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Local Government

£4m Plaid Cymru deal boost to Pembrokeshire council coffers

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PEMBROKESHIRE’S financial situation for next year is some £4m better off after a higher settlement from the Welsh Government, but the council still faces difficult decisions, councillors heard.

While council tax makes up a proportion of the council’s annual revenue, a crucial area of funding is the Aggregate External Finance (AEF) rate from Welsh Government.

Pembrokeshire was to receive a 2.3 per cent increase on its settlement, a total of £244,318,000, amounting to an extra £5,493,000, placing it at joint 13th of the 22 local authorities in Wales.

Now, following a Welsh Government and Plaid Cymru agreement, local authorities including Pembrokeshire have received a better financial settlement.

Speaking at the December meeting of Pembrokeshire County Council, while presenting a report on the outline draft medium term financial plan (MTFP) 2026-27 to 2028-29, Cabinet member for finance Cllr Alistair Cameron said the recent rise in the financial settlement from the Welsh Government had decreased the expected funding gap for the next financial year for the county from £17.7m to £13.6m, but stressed: “There are still increased pressures we are going to have to face.”

His report for members outlined some of the pressures faced by the council in setting its budget for the next financial year.

“Based on the revised projected funding gap of £13.6m, it is evident that major budget savings as well as a significant Council Tax increase will be required in order to deliver a balanced budget for 2026-27. The lower the Band D Council Tax increase, the higher the budget savings requirement will be, with the consequential adverse impact on the provision of Council services and on the medium-term financial sustainability of the council.”

His report also noted the decision in October by members to cut the council tax premium on second homes from 150 to 125 per cent, which on its own has increased the funding gap for 2026-27 by £1.3m.

The report, listing the many pressures and potential savings, said that where possible, discretionary fees and charges income has been budgeted to increase by 3.8 per cent, with any increases above this level included as part of the budget savings options presented.

The report for members, prior to the revised settlement from Welsh Government, gave council tax increase options ranging from five to 10 per cent with 7.5 per cent highlighted as the most favoured option, the 7.5 rate equating to a £2.38 a week increase for the average Band D property; each one per cent increase or decrease in council tax being worth £0.908m for council coffers.

Leader of the Conservative group on the council Cllr Di Clements made a plea to the leader, calling on the council to use the extra money from Welsh Government to “contribute to making this authority financially sustainable in the long term,” adding: “We know it’s tough out there for our council tax-payers, let’s hopefully give them a break this year.”

Independent Group leader Cllr Huw Murphy said the better settlement was “a huge sigh of relief” for the council, adding: “The budget negotiations still won’t be any easier because we’ve had this pot of money; [but] we have to applaud Plaid Cymru on this.”

A long string of recommendations essentially noting the report, but including the fees and charges increase, was moved by Cllr Cameron, seconded by Leader Cllr Jon Harvey, backed by members by 46 votes to one, with three abstentions.

The actual setting of the budget and related council tax level along with any potential savings and cuts, will be decided at a later date, with a public consultation running to January 4, followed by committee scrutiny ahead of Cabinet considering a revised draft budget on February 9, before it is recommended to full council on February 20.

 

Education

Language commissioner launches probe into school closure impact on Welsh

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THE WELSH Language Commissioner has launched a formal investigation into claims that the proposed closure of a rural Carmarthenshire primary school did not properly assess the impact on the Welsh language.

Campaign group Cymdeithas yr Iaith confirmed this week that the Welsh Language Commissioner will examine whether Carmarthenshire County Council complied with its legal duties when producing a language impact assessment linked to plans to close Ysgol Llansteffan.

The council issued a statutory notice last year proposing to shut the village school at the end of the summer term as part of wider education reorganisation. A final decision had been expected this spring.

However, the investigation now creates fresh uncertainty over the timetable.

Complaint over ‘insufficient assessment’

Cymdeithas yr Iaith says it submitted a formal complaint arguing that the council failed to produce a sufficiently detailed assessment of how the closure could affect Welsh-medium education and the wider Welsh-speaking community.

The group claims the authority selectively used data to support closure rather than examining all available evidence objectively.

Two key concerns were raised.

Firstly, campaigners argue there may not be enough places in neighbouring Welsh-medium schools to accommodate pupils from Llansteffan and nearby housing developments, potentially forcing some families into English-medium provision.

Secondly, they say the assessment did not meaningfully consider the school’s role as a community hub or explore ways the site could generate income and support local Welsh-language activities.

On behalf of local members, Ffred Ffransis said: “There will not be places for all the Llansteffan children, nor for the children of the new housing estates, in other Welsh-medium schools in the area.

“The most cost-effective way of providing sufficient places locally in Welsh-medium education is by keeping open Ysgol Llansteffan and making better use of the buildings, including environmental education and community use.”

