Scottish councils are under a legal duty to produce a balanced budget each year.
As such, they cannot go bankrupt in the true sense.
If necessary they can use their cash reserves to produce balanced budgets although the reserves of some councils are getting low.
But what would happen if a council failed to agree a budget? Perhaps because the options for balancing the books were too controversial?
In the past councils have warned this was a possibility.
Were a council to fail to produce a budget, its responsibilities could be taken over by Scottish government civil servants.
Councils are still waiting to hear how much money they will get from Holyrood to fund next year’s council tax freeze.
Inflation and energy bills have added to their…
