Key spending priorities for year ahead shared in draft budget
Draft proposals outlining our spending priorities for 2025/26 and plans to provide long-term protection of key services have been published.
Each year, the council must set a legally balanced budget, and the draft proposals shared today not only include a balanced budget for the next financial year, but also steps to safeguard key services in the long term.
The report, which has been produced by our Cabinet and senior officers amid a challenging time for local government finances throughout the UK, identifies our key areas of investment and spending priorities for 2025/26 alongside necessary savings.
Well-run services delivered by a responsive council
These investments reflect our Council Plan, which focuses on creating a fair, inclusive and healthy city that people can be proud of and thrive in, with well-run services delivered by a responsive council.
Spending priorities include more than £24million to support temporary and emergency accommodation for people made homeless; the freezing of parking charges in the city; launching a food waste collection service, and investing further in adult and children’s social care, special educational needs and home-to-school transport.
We have also committed to keeping all public toilets open.
Major investment planned for housing
Our housing budget will see more than £30million of capital investment in new or purchased housing, more than £23million to improve the quality of local housing and £13million to improve the safety of council housing.
Savings identified in the report successfully address a predicted budget shortfall of just under £16million, allowing the council to present what would be a legally balanced budget and protect services beyond the next financial year.
If the plans are approved, our share of Council Tax would increase by 2.99%, along with an Adult Social Care precept of 2%, reflecting the financial pressures created by growing demand in this area of service.
Value for money
Steps to ensure we are receiving maximum value for money from external contractors have also been identified, with much of the financial pressure we are facing resulting from increased demand and cost in statutory areas.
The draft budget will go before our scrutiny committees on 7 February and Cabinet will then finalise proposals on 13 February.
A vote will be taken by all councillors at Budget Council on 27 February.
A difficult task
Councillor Jacob Taylor, Cabinet member for Finance and City Regeneration, said: “Local government continues to face a challenging financial picture, and balancing the budget is always a difficult task for any council, particularly when considering any impact on services and staff.
“However, we are pleased to be publishing a budget that directs significant investment into areas that the public want to see prioritised: tens of millions of capital into housing, £1.2million to finally introduce food waste recycling in the city, and a freeze on parking fees for the first time in years.
“Additional government funding, and our determined efforts to control costs and demands, have relieved some of the financial pressure – but some savings and efficiencies will still need to be made to set a legally balanced budget.
“The government will be consulting on local government finance reform in the spring, but in the meantime, this council will take every step possible to protect priority services for the long term and continue delivering for the people of this city.”