Councils across Wales face ‘extraordinary’ budget pressures totalling an estimated £559m next year, according to the Welsh Local Government Association (WLGA).
The WLGA warned that increasing demand for placements for vulnerable children had led to substantial financial strain, with some councils reporting emergency placements costing as much as £1m for a single child.
It reported that education accounted for nearly £120m of the pressure – around a fifth of the total.
WLGA leader Andrew Morgan said: ‘The WLGA has emphasized that, despite these challenges, councils remain committed to supporting their residents and working with Welsh Government to help deliver their priorities.
‘But with budget pressures on the rise, it’s really important for both the Welsh and UK Government to step up and provide the investment we need to keep these essential services running.’
It comes after it was reported that Welsh ministers are preparing for the possibility of councils facing ‘significant financial challenge’ having to ask the Government for help.
Wales’ deputy director for local government finance policy, Judith Cole, said ministers were considering ‘a sort of protocol’ about how councils could approach the Government and what would happen next.
