This week in Worcestershire:

Council Faces Critical Budget Decisions Amidst Growing Financial Pressures

Worcestershire County Council is at a critical juncture as it prepares to finalize its budget for 2026/27 and its Medium-Term Financial Plan (MTFP) for the following three years. The Council meeting on Thursday, 15 January 2026, was set to address these crucial financial matters, including the Hereford and Worcester Fire and Rescue Authority's annual report and the draft budget.

The implications for residents are substantial. The council is facing a projected budget gap of £71.9 million for 2026/27, even after proposed savings and anticipated funding increases. This significant shortfall means the council is considering requesting Exceptional Financial Support (EFS) from the government and is contemplating an increase in Council Tax above the 5% referendum limit. This could mean increased financial burdens for households across Worcestershire.

The report details that the council is facing relentless demand and cost pressures in Adult Social Care and Children's Services, which are already straining resources. The Dedicated Schools Grant (DSG) also presents a major challenge, with a cumulative deficit projected to reach £194.1 million by the end of 2026/27. This could mean reduced support for children with special educational needs and disabilities (SEND), potentially affecting their educational outcomes and overall well-being.

The council's financial strategy relies heavily on the Provisional Local Government Finance Settlement, which has been described as providing less funding than anticipated. To bridge the gap, the council is proposing savings of £9.1 million, but these may not be enough to avert the need for EFS, a temporary measure to provide time for radical change. The report also notes that Worcestershire's Council Tax is currently among the lowest for county councils, and while an increase is being considered, it could still place an additional burden on households.

The Cabinet met on 13 January 2026 to discuss these critical budget proposals, and the Full Council was set to make the final decision on 15 January 2026. The decisions made in these meetings will shape the council's ability to deliver services and support its residents for years to come.

• The Challenge: A projected £71.9 million budget gap for 2026/27.
• Potential Solutions: Requesting Exceptional Financial Support (EFS) and considering a Council Tax increase above 5%.
• Impact on Services: Increased pressure on Adult Social Care, Children's Services, and SEND provision.
• Key Meetings: Cabinet on 13 January 2026, and Full Council on 15 January 2026.

Read the full meeting details of the Council meeting.

SEND Services Under Intense Scrutiny Amidst Growing Deficit

The Children and Families Overview and Scrutiny Panel met on Monday, 19 January 2026, to examine the progress of the SEND Local Area Partnership's action and improvement plans. This comes after a joint Ofsted and Care Quality Commission (CQC) inspection in April 2024, which identified significant concerns regarding the experiences and outcomes for children and young people with SEND. The panel also scrutinized the draft budget for 2026/27, with a particular focus on the financial pressures within children's services.

The report highlights a concerning increase in waiting times for essential health services, including community paediatrics, neurodevelopmental assessments, occupational therapy, and physiotherapy. This backlog is exacerbated by high referral numbers for ADHD and Autism services. The council is investing in strategies to increase capacity, including outsourcing assessments and developing new support services, but the scale of the challenge is immense.

The financial situation is equally worrying. The Dedicated Schools Grant (DSG) for high needs is facing a substantial deficit, projected to reach £194.1 million by March 2027. This deficit could directly impact the support available to children with SEND, potentially leading to longer waits for assessments, reduced services, and increased strain on families. The panel also considered the council's overall financial position, which is described as challenging, with a reliance on reserves and EFS.

The panel's discussions are crucial in understanding the effectiveness of current improvement plans and the financial sustainability of SEND services. The outcome of these discussions will inform recommendations to the Cabinet, aiming to ensure that children and young people with SEND receive the support they need.

• The Problem: Significant concerns identified in SEND services following a joint Ofsted/CQC inspection.
• The Impact: Long waiting times for assessments and treatments, and a growing deficit in SEND funding.
• The Focus: Reviewing improvement plans and scrutinizing the 2026/27 budget for children's services.

Read the full meeting details of the Children and Families Overview and Scrutiny Panel.

