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Proposals for council tax rise and ‘pay more for less’ service cuts come under fire

News | Nicholas Thomas - Local Democracy Reporting Service | Published: 14:52, Monday January 13th, 2025.
Last updated: 09:19, Tuesday January 14th, 2025

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Caerphilly County Borough Council's headquarters in Tredomen
Caerphilly County Borough Council’s headquarters in Tredomen

Opposition councillors in Caerphilly have criticised proposals to increase council tax by 7.9%.

Caerphilly County Borough Council’s draft budget proposals also include a range of cuts and savings measures, including axing a Community Safety Warden scheme and several school crossing patrols.

The local authority has long warned it must make “difficult decisions” on spending, in the face of an estimated £45 million budget gap over the next two years.

But Cllr Lindsay Whittle, who leads the Plaid Cymru group in the council chamber, said his party had “been questioning all year the performance of the Labour-run council” in several spending areas.

“We waste literally millions of pounds each year in voids and boarding up property, spending shedloads of money keeping people in hotels and bed and breakfast hostels,” he said.

“We have urged departments to spend the money they raise. Each year they fail and more and more gets swept into bank accounts laying dormant. We will get less value for that money due to the underspend when it is eventually spent.”

Plaid Cymru group leader Lindsay Whittle at Ty Penallta

Cllr Whittle also argued education officers should use cheaper temporary staff, and claimed the Llancaiach Fawr heritage site – mothballed in 2024 – should have been better promoted before its future was up for debate.

‘Significant’ pressures

Announcing the draft budget proposals, Caerphilly Council leader Sean Morgan said the authority “continues to explore ways to achieve savings to plug an unprecedented gap in our budget”.

“Whilst these budget pressures are significant, we are in a strong position to face the challenges ahead due to our sound financial management over recent years,” he added.

However, Cllr Nigel Dix, leader of the council’s independent group, said the draft budget proposals “will make us all poorer”, and a proposed 7.9% council tax increase “will severely impact many who are already struggling” after seeing energy and food bills “rocket”.

Council leader Sean Morgan, left, and independent group leader Nigel Dix
Council leader Sean Morgan, left, and independent group leader Nigel Dix

“We need a council that protects services, and puts value for money at the centre of everything they do,” he said, adding the “loss of safety wardens will make our communities less safe, and our school crossing patrols play a vital role in ensuring the safety of our children”. 

Wardens axe ‘ridiculous’

Fellow independent councillor Kevin Etheridge called the warden scheme “essential” and said their presence in areas such as Blackwood bus station help with “reducing antisocial behaviour” and “make the public feel safe”.

Plaid councillor Colin Mann also weighed in, describing safety warden cuts as “ridiculous”.

He questioned proposed cutbacks for bus subsidies and increased fees for outdoor facilities, car parks and residential parking permits.

Cllr Colin Mann
Cllr Colin Mann

Cllr Greg Ead, also Plaid, claimed “‘pay more for less’ seems to be the mantra of this Labour leader and his cabinet”, adding communities faced higher council tax bills while “losing leisure centres, community libraries, tourist attractions and reduced bin collections”.

Meanwhile, Plaid councillor Judith Pritchard criticised proposals to charge residents £55 for dealing with rat problems.

“At the moment this service is free of charge – and so it should be,” she said. “What if people can’t afford this charge? Is the council going to let the rat population multiply and get completely out of hand?”

Questions over consultants

Plaid also challenged the hiring of outside consultants, with Cllr Whittle saying the party wants “an immediate end” to the practice.

His party colleague, Cllr Gary Enright, suggested consultants could end up providing a “very expensive signposting service” rather than “lasting solutions”.

Cllr Gary Enright, Plaid Cymru councillor for the Llanbradach ward
Cllr Gary Enright, Plaid Cymru councillor for the Llanbradach ward

“We pay our senior officers, heads of service, and directors significant market-based salaries to navigate this organisation to market trends and identify cost saving initiatives, so I ask – what are we paying consultants for?” Cllr Enright asked.

“It’s like being a qualified plumber, yet asking another plumber to come and tell you how you should be doing a piece of work. It makes no long-term business or financial sense.”

Caerphilly Council has previously defended the hiring of consultants to shape its “transformation programme” and claimed any money spent would lead to greater savings in the future.

It said it had identified savings of £5.3 million for next year, thanks to that programme.

Reserves

Even with the proposed cuts, savings and council tax rise, Caerphilly Council may need to use £4.3 million of its reserves to balance the books.

Cllr Enright called the sum “miserly” and claimed “there was over £180 million and soaring in usable reserves”.

He alleged the council had an “unhealthy habit of squirreling away significant millions” for a “rainy day” and said the “reliance is put on the resident” to pay for services via council tax hikes.

Caerphilly Council has challenged such claims about the size of its usable reserves, arguing last October that the vast majority of the £192 million it held was ring-fenced or already allocated, leaving £16.4 million “uncommitted”.

Commenting on the draft budget proposals, Cllr Eluned Stenner, the cabinet member for finance, said: “The one-off use of reserves and temporary savings provides a short-term fix and will buy us more time to reshape our services through our transformation programme and address the significant financial challenges that lie ahead.”

Cllr Eluned Stenner, Labour councillor for the New Tredegar ward
Cllr Eluned Stenner, cabinet member for finance and performance

She added: “I would like to assure residents that we are doing everything possible to protect the many key services that support our communities 24/7. Please keep an eye out for the forthcoming consultation and have your say to help shape the future of the council and our services.”


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