The Overview and Scrutiny Committee met on Tuesday 24 February 2026 to discuss the council's revenue and capital budget for 2026/27, the medium-term financial strategy, and the Housing Revenue Account (HRA) finances. The committee noted the budget and recommended that the Cabinet publish the highways capital schemes for 2026/27, consider the role of Overview and Scrutiny in the Redbridge Recovery Board, and provide a report on the board's terms of reference and governance.

Revenue and Capital Budget and Council Tax 2026/27 and MTFS 2026/27 - 2030/31

Councillor Vanisha Solanki, Cabinet Member for Finance, introduced the council's revenue and capital budget for 2026/27 and the Medium-Term Financial Strategy (MTFS) for 2026/27 to 2030/31. She highlighted the significant underfunding Redbridge Council has faced over the past decade, losing over £160 million in real terms since 2010, and receiving some of the lowest funding per head in London. Councillor Solanki expressed gratitude for the current Labour government's listening approach, which has led to a multi-year settlement and the first steps of a fair funding review. This settlement will see the council receive £61.5 million over the next three years, with the full value expected by 2028/29.

Despite this improved funding, pressures remain, particularly in adult and children's social care and homelessness services, which account for 64% of the net revenue budget. To bridge the gap during the transitional period, the council has applied for exceptional financial support. This support, along with the Modernising Redbridge programme, aims to transform the council into a more efficient organisation. The budget includes strategic investments in social care, homelessness services, roads, leisure, and infrastructure, alongside a capital programme of £55.8 million for 2026/27 to 2031/32. Investments are also planned for street cleansing, CCTV upgrades, and trading standards officers.

Councillor Daniel H. Morgan-Thomas, Cabinet Member for Adult Social Care and Health, spoke about the challenges in children's services, noting that tough decisions made previously have put the department on a firm financial footing. He highlighted that the budget focuses on growth and transformation rather than cuts. Councillor Saima Ahmed, Cabinet Member for Housing and Homelessness, presented the housing budget, detailing the ongoing housing crisis in London and Redbridge's efforts to prevent homelessness and increase service delivery. She noted the significant waiting list for social housing, with an average waiting time of over 10 years for a two-bedroom home. Despite these challenges, Redbridge has seen a reduction in households in temporary accommodation and has delivered 600 new council homes.

Councillor Sunny Brar, Cabinet Member for Enforcement, Community Safety and Cohesion, outlined the budget's commitment to public safety, including investment in neighbourhood enforcement, the Community Protection Taskforce, CCTV, and additional trading standards officers to tackle issues like illegal vapes and tobacco. Councillor Namreen Chowdhury, Cabinet Member for Leisure, Culture and Communities, detailed investments in leisure facilities and libraries, highlighting Redbridge's commitment to these services despite national trends of scaling back. Plans include the reopening and improvement of sites like South Woodford Library and the Kettermore Theatre, as well as the Fairlop Master Plan and the development of a climbing centre and lido at Valentine's Park.

Councillor Helen Coomb, Cabinet Member for Digital and Transformation, explained that £10 million has been set aside from the Exceptional Financial Support (EFS) for the Modernisation Programme, led by Adrian Wilkie, Deputy Chief Executive. This programme is intended to be a key driver for the council's recovery plan, aiming for greater efficiency and effectiveness. Councillor Mark Santos, Cabinet Member for Adult Social Care and Health, described the budget as the most significant investment in adult services he had seen, focusing on promoting independence and prevention.

The committee made three recommendations to the Cabinet:

1. Publish the programme of highways capital schemes for 2026/27.
2. Consider the role of Overview and Scrutiny in the governance arrangements for the Redbridge Recovery Board.
3. Provide a report to the Overview and Scrutiny Committee on the terms of reference and governance arrangements for the Redbridge Recovery Board.

Housing Revenue Account (HRA) Finances and Rent Setting

Councillor Saima Ahmed, Cabinet Member for Housing and Homelessness, presented the HRA budget for 2026/27 to 2030/31, describing it as an ambitious, responsible, and forward-looking plan. The budget includes significant investments in maintaining and improving the council's housing stock, with £178 million allocated for home improvements, estate regeneration, and neighbourhood enhancements to ensure all council properties meet decent home standards. A modest rent increase of 4.8% is planned from April, in line with national policy, to sustain frontline services. Redbridge has delivered 600 new affordable homes since 2018 and continues to work towards securing further investment. The HRA budget is designed to ensure long-term financial sustainability, reduce reliance on temporary accommodation, and strengthen the council's ability to secure future grants.