Environment Act Progress Highlighted, But Concerns Over Funding and Waste Persist

The Environment Overview and Scrutiny Panel met on Friday, 16 January 2026, to discuss the implementation of the Environment Act 2021 and the council's Net Zero Carbon Plan. While progress was reported in areas like Local Nature Recovery Strategies and LED street lighting upgrades, concerns were raised about funding for environmental initiatives and the lack of a comprehensive plan for dealing with household waste.

Local Nature Recovery Strategy: A Blueprint for Biodiversity

The panel received an update on the Local Nature Recovery Strategy (LNRS), a key requirement of the Environment Act. Cody Levine, Head of Environmental Policy, explained that the LNRS aims to create a network of interconnected habitats to support nature's recovery.

The government intends to create 48 local nature recovery strategy areas so that there are no overlaps or gaps, and create a national nature recovery network through the combination of those.

The LNRS will identify priorities for nature recovery, map valuable habitats, and propose measures for creating or improving habitats. A public consultation on the draft LNRS was completed in October, with a final version expected to be considered by Cabinet in February 2026.

Biodiversity Net Gain: Balancing Development and Nature

The panel also discussed Biodiversity Net Gain (BNG), another key aspect of the Environment Act. BNG requires developers to ensure that new developments result in a measurable improvement in biodiversity.

Councillor Emma Kearsey raised concerns about ensuring that BNG is implemented effectively, particularly in rural areas. She questioned whether the council was doing enough to encourage developers to achieve BNG on-site and to import BNG from neighboring counties.

Air Quality: Addressing Pollution Hotspots

The panel received an update on Air Quality Action Plans (AQAPs) for areas with poor air quality. The actions identified as achieving the greatest benefits include electric vehicle charging infrastructure, air quality planning and policy guidance, and a countywide air quality strategy.

Net Zero Carbon Plan: Progress and Challenges

The panel received an update on the council's Net Zero Carbon Plan, which aims to make the council carbon neutral by 2050. Ruth, an officer, reported a 43% reduction in net greenhouse gas emissions since the 2009/10 baseline year.

However, increases in emissions were noted in some areas, including gas and electricity use in corporate buildings, air travel, and the council's own fleet vehicles.

Councillor Louis Stephen questioned the council's criteria for spend to save projects, asking what the acceptable payback period was for investments in carbon reduction measures.

Waste Management: The Elephant in the Room

Councillor Stephen also raised concerns about the lack of a county-wide plan for anaerobic digestion¹ to deal with the increasing amount of food waste. He argued that the council should be working now to identify suitable sites for anaerobic digesters, given the time it will take to develop them.

Councillor Concerns

Councillor Kearsey expressed frustration that the Cabinet Member with Responsibility for Environment was not present at the meeting, stating that it made it difficult to ask key questions about the implementation of the Environment Act.

Action Items

The panel agreed to request further information from the Cabinet Member on a number of issues, including:

• The council's plans for selling off land that could be used for Biodiversity Net Gain.
• The council's strategy for proactively importing BNG.
• The 10 schools identified for school streets.
• The active travel corridor for Councillor Linda Robinson's division.
• The outcome of tree felling consultations.
• The plan to achieve net zero by 2050.
• The payback period for spend to save projects.

Read the full meeting details of the Environment Overview and Scrutiny Panel.

Other Matters

• The Appointments Etc Panel met on 12 January 2026 to discuss the appointment of a new Strategic Director for Economy and Infrastructure. This is a crucial role for the county's economic development and infrastructure projects. See the meeting details.
• The Cabinet met on 13 January 2026 to discuss the draft budget and medium-term financial plan. See the meeting details.

Upcoming meetings in the next 7 days are listed below. These are included to help you inform readers about what is coming up.

• Children and Families Overview and Scrutiny Panel on Monday 19 January 2026.
• Standards and Ethics Committee on Wednesday 21 January 2026.
• Corporate and Communities Overview and Scrutiny Panel on Wednesday 21 January 2026.
• Adult Care and Well-Being Overview and Scrutiny Panel on Thursday 22 January 2026.
• Economy Overview and Scrutiny Panel on Friday 23 January 2026.
• Overview and Scrutiny Performance Board on Monday 26 January 2026.
• Corporate Parenting Board on Tuesday 27 January 2026.

