It provides services in the areas of environmental health, roads, social work, community development, organisational development, economic development, building standards, trading standards, housing, waste, education, burial grounds, port and harbours and others.

[4] Further local government reform in 1996 introduced single-tier council areas across all of Scotland.

In 2023 the council saw a motion to review Orkney's relationship to the United Kingdom, with council leader James Stockan claiming Orkney does not get fair funding and sought to emulate the relationship the channel islands have with the government.

[7] In February 2024, Heather Woodbridge was announced as the new leader for the council.

She is the first woman to lead the Orkney Islands Council, and at 29 years old is the youngest local authority leader in Scotland.