ALTERNATIVE plans to save millions of pounds in Cardiff propose to divert money from cycle lane developments to fixing potholes and trialling an alternative recycling system.
Cardiff Council met on Thursday, March 6 to debate and vote on the local authority’s 2025-26 budget which aims to close a financial gap of £27.7m.
As part of the council’s current budget plans, council tax would go up by 4.95% and there would be an increase in the cost for residential parking permits and other services.
The Conservatives group and Liberal Democrats group at the council put forward alternative plans ahead of the final budget setting meeting.
As part of their proposed budget, the Conservatives said council tax could be increased to 2.47%.
Their alternative budget has a big focus on transport and proposes to scrap plans to get rid of free parking at a number of council-owned district centre car parks, which has been called “anti-small business” by the Conservatives group.
Other proposals include:
- Moving money from cycle lanes to filling in potholes, fixing pavements and focussing on bus infrastructure
- Reintroducing community skips
- More grant money for sports clubs
- Reducing consultancy spending
The Conservatives argue cycle lanes at key pinch points in the city are contributing to congestion and have a negative impact on bus services.
Cycle lane improvements in Cardiff are a big part of the council’s drive to reduce carbon emissions and improve air quality.
The local authority also hopes to reduce congestion in the city through the development of new cycle lanes by encourage more people to use their bike instead of driving.
Leader of the Conservatives at Cardiff Council, Cllr John Lancaster, said his group’s budget would protect frontline services, adding: “We are proud to be putting transport at the heart of our budget once again, by scrapping Labour’s thoughtless plans to scrap free parking in our small-business hotspots, while we also move money from expensive cycle lanes to filling potholes and better bus infrastructure.”
The group leader claimed Labour’s council tax rise and proposed cuts are being done because of the uncertainty around UK Government support for an increase in National Insurance contributions.
Chancellor Rachel Reeves announced in October 2024 that national insurance would be going up from 13.5% to 15% and there would be a reduction in the earnings threshold which requires employers to start paying contributions.
There will be support for councils for direct national insurance contributions, but local authorities, including Cardiff Council, predict there will also be an affect through the cost of commissioned services.
Cardiff Council’s cabinet member, Cllr Chris Weaver, insisted the administration’s savings and council tax proposals are down to the increased costs faced by the local authority and growing demand on certain services.
Cllr Lancaster added: “Our Conservative budget demonstrates we can provide services in a way that puts Cardiff residents first, will get our city moving, and that is affordable to residents.”
The Liberal Democrats group said they want to increase the long-term empty homes council tax premium by 300% for properties that remain vacant for 12 months or more.
Currently, the policy is properties attract 300% premiums if they remain empty for 36 months or more. They are proposing to increase council tax by 4.29%, trial an alternative recycling collection system to the sack-sort method that’s being rolled out across the city, and reverse the council’s proposed increase in bulky waste collections.
Other proposals being put forward by the Liberal Democrats in their alternative budget include:
- Increase funding support for bus services
- Increase funding in youth services
- Increase delegated school budgets
- Increase in street cleansing
- Increase in parking enforcement officers
The group is also proposing a reconsideration of the council’s plans to spend tens of millions on moving to a brand new headquarters.
Labour cabinet members at the council argue that remaining in County Hall poses a high financial risk to the council and moving to a new building would cost less than renovating the building and addressing its backlog of repairs.
Liberal Democrats finance spokesperson at Cardiff Council, Cllr Joe Carter, said: “Despite a better than expected settlement from Welsh Government, the Labour-controlled council is still pushing forward with a council tax rate that is far too high and prioritising a new county hall, rather than giving our schools the cash they need to teach our kids.
“The Lib Dems are proposing a lower council tax increase, we will give schools an extra £1m, spend more on street cleaning, play equipment and fixing our crumbling streets.
“By focussing on efficiency savings and increasing advertising income, we have a budget that is fairer for our city.
“Liberal Democrats will prioritise schools, dirty streets and crumbling streets over an unnecessary ‘palace for politicians.”
Cardiff Council’s current budget plan proposes extra funding for a number of services, with schools, children’s services, and social care among the areas of biggest spending.
Money is also being set aside for tackling inner city fly-tipping, drain clearances, improving parks and supporting community events.
