Council Budget
The following council statement has been prepared on behalf of the Council Leader Cllr Sue Lewis in response to a press article raised by Plaid Cymru and select Independent members serving on Llanelli Rural Council about the council’s budgeting arrangements for 2025/2026:
“The council has been faced with difficult financial spending decisions in looking to set its budget for the year ahead. For some time the council has mitigated the impact of its spending decisions on the council precept by using a combination of earmarked reserves, general reserves and grants to offset expenditure costs to the precept.
“Despite being frugal with setting the precept over the previous five years, where the council raised the precept by 3.7% for 2024/25, 2% for 2023/24 and no increase prior to this following a three year freeze we can no longer sustain this approach for the year ahead. This is mainly attributable to the following factors:
“Staffing costs have risen to accommodate additional staffing resources to maintain services associated with the council’s asset transfer programme from Carmarthenshire County Council. This has been ongoing since 2017 but given the increased size of the council’s property portfolio we can no longer put off recruiting three new staff posts to help manage council services sustainably. On top of this the council has to pay more national insurance contributions from April 2025 for its staff because it is not exempt from paying these extra costs, unlike Carmarthenshire County Council which in the main will benefit from some type of exemption. Furthermore the council also has to cater for the staff annual pay award to keep pace with inflation.
“Extra costs have also been encountered to fully complete the capital project at Gwili Fields and the reconfiguration of Llwynhendy Branch Library. An additional £107,018 is needed to provide for this because the council has had to meet an extra £103,000 to deal with ground drainage works on the fields to remove groundwater to make the fields usable for recreational and leisure pursuits. This cost was unforeseen when setting budgets last year but it is essential for the project to succeed. This cost must be met. Furthermore, the council needs to replace a vehicle from its grounds maintenance fleet as one of its existing vehicles is beyond economic repair.
“All of these factors has led the council to increase its budget for the year ahead because its earmarked reserves and general reserve pot has decreased as a result of supporting previous budgets. While the headline increase represents a 32.3% increase; in real terms this represents an increase of £44.39 per Band D property household per year; the equivalent of 85 pence per week.
“The increase will allow the council to sustain and support council services; to continue with its current capital programme which delivers new play areas in Ponthenri, Cilsaig in Dafen, Penygraig in Bynea, Gwili Fields in Llwynhendy as well as the new community hub at the former branch library Llwynhendy and match day public toilet facilities for use at Felinfoel Recreation Ground. The council also plans to construct a new play area in the Stradey area of the Hengoed Ward and has committed £100,000 towards this initiative. The council will deliver all of these improvements by the end of its electoral term in May 2027, in the process it will create three brand new jobs while at the same time the budget will sustain and protect services and reserves; all for an extra 85 pence per week. This represents excellent value for money and I’m proud of the council’s approach to improving general well-being and safeguarding important community facilities as economically as possible.
“Turning to the point on member allowances, the Independent Remuneration Panel for Wales has set modest allowances for the town and community council sector. The attendance allowance available to all members is a discretionary payment which any member may forego if they so wish. Members don’t have to claim it and just to give context to what is being asserted, every county councillor receives a basic salary of £19,771 per year in comparison to the council’s entire budget of just £15,000 apportioned between its 21 councillors. These payments are set by the Remuneration Panel because it recognizes the role of a town and community councillor is no longer considered to be a voluntary role and more importantly no member should be out of pocket when performing the role.”
For further information, please contact Council Leader, Cllr. Susan Lewis on 01554 774103; email: [email protected]
