
Non Domestic Rates	2,165	2,068	2,182	2,263	2,435
Customer and Client Receipts	2,287	2,179	2,298	2,341	2,327
Other Income	3,400	3,357	3,308	3,246	2,513
Total revenue income	17,886	18,052	17,879	17,950	16,481

1. Figures for 2013-14 are not comparable as prior years include income relating to police and fire joint board expenditure. See section 5.2 for more details.

2. Council Tax Reduction (CTR) was introduced from 1 April 2013 to replace Council Tax Benefit (CTB), which has been abolished by the UK Government as part of its welfare reform programme.

Sources: General Revenue Funding (Up to 2010-11) - Finance Circulars; Non-Domestic Rates - Finance Circulars; All Other Data - Local Financial Returns (LFRs)

Chart 1.2 - Revenue Income by Source, 2013-14 (£ millions)

1.3.1 Council Tax

In 2013-14, council tax bills were issued to around 2.4 million dwellings in Scotland. The amounts collected in 2013-14 raised a total of almost £2 billion across all local authorities in Scotland.

Council tax was introduced in Scotland on the 1^st April 1993 to replace the Community Charge system. It is a tax system based on dwellings and is used as a source of funding in addition to that received from other sources (such as General Revenue Funding, Central Government Grants, ring-fenced revenue grants and other locally raised income).

There are a number of factors that determine the amount of council tax that a dwelling is liable for. These are:

The market value of the dwelling as at the 1^st April 1991. Each dwelling is placed into one of 8 bands from A to H, with band A dwellings liable for the lowest rates of council tax and band H attracting the highest rates.

The band D rate set by the local authority, with other bands being set by a ratio to band D.

A range of exemptions, discounts and reductions that are available in certain circumstances, or in some cases an increase in council tax due to the application of a levy.

Table 1.5 shows the number of dwellings that were chargeable for council tax and the number that were exempt each year from 2009 to 2014. There were a total of 2.540 million dwellings in Scotland in 2014, an increase of around 63,000 (2.5 per cent) since 2009. The number of chargeable dwellings has also increased by around 62,500 (2.6 per cent) from 2.365 million chargeable dwellings in 2009, to 2.427 million in 2014. Around 4.5 per cent of dwellings are exempt from council tax each year, 112,525 in 2014.

Table 1.5 - Total number of dwellings, chargeable and exempt in Scotland, 2009 to 2014

	2009	2010	2011	2012	2013	2014
Total dwellings	2,477,397	2,488,928	2,500,769	2,515,042	2,526,703	2,540,330
Dwellings exempt	112,168	111,454	111,740	113,173	116,372	112,525
Chargeable dwellings	2,365,229	2,377,474	2,389,029	2,401,869	2,410,331	2,427,805

Source: Council Tax Base (CTAXBASE) returns

Table 1.6 shows the number of chargeable dwellings in each local authority and council tax band. The three local authorities with the highest number of chargeable dwellings were Glasgow, Edinburgh and Fife and over a quarter of the chargeable dwellings in Scotland are in one of these local authorities. Around three quarters (1.8 million) of all chargeable dwellings were in council tax bands A to D, and 0.5 per cent (12,579 dwellings) in band H.

Table 1.6 - Chargeable dwellings¹ by council tax band & local authority (as at 1 September 2014)

	Band A	Band B	Band C	Band D	Band E	Band F	Band G	Band H	Total
Valuation band ranges	Under 27,000	27,001 to 35,000	35,001 to 45,000	45,001 to 58,000	58,001 to 80,000	80,001 to 106,000	106,001 to 212,000	Over 212,000
Ratio to band D	6/9	7/9	8/9	9/9	11/9	13/9	15/9	18/9
Scotland	508,900	569,608	391,611	320,715	323,153	183,233	118,006	12,579	2,427,805
Aberdeen City	19,912	26,218	17,507	12,977	13,519	8,046	7,146	848	106,173
Aberdeenshire	19,526	15,453	13,667	16,697	20,547	15,212	9,455	550	111,107
Angus	14,416	12,288	6,818	8,114	7,243	2,909	1,585	150	53,523
Argyll & Bute	7,204	9,529	8,736	5,766	7,094	4,014	2,741	217	45,301
Clackmannanshire	6,052	7,048	1,920	2,441	3,126	1,829	832	42	23,290
Dumfries & Galloway	10,613	22,076	11,535	9,724	10,209	4,997	2,360	155	71,669
Dundee City	25,251	15,278	7,983	8,184	6,249	2,277	1,025	33	66,280
East Ayrshire	25,417	9,156	4,941	6,352	5,897	3,046	920	41	55,770
East Dunbartonshire	1,042	3,577	8,059	7,936	10,210	6,758	6,250	595	44,427
East Lothian	1,122	8,938	14,386	5,722	5,732	4,618	3,637	622	44,777
East Renfrewshire	1,211	4,980	3,895	6,294	7,964	5,918	6,048	681	36,991
Edinburgh, City of	19,988	43,203	40,496	34,623	36,288	22,738	20,096	3,713	221,145
Eilean Siar	4,436	3,610	2,709	1,682	1,159	171	33	3	13,803
Falkirk	21,346	18,813	6,370	8,409	8,345	5,022	2,419	61	70,785
Fife	38,725	46,617	21,251	19,166	21,895	12,491	6,043	409	166,597
Glasgow City	57,261	73,943	62,892	37,888	26,382	11,694	5,821	621	276,502
Highland	18,614	22,145	22,444	17,658	17,512	8,539	4,146	310	111,368
Inverclyde	18,019	5,606	3,397	3,216	3,385	1,853	1,395	209	37,080
Midlothian	946	12,045	10,315	4,743	4,282	2,756	1,821	162	37,070
Moray	11,265	10,087	6,230	5,767	5,417	1,979	591	51	41,387
North Ayrshire	21,060	17,830	6,616	6,520	8,670	3,656	1,140	52	65,544
North Lanarkshire	52,190	36,358	18,690	15,485	15,220	7,682	2,691	129	148,445
Orkney Islands	2,203	2,699	2,225	1,665	1,205	274	19	4	10,294
Perth & Kinross	8,415	14,123	11,206	10,082	11,123	7,028	5,636	645	68,258
Renfrewshire	12,218	24,407	13,989	11,179	10,109	5,657	3,308	200	81,067
Scottish Borders	15,672	12,239	6,626	5,622	6,157	4,470	4,140	444	55,370
Shetland Islands	2,860	1,757	2,649	1,723	1,309	253	56	0	10,607
South Ayrshire	6,945	12,214	8,541	8,081	9,385	4,760	2,952	284	53,162
South Lanarkshire	34,917	28,842	24,623	19,379	18,286	10,766	5,671	459	142,943
Stirling	5,388	8,148	4,004	4,268	5,952	4,964	4,881	660	38,265
West Dunbartonshire	7,713	16,310	7,308	5,669	4,272	1,600	693	64	43,629
West Lothian	16,953	24,071	9,583	7,683	9,010	5,256	2,455	165	75,176
% of all dwellings	21%	23%	16%	13%	13%	8%	5%	1%	100%

