Budget Consultation 2024

Overview

Each year, the council is legally required to set a balanced budget. In recent years this has become more difficult. Like all local authorities, Sandwell Council faces significant financial pressure from the rising demand for services at the same time as costs are going up due to inflation.

It has been calculated that there is a £4 billion gap between the amount of money available for local councils in England and the amount that would be needed to maintain services at their current level. In the West Midlands that shortfall is £200 million across seven local councils, with every part of the region seeing increased pressure on our budgets to support vulnerable adults and children.

Sandwell is not yet facing the extreme financial difficulties that some other local authorities are already facing. However, with the rising demand for our services we know that we must continue to manage our finances responsibly to avoid falling into these difficulties.

Why your views matter

The Consultation Proposals

As a result of inflation and the increase in demand for some of our essential services we face a gap of £20 million in our budget for 2025/26. This gap must be filled and this can be done by reducing our spending on some things, increasing our income, or a combination of both.

This consultation sets out the proposals we are considering ahead of setting our budget in February 2025.

There are still several things we do not know, including the amount of money we will receive from central government. It is important that we know what you think about these proposals when we come to make final decisions as we set our budget.

We must meet our legal duty to set a balanced budget so will be required to make decisions that ensures our planned spending matches our income from a range of sources.

We are highlighting the following proposals because of their potential impact on residents and those who use these services.