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Budget and Council Tax level agreed

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2nd March 2020

Image of moneyA balanced budget that includes increased funding for key statutory services including education, children and highways has been considered and approved by Powys County Council.

Full Council was asked to approve spending plans of nearly £270 million for 2020-2021 financed by a combination of funding from the Welsh Government and a 4.8 per cent increase in Council Tax. 

Deputy Leader and Cabinet Member for Finance, Councillor Aled Davies said: "For the first time in many years we have received a cash increase in our settlement, which is much needed.

"Powys County Council has faced a decade of cuts and below inflation funding, this has taken its toll on the Council's services and our financial position and while the increase in funding is welcome on its own it is not enough to meet all of the cost pressures faced by the Council."

"The budget includes significant funding increases to meet cost pressures in Education and Children's Services with an additional £6 million for schools, which will be needed to fund the government's decision to support teacher's pay and pension costs boosting the education budget to almost a £100m.  An additional £6 million was also included in the budget for Children's Services to support our most vulnerable children.

"The budget also includes an additional £0.5 million a year for roads' maintenance, an area highlighted for concern during the public budget consultation in the autumn. This revenue funding along with £15 million of capital investment in highways over the next five years will help us to improve the condition of Powys roads.

"To help fund these increases in spending on our front-line services there will be £11 million of cost reductions across the Council, which will be delivered in the main by transforming services and driving further efficiencies. 

"Council Tax will be increased by 4.8 per cent to balance our budget, much lower than last year and in line with public feedback.  This increase will enable the Council to set a sustainable budget and protect front line services from further budget reductions."

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