City’s council tax could rise by nearly 4%

Richard Youle, Local democracy reporter

A 3.9% council tax rise is on the cards in south Wales as part of revised budget proposals being considered by the council’s cabinet.

Swansea’s budget for schools and social services is expected to increase by 5.7% and 5.5% respectively, thanks largely to the Welsh Government providing the council with an extra 5.7% of funding for 2026-27.

The 3.9% council tax rise proposed would mean Band D households paying £1,807.38p in the coming financial year. This doesn’t include the South Wales Police precept or any town or community council precept. Council tax went up 5.95% in Swansea last April.

Speaking ahead of a cabinet meeting on February 19 when the budget proposals will be discussed, council leader Rob Stewart said: “We have a strong track record of using our money wisely and driving down our costs which means we can now put record funding into vital services such as schools and social services.”

Overall, the council’s net revenue budget, which excludes certain types of income like fees and rent and also specific grants, is showing as £677.5 million in 2026-27 compared to £642.9 million this year.

As things stand schools and social services would receive £225.9 million and £206.9 million respectively, while the place department, which covers waste collection and highways, would get £100.3 million.

The £677.5 million would also cover borrowing costs totalling £34.9 million and a £20.5 million Mid and West Wales Fire Service levy.

Funding for the £677.5 million would come in large part from central Government – namely a £415.5 million revenue support grant from the Welsh Government and an £87.2 million share of business rates. The remaining £174.8 million would be generated by council tax.

Financial pressures such as home to school transport costs and social care continue to affect the council, and wage increases need to be paid for. The net effect of this is that savings need to be made despite the extra funding coming in.

The cabinet report identifies a £12.7 million savings requirement, although this could be achieved by raising some charges – for example £200,000 extra income from parking charges – as well as by making cuts.

On council tax and savings, Cllr Stewart said: “To keep council tax rise at one of the lowest in Wales, we are continuing to play our part to keep costs down for taxpayers through just under £13 million of new savings and efficiencies this year.”

Now, following a public consultation, some planned savings are likely to be shelved. These include proposed charges for garden waste bags and a proposed £150,000 cut to the bridleways and footpaths budget, which could be dropped.

The consultation, which 553 people responded to, asked which areas residents would like to see the council invest in. In response 70% said road repairs, 51% said care for older people and disabled adults, 44% said school improvements, 41% said keeping children safe, 39% said street cleaning, and 39% also said parks and green spaces.

The cabinet report also identifies five new bits of expenditure totalling £1.1 million such a £474,000 expansion of a street cleaning service and a £250,000 allocation for flood protection. The £1.1 million would come from the council’s contingency fund.

Opposition leader Cllr Chris Holley said he planned to reiterate concerns about planned hikes in burial charges and registrar fees totalling £253,000 at a budget scrutiny meeting early next week, and focus on borrowing costs.

Full council will set the budget, including council tax, at a meeting on March 5.

Although not part of the current budget proposals, the Labour-led authority wants to establish a £10 million pot of money called the economic growth next year.

Cllr Stewart said the £10 million pot – to come from the council’s contingency fund – would direct additional money into residents’ priorities such as road maintenance, street cleaning and special events.

“It’ll not just be about dealing with road repairs, it’ll also make money available for events and initiatives that give our communities and neighbourhoods a lift, like music and other events,” he said.