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Services worry over council cash | Services worry over council cash |
(about 2 hours later) | |
Local council leaders in Wales have warned that services may suffer as they found out how much money they will receive next year. | |
All 22 face below-inflation settlements from the Welsh Assembly Government. | All 22 face below-inflation settlements from the Welsh Assembly Government. |
The Assembly Government announced an extra £109m, which amounts to a 2.9% increase on last year's settlement. | |
Councils have faced steep increases in their energy bills and nine have millions of pounds frozen in Icelandic banks or their subsidiaries. | Councils have faced steep increases in their energy bills and nine have millions of pounds frozen in Icelandic banks or their subsidiaries. |
Local government minister Dr Brian Gibbons said it represented a 2.9% increase on last year's settlement and brought assembly government funding for councils via the revenue support grant to more than £3.9bn. | |
Dr Gibbons said: "The additional resources demonstrate the Assembly Government's commitment to assist local government to meet the undoubted cost pressures they face. | |
"These are challenging economic and financial times for the public sector, businesses and citizens alike." | |
Welsh Local Government Association leader John Davies then accused ministers of "making the wrong choices for the people of Wales who value their local services". COUNCIL CASH INCREASES 2009-10 Anglesey 1.5% Blaenau Gwent 1.5% Bridgend 4.1% Caerphilly 2.7% Cardiff 4.0% Carmarthenshire 4.2% Ceredigion 2.8% Conwy 1.8% Denbighshire 3.5% Flintshire 2.7% Gwynedd 2.2% Merthyr Tydfil 2.4% Monmouthshire 3.7% Neath Port Talbot 2.2% Newport 2.5% Pembrokeshire 3.0% Powys 1.5% Rhondda Cynon Taf 1.8% Swansea 3.0% Torfaen 2.4% Vale of Glamorgan 3.9% Wrexham 3.7% Welsh average 2.9% | |
The association will seek talks with the assembly government, after the detailed council-by-council settlement is announced, during what Mr Davies called "exceptionally difficult times" for local councils. | The association will seek talks with the assembly government, after the detailed council-by-council settlement is announced, during what Mr Davies called "exceptionally difficult times" for local councils. |
The leader of Cardiff council, Rodney Berman, said that vulnerable people suffered most from cost-cutting measures. | The leader of Cardiff council, Rodney Berman, said that vulnerable people suffered most from cost-cutting measures. |
"In recent years in Cardiff we had to close a residential home. When you spoke to the families of the people in that home they didn't see that as an easy decision to make." | "In recent years in Cardiff we had to close a residential home. When you spoke to the families of the people in that home they didn't see that as an easy decision to make." |
"It's going to be really hard to meet the gap this year and I think it will put the pressure on council tax." | "It's going to be really hard to meet the gap this year and I think it will put the pressure on council tax." |
"We're not seeing enough evidence that Brian Gibbons as local government minister is actually sticking up for local government," he said. | "We're not seeing enough evidence that Brian Gibbons as local government minister is actually sticking up for local government," he said. |
Finance Minister Minister Andrew Davies told AMs on Tuesday that nine Welsh local authorities had a total of £60m in Icelandic financial institutions, while three police authorities had £10m and three universities £8.1m. | Finance Minister Minister Andrew Davies told AMs on Tuesday that nine Welsh local authorities had a total of £60m in Icelandic financial institutions, while three police authorities had £10m and three universities £8.1m. |
They are Glyndwr University in Wrexham, the University of Wales and Aberystwyth University. | They are Glyndwr University in Wrexham, the University of Wales and Aberystwyth University. |
He said any request for "assistance short term" would be considered but insisted there was no prospect of financial compensation from ministers. | He said any request for "assistance short term" would be considered but insisted there was no prospect of financial compensation from ministers. |
The minister said the assembly government was "fully supporting" UK government negotiations with Icelandic officials to get assets unfrozen. | The minister said the assembly government was "fully supporting" UK government negotiations with Icelandic officials to get assets unfrozen. |
"I would expect a prudently managed organisation to be able to navigate its way through the current difficulty - as indeed very much looks to be the case," he said. | "I would expect a prudently managed organisation to be able to navigate its way through the current difficulty - as indeed very much looks to be the case," he said. |
"Any prospect of compensation would clearly be very detrimental to the efforts being made to get the frozen investments returned," Mr Davies added. | "Any prospect of compensation would clearly be very detrimental to the efforts being made to get the frozen investments returned," Mr Davies added. |
Welsh Local Government Minister Brian Gibbons is to due join Whitehall discussions on the Iceland issue on Wednesday. | Welsh Local Government Minister Brian Gibbons is to due join Whitehall discussions on the Iceland issue on Wednesday. |
Dyfed-Powys Police Authority has called a special meeting at the same time to consider the impact of having £2m of its money tied up in the Nordic country. | Dyfed-Powys Police Authority has called a special meeting at the same time to consider the impact of having £2m of its money tied up in the Nordic country. |