The council has been undertaking tests to get to the bottom of the issue and I have had another update from the Team Leader (Infrastructure) in the City Development Department as follows:
I had intended to get Scottish Water to test the water for chlorine to see if it was a leaking service pipe. However, the seepage has (at least for the time being dried up such that there is no water to test.
This leads me to conclude that my initial assumption that the seepage is ground water due to raised water table after last year's persistent rainfall is probably correct.
I will monitor the situation and should the seepage re-occur I will get the water tested then and consider what further action may be required."