Local Government
Final budget published with £1.2bn uplift for Wales
FINAL Budget plans worth £27.5bn for 2026-27 have been published by the Welsh Government, with ministers saying the package will deliver £1.2bn more for people, public services and businesses than in the current financial year.
The Welsh Government said the Final Budget includes £400m of new allocations since the Draft Budget was set out in October, including £300m of revenue funding for local government and the NHS, secured through the budget agreement between Labour and Plaid Cymru.
A further £100m in revenue and capital funding is earmarked for priorities including bus services, apprenticeships, further education, flood prevention and maintenance of school buildings.
Ministers said every Welsh Government department will receive at least the same level of funding in real terms in 2026-27 as this year, with uplifts for inflation and pay intended to help protect frontline services and safeguard jobs.
Key allocations highlighted in the announcement include an extra £112.8m for local government, with all councils set to receive increases of four per cent or above, and a further £180m for health and social care, bringing the total revenue budget for the sector to more than £12.6bn.
A £116m package of support for businesses over two years has also been announced to help firms manage the impact of the 2026 non-domestic rates revaluation.
Finance Secretary Mark Drakeford said the Final Budget would provide extra resources for the services Wales relies on, while delivering certainty for public services.
He said: “This Final Budget provides extra resources to support the services Wales relies on. Every department has been protected with at least the same funding in real terms as this year, including extra funding for inflation and pay – recognising the vital work of our public service workforce.
“By working across the Senedd, we are providing certainty and stability for public services now, while ensuring the next Welsh Government has the resources it needs to deliver its priorities from day one.”
The Final Budget will be debated and put to a vote in the Senedd on Tuesday, January 27. The timetable published by the Welsh Government shows the Draft Budget was released on Tuesday, October 14, with the detailed Draft Budget published on Monday, November 3, before the budget agreement with Plaid Cymru was reached on Tuesday, December 9.
Responding to the Welsh Government Budget, Aaron Hill, Director of CPT Cymru, said: “We welcome news that the Welsh Government’s Final Budget includes an additional £6 million in revenue and £10 million in capital funding. This is a positive step that responds to CPT’s calls for greater investment to keep pace with the rising cost of running services.
Buses are a vital part of Wales’s economy, carrying nearly 200,000 passengers every day and enabling people to earn, learn and spend in their local communities. They are the most popular form of public transport in Wales, accounting for three quarters of all journeys.
Investment in buses delivers exceptional returns – every pound invested brings £4.55 in benefits to the environment, public health, and local communities. Yet funding for buses in the UK remains far below levels seen across Europe, and in real terms, core support has been eroded over the last decade.
This additional investment is welcome, and we look forward to working with the Welsh Government to ensure this funding delivers maximum benefit for passengers, communities and the economy.”
Responding to the Welsh Government’s Final Budget 2026-27, director of the Welsh NHS Confederation, Darren Hughes, said: “NHS leaders in Wales broadly welcome the final budget during a difficult time for public finances. The proportion of Welsh Government spend on the NHS does not go unrecognised and the additional funding for health and social care is welcomed.
“Many local government services, including social care, education, social housing and planning and development are wider determinants of health, so the uplift for local government will also be welcome in going some way to address rising cost and demand.
“However, we know this is a fairly ‘business as usual’ budget, given the proximity to the Senedd election, meaning we have not seen the significant shifts we’ve been calling for. This includes a meaningful shift to prevention across departments and capital investment that meets the needs of services in order to bring down running costs and improve services in the face of rising demand.
“Unless we think long term and target areas such as social care, prevention and capital investment, we can’t expect demand to come down on its own and see tangible improvement for the people of Wales.”
Commenting, Welsh Conservative Shadow Cabinet Secretary for Finance, Sam Rowlands MS said: “Plaid and Labour’s budget stitch-up is a bad deal for Wales.
“A budget that contains funding for an ever-bloating bureaucracy, foreign aid, overseas offices, the Nation of Sanctuary plan, Senedd expansion and the creation of 36 more politicians is a budget that will not address the people’s priorities.
“Only the Welsh Conservatives can be trusted to cut waste so we can cut taxes and fix our vital public services.”
Local Government
Independent group threatens to oppose council tax plans over education cuts
Councillors demand £2m savings removed amid safeguarding concerns in schools
THE INDEPENDENT GROUP on Pembrokeshire County Council has warned it will not support the Cabinet’s proposed council tax increases unless planned reductions to the education budget are reversed.
Cabinet has recommended a council tax rise of 4.6% for 2026/27, followed by 5% the following year and potential increases of up to 7.5% in future years. The Independent Group has criticised the proposals, describing them as a “ballot box” budget which they claim postpones difficult financial decisions for future administrations.
The group also said it had not been consulted during the budget process by Council Leader Jon Harvey, despite representing a significant number of councillors.
Safeguarding concerns raised

Councillor Huw Murphy said the group’s main concern relates to education funding, particularly following the recent placement of three Pembrokeshire schools into special measures.
He said: “The seriousness of the situation facing education in Pembrokeshire cannot be overstated. All councillors need to place school safeguarding above party politics.”
The Independent Group argues that reducing the education budget by more than £2 million would be inappropriate at a time when schools face financial pressures and scrutiny from inspectors.
The councillors have called for the proposed savings to be reinvested to help improve standards at Ysgol Harri Tudur, Milford Haven School and the Pembrokeshire Learning Centre in Neyland, as well as addressing wider infrastructure concerns including building maintenance issues at several schools across the county.
Budget pressures acknowledged
The group acknowledged efforts by the council’s finance leadership to achieve savings, noting projections that the authority could finish the financial year under budget.
However, Councillor Murphy questioned whether some efficiencies may have affected services, including education provision and safeguarding.
