COVID pressures still remain "substantial and uncertain" for Fife Council, according to its financial chief.

The council's Executive Director (Finance and Corporate Services), Eileen Rowland, is due to update councillors tomorrow (Thursday) on current work and pressures being faced.

She will tell members of the cabinet committee that an underspend of £5.845m currently presents a short term "favourable" position.

"This is mainly a result of an underspend of grant income received in the year that will be used next year and the successful implementation of the Children and Families strategy," she explained.

"The financial consequences of COVID-19 continue to be estimated at £22m this year. This additional cost is being funded from a combination of both specific and general revenue grant funding carried forward from previous years, with the remaining cost of £6m being met from service underspends."

In her report to councillors, Ms Rowland said some impacts of the pandemic were likely to continue into future years and funding had been earmarked to deal with this.

"The scale of financial pressures on the Council linked to the pandemic, supply chain problems and considerable inflationary cost pressures remain substantial and uncertain," she added.

"There are continued significant uncertainties and financial pressures associated with the costs of recovery from the pandemic, inflationary pressures impacting all supply chains (notably energy, fuel, construction costs and other commodities) and employee costs.

"Some of which have been funded temporarily and have also led to the need to earmark reserves to fund these significant financial risks and impacts leaving a level of £27.492m uncommitted balances.

"Balances can only be used once and it is important that the focus continues to be on strong financial management and a sustainable level of core funding and decisions are taken wisely on use of balances without adding to recurring expenditure in future years."