As part of measures to help combat the cost-of-living crisis, councillors agreed to freeze Council Tax for 2024/25, allocate £1 million for new anti-poverty measures, and maintain support levels for the Fairer Aberdeen Fund (£1.54m).

Under the City Centre Masterplan, £16.8m was allocated for a new urban park as the first phase of the Queen Street redevelopment, and £15.5m to regenerate the historic Castlegate. The City Heritage Trust will receive £450,000 over the next three years to invest in the west end of Union Street.

Other decisions today included reducing off-street parking in the city centre after 5pm to £1 for a six-month trial period; and scrapping the £30 annual garden waste permit charge.

Councillor Alex McLellan, convener of the Finance and Resources Committee, said: “Aberdeen City Council has agreed to provide households with a Council Tax freeze for 2024/25 and set aside £1m to help tackle the ongoing cost-of-living crisis.

“We have produced a budget that delivers for both citizens and our city, as our spending plans prioritise frontline services, but also invests in the city centre.

“Despite significant external challenges – high inflation, bigger energy bills, supply chain volatility – we have to balance the books without burdening people with extra cost when many are already struggling with household bills.”

The council had at one point been facing a funding gap of £35m between operating costs and income for 2024/25.

Council co-leader Councillor Ian Yuill said budget decisions were informed by a landmark public consultation on investment priorities and the potential impact of savings on people with protected characteristics.

He added: “In listening to people, it was clear that many are still struggling financially, so it was important to reduce those pressures where we can. At the same time, we wanted to invest in Aberdeen’s future – in its young people and infrastructure for growth.

“Our budget focuses on the key services upon which people depend – education and schools, repairing roads and pavements, protecting our environment, and helping the most vulnerable in our community.

“I am delighted that this year the council has agreed to abolish the charge made to collect the first brown bin containing garden waste from homes in the city. This will improve recycling rates in Aberdeen and stop penalising people for doing the right thing.”

The council committed to spending:

• Education, including Early Learning and Childcare – £218m (£190m in 2023/24);
• IJB - Adult Social Care – £122m (£120m in 2023/24)
• Children Social Work – £44m (£42m in 2023/24)
• Waste collection and disposal – £22m (£20m in 2023/24)

Capital allocations included £17m for the refurbishment of Ferryhill Primary School – a Victorian building – and £1m to modernise Bucksburn Swimming Pool.

The budget maintains Sport Aberdeen’s grant at £4.5m and additionally funding to run Bucksburn Swimming Pool following its refurbishment. Aberdeen Performing Arts will receive a £710,000 core grant and a further £175,000 to support festivals such as Granite Noir.

Over the coming financial year, the council will spend £607m running services – income made up of a Scottish Government grant, non-domestic rates and local fees and charges. Savings agreed include drawing on reserves to support services delivery in 2024/25 and to reduce capital debt requirements.