COUNCIL tax in Ceredigion is likely to have to rise by at least four per cent to help plug a £1,500,000 budget gap, the authority has warned.

Council leader Ellen ap Gwynn said the council’s draft budget highlighted a gap in funding of just over £1.5m after provisional settlement figures from the Welsh Government saw Ceredigion County Council’s funding from the government cut by 0.3 per cent.

While council departments have drawn up savings targets and were working to find more potential savings, Cllr ap Gwynn said even if those targets are met, there would still be a funding gap in the budget.

A report by head of finance Stephen Johnson warned that a council tax increase of four per cent would be required to balance the budget if provisional figures remain as they are.

He said: “The impact upon and the implications for the continued provision of the current level of the council’s services cannot be emphasised enough. Council tax increases were four per cent for the current year and at five per cent for the previous three years due to the significant reductions in the settlement funding averaging minus 4.2 per cent per year.

“Without an increase in council tax there is a budget gap of just over £1.5m and this is after services identifying and planning service savings.

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