COUNCILLORS have agreed the Inverclyde Council budget for the next year.

Council tax will remain the same for most residents, but around 7,000 households on bands E-H will see a hike of between 7.5 and 22.5 per cent imposed by the Scottish Government.

Local authority reserves will be used to plug a funding gap of around £5 million over the next 12 months, meaning there will be no immediate cuts to jobs and services.

Council leader Stephen McCabe also unveiled a variety of spending plans, which were also formally approved by 14 of the district’s 20 councillors.

Five SNP elected members – excluding Councillor Jim Grieve, who was not present at the meeting,  voted against the proposals in protest at calls for around 800 outstanding equal pay claims to be settled immediately and for an extra £1m to be set aside for any future disputes.

They were also unhappy at the use of council reserves to help plug the funding gap.

Group leader Chris McEleny withdrew from the budget working group late last year after a row with Councillor McCabe over publishing details of meetings on social media.

Announcing the budget, Mr McCabe, said: “Despite the higher than expected like-for-like grant cut of nearly £5m from the Scottish Government, we have been able to balance the 2017/18 budget without further service reductions over and above those previously agreed.

“This will be achieved through the use of reserves.

“The council has also decided not to change the band ‘D’ level of council tax.

“It is worth highlighting though that this does not mean council tax is frozen and the council has taken steps to ensure that residents in bands E-H are aware in advance of the national tax changes which will affect them from April.”

Cllr McCabe was delivering what could be his last budget as council leader after almost a decade in charge ahead of May’s local elections.

He said: “I don’t know if there was a tear in my eye but it was a landmark after 10 years.

"Through prudent financial management we are once again able to make a number of one-off allocations in support of the council’s policy objectives including investment in town and village centres; employability; anti-poverty fund; additional money for grants to voluntary organisations and funding to promote a new initiative for Inverclyde to become autism friendly community.

“I would like to thank the members of the budget working group for the constructive part they played in developing these proposals.

“There can’t be many – if any – councils in Scotland with a more inclusive approach to budget setting.”

Over the next 12 months there will be an additional £2.5m spent regenerating Inverclyde’s town and village centres; £1m to set up an anti-poverty fund; £500,000 to help people into work, including the creation of apprenticeships; £150,000 to be made available to voluntary organisations; and £150,000 to help make the district an autism friendly community.

The council has also set aside £350,000 towards a new indoor tennis facility which is hoped will be match-funded by Sportscotland and the Lawn Tennis Association.

Councillors also approved the local authority’s £86m capital programme for the next three years, which includes £37m on new and refurbished schools and nurseries.