Council bosses say local authorities in Wales face a 'considerable' funding gap despite the devolved nation’s planned cuts in other government departments to protect local services.
Finance minister Rebecca Evans also said councils ‘face a very difficult year ahead’ as she announced Wales’ draft budget for 2024-25 today.
This is despite Welsh ministers cutting costs in other departments to increase spending on the NHS and enable a 3.1% increase to Wales’ local government settlement.
The Welsh Local Government Association (WLGA) said: ‘These are not easy decisions, and we would support the minister in protecting local government core funding in 2023-24.’
WLGA finance spokesperson Anthony Hunt added: ‘We have appreciated the dialogue we have with Welsh Government and their shared commitment to public services, which is not enjoyed by local government colleagues elsewhere.’
But the association said: ‘We remain concerned about the programmes which will not proceed and the impact on budgets next year.
‘Local government budgets are facing a pressure next year of £720m which is about 10% of our net expenditure.
‘The funding available will not cover it all and we face a considerable funding gap.’
The Welsh Government said its overall budget is worth £1.3bn less in real terms than when it was set in 2021.
It said the budget, which largely comes from the UK Government, is insufficient to respond to the ‘extreme pressures’ that public services, businesses and people are facing.
