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News

Large Council Tax hikes while councils hold £2 billion in reserves

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Calls for Reform in Welsh Government Funding Formula

RESIDENTS across Wales are facing an average 7.36% increase in Council Tax for the 2025-26 financial year, despite councils holding more than £2 billion in usable reserves. The proposed hikes come amid concerns that the Welsh Labour Government’s Local Government Funding Formula is outdated, leading to significant disparities in funding between councils.

While councils argue that reserves are necessary for financial stability and future investment, critics say the current system places an unfair burden on taxpayers and fails to ensure efficient spending. Some councils are sitting on reserves exceeding £200 million, while others struggle to meet budget demands, raising questions about fairness and transparency in the funding model.

Funding formula concerns
The Welsh Local Government Funding Formula is under scrutiny, with critics highlighting that it still relies on population data from the 1990s. There are also concerns about uneven funding allocations, with some councils receiving significantly more per capita than their neighbours.

For example, Newport City Council receives £600 more per head than Monmouthshire County Council, despite both serving similar areas. Additionally, the funding formula assumes that the cost to a council of an 84-year-old resident is just £7.34, while an 85-year-old resident is assumed to cost over £2,243—a discrepancy that critics argue defies logic.

Welsh Conservative debate in the Senedd
The Welsh Conservatives are set to bring forward a debate in the Senedd next week, urging the Welsh Government to commission an independent review of the funding formula and work with councils to use reserves to ease the burden on taxpayers. The party is also calling for local referendums for any council proposing a tax rise above 5%.

Speaking ahead of the debate, Laura Anne Jones MS, Welsh Conservative Shadow Secretary for Housing and Local Government, said: “Under the Welsh Labour Government, the Local Government Funding Formula is broken. It cannot be right that people in Wales face a 7% hike in their Council Tax while councils sit on over £2 billion in reserves.

In the Senedd next week, we will be calling on the Welsh Labour Government to fix this system by commissioning an independent review and ensuring Council Tax is kept as low as possible.”

The debate motion
The motion to be debated next week includes the following points:

  • Recognising the essential role of councils in delivering public services and the funding challenges they face.
  • Noting that Welsh councils hold over £2 billion in reserves.
  • Expressing regret that the proposed Council Tax rise in Wales is 7.36% for 2025-26.
  • Calling on the Welsh Government to:
  • Review the Local Government Funding Formula to ensure fairer distribution of funding.
  • Encourage councils to use reserves to minimise Council Tax increases.
  • Introduce referendums for any Council Tax rise above 5%.
  • Reduce bureaucracy and increase efficiency in local government.
  • Promote cross-council collaboration to cut costs and improve services.
  • Foster a business-like approach to spending taxpayer money, reducing waste and unnecessary projects.

Council Perspective

Many local authorities defend their financial reserves, arguing that they are needed for unexpected costs, future investments, and financial stability. Some councils state that rising costs, particularly in social care and education, leave them little choice but to raise Council Tax.

A Welsh Government spokesperson previously stated that funding allocations are based on need and that councils are free to use reserves at their discretion. They argue that long-term financial planning is crucial, especially in times of economic uncertainty.

As the debate unfolds, the challenge remains striking a balance—ensuring councils have the funding they need while protecting residents from excessive tax increases.

News

Second person dies following A4183 collision, police confirm

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DYFED-POWYS POLICE have confirmed that a second person has died following the serious collision on the A4183 between the Llangennech roundabout and the Crematorium roundabout on Wednesday, April 2.

The driver of the black Peugeot involved in the crash sadly died in hospital on Saturday (April 5).

A police spokesperson said: “Our thoughts remain with the families at this difficult time.”

Officers are continuing to investigate the circumstances of the collision and are appealing to anyone with information to come forward.

Anyone who may be able to help is asked to contact police online at https://bit.ly/DPPContactOnline, by emailing 101@dyfed-powys.police.uk, or by calling 101. If you are deaf, hard of hearing, or speech impaired, you can text the non-emergency number on 07811 311 908.

