Welsh Tory Leader Labels Council Funding Boost as “Miserly”

Rural councils are disproportionately affected by the Welsh government’s draft budget, according to the Welsh Conservatives. Darren Millar, the party’s leader in the Senedd, informed BBC Politics Wales that the 4.3% increase in funding for local government was “miserly.” The Welsh Local Government Association (WLGA), which represents councils, had requested funding to address a £559m deficit in 2025-6, projected to grow to over £1bn across two years. First Minister Eluned Morgan stated that this uplift was in addition to a “massive chunk of money” councils had already received this year, implying they had obtained “significantly more” than 4.3% over two years. Both the Conservatives and Plaid Cymru have expressed concerns regarding National Insurance contributions for public service providers such as care homes, GP surgeries, and hospices, with the Welsh Conservatives asserting that “hundreds of millions” could be returned to the Treasury. Plaid Cymru’s Heledd Fychan said: “If you listen to the WLGA prior to the budget, they wanted double that funding. “That was the message quite clearly. 7% was the figure needed in terms of those vital public services. “And the fact that we have that lack of clarity in terms of National Insurance contributions is a huge concern to local authorities across Wales.” On Tuesday, Finance Minister Mark Drakeford presented the Welsh government’s draft budget, which saw every department receive a funding increase, including an additional £600m for NHS Wales. The Welsh government plans to increase council budgets by £253m next year if its budget proposals are approved. This amount is less than half of what the sector indicated it requires to cover shortfalls caused by increased demand and costs. Opposition parties have stated that the funding for councils is insufficient. Millar contended that the Welsh government had misaligned priorities and advocated for the establishment of a Welsh winter fuel allowance for pensioners. This follows the UK Labour government’s controversial decision to means test payments intended to assist with winter fuel costs. He further explained that one of the “challenges that councils face is they use an out-dated funding formula… so rural councils in particular have been hit really hard this year.” He added, “They’re getting a disproportionally lower increase in funding compared to cities like Newport and Cardiff.” Fychan questioned whether future cuts would occur, as the funding increases from the UK government were “front loaded.” She described the future for public services as “bleak” and deemed cuts “inevitable” in the coming years. Copyright 2024 BBC. All rights reserved. The BBC disclaims responsibility for the content of external sites. Details regarding their external linking policy are available.