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Islands Cost Crisis Emergency Fund 2024/25

Argyll and Bute Council · 15 August 2024
Back to Policy and Resources Committee — 15 August 2024 and its agenda

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ARGYLL AND BUTE COUNCIL  POLICY AND RESOURCES
COMMITTEE 
DEVELOPMENT AND ECONOMIC
GROWTH 
15 AUGUST 2024 
ISLANDS COST CRISIS EMERGENCY FUND 2024/25 
1.0 EXECUTIVE SUMMARY 
1.1 The Islands Cost Crisis Emergency Fund (ICCEF), which aims to help island
authorities take urgent action to support households through the cost of living
crisis, was set up in December 2022. £1 million funding has been identified for
the 2024/25 financial year.  The funding will be distributed to the six Local
Authorities with responsibility for islands through the 2024/25 Local
Government Revenue Grant. 
1.2 This funding is for 2024/25 financial year only, and will be allocated via a grant
offer across the six local authorities using 100% population basis as
recommended by the joint Scottish Government/COSLA settlement
Distribution Group approved by the COSLA political Leaders. 
1.3 The allocation to Argyll and Bute for 2023/24 was £141,000 and the funds
were distributed as detailed in Table 1 below. The allocation will remain the
same for 2024/25, £141,000. 
1.4 Local authority decisions on where funding will be directed should be based
on their local knowledge and understanding of the impacts of the cost crisis
on their islands. The fund should be used to target island areas only, by
providing immediate help to those who are struggling most, either through
existing schemes and/or other new support where need is greatest.  The
outcomes of this funding are expected to have stronger focus on child
poverty. 
1.5  Given the critical nature of the fund it is important that the funding reaches
communities as quickly as possible. In regard to this, members may be
minded to support the same initiatives as were agreed last year focusing on
Love Local cards, free school meal top ups and grants to four island
foodbanks as detailed in Table 1.   
RECOMMENDATIONS 
It is recommended that the Policy and Resources Committee:-

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a) Note the funding announced by the Scottish Government for 2024/25
financial year for Local Authorities with responsibility for islands. 
b) Agree that arrangements for the fund are the same as those initiatives
agreed for 2023/24 and detailed in Table 1 to ensure that the support
reaches communities as quickly and effectively as possible.

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ARGYLL AND BUTE COUNCIL  POLICY AND RESOURCES
COMMITTEE 
DEVELOPMENT AND ECONOMIC
GROWTH 
15 AUGUST  2024 
ISLANDS COST CRISIS EMERGENCY FUND 2024/25 
2.0 INTRODUCTION 
2.1 On 22 May 2024, the Scottish Government announced that Islands Cost Crisis
Emergency funding of £1m would be available for the 2024/25 financial year.
The funding will be distributed to the six Local Authorities with responsibility
for islands through the 2024/25 Local Government Revenue Grant.  The fund
will be administered by Scottish Futures Trust (SFT) on behalf of the Scottish
Government. 
2.2 This report provides the Policy and Resources Committee with an overview of
proposed arrangements for the fund in 2024/25. 
3.0 RECOMMENDATIONS 
3.1 It is recommended that the Policy and Resources Committee:-  
a) Note the funding announced by the Scottish Government for 2024/25
financial year for Local Authorities with responsibility for islands. 
b) Agree that arrangements for the fund are the same as those initiatives
agreed for 2023/24 and detailed in Table 1 to ensure that the support
reaches communities as quickly and effectively as possible. 
4.0  DETAIL 
4.1 The Scottish Government has announced that there will be an allocation of £1
million Island Cost of Crisis Emergency funding for 24/25 and this will be
distributed across the six Local Authorities with responsibility for islands. 
4.2  The funding is for the 2024/25 financial year only. The fund of £141,000 to Argyll
and Bute will be paid as a redetermination of the General Revenue Grant
during the last 2 weeks in March 2025. 
4.3  The allocation for Argyll and Bute in 23/24 was £141,000. Policy and Resources

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Committee in August 2023 agreed to delegate the arrangements for Argyll
and Bute’s allocation of the 23/24 funding to the Executive Director with
responsibility for Development and Economic Growth in consultation with the
Leader, Depute Leader, Leader of the largest Opposition Group and the
Policy Lead for Islands the allocation was agreed as detailed in Table 1 below:- 
4.4 Given the critical nature of the fund it is important that the funding reaches
communities as quickly as possible. In regard to this, members may be
minded to support the same initiatives as were agreed last year focusing on
Love Local cards, free school meal top ups and grants to 4 island foodbanks
as detailed in Table 1.   
4.5 It should be noted that the current mechanism for providing the school meal top
up payments needs further discussion with the Education department to ensure
that the payments are reaching the eligible students directly.  Discussions will
also be required with colleagues in Revenue and Benefits regarding the uptake
of Love Local cards. 
5.0 CONCLUSION 
5.1 The £1 million Islands Cost Crisis Emergency Fund allocation will support those
on islands facing even more significant cost of living challenges.  Estimates
indicate that Islands are facing around 20% to 66% higher costs of living than
the UK average.  High fuel costs, a colder climate and the lack of consumer
choice is also intensifying the impact of the cost crisis.  Argyll and Bute Council’s
share of the fund is £141k based on our island population.   
6.0 IMPLICATIONS 
6.1  Policy – The Scottish Government’s £1 million Islands Cost Crisis Emergency
allocation will support those on islands facing even more significant cost of living
challenges. 
6.2  Financial – Argyll and Bute’s allocation of the £1 million fund will be £141,000. 
Table 1
ICCEF 2023/24 Distribution 
Argyll and Bute Council Love Local
Giftcards 
£100,000
Food Bank Grants  £16,000
Free School Meal Top Ups £25,000
TOTAL ICCEF 23/24 £141,000

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6.3  Legal – None. 
6.4  HR – None. 
6.5  Fairer Scotland Duty: 
6.5.1 Equalities – None 
6.5.2  Socio-Economic Duty – None 
6.5.3  Islands – The Islands Cost Crisis funding announced by the
Scottish Government will help support our island communities
who are facing a higher cost of living than the UK average. 
6.6  Climate Change – If the option to continue using Love Local cards is taken
spend will be restricted to premises within Argyll and Bute.   
6.7  Risk – None. 
6.8  Customer Service – This funding will ensure the Council are supporting our
island communities and households across Argyll and Bute. 
6.9 The Rights of the Child (UNCRC) – No implications anticipated however the
funding will assist in tackling the cost of living crisis which aims to improve
finances for those on islands including children. 
Kirsty Flanagan, Executive Director with responsibility for Development and
Economic Growth   
Councillor Jim Lynch, Depute Policy Lead for Economic Development,
Housing, Communities and Islands 
For further information contact: 
Fergus Murray, Head of Development and Economic Growth
Fergus.Murray@argyll-bute.gov.uk 
August 2024