The Overview and Scrutiny Management Board met on Thursday, 26 February 2026, to discuss the Council Budget for 2026/27, the Crisis and Resilience Fund, and the Review of Financial Performance for 2025/26 Quarter 3. The Board also noted the work programmes of the scrutiny committees and its own work programme.

Council Budget 2026/27

The Board considered the Council Budget for 2026/27, raising concerns about the capital programme appearing bare and calling for greater ambition in areas such as expanding extra care housing and investing in children's services. Members questioned the projected increase in borrowing requirements and sought clarification on how this aligned with reported savings. Officers explained the complexities of capital financing and borrowing, emphasising that actual borrowing is tied to expenditure needs. Significant discussion also focused on the proposed removal of £11.1 million from the coastal highways pinch point budget, which was met with strong criticism. The Board recommended the formal reinstatement of £2 million for Grantham High Street funding and the removal of the line item concerning H-bars, which would potentially recharge residents for reinstatement after council works.

Crisis and Resilience Fund

The Board received a report on the Crisis and Resilience Fund (CRF), a new government initiative replacing the Household Support Fund and Discretionary Housing Payments, which aims to provide a more preventative, needs-based approach to financial support. The fund, running from April 2026 to March 2029, will allocate funding across four strands: Crisis Payment, Housing Payment, Resilience Services, and Community Coordination. The Board was assured that the fund would be delivered through a collaborative approach with district councils and voluntary sector organisations. The report detailed the proposed allocation of funds and the timeline for developing a delivery plan.

Review of Financial Performance (2025/26 Quarter 3)

The Board reviewed the Council's financial performance for the third quarter of 2025/26. The report indicated a forecast revenue underspend of £6.0 million for general fund budgets, but a significant overspend of £29.9 million for schools' revenue budgets, largely due to pressures within the High Needs block. The capital outturn position showed a forecast underspend of £21.3 million against the net budget for the current year, but an overspend of £38.7 million over the full life of the programme, primarily due to major road schemes. A key recommendation was the approval of the reallocation of £1.517 million from the Public Health Grant reserve to fund eligible spend within Children's Services revenue budget.

Scrutiny Committee Work Programmes

The Board noted the work programmes of the various scrutiny committees, including the Adult Care and Public Health Scrutiny Committee, Children's and Culture Scrutiny Committee, Community Safety Scrutiny Committee, Environment Scrutiny Committee, Growth Scrutiny Committee, Health Scrutiny Committee for Lincolnshire, and Highways and Transport Scrutiny Committee. These programmes outlined planned reviews and discussions for the coming months, covering a range of council services and policies.

Overview and Scrutiny Management Board Work Programme

The Board also noted its own work programme for the coming year. It was suggested that a briefing document on the activities of the Greater Lincolnshire Combined County Authority be programmed.

The meeting concluded with the Board agreeing to pass on its comments and recommendations to the Executive for consideration.