15 October 2008
The average increase across the six North Wales councils is 2.6%. To put this into context, this is half the current rate of inflation, which now stands at 5.2% and the highest inflation rate in over 11 years.
The worst hit council in the region, Anglesey, would receive only 0.4% if they did not benefit from the floor funding guarantee of 1.5%. Four of the six North Wales Councils will get less than the average increase for Welsh Councils. This illustrates just how inadequate this settlement is for local government in North Wales.
The WLGA slammed the provisional settlement as another bitter blow to North Wales councils, who for the last few years have suffered appalling budget settlements.
Cllr Aled Roberts (Wrexham) Chair of the North Wales Regional Partnership Board said:
“The figures in the provisional local government settlement published today speak for themselves – the Assembly Government is simply not prioritising local services, at a time when Councils need to be able to support their communities through the difficult economic times we find ourselves in.
We understand that increases in public finances are significantly lower than those in the earlier Assembly terms but I struggle to understand how the Assembly Government can claim to be delivering better outcomes for council taxpayers when it will receive an increase in funds of 4.8% but only passes on an increase of 2.6% to North Wales councils.
The WLGA are trying to be positive and are seeking to engage the Assembly Government in dialogue in how to maintain levels of service provision without unreasonable council tax increases. For example, the WLGA is calling for local government to be allowed to retain the 1% efficiency assumption which would make £38 million available to be reinvested which is the equivalent of 4% on council tax across Wales.”
Cllr Dyfed Edwards (Gwynedd), WLGA Plaid group leader added:
“Yet again the more rural authorities are worst hit by this settlement, despite the fact that delivering services in sparsely populated areas will cost more if adequate access to services is to be maintained. The rural authorities have been particularly badly hit by the increases in fuel costs due to the distances they have to cover. The WLGA are pressing for a special grant for rural authorities which are often forgotten in Assembly thinking which I support wholeheartedly.”
Whilst councils have criticised today’s disappointing draft local government settlement, they have welcomed the additional money that has been outlined for the Foundation Phase and have praised the Assembly Government for not letting national budgetary pressures affect the education opportunities of Wales’ youngest children. “
For more information contact: Natasha Weeks