But according to chief financial officer David Robertson, balancing the books in the years ahead will provide a significant challenge.

Writing in the council’s unaudited accounts for 2013/14, Mr Robertson states: “The operating environment for the council continues to be very challenging with financial and economic influences, such as welfare reform, increasing demand on services, low interest rates and cost pressures from pay and price inflation all affecting the council’s finances.

“Despite these challenges, the council remains financially sound and well placed to serve the people of the Borders in future.” The 88-page accounts, posted online without fanfare last week, contain a report on remuneration which shows that 96 SBC employees earned £50,000 or more last year while 16 of the 34 elected councillors were paid a total of £341,214, compared to £305,263 in 2012/13.

The report reveals that 40 early retirement/voluntary severance packages cost the council at total of £1.063million. Two of the deals were for officers in the £100,000-£150,000 wage bracket and the largest individual package totalled £162,874.

In 2007, the council entered into a controversial Public Private Partnership (PPP) to build three new secondary schools in Earlston, Duns and Eyemouth.

The accounts show that, last year, SBC paid £8.7 million, including £2.8 million in interest, towards the project costs. Such annual contributions will increase with inflation until the current balance of £266.8 million, including over £41 million in interest, is paid off over the next 25 years. In the last five years of the PPP arrangement, the council will pay £63.5 million, which works out at over £12 million a year. SB Contracts, the trading arm of the council which competes for private sector work and has a 57-strong workforce, saw its turnover cut by almost half by £10.2 million to £11.6 million, partly due to “difficult economic conditions within the construction industry”.