4. What assessment has the Minister made of the financial effect of COVID-19 on local authorities in Wales? OQ56630

My ministerial colleagues and I have had regular discussions with local government leaders on the effect of the pandemic, including the financial impacts. Welsh Government officials have worked with local government finance directors to understand the sector’s needs, and we've responded with significant support, with funding of more than £1 billion. 

Thank you, Minister. I'd like to take this opportunity to thank local council workers for going above and beyond during the pandemic. Rhondda Cynon Taf's budget hasn't only been hit by the costs of COVID—we also have a bill of £12 million for the landslide remedial works in Tylorstown, and let's not forget millions to enhance culverts and drainage systems following the dreadful floods.

Our forefathers in Rhondda worked their fingers to the bone to make this country rich, many paying the ultimate price of coal. It wouldn't be fair to expect our communities to cover the costs to make our coal tips safe. I was proud to stand on a manifesto that committed to a coal tip safety Act, and I welcome the support from both Welsh Government and the UK Government for the work so far. Will the Minister continue to work closely with UK Government Ministers to ensure we receive the much-needed financial support?

I'd like to echo Buffy Williams's admiration and thanks for local government workers who, as she said, have gone absolutely above and beyond through the course of the pandemic, and keep doing so as we try and move through this current period as well.

It is absolutely the case that communities such as the one Buffy represents have played an incredibly important part in our history, and sacrificed a great deal as a result of it. The coal tip legacy that we have here in Wales is exactly that—it's a legacy, and it's something that the UK Government also needs to play its part in helping resolve. There is a large piece of work going on that looks at coal tip safety across Wales and coal tip remediation, to explore what work needs to be done there, but that work, I have to say, is a huge piece of work. It will span 10 years and it will take a lot of financial resources, too, so we are trying to work with the UK Government to secure funding to support us with that work. The First Minister wrote to the Prime Minister on 19 March proposing ways that we could move forward on that. He is currently awaiting a response, but it's something that we will continue to press the UK Government to work with us constructively on. 

Let me join also in paying tribute to the hard work of local authorities during this time, and pay credit to all the efforts made by those at the front face of this, but also to those behind the scenes in those support services who have been doing things like balancing the books to ensure that the services have been able to continue and support our communities. 

One of the issues this pandemic has shone a light on is the preparedness of governments at all levels for events of national crisis and significance. So in light of this, what funding will you make available to local authorities to enable them to be fully prepared for similar events in the future?

Thank you for raising this issue. We do have a civil contingencies unit within the Welsh Government, and work is under way to examine the preparations and planning of all parts of Welsh Government in terms of what we need to do alongside partners for future pandemics, learning from our experiences during this one. Of course, funding forms part of those considerations, but it is dependent on the upcoming comprehensive spending review in terms of providing that certainty through multi-year budgets. I do think, moving forward, we have really, really strong foundations on which to build. The work that we've done in partnership with local authorities and through our support in the local government COVID hardship fund has really been, I think, exemplary in many ways in terms of meeting local communities' needs. So, we'll need to find ways in which we can continue to build on what we have so that we are ready for anything that requires a civil contingencies response. Of course, we fervently hope that there is not another pandemic, but absolutely, we need to prepare for everything. 

COVID has undoubtedly had a big impact on public finances and local authorities have been no exception. The way in which the public sector has come together and given up resources to help in the fight against the pandemic has been inspiring. I'm also aware that some councils in Wales have been unable to spend some of their budgets, as operations have ceased or been curtailed in certain sectors. For example, I'm aware of some community councils who have built up significant reserves as the things that they normally spend money on, they haven't been able to because those have been on stop. Is there any advice that this Government can issue to councils, whether it county or community, about the use of reserves in mitigating against the impact of reduced income in other areas, and easing the burden on council tax payers? 

Thank you for raising that important issue. We've been really conscious of lost income for local authorities in particular and, as a result, Welsh Government has provided £190.5 million to support local government in terms of lost income. And that includes lost income from adult social services for which they would normally make a charge, other services such as planning where they might look to make income, services such as theatres, which lots of local authorities run, and catering services, and so forth. So, we worked really closely with local government, and that figure of £190.5 million was identified. And we were able to provide the support there to meet that cost. And we've also provided additional funding for local government to recognise the fact that they have not been able to collect all of the council tax that they would have normally collected as well. So, we've been able to support local authorities in that respect.

Of course, if there is additional income now in reserve, I think it could be an opportunity for local authorities and those local town and community councils to be considering what their contribution might be as we move into the recovery, and what their own local communities are telling them that they would like to see that investment in.