AFTER a nine-year freeze, Council Tax is set to rise in the Borders from April 1 next year.

The ruling SNP/Lib Dem/Independent administration at Newtown has this week revealed it will propose a three per cent increase across all bands when Scottish Borders Council sets its 2017/18 budget on February 9.

That is the maximum hike permitted by the Scottish Government which announced last month that it was lifting the freeze.

In the Borders around 85 per cent of annual revenue spending by SBC comes directly from the Scottish Government in a settlement which, in the current financial year, was worth £212m with the balance of around £50m being raised from Council Tax.

Although the detail of the settlement from Holyrood for the next financial year will not be published until tomorrow (Thursday), the administration announced on Monday that it was backing the maximum increase.

“The council anticipates a very challenging budget settlement and is proposing a 3% increase…to offset the impact of funding reductions on the provision of services,” said Councillor John Mitchell (SNP), SBC’s depute leader with responsibility for finance.

“By making this increase, the council will raise an additional £1.5m a year which is crucial to supporting our budget in these challenging times, especially as we can expect a reduction in the annual settlement from Holyrood.”

When the hike is approved in February, Band A households will pay £21.68 more next year, while those in Bands B, C and D will have to fork out an extra £25.29, £28.91 and £32.52 respectively.

Although the three per cent increase will also be levied on the more expensive Band E, F, G, and H properties, these households will be expected to pay much more as a result of banding adjustments approved last month by MSPs in a bid to make local taxation fairer.

The upshot for these bands in the Borders will be combined total annual Council Tax increases in 2017/18 of £137.75, £254.15, £381.71 and £567.47 respectively.