Central Bedfordshire Council sets budget to manage £17 million funding shortfall
Friday, 6 March 2026
Central Bedfordshire Council has agreed its budget for 2026/27.
The budget sets out how we will continue to protect essential services despite significant changes in government funding and rising demand for care services.
For several years, the council has faced increasing pressure on its finances due to the growing demand for adult social care and children’s services. In 2026/27 alone, these costs are expected to rise by £9.6 million.
Thanks to strong and prudent financial management, the council had been on track to meet these pressures, remain in a stable financial position, and limit Council Tax increases to levels in line with inflation.
However, recent national government funding changes have created a £17 million financial shortfall for the coming year. As a result, the council has had to act responsibly to rebalance its position while continuing to prioritise the services residents value most.
To achieve this, the 2026/27 budget includes £27 million in efficiency measures, ensuring frontline services continue while reducing the council’s running costs.
The approved budget includes investing over:
- £320 million to deliver hundreds of essential local services, including social care, waste and recycling, libraries, leisure, planning, parking and public protection
- £130 million to maintain and build vital infrastructure such as schools and roads – notably, councillors agreed to increase borrowing, to fund more road maintenance, increasing the budget from £10 million to £14 million, in recognition of how important this is to residents
Councillor Adam Zerny, Leader of the Council, said:
We know how hard residents work for the money they hand over in Council Tax. Our job is to make sure they get the best possible value for that money.
Faced with significant government cuts, the Council has reduced its workforce by more than 150 people and has made big changes to ensure it is run more effectively.
Despite these savings, demand for social care continues to rise, and more money is needed for roads and schools. This budget reflects those priorities.
We had planned to raise Council Tax by 3% but the government cuts forced the council into a position of needing to increase it by 5%.