The Carmarthenshire County Council meeting on 25 February 2026 focused heavily on the approval of the Revenue Budget Strategy for 2026/27 to 2028/29 and the Five-Year Capital Programme for 2026/27 to 2030/31. Key decisions included approving a 4.9% Council Tax increase for 2026/27, adopting the capital programme and its associated strategy, and approving the Treasury Management Policy and Strategy for 2026-27. The Council also formally noted the findings and accepted the recommendations of the Carmarthenshire Panel Performance Assessment (PPA) report.

Revenue Budget Strategy 2026/27 to 2028/29

The Council approved the Revenue Budget Strategy for 2026/27, which included a 4.9% increase in the Band D Council Tax, setting it at £1,830.97. This decision followed extensive public consultation, which received over 1,200 responses. The additional funding secured through a Welsh Government budget deal, alongside savings from the Dyfed Pension Fund, allowed the Council to remove some proposed savings, increase investment in key services, and reduce the planned Council Tax rise from an initial 6.5%. Specific investments were earmarked for highways maintenance, Welsh in Education, modernising education, property maintenance, and youth services. The Medium-Term Financial Plan was also approved, outlining the need for further savings of £4.5 million in 2027/28 and £5 million in 2028/29 to achieve balanced budgets.

Five-Year Capital Programme 2026/27 to 2030/31

The Council approved a five-year Capital Programme totalling £149.7 million. The programme for 2026/27 is fully funded, with a projected gross expenditure of £68 million. Significant investments are planned across various departments, including £25 million for schools and children's homes, £13 million for Disability Facilities Grants, £15 million for Social Services (including a new care home), £30 million for Economic Development, and £56 million for highways and recycling infrastructure. The programme also includes £4 million for digital infrastructure and £6 million for a corporate investment fund. While the first year is fully funded, a shortfall of £1.31 million is projected for years two to five, requiring future identification of funding or adjustments to the scope of investments. Key projects include the continuation of the Pentre Awel development, the relocation of Llanelli Market, and significant investment in highway maintenance, flood mitigation, and decarbonisation measures. The Capital Strategy, which outlines the framework for capital expenditure and investment decisions, was also approved.

Treasury Management Policy and Strategy 2026-2027

The Council approved its Treasury Management Policy and Strategy for 2026-27, along with associated indicators and the Minimum Revenue Provision (MRP) Statement. This strategy governs the Council's borrowing, investments, and cash flow management, with a primary focus on safeguarding principal sums, ensuring adequate liquidity, and optimising investment returns. The policy sets out strict criteria for investment counterparties, primarily relying on credit ratings from Fitch, Moody's, and Standard & Poor's, with specific limits for different categories of institutions and investment types. The strategy also outlines the Council's borrowing approach, aiming to maintain an under-borrowed position and carefully monitor interest rates for opportunities. The Minimum Revenue Provision Statement details the approach to repaying accumulated capital expenditure, with different methods applied to supported borrowing, unsupported borrowing, and Housing Revenue Account capital.

Carmarthenshire Panel Performance Assessment (PPA) Report & Council Response

The Council formally noted and accepted the findings and recommendations of the Carmarthenshire Panel Performance Assessment (PPA) report. The PPA, conducted between 10-13 June 2025, concluded that Carmarthenshire is a well-run and values-based organisation with strong and visible leadership at political and Officer level and has an awareness of its key challenges. The Council fully accepted the report's conclusions and committed to implementing all recommendations. These recommendations focus on strengthening preventative work in children's services, enhancing financial planning, revitalising the transformation programme, and improving education and schools. The Council's response outlines planned actions and timescales for addressing these areas, including maximising funding for prevention, integrating services with public sector partners, establishing a Transformation Reserve, and reviewing school budget deficits and the modernising education programme.

Notice of Motion: Wind and Solar Farms

A Notice of Motion submitted by Councillors Alex Evans and Tyssul Evans concerning the potential closure of Meddygfa'r Sarn GP surgery was supported. The motion calls for formal letters to be sent to the Cabinet Secretary for Health and Social Care and the Chair and Chief Executive of Hywel Dda University Health Board. These letters will express serious concerns about the potential closure, its impact on patients and neighbouring practices, and the adequacy of engagement. They will also seek explanations regarding Welsh Government's plans for GP recruitment and retention and request the urgent publication of Health and Equality Impact Assessments before any final decision is made on the future of Meddygfa'r Sarn.

Other Business

The Council also approved changes to committee memberships, with Councillor Russell Sparks nominated to the Education and Young People Scrutiny Committee, and Councillors Darren Price nominated to the South West Wales Corporate Joint Committee Overview and Scrutiny Sub Committee and the Mid and West Wales Fire and Rescue Authority. The minutes of the Cabinet meeting held on 26 January 2026 were received.

The meeting also included a question from Councillor John James to Councillor Carys Jones regarding the consistent use of the circumflex accent in the Welsh language within the county, to which Councillor Jones outlined existing strategies and offered to address specific examples.

The Council resolved to proceed with the publication of statutory notices for proposals to change the age range of Cwrt Henri, Llanybydder, Tumble, and Y Ddwylan schools from 4-11 to 3-11, and to reconfigure nursery provision in Ammanford. Approval was also given for the introduction of a new Automatic Number Plate Recognition (ANPR) barrier system at Pembrey Country Park.

The Cabinet's report from its meeting on 26 January 2026 was received, and the Cabinet's recommendations regarding the Llanelli Local Regeneration Fund and land at Penprys were approved in private session.