This week in Worcestershire:

Council Faces Critical Budget Decisions Amidst Growing Financial Pressures

Worcestershire County Council is at a critical juncture as it prepares to finalize its budget for 2026/27 and its Medium-Term Financial Plan (MTFP) for the following three years. The Overview and Scrutiny Performance Board met to scrutinize the draft budget, highlighting a projected budget gap of £71.9 million for 2026/27. This significant shortfall, even after proposed savings and anticipated funding increases, means the council is considering requesting Exceptional Financial Support (EFS) from the government and is contemplating an increase in Council Tax above the 5% referendum limit.

The implications for residents are substantial. A failure to secure adequate funding or a significant Council Tax hike could impact the delivery of essential services, particularly for vulnerable groups. The report details that the council is facing relentless demand and cost pressures in Adult Social Care and Children's Services, which are already straining resources. The Dedicated Schools Grant (DSG) also presents a major challenge, with a cumulative deficit projected to reach £194.1 million by the end of 2026/27. This could mean reduced support for children with special educational needs and disabilities (SEND), potentially affecting their educational outcomes and overall well-being.

The council's financial strategy relies heavily on the Provisional Local Government Finance Settlement, which has been described as providing less funding than anticipated. To bridge the gap, the council is proposing savings of £9.1 million, but these may not be enough to avert the need for EFS, a temporary measure to provide time for radical change. The report also notes that Worcestershire's Council Tax is currently among the lowest for county councils, and while an increase is being considered, it could still place an additional burden on households.

The Cabinet will discuss these critical budget proposals on 13 January 2026, with the Full Council set to make the final decision on 15 January 2026. The decisions made in these upcoming meetings will shape the council's ability to deliver services and support its residents for years to come.

• The Challenge: A projected £71.9 million budget gap for 2026/27.
• Potential Solutions: Requesting Exceptional Financial Support (EFS) and considering a Council Tax increase above 5%.
• Impact on Services: Increased pressure on Adult Social Care, Children's Services, and SEND provision.
• Key Meetings: Cabinet on 13 January 2026, and Full Council on 15 January 2026.

Read the full meeting details of the Overview and Scrutiny Performance Board.

SEND Services Under Intense Scrutiny Amidst Growing Deficit

The Children and Families Overview and Scrutiny Panel is set to examine the progress of the SEND Local Area Partnership's action and improvement plans on 19 January 2026. This comes after a joint Ofsted and Care Quality Commission (CQC) inspection in April 2024, which identified significant concerns regarding the experiences and outcomes for children and young people with SEND. The panel will also scrutinize the draft budget for 2026/27, with a particular focus on the financial pressures within children's services.

The report highlights a concerning increase in waiting times for essential health services, including community paediatrics, neurodevelopmental assessments, occupational therapy, and physiotherapy. This backlog is exacerbated by high referral numbers for ADHD and Autism services. The council is investing in strategies to increase capacity, including outsourcing assessments and developing new support services, but the scale of the challenge is immense.

The financial situation is equally worrying. The Dedicated Schools Grant (DSG) for high needs is facing a substantial deficit, projected to reach £194.1 million by March 2027. This deficit could directly impact the support available to children with SEND, potentially leading to longer waits for assessments, reduced services, and increased strain on families. The panel will also consider the council's overall financial position, which is described as challenging, with a reliance on reserves and EFS.

The panel's discussions will be crucial in understanding the effectiveness of current improvement plans and the financial sustainability of SEND services. The outcome of these discussions will inform recommendations to the Cabinet, aiming to ensure that children and young people with SEND receive the support they need.

• The Problem: Significant concerns identified in SEND services following a joint Ofsted/CQC inspection.
• The Impact: Long waiting times for assessments and treatments, and a growing deficit in SEND funding.
• The Focus: Reviewing improvement plans and scrutinizing the 2026/27 budget for children's services.