1. Excludes dwellings exempt from council tax

2. Council Tax Reduction recipients are included in this Table.

Source: Council Tax Base 2014 (CTAXBASE)

Chart 1.3 shows the distribution of chargeable dwellings across council tax bands in each local authority. Across the whole of Scotland, 60.6 per cent of all chargeable dwellings are in bands A to C. The distribution varies across local authorities because of variations in property market values. Eilean Siar has the largest proportion of its dwellings in bands A to C (77.9 per cent), whereas East Renfrewshire has the lowest proportion of its properties in bands A to C (27.3 per cent).

Chart 1.3 - Percentage of chargeable dwellings by council tax band for each local authority, 1 September 2014

As well as the valuation band of the dwelling, the rates for each local authority also determine the council tax liability for each dwelling. Scottish Government and local Government have worked in partnership to freeze council tax rates each year since 2007-08. Prior to this, each local authority determined its own rates of council tax as part of their budget setting process. As a result, each local authority area has different council tax rates. The range of band D council tax levels for each local authority are shown in Chart 1.4. The rates range from £1,024 in Eilean Siar to £1,230 in Aberdeen City.

The council tax charged for all other bands is a proportion of the band D level set. For example, the band A council tax rate is 6/9 (or 67 per cent) of the band D rate for each local authority (the ratios for all bands can be seen in the top row of Table 1.6).

Chart 1.4 - Band D council tax rate by local authority, 2013-14 (£)

Source: Council Tax Assumptions (CTAS) returns

Table 1.7 shows how the average band D council tax rates for Scotland have changed each year from 2010-11 to 2014-15. Since 2008-09, the council tax freeze has resulted in each local authority maintaining their rates at 2007-08 levels. The one exception is Stirling where the council took the decision to reduce the band D council tax from £1,223 in 2007-08 to £1,209 in 2008-09, and subsequently to £1,197 in 2012-13. This has caused the Scotland Average band D council tax rate to remain steady at £1,149 since 2007-08 - a fall in real terms.

The average band D council tax bill per dwelling is £989 in 2014-15. This average takes in to account the distribution of dwellings across council tax bands. The average bill per dwelling is lower than the average band D rate because there are a greater proportion of dwellings in the lower value council tax bands than the higher valued bands, as can be seen in Table 1.6.

The impact of Scotland's CTR scheme, which was introduced in 2013 following the UK Government's abolition of the Council Tax benefit, on the average council tax bill per dwelling can also be seen in Table 1.7. Figures on the total value of reductions through CTR for 2014-15 will be available in the 2014-15 version of this publication. The CTR scheme reduces the council tax liability of vulnerable people in Scotland, including people on low incomes, pensioners and lone parents. After taking these reductions in liability into account, the average bill per dwelling for 2013-14 reduced by £150 from £988 to £838.

Table 1.7 - Scotland council tax levels

	2010-11	2011-12	2012-13	2013-14	2014-15
Scotland Average band D council tax rate(£)1	1,149	1,149	1,149	1,149	1,149
Band D % increase (cash terms)	0.0%	0.0%	0.0%	0.0%	0.0%
Band D % increase (real terms)2	-2.7%	-1.8%	-1.6%	-2.1%	-2.1%
Average council tax bill per dwelling (£)3	985	984	985	988	989
Average council tax bill per dwelling, after Council Tax Reduction/Benefit4	827	826	830	838	n/a

1. Since 2008-09, council tax rates have been frozen at 2007-08 levels.

2. Real terms figures are calculated using GDP deflators (HM Treasury, Dec 2014)

3. This average is taken over all chargeable dwellings and is affected to a minor extent by a number of factors such as the distribution of dwellings across council tax bands, discounts and exemptions, new construction and removal of demolished housing from the roll.

