Funding boost still leaves multi‑million‑pound gap
The council will receive a 4.2% increase in its Welsh Government settlement for 2026/27, following a budget agreement between Welsh Government and Plaid Cymru. But even with the uplift, the authority says it needs £441.9m to run services next year, leaving a significant gap between funding and demand.
A major factor helping to reduce the shortfall is a sharp fall in employer pension contributions after a revaluation of the local government pension fund. The contribution rate will drop from 22.4% to 15.3%, saving the council around £10.4m.
Officers have also identified £3.4m in savings and income generation that can be delivered under existing delegated powers, meaning they do not require councillor approval or public consultation.
Council tax rise proposed to close remaining shortfall
Even after these measures, the council says it is still £2.8m short of a balanced budget. To close the gap, it is proposing a 3.5% council tax rise, which it says would work out at around £1.15 a week for the average household and would be the lowest increase in several years.
A three‑week public consultation will run until 6 February.
Record investment planned for schools
The draft budget includes what the council describes as its biggest ever investment in education. Schools are earmarked for a £7m uplift to support pupils with additional learning needs, with the authority warning that the number and complexity of cases has grown significantly over the past decade.
A further £330,000 is set aside for school and building maintenance.
Social care costs continue to rise sharply
Social care remains one of the most volatile areas of spending. The council has allocated £4.8m to meet rising demand for adult and children’s care, highlighting the escalating cost of specialist placements.
According to the report, mental health placements now average £127,000 a year, with some reaching £271,000. Learning disability placements average £177,000, with the highest at £437,000. Children’s residential placements average £364,000, with one costing £1m a year.
Despite the number of children in residential care falling from 22 to 17, overall spending has remained the same due to rising costs.
Other pressures across frontline services
The draft budget also highlights increased waste disposal charges, the reinstatement of environment budgets previously reduced to support grant‑funded work, and additional costs linked to elections, coroner services and digital systems.
Cabinet member urges residents to take part in consultation
Cllr Simon Knoyle, Cabinet Member for Finance, Performance and Social Justice, said:
“If approved, this will be the council’s biggest ever investment in education, reflecting its commitment to improving outcomes for children and young people.
A rise in council tax is essential to ensure we can avoid cutting any vital frontline services that people rely on every day. This includes maintaining roads, bin collections and looking after vulnerable children and adults.”
The draft budget will be considered by Cabinet on 15 January, with the final budget due to be approved by full council before 11 March, in line with legal requirements.
How about councillors taking a cut in their salaries of 3.5% as well. Oh look a flying pig has just flown past my window!