Monmouthshire County Council is forecasting a budget shortfall of £3.4 million in the current financial year.
It said the main areas of sustained pressure are the demand for ‘expensive and very complex’ social care placements, children’s additional learning needs, and home to school transport costs increasing due to a challenging transport market.
The council has outlined a range of measures to tackle the budget pressure being experienced. However, there remain specific budgetary risks for the remainder of the financial year that have the potential to further negatively impact the budget position it said, including most notably the sustained level and complexity of demand being experienced.
Cabinet Member for Resources, Cllr Ben Callard, said:
“This forecast is incredibly challenging. The pressures on public services are greater than ever and local government is at the front line in dealing with those pressures. The number of people with high levels of complex needs that we support is at a historic high and continues to increase. We have a lot of work to do to mitigate the pressures and to end the year without recourse to limited one-off reserves.
“I am mindful of the even greater challenge for next financial year with an indicative budget gap of £11.4 million, which will require a structural rather than one-off solution which Cabinet is committed to purposefully engaging with residents on”.
Cllr Mary Ann Brocklesby, Leader of the Council, said:
“I am grateful for the work already done in highlighting the issue that has to be faced for the remainder of the financial year. Providing high quality local services that prevent people falling into crises remains vital, as is adequately supporting those already accessing council services. Given the budgetary context, this is no easy challenge, and we must give ourselves the time to construct a thoughtful and robust response to it.”
