How the council raises and spends its money, including council tax and savings.
What councils do
Each council sets a budget every year: how much to spend on each service and how much council tax to charge. Council tax pays for about a third; most of the rest is a grant from the Welsh Government and business rates.
Who decides
The Cabinet proposes the budget, usually in the winter, and the full Council agrees it and sets council tax by early March. Scrutiny committees examine the plans first.
Having a say
Most councils run a budget consultation in the autumn or early winter. Your councillors vote on the final budget, so tell them what matters to you.
In numbers
Council tax collected: 95% across Wales (2025-26).
Business rates collected: 96% across Wales (2025-26).
RESOLVED: Council AGREED to:
1
Approve the Revenue, Capital and Housing Revenue Account budgets including all proposals and increasing the Council Tax by 4.95% as set out in this report and that the Council resolve the following terms.
2
Note that at its meeting on 12 December 2024 Cabinet calculated the following amounts for the year 2025/26 in accordance with the regulations made under Section 33(5) of the Local Government Finance Act 1992:
a)
153,582 being the amount calculated in accordance with Regulation 3 of the Local Authorities (Calculation of Council Tax Base) (Wales) Regulations 1995, as amended, as its Council Tax base for the year.
Lisvane
3,200
Pentyrch
3,798
Radyr
4,169
St Fagans
2,037
Old St Mellons
2,692
Tongwynlais
835
being the amounts calculated in accordance with Regulation 6 of the Regulations as the amounts of its Council Tax base for the year for dwellings in those parts of its area to which special items relate.
2.1
Agree that the following amounts be now calculated by the County Council of the City and County of Cardiff for the year 2025/26 in accordance with Sections 32 to 36 of the Local Government Finance Act 1992:-
a)
Aggregate of the amounts which the Council estimates for the items set out in Section 32(2)(a) to (d) (including Community Council precepts totalling £612,155).
£1,345,733,155
b)
Aggregate of the amounts which the Council estimates for items set out in Section 32(3)(a) and (c):
£433,578,000
c)
Amount by which the aggregate at 2.1(a) above exceeds the aggregate at 2.1(b) above calculated in accordance with Section 32(4) as the budget requirement for the year:
£912,155,155
d)
Aggregate of the sums which the Council estimates will be payable for the year into its Council Fund in respect of Revenue Support Grant, its council tax reduction scheme, redistributed Non-Domestic Rates:
£674,886,000
e)
The amount at 2.1(c) above less the amount at 2.1(d) (net of the amount for discretionary relief of £400,000), all divided by the amount at 2.0(a) above, calculated in accordance with Section 33(1) as the basic amount of Council Tax for the year:
£1,547.51
f)
Aggregate amount of all special items referred to in Section 34(1):
£612,155
g)
Amount at 2.1(e) above less the result given by dividing the amount at 2.1(f) above by the amount at 2.0(a) above, in accordance with Section 34(2) of the Act, as the basic amount of Council Tax for the year for dwellings in those parts of the area to which no special items relate:
£1,543.52
h)
The amounts given by adding to the amount at 2.1(g) above the amounts of special items relating to dwellings in those parts of the Council's area mentioned below, divided in each case by the amount at 2.0(b) above, calculated in accordance with Section 34(3) as the basic amounts of Council Tax for the year for dwellings in those parts of the area to which special items relate.
Lisvane
1,569.93
Pentyrch
1,596.12
Radyr & Morganstown
1,587.13
St Fagans
1,570.77
St Mellons
1,565.52
Tongwynlais
1,581.06
I)
The amounts given by multiplying the amounts at 2.1(g) and 2.1(h) above by the number which in the proportion set out in the Council Tax (Valuation Bands) (Wales) Order 2003 is applicable to dwellings listed in a particular valuation band divided by the number which in that proportion is applicable to dwellings listed in valuation band D calculated in accordance with Section 36(1) of the Act as the amounts to be taken into account for the year in respect of categories of dwellings listed in different valuation bands.
A
B
C
D
E
F
G
H
I
£
£
£
£
£
£
£
£
£
Area
Lisvane
1,046.62
1,221.06
1,395.50
1,569.93
1,918.80
2,267.68
2,616.55
3,139.86
3,663.17
Pentyrch
1,064.08
1,241.43
1,418.78
1,596.12
1,950.81
2,305.51
2,660.20
3,192.24
3,724.28
Radyr & Morganstown
1,058.08
1,234.44
1,410.78
1,587.13
1,939.82
2,292.52
2,645.21
3,174.26
3,703.31
St. Fagans
1,047.18
1,221.71
1,396.24
1,570.77
1,919.83
2,268.89
2,617.95
3,141.54
3,665.13
St. Mellons
1,043.68
1,217.63
1,391.58
1,565.52
1,913.41
2,261.31
2,609.20
3,131.04
3,652.88
Tongwynlais
1,054.04
1,229.72
1,405.39
1,581.06
1,932.40
2,283.75
2,635.10
3,162.12
3,689.14
All other parts of the Council’s Area
1,029.01
1,200.52
1,372.02
1,543.52
1,886.52
2,229.53
2,572.53
3,087.04
3,601.55
2.2
Note that for the year 2025/26, the Police and Crime Commissioner for South Wales has stated the following amounts in precepts issued to the Council, in accordance with Section 40 of the Local Government Finance Act 1992 for each of the categories of dwelling shown below:-
VALUATION BANDS
A
B
C
D
E
F
G
H
I
£
£
£
£
£
£
£
£
£
252.45
294.52
336.60
378.67
462.82
546.97
631.12
757.34
883.56
2.3
Having calculated the aggregate in each case of the amounts at 2.1(i) and 2.2 above, the County Council of the City and County of Cardiff in accordance with Section 30(2) of the Local Government Finance Act 1992 hereby sets the following amounts as the amounts of Council Tax for the year 2025/26 for each of the categories of dwellings shown below:-
