Cabinet recommend budget for 2019-20
Posted on Thursday 14th February 2019
Following an extensive consultation with the public and partners, Cabinet today discussed feedback on the draft savings proposals put forward in December and made recommendations for the 2019/20 budget.
Since the draft budget was prepared at the end of 2018, the council's final settlement figure confirmed an improved grant from Welsh Government plus an increase in council tax base funding - the number of dwellings in the authority area and therefore the anticipated level of council tax income.
As a result, Cabinet considered a positive balance of £655k and how this could be best invested or used to offset proposed savings.
Councillor Debbie Wilcox, Leader of the council, said: "Although council tax contributes less than a quarter towards the total budget, we recognise that this is a considerable outgoing for households. In our early deliberations we warned that, however much we might not want to do it, we would have to consider raising it substantially.
"However, this 'cash in hand' has provided some room for manoeuvre and I and my Cabinet members felt it important to use some of that money to reduce the proposed increase in council tax."
The final recommendation made by Cabinet was to increase council tax by 5.95 per cent, compared to the proposed increase of 6.95 per cent.
The majority of Newport properties are in bands A, B and C, which means a weekly increase of £1.08 or less.
Even with this rise, it is expected that Newport will still have one of the lowest council tax rates in Wales.
"We have also chosen to invest some of this money back into our education support services. As well as our commitment to deliver excellent education, we will continue to support the welfare of our students using the expertise of our education welfare officers and educational psychologist." added Councillor Wilcox.
Also amended as a result of discussions within the meeting was the deferment of a charge increase for resident parking permits. The fee will now increase from 1 July 2019 when the council takes over the responsibility for parking enforcement from Gwent Police.
"I hope that residents appreciate how seriously we take our responsibility to set a balanced budget. Quite simply we have less money and staff than ever but are still expected to deliver hundreds of services for the city.
"Throughout this process our key focus is always how we can protect essential services and our most vulnerable residents, and ensure the future growth of our city.
"I am proud that despite these considerable challenges we have continued to manage our finances effectively and target resources to the key priorities set out in our manifesto and the corporate plan.
"In these times of difficult decisions is so important that we listen to the views of residents, partners and businesses, so I thank everyone that took part in the consultation. We have tried very hard to address some of the issues and needs raised."
The proposed budget, including the council tax increase, will now go before full Council on Tuesday 26 February.
Papers from the Cabinet meeting are available online. Minutes will be published in due course.