'It’s an extra tool in the box, but it won’t solve our biggest problems'

Edinburgh’s council leader talks about new plans to encourage council innovation

City Council leader Jane Meagher

“If it happens, we will welcome an extra tool in the box” says Councillor Jane Meagher, leader of City of Edinburgh Council. “It’s important to emphasise that we are not a closed door. This would certainly be part of the tool kit and where appropriate may well enhance our ambitions to do things.”

The “it” being referred to would be the creation of General Powers of Competence for Scottish councils. Ignore the dry terminology – in essence it means Scottish councils would gain greater flexibility to act in innovative ways that benefit their communities, and the ability to innovate in how they finance such action.

The council leader’s relatively muted response may appear surprising, but in her own words while it will provide a tool that may help in some areas “it won’t solve the fundamental problems our city is facing.”

A Scottish Government consultation on bringing forward legislation enabling the introduction of General Powers of Competence north of the border is due to complete soon, and announcements are likely this summer. Doing so would bring Scottish councils into line with those south of the border. A GPC essentially allows a council to do anything an individual could do, providing it does not breach any primary legislation governing councils.

Funding raised must be additional

So, for example, a council could seek to create a broader and more innovative partnership to create a project providing supported accommodation to help previously homeless people better adjust to tenancies – reducing the risk of people repeating their homelessness. But, just as an individual cannot levy charges, a council making use of GPC could not decide to levy a new tax or impose new charges for a service it has a legal obligation to provide. Nor can it enter into commercial activity where it creates a trading imbalance with existing businesses.

Cllr Meagher said: “Our most important message is that we don’t see this as a source of replacing any form of funding we get from the Scottish or Westminster Governments - that is a main concern if we did initiate any projects via GPC, that Governments might rub their hands together, look at it, and think they might not have to give so much funding allocation next time.”

There are successful examples of the way local councils large and small down south have used these powers. For example, Stoke City Council leveraged the power to support sustainable energy initiatives. They worked on regeneration projects that included energy-efficient housing and renewable energy solutions, benefiting both the environment and the local economy.