Part of Council’s Area
VALUATION BANDS
A
B
C
D
E
F
G
H
I
£
£
£
£
£
£
£
£
£
Area
Lisvane
1,229.07
1,515.58
1,732.10
1,948.60
2,381.62
2,814.65
3,247.67
3,897.20
4,546.73
Pentyrch
1,316.53
1,535.95
1,755.38
1,974.79
2,413.63
2,852.48
3,291.32
3,949.58
4,607.84
Radyr & Morganstown
1,310.53
1,528.96
1,747.38
1,965.80
2,402.64
2,839.49
3,276.33
3,931.60
4,586.87
St. Fagans
1,299.63
1,516.23
1,732.84
1,949.44
2,382.65
2,815.86
3,249.07
3,898.88
4,548.69
St. Mellons
1,296.13
1,512.15
1,728.18
1,944.19
2,376.23
2,808.28
3,240.32
3,888.38
4,536.44
Tongwynlais
1,306.49
1,524.24
1,741.99
1,959.73
2,395.22
2,830.72
3,266.22
3,919.46
4,572.70
All other parts of the Council’s Area
1,281.46
1,495.04
1,708.62
1,922.19
2,349.34
2,776.50
3,203.65
3,844.38
4,485.11
2.4
Authorise the Corporate Director Resources to make payments under Section 38 of the Local Government (Wales) Act 1994 from the Council Fund by equal instalments on the last working day of each month from April 2025 to March 2026 in respect of the precept levied by the Police and Crime Commissioner for South Wales in the sum of £58,156,896;
2.5
Agree that the Common Seal be affixed to the said Council Tax;
2.6
Agree that the Common Seal be affixed to precepts for Port Health Expenses for the period 1 April 2025 to 31 March 2026, namely:
County Council of the City and County of Cardiff £163,375
Vale of Glamorgan County Borough Council £18,391
2.7
Agree that notices of the making of the said Council Taxes signed by the Chief Executive be given by advertisement in the local press under Section 38(2) of the Local Government Finance Act 1992;
3.0
In accordance with the Local Government Act 2003, the Local Authority (Capital Finance and Accounting) (Wales) Regulations 2003 and subsequent amendments and the CIPFA Prudential Code and Treasury Management Codes of Practice:
(a)
Approve the Capital Strategy 2025/26.
(b)
Approve the Treasury Management Strategy 2025/26 and authorise the Section 151 Officer to raise such funds as may be required to finance capital expenditure by temporary or long-term borrowing.
(c)
Approve the Prudential Indicators for 2025/26 – 2029/30 including the affordable borrowing limit.
(d)
Delegate to the Section 151 Officer the ability to effect movement between the limits for borrowing and long-term liabilities, within the limit for any year, and to bring forward or delay schemes in the Capital Programme.
(e)
Approve the Minimum Revenue Provision Policy for 2025/26.
4.0
To approve the Budgetary Framework outlined in this report.
5.0
To maintain the current Council Tax Reduction Scheme as set out in this report.
RESOLVED: that
1. the projected revenue financial outturn based on the projected position at Month 9 2024/25 be noted.
2. the capital spend and projected position at Month 9 2024/25 be noted.
RESOLVED: that
The Cabinet, having taken account of the comments of the Section 151 Officer in respect of the robustness of the budget and the adequacy of the reserves as required under Section 25 of the Local Government Act 2003, and having considered the responses to the Budget Consultation recommend that Council:
1.0 Approve the Revenue, Capital and Housing Revenue Account budgets including all proposals and increasing the Council Tax by 4.95% as set out in this report and that the Council resolve the following terms.
2.0 Note that at its meeting on 12 December 2024 Cabinet calculated the following amounts for the year 2025/26 in accordance with the regulations made under Section 33(5) of the Local Government Finance Act 1992:
a) 153,582 being the amount calculated in accordance with Regulation 3 of the Local Authorities (Calculation of Council Tax Base) (Wales) Regulations 1995, as amended, as its Council Tax base for the year.
Lisvane
3,200
Pentyrch
3,798
Radyr
4,169
St. Fagans
2,037
Old St. Mellons
2,692
Tongwynlais
835
being the amounts calculated in accordance with Regulation 6 of the Regulations as the amounts of its Council Tax base for the year for dwellings in those parts of its area to which special items relate.
2.1 Agree that the following amounts be now calculated by the County Council of the City and County of Cardiff for the year 2025/26 in accordance with Sections 32 to 36 of the Local Government Finance Act 1992:-
a) Aggregate of the amounts which the Council estimates for the items set out in Section 32(2)(a) to (d) (including Community Council precepts totalling £612,155). £1,345,733,155
b) Aggregate of the amounts which the Council estimates for items set out in Section 32(3)(a) and (c).
£433,578,000
c) Amount by which the aggregate at 2.1(a) above exceeds the aggregate at 2.1(b) above calculated in accordance with Section 32(4) as the budget requirement for the year. £912,155,155
d) Aggregate of the sums which the Council estimates will be payable for the year into its Council Fund in respect of Revenue Support Grant, its council tax reduction scheme, redistributed Non-Domestic Rates.
£674,886,000
e) The amount at 2.1(c) above less the amount at 2.1(d) (net of the amount for discretionary relief of £400,000), all divided by the amount at 2.0(a) above, calculated in accordance with Section 33(1) as the basic amount of Council Tax for the year.
£1,547.51
f) Aggregate amount of all special items referred to in Section 34(1).
£612,155
g) Amount at 2.1(e) above less the result given by dividing the amount at 2.1(f) above by the amount at 2.0(a) above, in accordance with Section 34(2) of the Act, as the basic amount of Council Tax for the year for dwellings in those parts of the area to which no special items relate.
