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Concerns as councils told of funding rise for next year

November 25, 2025

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South Wales Evening Post

THE amount of money councils in Wales will get from Welsh Government in the next financial year has been announced.

- RUTH MOSALSKI

There is an average 2.7% funding increase and no council receives less than a 2.3% increase compared to last year.

The council which gets the biggest rise in funding is Newport, which gets 4.3% more than last year.

Newport's overall population has risen, and school age population, which have both seen it get more this year.

In total, councils will receive £6.4bn from the Welsh Government next year.

Councils in Wales get money from a range of places, but the biggest is the Welsh Government's revenue support grant, which is determined on a needs-based formula. In 2024-25 that was 44% of council funding. There are then grants (24%) and non-domestic rates (11%) A fifth of funding in that year (20%) was from council tax, and 1% of funding was from reserves.

In Wales, councils fund education (38%) of their budget in 2024-25, social services (29%), council housing (10%), as well as environmental services, planning, libraries and culture, debt financing and roads.

Welsh local government minister Jayne Bryant, said it will mean £6.4bn is given to Wales' 22 councils from the Welsh Government to spend on delivering key services.

There is an average 2.7% funding increase and no council receives less than a 2.3% increase. A review of the way funding is determined is being taking place, Welsh Government say.

The total received by every council next year:

Cardiff: £704.2m

RCT: £547.5m

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