Read the full meeting details of the Children and Families Overview and Scrutiny Panel.

Health Services Face Scrutiny Over GP Access and Public Health Initiatives

The Health Overview and Scrutiny Committee was scheduled to discuss critical issues surrounding access to GP appointments, including out-of-hours services, and to receive an annual review of public health initiatives. While the meeting was postponed, the information presented in the summary reveals the council's ongoing efforts to improve healthcare access and outcomes for residents.

The committee was set to receive an update on GP appointment access, noting that general practice in Worcestershire delivers approximately 5.5 million appointments annually, a 20% increase compared to pre-pandemic levels. Data indicated that Worcestershire consistently performs well in appointment delivery compared to regional and national averages, with high satisfaction rates reported in patient experience surveys. The report also detailed the progress of the Modern General Practice Access (MGPA) initiative and the operation of same-day urgent access hubs, which provided over 60,000 additional appointments between October 2024 and September 2025. The Worcestershire GP Out of Hours service, currently provided by Practice Plus Group, was also on the agenda, with information on its operation and the upcoming procurement of a new provider expected to commence in July 2026.

The annual review of public health was set to provide an update on initiatives aimed at improving health and wellbeing across Worcestershire. This included a focus on family and child health, with efforts to improve maternity health, health visiting, and school nursing. The report highlighted a year-on-year drop in low birth weights and a significant decrease in smoking rates during pregnancy. For adult health, programmes aimed at improving health behaviours and reducing preventable illness were detailed, with a significant reduction in preventable mortality rates in Worcestershire. Mental health initiatives, including suicide prevention programmes, were also to be discussed.

The committee was also due to review its work programme for the upcoming year, which includes potential topics such as dental services access, updates from the West Midlands Ambulance Service, maternity and newborn services, and cancer pathways. The postponement of this meeting means these important discussions will be rescheduled.

• Key Issues: Access to GP appointments and the effectiveness of public health initiatives.
• Positive Trends: Increased GP appointments, high patient satisfaction, and progress in areas like smoking cessation during pregnancy.
• Future Focus: Procurement of a new GP Out of Hours service provider and ongoing review of the committee's work programme.

Read the summary of the Health Overview and Scrutiny Committee meeting.

Other Matters

• The Appointments Etc Panel met on 12 January 2026 to discuss the appointment of a new Strategic Director for Economy and Infrastructure. This is a crucial role for the county's economic development and infrastructure projects. See the meeting details.
• The Environment Overview and Scrutiny Panel met on 16 January 2026 to scrutinize the draft budget for 2026/27, with a focus on environmental services, and to review its work programme. See the meeting details.
• The Corporate and Communities Overview and Scrutiny Panel is scheduled to meet on 21 January 2026 to review the draft budget for 2026/27, focusing on corporate and community services, and to discuss its work programme. See the meeting details.
• The Adult Care and Well-Being Overview and Scrutiny Panel is scheduled to meet on 22 January 2026 to review the draft budget for 2026/27, focusing on adult care and well-being services, and to discuss its work programme. See the meeting details.
• The Economy Overview and Scrutiny Panel is scheduled to meet on 23 January 2026 to review the draft budget for 2026/27, focusing on economic development and infrastructure services, and to discuss its work programme. See the meeting details.

Upcoming meetings in the next 7 days are listed below. These are included to help you inform readers about what is coming up.

• Cabinet on Tuesday 13 January 2026.
• Council on Thursday 15 January 2026.
• Environment Overview and Scrutiny Panel on Friday 16 January 2026.
• Children and Families Overview and Scrutiny Panel on Monday 19 January 2026.
• Standards and Ethics Committee on Wednesday 21 January 2026.
• Corporate and Communities Overview and Scrutiny Panel on Wednesday 21 January 2026.
• Adult Care and Well-Being Overview and Scrutiny Panel on Thursday 22 January 2026.
• Economy Overview and Scrutiny Panel on Friday 23 January 2026.

