The Cabinet of Barking and Dagenham Council met on Monday 16 February 2026 to discuss a range of significant financial and strategic matters. Key topics included the proposed Budget Framework for 2026/27 and the Medium Term Financial Strategy, alongside the Fees and Charges for the upcoming year. The meeting also covered the Treasury Management Strategy Statement and Capital Strategy, as well as the Barking and Dagenham Housing Strategy. Additionally, the Cabinet was scheduled to review the Business Plans for Be First (Regeneration) Ltd and B&D Energy Ltd, and consider proposals for new homes at Millard Terrace and the redevelopment of Dagenham Heathway. Other items included the procurement of an All-Age Behaviour Change Perpetrator Service, the contract for lift servicing and maintenance, and progress on Barking and Dagenham Homes Ltd becoming a Registered Provider of Social Housing.

Budget Framework 2026/27 and Medium Term Financial Strategy 2026/27 to 2030/31

A significant portion of the meeting was dedicated to the Council's financial planning. The report presented the proposed budgets for 2026/27, with recommendations for approval by the Assembly. It also outlined the Medium Term Financial Strategy forecasts up to 2030/31. The annual budget process is crucial for enabling the delivery of the Council's policies and priorities while complying with statutory obligations for setting Council Tax. Key themes underpinning the proposed budgets included value for money and operating within financial means. The report also indicated that decisions on Fees and Charges for 2026/27, presented as a separate agenda item, would be considered. Furthermore, the revised two-year Capital Programme to 2027/28 was presented for recommendation to the Assembly, alongside the Council's proposed Capital Budget for 2026/27. The Capital Strategy and Treasury Management Strategy were also presented as separate agenda items.

The report highlighted that the proposed General Fund budget included £8.7 million of savings, with £1.8 million relating to Invest-to-Save proposals, and £32.8 million of growth from the 2025/26 revised budget. The Council's Section 151 Officer (Chief Financial Officer) provided an opinion on the robustness of the budget proposals and the adequacy of reserves, considering the financial risks the Council faces. Cabinet was asked to note feedback from the budget consultation on savings proposals and the Council's decision to withdraw from the Business Rates Pool, as remaining in the tri-borough arrangement with Havering and Thurrock was no longer financially beneficial.

The recommendations included agreeing to a 4.99% increase in Council Tax (Band D equivalent), including the Adult Social Care Precept, setting the Council Tax at £1,687.99 for a Band D property, and noting the Mayor's GLA precept. The Council Tax Base for 2026/27 was noted as 57,526.52 Band 'D' properties, a decrease from the previous year. Cabinet was also asked to approve the General Fund Revenue Budget for 2026/27, agree new savings and growth proposals, and approve the latest General Fund Medium Term Financial Strategy 2026/27 to 2030/31. The maintenance of a General Fund balance of £12 million was noted, in line with the Council's Reserves Policy. The Council's provisional Capital Programme, including Investment and Acquisition Strategy (IAS) schemes, for 2026/27 to 2027/28 was also presented for approval, along with the updated Capital Budget for 2025/26. Finally, Cabinet was asked to approve the Strategy for the Flexible Use of Capital Receipts and note the Chief Financial Officer's Statutory Finance Report (Section 25 Statement).

Fees and Charges 2026/27

This report detailed the proposed fees and charges across all directorates, intended to take effect from 1 April 2026 unless otherwise stated. The report explained that the Council provides a wide range of services, some free of charge and others where it is considered fairer for the service user to pay. The ability to charge for some services is a key funding source. The presumption is that fees and charges will be uplifted in line with inflation, using the August CPI figure for consistency. In 2025, this was 3.8%. In most cases, fees and charges have increased by this amount, except where statutory or mandatory fees are imposed, or where service-driven decisions have been made, including benchmarking against neighbouring councils or other local providers, and cost analysis to ensure full cost recovery.

Cabinet was asked to agree the proposed fees and charges as detailed in Appendix A, and to note the fees and charges that would no longer be applicable from 1 April 2026, as set out in Appendix B.

Treasury Management Strategy Statement 2026/27 and Capital Strategy 2026/27 to 2027/28

This report presented the annual Treasury Management Strategy Statement (TMSS), Treasury and Prudential Indicators, Capital Strategy, and Annual Investment Strategy (AIS) for approval. These documents are required by law and are crucial for managing the Council's borrowing, investments, and cash flows, including banking, money market, and capital market transactions. The report highlighted the importance of effective risk control and the pursuit of optimum performance consistent with those risks.

The Capital Strategy sets out the Council's approach to capital investment, ensuring it aligns with corporate priorities, is affordable, and sustainable. The report detailed the Council's capital expenditure plans, including those previously agreed and those forming part of the current budget cycle, with projections for borrowing needs. It also provided an overview of the Council's current treasury management portfolio, including borrowing and investment balances. The report included forecasts for interest rates, gilt yields, and PWLB rates, along with advice on borrowing strategy and investment policy. Key indicators for borrowing activity, such as the Operational Boundary and Authorised Limit, were presented for approval. The report also outlined the Minimum Revenue Provision (MRP) Policy Statement for 2026/27, which is a statutory requirement for making provision for debt repayment.

