Councillors clash over 8.9% council tax rise at key budget meeting

Carmarthenshire Councillors Clash Over 8.9% Council Tax Increase
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By Richard Youle
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A recent key budget meeting in Carmarthenshire saw tensions rise as councillors debated and ultimately voted in favour of an 8.9% rise in council tax for the next financial year. The decision came after discussions on how to allocate £524.6 million to key services while making savings of £8.1 million. This increase represents a significant rise in expenditure compared to the current financial year, with all departments receiving more funding.

The Plaid-Independent administration had initially proposed a larger 9.75% council tax increase, but this was revised down to 8.9% during the meeting to ensure a balanced budget. Labour opposition councillors criticised the administration for failing to address overspending by schools, which they argued led to a higher council tax rise than necessary. Plaid councillors acknowledged that the increase could have been reduced by 3.5%, but cited rising employer National Insurance contributions mandated by the UK Labour Government as a contributing factor.

Despite receiving an additional £25 million in funding from the central Government for its revenue budget – a 4.1% increase – the council determined that rising costs and demands for essential services such as adult social care necessitated the council tax hike. Plaid cabinet member for resources, Cllr Alun Lenny, emphasised that the additional funding fell short of what was required to maintain services at an acceptable level, underscoring the difficult decisions that had to be made.

Cllr Linda Evans, deputy council leader, highlighted the challenges faced by the council due to years of under-investment by the UK Government. She expressed reluctance towards increasing council tax but stressed that it was a necessary step to ensure essential services could continue. In response, Cllr Kevin Madge of the Labour party criticised the administration for what he deemed as mismanagement of school budgets and argued for more proactive measures to transform council services.

The debate at the meeting also saw discussions on a five-year capital budget programme of nearly £188 million dedicated to various council projects, including new schools, a care home, and improvements to Llanelli town centre. The allocation of funds and the decision-making process were scrutinised by councillors, with concerns raised about the prioritisation of certain projects and the overall financial outlook facing local government.

As the council prepares to implement the council tax increase in April, households in Band D can expect to pay £1,745.43, in addition to other charges. The meeting highlighted the ongoing challenges in balancing financial responsibilities with the need to provide essential services to the community. Moving forward, councillors will continue to grapple with budgetary decisions to address the evolving needs of Carmarthenshire residents and ensure the effective delivery of public services.

The discussions at the budget meeting underscored the complexities involved in local governance and the importance of transparent and collaborative decision-making processes. The differing perspectives and priorities of councillors reflect the diverse range of challenges facing Carmarthenshire and the ongoing efforts to navigate a complex financial landscape while meeting the needs of the community.