During the discussion, Councillor Alex Holmes raised concerns about the low proportion of funding from Section 106 contributions and developer contributions, questioning if Redbridge was receiving less than other local authorities. An officer clarified that these contributions, known as carbon offset funds, are directed towards energy efficiency work and that predicting future income is challenging due to the erratic nature of developer contributions. Councillor Judith Garfield inquired about climate-linked resilience within the HRA capital budget, given the housing stock's vulnerability to climate change. Andrew Billini, Director of Housing, confirmed that the capital programme includes retrofit programmes and energy efficiency measures aligned with net-zero targets. Councillor Paul Canal questioned the decrease in service charges for communal electricity and heating, to which Andrew Billini explained that these reflect actual costs and bulk purchasing arrangements. Councillor Martin Sachs asked about the security of HRA funding, particularly in light of the exceptional financial support provided to the council. Councillor Saima Ahmed confirmed that the HRA is a ring-fenced account and that the budget is balanced, partly through the use of reserves, with £113,000 being used for the next year's balance.

The committee noted the report and the HRA budget.

Budgetary Control Report for Quarter 3 2025/26

Councillor Vanisha Solanki, Deputy Leader and Cabinet Member for Finance, presented the budgetary control report for Quarter 3 of 2025/26. The general fund forecast for the year indicated an overspend of £31 million, a decrease of £156,000 from Quarter 2. The primary pressures contributing to this overspend were identified as homelessness (£23.8 million) and adult social care (£22 million).

Councillor Daniel H. Morgan-Thomas raised concerns about the lack of savings reported under the Deputy Chief Executive's remit, suggesting this reflected the recent creation of the role. Councillor Solanki explained that some savings had been reversed due to the modernisation programme, which is expected to deliver substantial savings. David Kuenssberg, Executive Director for Resources, added that the focus is on redesigning services and improving productivity, with savings often sitting across different programmes and requiring close tracking to avoid double counting. Councillor Solanki confirmed that savings totalling £5.8 million for 2026/27, including those from commissioning reviews and customer experience modernisation, had been agreed at the January Cabinet meeting.

The committee noted the report.

Updates from Chairs of Policy Development Committees

Verbal updates were provided by the Chairs of various Policy Development Committees (PDCs):

• Children & Young People PDC: Councillor Alex Holmes reported a delay to a planned site visit to Parks School for Girls, with a committee meeting scheduled for 15 January 2026.
• Clean & Green PDC: Councillor Joe Hehir noted no meeting had taken place since the last committee, but workshops were planned.
• Homes & Neighbourhoods PDC: Councillor Kumud Joshi stated there had been no meeting since the last committee.
• Health Scrutiny Sub-committee: Councillor Daniel H. Morgan-Thomas reported no meeting had taken place.
• Education Scrutiny Sub-committee: Councillor Anne Marie Sachs indicated a focus on revisiting A-Level results, NEETs, and monitoring post-16 provision.
• Safe Redbridge PDC: Councillor Mushtaq Ahmed reported that recommendations and a report would be presented to the Overview and Scrutiny Committee at the next meeting.
• Strategy and Resources PDC: Councillor Judith Garfield noted that some recommendations had already been incorporated into the modernisation agenda and a report was expected at the next meeting.
• External Scrutiny: Councillor Matthew Goddin reported a January meeting where Vision presented their annual police report.
• Health Scrutiny: Councillor Daniel H. Morgan-Thomas stated that the committee had heard from Barts Trust on Whipps Cross and Redbridge Health Watch.
• [Unnamed PDC]: Councillor Martin Sachs mentioned a presentation from health colleagues and upcoming development work.

The committee noted these updates.

Overview and Scrutiny Work Plan 2025-26

The committee noted and agreed changes to the Overview and Scrutiny Committee Work Plan for 2025-26. The next meeting was scheduled for 9 March 2026.