JOHN Swinney has confirmed a £10.85billion funding package for Scotland's 32 local councils for the next financial year starting in April.

The total included an extra £241million compared with this year to help councils meet Scottish Government commitments including free school meals for younger primary children and support for families struggling to pay the 'bedroom tax'.

Across the country, cash for day to day council services will rise by less than £100,000 to just under £1billion.

Four local authorities - Argyll and Bute, Edinburgh, Glasgow and Western Isles - will see their funding cut in real terms next year.

In return for the funds, authorities will be obliged to maintain the council tax freeze for an eighth year.

They will also be expected to provide jobs for trainee teachers.

Mr Swinney also confirmed business rates will continue at the same level as England.

However, coupled with a £618million rates relief package, he said Scotland would have "the most competitive business tax environment in the UK".

Announcing the annual local government finance settlement, he told MSPs: "This settlement is set against the challenging fiscal environment and the austerity measures which are set to continue with an estimated £15bn of cuts to public spending in Scotland from Westminster to public services.

"Despite that context the terms of this settlement offer to local government continues to represent a very fair settlement."