£1,543.52
h) The amounts given by adding to the amount at 2.1(g) above the amounts of special items relating to dwellings in those parts of the Council's area mentioned below, divided in each case by the amount at 2.0(b) above, calculated in accordance with Section 34(3) as the basic amounts of Council Tax for the year for dwellings in those parts of the area to which special items relate.
Lisvane
1,569.93
Pentyrch
1,596.12
Radyr & Morganstown
1,587.13
St Fagans
1,570.77
St Mellons
1,565.52
Tongwynlais
1,581.06
i) The amounts given by multiplying the amounts at 2.1(g) and 2.1(h) above by the number which in the proportion set out in the Council Tax (Valuation Bands) (Wales) Order 2003 is applicable to dwellings listed in a particular valuation band divided by the number which in that proportion is applicable to dwellings listed in valuation band D calculated in accordance with Section 36(1) of the Act as the amounts to be taken into account for the year in respect of categories of dwellings listed in different valuation bands.
A
B
C
D
E
F
G
H
I
Area
£
£
£
£
£
£
£
£
£
Lisvane
1,046.62
1,221.06
1,395.50
1,569.93
1,918.80
2,267.68
2,616.55
3,139.86
3,663.17
Pentyrch
1,064.08
1,241.43
1,418.78
1,596.12
1,950.81
2,305.51
2,660.20
3,192.24
3,724.28
Radyr & Morganstown
1,058.08
1,234.44
1,410.78
1,587.13
1,939.82
2,292.52
2,645.21
3,174.26
3,703.31
St Fagans
1,047.18
1,221.71
1,396.24
1,570.77
1,919.83
2,268.89
2,617.95
3,141.54
3,665.13
St Mellons
1,043.68
1,217.63
1,391.58
1,565.52
1,913.41
2,261.31
2,609.20
3,131.04
3,652.88
Tongwynlais
1,054.04
1,229.72
1,405.39
1,581.06
1,932.40
2,283.75
2,635.10
3,162.12
3,689.14
All other parts of the Council's area
1,029.01
1,200.52
1,372.02
1,543.52
1,886.52
2,229.53
2,572.53
3,087.04
3,601.55
2.2 Note that for the year 2025/26, the Police and Crime Commissioner for South Wales has stated the following amounts in precepts issued to the Council, in accordance with Section 40 of the Local Government Finance Act 1992 for each of the categories of dwelling shown below:-
VALUATION BANDS
A
B
C
D
E
F
G
H
I
£
£
£
£
£
£
£
£
£
252.45
294.52
336.60
378.67
462.82
546.97
631.12
757.34
883.56
2.3 Having calculated the aggregate in each case of the amounts at 2.1(i) and 2.2 above, the County Council of the City and County of Cardiff in accordance with Section 30(2) of the Local Government Finance Act 1992 hereby sets the following amounts as the amounts of Council Tax for the year 2025/26 for each of the categories of dwellings shown below:-
Part of Council's Area
VALUATION BANDS
A
B
C
D
E
F
G
H
I
£
£
£
£
£
£
£
£
£
Lisvane
1,299.07
1,515.58
1,732.10
1,948.60
2,381.62
2,814.65
3,247.67
3,897.20
4,546.73
Pentyrch
1,316.53
1,535.95
1,755.38
1,974.79
2,413.63
2,852.48
3,291.32
3,949.58
4,607.84
Radyr & Morganstown
1,310.53
1,528.96
1,747.38
1,965.80
2,402.64
2,839.49
3,276.33
3,931.60
4,586.87
St Fagans
1,299.63
1,516.23
1,732.84
1,949.44
2,382.65
2,815.86
3,249.07
3,898.88
4,548.69
St Mellons
1,296.13
1,512.15
1,728.18
1,944.19
2,376.23
2,808.28
3,240.32
3,888.38
4,536.44
Tongwynlais
1,306.49
1,524.24
1,741.99
1,959.73
2,395.22
2,830.72
3,266.22
3,919.46
4,572.70
All other parts of the Council's area
1,281.46
1,495.04
1,708.62
1,922.19
2,349.34
2,776.50
3,203.65
3,844.38
4,485.11
2.4Authorise the Corporate Director Resources to make payments under Section 38 of the Local Government (Wales) Act 1994 from the Council Fund by equal instalments on the last working day of each month from April 2025 to March 2026 in respect of the precept levied by the Police and Crime Commissioner for South Wales in the sum of £58,156,896
2.5 Agree that the Common Seal be affixed to the said Council Tax.
2.6 Agree that the Common Seal be affixed to precepts for Port Health Expenses for the period 1 April 2025 to 31 March 2026 namely
£
County Council of the City and County of Cardiff
163,375
Vale of Glamorgan County Borough Council
18,391
2.7 Agree that notices of the making of the said Council Taxes signed by the Chief Executive be given by advertisement in the local press under Section 38(2) of the Local Government Finance Act 1992.
3.0 In accordance with the Local Government Act 2003, the Local Authority (Capital Finance and Accounting) (Wales) Regulations 2003 and subsequent amendments and the CIPFA Prudential Code and Treasury Management Codes of Practice:
(a) Approve the Capital Strategy 2025/26.
(b) Approve the Treasury Management Strategy 2025/26 and authorise the Section 151 Officer to raise such funds as may be required to finance capital expenditure by temporary or long-term borrowing.
(c) Approve the Prudential Indicators for 2025/26 – 2029/30 including the affordable borrowing limit.
(d) Delegate to the Section 151 Officer the ability to effect movement between the limits for borrowing and long-term liabilities, within the limit for any year, and to bring forward or delay schemes in the Capital Programme.
(e) Approve the Minimum Revenue Provision Policy for 2025/26.
