A public consultation has been launched on proposals to introduce new council tax bands for Scotland’s most valuable homes as debate continues over how local services should be funded.

The plans would create two additional bands for properties valued at more than £1 million and £2 million, with the Scottish Government seeking views on how the changes could be implemented.

Supporters argue the proposal would provide councils with additional revenue at a time when many local authorities are facing increasing financial pressures.

Schools, libraries and community services are among the areas that advocates say could benefit from the additional funding generated through the changes.

The consultation follows an agreement reached during Scottish Budget negotiations and has been welcomed by the Scottish Greens, who have long argued for wider reform of local taxation.

Questions over council funding have become increasingly prominent across Scotland, including in Highland communities where councils continue to balance rising demand for services against tightening budgets.

The consultation also comes amid wider discussions about housing affordability, inequality and how taxation should reflect people’s ability to contribute.

Scottish Green MSP Lorna Slater said:

“The launch of this consultation is an important milestone.

“The mansion tax will raise vital funds for schools, libraries and other local services, while helping to respond to Scotland’s housing emergency.

“It is happening because Scottish Green MSPs and housing campaigners made it a priority in budget negotiations.

“Alongside the private jet tax, which was also secured by the Greens, it reflects a simple principle.

“If we want properly funded public services, we need to ensure that those with the greatest wealth are paying their fair share.

“This is a significant step, but it can’t be the end of the conversation.

“There’s much further to go if we are to give our services the funding they deserve.

“We need to go further to empower councils, reduce inequality and build a tax system that reflects people’s ability to pay.

“With more Green MSPs than ever before, we’ll continue making the case for the bold change that is needed to build a fairer and greener Scotland.”

The consultation is expected to attract a range of views, with supporters describing it as a fairer approach to taxation, while opponents are likely to question its impact on homeowners and the wider property market.