INVERCLYDE is set to lose out on nearly £200,000 following a last-minute reshuffle of funds by the Scottish Government. 

Council leader Stephen McCabe, pictured, today blasted finance secretary Derek Mackay for late changes to the area’s settlement for next year.

It has been reported that the senior minister was forced to redistribute parts of local authorities’ allocations because civil servants had made a mistake in original calculations.

Inverclyde is one of a number of council areas to lose out as a result, to the tune of £187,000.

The council is already faced with making £10m of cuts in the next two years.

Councillor McCabe said: “We are going to have to try and find even more savings now if this stays the same.

“The £187,000 is the equivalent of ten jobs.

“It is unacceptable.

“Some councils have realised they have been allocated less than they should have been and the government has basically redistributed the same amount of cash in a different way.

“They will have to find ways to make up the money to the local authorities like ours.”

Councillor McCabe believes the blunder exposes the challenges of funding formulas and highlights a need for change in the way money is dispersed to local authorities.

He said: “The formula is based too much on population and not enough weight is given to deprivation.

“This has an impact on Inverclyde.”

A Scottish Government spokesperson said: “The 2018-19 local government finance settlement foresees an increase both in revenue and capital investment as part of a wider package of measures. Inverclyde Council will receive its fair share of those resources as agreed with COSLA. 

“Together with the additional power to increase council tax by up to three per cent, this will generate an increase of 1.6 per cent in the overall resources to support services.”