2025/26 Budget Set by South Ayrshire Council

South Ayrshire Council has today (Thursday 27 February) agreed the budget for the financial year 2025/26, which focuses on the protection of frontline services, income generation and investment in key areas, such as education, and health and social care.

We're committed to making South Ayrshire an attractive destination for residents and visitors, and our capital investment programme will see £344.5 million invested across the area over the next 12 years. This includes £16 million for Ayr Town Centre to improve Burns Statue Square, £1.5 million for Girvan Regeneration works, and £2.5 million as match funding for the Dunure Heritage project.  

We're continuing to make improvements in all eight wards in South Ayrshire through our Ward Capital Projects programme, with a range of works already complete and new projects set to begin in 2025/26. This demonstrates our ongoing commitment to enhancing our spaces and places and promoting civic and community pride in the area. We're also allocating £26.1 million over the next 12 years to improve the road network across South Ayrshire.

The health and wellbeing of our residents is a key priority, and Councillors agreed to invest £107.1 million in our Health and Social Care Partnership (HSCP) - an increase of almost 6% on previous years. This will ensure the vital services they provide can continue, and people can access they care they need. Plans are also ongoing to repurpose the former Hourstons building into a mixed use 'care village' development, following significant investment last year.

We want to make sure local people can be fit and active, and we're continuing with investment in a range of our leisure facilities. This includes ongoing works at the Citadel Leisure Centre and Prestwick swimming pool, a planned extension for Troon swimming pool, plus improvements to the all-weather pitch in Girvan. 

We're investing £2.6 million in education to help raise attainment and continue to make sure our children and young people have the best possible start in life. Plans for the new Girvan Primary School are well underway, and we're making improvements to the exterior of Troon Primary School, demonstrating our commitment to modernising our schools and education facilities. We're also expanding our free school meals provision. 

While we are making investments, we still face a challenging financial landscape where costs continue to rise. This year, in addition to our block grant, the Scottish Government provided £6.1 million of un-ringfenced funding. However, this will not make ends meet and we need to generate more income.

To do this, we are increasing fees for some council services, including sport and leisure, golf, allotments, and commercial waste collections.

We have also had to take the difficult, but essential decision to increase Council Tax by 8% in 2025/26, equating to an increase of £9.69 a month for a band D property*. To assist us with financial planning for future years, we're also assuming a further increase of 8% in 2026/27, and a 6% increase in 2027/28. Any future increases will be reviewed in the relevant years budget setting process.

Full details can be found in our budget book on our website: Council Budget - South Ayrshire Council

Leader of South Ayrshire Council, Councillor Martin Dowey, said: "I'd like to thank those of you who took the time to take part in our budget consultation. Most respondents told us that they would prefer to see an increase in charges rather than a decrease in services provided, and we have taken this into account.

"This budget comes at a time of significant financial pressure, and we've not only balanced the books, but also made investment in a range of areas and worked hard to keep any increases to service charges as low as possible.

"It's been challenging, but we are confident that the steps we have taken will protect jobs, essential services and improve the local area for residents and visitors."

South Ayrshire Council's Portfolio Holder for Finance, ICT, and Procurement, Councillor Ian Davis, said: "This budget reflects our commitment to protecting essential services while also focusing on creating sustainable income for the future. We're focusing on delivering the best service to our residents with the resources available.

"I know the decision to raise Council Tax won't be welcomed, but it is a necessary step to make sure we can continue to provide our vital services in the face of rising costs.

"We know there are hurdles ahead, but by planning ahead and exploring various solutions, we are confident we can meet our financial objectives and savings targets in the years to come."

*Not inclusive of water and waste water charges