Decision details

Declarations of interest for this item:

None

RESOLVED:

That Cabinet:

1.    Noted the Council’s current financial position as set out in this report which builds on the work undertaken since the previous report to Cabinet in July 2025. 

2.    Noted the proposed new savings, pressures and capital programme changes for 2026/27 – 2030/31 (Appendices 1 to 6).

3.    Noted the current estimated budget gap for 2026/27 and the remaining period of the Medium-Term Financial Strategy (MTFS) and the key changes since the last update in July 2025 (Section 13.5).

4.    Noted the new risks and uncertainties in Section 15. 

5.    Noted that the General Fund Revenue Budget, Capital Strategy, Capital Programme, HRA 2026/27 Budget and Business Plan and Treasury Management Strategy Statement will be presented to Cabinet on 11 February 2026 to be recommended for approval to the Full Council meeting taking place on 3 March 2026.

6.    Approved the launch of consultation on the revenue budget proposals and proposed changes to the capital programme as set out in this report.

Reasons for decision

The Council has a statutory obligation to set a balanced budget for 2026/27 and this report forms a key part of the budget setting process by setting out the approach to delivering this and a refreshed Medium-Term Financial Strategy (MTFS).  It also highlights key updates in terms of funding, expenditure, risks and issues since the last report in July 2025.  The final budget for 2026/27, Council Tax levels, Capital Programme, Treasury Management Strategy, Housing Revenue Account (HRA) budget and Business Plan will be presented to Cabinet on 11 February 2026 for recommending to Full Council on 2 March 2026.

Alternative options considered

The Cabinet must consider how to deliver a balanced 2026/27 budget and sustainable MTFS over the five-year period 2026/31, to be reviewed and adopted at the meeting of Full Council on 2 March 2026.

This report is a key tool in achieving this because it sets out the approach, scope and timetable to delivering the 2026/27 Budget.