The Scrutiny Commission of Leicestershire County Council met on Wednesday, 2 September 2026, to review a range of council performance reports and strategic plans. Key discussions were scheduled to cover the council's draft Strategic Plan for 2027-2031, updates on the Medium Term Financial Strategy, and annual performance reports for the Investing in Leicestershire Programme, the Corporate Asset Management Plan, Corporate Complaints and Compliments, and East Midlands Shared Services.

Leicestershire County Council's Strategic Plan 2027-2031

The Commission was scheduled to consider the draft Strategic Plan for 2027-2031, which outlines the council's vision, outcomes, and priorities for the next four years. The plan aims to provide a stable foundation during local government reorganisation, focusing on four strategic outcome areas: Better Leicestershire for residents, Better Leicestershire for communities, Better Leicestershire economy, and Better Leicestershire County Council. The consultation period for the draft plan was ongoing, with feedback from the Commission forming part of this process. The plan acknowledges the challenges of a difficult financial environment and population growth, while also highlighting opportunities presented by devolution and local government reorganisation.

Medium Term Financial Strategy Monitoring and Strategy Update

A significant portion of the meeting was dedicated to reviewing the council's financial position. The report was set to provide an update on the short and medium-term financial outlook, considering the current economic climate. It was also intended to detail changes to the previously agreed 2026-30 capital programme and present the latest revenue budget monitoring for 2026/27. The Medium Term Financial Strategy (MTFS) for 2026/27 to 2029/30, approved in February 2026, indicated a challenging financial outlook with projected funding gaps. The report was expected to highlight the impact of service pressures, particularly in children's social care, adult social care, and special educational needs and disabilities (SEND), as well as the ongoing effects of inflation and wage growth. The council was in the process of refreshing its MTFS for 2027-2031, with a draft to be presented for consultation in December 2026. The capital programme review indicated a revised shortfall in funding of £57 million, to be financed by borrowing. The report also noted the impending local government reorganisation (LGR) and its potential financial impact.

The revenue budget monitoring for 2026/27 indicated a neutral position, with an underspend of £4.8 million across service and corporate budgets being offset by a reduction in the level of reserves required to balance the budget. However, this was noted as being early in the financial year and subject to change. Significant variances were highlighted, including a projected overspend of £62.2 million on the Dedicated Schools Grant (DSG), primarily within the High Needs Block, due to sustained growth in demand for Education, Health and Care Plans (EHCPs). The report detailed government support mechanisms for DSG deficits and the ongoing scrutiny of local authority DSG accounts.

Investing in Leicestershire Programme Annual Performance Update 2025/26

The Commission was scheduled to receive an update on the performance of the Investing in Leicestershire Programme (IILP) for 2025/26. The IILP portfolio, valued at £280.1 million at the end of March 2026, comprises direct property assets and diversifier investments. The report was expected to detail the overall performance, including a reduction in the capital value of the portfolio by £12.2 million during the year, attributed to valuation reductions in certain asset classes and sales. Despite this, the IILP produced a net income of £8.6 million. The report was also to cover the performance of diversifier investments and future resource considerations for the programme.

Corporate Asset Management Plan Annual Performance Report 2025/26

This report was intended to outline the performance achieved against the Council's Corporate Asset Management Plan (CAMP) for 2025-2026, detail strategy changes, and present the work programmed for 2026-2027. The council's property portfolio comprised 710 freehold and leasehold assets valued at £521 million in March 2026. The report was expected to cover the performance of both the Corporate Landlord (CLL) estate and the Investing in Leicestershire Programme (IiLP) portfolio. Maintenance expenditure and performance against key performance indicators were also to be discussed, with a mixed picture emerging, showing positive performance in areas linked to operational delivery but also highlighting pressures from construction inflation and the performance of parts of the IiLP portfolio. The Asset Challenge review for 2025/26, covering assets in Blaby District and Melton Borough, was also to be presented.

Corporate Complaints and Compliments 2025/26

The Commission was scheduled to consider the Corporate Complaints and Compliments Annual Report for 2025-2026. The report was expected to detail a 26% increase in corporate complaints received, with Children and Family Services and Environment and Transport departments consistently showing the highest volumes, largely due to complaints related to Special Education Needs Assessment (SENA) and School and SEN Transport. The report was also to cover the number of complaints and enquiries received by the Local Government and Social Care Ombudsman (LGSCO), with an increase noted. Performance in responding to Stage 1 and Stage 2 complaints, upheld decisions by the LGSCO, and remedy payments were also to be discussed. A significant increase in the volume of compliments received was also highlighted, particularly for Libraries, Heritage and Museums.

East Midlands Shared Services Annual Performance Update 2025/26

This report was intended to provide a summary of the performance of East Midlands Shared Services (EMSS) for 2025/26 and an update on progress against strategic priorities. EMSS, a partnership between Nottingham City Council and Leicestershire County Council, delivers HR, Payroll, and Finance transactional services. The report was expected to detail the financial outturn for EMSS, showing an underspend of £281k against the approved budget. Operational performance for both the Finance Service Centre (FSC) and the Employee Service Centre (ESC) was to be reviewed, including metrics on supplier payments, debt collection, payroll error rates, and recruitment. The report was also to cover customer satisfaction trends, technology updates, and the outcome of an audit review, which indicated a significant level of assurance regarding the effectiveness of EMSS's governance, risk management, and internal control framework. The EMSS Strategic Plan for 2026-2030 was also to be presented.