COUNCIL tax in Pembrokeshire is expected to rise by nearly 10 per cent this year, taking the average annual bill to well over £2,000, but senior councillors rejected a potential increase as high as 17 per cent.
Pembrokeshire County Council’s Cabinet, meeting on February 10, was recommended to support one of four options for the council tax element of the forthcoming 2025-’26 budget.
The proposed rises, and the increase for the average Band D property were: 9.85 per cent (£148.81), 11.14 per cent (£168.29), and 16.58 per cent (£250.48), with a fourth option put forward by the council’s Liberal Democrat group members for a 12 per cent increase (£181.29).
For many years Pembrokeshire has had the lowest Band D Council Tax in Wales.
Following the 12.5 per cent increase in 2024-25 Pembrokeshire moved to the fourth lowest council tax in Wales with a base Band D Council Tax of £1,510.72 per year, before town and community council and police precepts were added.
A report for members at Cabinet meeting, presented by Cabinet member for finance Cllr Joshua Beynon, said the council’s projected funding gap for 2025-26 has been reduced from £34.1m to £27.4m after a better-than-expected Welsh Government local government settlement but said: “… it is evident that major budget savings as well as a significant council tax increase will be required in order to deliver a balanced budget for 2025-26. The lower the Band D council tax increase, the higher the budget savings requirement will be, with the consequential adverse impact on the provision of council services.”
The report has said a potential use of in exception circumstances of up to £1.3m could be considered, but the council’s Section 151 Officer has warned: “Unless there is a clear plan to replenish, any utilisation of reserves to balance the budget would only be a sticking plaster and will add to the projected funding gap for the following year.”
Members backed a long list of budget proposals moved by Cllr Beynon including the 9.85 per cent council tax rate, and that any improvement in central funding be used to reduce efficiency savings pressures on education in the first instance.
Council leader Cllr Jon Harvey said: “This budget, given the financial constraints, it really is the bare minimum council tax increase; it’s not just about numbers on a page, it’s about not losing vital services.
“Setting a balanced budget will allow us to navigate the difficult challenges, putting the authority on the path to long-term sustainability.”
The final decision on the council budget will be debated by all members of the council at a special meeting on February 20.
For this coming year, the Dyfed-Powys Police precept part of the overall council tax bill is rising by 8.6 per cent, bringing the rate for a Band D property to £360.68.
That means, if the 9.85 per cent rate is backed, the average Band D council tax bill, before individual town or community council precepts are added, would be £2,020.21.
Neighbouring authority Ceredigion is proposing an increase of just under 10 per cent but an alternative around the six per cent mark is currently being mooted.
