Carmarthenshire Labour Calls for Fairer Investment and Long-Term System Re-design in 2026/27 Budget
By
Plaid Cymru and Independent Led Administrtaion
Carmarthenshire Labour has confirmed it will abstain on the County Council’s 2026/27 revenue budget while raising significant concerns about the authority’s proposed Capital Programme, warning that while short-term stability has been achieved, the Council must now address deeper structural and geographic inequalities in investment.
The Labour Group has welcomed new national investment for Wales — including over £120 million in additional capital funding to support infrastructure, schools, transport and regeneration — and recognised the importance of this support from the UK Labour Government working with the Welsh Government to stabilise local services.
Labour councillors also acknowledged positive allocations within the local programme, including funding for care provision, disabled facilities, environmental improvements and the demolition of the former Llanelli Leisure Centre to prevent further deterioration.
However, the Group says the County’s overall capital strategy does not yet deliver a fair or balanced approach across Carmarthenshire’s communities.
Concerns Over Uneven Investment
Cllr. Kevin Madge highlighted what Labour see as insufficient capital investment in areas such as the Amman Valley, Gwendraeth Valley and other rural and post-industrial communities, stressing that regeneration funding must be used to generate employment, housing opportunities and revitalised town centres.
The Group has also questioned whether the £1 million allocated for flood mitigation is adequate given increasing climate pressures.
“Climate resilience is no longer optional infrastructure — it is essential protection for our communities,” Councillor Madge said.
Questions Over Major Projects
Labour has called for greater transparency surrounding rising costs linked to the Debenhams redevelopment in Carmarthen. Councillors are seeking clarification on project management decisions, long-term liabilities and future operating costs to ensure value for money for the public purse.
Long-Promised Education Projects Still Missing
The Group has expressed frustration that previously announced school developments — including Heol Goffa and Ammanford — remain absent from the current five-year capital programme despite funding having been identified within the Modernising Education Programme.
“Communities cannot be asked to wait indefinitely for projects that have already been promised.”
Budget Supported for Stability — But Modernisation Cannot Wait
Labour says the 2026/27 revenue budget has been made possible by a one-off £5 million contribution from the Dyfed Pension Fund alongside additional national support, helping to keep council tax increases broadly in line with the cost of living.
But Labour warns this does not resolve the Council’s underlying financial pressures, including recurring overspends in Children’s Services and Adult Social Care, rising demand in Additional Learning Needs provision, and the continued reliance on post reductions as a form of efficiency.
Labour Group Leader Cllr Deryk Cundy said:
“This is not a failure of staff — our workforce is our greatest asset. The challenge lies in how the system itself is organised. Too many services still operate in silos, with duplication, late intervention and escalating costs.”
A Call for Whole-Council Transformation
Carmarthenshire Labour is proposing a whole-service review of the Council’s approximately 750 services, using national audit evidence to redesign delivery around integration, prevention, and better use of data and technology. Independent audit bodies consistently show that structural reform can improve outcomes while reducing long-term cost pressures.
“Leadership is not about surviving the year,” Cllr Cundy added. “It is about securing the decade. We will not vote against a budget that protects services today — but we cannot endorse a strategy that leaves tomorrow unchanged.”
Towards a More Balanced Future
While supporting elements of the current programme, Labour says future capital investment must be geographically fair, economically focused and aligned with long-term service reform.
The Group has pledged to continue constructive scrutiny of spending decisions to ensure public money delivers sustainable benefit for residents across the whole of Carmarthenshire.
