URL: https://democracy.crawley.gov.uk/ieDecisionDetails.aspx?ID=810

Decision Maker: Cabinet, Full Council

Outcome:

Is Key Decision?: Yes

Is Callable In?: Yes

Purpose: The report will set out future financial projections along with the policy framework for improving financial efficiency and meeting the long term investment needs of the Town, as well as proposals for the annual budget process.

Content: RESOLVED   That Full Council be recommended to:   a)               acknowledge the following key factors within the Budget Strategy 2026/27– 2027/28 as set out in report FIN/706a:   i.                   the Budget is aligned to the Council’s Corporate Priorities.   ii.                 the outline two year forecast as shown in table 2 paragraph 6.1 of report FIN/706, this is likely to be subject to significant change depending on the outcome of the Local Government Finance Settlement for 2026/27 due to the redistribution of Government Funding from the Spending Review 2.0.   iii.               the forecast budget deficit of £2.439m for 2026/27 (section 6.2) is based on a Council tax increase of 2.99% which is £7.15 for a band D equivalent.  Table 2 (section 6.2 of report FIN/706a) highlights the budget gap modelling different assumptions.    iv.               the forecast does not include any fundamental changes in service delivery as these would be too speculative in nature at this stage.   v.                 there are significant uncertainties around Government funding prior to the provisional Local Government Finance settlement in December due to the unknown outcome of the Spending Review 2.0.   and approve:   b)                the Budget Strategy 2026/27 to 2027/28 and overriding principles as set out in section 6 of report FIN/706a.   c)                the minimum recommended General Fund Balance remains at £3m.   d)                the Flexible Use of Capital Receipts Strategy 2025/26 contained within Appendix C of report FIN/706a (paragraph 8.4 refers).     Reasons for the Recommendations   To agree the Council’s Budget Strategy for 2026/27 to 2027/28 including the assumptions made which will set the budget parameters for 2026/27.   The 2026/27 General Fund and Housing Revenue Account Budgets and the revised capital programme will be set by the Full Council in February 2026.  The Treasury Management Strategy and Capital Strategy will be considered at the same meeting.    To note that until the provisional Local Government Finance Settlement is published in December 2025 these projections are highly likely to change.  

Date of Decision: October 8, 2025