Rhondda Cynon Taf County Borough Council has one of the largest usable reserve funds in Wales, holding £255 million in a bank account. You read that right- a quarter of a billion pounds is just sitting there, waiting to be spent.
Instead of spending this money wisely and fairly, RCT Council has chosen to increase our council tax rates by an additional 4.7% this year.
The Council frequently claims financial difficulties and highlights funding gaps every year. Yet, last autumn, they managed to identify £10.28 million in permanent savings. Moreover, the Welsh Government has confirmed a 4.8% increase in funding for the Council this year.
Despite this, the Council continues to impose tax hikes on communities across the county borough.
It is evident that councils across Wales receive and spend significant amounts of money, but it is unfair to keep raising council tax in this manner. This approach offers no incentive to use resources efficiently, as shown by the millions of pounds in savings that appear each year. If such money can be easily eliminated, why was it allocated and spent in the first place?
Let’s be clear: RCT Council's £255 million in usable reserves comes from hard-working taxpayers. Instead of reinvesting this money into our communities, by supporting our schools, improving public transport and fixing potholes, they choose to raise our taxes, reduce waste collections, and alter Home to School Transport provisions.
When will the Council understand that this situation is unacceptable? People simply cannot afford year-on-year tax increases, especially when the quality of services does not improve to the same effect. Welsh Labour consistently resorts to raising taxes, leaving households worse off and struggling to make ends meet. As I have stated in the Senedd before, we urgently need an independent review of council funding formulas. We deserve transparency and accountability regarding how our money is used and why so much remains in reserve bank accounts. I will continue to advocate for these issues, express my concerns in the Welsh Parliament, and challenge unfair decisions and proposals made by councils directly.
ENDS
