Rhondda Cynon Taf Council is grappling with a £6.82 million budget shortfall for the upcoming year following recent funding announcements.
Rhondda Cynon Taf: So, the council is in a bit of a pickle. They’ve got a budget gap of over £6 million for next year. This all came to light after the Welsh Government shared their provisional funding details last week.
Barrie Davies, the finance director, filled the cabinet in on the situation during a meeting. They’ve already made some cuts, totaling about £10.28 million. This includes savings from various areas like transport and waste collection.
But here’s the kicker: they still need an extra £10.6 million to cover rising costs and other pressures. This includes things like energy costs and the living wage increases. After factoring in some extra funding from the Welsh Government, they’re still left with that hefty £6.82 million gap.
It’s been a tough couple of years for the council, with budget gaps piling up. They had already predicted a shortfall of nearly £92 million over the next three years, with £35.7 million needed just for next year. It’s a challenging time for local councils, and this situation is just one example of the financial struggles they’re facing.