The County Council approved the Revenue Budget Strategy for 2025/26 to 2027/28, which includes a 9.75% increase in Council Tax. They also adopted the five-year Capital Programme and the Treasury Management Policy and Strategy for 2025-26. Additionally, the Council approved the adoption of the Welsh Government Corporate Parenting Charter and the updated Road Risk Policy.

Revenue Budget Strategy and Council Tax Increase

The Council considered and approved the Revenue Budget Strategy for 2025/26 to 2027/28, which sets out the financial plans for the coming years. A key outcome of this strategy is a proposed Council Tax increase of 9.75% for 2025/26. This will result in a Band D Council Tax charge of £1,759.07. The budget for 2025/26 assumes no contribution from reserves.

The Medium-Term Financial Plan indicates that funding growth for 2026/27 and 2027/28 is expected to be significantly lower than in 2025/26, necessitating substantial budget reductions. Over the next two years, it is estimated that a total of £20 million in budget reductions will be required, based on an annual 5% Council Tax increase.

Following public consultation, which received over 2,900 responses, several adjustments were made to the budget proposals. These include the removal of a proposal to close or asset transfer public conveniences, a curtailment of car parking charge increases, and £200,000 in savings to highways and flood defence budgets. A £1 million recurrent budget will be directed towards meeting the borrowing costs of future capital schemes. The Cabinet recommended approving the Budget Strategy, the Council Tax increase, the removal of specific savings proposals, and the Medium Term Financial Plan. Authority was also delegated to the Director of Corporate Services to make necessary amendments following the Welsh Government's final settlement.

Five-Year Capital Programme

The Council approved the five-year Capital Programme for 2025/26 to 2029/30, with a gross expenditure of £94.673 million planned for 2025/26. Funding for this programme will come from the council's own resources and external sources. The programme includes significant investments such as £44 million for improving school buildings and children's homes, £12 million for the Disability Facilities Grant, and £20 million for a new care home at Plas Y Bryn, Cwmgwili. Additionally, £33 million is allocated for Economic Development projects and £61 million for highways and recycling infrastructure. The Capital Strategy, which guides these investment decisions, was also approved.

Treasury Management Policy and Strategy

The Council approved the Treasury Management Policy and Strategy for 2025-26. This policy outlines the objectives and activities related to the council's treasury management. The approved strategy includes the Treasury Management Indicators, Prudential Indicators, Minimum Revenue Provision Statement, and Investment Strategy for the upcoming financial year.

Business Rates Relief Scheme

The Council adopted the 2025/26 Retail, Leisure and Hospitality Rates Relief scheme. This scheme, funded by the Welsh Government, offers eligible businesses a 40% discount on their non-domestic rates bill. Councillor Linda Evans declared a personal interest in this item due to her sister managing a hairdressing business and left the Chamber during its consideration.

Carmarthen Business Improvement District (BID)

The Council resolved to support the Carmarthen Business Improvement District (BID) by facilitating a ballot for its second five-year term. This support includes endorsing the principle of the BID, the voting process for affected rateable properties, and the collection of the BID levy. The estimated annual levy charge is £25,422 plus inflation. The Council also agreed to oversee the ballot process at no fee.

Road Risk Policy

An updated Road Risk Policy was adopted by the Council. This policy aims to enhance health and safety management related to the use of motor vehicles, minimising risks to employees and the public. A Driver Handbook will accompany the policy, providing operational guidance for all drivers.

Welsh Government Corporate Parenting Charter

The Council adopted the Welsh Government Corporate Parenting Charter, which aims to improve support and services for care-experienced children and young people. The Charter sets out principles for public bodies to ensure these young people have equal life chances. The Corporate Parenting Panel will oversee the implementation of the Charter's principles across all relevant departments and services.

Pay Policy Statement 2025/2026

The County Council approved the Pay Policy Statement for 2025/2026, in compliance with Section 38(1) of the Localism Act 2011. This statement outlines the council's policies on the remuneration of its Chief Officers, lowest-paid employees, and the relationship between their pay. The policy prioritises support for the lowest paid staff, ensuring they receive at least the Voluntary Real Living Wage of £12.60 per hour. The statement also acknowledges the need for future reviews of the pay model and terms and conditions, and commits to adhering to the Social Partnership and Public Procurement (Wales) Act 2023. Numerous councillors declared interests due to family members working for the Authority, and all officers present left the meeting during the consideration of this item. The Leader of the Council presented the report on behalf of the Cabinet Member for Organisation and Workforce.