Caerphilly County Borough Council has unveiled its draft budget proposals for 2025/26.
The plans are part of ongoing efforts to address a £47 million shortfall in finances over the next three years.
The council’s cabinet is set to review a draft budget report on January 19, ahead of a public consultation period to gather community feedback.
Councillor Sean Morgan, leader of the council, said: “The council continues to explore ways to achieve savings to plug an unprecedented gap in our budget.
“A number of key savings proposals have already been progressed in 2024 and I want to encourage the community to continue to have their say and help shape further decision-making over the coming months.”
The report includes a proposal to make a one-off use of council reserves in 2025/26, amounting to £4.3 million.
Caerphilly currently has healthy reserves, most of which are earmarked for specific schemes.
However, a small portion of the funds can be used as a contingency if necessary.
Other permanent and temporary savings amounting to £21.4 million have also been identified to help balance the budget for 2025/26.
Councillor Eluned Stenner, cabinet member for finance, said: “The one-off use of reserves and temporary savings provides a short-term fix and will buy us more time to reshape our services through our transformation programme and address the significant financial challenges that lie ahead.”
The draft report also recommends a 7.9 per cent increase in council tax for 2025/26.
This would raise the Band D precept from £1,446.37 to £1,560.63, an annual increase of £114.26 or a weekly increase of £2.20.
Councillor Stenner added: “I would like to assure residents that we are doing everything possible to protect the many key services that support our communities 24/7.”