4.0 To approve the Budgetary Framework outlined in this report.
5.0 To maintain the current Council Tax Reduction Scheme as set out in this report.
The Cabinet, having taken account of the comments of the Section 151 Officer in respect of the robustness of the budget and the adequacy of the reserves as required under Section 25 of the Local Government, Act and having considered the responses to the Budget Consultation
6.0 Approve the changes to fees and charges as set out in Appendix 5 (a) and 5 (b) to this report.
7.0 Delegate authority to the appropriate Director in consultation with the appropriate Cabinet Member, the Section 151 Officer and the Cabinet Member for Finance, Modernisation & Performance, to amend or introduce new fees and charges during the year, subject if necessary (having regard to the proposed change), to an Equality Impact Assessment and public consultation being undertaken and the results thereof being duly considered before the delegated authority is exercised.
8.0 Recognise the financial challenges facing the Council as set out in the Medium-Term Financial Plan.
AGREED: that the Chairperson, on behalf of the Committee, writes to the Cabinet Member conveying the observations and recommendations of the Committee when discussing the way forward.
RESOLVED: That the Chairperson writes to the Cabinet Member on behalf of the Committee expressing their comments and observations captured during the way forward.
Sections of the Corporate Plan and Budgetary Proposals relevant to Cllr Weaver’s portfolio
Cllr Weaver made a brief statement outlining sections in the Draft Corporate Plan and Draft Budgetary Proposals relevant to his portfolio.
Members were invited to ask questions and make comments and the discussion is summarised below:
Members wished to know how the new KPI’s compared to the current performance figures, and were advised that this information could be provided to the Committee.
Members enquired about the dropout rate among apprentices at the Council and whether the Council monitors the progress of apprentices going on into further employment. Members were advised that the dropout rate is very low, some apprentices and trainees go on to work for the Council and in some service areas apprentice and trainee placements are very helpful in securing employment outside the Council. However, it was acknowledged that not all data may be properly captured, given the difficulties in keeping in touch with those who dropout.
RESOLVED: That the Chairperson writes to the Cabinet Member on behalf of the Committee expressing their comments and observations captured during the way forward.
Sections of the Corporate Plan and Budgetary Proposals relevant to the Culture, Sport and Parks portfolio
The Chair welcomed to the meeting Cllr Jennifer Burke, Cabinet Member for Culture, Sport and Parks; Neil Hanratty, Director of Economic Development; Donna Jones, Assistant Director for County Estates; Ruth Cayford, Operational Manager for Creative Industries and Culture; and Jon Maidment, Head of Parks and Cardiff Harbour Authority.
Cllr Burke made a brief statement, following which Neil Hanratty gave a presentation outlining sections in the Draft Corporate Plan and Draft Budgetary Proposals relevant to Cllr Burke’s portfolio.
Members were invited to ask questions and make comments, and the discussion is summarised below:
Members were advised that filming charges in Bute Park Visitor Centre have been added to the fees and charges report and will continue to be included there in future years.
Members sought an explanation for the decision not to increase fees at the riding school, and were advised that there is a need to invest in the school as the infrastructure is deteriorating, and there is concern that if fees are increased customers could transfer to commercial competitors.
Members were advised that there have been instances when the outdoor school has had to be closed due to the roof leaking. Officers were confident that the expected £10,000 increase in income would be forthcoming.
Members sought an update on the Cardiff Story museum and were advised that it was the Cabinet’s view that it should remain in its present location until a viable alternative could be found.
Members questioned why the KPI for satisfaction rate of parks was set at 72.5% and were advised that while the budget is increasing there are still pressures and areas where investment is needed. Members were advised that the development of a new parks strategy includes consultation to understand what people want from parks, and to encourage people who might not ordinarily access parks to do so.
Members sought an explanation for the changes in the plans for Pentwyn Leisure Centre since the previous plans were consulted on. The Cabinet Member advised that the type of equipment that is going into the centre is on a par with the International Pool and will be a decent piece of infrastructure that is safe for families.
Members sought assurance that there would no further delay to the reopening of St David’s Hall beyond the 4th quarter of 2026/27. The Cabinet Member advised Members that in recent weeks nearly all relevant applications for work to progress have been submitted, and subject to regulatory approval work should commence in the summer. Announcement has been made that the Cardiff Singer of the World 2027 will take place at St David’s Hall and the hall will be open in time for that.
Members wondered whether the reopening of St David’s Hall in 2026-27 would have a significant impact on the city’s tourism sector, and were advised that alongside Cardiff Castle, Principality Stadium and the city’s grassroots venues, and forthcoming Arena, it would mean that Cardiff would have a wide variety of venues that could host a range of different performers. Cardiff is increasingly seen as a destination for live events and it was important to the Council to ensure that St David’s Hall was not only maintained but enhanced in terms of what it offered people.
Members asked whether there was a mechanism to ensure that monies from the Financial Resilience Mechanism available for the sport development grant translate to improved services, and were advised that there is a sustained demand for this support which enables sports teams and clubs across the city to take on assets and improve them, working in partnership with the council.
Members sought information on how the Council could ensure there was involvement for female sports initiatives in this. The Cabinet Member advised that the FAW is reporting a significant increase in women’s and girls’ participation in football clubs. Llandaff Cricket has had a record participation of young girls, and girls’ participation in rugby is improving in the younger age groups; the administration remains committed to increasing participation of under-represented groups.
Members asked how much of the £1.5 million FRM was currently allocated and were advised that not all of it was already committed.
Members sought an update on the Whitewater Rafting Centre, and were advised that there had been some significant budget challenges in recent years but with efficiency savings it is getting closer to being operated within budget and is very close to breaking even.
Members discussed how well the Whitewater Rafting Centre was promoted, and were advised that it is a niche facility and there has been some targeted marketing, but this could be reviewed to ensure it is reaching enough people. An offer was made for committee members to visit the Centre to see first-hand the range of services on offer and to discuss marketing and promotion with officers.
RESOLVED: That the Chairperson writes to the Cabinet Member on behalf of the Committee expressing their comments and observations captured during the way forward.
