02 March 2016
Today the Minister for Public Services published the Final Local Government Settlement. This follows the publication of the Welsh Government’s Final Budget yesterday. Revenue funding for Local Government has been set at £4.102 billion for 2016-17.
The Final Settlement contained no alterations to the updated Provisional Settlement published 10 February 2016, this update followed the allocation of £2.5 million of top-up funding to three local authorities (Powys, Ceredigion and Monmouthshire).
The average reduction in Aggregate External Finance (AEF) across Wales stands at -1.3% (£54 million). On 8 December 2015 the Minister for Public Service referred to the settlement as “a considerably better Settlement than Local Government was expecting”. The average reduction in AEF for 2015-16 was -3.4%
The infographic below shows the percentage change in AEF relative to 2015-16 figures. The percentage reductions range from -0.1% in Cardiff to -3% for Powys, Ceredigion and Monmouthshire. Prior to the updated Provisional Settlement Powys faced the largest reduction of -4.1%.
The motion to approve the Local Government Finance Report for 2016-17 is scheduled for debate 9 March 2016 in the Senedd.