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The leader of Shetland Islands Council has repeated a warning that services could be hit if local government workers are given a pay increase of more than 3%.

Local government body Cosla has offered an increase of 3% for all council workers, other than teachers, earning up to £80,000.

However trade unions have recommended members reject it.

Council leader Steven Coutts said a larger rise would hit services.

Mr Coutts said: "Through Cosla we have offered a pay increase in recognition of the value of all our staff.

"There is no central government funding to pay for the increase across all our workforce and the vast majority of our staff will receive a 3% pay increase.

"The offer that has been made during a period of significant local government funding reductions and additional demand on services.

"Any offer above that which has been made would inevitably lead to a reduction in our ability to deliver essential services."

Cosla said that the total potential investment from a 3% rise stood at £350m.

Cosla president Alison Evison said: "I ask the trade unions to take a realistic approach and accept our offer."

Johanna Baxter, head of local government bargaining at trade union Unison said: "Unison's campaigning has ended the local government pay cap.

"But the revised offer does little to address low pay. And it exacerbates a key concern of our members about fairness across the public sector.

Unite regional organiser James O'Connell said: "Our members are just as deserving as teachers - Cosla promised parity of treatment and need to deliver it".