The Cabinet of Lambeth Council met on Monday 23 February 2026 to discuss and approve the Borough of Sanctuary Strategy, the Quarter 3 2025/26 Budget Monitoring Report, and the Revenue and Capital Budget for 2026/27 alongside the Medium-Term Financial Strategy. Key decisions included the adoption of the refreshed Borough of Sanctuary Strategy, noting the council's successful reaccreditation, and the approval of recommendations within the budget monitoring report and the revenue and capital budget for the upcoming financial year.

Borough of Sanctuary Strategy

Councillor Nanda Manley-Browne, Cabinet Member for Healthier Communities, introduced the refreshed Borough of Sanctuary Strategy, highlighting Lambeth's long-standing commitment to equity and justice. The strategy, shaped by extensive consultation, aims to improve access to support for those seeking sanctuary and amplify their voices. The council's successful reaccreditation as a Borough of Sanctuary was noted, and Cabinet approved and adopted the strategy for delivery between 2025 and 2028.

Quarter 3 2025/26 Budget Monitoring Report

Councillor Judith Cavanagh, Acting Cabinet Member for Finance, presented the Quarter 3 Budget Monitoring Report, outlining the council's financial position and progress towards sustainability. Despite significant pressures from real-terms funding cuts and increased demand in statutory services like temporary accommodation and social care, the council is on a path to financial sustainability. Management actions are being taken to reduce a forecast £17.1 million overspend by the end of the financial year. Cabinet considered the forecast positions for the General Fund and Housing Revenue Account, approved proposals to optimise Home to School Transport assistance to reduce costs from 2026-27, and noted the review of the Capital Investment Programme.

Revenue and Capital Budget 2026/27 and Medium-Term Financial Strategy 2026/7 to 2029/30

Councillor Claire Holland, Leader of the Council, introduced the Revenue and Capital Budget for 2026/27 and the Medium-Term Financial Strategy (MTFS) to 2029/30. The report detailed how Lambeth Council is strengthening its finances to protect and deliver services, setting a balanced budget for 2026/27 through decisive action. This is being achieved despite a decade of austerity, real-terms funding cuts, and unprecedented demand for emergency accommodation and social care. The budget prioritises delivering good public services, looking after vulnerable children, protecting spending on street cleaning, and maintaining leading services for women and girls. The council is also providing significant funding for cost of living support, including a Council Tax Support Scheme and the Crisis and Resilience Fund. The budget includes an updated Capital Strategy focused on long-term sustainability and reducing debt servicing. Cabinet agreed to the council tax increase of 2.99% for the general element and 2% for the Adult Social Care precept. The report also detailed savings proposals totalling £46.580 million for 2026-27, with cumulative savings of £99.773 million over the MTFS period. Cabinet also approved the Housing Revenue Account budget, the approach to allocating the Dedicated Schools Grant, the General Fund and HRA Capital Investment Programmes, the Treasury Management Strategy, the Capital Strategy, the Minimum Revenue Provision policy, the Reserves Policy, and noted the financial risks. The Flexible Use of Capital Receipts Policy was also approved.