This week in Worcestershire:

Councillor Code of Conduct Complaints on the Rise

The Standards and Ethics Committee met to discuss proposed changes to handling complaints against councillors and the government's response to a consultation on conduct. The rise in complaints against councillors, coupled with the government's intention to strengthen the standards and conduct framework, signals a potential shift in local governance. Read the full meeting details.

• The Assistant Director for Legal and Governance, Hazel Best, reported a rise in complaints against councillors, prompting the council to seek external support.
• The council website's complaints page will be updated to provide more information about the handling of complaints.
• The committee may recommend training for all members linked to the themes of complaints.

The government's response to the consultation on strengthening the standards and conduct framework for local authorities in England indicates a move towards greater accountability and transparency in local government. Key measures include:

• A mandatory code of conduct for all local authority types and tiers.
• Formal standards committees in all principal authorities.
• Individual support for both complainants and councillors during investigations.
• A 'right for review' for both parties to have the case reassessed.
• Powers for authorities to suspend elected members for serious breaches.
• A new national appeals function.

These changes, requiring amendments to the Localism Act 2011, could significantly impact councillor conduct and the public's perception of local government ethics.

Shrub Hill Regeneration Project Faces Funding Hurdle

The Cabinet discussed the Shrub Hill regeneration project, focusing on the Shrub Hill Industrial Estate and the proposed Enterprise Centre in Isaac Maddox House. While the project aims to revitalize the area and create jobs, it faces a £2 million funding gap. Read the full meeting details.

• Worcester City Council allocated £10 million from its £19.6 million Towns Fund money to the Shrub Hill regeneration, with a portion earmarked for the Enterprise Centre in Isaac Maddox House.
• Isaac Maddox House, a currently vacant building, is proposed to be refurbished into office and commercial units, potentially creating 400 new jobs.
• The Cabinet is considering a recommendation to approve a £2 million variation to the Capital Programme to fund the necessary works, drawing from existing Economy and Infrastructure budgets.

The report pack lists four options for the future of Isaac Maddox House, ranging from selling it in its current state to a full refurbishment. Savills, the council's commercial advisors, recommend a full external refurbishment and internal category A fit-out of part of the building as the first phase, to test market demand and prove the product, while also future-proofing the building.

The success of the Shrub Hill regeneration hinges on securing the necessary funding and attracting tenants to the Enterprise Centre. Failure to do so could jeopardize the project's goals and hinder the area's economic revitalization.

Council's Financial Stability Hangs in the Balance

The Cabinet also discussed the Medium Term Financial Plan (MTFP) Update 2026/27 to 2028/29, revealing a precarious financial situation for Worcestershire County Council. The council is seeking Exceptional Financial Support (EFS) and considering a council tax increase above the 5% maximum limit to avoid issuing a Section 114 notice¹. Read the full meeting details.

• The latest budget monitoring indicates a break-even position for 2025/26 only after using £12.6 million of reserves and £33.6 million of Exceptional Financial Support.
• Services are overspending by £11.7 million, primarily in adult and children's social care, highlighting the increasing demand for these services.
• The council is aiming to achieve £12.5 million in savings this financial year, but faces challenges in finding further efficiencies due to the high proportion of the budget allocated to statutory services.

The report pack refers to the government's Local Government Finance Policy Statement 2026-27 to 2028-29, noting that this marks the start of the Settlement process, which for the first time in a decade, is a multi-year settlement covering the next three financial years through to March 2029.

The council's financial instability raises concerns about its ability to deliver essential services and support vulnerable residents. The potential need for Exceptional Financial Support and a council tax increase underscores the difficult choices facing the council in the coming years.

Other Matters

• The Cabinet received the Worcestershire Safeguarding Children Partnership Yearly Report April 2024 – March 2025, noting the progress of the partnership's work in safeguarding and promoting the welfare of children in the area.

