PEMBROKESHIRE COUNTY COUNCIL’s efforts to set its budget and determine next year’s Council Tax were thrown into disarray on Thursday, February 20, as councillors voted to adjourn the decision amid uncertainty over funding from the Welsh Government.

Councillors had gathered to scrutinise the proposed budget based on forecast financial settlements. However, before discussions could begin, standing orders were suspended after it emerged that the Welsh Government planned to issue the actual financial settlement for Pembrokeshire later that same day, potentially after the budget and Council Tax had been set.

This development meant councillors were being asked to make critical financial decisions based on incomplete information. Moving for an adjournment, Cllr Jamie Adams highlighted that even a small increase in Welsh Government funding could significantly alter which cuts were necessary and the level of Council Tax required.

Cllr Joshua Beynon, Cabinet Member for Corporate Finance and Efficiencies, acknowledged the point, stating he did not yet know the exact impact of the updated settlement, whether it would be an additional £100,000 or £2 million.

Following debate, councillors voted to adjourn the budget-setting meeting until March 6, by which time the Cabinet is expected to have greater clarity on overall grant funding, including allocations for specific projects outside the core budget settlement.

Scepticism remains over the process. One councillor told The Herald: “Being cynical, they hoped to get 9.85% through and, hey presto, a large chunk from the Welsh Government, for which certain Cabinet members would take credit and utilise as they see fit. One thing’s for sure, if the budget and council tax had been passed before the extra money was announced, we wouldn’t be returning for a ‘let’s lower Council Tax Day’!”

Another councillor added: “They (the Cabinet) knew the money was coming in but didn’t want to tell the public.”

The Conservative Group was even more critical. Cllr Aled Thomas, the Conservative spokesperson for finance, said: “The Cabinet have been caught red-handed playing fast and loose with public finances, asking for extortionate council tax rises today despite knowing they were likely to have additional funding tomorrow.

“As councillors, we owe it to the people of Pembrokeshire to spend their money wisely, focusing on statutory services and not vanity projects. The Cabinet and leader have clearly lost the confidence of the chamber, and they should consider stepping down for the benefit of the people of Pembrokeshire.”

Shortly after the budget meeting was adjourned, the Welsh Government confirmed a funding floor of 3.8% for local authorities, significantly increasing the money available to Pembrokeshire County Council.

In response, the council issued an official statement: Pembrokeshire County Council budget discussion adjourned. Councillors have voted to adjourn the budget decision to a future meeting, following the full announcement of Welsh Government funding for local authorities.

At a meeting of Full Council on February 20, it was agreed to reconvene to set the budget for 2025-26 on March 6. Local authorities have a statutory requirement to agree on a balanced budget before March 11.

Cabinet Member for Corporate Finance and Efficiencies, Cllr Joshua Beynon, said: “I am committed to ensuring we work across the council chamber to deliver a budget before the legal deadline.”

Speaking to The Herald, IPG Leader, Cllr Huw Murphy said: “For Pembrokeshire County Council Cabinet to sanction a Council Tax setting meeting prior to knowing the full financial settlement from WG was surprising and not something the Independent Group could support hence the Notice to adjourn.

“It was clear at today’s meeting that Cabinet did not have the confidence of the majority of Council members to continue with their recommendation to debate and vote upon a Council Tax of 9.85%.

“Following a short recess it was decided that Full Council will reconvene on March 6th to debate and decide the level of Council Tax that will be imposed on the hard working residents of Pembrokeshire.

“The Independent Group has every belief that their decisive move to adjourn Full Council will ultimately result in a lower Council Tax being levied to the 9.85% recommended by Cabinet today.

“The Independent Group comprise members from all over Pembrokeshire, all steadfast in their aim of protecting essential services but not forgetting the tremendous burden Council Tax bills impose on many households, many being pensioners on fixed incomes who have no easy remedy to ever increasing bills foisted upon them and this has to be considered when raising Council Tax.

“The question for Cabinet to consider is should they now put forward an alternative budget for March 6th recommending a Council Tax of less than 9.85% why did they recommend this level of Council Tax to Full Council today when not in possession of the full financial picture?”

With tensions running high and accusations of political manoeuvring, the coming weeks will determine how the council moves forward in setting a budget that reflects the updated funding available.