Council needs £333m from government to meet the pressures it is facing, says leader
THE leader of a Valleys council says his authority needs more than £330m from central government to meet the pressures it is facing.
Councillor Andrew Morgan, of Rhondda Cynon Taf Council, said that they would need an extra £333.5m from the UK and Welsh governments next year.
He said the UK Government’s comprehensive spending review is not likely to happen and they are looking at a roll-over budget for next year.
Cllr Morgan, Labour, said they would need £78.5m extra from the UK and Welsh governments to match this year’s demand – but new pressures including teachers’ pay, pensions, other staff pay, social care, schools and others, mean they need an extra £255m on top of that.
He told councillors at the full council meeting on Wednesday, that the final Welsh Government settlement is likely to come on March 3, with the council having to set its budget by March 9.
Cllr Morgan said he hopes there aren’t too many changes between the provisional and final settlement.
He added that next year’s pressures are “substantial” and said it is absolutely clear that the governments are not going to fund the £333.5m.
The initial funding gap for 2020-21 in RCT is £15.6m but with measures put in place already, including savings on office accommodation, the materials recycling facility, day centre closures and non-residential care charges along with an efficiency target of £6m, this leaves a remaining gap of £8.3m.
The council is currently assuming there will be a flat cash settlement (no change) from the Welsh Government and is assuming a 3% council tax rise at this stage.
Councillor Mark Norris, Labour, said: “It is a dire situation unless Westminster decided to fund all these rises.
“I agree with increases in pay for staff but they have to be paid for. Welsh Government isn’t in a situation to cover it all.”
But he added that it is great that the council has made a conscious decision to set one of the lowest council taxes in Wales and continue to invest in capital projects.
Councillor Pauline Jarman pointed out the teachers’ pay issue had been devolved to the Welsh Government. Cllr Morgan accepted this but said there is still a possible consequence for Wales from English funding.
Cllr Jarman said: “Sometimes the best-laid plans fall foul. With all the uncertainties related to Brexit, the new Prime Minister, the new Chancellor and the threat of a general election, it makes this plan very vulnerable to change.
“If there is a no-deal Brexit, will the EU pledges be the same as if we had a deal or could they be withdrawn?
“Let’s hope common sense will prevail and that Wales will not face the predicted destruction,