This week in Worcestershire:

Council Faces Tough Choices as Schools Funding Crisis Deepens

Worcestershire County Council is grappling with a severe financial crisis in its schools budget, particularly for children with special educational needs and disabilities (SEND). The Audit and Governance Committee received a stark update on the situation, highlighting the urgent need for action to address a ballooning deficit. Read the full meeting details.

• External auditors have given the council a red rating for financial sustainability, governance, and improving economy, efficiency, and effectiveness, underscoring the severity of the situation.
• The council faces a £95.3 million overspend in high needs funding, driven by a surge in children with Education, Health and Care Plans (EHCPs).
• Without decisive action, this deficit is projected to reach a staggering £193.7 million by March 2026, threatening the council's ability to provide essential services to vulnerable children.

The report pack included a tracker of actions relating to statutory, key and improvement recommendations made in the External Auditor's Annual Report 2024/25. These included:

• Addressing the increasing Dedicated Schools Grant (DSG) deficit and developing a deficit management plan.
• Addressing budget pressures, reducing reliance on Exceptional Financial Support (EFS), and agreeing a reserves replenishment plan.
• Improving performance management by developing a golden thread from the corporate plan through business planning processes.
• Working with partners to ensure the SEND priority actions are delivered to the timescales required by Ofsted and the CQC.

This crisis echoes concerns raised in previous newsletters about the council's reliance on reserves and exceptional financial support, raising questions about the long-term sustainability of vital services.

Pensions Committee to Review Funding Strategy Amidst Economic Uncertainty

The Worcestershire Council Pensions Committee is scheduled to convene to discuss the fund's valuation, business plan, and risk management strategies. A key focus will be the Funding Strategy Statement (FSS), which outlines how the fund intends to collect money from employers to ensure sufficient funds to pay pensions to members and their dependants. Read the full meeting details.

The draft Funding Strategy Statement (FSS) stated that the funding strategy objectives are to:

• take a prudent long-term view to secure the regulatory requirement for long-term solvency, with sufficient funds to pay benefits to members and their dependants
• use a balanced investment strategy to minimise long-term cash contributions from employers and meet the regulatory requirement for long-term cost efficiency
• where appropriate, ensure stable employer contribution rates
• reflect different employers' characteristics to set their contribution rates, using a transparent funding strategy
• use reasonable measures to reduce the risk of an employer defaulting on its pension obligations.

The committee will also review the Worcestershire Pension Fund Business Plan, which includes updates on administration, annual benefit statements, cessations, and the McCloud remedy¹.

Community Safety Board Tackles Violence Against Women and Girls

The Overview and Scrutiny Performance Board (OSPB) met to discuss community safety in Worcestershire, with a specific focus on Violence Against Women and Girls (VAWG). The board received an annual update on the council's statutory duties related to community safety, highlighting the work of the Worcestershire Safer Communities Board (SCB). Read the full meeting details.

• VAWG has been identified as a national emergency, with an estimated 78,774 women and girls in Worcestershire having experienced domestic abuse.
• The council commissions a range of support services for victims of Domestic Abuse, including the Domestic Abuse Advice and Support Service (DAASS), which is delivered by West Mercia Women's Aid.
• The board discussed the need to address under-reporting of domestic abuse and sexual assault, and to ensure that victims have confidence in the system.

The report pack included the following estimates:

• 78,774 women and girls in Worcestershire may have experienced domestic abuse
• 68,129 may have experienced sexual assault
• 52,960 women and girls may have experienced stalking since the age of 16.

The board also discussed the council's work to tackle illegal tobacco and vapes, drugs and alcohol misuse, and counter-terrorism.

Other Matters

• The Audit and Governance Committee was scheduled to receive updates on internal audit progress, risk management, debt management, and treasury management.
• The Pensions Committee was scheduled to review the October 2025 Worcestershire Pension Fund Risk Register and the Governance and Compliance Update.

Upcoming Meetings

Here's a summary of upcoming meetings:

• Standards and Ethics Committee on Monday 15 December 2025.
• Cabinet on Thursday 18 December 2025.