Sections of the Corporate Plan and Budgetary Proposals relevant to the Leader’s portfolio
The Chair welcomed to the meeting Cllr Huw Thomas, Leader of the Council; Neil Hanratty, Director of Economic Development; and Jon Day, Operational Manager for Investment and Tourism.
Cllr Thomas made a brief statement, following which Members were invited to ask questions and make comments, and the discussion is summarised below:
Members discussed the lessons to be learned and any governance arrangements that might need to be addressed in relation to the contract for the demolition of Aberthaw power station, dealt with via the Cardiff Capital Region body. The Leader advised that he could not comment in detail as there are ongoing legal proceedings, but at the right time all local authorities involved will want an investigation into what occurred.
Members discussed the Joint Overview and Scrutiny Committee which is responsible for reviewing and scrutinising decisions made by the CJC. The Leader reminded the Committee that there had been discussions about the appropriateness of the scrutiny arrangements for the City Deal, and expressed the view that this was something either CJC or Welsh Government would wish to look at in more detail. He could envision a system where if a project is being delivered by CCR within the area of a LA, it would be appropriate for the relevant committee to scrutinise the work of the CCR.
Members wished to know about the prospects for a project emerging from the recommendations of the Western Gateway’s independent Severn Estuary Commission on the potential for renewable energy. The Leader advised that the Commission is due to report in mid-March. Briefings he has had indicate there is a potentially deliverable project that is technologically and financially feasible, but it will be necessary to have the right regulatory and governance environment to unlock the private sector investment.
Members sought information on how returns on investment in the City Deal were measured in terms of job creation and other economic opportunities. The Leader advised that there is a 5-year gateway process of assessment done jointly by UK and Welsh Governments on a CCR level, the top level metrics being job creation, GVA uplift and leverage of private money to match public money invested.
Members wished to know how the Council ensures that projects invested in through the City Deal align with environmental commitments made through One Planet Cardiff and the goal to reach Net Zero. The Leader advised that the KPI’s for the City Deal were set in 2016 and did not necessarily have green objectives in mind. The CJC has to have statutory policies around things such as biodiversity and the next deal will be more of a green deal.
RESOLVED: That the Chairperson writes to the Cabinet Member on behalf of the Committee expressing their comments and observations captured during the way forward.
Sections of the Corporate Plan and Budgetary Proposals relevant to the Investment and Development portfolio
The Chair welcomed to the meeting Cllr Huw Thomas, Leader of the Council; Neil Hanratty, Director of Economic Development; Donna Jones, Assistant Director for County Estates; and Jon Day, Operational Manager for Investment and Tourism.
Cllr Thomas made a brief statement, following which Neil Hanratty gave a presentation outlining sections of the Budgetary Proposals relevant to the portfolio.
Members were invited to ask questions and make comments, and the discussion is summarised below:
Members sought clarification on the source of additional income of £27,000 and were advised that it was income from renting out workshop space.
Members sought clarification on SPF funding for Cardiff Indoor Market and were advised that the funding was for the Financial Year 2024/25, had been agreed and was already in place.
Members sought further details on how the Council is working with the hospitality and accommodation sectors to increase accommodation options for visitors during major events. The Leader advised that the amount of hotel accommodation in the city is relatively modest, and one of the reasons for pursuing the Indoor Arena is to provide a more regular stream of visitors into the city and encourage investment in hotel development.
Members discussed whether proceeds from the visitor levy could be used to benefit district shopping centres away from the city centre. The Leader advised that as currently proposed it is envisaged that the proceeds of the visitor levy are spent within the visitor economy; however, the Council would want to develop a plan for how the levy could be deployed in partnership with stakeholders, including the BID as well as stakeholders more broadly.
Members questioned whether investment in new infrastructure such as the Canal Quarter Regeneration Phase 2 was the right approach when existing infrastructure such as city centre paving was not being sufficiently maintained. The Leader advised that much of the paving repair work in the city centre was due to the heavy traffic of supply trucks along Queen Street and The Hayes. Turning to the canal, he reminded Members that the plans had been signed off in 2021 when there Covid restrictions and concerns about the viability of city centres. The Council would want to see further plans, with the development of the Indoor Arena, around the Utilita Arena, developed in a strategic manner with a master plan for the whole area, with green and blue space being a key component making it somewhere people will want to spend time.
Members questioned whether pursuing a target of more Grade A office space was the most sustainable approach when there is other office space that is not being used. Officers advised that there is a lack of vacant Grade A office space in the city centre, and thus a risk that there is no property available for businesses that want to invest. The Leader added that last year saw the highest level of office take-up in 7 years.
Members asked whether there is a strategy for bringing surplus non-Grade A office space up to standard for reuse, and were advised that there is a market for cheaper office space for start-up and growing businesses, while other surplus office space has been repurposed for residential use.
Members wished to know whether there were concerns around CO2 emissions in relation to the creation of car parks in support of the Indoor Arena. The Leader advised that the current surface area car parks are being replaced by a single multi-storey car park with fewer parking spaces, while recognising there will be people who will drive to events at the Arena and want to park to access facilities in Cardiff Bay. Most of the area will be released to make it more attractive to people on foot and for leisure purposes.
Members wondered whether there were plans for more festivals or other attractions to encourage visitors to make longer stays. The Leader referred to the Cardiff City of Music Festival as a homegrown event that the Council would like to invest in and grow for the long term. Officers added that the Cardiff Live development will provide a venue able to compete for smaller business tourism events, and this will hopefully encourage visitors to stay longer and enjoy other facilities.
Members discussed how to promote other things for people to see or do in Cardiff besides the major events. The Leader advised that this was the sort of thing that the Council would want to be able to enhance through funds unlocked by the tourism levy.
