Swansea Council anticipates more funding but faces tough budget choices ahead
Swansea: The council is set to receive more funding from the government than they thought. But they still need to make some tough choices to balance the budget.
Most of the cash comes from the Welsh Government, which gets its funds from Westminster. Swansea is looking at an extra £33.4 million for the next year, which is great news for important areas like education and social care. Plus, they expect another £7 million to help with rising national insurance costs.
However, the council is facing a hefty £69 million in cost pressures. This includes things like pay raises and rising homelessness costs. To cover this gap, they plan to raise council tax by £9.8 million, but that still leaves them £18.4 million short. They’ll need to find savings and increase some fees to make up the difference.
The proposed tax hike hasn’t been set in stone yet. Last year, it went up by about 6%, and the year before that was nearly the same. The Welsh Government had expected a 10% rise, but council leader Rob Stewart thinks it won’t be that high.
Stewart mentioned that the funding situation from the central government is “a lot better” than they had planned. Every department will see some extra cash, with schools getting a nice boost of £22.3 million.
He also highlighted that their budget for the upcoming year will be the largest ever for education, exceeding £226 million. This is a big deal for the kids and families in the city.
On the flip side, opposition leader Cllr Chris Holley raised concerns about needing to make so many cuts despite the extra funding. He wants any tax increase to be as small as possible since many people are struggling right now. He also called for more money for road repairs.
The budget papers outline where they need to save that £18.4 million. Some of the savings will come from raising fees instead of cutting services. Schools will need to save £4.5 million, while social services face a bigger cut of £8.7 million.
They’re looking at reducing spending on private care and cutting back office staff costs. The department handling roads and the environment needs to save £2.6 million, which might mean changes to waste collection and higher fees for burials and cremations.
There’s also a target of £1.7 million in savings for the education department, and corporate services need to trim down by £400,000. The papers mention that 15.5 full-time jobs could be at risk, but they’ll try to avoid layoffs.
Cabinet discussions about the budget will happen on January 10, followed by consultations. They’ll also talk with trade unions before presenting a final budget to the full council in early March.
Stewart reassured everyone that they’re committed to protecting the services people care about. He pointed out that they’ve made record investments in schools and social care, along with significant support for residents facing winter challenges.
