URL: https://democracy.croydon.gov.uk/ieDecisionDetails.aspx?ID=2652

Decision Maker: Cabinet

Outcome:

Is Key Decision?: Yes

Is Callable In?: Yes

Purpose: This report requests approval by Cabinet to recommend to Council the budget proposals and council tax proposals for the Budget 2026-27 and Medium Term Financial Strategy 2026-30.     The Budget 2026-27 and Medium Term Financial Strategy 2026-30 following Cabinet, is to be submitted to Budget Council 25 February 2026

Content: This report requests approval by Cabinet to recommend to Council the budget proposals and council tax proposals for the Budget 2026-27 and Medium Term Financial Strategy 2026-30.     The Budget 2026-27 and Medium Term Financial Strategy 2026-30 following Cabinet, is to be submitted to Budget Council 25 February 2026 For the reasons set out in the report and its appendices, the Executive Mayor and Cabinet AGREED to:   2.1       Approve the responses to the Scrutiny and Overview Committee recommendations (to follow publication of this report) on the budget proposals as set out in paragraph 7.3.   2.2       Note the Council’s request for Exceptional Financial Support (EFS) in the form of a Capitalisation Direction from the Ministry for Housing, Communities and Local Government (MHCLG) of up to £119m for 2026-27, decreasing to £69m by 2029-30.   2.3       Propose to Full Council for approval the budget proposals set out throughout this report.   2.4       Propose to Full Council for approval an increase in the Croydon element of the 2026-27 Council Tax of 4.99% (including the Adult Social Care precept levy of 2.00%).   2.5       Note that the Greater London Authority (GLA) will be meeting on 26th February 2026 to agree the GLA element of Council Tax (i.e. GLA precept) and this is a day after the Full Council budget meeting scheduled for 25th February.   2.6       Owing to paragraph 2.5 above, recommend to Full Council the establishment of a special Council Tax Setting Committee to meet following receipt of the GLA precept and to agree the final Council Tax calculation and within the remit approved by Full Council.   2.7       Propose to Full Council for approval the setting of the Council’s own total net expenditure budget for 2026-27 at £485.401m.   2.8       Propose to Full Council for approval the Reserves Policy set out in Appendix G.   2.9       Propose to Full Council for approval that the Corporate Director of Resources be authorised to collect and recover National Non-Domestic Rate and Council Tax in accordance with the Local Government Finance Act 1988 (as amended) and the Local Government Finance Act 1992.   2.10    Consider the statement (Appendix F of the Report) of the Corporate Director of Resources and S151 Officer, under Section 25 of the Local Government Act 2003, regarding the adequacy of reserves and robustness of estimates.   2.11    Propose to Full Council for approval that the Council Tax Support scheme (statutory local Council Tax reduction scheme) under Section 13A(2) of the Local Government Finance Act 1992 is not changed from that agreed by Full Council resolution on 6th March 2024 and endorsed without change by Full Council resolution on 26 February 2025.   2.12    Consider the responses to the statutory consultation with businesses on the budget proposals and referred to in Section 7 of this report.   2.13    Consider and have due regard to the equalities impact assessment undertaken on the budget proposals as set out in Appendix H.

Date of Decision: February 11, 2026