Members discussed whether the planned investment in Cardiff Indoor Market would interfere with the improvements already taking place in the market. Officers advised that the intention of the redevelopment is to improve the market as it is rather than change what it will be doing. Work will be done to make good the roof and stop it leaking, and to improve the stallholders’ stands.
Members asked whether proposals for open space or street food facilities in the city centre were seen as competing with the Indoor Market. Officers advised that businesses are generally comfortable with investments that improve the overall offer and attract more people into the city centre. The Leader advised that it was indicative that businesses and investors see the city centre as being a place where people go to socialise, eat and spend leisure time rather than for shopping.
RESOLVED: That the Chairperson writes to the Cabinet Member on behalf of the Committee expressing their comments and observations captured during the way forward.
Sections of the Corporate Plan and Budgetary Proposals relevant to the Tackling Poverty portfolio
The Chair welcomed to the meeting Cllr Peter Bradbury, Cabinet Member for Tackling Poverty and Supporting Young People; and Helen Evans, Assistant Director for Housing and Communities.
Cllr Bradbury made a brief statement outlining sections of the Budgetary Proposals relevant to his portfolio.
Members were invited to ask questions and make comments, and the discussion is summarised below:
The Chair expressed gratitude for the acceptance of the KPI recommendations from the Scrutiny Performance Panel into the Corporate Plan, particularly around the Race Equality Task Force and sustainable employment.
Members wished to know how much of a challenge the rise in employers’ National Insurance contributions presented to the Council and what is the Council’s strategy for addressing it. The Cabinet Member advised that the Council adjusts its work according to Governments’ tax proposals, and added that he had not received many letters from employers complaining that the increase was causing problems in recruitment.
Members asked whether there were KPIs around supporting people to stay in work. The Cabinet Member advised that the target for getting people into work had been raised, and that the team aims to get people into full-time and meaningful rather than temporary employment. Officers advised that most of the funding for Into Work services is grant funding and comes with a requirement that people stay and work for at least 6 months. Mentors work alongside the new employees to ensure they are sustained in that employment.
Members discussed whether people pass through the Into Work service only to be seen again a few months later, and were advised that some people have multiple barriers into work. A new Connect to Work programme will be delivered next year looking at those complex barriers, helping people into work and then wrapping support around them.
Members asked about the confidence levels at achieving the KPIs, and were advised that this is a key risk in 2026 as a significant amount of funding for Into Work services comes from the SPF. The Cabinet Member added that the team do remarkable work in the face of great challenges and difficulties, and it is important that funding for the next few years is secured to keep them in post.
Members sought information on what contingency there was should the SPF be significantly reduced or withdrawn. Officers advised that Connect to Work would help in some respects but not in terms of overall funding. Currently posts that become vacant are not being backfilled. Should no alternative funding become available the Council would have to look to exit posts. The Cabinet Member added that he would be putting pressure on ministers to replace SPF or put in place grant funding, and he would encourage Members to do the same.
RESOLVED: That the Chairperson writes to the Cabinet Member on behalf of the Committee expressing their comments and observations captured during the way forward.
Sections of the Corporate Plan and Budgetary Proposals relevant to the Housing and Communities portfolio
The Chair welcomed to the meeting Cllr Lee Bridgeman, Cabinet Member for Housing and Communities; Helen Evans, Assistant Director for Housing and Communities; and Rebecca Hooper, Operational Manager for Neighbourhood Regeneration.
Cllr Bridgeman made a brief statement, after which Helen Evans and Rebecca Hooper gave a presentation outlining sections of the Budgetary Proposals relevant to the Housing and Communities portfolio.
Members were invited to ask questions and make comments, and the discussion is summarised below:
Members discussed the use of volunteers in hubs and libraries. The Cabinet Member advised that it was decided at an early stage not to adopt a full volunteer service. Hub and library staff are professional and qualified and cannot be replaced with volunteers. Officers added a balance had been struck between the number of volunteers in hubs and libraries and the remaining paid staff, and it is unlikely that paid staff could be reduced further. As part of an internal restructuring the Council is looking to create more specialist library roles. Volunteers receive good training and there are robust procedures in place.
Members wished to know about the number of hubs that hub managers are managing and whether this was sustainable. Officers advised that this depends on the size of hub; Central Library has its own manager while for smaller hubs and libraries there may be a single manager across 3 or 4. The Council is creating more senior roles such as assistant managers and senior hub library assistants and there will be one of these in each hub or library.
Members discussed the training of existing staff in specialisms and were advised that the Council is encouraging hub and library staff to enrol for a librarianship degree.
Members wondered how the proposal to remove free parking periods from Council car parks would affect the viability of district and local centres. The Cabinet Member advised that car parking charges were not part of his portfolio. Officers advised that there is a coordinated approach with Transport and Highways relating to regeneration of shopping areas. Many district centres do not have free car parking and the focus is on ensuring there are good Active Travel opportunities to encourage people out of cars where possible.
Members questioned why there was no reference in the Corporate Plan to 15-minute cities and sought reassurance that the Council still supports the concept. The Cabinet Member assured Members that the commitment was still there but the 15-minute city name had been dropped as there was too much toxicity around it.
Members sought further information on the Roath-Adamsdown Business Corridor. Officers advised that the boundaries had not yet been defined and there have been discussions around alignment with other regeneration and Active Travel schemes. The size of the area will be part of the consultation.
Members welcomed the focus on ensuring books in hubs and libraries reflect the diversity of language and sought information on how this diversity was assessed. Officer advised that this was through consultations, surveys, and conversations with library staff and customers. In addition, a new IT system being rolled out allows customer requests in specific languages to be logged.
Members sought information on whether reduction of the book fund would have an impact on people who access books in community languages. Officers advised that they were confident that the Council would be able to continue to meet the requirements of community languages. Data on the percentage of purchased books are in community languages could be provided to the Committee.
Members sought information on the venues used for the Learning for Life programme, and were advised that there are many such venues, including schools, churches and community halls, which are listed on the website, and in addition there continue to be some online courses available.