4. Council Tax Benefit for all years up to 2012-13, Council Tax Reduction from 2013-14 onwards.

Source: Council Tax Assumptions (CTAS), Council Tax Base (CTAXBASE), Local Financial Returns - LFR 12

Not all dwellings are liable to pay the full rate of council tax. Discounts and exemptions are available for certain types of dwellings, and the CTR scheme is available to support vulnerable people in meeting their council tax liabilities. Long term empty properties in some local authorities may be liable for an increased amount of council tax. Table 1.8 below summarises the range of discounts, exemptions and reductions available and the rate of decrease in liability that applies to each type. Numbers of dwellings that are in receipt of each of these schemes from 2009 to 2014 are shown in Table 1.9. Note that in some cases, a council tax liability may be affected by more than one type of discount, exemption or reduction; e.g. an individual may live on their own and be on a low income, therefore in receipt of the 25 per cent discount and a CTR.

Table 1.8 - Council tax discounts, exemptions, reductions and increases, and amounts of decrease/increase in liability

Support	Typical dwellings that are eligible	Decrease in liability
Exemption
Occupied	Persons who are exempt from council tax e.g. full time students.	100%
Unoccupied	Empty for less than 6 months, cannot be occupied because in need of repair, residents have moved out due to care needs.	100%
Reduction in liability
Disability reduction	Homes that have been adapted for a disabled person	One council tax band (e.g. liable for band C when property is band D)
Discounts
25% discount	Occupied by only one council tax liable adult.	25%
Second Homes	Occupied by those living in tied accommodation (e.g. farm workers, members of the clergy), when they are contributing to the local economy.	Between 10 and 50%, depending on local authority policy (see Table 1.10)
Long Term Empty - 6 to 12 months	Empty and unfurnished for more than 6 months	50%
Long Term Empty - more than 12 months	Empty and unfurnished for more than 12 months	Discount between 10% and 50%, or an increase, depending on local authority (see Table 1.10).
Occupied entirely by disregarded adults	Dwellings with one or more residents where each of them falls to be disregarded for the purposes of discount.	50%
Council Tax Reduction
Passported	In receipt of Pension Credit (Guarantee), JSA (Income based), ESA (Income Based), Income Support.	100%
Not passported	Low income household	Up to 100%, depending on means test

1. The examples given here are typical but not exhaustive. For a full explanation of council tax discounts and exemptions, download the Scottish Government leaflet here: http://www.scotland.gov.uk/Resource/0042/00423608.pdf

2. Some council tax bill amounts may be affected by more than one type of discount or reduction.

Table 1.9 shows the number of dwellings eligible for each type of discount, exemption or reduction. Of the 2.4 million chargeable dwellings in Scotland, around 1 million were eligible for a discount in 2014. The most common type of discount was the 25 per cent discount, which is available for dwellings where only one person is liable to pay council tax. More than one in three chargeable dwellings are entitled to the 25 per cent discount. Almost 60,000 dwellings are classified as second homes or long term empty properties. Local authorities have discretionary powers to vary the discount, remove the discount, or increase council tax in 2013-14 on long term empty properties (this does not apply to second homes) - an analysis of these figures by local authority is given below. Around 2,800 dwellings received a 50 per cent discount because they were occupied entirely by disregarded adults. The CTR scheme which was introduced in April 2013, supports over half a million, or around a fifth of chargeable dwellings, in meeting their council tax liability.

Table 1.9 - Number of dwellings in receipt of council tax discounts and reductions, September 2014 ¹

Type of support	2009	2010	2011	2012	2013	2014
All chargeable dwellings	2,365,229	2,377,474	2,389,029	2,401,869	2,410,331	2,427,805
Disability reduction	13,864	14,015	13,999	13,994	13,791	13,736
25% discount	936,957	941,915	945,515	948,208	952,251	953,612
Second homes2	37,060	38,002	39,250	40,599	35,734	27,879
Long Term Empty (empty over 6 months)	22,169	24,598	25,356	25,454	27,327	31,884
Occupied entirely by disregarded adults	2,668	1,887	1,910	1,809	1,579	2,802
Dwellings not subject to discount	1,366,375	1,371,072	1,376,998	1,385,799	1,393,440	1,411,628
Council Tax Reduction/Benefit3	549,220	563,720	565,730	560,880	548,070	533,980

1. All figures as at September of each year

2. Long term empty properties have been empty for 6 months or more. It is not possible for some councils to separately identify second homes and long term empty dwellings. For these councils, the total number of second homes and long term empty dwellings have been recorded under second homes.

3. Council Tax Benefit figures from 2009 to 2012 were published by Department for Work & Pensions and are available here: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/229795/hbctb_release_may13_revised.xls

4. Some dwellings can be eligible for more than one type of support. E.g. if a dwelling's council tax liability is affected by the 25 per cent discount and CTR, it will be counted twice in the table above.

Source: Council Tax Base (CTAXBASE) Returns, Council Tax Reduction data extract, Single Housing Benefit Extract (SHBE).

In 2013-14 local authorities gained the discretionary power to remove the empty properties discount or set a council tax increase of 100 per cent on properties which have been empty for one year or more. Table 1.10 summarises the policies on second homes and long term empty properties that were introduced by each local authority for billing years 2013-14 and 2014-15. In 2013-14, 28 of the 32 local authorities chose to retain the council tax discount at 10 per cent. Glasgow City and North Lanarkshire reduced the discount for long-term empty properties by 50 per cent. Highland removed the discount and Eilean Siar imposed an increase of 100 per cent on long-term empty properties. In 2014-15, the number of local authorities implementing a 10 per cent discount on all long term empty properties decreased to 18. Argyll & Bute, North Lanarkshire, and Stirling opted for a 100 per cent increase (i.e. double the council tax liability) for long term empty properties. Aberdeen City, Aberdeenshire, East Lothian, Edinburgh, Eilean Siar, Fife, Perth & Kinross and West Dunbartonshire introduced a range of policies depending on the circumstances of the household. East Renfrewshire chose a 50 per cent discount, Moray chose a 50 per cent increase. Highland again chose to remove the discount on long term empty properties.

