COUNCIL tax will rise by 2.95 per cent from next month in Monmouthshire after budget plans were approved by county councillors.

The rise, lowered from a previous proposal of 3.95 per cent, equates to a typical household paying an extra £42.32 per year.

The Gwent Police precept will also increase bills by an additional £15.84, while town and community council precept rises will add an average of £3.41 on to bills in the county.

Councillors agreed the budget at a full council meeting on Thursday, despite opposition from some members.

The budget includes investments to provide accommodation for those at risk of homelessness, as well as in education, social care and highways.

Cllr Phil Murphy, cabinet member for resources, said the proposals “support the priorities of the council” as well as the “challenges which face our county and society more generally”.

However the council’s Labour group leader, Cllr Dimitri Batrouni, raised concerns over rises in the cost of fees and charges.

He said these included a 3.1 per cent rise in the cost of burials, as well as increases in domiciliary care charges.

“It’s more expensive to die in this county as a result of this budget, and we will not be supporting these increases,” he said.

Independent group councillor Debby Blakebrough raised questions over the costs of the authority’s investment portfolio, which includes Newport Leisure Park and Castlegate Business Park.

Cllr Blakebrough said the portfolio had been “an embarrassing failure”, and raised concerns the council’s investments were “running at a loss” when factors such as council officer time are considered.

“I believe we have lost money,” she said.

“I think figures are being massaged to look like profits are being made but I do not think that’s the case.”

However Cllr Murphy said despite challenges from Covid-19, the investment portfolio had still “contributed significantly” to maintaining frontline services.

“If we disinvest it would put substantial pressure on the other finances of the county,” he said.

Cllr Jo Watkins, Liberal Democrat group leader, said more must be done to tackle poverty and inequality in the county, and said this should be made “a key task” following May’s local government elections.

Conservative councillor Paul Pavia welcomed the increase in Welsh Government funding to support the budget, as well as proposals to reform council tax.

However he raised concerns the proposed changes could result in “an even worse hit than the current formula in place” for Monmouthshire council as a rural authority.