The Council of Lewisham met on Wednesday 4 March 2026 to approve the Council Budget for 2026/27, which included a 4.99% increase in Council Tax. The meeting also saw the approval of temporary changes to polling places for the May 2026 elections and the extension and publication of the Statement of Licensing Policy for 2026-2031.

Temporary Changes to Polling Places Approved

The Council approved temporary changes to polling places for three polling districts: EHG2 (Hither Green), EBE2 (Bellingham), and WSY3 (Sydenham) for the May 2026 elections. These changes are necessary due to the unavailability of current designated venues. Brownhill Road Baptist Church will serve as the polling place for Hither Green, St Augustine's Primary School for Bellingham, and St Bartholomew's Church in Sydenham. Authority was also delegated to the Returning Officer to make urgent temporary amendments to polling places if unforeseen issues arise. Furthermore, officers were instructed to conduct a polling district review in Sydenham after the May elections.

Statement of Licensing Policy Extended and Published

The Council unanimously resolved to extend the existing Statement of Licensing Policy and formally publish the draft Statement of Licensing Policy 2026-2031. This policy provides the framework for regulating alcohol sales, regulated entertainment, and late-night refreshment, ensuring legal compliance and continuity of service. The extension ensures that a valid policy is in place following the expiry of the current policy in January 2026, allowing the Council to effectively determine licence applications and fulfil its statutory duties. A comprehensive review, including public consultation, will be conducted following the May elections, with an updated policy planned to take effect from April 2027.

Council Budget 2026/27 Approved with Council Tax Increase

The Council approved its budget for 2026/27, which includes a 4.99% increase in Lewisham's Council Tax element. This increase comprises a 2.99% rise in the core Council Tax and a 2.00% increase for the Adult Social Care precept. The Band D equivalent Council Tax level for Lewisham's services will be £1,726.82, and £2,237.33 overall. This represents an overall increase of 4.79% for 2026/27, subject to the Greater London Authority (GLA) precept increase.

The budget requirement for 2026/27 was set at £425.799m. This is supported by budget reduction measures of £0.821m (previously agreed) and £29.249m (agreed in 2025/26) for 2026/27. An allocation of £54.640m from Core Spending Power and Reserves (on a once-off basis) in 2026/27 will be invested in funding quantified budget pressures and opportunities.

The budget also noted the forecast projected overall variance of £1.50m underspend for 2025/26, after the budgeted use of Corporate Provisions and Reserves. This year-end underspend will result in a commensurate reduction in the draw on Reserves.

Key decisions within the budget include:

• General Fund Revenue Budget: Approved with a requirement of £425.799m for 2026/27.
• Council Tax: Agreed to a 4.99% increase, resulting in a Band D equivalent Council Tax level of £1,726.82 for Lewisham's services and £2,237.33 overall.
• Budget Reductions: Endorsed budget reduction measures of £0.821m and £29.249m for 2026/27.
• Investment: Agreed to allocate £54.640m from Core Spending Power and Reserves for budget pressures and opportunities.
• Medium-Term Financial Strategy: Noted the updated strategy and the need for at least £36m of budget reductions to be agreed and implemented between 2026/27 and 2028/29.
• Arrears Write-offs: Noted agreements to write off historic Council Tax arrears totalling £12,063,458.78, former tenant arrears totalling £346,896.56, adult social care sundry debt arrears totalling £170,543.92, and business rates arrears totalling £144,551.11.
• Dedicated Schools Grant (DSG) and Pupil Premium: Noted provisional allocations for 2026/27, including an increase in the High Needs Block and Early Years Block funding. Agreed a once-off transfer of circa £0.60m of Schools Block funding to the High Needs Block.
• Housing Revenue Account (HRA): Agreed to set an increase in dwelling rents of 4.80% (an average of £5.95 per week) and an increase in hostels accommodation charge of 4.80% (or £4.52 per week). Approved various increases to service charges for PFI and Council-managed dwellings, as well as an increase in garage rents by 4.5%. Noted the budgeted expenditure for the HRA for 2026/27 at £275.71m. Agreed to write off eight cases of former tenant arrears related to HRA stock totalling £121,783.96.
• Treasury Management Strategy: Approved the Treasury Management Strategy 2026/27, including prudential and treasury indicators, the Annual Investment Strategy, Creditworthiness Policy, Investment Strategy, Minimum Revenue Provision (MRP) policy, and credit and counterparty risk management criteria. Delegated authority to the Executive Director for Finance, Digital and Corporate Resources for certain transactions and amendments.
• Capital Programme: Agreed the reprofiled and amended 2025/26 Capital Programme of £177.88m and approved the 2026/27 to 2029/30 Capital Programme of £539.25m. Agreed to delegate authority to the Executive Director for Finance, Digital and Corporate Resources to amend the scheme mix within the Capital Programme.
• Climate Budget: Noted that Mayor and Cabinet agreed the Council's Climate Budget 2026/27 – 2028/29.

The meeting concluded with the Speaker thanking Members and wishing them well for the upcoming elections.