Table 1.10 - Local authority discretionary reductions on Second Homes and Long-Term Empty properties in 2013-14 and 2014-15

Local authority	Second Homes		Long-Term Empty properties
	2013-14	2014-15	2013-14	2014-15
Aberdeen City	10%	10%	10%	10% to -100%
Aberdeenshire	10%	10%	10%	10% to -100%
Angus	10%	10%	10%	10%
Argyll & Bute	10%	10%	10%	-100%
Clackmannanshire	10%	10%	10%	10%
Dumfries & Galloway	10%	10%	10%	10%
Dundee City	10%	10%	10%	10%
East Ayrshire	10%	10%	10%	10%
East Dunbartonshire	10%	10%	10%	10%
East Lothian	10%	10%	10%	0% to -100%
East Renfrewshire	10%	10%	10%	50%
Edinburgh, City of	10%	10%	10%	50% to -100%
Eilean Siar	10%	10%	-100%	50% to -100%
Falkirk	10%	10%	10%	10%
Fife	10%	10%	10%	50% to -100%
Glasgow City	10%	10%	50%	10%
Highland	10%	10%	0%	0%
Inverclyde	10%	10%	10%	10%
Midlothian	10%	10%	10%	10%
Moray	10%	10%	10%	-50%
North Ayrshire	10%	10%	10%	10%
North Lanarkshire	10%	10%	50%	-100%
Orkney Islands	10%	10%	10%	10%
Perth & Kinross	10%	10%	10%	10% to -100%
Renfrewshire	10%	10%	10%	10%
Scottish Borders	10%	10%	10%	10%
Shetland Islands	25%	10%	10%	10%
South Ayrshire	10%	10%	10%	10%
South Lanarkshire	10%	10%	10%	10%
Stirling	10%	10%	10%	-100%
West Dunbartonshire	10%	10%	10%	10% to -100%
West Lothian	10%	10%	10%	10%

Source: Council Tax Assumptions.

1. Increased council tax levels are shown as negative (e.g. -100% indicates a 100% increase, or a double in the rate).

2. Removal of discount is shown as 0%.

3. Some local authorities' policies were subject to review at the time of giving the information.

4. Some local authorities chose to implement a range of discounts and increases depending on the circumstances of the property. For brevity, the range has been, e.g. 10% to -100% where certain properties receive a maximum of 10% discount, ranging to a 100% levy.

Table 1.11 shows the number of long term empty properties (i.e. empty for more than 6 months), the number that have been empty for over 12 months and the number of those that are subject to a reduced discount or an increase in council tax as at September 2014. These figures relate to the policies for billing year 2014-15, as shown in Table 1.10. In September 2014, of the 16,527 dwellings that had been empty for over 12 months, 5,747 dwellings were affected by a discount below 10 per cent or an increase in council tax. This provision does not apply to second homes. Over 43,137 dwellings were classified as exempt due to being unoccupied.

Table 1.11 - Number of Second Homes, Long Term Empty Properties and Unoccupied Exemptions, September 2014

	Number of dwelling entitled to a discount due to being second homes 1	Long term empty properties			Unoccupied exemptions 2
		Number of dwellings entitled to a discount or increase due to being long term empty	Of which, empty for over 12 months	Of which a discount below 10% or an increase has been applied
Scotland	27,879	31,884	16,527	5,747	43,137
Aberdeen City	615	691	427	386	1,353
Aberdeenshire	1,162	2,012	0	0	2,056
Angus	772	726	726	0	1,228
Argyll & Bute	3,379	1,358	778	620	1,002
Clackmannanshire	32	294	0	0	250
Dumfries & Galloway	1,868	1,166	886	0	1,413
Dundee City	976	599	331	0	1,653
East Ayrshire	136	735	518	0	1,070
East Dunbartonshire	198	120	120	0	444
East Lothian	550	384	290	118	541
East Renfrewshire	192	28	11	0	350
Edinburgh, City of	2,317	1,770	751	751	2,264
Eilean Siar	776	259	160	134	641
Falkirk	449	693	487	0	1,157
Fife	2,098	4,931	2,262	1,350	2,655
Glasgow City	823	2,685	2,040	0	8,282
Highland	4,280	1,159	660	511	1,848
Inverclyde	204	566	355	0	1,107
Midlothian	36	406	0	0	472
Moray	660	911	760	539	862
North Ayrshire	1,492	1,412	1,137	0	982
North Lanarkshire	80	647	492	420	1,579
Orkney Islands	380	316	0	0	416
Perth & Kinross	1,224	1,631	1,293	338	1,185
Renfrewshire	484	1,172	502	0	1,459
Scottish Borders	1,186	1,421	0	0	1,337
Shetland Islands	164	425	0	0	250
South Ayrshire	459	509	201	0	678
South Lanarkshire	120	941	225	0	2,257
Stirling	412	633	497	497	647
West Dunbartonshire	84	530	398	83	716
West Lothian	271	754	220	0	983

1. Long term empty properties are properties liable for council tax, which have generally been empty for 6 months or more.

