‘CONTRIBUTIONS TO SERVICE COULD RISE’
THE increase in council area contributions to the South Wales Fire and Rescue Service budget could be greater if pension increases aren’t funded by central government, the fire authority has warned.
A report on the authority’s revenue budget shows two scenarios for increased contributions from the 10 local authorities covered by South Wales Fire and Rescue Service because there is still uncertainty over whether increased firefighter pension costs will be funded by the UK Government.
From 2019 to 2023, South Wales Fire and Rescue Service’s pension contribution is expected to go up by nearly 10% – or nearly £3m – which is 4% of its total budget.
If this is not funded by central government the fire authority says it will “reluctantly” have to increase the contributions budget to raise the money locally.
The authority is looking at a total budget for 201920 of just under £72m if the pensions are funded by central government but this will go up to nearly £75m if they are not funded.
The South Wales Fire Authority will be asked to approve the revenue budget for 2019-20 on Monday, February 11.
If the pension increases are funded these are the proposed contributions from local council areas and their percentage increase from last year which in total would be 0.93%
Rhondda Cynon Taf – £11.2m (0.77% increase) Merthyr Tydfil – £2.79m (0.64% increase) Caerphilly – £8.5m (0.73% increase) Blaenau Gwent –£3.2m (0.49% increase) Torfaen – £4.33m (0.68% increase)
But if the pension increase is not funded there will be a increase from last year of more than 5% in contributions from local councils. Here’s how that scenario would look for each authority
Rhondda Cynon Taf – £11.7m (4.84% increase) Merthyr Tydfil – £2.9m (4.7% increase) Caerphilly- £8.88m (4.8% increase) Blaenau Gwent – £3.39m (4.55% increase) Torfaen – £4.5m (4.75% increase)