Barking and Dagenham Housing Strategy 2026-2031

The Cabinet was presented with the proposed Barking and Dagenham Housing Strategy 2026-2031, which sets out the Council's long-term plan to address housing needs and improve housing outcomes. The Strategy was developed following extensive consultation with residents and stakeholders, and it builds upon the Interim Housing Strategy 2025-2026. It is structured around six strategic objectives: increasing the supply of affordable and accessible homes, improving housing affordability, preventing homelessness and rough sleeping, supporting vulnerable residents to live independently, improving the quality and safety of all housing, and supporting prevention and wellbeing through partnership. The report also included an Action Plan detailing specific commitments, responsibilities, and timescales for delivering the Strategy's objectives. Cabinet was asked to note the Housing Strategy Resident Engagement Summary, approve the Housing Strategy 2026-2031, and approve the accompanying Action Plan.

Be First (Regeneration) Ltd Business Plan 2026-2031

This report sought Cabinet approval for the Be First (Regeneration) Ltd Business Plan for 2026-2031. The Business Plan Addendum, which updates the previously approved 2025-2030 Plan, provides revised financial forecasting and extends the covered period to March 2031. The report highlighted Be First's transition towards attracting private sector development finance and managing the Council's commercial assets. It noted that while Be First remains focused on delivery and regeneration, the business model is shifting away from reliance on Council funding for development schemes. The plan forecasts a return to profitability for Be First from 2027/28 onwards, with no dividend expected to be paid to the Council during the plan period. The report also outlined risks related to securing private sector partnerships and the potential need for remedial action if the pivot to a new model is unsuccessful. Cabinet was asked to approve the Addendum to the Business Plan and delegate authority to the Strategic Director, Inclusive Growth and Place, to take necessary actions for its implementation.

B&D Energy Ltd Business Plan 2026-2031

The Cabinet was presented with the refreshed Business Plan for B&D Energy Ltd for the period 2026-2031. The report indicated that the company has continued to consolidate its position, with growing customer connections and an expected positive EBITDA. The plan's strategic basis includes increasing customers to the Barking Town Centre Heat Network, maintaining compliance with regulatory standards, preparing for the decarbonisation of the network, establishing a cost-effective operating model, and supporting the borough's heat zoning requirements. The report also highlighted risks such as new OFGEM regulations, residential debt, and the capital investment required for decarbonisation. The business plan forecasts a return to profit after tax from 2027/28 and assumes a more conservative projection for connections. Cabinet was asked to approve the refreshed Business Plan and delegate authority to the Strategic Director, Inclusive Growth and Place, to take necessary actions for its implementation.

B&D Reside Group Business Plan 2026-2031

This report sought Cabinet approval for the B&D Reside Group Business Plan 2026-2031. The plan covers five legal entities within the Reside Group and has been scrutinised and endorsed by the Shareholder Panel. The report noted that Reside is in a period of high growth and transformation, with a focus on managing the Council's assets and attracting private sector finance for future housing and regeneration projects. The Business Plan forecasts a return to profitability for Reside from 2027/28 onwards, with no dividend expected to be paid to the Council during the plan period. The report also highlighted risks related to delays in new build handovers impacting financial performance and the need to tackle residential debt. Cabinet was asked to approve the Business Plan and delegate authority to the Strategic Director, Inclusive Growth and Place, to take necessary actions for its implementation.

New Homes for Residents of Millard Terrace and Strategy for the Redevelopment of Dagenham Heathway Site

This report presented proposals for the decant strategy for Millard Terrace, which is nearing the end of its economic life. The strategy involves developing replacement social rented homes on the Jervis Court, former British Legion site, and Brockelbank Lodge. Cabinet was asked to approve this decant strategy, the approach to obtaining vacant possession of Millard Terrace and the Heathway Mall Shopping Centre, and the preparation of comprehensive development proposals for the Heathway Mall site, to be marketed for a partnership delivery model. Additionally, Cabinet was asked to approve a capital budget of £65.242 million for the development of approximately 157 new build replacement social rented units at Jervis Court, the former British Legion site, and Brockelbank Lodge. The report also sought authority for the serving of Initial Demolition Notices on secure tenants at Millard Terrace to suspend Right to Buy applications and delegate authority for legal agreements and contracts.

Procurement of All-Age Behaviour Change Perpetrator (Domestic Abuse) Service

The Cabinet was presented with a report seeking approval to procure a contract for an All-Age Behaviour Change Perpetrator Service. This service is intended to tackle domestic abuse by challenging perpetrator behaviour and offering support for behaviour change. The current contract expires on 31 March 2026. The new service will be all-age, supporting young people who display aggressive or concerning behaviours. The estimated contract value is £228,000 per annum, with an aggregate value of £1,026,000 over an initial three-year and six-month period, with an option to extend for a further two years. The funding will be met entirely by the Public Health Grant. The procurement will follow an open procedure, advertised via Find a Tender Service (FTS), the Council's etendering portal (Bravo), Contracts Finder, and the Council's website. The evaluation criteria will be based on a 70% quality, 20% price, and 10% social value ratio. Cabinet was asked to agree that the Council proceeds with the procurement and delegate authority for the award and execution of the contract.

