Press release -
Protecting services as budget is set for coming year
Bury Council has set a budget for 2026/27 which aims to protect public services while meeting major ongoing funding challenges.
The council had been forecasting a financial gap of £14m for the next financial year because of increasing costs and rising demand for intensive services such as social care, but this has been reduced to £3.9m.
This has been through a better-than-expected funding settlement from the government, alongside a number of one-off grants.
The council has also made an extensive list of savings, from smarter commissioning and contract management to reducing the cost of statutory care provision, increasing income through fees and charges, and staffing efficiencies. It will use reserves to plug the remaining gap.
Councillor Sean Thorpe, cabinet member for finance, said: “Every year we face a tremendous challenge to set a balanced budget while still providing the vital public services that people want and need.
“We received an extra £5 million from the government this year, which, with the addition of other external grants, means our financial position is not as bad as we originally feared.
“However, the underlying problem has not gone away. We are having to cope with ever increasing demand for services – particularly in social care but also seeing rising costs way above inflation.
“We can’t continually rely on the use of reserves. Without further action, the gap between our income and expenditure could rise to £21 million by 2028/29, and our reserves gone.
“It’s not a problem unique to Bury. Like councils across the land, we face increasing costs and inflation and rising demand, particularly for services for the most vulnerable.
“But we are determined to do everything we can to protect those who need our services the most, and without having to take the drastic measures proposed by some other councils. Many of the proposals contained in the budget will generate savings but crucially will also result in more positive outcomes for residents.
”It’s why we are investing in the transformation of our services, so they are more efficient and effective.
“Cllr Thorpe added: “Despite the financial challenges we face in meeting day-to-day needs, the results of our long-term investment are becoming clear for all to see. We have vibrant investment in regeneration taking place in Bury, Radcliffe and Prestwich, and plans for other parts of our borough. And on our border, the huge Atom Valley development promises to create thousands of jobs for local people.
“At last night’s full meeting of the council we also agreed a small budget amendment proposed by the Together for Bury party. This is for a £50,000 investment in a pilot scheme to encourage participation from those residents in wards not directly in the scope of regeneration or town plan initiatives of the borough. It invites proposals from residents and community groups about prioritising improvements in their areas.
“Times are tough, but there are many reasons to be optimistic too. By working together, with our residents and our many partners, we can all bring about the Bury we all want and hope for.”
In setting the budget last night (Wed 25 Feb), members agreed to increase the level of Council Tax by 2.99% for general council services, plus 2% reserved specifically for adult social care.
The council also agreed last night to increase council house rents by an average of 4.8%. This is line with government rules, which limit the rise to the rate of inflation plus 1%.
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