Cardiff Council is bracing for another financially challenging year as it anticipates a budget gap of £49 million for the upcoming financial year. The Council highlighted increased demand for children and young people’s services, pressure on adult social care provision, and a surge in emergency and temporary accommodation requests. Approximately 8,000 individuals are currently on the council’s housing waiting list.
Councillor Huw Thomas, the leader of Cardiff Council, acknowledged the ongoing challenges faced by the Council due to pandemic recovery, inflation, and rising interest rates affecting various services. In response, the Council initiated a review and design of services with a savings target of £100 million over four years. The focus remains on delivering vital services to Cardiff’s residents and addressing the financial hurdles ahead.
The projected budget gap for 2025/26 is more than double the £24 million gap tackled in 2023/24. To manage the current financial year’s £30 million gap, the Council implemented measures such as a 6% increase in council tax, raised fees and charges for specific services, and adjusted car parking charges. Positives noted in the annual report include progress in education, social care, and housing developments.
The council’s achievements include delivering 1,200 new homes through its home building programme, reducing the social care staff vacancy rate from 38.7% to 15.8%, and placing more children with foster carers and in-house residential housing. Despite the financial challenges ahead, the Council remains committed to serving the community and ensuring essential services continue to meet residents’ needs.