Members were advised that adult literacy and numeracy comes under a separate programme for adult learning called Learning for Work.
Members were advised that most Learning for Life participants are 50-plus retirees and that officers would be able to provide a demographic breakdown to committee if required.
Members enquired about the priority for the Clifton Street area in the Roath-Adamsdown Business Corridor placemaking plan. Officers advised that the South Riverside Business Corridor placemaking plan is currently being concluded, and there is a significant project for Cowbridge Road East that officers are looking to secure funding for and take forward shortly. The target date for the Adamsdown-Roath Business Corridor to commence is June, and this includes Clifton Street. Officers are working close with colleagues to coordinate the work with plans for a Transport Corridor along Newport Road and Broadway.
Members wished to know what the allocation of £1.5M for regeneration from the FRM was likely to be spent. Officers advised that ward councillors would be invited to put forward ideas that meet the criteria around regeneration. The key priority will be deliverability. The Cabinet Member urged Councillors to look out for the email from officers inviting ideas.
RESOLVED: That the Chairperson writes to the Cabinet Member on behalf of the Committee expressing their comments and observations captured during the way forward.
RESOLVED to:
a) Note the current position of the General Reserve balance and the proposed Medium Term Financial Plan.
b) Note that a potential annual or in year increase to Local Authority contributions may be required moving forward upon approval from S151 Officers.
RESOLVED: that
(1) the updated Budget Position for 2025/26 at Provisional Settlement Stage be noted.
(2) the proposed approach to Budget Consultation for 2025/26 be agreed, and subject to that agreement:
· Note that the formal budget consultation will commence on the 9th January 2025 and run until 5th February 2025. The results of the consultation process will then be considered by Cabinet in preparing their final 2025/26 budget proposal.
RESOLVED: that the following resolutions be approved:
1. the calculation of the Council’s tax base for the year 2025/26 be approved.
2. that pursuant to this report and in accordance with the Local Authorities (Calculation of Tax Base) (Wales) Regulations 1995, as amended, the amount calculated by Cardiff Council as its Council Tax Base for the year 2025/26 shall be 153,582.
3. that pursuant to this report and in accordance with the Local Authorities (Calculation of Tax Base) (Wales) Regulations 1995, as amended, the amounts calculated by the Council as the Council Tax Base for the year 2025/26 in the community areas subject to a precept shall be as follows:
Lisvane
3,200
Pentyrch
3,798
Radyr
4,169
St. Fagans
2,037
Old St. Mellons
2,692
Tongwynlais
835
4. that the arrangements for the payment of precepts in 2025/26 to the Police and Crime Commissioner for South Wales be by equal instalments on the last working day of each month from April 2025 to March 2026; and to the Community Councils, be by one payment on the first working day of April 2025, reflecting the same basis as that used in 2024/25; and the precepting authorities be advised accordingly.
RESOLVED:
a. To note the 2024/25 projected outturn forecast including the projected year-end balance for the Joint Committee ReserveAccount.
b. To recommend the 2025/26 budget, including the proposed drawdown and closing balance of the Reserve Account, to the Partnering Councils for approval as part of their respective budget planning frameworks for2025/26.
c. To ask the Partnering Councils to note the indicative budgets, and associated partner contributions, outlined for the financial years 2026/27 to 2028/29.
RESOLVED: that the Treasury Management Mid-Year Report 2024-25 (Appendix 1) be noted, prior to its submission to Governance and Audit Committee and Full Council in November 2024.
RESOLVED: that
1. The projected revenue financial outturn based on the projected position at Month 6 2024/25 be noted.
2. The capital spend and projected position at Month 6 2024/25 be noted.
RESOLVED: that
1) the Full Business Case for the Core Office Strategy as outlined at Appendix 1 be approved in principle subject to final confirmation of all costs to be approved at a future Cabinet meeting at the time of considering the Development Agreement.
2) The Council’s requirement for 100,000sqft of new offices including the Management Suite as part of the Cardiff Live development as set out at Appendix 1 be approved.
3) The appointment of the ‘Successful Bidder’ for the delivery of the new offices be approved and authority be delegated to the Director of Economic Development in consultation with the Cabinet Member for Investment and Development, the Section 151 Officer, and the Director of Legal & Governance to:
i. Enter into a PCSA to develop detailed designs and final costs as set out at Confidential Appendix 2 and in-line with the financial implications and associated risks set out at Appendix 1.
ii. Negotiate the Development Agreement for the delivery of the new offices to be approved at a future Cabinet meeting.
4) the City Hall Phase 2 works be authorised in line with the capital budget set-out in the Financial Implications of this report.
5) authority be delegated to the Director of Economic Development in consultation with the Cabinet Member for Investment and Development, the s151 Officer and the Director of Legal and Governance to deal with all aspects of the procurement of a contractor for the City Hall Phase 3 works, with the final appointment of a contractor and the allocation of budget to be approved at a future meeting of Cabinet. Noting that this can be no earlier than the budget setting process report.
RESOLVED: that
1. the projected revenue financial outturn based on the projected position at Month 4 2024/25 be noted.
2. the capital spend and projected position at Month 4 2024/25 be noted.
AGREED: that the Chairperson, on behalf of the Committee, writes to the Cabinet Member conveying the observations and recommendations of the Committee when discussing the way forward.
RESOLVED: that
1. the ongoing Housing Emergency and the new demands that will add further pressures to homelessness services and temporary accommodation be noted.
