Council tax in Gwynedd looks set to rise by 2.95 per cent, generating an income of £82.1m.

Cabinet agreed to the recommendations of the budget - including the council tax rise - at a meeting on Tuesday. A final decision will be made by full council on 3 March.

A report said the recommended rise “would generate £82.1m” and will equates “to a council tax increase of £43.76 for a Band D property, or 84p a week”.

“The tax charged by the Police and Crime Commissioner (an increase of 3.68 per cent for 2022/23) and the community councils will of course be in addition to this,” the report added.

“We do not know exactly what the average increase will be across Wales, but the latest information is that there will be quite a wide range across Wales. The proposal to raise the tax by 2.95 per cent is consistent with the situation across North Wales.

“The choice between maintaining services and taxation remains a difficult one, and it is up to all members to take stock and come to the balance that they consider appropriate.”

At full council on 2 December, it was decided to continue with the 100 per cent premium on second homes and on properties that have been empty for 12 months or more for 2022/23.

“It is estimated the council will receive £6m of additional income in 2022/23 by raising the premium, and the money is set aside in a fund to implement the Housing Action Plan, which will aim to provide housing for young people in our communities,” the report noted

The decision to increase council tax was made as part of the cabinet’s discussion on setting the budget for this year.

The report recommends a budget of £295,232,820 should be set for 2022/23, to be funded by £213,210,400 of government grant and £82,022,420 of council tax income, with the increase of 2.95 per cent. The report states the council’s spending needs before savings are removed for 2022/23 is £295.8m. The grant from the Welsh Government will be £213.2m and there is a total of £595,000 of savings to be used to reduce the funding gap.

“This means that there is a residual gap of £82m, and it is recommended that be addressed through council tax,” the report explains.

Cabinet voted unanimously for setting the budget, and increasing council tax, as recommended.