Newcastle-under-Lyme Borough Council is working to balance its budget for 2027/28 while managing long-term financial pressures, the authority announced on 8 September 2026.
The Council's updated Medium Term Financial Strategy forecasts a £777,000 funding gap for next year. Financial pressures include inflation, borrowing costs, and higher expenses for utilities, contractors, supplies, services and staffing.
The Council is also dealing with uncertainty around future Government funding and the potential financial impact of Local Government Reorganisation (LGR). It currently holds £400,000 in a dedicated reserve for LGR-related costs, with a further £200,000 provided for in the 2027/28 budget. The position will continue to be monitored as the Government reviews its proposals for Local Government Reorganisation in Staffordshire and Stoke-on-Trent.
Savings achieved so far
The Council reported that £1.599 million of savings identified for 2026/27 have been achieved or are on target. These include measures from the previous administration alongside decisions taken during the current financial year.
Budget development underway
A Budget Strategy Board, chaired by Council Leader Jonathan Gullis, is overseeing development of the 2027/28 budget. The new administration is reviewing existing spending assumptions and priorities, focusing on reducing unnecessary expenditure, increasing commercial income, and making better use of Council assets.
Cllr. Martin Rogerson, Cabinet member for Legal, Governance and Organisational Performance, said: "The Council has a duty to provide value for money services and to look after taxpayers' money responsibly. We are taking a long-term approach to our finances, not simply looking at how we balance next year's budget but how we put the Council on the strongest possible footing for the years ahead."
Initial draft savings proposals will be presented to Cabinet and the Finance, Assets and Performance Scrutiny Committee in December as part of the budget consultation process.
