Following the UK Government’s Autumn Budget, councils are looking to Welsh Government to provide a funding settlement to support their delivery of common priorities.
Local government in Wales faces pressures of £559m in 2025-6, projected to increase to over £1bn in the ensuing two years.
Councillor Anthony Hunt, WLGA Finance Spokesperson said:
“Whilst we will take time to consider the full implications for Welsh councils, I welcome the new direction set out in the Budget. UK, Welsh and local governments’ priorities are fully aligned, and the Chancellor’s announcements will help to support their delivery.
“The £1.7bn for Welsh Government will help to enable Ministers to support council-run services to deliver on their priorities and to invest in preventative services.
“A slew of measures will provide a cash injection for public services, including £1.3bn for English councils, including £600m funding commitment for social care, and a £500m boost for affordable homes. Local government in Wales will look to Welsh Government to provide consequential funding in full to support councils’ contribution to fulfilling these ambitions.
“I also welcome confirmation of the additional year of Shared Prosperity Funding, as the WLGA has long called for. This will give certainty in planning budgets and we will look forward to receiving more detail.”
Councillor Charlie McCoubrey, WLGA Independent Group said:
"Welsh councils are really feeling the strain as costs keep rising and demand grows. Without sustainable, long-term funding that reflects the scale of these pressures, it’s hard to see how we can keep up. We’re grateful to the Welsh Government for their engagement with local government. But as we look to the settlement for Welsh councils, we will need an acknowledgment of the gravity of the position for our essential local services.”
Councillor Darren Price, WLGA Plaid Cymru Group Leader said:
"The additional £1.7b received by the Welsh Government provides an opportunity to invest in critical council services like schools, social services, roads, housing and libraries, following a decade of austerity. It is vitally important that we work with the Welsh Government over the next few months to ensure that our funding pressures are understood and that a fair and sustainable funding settlement for local councils is reached.
"It is particularly disappointing that we didn’t see any commitments for Welsh rail or public transport infrastructure or any commitment to give Wales its rightful share of HS2 consequential funding. I would urge the UK Government to take the opportunity to right this blatant wrong and to enable Wales to fund its critical infrastructure."
Councillor James Gibson-Watt, WLGA Liberal Democrats Group said:
“With councils across Wales feeling intense financial pressures, it’s essential that the funding we receive fully reflects the reality faced by our local services. While the UK budget provides a welcome starting point, we now look to the Welsh Government to pass on the necessary consequential funding that reflects the scale of pressures facing local councils. This funding is vital to sustaining essential local services and ensuring that we can meet the needs of our communities.”
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