GWENT council leaders have “welcomed” the Welsh Government’s announcement on local authority funding for 2021-22.

All five Gwent councils will see an increase in funding under the proposed Welsh local government settlement, with Newport seeing the biggest per centage increase across the whole of Wales.

The Welsh Government funding for the next year ranged between a two per cent increase and a 5.6 per cent increase.

This is how much each Gwent council will be given compared with the current financial year:

  • Newport: £241 million, up 5.6 per cent.
  • Monmouthshire: £101 million, up 3.9 per cent.
  • Torfaen: £146 million, up 4.3 per cent.
  • Blaenau Gwent: £120 million, up 3.7 per cent.
  • Caerphilly: £292 million, up 3.1 per cent.

The settlement excludes coronavirus related costs including funding for free school meals and track and trace.

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This is how the leaders of each council responded to the news.

Newport

Newport City Council received the biggest increase for the 2020-21 financial year, seeing their settlement rise by 5.6 per cent.

Council leader Jane Mudd said it was a recognition of Newport's status as a city.

Cllr Mudd said: "We are really pleased to get such a positive budget settlement.

"We have benefitted from the population adjustment that the Welsh Government have made this year, and that is a really important recognition of our status as a city.

"We are a gateway city and they have recognised that.

"It is really positive that in these difficult times they have been able to focus on public service delivery, as for many years local authorities have experienced cuts."

Cllr Mudd said the increase would allow the council to continue to invest in the city.

She added: "It will help with a lot of the service pressure which we are experiencing at the moment.

"As well as helping with our budget, and with council tax too which is always an issue for people.

"It will help us to continue to invest in these important public services."

Monmouthshire

Monmouthshire Council received the lowest increase for the 2020-21 financial year, but are above the 3.8 per cent average increase proposed for the next year.

The leader of the council Peter Fox has previously been critical about how the funding is calculated and how much the county receives.

However, this year Cllr Fox said he was “pleased that the role of local government in this extraordinary year has been recognised by Welsh Government”.

He said: “The above average increase will at the very least give the council some additional flexibility to respond to the unprecedented strain on the council’s finances and the choices it makes when setting the budget for next year.

“Alongside the settlement announcement and the COVID funding that the council has successfully claimed this year already there has been and will be significant consequentials from UK Government funding announcements, some of which remains to be allocated within the Welsh Government’s budget.

“It is important that the real pressures in local government are addressed and we will continue to make this case with Ministers during the coming weeks.  Without such funding the council will again be left in a position of having to take hard and difficult decisions and regardless of the good news offered by the provisional settlement.”

The relevant cabinet member, Cllr Phil Murphy, said the provisional settlement offers “a potential lifeline to the council” and stops the need “to make difficult, immediate and short-term decisions that would impact on its frontline services”.

He said: “Whilst it is understandable given the global and national economic uncertainty that UK Government has only allowed Welsh Government to provide a one-year funding outlook this will continue to make medium-term financial planning difficult.

“We hope that this above average increase is not short lived and given that the council has historically and to date been the worst funded Council in Wales.  In fact, the council remains firmly rooted to the bottom of the table for the amount of funding per capita it receives from Welsh Government.”

Torfaen

Torfaen Council leader Cllr Anthony Hunt, has spoken on the settlement in his capacity as the spokesman for the Welsh Local Government Association.

Cllr Hunt says it is a “welcome settlement” but will continue to make the case for a funding floor – something not currently provided.

He said: “Today’s announcement builds on last year’s positive settlement and will help to improve education outcomes and support the most vulnerable in our communities and ensure they receive the care they need.

“It reflects a period of regular, constructive engagement with Ministers during the past year and is recognition of the role councils have played during the pandemic and the critical importance of council services to Wales’ recovery.

“Our staff have been at the forefront of the pandemic response whether they work on the frontline like carers or in corporate functions like finance who delivered urgent financial support to thousands of businesses.  They have done an incredible job and we owe them all a debt of thanks.”

Speaking in his capacity as leader of the county borough council, Cllr Hunt said: “I welcome a positive settlement from the Welsh Government that recognises these challenging times for local services.

“It shows the value of local government and Welsh government working together to face down those challenges.

“Next year won’t be an easy one as we work to tackle the impacts of Covid-19 on our communities and protect services, but this settlement gives us a fighting chance and will be considered in more detail by cabinet in January.”

Caerphilly

Caerphilly County Borough Council is projected to get the lowest increase among the five Gwent councils in the settlement.

However, council leader Philippa Marsden said she welcomed the increase, which will help “protected our key services.”

Cllr Marsden said: “It is important to stress that the settlement does not include any additional funding to help with the significant ongoing additional costs and income losses associated with the coronavirus pandemic.

“We will continue to work closely with Welsh Government to ensure that sufficient funding is provided to help us manage the ongoing unprecedented financial pressures facing local government as a result of the pandemic.

“I would also like to assure residents that we will continue to work hard to protect services and support the whole community through these difficult and uncertain times.”

Blaenau Gwent council had not responded to request for comment as the Argus went to press.