Posted on: Tuesday 4 March 2025
Today, Torfaen Council approved its budget for 2025/2026, set out its medium-term financial plan and set council tax for 2025/2026.
The updated Medium-Term Financial Plan outlines a financial gap of £9.169m over the next four years.
Torfaen Council Leader, Cllr Anthony Hunt, stated: “The budget for 2025/26 has been prepared against a backdrop of high demand and inflationary cost pressures across our services.
"The additional grant money from Welsh Government and making internal efficiencies has improved our financial position and sets us up well to deliver key priorities next year."
The council's 2025/26 net budget is £248.5m, with £192.2m coming from Welsh Government.
During full council, Cllr Hunt stated that the council received a 4.8% increase in the Welsh Government settlement, alongside additional funds from the Welsh Government to cover the national pay award for staff.
The report outlining Torfaen’s budget includes:
- A £6.7 million total increase to the school budget or 8.6%
- At least £3m of highways repairs over the next two years to a total of £5m over the next five years.
- A further £800,000 for Crownbridge Special School; making a total investment of £1.26m.
- £800,000 to meet demand pressures on School Transport and for Additional Learning Needs.
- Recognition of the impact on Social Care providers of a 5% increase in the Real Living Wage.
- An extra £1m for Adult Social Care services.
- An extra £1m to transform Children’s Services and meet care costs in 2025/26 and 26/27, leading to a net reduction by 2027/28.
- An extra £3m million to cover staff pay and pension inflation.
- £250,000 to continue the school leaver employment and apprentice scheme.
- An additional £304,000 to the Community Farm which will reopen in 2025 following the significant capital investment at the site.
- Investment of £227,000 in a Waste Education and Enforcement Team to improve recycling behaviour and maintain fortnightly collections.
Council Tax is set to increase by 4.95% to £1,627.32 for a Band D property or an annual increase of £76.75 per annum or £1.48 per week.
Councillor Hunt added: “This budget focuses investment on schools, streets and social care and protects vital local services while still keeping council tax bills as low as possible.
“At the same time as increasing investment, this is the fourth year we've set one of the lowest council tax increases in Wales as we recognise many households struggle with bills. To help residents we have maintained funding for our Council Tax Reduction Scheme supporting nearly 10,000 homes on low incomes.
“Additionally, around £29 million is set for capital investment next year, including funds for schools, roads and disabled facility grants to help people stay in their homes.”
To view the full report visit Agenda for Council - 04/03/2025