Edinburgh's Capital status is to be recognised by a funding boost, if plans by the Finance Secretary go ahead.

John Swinney has announced proposals to take into consideration Edinburgh's Capital mantle when the Scottish executives funds are divided. The comments came as the minister set out his overall funding package for local authorities in which proposals to allocate an extra £70 million among Scotland's councils were announced.

Mr Swinney said: "While the distribution formula we use within the local government settlement does take account, for example, of visitor numbers, travel to work flows and population change, l believe there is a case to examine the funding implications arising from that wider role.”

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The minister announced a study to be undertaken in order to investigate the implications arising from the wider role performed by the capital.

He also outlined a landmark £34.8 billion investment in local government for the next three years, a bid to get local councils to comply with the government's plans to freeze council tax.

Upon making the proposals, Mr Swinney said: "Annual council tax increases have been far too high for far too long. This government promised to freeze council tax across Scotland and we have put the resources in place to allow all councils to do exactly that.

"It is now up to councils to play their part, freeze council tax and become part of the new, more productive relationship between local and national government."

(DW/SP)