Shona Robison will not impose a council tax freeze on local authorities when she unveils her Budget next week, The Herald can reveal.

Humza Yousaf announced the controversial move, without having consulted councils, at the SNP conference in October last year, in the wake of the party's bruising defeat to Labour at the Rutherglen and Hamilton.

To applause among some at the event in Aberdeen the former First Minister told the conference that "we have consulted on what level the council tax should be" in 2024/25.

"We have reached our decision. I can announce to the people of Scotland that, next year, your council tax will be frozen," he said.

"That’s the SNP delivering for people when they need it the most."

But the policy, officially aimed at helping people deal with the cost of living by keeping household council tax bills to 2023/24 levels, appeared not have the desired effect of boosting SNP support ahead of the general election in July when the number of MPs fell from 48 in 2019 to nine.

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It was also strongly criticised by the umbrella group the Convention of Scottish Local Authorities (Cosla) which claimed it breached an agreement struck just months before with the Scottish Government.

In a highly critical statement a Cosla spokesperson said at the time: “We have just heard the announcement made at the SNP Conference in relation to freezing council tax.  We were unaware of it in advance.  

"This has longer term implications for all councils right across the country, at a time when we know there are acute financial pressures, and where we are jointly looking at all local revenue raising options.

Former First Minister Humza Yousaf, pictured with finance secretary Shona Robison, announced a council tax freeze for the current financial year (Image: PA) “We will need to consider the implications for Cosla and local government with our members when we get more of the detail.  This will also need to be examined against the principles of the recently signed Verity House Agreement.”

In addition, it soured the SNP's relationship with their government partners, the Scottish Greens, who had not been told of the announcement in advance.

Now SNP strategists are making clear the policy won't be reintroduced in 2025/26 when the finance secretary sets out her plans to Holyrood on Wednesday.

"The freeze was just for a year, so it's not like it's being lifted. It's just not being brought back," one source told The Herald.

The ending of the freeze next year was last night welcomed by Cosla, the Scottish Greens and Scottish Liberal Democrats - the two opposition parties most likely to strike an deal with the minority SNP Government which needs another party to back or abstain in a vote in Holyrood in February if it's plans are to be approved.

The Greens and the Lib Dems have made it clear that they could not support a Budget which did not give local authorities fair funding and the flexibility they need to increase council tax.

After the announcement of the freeze, some councils threatened to defy the government and put up council tax anyway.

Councillors in February voted to hike council tax in Argyll and Bute by 10%, with Inverclyde and Orkney also threatening rises.

But in the end only Labour led Inverclyde pushed ahead with an increase after the Scottish Government thrashed out a deal to give £147 million in compensation to local authorities to fund the freeze, equivalent to 5% increase.

Households in Inverclyde received a one-off rebate in May to reverse the impact of their 8.2% increase in council tax.

Cosla, the Scottish Greens and the Scottish Lib Dems all welcomed the news that there would not be a council tax freeze next year.

A Cosla spokesperson said: “Cosla welcomes news that the decision to set council tax rates in 2025/26 will remain in the hands of local decision-makers.

"Council tax forms a key element of local revenue-raising and has a direct impact in ensuring the long-term sustainability of vital local services and facilities.

"This is even more important in the context of unprecedented financial pressure for our councils, following years of flat cash settlements and budget reductions. We won’t know the exact scale of potential council tax rises across Scotland until the publication of the Scottish Budget on 4 December. However, all our councils will face extremely tough decisions over the coming months in an effort to balance local budgets.”

Scottish Lib Dem leader Alex Cole-Hamilton, who has been leading his party's budget talks with finance ministers, said: “The SNP have treated councils with contempt for years and consistently underfunded them. Essential services are at breaking point.

“Everyone knows that Scottish Liberal Democrats are local champions, and that’s why we have the strongest track record of supporting local government.

“We believe in empowering councils so that they can respond to local needs and local priorities." 

Scottish Greens spokesperson for finance Ross Greer, who has been leading his party's talks, underlined that a further council tax freeze would make it impossible for his party to support the budget.

"Repeating the freeze would have robbed schools, care providers and other key services of funding they desperately need. Council tax is an inherently broken system," he said.

 "Most people now pay the wrong rate based on valuations from 1991 and many pay more than they should. What needs to happen is a total replacement with a more progressive system.

“The Scottish Greens have already delivered important reforms, like doubling council tax on holiday homes to help tackle the housing crisis. We are urging the SNP to now take the next step and begin a full revaluation of the property roll to bring the system into the 21st century.”

A Scottish Government spokesperson said: "The finance secretary will announce the details of the budget on 4 December.”