Council calls on Government to act as rising care needs puts pressure on finances

BCP Council is calling on the Government to urgently recognise and address what it says is a growing nationwide funding gap in care, warning that rising demand for support for vulnerable children and adults is placing unsustainable pressure on local council finances.

In a report published today, the council sets out its 2025/26 financial performance, highlighting how increasing need in both Children’s Services and Adult Services is driving spending beyond what was budgeted for.

£4.6m funding gap filled using reserves

The report states that by the end of the 2025/26 financial year, BCP Council had spent more on adults and children’s services than planned as needs increased. Savings and reductions in spending elsewhere helped to reduce the impact, but the council still ended the year with a £4.6 million gap, which it says will be filled using reserves.

“Behind these figures are real people”

Councillor Mike Cox CBE, Deputy Leader and Portfolio Holder for Finance, said the council is urging Government to provide the funding needed to support the most vulnerable.

He said the number of children going into BCP Council care rose sharply last year, with 87 more children compared to 17 the year before, bringing the total number of children in care to 643. He added that demand for adult services continues to increase too, putting further strain on budgets.

He said:
“This is about children growing up in homes where they don’t feel safe… and it’s about older people who have lived full lives and simply want to hold on to their independence for as long as they can.”

Cllr Cox said the council has taken steps to manage the financial impact responsibly, including controlling spending, delivering planned savings, reducing costs by improving efficiency, and freezing non-essential expenditure.

But he warned:
“This cannot continue indefinitely. This is not a local issue. It is a growing national crisis.”

Overspends in children’s and adult services

The report outlines that in Children’s Services, increased demand led to an additional £9.1 million cost over budget.

In Adult Services, the net overspend was £5.6 million, driven by more people needing support across a range of care. The council said that while around £10 million more than budget was spent on adult care packages due to demand, some of this was offset by contributions from individuals towards their own care and payments from health services for related elements of care packages.

Underspends elsewhere helped reduce the impact

The overall position was helped by underspends and additional income elsewhere, including:

• £2 million underspend in Resources
• £5.9 million underspend in central corporate budgets
• £1.7 million extra income from business rates

The council said these underspends were achieved through early action, including freezing non-essential spending.

Council leader writes to Government

BCP Council says it has a legal duty to provide care for vulnerable children and adults, but is warning that without sufficient national funding, financial pressure on local services will continue to grow.

The council confirmed that the Leader of BCP Council, Councillor Millie Earl, has written to Government requesting urgent attention on what it describes as a national issue.