Denbighshire County Council is warning that challenging times lie ahead as it faces a series of continuing budget pressures due to rising costs and demand for services.
It is estimated that delivering day to day services
– including social services, waste collection and schools, will cost an extra
£26m due to price increases, inflation, and pressure on demand.
Despite an expected increase in funding of £5.6m (3%) by Welsh Government, this still leaves a funding gap of £20.4m. Like Local Authorities across Wales, the
Council must find additional money through
savings and efficiencies, charges for services, increases in Council Tax or by
reducing or cutting services.
Councillor Jason McLellan, Leader of the Council
and Cabinet Lead Member for Economic Growth & Tackling Deprivation said: “Like all Councils across Wales and England we face the most challenging of
times. Over a decade of constant austerity cuts from UK Government has taken
its toll on local authorities and as a result we have to make very difficult
decisions.
“We have already been looking at every Council
function to identify budget savings. We have asked staff internally to propose
ideas; we are considering what we can do differently, what we can reduce and
what we can stop. On the basis of these considerations, we are working to come
up with a list of potential savings across everything we do. The current
financial position is incredibly challenging and as a result, the need for
significant budget savings is unprecedented.”
Councillor Gwyneth Ellis, Cabinet Lead Member for
Finance, Performance and Strategic Assets said: “The main priority for Cabinet
at this point is ensure the Council can balance the books. Denbighshire wants
to avoid arriving at a situation where external Commissioners are sent in by
government to reduce spend with little or no reference to the elected Members
or the local communities. This is the reality of what could happen should we
fail to balance the books.
“That is why we must start making difficult decisions
now. We need to be able to agree to implement significant savings over the next
few months to enable us to set a balanced budget for 2024/25. We also
know there are likely to be similar challenges facing us for 2025/26.”
The proposals which will be put forward will all go through the appropriate process with some decisions made by Cabinet while others will be taken via delegated decision either by the Lead Member or Head of Service. All decisions which have a significant impact on our communities will be subject to a public consultation.