Withdrawal from Europe could place a financial burden on Dumfries and Galloway Council, it has been revealed.
Almost £1 million of Euro funding stands to be lost since the plug was pulled on the continental union.
The authority is set to receive a £989k handout from revenue streams including from the European Social Fund, Poverty and Inclusion and the European Rural Development Fund.
But members of the council’s economy and resources committee heard that although it is “not anticipated that this will result in a financial pressure to the council at this stage”, the UK government’s withdrawal from the EU could result in a loss of the revenue.
In a report prepared for the committee on Tuesday, councillors were told that the issue is being “reviewed at a national level” and will be “closely monitored and reviewed as further developments take place”.
The Covid-19 response has also “significantly impacted” on the provision of economy and resources services in the current financial year, councillors were told, with “a number of officers leading and supporting emergency response cells during the pandemic, including the provision of free school meals and shielding packages”.
More than £2.9m has been ploughed into the coronavirus response, including £1.375m in free school meals provision, £600,000 for PPE and sanitiser, while it is estimated that £163,000 of income has been lost and £175,000 spent on staff costs.
Revenue has been lost through a drop in planning applications and warrants for building works, although this sector is expected to gather pace.
More than £1.6 million must also be saved from the 2020/21 balance sheet through economy and development, people and transformation and assessors’ budgets, although councillors heard “there has been a delay in the achievement of some of the savings due to the impact of
Covid 19”.