Please quote reference: 25*271914.

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Community

Carmarthen house collapses in major fire

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Residents evacuated as crews tackle blaze for over three hours

A HOUSE in the Tregynwr area of Carmarthen has collapsed following a major fire on Monday evening (Apr 7).

The blaze broke out at around 6:50pm at a two-storey terraced home on Haulfryn, Llangunnor. Fire crews arrived to find the property “well alight” and fully engulfed in flames.

Firefighters from Carmarthen, Tumble, Kidwelly, Pontyates, Whitland and Morriston were called in to tackle the blaze, using four hose reel jets, six sets of breathing apparatus, a turntable ladder, and a safety jet to bring the fire under control.

Mid and West Wales Fire and Rescue Service confirmed that the house sustained such extensive damage that it “fully collapsed.” Fortunately, there were no reports of injuries.

An adjoining house was checked and found to be safe from fire spread, but neighbours were evacuated overnight as a precaution.

The fire prompted a multi-agency response, with Dyfed-Powys Police managing road closures, and support on site from Western Power and Wales & West Utilities.

Fire crews left the scene at 10:06pm but returned later to damp down remaining hotspots and ensure the area was safe.

The cause of the fire is not yet known.

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Education

College unveils new qualifications to support future of Welsh farming

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COLEG CAMBRIA has launched a suite of new higher education qualifications designed to equip the next generation of agricultural leaders in Wales.

The state-of-the-art land-based college, which has campuses in Wrexham, Deeside, Northop and Llysfasi, has unveiled Higher National Certificate (HNC) and Higher National Diploma (HND) programmes aimed at future farm managers, shepherds, farmers, and rural business professionals.

The new courses will be delivered at the college’s Llysfasi campus near Ruthin, where a £10 million Innovation Hub – Hwb Arloesi – was recently opened. Plans have also been submitted for a 50-bedroom student accommodation block to support the growing demand for agricultural education in the region.

Modules on offer include Business and Business Environment, Managing a Successful Project, Principles of Livestock Production, Animal Health and Welfare, Land-based Machinery and Technology, and Rural Business Administration and Accounting.

Emma Hurst, Dean of Access and Higher Education at Coleg Cambria, said the new qualifications are designed to meet the evolving needs of the agricultural sector.

“These programmes provide students with a strong foundation of knowledge, advanced technical skills, and the opportunity to pursue a wide range of careers across the land-based industries,” she said.

“In addition to access to expert lecturers and guest speakers, students on the HNC and HND programmes benefit from hands-on experience at Llysfasi’s commercial 1,000-acre farm, which includes dairy, suckler, and sheep enterprises.

“With developments in precision agriculture, smart farming technologies and new environmental challenges, there’s never been a more exciting time to enter the sector – and no better place to learn than Coleg Cambria.”

The Hwb Arloesi development, backed by more than £5.9 million from the Welsh Government’s Sustainable Communities for Learning Programme, spans 1,095 square metres across two carbon-neutral storeys. Built by Wrexham-based Read Construction, the facility includes classrooms, laboratories, a library, coffee shop, climbing wall, meeting spaces, atrium, Higher Education centre, and a wellbeing hub.

Elin Roberts, Head of Llysfasi, praised the impact the new building has already had.

“The hub is incredible – the equipment, teaching and learning spaces, and overall environment are unmatched in this region,” she said.

“It’s a huge boost for both students and staff. Those enrolling on our FE and HE agriculture programmes now have access to cutting-edge facilities in a welcoming, innovative learning environment.

“This is the perfect time to choose Coleg Cambria as the next step in your agricultural career.”

For more information on the new agriculture courses at Coleg Cambria, visit www.cambria.ac.uk, email he@cambria.ac.uk, or call 01978 515477. Follow Coleg Cambria on social media for updates.

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