The Cabinet of Leicestershire County Council met on Tuesday 26 May 2026 to discuss the provisional financial outturn for the 2025/2026 financial year, review the outcomes of an efficiency review, and consider a response to a local plan consultation. The meeting also included discussions on the revised change and improvement programme for the council.

Provisional Revenue and Capital Outturn 2025/2026

The Cabinet was scheduled to consider the provisional revenue and capital outturn for the 2025/2026 financial year. The report indicated a net revenue underspend of £7.023 million, which was proposed to be allocated to additional commitments including capital financing/debt repayment, the Highway Investment Fund, and the Efficiency Review. The capital outturn showed a net rephasing of expenditure of £65 million, which would be carried forward to the 2026/2027 financial year. Significant variances were noted in Children and Family Services, particularly an overspend of £30.9 million on the Dedicated Schools Grant (DSG), largely due to increased demand for Education, Health and Care Plans (EHCPs). Adults and Communities reported a net underspend of £3.9 million, while Environment and Transport forecast a net underspend of £5.7 million. The report also detailed the balances of earmarked reserves, totalling £257 million, and provided an update on the capital programme, noting that £140 million had been invested during 2025/2026. The Investing in Leicestershire Programme (IiLP) reported a net income for the year of £8.6 million, in line with the budget.

Efficiency Review - Outcomes and Revised Change and Improvement Programme

A significant portion of the meeting was dedicated to the outcomes of the County Council's Efficiency Review (ER) and the implications for its revised Transformation Programme, to be launched as the Better Leicestershire Programme . The review identified savings opportunities totalling £27.2 million over the Medium Term Financial Strategy (MTFS) period, with potential to reach £60 million by 2030/2031. The report detailed 13 benefit proposals, with a strong focus on social care services, aiming to drive better outcomes for residents, increase value for money, and improve financial sustainability. The revised programme incorporates 58 prioritised initiatives, aligned under seven strategic change and improvement themes: Commissioning and Market Shaping, Demand Management and Maximising Independence, Maximising Income, Physical Assets, Procurement & Supply Chain Management, Resident Focused Organisation, and Prevention. The programme requires an estimated £28.2 million in implementation costs over four years, with a projected payback period of 3.3 years. Key enablers for the programme's success included establishing a clear programme vision, leadership alignment, effective communications and engagement, building change capability, robust governance, leveraging digital and data capabilities, and securing specialist support.

Response to Borough of Oadby and Wigston Regulation 19 Local Plan Consultation and Declaration of Unmet Housing Need

The Cabinet was scheduled to receive an update on the progress of Oadby and Wigston Borough Council's Local Plan. The report indicated that the Borough Council had paused progress on its Local Plan following the Regulation 19 consultation to consider the requirements of the new National Planning Policy Framework (NPPF). The County Council's response to this consultation and its position on Oadby and Wigston Borough Council's declared unmet housing need were to be presented in a supplementary report. Previous decisions and policy frameworks related to strategic growth, housing and economic needs assessments, and statements of common ground between the County Council and its partners were noted. The report highlighted the significant resources committed by the County Council to collaborative strategic planning and the increasing challenges in securing the delivery of essential infrastructure to support growth.

Other Items

The agenda also included the minutes of the previous meeting held on 28 April 2026, and provisions for any urgent items the Chairman decided to take elsewhere on the agenda, as well as declarations of interest.