Formal investigation

In a letter to the group, the commissioner confirmed an investigation will be held under Section 71 of the Welsh Language Measure to determine whether the council complied with Welsh language standards.

The probe could take up to three months.

Campaigners believe this may delay implementation of the closure and could require the council to revisit its assessment and potentially carry out a fresh statutory consultation.

Ffransis said: “Even if the council now decided to make a full and meaningful assessment, there would likely have to be a new consultation. The original decision may have been taken on a faulty basis.”

He added that similar concerns had been raised about language impact assessments connected to other proposed school closures in the county.

Council position

The council has previously said that school reorganisation proposals are driven by falling pupil numbers, financial pressures and the need to ensure sustainable, high-quality education.

Authorities across Wales have faced difficult decisions in recent years as rural rolls decline and building maintenance costs rise.

It is expected the council will respond formally to the commissioner’s investigation in due course.

What happens next

If the commissioner finds that language standards were not properly followed, enforcement steps could be taken and the process delayed or revisited.

For families in Llansteffan, the outcome may determine whether their local Welsh-medium school remains open beyond the summer term.

The Herald has contacted Carmarthenshire County Council for comment.

Further updates will follow as the investigation progresses.

 

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Local Government

Pension divestment debate triggered but council date still unconfirmed

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Gaza-linked petition passes 500 signatures threshold as Pembrokeshire meeting awaited

A PETITION calling for Pembrokeshire’s public sector pension fund to divest from companies linked to Israel has passed the signature threshold required to trigger a formal council debate – but no meeting date has yet been confirmed.

The e-petition, hosted through Pembrokeshire County Council’s own system, urges the authority to press the Dyfed Pension Fund to withdraw investments from firms alleged to be “complicit with Israel’s genocide of Gaza”.

Under the council’s petitions scheme, any submission receiving more than 500 signatures must be considered by councillors at a future full council meeting.

However, at the time of publication, the item does not yet appear on the council’s online agendas and minutes portal and no specific date has been scheduled for debate.

Agendas are typically published around a week before meetings take place.

Supporters of the proposal say the move is about ethical investing and ensuring public money is not linked to conflict or alleged human rights abuses.

One campaign supporter said: “Residents don’t want their pensions invested in companies that profit from war. Councils already take ethical positions on fossil fuels and arms manufacturing – this is the same principle.”

But others argue that foreign policy issues fall outside local government’s remit and warn the move could affect pension performance.

Sharon Ross, a freelance writer who contacted The Herald ahead of the debate, said councillors should focus on local services instead.

She said: “Local issues where councillors can make a real difference – roads, schools, GP access and business support – risk being pushed aside for international politics.

“Divesting from an entire country could reduce diversification and potentially lower returns for pension holders without achieving meaningful change overseas.”

Local government pension schemes operate under fiduciary duties requiring investments to prioritise members’ financial interests. Previous legal guidance to councils across the UK has stressed that decisions must be based primarily on financial considerations.

The Herald has asked the council to confirm when the petition will be scheduled, what proportion of the pension fund might be affected, and what financial or legal advice members will receive.

Residents can monitor the authority’s “Agenda, Minutes and Decisions” webpage for the publication of the next Full Council agenda, where the item is expected to appear once formally listed.

Further updates will follow when a date is confirmed.

 

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Local Government

Council tax rise options to be debated by Cabinet

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Leader signals support for lower increase as schools set for £4.7m boost

PEMBROKESHIRE COUNTY COUNCIL’S Cabinet will next week consider how much residents will be asked to pay in Council Tax as part of the authority’s 2026–27 budget setting process.

Members of Pembrokeshire County Council will meet on Monday (Feb 9) to examine two proposed options: a 4.6 per cent increase, equivalent to £1.46 per week for a Band D property, or a 7.5 per cent rise, equal to £2.38 per week.

Council leader Jon Harvey said the authority aimed to keep any rise as low as possible while protecting frontline services.

“In setting this year’s budget it’s our intention to ask the least possible from tax paying residents while still providing the vital services they rely upon,” he said.

He added that he expects Cabinet to favour the lower increase when it makes its recommendation to full council.

Mr Harvey said the lower option would still allow the authority to safeguard services and provide “significantly more money” for schools, with an additional £4.7 million earmarked for education.

He also highlighted the need for further investment in highways, building maintenance and street cleaning teams.

“We know these services are important to residents and so we intend to prioritise them,” he said.

The leader said the financial pressures created by the pandemic, rising costs and increasing demand for social care had led to unavoidable tax increases in recent years.

However, he added: “Going forward, I am very aware we cannot keep asking residents to pay significantly more and it is our intention to get back to Council Tax increases that are broadly in line with inflation.”

The Cabinet meeting starts at 10:00am and will be broadcast live via the council’s usual webcast platform.

 

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