Let's Talk Budget 2024 - 2025 (Phase 1)

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This consultation has now ended. The results of this project are now being analysed, and we will add links to reports and further information when they are available.

Help us develop a Budget Strategy for 2024/25

Rhondda Cynon Taf Council is a large organisation and provides a wide range of services across Rhondda Cynon Taf, for example; street cleansing, Homes for the Elderly, Leisure Centres, Theatres, Libraries and providing funding for our schools and working in partnership with them to deliver high quality education for children and young people. Its total net revenue budget for 2023/24 is £610M, after addressing a £38M budget gap, and is funded in the main by Welsh Government (78%) with Council Tax raised accounting for 21% and Council Reserves used alongside.

The economic conditions in the UK continue to be very challenging, with the world economy already weakened by the Coronavirus pandemic and the wide-spread implications of the conflict in Ukraine. Inflation rates remain high compared to previous years and are impacting not only on the Council’s own expected future costs of supplies, but also on local business’ finances and the cost of living for our residents – in the latter case, leading to increased fuel and food poverty being seen.

The Council is projecting a budget gap of over £35 million for next financial year (2024/25) alone, with this forecast to increase to over £85 million by financial year 2026/27.

In the absence of additional funding from UK Government and thereafter Welsh Government, the Council will need to reduce its annual recurring spending on Council services. The Council has one-off reserves set aside and will use these as part of transitioning to revised levels of ongoing spend going forward in light of real terms Government cuts to funding provided. We cannot look to the local council tax payer alone to bridge the gap.

The Council has also used some of its reserves to provide financial support to local residents and community groups through the cost of living crisis and, on an on-going basis, has been able to invest in services and infrastructure over recent years, in line with a long-term plan, providing improvements across many areas including Schools, Town Centres, Roads, Bridges, Parks and Play Areas and tackling climate change. The Council has also received positive feedback from residents on how it uses one-off funds to invest in services and it is an approach it is planning to continue to do to build on the strong foundations in place.

However, the situation now requires the Council to address significant forecasted budget shortfalls, continue its responsible approach in managing public money and prioritise how it uses the limited funding available to it.

Please take part in the survey below to share your views on the budget and help us develop a Budget Strategy for 2024/25.