2. Unoccupied exemptions are properties which are empty and exempt from paying council tax.

3. More details on council tax discounts and exemptions can be found on the Scottish Government Website at: http://www.scotland.gov.uk/Topics/Government/local-government/17999/counciltax

Local authorities are responsible for billing and collecting the correct amounts of council tax. Each individual bill is calculated by applying the multiplier for each band to the band D council tax level, then applying any discounts, exemptions or reductions as detailed above. Immediately before the start of each financial year local authorities issue council tax bills to dwellings. They collect council tax income relating to these bills over the year, and also continue to collect late amounts from previous billing years^[1]. The amounts of council tax collected by each local authority in 2013-14 are reported in Table 1.12 below. In 2013-14 for Scotland as a whole, the total amount of council tax collected (after CTR) was £1.98 billion.

The provisional in-year Council Tax collection rate for 2013-14 was 95.2 per cent. More information about bills issued in 2013-14 and the provisional amounts collected are available in the statistics publication Council Tax Collection Statistics, 2013-14.¹

Table 1.12 - Council tax income by local authority, 2013-14

£ thousands
	Net Council tax income
Scotland	1,980,733
Aberdeen City	102,739
Aberdeenshire	113,348
Angus	41,368
Argyll & Bute	42,066
Clackmannanshire	18,113
Dumfries & Galloway	54,824
Dundee City	46,482
East Ayrshire	39,636
East Dunbartonshire	47,099
East Lothian	41,572
East Renfrewshire	40,893
Edinburgh, City of	208,086
Eilean Siar	9,056
Falkirk	51,913
Fife	131,340
Glasgow City	182,087
Highland	99,052
Inverclyde	26,492
Midlothian	33,363
Moray	34,526
North Ayrshire	45,756
North Lanarkshire	97,811
Orkney Islands	7,604
Perth & Kinross	67,083
Renfrewshire	63,506
Scottish Borders	45,241
Shetland Islands	8,284
South Ayrshire	45,279
South Lanarkshire	108,265
Stirling	40,122
West Dunbartonshire	29,385
West Lothian	58,342

1. Figures are after Council Tax Reduction is taken in to account and include Community Charge and additional amount billed for reduced discount for second homes and long term empty properties.

2. Figures relate to income collected in financial year 2013-14, which can include amounts that were billed in previous years.

Source: Council Tax Receipts & Returns, 2013-14. Local Financial Returns, 2013-14.

CTR is funded jointly by the UK Government, Scottish Government, and local government. In 2013-14, CTR funding from Government totalled £351 million (£328 from UK Government and £23 million from Scottish Government). Local authorities agreed to contribute an additional £17 million from their own budgets to the cost of the scheme, as part of the joint commitment between Scottish Government and local government to mitigate the UK Government's 10% cut in funding, which was estimated at £40m for 2013-14. The amounts distributed to each local authority and the final total value of reductions awarded are shown in Table 1.13. The total value of reductions through the CTR scheme across Scotland was £359.7 million. This figure is £8.7 million more than the £351 million funding provided by UK Government and Scottish Government, and £8.3 million less than the £368 million total budget which included the £17 million from local authorities.

Table 1.13 - Council Tax Reduction funding and final out-turn by local authority, 2013-14.

£ thousands
	Government (SG and UKG)	Final total reduction in liability
Scotland	351,000	359,708
Aberdeen City	9,926	9,838
Aberdeenshire	7,752	7,620
Angus	5,483	5,473
Argyll & Bute	5,577	5,781
Clackmannanshire	3,498	3,687
Dumfries & Galloway	8,792	8,935
Dundee City	12,573	12,833
East Ayrshire	9,737	10,033
East Dunbartonshire	4,538	4,754
East Lothian	5,388	5,574
East Renfrewshire	3,970	3,927
Edinburgh, City of	27,131	27,687
Eilean Siar	1,607	1,608
Falkirk	8,508	8,720
Fife	21,081	21,747
Glasgow City	69,954	71,791
Highland	12,573	12,679
Inverclyde	6,806	7,073
Midlothian	5,294	5,346
Moray	3,876	3,918
North Ayrshire	11,533	11,874
North Lanarkshire	24,768	25,548
Orkney Islands	756	776
Perth & Kinross	6,712	6,867
Renfrewshire	13,235	13,763
Scottish Borders	5,672	5,777
Shetland Islands	756	690
South Ayrshire	8,602	8,841
South Lanarkshire	21,175	21,765
Stirling	4,538	4,613
West Dunbartonshire	9,359	9,799
West Lothian	9,831	10,371

1.3.2 Non-Domestic Rates

Non-Domestic Rates (NDR) is a property tax paid by the owner/occupier or tenant of a non-domestic property.

In 2013-14, the NDR income collected was £2.37 billion.

The principles of non-domestic rates were established in the Lands Valuation (Scotland) Act of 1854. This act also provided for the appointment of the Scottish Assessors, who are responsible for determining the classification and valuation of non-domestic and domestic properties, and are independent of both the Scottish Government and local authorities. A non-domestic property is an individual property used for non-domestic purposes. Examples include businesses, public buildings and advertising hoardings. The value given to a property for NDR purposes is called its rateable value (RV).

The RV of a property is a legally defined valuation provided by the Assessor, broadly based on the rental values the property could achieve. As such it is not a reflection of the profitability, turnover or output of the business. It is established at revaluation where the Scottish Assessors assess rateable values for all non-domestic properties in Scotland, taking account of the type and nature of the property. All non-domestic properties and their corresponding RVs are listed on the Valuation Roll, which is maintained by the Scottish Assessors.

NDR bills are calculated using the rateable value (RV) of non-domestic properties, multiplied by a poundage set nationally by Scottish Ministers, less any relief or exemption entitlement.

For properties with a rateable value greater than £35,000, the Large Business Supplement (LBS) applies in addition to the poundage (the poundage is effectively increased slightly by adding the LBS).

