Cheshire East Council puts forward plans to protect services and work towards financial sustainability

Cheshire East Council has set out a package of plans to protect essential services and work towards putting council finances on a sustainable footing for the long-term.

The plans – recommended by corporate policy committee and now going to full council on 25 February – include:  

• A proposed council tax increase of up to 4.99 per cent 
• A range of savings, income and growth proposals across services, and 
• A request for additional Exceptional Financial Support (EFS) from government. 

These measures are designed to help close a significant funding gap driven by rising demand for children’s and adult’s social care, inflation costs and national funding changes. 

At full council, councillors will consider the recommendations and the supporting information, including feedback from recent public consultation and engagement. If approved, the full council decision will set council tax and finalise the council’s budget for the year ahead.  

Councillor Nick Mannion, leader of Cheshire East Council, said:

“These plans are deliverable, albeit challenging, and they reflect the scale of the pressures facing councils nationally.  

“We must be committed across the council to deliver them, including accelerating the delivery of our improvement and transformation plan to put us on a stable and sustainable financial footing and improve outcomes for residents. This is why budget proposals include investing £20 million over three years to enable transformation, modernising systems and new ways of working, and £20 million for children’s services improvement 

“Our focus is on stabilising our finances and protecting essential services, especially for our most vulnerable residents, and ensuring we meet our legal duty to set a balanced budget.” 

Councillor Michael Gorman, deputy leader, added:

“No single measure can resolve the financial pressures we face.  

“Councillors will be considering a 4.99 per cent increase in council tax, which is a tough decision, and we know that any increase has an impact on household budgets. Council tax support is available from the council for households on a low income.  

“A 4.99% increase would bring council tax levels in Cheshire East closer to the higher levels we see in similar unitary councils, like our neighbours in Cheshire West and Chester. This increase would not close the gap on its own, but council tax is the biggest contributor to funding for council services, so we need to give it serious consideration.

“Thank you to everyone who responded to our budget engagement campaign – your views and ideas will help shape the decisions before us as we work through the available options to deliver a sustainable financial position with transparency and responsibility.” 

Councillor Nick Mannion continued:

“Exceptional Financial Support from government means having permission to borrow or use capital receipts from sale of assets to close the funding gap. Borrowing brings with it additional costs in the longer term, so, it would be a short-term option to give us more time to build long-term financial sustainability.   

“We need to look at all the options to close the gap. That's the decision before council on 25 February.” 

Cheshire East Council delivers more than 400 services to around 400,000 residents, many of which support vulnerable people and are less visible than services such as waste collection and libraries, but essential to daily life. 

Papers for the full council meeting on 25 February are available on the council’s website.