A council in Rhondda Cynon Taf is considering a higher council tax rise to better prepare for future storms, according to a report by Wales Online. The proposed 4.7% increase in council tax for residents aims to provide the council with additional resources to address and respond to severe weather events. This revised budget recommendation for 2025/2026, presented by council leader Councillor Andrew Morgan, suggests a 4.7% rise instead of the previously planned 4.5% increase.
By implementing the higher council tax rate, the council aims to bolster its permanent resources to proactively handle future weather-related challenges. The move is also intended to reduce dependence on one-off funding in the coming year. The director of finance, Barrie Davies, mentioned that the 4.7% increase would generate an extra £220,000. This adjustment would decrease the amount needed from the transitional funding reserve to £507,000, down from the initial £727,000 projection.
The report outlines plans to allocate additional funding to schools in the upcoming year to cover all financial pressures, resulting in a £2 million increase for individual schools budgets. This allocation is set to boost the schools budget by £11.2 million, representing a 5.6% rise. Furthermore, resources for teachers’ pension costs will be directly assigned to schools, while adjustments have been made to reflect decreased energy budget requirements in the ISB base budget.
In a bid to streamline costs, the council is set to close Cae Glas care home in Hawthorn, thereby reducing the budget gap by an additional £1.16 million for the next fiscal year. Various efficiency measures and budget cuts amounting to £5.75 million have been identified, including £3.75 million in general efficiencies, £1 million in capital charges and interest receivable, and £1 million from service restructuring and vacancy management.
The proposed budget also entails a 5% standard rise in fees and charges, estimated to generate £633,000 in revenue for the council. Councillor Andrew Morgan highlighted that despite the 4.7% council tax increase, the allocation for schools and social care has been significantly enhanced to meet the rising demand for services. Relative to other councils, he mentioned that their proposed increase is expected to be one of the lowest.
Looking ahead, the overall council revenue budget for 2025-26 is slated to reach £668.12 million. The provisional funding settlement from the Welsh Government allocated a 4.8% increase to Rhondda Cynon Taf. The final decision on the budget proposals is set to be deliberated by the full council in a meeting scheduled for Wednesday, March 5.
As councils across the UK grapple with funding challenges amidst increasing demands for services, the proposed council tax rise in Rhondda Cynon Taf reflects a proactive approach to fortifying resources for future weather-related incidents. The strategic allocation of additional funding to schools and social care underscores the council’s commitment to addressing evolving community needs in a sustainable manner. It remains to be seen how residents and stakeholders will respond to the proposed budget changes as the council strives to strike a balance between financial stability and service delivery excellence.