Table 1.14 shows the composition of properties (and associated RV) on the Valuation Roll by property type. As at 1^st April 2014, there were 221,292 properties with a total RV of £6.7 billion. Shops were the most prevalent type of property on the valuation roll, making up nearly a quarter (24%) of the number of properties and RV on the roll. Industrial subjects and offices are the next two largest categories in terms of numbers and RV. Together, these three categories account for 63% of properties on the valuation roll, and 58% of the RV.

Table 1.14 - Non-Domestic Rates Properties by Classification (as at 1 April 2014)

	Number of properties	Rateable value (£000s)	% of properties on the Valuation Roll	% of Rateable Value on the Valuation Roll
CATEGORY	1st April 2014	1st April 2014	1st April 2014	1st April 2014
Advertising	2,048	8,100	0.9%	0.1%
Care Facilities	3,030	104,337	1.4%	1.6%
Communications	324	15,212	0.1%	0.2%
Cultural	1,385	46,468	0.6%	0.7%
Education and Training	3,774	507,276	1.7%	7.6%
Garages and Petrol Stations	4,360	64,569	2.0%	1.0%
Health and Medical	3,172	204,015	1.4%	3.1%
Hotels	4,962	183,421	2.2%	2.7%
Industrial Subjects	46,642	1,124,139	21.1%	16.8%
Leisure, Entertainment, Caravans etc.	20,996	236,243	9.5%	3.5%
Offices	39,345	1,135,722	17.8%	17.0%
Other	13,315	91,374	6.0%	1.4%
Petrochemical	142	107,994	0.1%	1.6%
Public Houses	3,815	109,254	1.7%	1.6%
Public Service Subjects	9,921	317,384	4.5%	4.8%
Quarries, Mines, etc.	688	23,613	0.3%	0.4%
Religious	6,267	55,118	2.8%	0.8%
Shops	53,081	1,603,339	24.0%	24.0%
Sporting Subjects	3,369	17,738	1.5%	0.3%
Statutory Undertaking	656	725,399	0.3%	10.9%
TOTAL ALL NON-DOMESTIC PROPERTIES	221,292	6,680,715	100%	100%

Source: Scottish Assessors Valuation Roll, 1^st April 2014

Table 1.15 provides a breakdown of properties on the Valuation Roll by local authority and RV band. In terms of the Small Business Bonus Scheme and the application of the Large Business Supplement, £18,000 and £35,000 represent the rateable value thresholds for small and large businesses respectively. Around 78% of all properties (172,540 properties) have a Rateable Value less than or equal to £18,000.

Table 1.15 - Non-Domestic Rates Subjects by Local Authority (as at 1 April 2014)¹

Local Authority	Rateable Value Band			Total Non-Domestic Properties
	<= £18,000	£18,001 to £35,000	> £35,000
Scotland	172,540	19,937	28,815	221,292
Aberdeen City	5,006	1,138	2,263	8,407
Aberdeenshire	9,866	796	1,032	11,694
Angus	4,040	357	396	4,793
Argyll & Bute	7,554	349	342	8,245
Clackmannanshire	1,315	123	143	1,581
Dumfries & Galloway	8,145	482	541	9,168
Dundee City	4,190	595	952	5,737
East Ayrshire	3,184	312	411	3,907
East Dunbartonshire	1,720	302	299	2,321
East Lothian	2,744	271	322	3,337
East Renfrewshire	1,267	216	217	1,700
Edinburgh, City of	13,398	2,407	3,907	19,712
Eilean Siar	2,051	107	113	2,271
Falkirk	3,595	475	678	4,748
Fife	10,317	1,210	1,593	13,120
Glasgow City	17,429	2,931	4,749	25,109
Highland	15,134	1,011	1,361	17,506
Inverclyde	1,768	210	306	2,284
Midlothian	2,204	256	364	2,824
Moray	3,954	251	361	4,566
North Ayrshire	4,149	391	486	5,026
North Lanarkshire	6,938	1,058	1,547	9,543
Orkney Islands	1,882	130	96	2,108
Perth & Kinross	7,051	589	714	8,354
Renfrewshire	4,711	609	942	6,262
Scottish Borders	6,236	419	412	7,067
Shetland Islands	1,737	110	151	1,998
South Ayrshire	3,786	417	555	4,758
South Lanarkshire	7,058	1,109	1460	9,627
Stirling	3,956	432	564	4,952
West Dunbartonshire	2,143	280	409	2,832
West Lothian	4,012	594	1,129	5,735

1. Includes a small percentage of properties with zero rateable value.

Source: Scottish Assessors Valuation Roll, 1^st April 2014

Table 1.16 shows a time series of annual NDR Income, total Rateable Value, Poundage Rate and Large Business Supplement. Revaluations typically take place on a 5-year cycle and are intended to be 'revenue neutral'. As a consequence of the 2010 revaluation, the poundage was reduced from 48.1p in 2009-10 to 40.7p in 2010-11 and the total RV of non-domestic properties (the tax base) increased from £5.3 billion in 2009-10 to £6.6 billion in 2010-11. The next revaluation will take place in 2017.