He also highlighted that councillors had previously reduced proposed education cuts during last year’s budget process following cross-party support.
Political tensions
The statement also criticised the position of councillors from other parties, questioning whether Labour and Plaid members would support reductions in education spending given the current challenges facing schools.
It further referenced previous proposals from Liberal Democrats councillors for higher council tax increases to protect school funding, suggesting the current position appeared inconsistent.
The Independent Group says it will only support the budget if education cuts are removed, placing what it describes as safeguarding, wellbeing and educational attainment as its priority
Council response
Cllr Alastair Cameron, Cabinet Member for Finance responded by saying: “All 60 Councillors will have the opportunity to have their say (and vote) on the budget this coming Friday (20th February).
“Cllr Murphy was invited to meet to discuss the budget in the Autumn. He was invited again on the 20th January. There has also been ample opportunity for all Members to engage in the budget setting process through a series of Members seminars.
“The budget proposed provides an additional £4.7m in funding for schools across Pembrokeshire next year and this is on top of an additional £5.9m provided last year and an additional £7.7m provided the year before.
“This year’s budget strikes the right balance between supporting key services and keeping council tax rises manageable.
“As the Leader said last week the administration is 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.”
Local Government
Search begins for five bodies possibly buried beneath County Hall car park
A SEARCH is underway to determine whether the remains of five executed prisoners from the nineteenth century may still lie beneath a council-owned car park in Carmarthen.
A deep-ground scan was carried out at the Carmarthenshire County Hall site on Sunday (Feb 15), where the former Carmarthen prison once stood. The investigation is focusing on the possible burial locations of four convicted murderers and one convicted forger who were executed between 1818 and 1894, when prison gardens occupied the land now used for parking.
The survey was conducted using a digital ground-penetrating radar system operated by Shane Gwilt of Leica Geosystems. The findings have been sent overseas for specialist analysis, with results expected within the next week.
County Hall stands on the historic site of Carmarthen Gaol, which closed in 1922. Although the prison buildings were demolished in the 1930s, local historian and former Mayor of Carmarthen, Richard Goodridge, believes the bodies were never exhumed and may remain in their original graves.
Carmarthenshire County Council has confirmed it has no intention of disturbing or removing any remains should they be identified.

Richard Goodridge said: “I strongly believe, based on the evidence and research I have carried out over the last two years, that the remains of these five convicted felons, hanged for their crimes, still remain where they were buried after their execution.
“It is the last piece of the jigsaw puzzle that, if confirmed, will lay to rest a great mystery that has fascinated Carmarthen residents for over a hundred years. It is unbelievable that the bodies were not exhumed when the prison was demolished.
“Finding them will at least bring to an end a mystery worthy of a Sherlock Holmes novel.”
Carmarthenshire County Council’s Cabinet Member for Resources, Cllr Alun Lenny, said the investigation had been carried out without disruption or cost to the authority.
He said: “The work carried out on Sunday in an attempt to discover the remains of the five executed criminals didn’t disturb the car park surface in any way and was at no cost to the county council. But it may add another chapter to the colourful history of Carmarthen as Wales’ oldest town, so we await the results with anticipation.”
Business
Milford Haven-South Hook LNG gas pipeline gets green light
THE FINAL stage of a call for a 1.5km hydrogen gas pipeline in Pembrokeshire in connection with a previously granted scheme for green energy production has been given the go-ahead by the national park.
Late last year Pembrokeshire County Council approved a scheme by Zurich-based MorGen Energy Ltd, previously known as H2 Energy Europe, sought permission for a 1.5km six-inch 10-bar low-pressure hydrogen pipeline and associated Above Ground Installation at the Impala Terminal, Milford Haven to the South Hook Liquid Natural Gas (LNG) Terminal.
A supporting statement through agent Fisher German said the scheme crossed both Pembrokeshire County Council and the national park authorities, with a similar application before that authority.
It added: “The proposals form part of the West Wales Hydrogen project, where planning permission was granted on October 6, 2023, for the development of a new 20MW hydrogen production facility at the Impala Terminal (formerly Puma Energy) in Milford Haven.
“The approved hydrogen production facility which uses electrolysis to split water into hydrogen and oxygen, where the oxygen is a by-product of the process. The hydrogen production plant will produce 1,875 tons of hydrogen per year. Hydrogen will be distributed via high pressure vessels (40 ft. containers) to various customers in the closer vicinity, opening the hydrogen market to a large variety of customers.
“Hydrogen will also be distributed to the South Hook LNG Terminal and it is proposed that this will be via a new six-inch 10-bar hydrogen pipeline. The option to supply hydrogen to the South Hook LNG terminal via high pressure hydrogen containers was dismissed due to safety considerations at the terminal.
“This application therefore seeks planning permission for a section of below ground hydrogen pipeline within the jurisdiction of Pembrokeshire County Council, which comprises the north part of the route from the hydrogen plant at Impala to the South Hook LNG Terminal, alongside an AGI at the Impala Terminal.”
An officer report accompanying that approval said the southern part of the proposed pipeline was within the jurisdiction of the Pembroke Coast National Park Authority.
A national park officer report for that part, recommending approval, said its section of the pipeline “is a linear parcel of land comprising approximately 0.994 hectares,” adding: “It is mainly the location of a disused railway, now overgrown with scrub and grassland, in the open countryside.”
It added: “The development site is cross-boundary, situated primarily within the jurisdiction of the Pembrokeshire Coast National Park Authority (the south-west extent), with a small section of the proposed pipeline (and an above-ground installation (AGI)) within the Pembrokeshire County Council (PCC) LPA area (the north-east extent).”
The national park side was conditionally approved by planners.
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