Despite an increase in funding, the authority has said it will still have to meet a budget shortfall
Neath Town Centre (Image: John Myers)
Residents in Neath Port Talbot could see a 3.5% rise in their council tax bills from April after a planned increase was announced in the council’s draft budget for the 2026-27 financial year.
If approved the proposals would deliver a revenue budget worth over £420m to support frontline services such as education, social care, refuse collection, and highways maintenance across the county borough.
Following the provisional settlement from the Welsh Government in December, 2025, Neath Port Talbot’s budget will increase by 4.2%, providing the council with an extra £13.5m of funding. Stay informed on everything Neath Port Talbot by signing up to our newsletter here
However, officers have said this will still leave them with an overall budget shortfall which will have to be met by a number of saving measures and income-generation proposals.
Some of the measures could include reducing the use of bed and breakfast accommodation for the homeless through the purchase of properties as well as continuing with a previously-agreed transformation programme for adult services.
Others could see the operating subsidy for the former Metal Box premises in Neath removed along with a rollout of heating controls across the council’s portfolio.
Additionally, increases of £10 could be seen for bulky household waste collection charges as well as an increase in planning fees, charges associated with cemeteries, and changing food waste bags from biodegradable to 100% recycled plastic.
The council is also proposing a 3.5% council tax increase which they say would be the equivalent to an extra £1.15 each week on average.
A council spokesman said: “While the council welcomes an increase in funding from Welsh Government it still leaves the council with a budget shortfall of £16.623m.
“As a result of changes to the local government pension scheme contribution and thanks to the identification of more than 40 savings and income-generation proposals the council has managed to reduce this shortfall to £2.802m.
“These proposals include improvements in leisure, arts, and environmental services as well as invest-to-save projects in areas such as energy efficiency and utilities.”
They added: “If approved, the proposals will deliver a record investment in schools and millions of pounds for other vital frontline services such as maintaining roads and social services.
“The draft budget includes an additional £7m earmarked to support pupils with additional learning needs and a further £330,000 allocated for building maintenance, including work on school facilities.”
Councillor Simon Knoyle, who is the cabinet member for finance, performance, and social justice, added: “We have worked hard to ensure this proposal is the lowest council tax increase for a number of years and I would encourage everyone to have their say during the consultation period.
“This budget reflects not only a record investment in education but also a comprehensive commitment to supporting all residents.”
The proposals will now be presented to cabinet members for a discussion on January 15, 2026, ahead of a consultation period and a final decision.
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