Table 1.16 - Non-Domestic Rates Income, Total Rateable Values and Poundage Rate

	2009-10	2010-111	2011-12	2012-13	2013-142
Non Domestic Rates Income (£m)	2,010	2,138	2,251	2,347	2,367
Total Rateable Value3 (£m)	5,299	6,612	6,678	6,718	6,716
Poundage Rate (pence)	48.1	40.7	42.6	45.0	46.2
Large Business Supplement4 (pence)	0.4	0.7	0.7	0.8	0.9

1. Revaluation took place in 2010
2. All income figures, including 2013-14, are the final audited income collected by councils.
3. Total rateable value is given at the start (1 April) of the relevant financial year
4. The Large Business Supplement is applied in addition to the poundage for properties with a rateable value over £35,000

Source: NDR Income - Non-domestic Rate Income Returns, Rateable Value - Scottish Assessors Valuation Roll as at 1^st April

Table 1.16 also shows that the total RV has increased slightly since the 2010 revaluation from £6.61 billion at 1^st April 2010 to £6.72 billion at 1^st April 2013. This is due to the net impact of several factors including increases in the tax base from new properties or extension of existing properties and decreases as demolished properties are deleted from the valuation roll or as the RV is reduced as a result of appeals^[2]. As Non-Domestic Rates bills in Scotland are directly related to the rateable values of individual non-domestic properties, changes in the total RV impact on the amount of NDR available for collection, along with other factors such as the poundage rate and backdated revaluation appeals losses which also affect the final income.

Inflation is a key driver of growth in NDR income as the poundage rate, set nationally by Scottish Ministers^[3], is typically tied to the Retail Price Index (other than in the first year of a revaluation). NDR bills are calculated by multiplying the RV of a property by the poundage rate, and then applying discounts and exemptions. Large business properties (those with a RV greater than £35,000) also pay a supplement to the poundage rate, known as the Large Business Supplement (LBS), which is used to fund a portion of the Small Business Bonus Scheme (SBBS). The LBS was 0.9p in 2013-14. For the period 2012-13 to 2014-15, large retailers that sell both alcohol and tobacco also pay the Public Health Supplement (PHS) - an additional 13p on the poundage rate in 2013-14. These supplements increase the amount paid in NDR bills. Conversely, exempt properties (which do not pay rates), and relief schemes such as the Small Business Bonus Scheme can significantly reduce the amount paid in NDR bills, and therefore the NDR income.

Table 1.17 summarises the total number of properties and rateable value as at 1^st April 2014 and the NDR income collected in 2013-14 by local authority (net of reliefs).

Table 1.17 - Non-Domestic Rates Properties, Rateable Values and Income By Local Authority^1,4

Authority	Non-Domestic Properties2 April 2014	Non-Domestic Rateable Values April 2014 (£000s)	Non-Domestic Rate income 2013-143 (£000s)
Scotland	221,292	6,680,715	2,366,885
Aberdeen City	8,407	447,933	178,271
Aberdeenshire	11,694	220,161	81,228
Angus	4,793	76,795	25,418
Argyll & Bute	8,245	89,218	28,544
Clackmannanshire	1,581	37,950	12,684
Dumfries & Galloway	9,168	118,755	41,532
Dundee City	5,737	188,943	62,180
East Ayrshire	3,907	81,741	25,210
East Dunbartonshire	2,321	67,649	21,691
East Lothian	3,337	68,969	21,637
East Renfrewshire	1,700	39,147	13,399
Edinburgh, City of	19,712	907,064	325,990
Eilean Siar	2,271	22,429	6,817
Falkirk	4,748	173,372	63,058
Fife	13,120	432,116	159,398
Glasgow City	25,109	980,686	322,438
Highland	17,506	305,860	106,356
Inverclyde	2,284	60,260	19,013
Midlothian	2,824	77,300	27,074
Moray	4,566	86,591	31,504
North Ayrshire	5,026	107,017	35,874
North Lanarkshire	9,543	297,916	101,280
Orkney Islands	2,108	25,982	8,303
Perth & Kinross	8,354	148,090	47,274
Renfrewshire	6,262	236,244	84,316
Scottish Borders	7,067	90,768	29,865
Shetland Islands	1,998	44,254	13,646
South Ayrshire	4,758	107,286	35,746
South Lanarkshire	9,627	638,862	244,337
Stirling	4,952	113,945	39,156
West Dunbartonshire	2,832	171,349	73,479
West Lothian	5,735	216,062	80,166

1. Rates bills for specific utilities are collected by specified councils on behalf of all 32 councils, and appear on the valuation roll for those councils: South Lanarkshire (Electricity), West Dunbartonshire (Gas), Fife (Water), Falkirk (Docks and Harbours), Highland (Railways), and Renfrewshire (Telecommunications). This increases the take for those authorities.

2. Includes properties with a zero rateable value

3. Final Audited income collected by councils.

4. Totals may not sum exactly due to rounding.

Source: Number of Properties and Rateable Value - Scottish Assessors Valuation Roll 1st April 2014;

NDR Income - Non-domestic Rate Income Returns provided by Councils

Table 1.17 shows geographical variations in the number of properties, rateable value and NDR income. It should be noted however that some councils have responsibility for collection of NDR for specific utilities as detailed in the footnote to the table. For these councils, the entries on the valuation roll and NDR income include Scotland-wide data for the specified utilities sectors. To avoid the need for revisions, only final (audited) NDR income figures are included in this publication. The deadline for NDR income returns was brought forward to allow audited 2013-14 NDR income data to be included.

