Concerns have been raised that people in Powys will not be able to afford to pay their council tax, after a 2.9 per cent hike in bills.

And one councillor left the Independent ruling group hours after the budget for 2021/22 was set, unhappy with the council tax rise.

Cllr Karen Laurie-Parry, who represents the ward of Bronllys near Brecon, has submitted the paperwork to leave the ruling group, and intends to become a non-aligned councillor for now.

At a Powys County Council meeting on Thursday, the Independent/Conservative budget was narrowly voted through.

During the debate, several councillors felt that the increase could tip many in Powys over the financial cliff edge.

In his speech, Plaid Cymru group leader Cllr Elwyn Vaughan, who represents Glantwymyn, included data from the Joseph Rowntree Foundation report Poverty in Wales, which outlined how tough times are for people.

Cllr Vaughan said: "Powys has already seen a increase in eligible claims for Council Tax Reduction Scheme. The current caseload increase is 827 claims, which is a nine per cent increase when comparing to this time last year.

“Office for National Statistics data shows 3,240 people were claiming out-of-work benefits as of mid-January in Powys, much higher than the 1,440 recorded in early March 2020.

“The reality is that the Mid Wales annual salary is £9,000 a year less than the UK average.”

Powys County Council’s anti-poverty champion, Cllr Joy Jones said: “The council tax reduction scheme helps many residents, and I’m grateful we have this.

“But it doesn’t help our hard-working residents, there are some that are just over the cut-off line of getting that help.

“They are the people that are now finding themselves in poverty, people were struggling before, but the pandemic has caused a crisis.”

She pointed out that rents would be increased, and the price of fuel, household bills and food are all rising.

Cllr Jones added: “I appreciate the council has reduced the proposal but it’s still too high for many people.”

“As we come out of furlough a lot of people will find that they don’t have a job to go back to, this is a real disaster that’s brewing.

“It may only be 76 pence per week, but for some families that’s a lot of money.”

Finance portfolio holder Cllr Aled Davies defended the budget and pointed out that many households in Powys pay less than the full amount of council tax.

Cllr Davies said: “We do consider the affordability, it’s taken very seriously, we are investing in our communities, building homes and schools, and working with the health board to deliver health care in Newtown.”

He believed that the county needed a “strong” council tax base to be able to deliver the improvements over the next few years.