Square The Circle

Tensions between the Scottish Government and councils continue as the budget is debated. The Scottish government says it has given councils an extra £570m for local services in its December budget, but local authorities are concerned that economic pressures will hit vital services like social care and education, and ring-fenced funds may lead to cuts in areas such as bin collections. Economist David Phillips, Associate Director of The Institute for Fiscal Studies, joins the team to explain some of the challenges facing the Scottish government and local authorities, what might be done to alleviate those pressures, and the economic outlook for Scotland and the UK going forward.