Table 1.18 - Amount of Non-Domestic Rates Relief Provided by Relief Type¹

£000s
	2009-10	2010-11	2011-12	2012-13	2013-142
Unoccupied Property/Partly Unoccupied Property	153,361	145,936	157,862	169,134	146,496
Charities	122,132	136,731	151,276	164,979	173,623
Sports Clubs	11,604	11,476	12,059	12,431	12,911
Disabled persons relief	45,484	51,901	54,372	57,580	58,299
SBBS	108,420	123,259	134,719	150,196	161,002
Religious Properties	20,218	24,016	22,960	24,573	25,205
Rural Rate Relief	3,918	4,129	4,218	4,305	4,323
Renewable Energy Relief Scheme3		3,560	4,126	4,811	7,333
New Start4					130
Fresh Start5					189
Other6	19	4	43	10	63
Gross Amount7	465,157	501,013	541,635	588,018	589,574

1. Estimates include mandatory and discretionary elements of relief where applicable, but exclude backdated payments of relief

2. Reliefs for all years, including 2013-14, are final audited figures.

3. The Renewable Energy Relief Scheme was introduced at 1 April 2010.

4. The new start relief scheme was introduced at 1 April 2013 and will run for 3 years.

5. The fresh start relief scheme was introduced at 1 April 2013.

6. Other includes Hardship and Enterprise Areas.

7. Totals may not sum exactly due to rounding.

Source: Non-domestic Rate Income Returns

There are a number of types of NDR relief that reduce the NDR bill for qualifying properties. Table 1.18 shows the main types of relief available^[4] and the amount of relief provided each year from 2009-10 to 2013-14.

The gross amount of relief provided has increased substantially from £465 million in 2009-10 to £590 million in 2013-14. Key reasons for this are increases in the poundage rate (due to normal annual inflation) and an increase in relief provided through the Small Business Bonus Scheme, with expansion of the scheme thresholds and greater awareness of the scheme likely to be contributory reasons. Other reasons for change are likely to include growth in the tax base over this period (i.e. an increase in the overall Rateable Value) and changes to amounts awarded for other reliefs (for example an increase in Charity Relief and the introduction of the new relief schemes).

The total NDR income collected by Local Authorities is pooled at the Scotland level^[5]. Each council reports the NDR collected to the Scottish Government to be included in the central pool. The amount to be re-distributed to each authority from the pool is known as the Distributable Amount (DA) and is set by the Scottish Government before the start of the financial year in question.

From 1^st April 2011, the distribution methodology provides that Councils retain what it is estimated they can collect in business rates (rather than the previous policy where it was redistributed on the basis of population shares). As the combined total of NDR income and General Revenue Funding (GRF) provided to councils is guaranteed by the Scottish Government, any reduction in the amount of NDR collected is compensated for by a corresponding increase in GRF and vice versa. Any surpluses or deficits are paid out or recovered from Councils in the calculation of future years distributable business rates totals. The DA is based upon a forecast of the NDR income and prior year adjustments, and is therefore not guaranteed to match the total contributions to the pool for that year.

The calculation of the distributable amount for 2013-14 is given in Annex F and the 2013-14 distributable amount per Local Authority is shown in Table 1.19.

Table 1.19 - Amount of Non-Domestic Rates Distributed to Each Local Authority, 2013-14

	Non-Domestic Rate Income (£000s)
Scotland	2,435,000
Aberdeen City	177,084
Aberdeenshire	78,947
Angus	25,764
Argyll & Bute	28,492
Clackmannanshire	11,872
Dumfries & Galloway	44,549
Dundee City	53,951
East Ayrshire	28,546
East Dunbartonshire	22,885
East Lothian	23,134
East Renfrewshire	13,924
Edinburgh, City of	334,630
Eilean Siar	6,475
Falkirk	68,291
Fife	145,816
Glasgow City	333,668
Highland	114,154
Inverclyde	20,869
Midlothian	26,665
Moray	30,668
North Ayrshire	36,943
North Lanarkshire	109,179
Orkney Islands	8,827
Perth & Kinross	50,928
Renfrewshire	97,709
Scottish Borders	28,503
Shetland Islands	16,177
South Ayrshire	39,642
South Lanarkshire	273,224
Stirling	29,948
West Dunbartonshire	72,189
West Lothian	81,347

Source: Local Government Finance (Scotland) Order 2013

1.3.3 Customer and Client Receipts

Local Authorities receive income from sales, rents, fees and charges as a result of providing services. These services are wide ranging in nature, as is the amount of income associated with each service, as detailed in Table 1.20 below.

Table 1.20 - Customer and Client Receipts - 2009-10 to 2013-14

£ thousands
	2009-10	2010-11	2011-12	2012-13	2013-14b
Education	87,115	95,006	115,017	113,355	120,563
Cultural & Related Services	85,516	81,521	77,479	70,728	71,185
Social Work	246,014	251,167	268,101	276,450	276,012
Roads & Transport	165,941	146,068	171,674	154,117	175,218
Environmental Services	123,164	120,400	117,767	117,969	117,457
Planning & Development Services	120,146	97,897	118,518	116,541	121,077
Central Services	144,819	113,862	143,521	110,889	131,709
Non-HRA Housing	189,150	164,339	179,116	165,412	160,800
Trading Services	66,992	66,852	63,526	58,045	69,843
Total GF Customer and Client Receipts excluding Police & Fire	1,228,857	1,137,112	1,254,719	1,183,506	1,243,864
Police, Fire & Emergency Planning	93,043	55,098	66,575	111,992
Total GF Customer and Client Receipts	1,321,900	1,192,210	1,321,294	1,295,498	1,243,864
HRA1	955,710	979,571	965,920	1,034,306	1,073,362
Common Good Fund	9,073	7,168	10,809	11,113	9,867
Road Bridges	133	89	82	80	166
Total Customer and Client Receipts	2,286,816	2,179,038	2,298,105	2,340,997	2,327,259

1. The Housing Revenue Account (HRA) records income and expenditure relating to Local Authority housing stock

b. Following the Police and Fire Reform (Scotland) Act 2012 figures from 2013-14 may not be comparable with previous years.
See section 5.2 for details.

Source: Local Financial Returns (LFRs)