Contract for the Servicing and Maintenance of Passenger Lifts

This report sought approval to procure a contract for the servicing and maintenance of passenger lifts across the Council's portfolio. The current contract with Professional Lift Services Ltd expired in May 2022, and BDMS has been maintaining the contract since then. Due to the approaching Find a Tender threshold and the need for a compliant procurement process, approval was sought to tender the requirement. The proposed contract duration is three years with an option to extend for two additional years on a one-plus-one basis. The estimated contract value is £1,896,540 including VAT. The procurement will utilise the Procure for Housing (PFH) Dynamic Purchasing System (DPS) to ensure a competitive, transparent, and compliant process. The evaluation criteria will be based on 50% price, 40% quality, and 10% social value. Cabinet was asked to agree that the Council proceeds with the procurement and delegate authority for the award and execution of the contract.

Beam Park and Gascoigne East Phase 3B - Approval of Disposals, Head Leases and Loan Facility Agreements

This report sought approval for the disposal of new build schemes at Beam Park and Gascoigne East Phase 3B by granting long leases or operating leases and loan facility agreements to the appropriate Reside entity or Barking and Dagenham Homes Ltd (BDHL). These properties have been delivered within the Council's Investment and Acquisition Strategy (IAS). The report detailed the estimated lease premiums and loan amounts for these developments, which are subject to final accounts. Cabinet was asked to approve these disposals in principle, approve the indicative draft Heads of Terms for leases and loans, delegate authority to the Strategic Director, Inclusive Growth and Place, to make amendments to tenures and tenants if required for optimum funding, and delegate authority to the Strategic Director, Resources, and Head of Legal, to finalise terms and execute all necessary documents.

Ripple Nature Reserve Masterplan

The Cabinet was presented with a report seeking agreement in principle to the Ripple Nature Reserve Masterplan. This masterplan outlines a vision for the restoration and reopening of the reserve, which is a designated Site of Importance for Nature Conservation. The masterplan proposes dividing the reserve into three zones, with proposals for enhancing woodland, creating new habitats, improving public access, and developing areas for ecological education and community involvement. The report noted that there is currently no funding in place for the capital works, estimated at £1.45 million, or for the ongoing annual maintenance cost of approximately £35,000. Funding options are being explored through developer contributions, grant funding, and partnership arrangements. Cabinet was asked to agree the masterplan in principle and delegate authority for necessary agreements to support its long-term deliverability and management.

Barking and Dagenham Homes Ltd: Progress towards becoming a Registered Provider of Social Housing

This report provided an update on the timeline for Barking and Dagenham Homes Ltd (BDHL) to become a Registered Provider of Social Housing (RPSH). To facilitate this process, revisions to BDHL's Articles of Association were proposed to ensure compliance with regulatory requirements, including changes to the number and independence of directors. The report also sought agreement to extend the term of operating leases for new build homes in BDHL from June 2026 to December 2027 to align with the updated timeline for RPSH registration, estimated for December 2027. Cabinet was asked to agree in principle to the proposed revisions to BDHL's Articles of Association, note the updated timeline for RPSH registration, agree to extend the operating leases, and agree to the reappointment of existing Board members.

B&D Trading Partnership: Contract for the Servicing and Maintenance of Passenger Lifts

The Cabinet was presented with a report seeking approval to procure a contract for the servicing and maintenance of passenger lifts across the Council's portfolio. The current contract expired in May 2022, and the Council has been managing the service directly since April 2024. Due to the approaching Find a Tender threshold and the need for a compliant procurement process, approval was sought to tender the requirement. The proposed contract duration is three years with an option to extend for two additional years on a one-plus-one basis. The estimated contract value is £1,896,540 including VAT. The procurement will utilise the Procure for Housing (PFH) Dynamic Purchasing System (DPS) to ensure a competitive, transparent, and compliant process. The evaluation criteria will be based on 50% price, 40% quality, and 10% social value. Cabinet was asked to agree that the Council proceeds with the procurement and delegate authority for the award and execution of the contract.

Other Items

The agenda also included reports on:

• Investment and Acquisition Strategy - Update and Future Proposals: This report acknowledged the conclusion of the Council's current Investment and Acquisition Strategy (IAS) as the asset acquisition programme had ended. It proposed a new focus on Strategic Commercial Asset Management, based on principles detailed in the report and a Delivery Framework. Cabinet was asked to note the conclusion of the IAS, approve the proposed replacement strategy, and note the proposed changes to management and governance arrangements.
• Any other public items which the Chair decides are urgent: This item allows for the discussion of any urgent public matters not previously listed on the agenda.
• To consider whether it would be appropriate to pass a resolution to exclude the public and press from the remainder of the meeting due to the nature of the business to be transacted: This item indicates that there may be confidential or exempt business to be discussed.
• Any other confidential or exempt items which the Chair decides are urgent: This item allows for the discussion of any urgent confidential or exempt matters not previously listed on the agenda.

The meeting also included private business items, indicating that some discussions were confidential due to the nature of the information being transacted.