Rhondda Cynon Taf Council to Discuss Budget Plans and Council Tax Increase
The upcoming Rhondda Cynon Taf Council meeting is set to be crucial as councillors will be examining and voting on the proposed budget plans for the next fiscal year. Among the proposals is a significant 4.7% increase in council tax, aimed at equipping the council with the necessary resources to address and manage any future major weather events effectively. This move is essential for the council to be adequately prepared and responsive in the face of unpredictable weather challenges that may arise.
The revised budget proposals for 2025-26, endorsed by the council’s cabinet, outline the implications of the proposed 4.7% council tax increase. For properties falling under band A, this would result in an additional weekly payment of £1.02, while band D properties would see an increase of £1.53 per week. The report estimates that this tax adjustment will help close a budget gap by £769,000, ensuring a more stable financial foundation for the council moving forward.
One of the key allocations in the proposed budget is the substantial increase in funding earmarked for schools. The plan entails allocating an extra £2 million to the individual schools budget (ISB), thereby enhancing the overall schools budget by £11.2 million, a notable 5.6% rise for the upcoming year. Furthermore, resources to cover teachers’ pension costs will be allocated to schools, with adjustments made to reflect lower energy expenses in the ISB base budget requirement.
In a bid to address ongoing cost pressures related to additional learning needs within schools, the council utilised £500,000 of one-off funding in the previous fiscal year. This funding has been ring-fenced to support schools, resulting in a significant 7% increase in the schools budget from £198 million to £212 million. Additionally, the decision to close Cae Glas care home is projected to reduce next year’s budget gap by a further £1.16 million.
Efficiency measures and budget cuts totalling £5.75 million have been identified, including streamlining general efficiencies, capital charges and interest receivable, as well as service restructuring and vacancy management. The report assures that these measures can be implemented without compromising frontline services significantly. A proposed rise of five percent in fees and charges is anticipated to generate £633,000 in council income, alongside an additional £50,000 in funding from the final Welsh Government settlement.
Taking all these adjustments into account, the budget gap has been notably reduced from £6.82 million to £457,000, with the shortfall being covered by reallocating funds from the council’s transitional funding reserve. This strategic move leaves £4.26 million in reserves, securing a more balanced budget for the upcoming fiscal year. The overall council revenue budget for 2025-26 is anticipated to stand at £668.17 million, following a 4.8% rise in funding from the Welsh Government.
With the Welsh Government confirming the increase in funding, Rhondda Cynon Taf Council will now deliberate on the proposed budget at a meeting scheduled for Wednesday, March 5th. Stay tuned for more updates as the council navigates through this crucial phase of budget planning and decision-making.
Overall, the proposed budget adjustments and council tax increase aim to fortify the council’s financial position, ensuring sustainable resources to tackle future challenges and deliver essential services to the community effectively. The allocation of additional funding to schools signifies a commitment to enhancing educational standards and meeting the diverse needs of learners. As stakeholders eagerly await the council’s final decision, the focus remains on fostering financial stability and prudent resource management for a resilient and responsive local government.