Budget approved amid severe pressure on schools and leisure services

Blaenau Gwent Council has today approved its budget for 2025/26, providing much-needed funding boosts for schools and leisure services, both of which are under extreme financial strain.

Despite an increase in Welsh Government funding of 4.8%—slightly above the Wales average—the Council still faces huge financial challenges. Soaring costs from inflation, energy bills, and rising service demands continue to stretch resources to the limit.

At a special meeting today, councillors agreed a budget that protects vital frontline services and delivers significant investment into the education of our young people with the biggest-ever uplift in school funding, alongside extra support for leisure services run by Aneurin Leisure Trust.

Council Tax to Rise by 4.95%—Among the Lowest in Wales, With Support for Low-Income Households

Council Tax will rise by 4.95%, equating to £1.22 a week for a Band A home and £1.42 for Band B—covering over 83% of properties in Blaenau Gwent. Despite the increase, this remains one of the lowest in Wales.

Importantly, 91% of homes in Blaenau Gwent fall below the average Band D property, meaning the widely quoted £95 annual increase for Band D will not apply to the vast majority of our residents. These households will see reduced rises.

Crucially, many low-income households will see no increase at all, thanks to the Council Tax Reduction Scheme, which supports those struggling to pay their bills. The Council is fully protecting this scheme with £10.5 million, ensuring continued support for those who need it most. Residents are also encouraged to check if they qualify for other concessionary schemes.

Difficult Choices to Keep Services Running

Months of careful financial planning and public engagement have shaped this budget, which prioritises tackling inequalities and supporting the most vulnerable through the Marmot Principles. The Council has also identified £1.9 million in savings and new income sources under seven key themes, including:

  • Reducing and reviewing buildings
  • Modernising services through digital innovation
  • Generating income
  • Energy efficiency projects

Council Leader’s Statement: ‘Schools and Leisure Services are at Breaking Point’

Council Leader Cllr Steve Thomas said:

“This is one of the toughest budgets we’ve ever had to set. Our schools and leisure services are at breaking point due to financial pressures as a result of the cost-of-living crisis, and we are doing everything possible to support them. The uplift in school funding is the highest ever, because we know how vital education is for our children’s futures.

“We’ve also kept Council Tax as low as possible while ensuring we can still deliver the services people rely on. Tough decisions are unavoidable, with Welsh Government funding only making up around 80% of our budget. However, we are continuing to fully protect the Council Tax Reduction Scheme, meaning many low-income households will be protected from this increase, with most of these paying no increase at all. We urge residents to check if they qualify for support. Find out here."

Working with Torfaen CBC

Blaenau Gwent recently approved closer working with Torfaen CBC, including sharing a joint Chief Executive.

Cllr Thomas added:

“Collaborating with Torfaen isn’t just about cost savings—it’s about securing the future of our essential services. By pooling resources and expertise, we can make services more sustainable and ensure we can continue to deliver for our communities.