The current economic situation with rising inflation is putting significant pressure on the council’s budget with the council having to fund:

• higher pay awards
• increasing energy costs
• increased costs of outsourced services in response to the increased costs faced by our contractors

In addition the council is facing increased demands for services to support the most vulnerable during the cost of living crisis, these include homelessness prevention, adult social care and children’s social care.

It is estimated that the council may need to increase its revenue budget by £15m to £20m (9% to 13%) in 2023/24 and between £6m to £10m (4% to 6%) in 2024/25.

Prior to the steep rise in inflation, the Welsh Government indicated that the council’s revenue support grant (which funds around 75% of the council’s budget each year) would rise by 3.6% in 2023/24 and 2.5% in 2024/25.

Clearly that will not provide sufficient additional income to cover the rising costs and the council will have to consider how it set a balanced budget over the coming years.

In order to assist the council to determine its budget strategy and its priorities for the future, it would like to seek your views.