Local Government
£4m Plaid Cymru deal boost to Pembrokeshire council coffers
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.
Community
Pembrokeshire foster carers council tax exemptions
THE FINAL sign-off for a pilot scheme for foster carers in Pembrokeshire to be exempt from council tax payments, has been backed by senior councillors.
Last July, Pembrokeshire County Council Cabinet members backed a pilot scheme, giving 100 per cent exemptions for those meeting the criteria, running from April 1 of this year, up to March 31, 2029.
In a report presented by Cabinet Member for Young Persons, Community, Well-being and Future Generations Cllr Marc Tierney, members heard the average yearly cost of a young person being supported by an in-house foster carer per year is £22,770, while the cost for those in in residential care per year is £409,812, a variance of £387,042 per year.
“It is evident that if we can support more people to foster through a council tax discretionary discount scheme, this will benefit the Local Authority by reducing reliance on far more expensive residential care placements, or independent fostering agency arrangements, whilst enabling children to remain in their own communities,” the report said.
It added: “Based on the 25/26 Council Tax (Band D) equivalent rate of £2,059.82 per annum, the cost of implementing a 100 per cent discount per year for current mainstream foster carers would be £133,888.30. It is noted that there may be some households within this cohort who are already receiving some sort of discount, however £133,888.30 should be the maximum impact.”
Offset against that, current costs for Independent Fostering Agencies placements are some £1,956,500; the spend for the same number of children placed with in-house foster carers based on average placement costs would £796,920 per annum, an annual variance of £1,159,580 less per year compared to IFA placement costs.
“Introducing this discount on a pilot basis would be with a view to identifying if additional costs incurred by implementing this scheme would be offset by reducing the number of children and young people placed with Independent Fostering Agencies and increasing the number of children being cared for via in-house foster carers,” the report said.
It added: “This proposal will also have the added benefit of creating capacity for more young people looked after to remain close to their families, their homes, their schools, and communities thus retaining crucial local links and support networks.”
At the March meeting of Cabinet, members were asked to again back the scheme, with minor amendments to eligibility, which was supported by Cabinet.
Community
First person of colour to be elected mayor of Haverfordwest
A PEMBROKESHIRE town council will soon have its first-ever person of colour as mayor, and its youngest mayor in a century.
Haverfordwest Town Councillor Randell Iziah Thomas-Turner, aged 37, is to become mayor this May.
Cllr Turner said: “Tonight [March 19], I had the honour of accepting the nomination as mayor-elect — a moment that will forever stay with me.
“In doing so, I am humbled to be making history as the first mayor of colour in Haverfordwest and the youngest mayor in a century. This is not just my achievement, it belongs to every person who believes in progress, representation, and the power of community. This is a new chapter for our town — one built on unity, opportunity, and hope.
“My mayor-making will take place this May, and I cannot wait to officially step into the role and begin serving the people of Haverfordwest with pride, passion, and purpose. Haverfordwest is the best in the West — and together, we are just getting started.
“Diversity is not a challenge to overcome, but a strength to embrace. When people from different backgrounds, experiences, and perspectives come together with respect and openness, we unlock new ideas, stronger solutions, and deeper understanding.”
It’s a double celebration for the Thomas-Turner family.
Wife, and fellow town councillor, Dani, has been voted as sheriff of the town for the second-year-running, the first woman to serve as sheriff for two consecutive years.
“The coming civic year will be one to watch as my husband Councillor Randell Izaiah Thomas-Turner is becoming the first mayor of colour in Haverfordwest’s history,” said Cllr Dani Thomas-Turner, adding: “It’s going to be a year of history and memory making for sure.”
Business
Pembrokeshire hospitality rates relief scheme backed
A WELSH Government-funded scheme to provide rates relief for hospitality businesses has been backed by senior Pembrokeshire councillors.
A report for members of Pembrokeshire County Council’s Cabinet at their March meeting said: “Welsh Government has introduced the Food and Drink Hospitality Rates Relief, this relief is aimed at eligible businesses in Wales in the food and drink hospitality sector for example, pubs, restaurants, cafes, bars and live music venues.
“The aim of the relief is to support eligible businesses to manage continued cost pressures. The relief will apply to all eligible occupied properties by offering a discount of 15 per cent on non-domestic rate bills for the period April 1 to March 31, 2027. The relief is capped at £110,000 per business across Wales.
“As this is a temporary measure, Welsh Government is providing the relief by reimbursing local authorities that use their discretionary relief powers under Section 47 of the Local Government Finance Act 1988.”
It concluded: “The food and drink hospitality rates relief 2026-27 requires the local authority to adopt a discretionary scheme [as outlined] and in accordance with the criteria and conditions specified in the guidance issued by Welsh Government.
“It is proposed that Cabinet resolve to adopt [the scheme] which can be applied to administer the relief. Welsh Government will reimburse local authorities for the relief provided in line with their guidance via a grant under section 31 of the Local Government Act 2003.”
Members backed the recommendation.
All eligible businesses must apply for this relief by the March 31, 2027, and an application form will be available on the council’s website from the April 1.
The maximum cash value of the rates relief allowed, across all properties in Wales occupied by the same business should not exceed £110,000. Businesses claiming the relief must declare that the amount being claimed does not exceed those limits.
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