Council must cut £23m in services, raise council tax, and end free parking to avoid a section 114 notice next year.
The 2025/26 budget includes service cuts. Free parking will end, and job hiring will slow. Spending on agency staff will also decrease. Council tax will increase by 4.99%, meaning a £100 annual increase for many.
Rob Manning said savings are crucial. Failing to save means a Section 114 notice. That notice signals near bankruptcy for the council, leading to government control via commissioners. Commissioners cut unnecessary council spending.
Temporary housing is a huge expense with 1,587 families needing this service now, straining the budget. Council reserves dropped significantly last year, falling from £91.7m to about £55.7m, and may drop to £46.7m next year.
The council received £99.9m from the government. Ursula Gamble said this was decent funding, but noted the council relies on residential tax. Inner London gets more from business taxes.
The council reduced council tax support. Some low-income residents will pay more, up to 43% of the bill instead of 15%.
Scrapping free parking will bring in money, with the council hoping for over £1.5m. Chingford residents worry about businesses and dislike losing the 15-minute free window.
A center for disabled adults may close. The council wants “people-based services.” This Markhouse Centre closure is delayed while the council reviews independent assessments, and it will go back to the cabinet in March.
Councilors must approve the 2025/26 budget. They vote on February 27th and new council tax rates start April 1st.