There’s just a few days left to have your say on Pembrokeshire’s budget setting for the next financial year, which includes the potential for huge increases in council tax.

Pembrokeshire’s financial situation for next year is some £4m better off after a higher settlement from the Welsh Government, but the council still faces difficult decisions.

While council tax makes up a proportion of the council’s annual revenue, a crucial area of funding is the Aggregate External Finance (AEF) rate from Welsh Government.

Pembrokeshire was to receive a 2.3 per cent increase on its settlement, a total of £244,318,000, amounting to an extra £5,493,000, placing it at joint 13th of the 22 local authorities in Wales.

Now, following a Welsh Government and Plaid Cymru agreement, local authorities including Pembrokeshire have received a better financial settlement.

Speaking at the December meeting of Pembrokeshire County Council, while presenting a report on the outline draft medium term financial plan (MTFP) 2026-27 to 2028-29, Cabinet member for finance Cllr Alistair Cameron said the recent rise in the financial settlement from the Welsh Government had decreased the expected funding gap for the next financial year for the county from £17.7m to £13.6m, but stressed: “There are still increased pressures we are going to have to face.”

The closing date for completed responses to the public consultation is January 4.

The council, in its online consultation, says there are limited ways that the funding gap can be met:

  • Increase the rate of council tax charged (each one per cent increase generates approximately £907,000 of additional income).
  • Change the way services are provided and delivered – (efficiency gains, reduce what council does etc).
  • Increase the amount charged for some services

Cllr Alistair Cameron, Cabinet Member for Corporate Finance and Efficiencies, has said: “It is vitally important that we get the views of as many members of the public as possible to help shape our future proposals with your priorities at the forefront.

“Everyone will be aware that it is increasingly difficult to balance the growing demands on the council but we are determined to put together a budget that enables us to continue to provide essential services for the people of Pembrokeshire.”

The actual setting of the budget and related council tax level along with any potential savings and cuts, will be decided at a later date, with committee scrutiny ahead of Cabinet considering a revised draft budget on February 9, before it is recommended to full council on February 20.