Protecting frontline services while balancing the books

A person writes notes next to a calculator and a receipt

The council again faces challenges in setting a balanced budget while maintaining the services residents rely on.

Initial budget proposals for 2023/24 have today (Wednesday 4 January) been agreed by the council’s executive. Plans include:

  • £275m for adult care and community wellbeing
  • £84m for children’s social care
  • £47m for highways
  • £22m for Lincolnshire Fire and Rescue

The council continues to improve efficiency through the use of new technology and a reduction in bureaucracy and expects to save £11.5m in 2023/24 as a result. In addition, it expects to save a further £11.8m between 2024/25 and 2026/27.

The proposals include three options for a rise in council tax of between 3% to 5%. Despite this, and additional government funding, the council will still need to use between £3.4m to £10.3m from its reserves to balance the budget, based on current projections.

Cllr Martin Hill OBE, leader of Lincolnshire County Council, said: “Like households across the country, the council is facing steeply rising costs because of inflation, especially for road repairs. We also continue to see increasing demand for services, particularly adult care and children’s services.

“Thanks to our careful financial management over recent years, we are better placed than some to meet this challenge. However, we will again have to make difficult decisions in order to both balance the books and protect frontline services.

“We continue to find smarter ways of working, which we estimate will save more than £23m over the next few years. In addition, the government has recognised the pressures faced by local councils, and is providing some extra funding, including around £19m for social care.

“However, despite this additional money, we will need to draw on our reserves again. We have also taken the difficult decision to propose an increase in council tax. We realise that household budgets are already under pressure, but this is a vital step for ensuring the council’s long-term financial stability.

“We’ll continue to push government for long-term solutions to the major issues facing local councils. It’s vital that we start to see progress on fairer funding, the resetting of business rates and plans for making adult care more sustainable. We will also continue to work towards a devolution deal for Greater Lincolnshire, giving local authorities more control over funding.”

Final proposals will be agreed by the council’s executive at their meeting on Tuesday 7 February before the 2023/24 budget is set by the full council on Friday 17 February.

People will be able to share their views on the budget proposals at www.letstalk.lincolnshire.gov.uk from Thursday 5 January.

Published: 4th January 2023