2. the acquisition of the properties identified in the confidential Appendix B be approved and authority be delegated to the Corporate Director - People and Communities in consultation with the S151 Officer, Legal services and the Cabinet members for Housing and Communities and Finance, Modernisation and Performance for all matters arising from the acquisitions and to authorise exchange of contracts and completion of those properties in accordance with the Heads of Terms annexed to this report subject to:
a. Approval of appropriate grant funding being secured from Welsh Government
b. Confirmation of a suitable financial viability assessment for each purchase
c. Confirmation that the decision does not result in commitments outside the budget framework.
d. Receipt of updated/formal valuation confirming the value contained in confidential Appendix E & F
3. authority be delegated to the Corporate Director People & Communities, in consultation with the Cabinet Member for Housing & Communities, to consider responses to the recent Homelessness Consultation and to implement any consequential policy changes as appropriate and within existing budgets.
RESOLVED: that Council be recommended to -
i. Note the agreement reached in principle and ratify the decision to complete the formal settlement agreement with HMRC
ii. Agree that conclusion of the final terms of an Agreement is delegated to the Chief Executive, in consultation with the Section 151 Officer, Monitoring Officer, Leader of the Council and the Cabinet Member for Finance, Modernisation and Performance.
iii. Note the Capitalisation Direction agreed and now available to support the financial strategy to fund the liability subject to Council agreement.
iv. Agree to amend the 2024/25 budget in accordance with budget policy framework to align with the agreed financial strategy in relation to this issue.
v. Agree to the inclusion within the Council’s Capital Strategy and program this expenditure in for 2024/25.
vi. Agree the necessary changes to the Revenue Budget for the Medium Term reflecting the impact on Capital financing for future years in accordance with the Capital Direction (to be reflected as appropriate in future Budget Monitoring reports for 2024/25).
vii. Agree to incorporate all medium-term Capital and Revenue implications within the amended Medium Term Financial Plan and Capital Strategy as part of the next annual Budget update through Council in February / March 2025.
viii. Note that the Council will pursue all options available to pursue the Landfill tax debt outstanding.
RESOLVED: Council AGREED:
i.
to note the agreement reached in principle and ratify the decision to complete the formal settlement agreement with HMRC;
ii.
that conclusion of the final terms of an Agreement be delegated to the Chief Executive, in consultation with the Section 151 Officer, Monitoring Officer, Leader of the Council and the Cabinet Member for Finance, Modernisation and Performance;
iii.
to note the Capitalisation Direction agreed and now available to support the financial strategy to fund the liability subject to Council agreement;
iv.
to amend the 2024/25 budget in accordance with budget policy framework to align with the agreed financial strategy in relation to this issue;
v.
to the inclusion within the Council’s Capital Strategy and program this expenditure in for 2024/25;
vi.
the necessary changes to the Revenue Budget for the Medium Term reflecting the impact on Capital financing for future years in accordance with the Capital Direction (to be reflected as appropriate in future Budget Monitoring reports for 2024/25);
vii.
to incorporate all medium-term Capital and Revenue implications within the amended Medium Term Financial Plan and Capital Strategy as part of the next annual Budget update through Council in February / March 2025;
viii.
to note that the Council will pursue all options available to pursue the Landfill tax debt outstanding.
RESOLVED: that
1. The budget principles, as set out in the report, on which the Budget Strategy will be based, and the approach to meeting the Budget Reduction Requirement both in 2025/26 and across the period of the Medium-Term Financial Plan, be agreed.
2. The directorates work with the relevant Portfolio Cabinet Member(s), in consultation with the Corporate Director Resources and Cabinet Member for Finance, Modernisation and Performance to identify potential savings to assist in addressing the indicative budget gap of £49.726 million for 2025/26 and £147.784 million across the period of the Medium-Term Financial Plan.
3. Authority be delegated to the Chief Executive, in consultation with the Leader and Cabinet Member for Finance, Modernisation and Performance, to implement any saving proposal in advance of 2025/26 where no policy recommendation is required or where a policy decision has already been taken.
4. It be noted that work will continue to update and refresh the Medium-Term Financial Plan and that this will be reported to Members as appropriate.
5. It be noted that an update on funding for Teachers Pensions will accompany the Month 4 monitoring report in September 2024.
6. It be proposed that Council agree that the Budget Timetable Framework, set out in Appendix 2, be adopted, and that the work outlined is progressed with a view to informing budget preparation.
7. Consultation on the 2025/26 budget proposals will take place when the detail of options is available in order to inform the preparation of the draft 2025/26 Budget.
RESOLVED: Council AGREED:
1.
To adopt the Budget Timetable Framework set out in Appendix 2, subject to a decision by Cabinet at its meeting on 18th July 2024 (set out in the Amendment Sheet); and that the work outlined is progressed with a view to informing budget preparation.
AGREED: that the Chairperson, on behalf of the Committee, writes to the Cabinet Member conveying the observations and recommendations of the Committee when discussing the way forward.
RESOLVED – That:
(1) the report be noted;
(2) the Section 151 Officer provide the Committee with a quantified breakdown of the 2023/24 budgeted activity that did not take place and was used to cover overspends.
RESOLVED: that
1. The report and actions taken in respect of the Council’s Revenue and Capital Outturn position for 2023/24 be noted; and
2. It be noted that this report will form an appendix to the Financial Statements report to be considered at a Council meeting in the Autumn of 2024.
RESOLVED: that
1. the progress being made to address the on-going Housing Emergency in Cardiff be noted
2. the acquisition of the properties and land identified in confidential appendices B & C be approved and authority be delegated to the Corporate Director – People and Communities in consultation with the S151 Officer, Legal services and the Cabinet members for Housing and Communities and Finance, Modernisation and Performance to authorise exchange of contracts and completion of those properties in accordance with the Heads of Terms annexed to this report subject to:
· Approval of appropriate grant funding being secured from Welsh Government
· Confirmation of a suitable financial viability assessment for each purchase
· Confirmation that the decision does not result in commitments outside the budget framework.
3. the extension of the use of specific hotel provision at the Copthorne hotel as family homeless accommodation be approved for a period of approximately 12 months.
4. the Cardiff Local Housing Needs Assessment (2022-2027) be approved.