Councillors to Consider 5.5% Rise in Council Tax

Plans to increase council tax in Merthyr Tydfil by 5.5% next year will go before councillors.

This would mean that the amount paid to Merthyr Tydfil Council for a band D property would be £2,083.21 for 2025-26 and would mean an extra £108.60 next year or £2.09 per week.

The budget report said that 84% of the properties within the county borough are valued at bands A to C so a significant proportion of council taxpayers would pay less than £2,083.21.

The report added that there would be a range of increases from £1.39 per week at the lowest band A to £4.87 per week at the highest Band I.

The council’s budget for next year is expected to be worth £172.51m.

The provisional Welsh Government settlement resulted in a funding increase of 5.1% (£6.42m) for Merthyr Tydfil next year.

In cash terms adjustments in 2024-25 and the 5.1% increase for 2025-26 provides additional funding of £9.65m for Merthyr Tydfil.

The council was previously looking at an £8.77m budget gap but this was then reduced to £5.27m taking into account the impact of the revenue settlement, pay pressures, adjustments to the council tax base, additional service demands, a review of assumptions, savings not achieved in 2024-25, and a contribution to the general fund reserves.

The proposals will go before cabinet and full council on Wednesday, February 26.